Senate President Win Gatchalian has placed economic recovery at the top of the Senate’s legislative agenda, pledging to fast-track the proposed P7.2-trillion 2027 national budget and pursue reforms aimed at lowering business costs, reviving investments and restoring household purchasing power.
Speaking at the 2026 ASEAN-Chinese Business Leaders Summit on Monday, Gatchalian pointed to a sharp slowdown in Philippine economic growth, with gross domestic product expanding by just 2.3% in the second quarter, down from 5.4% a year earlier.
He attributed the weaker performance largely to stalled government infrastructure spending following the flood-control corruption scandal, alongside inflationary pressures linked to the US-Iran conflict.
Government construction contracted 32.4% during the quarter, while household consumption growth eased to 2.8% from 5.2% a year earlier, reflecting mounting challenges for two important drivers of domestic economic activity.
“Getting the economy back on track is the Senate’s most urgent priority,” Gatchalian said.
He identified the timely passage of the proposed 2027 national budget as a key policy instrument for supporting economic activity. At P7.2 trillion, the proposed spending plan is P407 billion higher than this year’s allocation, potentially providing room for public investment and essential government programs.
However, the budget’s economic impact will depend not only on its size but also on spending efficiency, project implementation and safeguards against corruption.
The Senate has also established the Reinvigorate Investments and Sustainable Economic Growth (RISE) Ad Hoc Committee to coordinate legislative reforms with the administration’s economic programs.
Gatchalian outlined five priorities: making basic goods more affordable, increasing workers’ take-home pay, reducing electricity costs, improving infrastructure and transportation, and strengthening businesses to generate employment.
These measures target household purchasing power and the cost pressures facing companies, which can influence consumption, expansion and hiring decisions.
Gatchalian said the legislative push would help restore consumer confidence, improve the country’s investment competitiveness and support the government’s target of 5% to 6% economic growth in 2027. Achieving that goal, however, will require effective policy execution and a recovery in both public investment and private-sector activity.
