Aboitiz Equity Ventures is heading into 2026 with what it calls cautiously optimistic expectations, even as storm clouds gather over the broader economy.
At a press briefing on Monday, Chief Financial Officer and Chief Investment Officer Jose Emmanuel Hilado did not sugarcoat the outlook. “2026 definitely will be challenging,” he said, pointing to the prospect of lower government spending as an early drag on growth.
Infrastructure outlays have long been a key economic driver, and any pullback tends to ripple across sectors.
Then came another complication. “And then the Iran war happened, bringing an oil price shock,” Hilado added, highlighting how geopolitical tensions have quickly translated into higher costs.
Together, these forces create what he described as “two opposing forces” shaping the year ahead. Reduced public spending could soften demand, while elevated oil prices could push inflation higher. The combination risks weighing on both consumption and business expansion, particularly in capital-intensive industries.
Still, AEV is not retreating. It is leaning on a long-term strategy anchored on infrastructure and essential services, areas that tend to hold up even in uneven cycles.
Part of that strategy hinges on the expected entry of Global Infrastructure Partners within the year. The partnership is seen as a way to deepen capabilities across airports, water, and digital infrastructure while tapping global expertise.
The company is also backing its outlook with capital. It has set aside P88.5 billion for 2026, with the bulk going to power and the rest spread across infrastructure and its other business units.
AEV acknowledges that near-term pressure could test momentum, but it believes that as a group it is positioned for durability rather than speed.
