Jaime Augusto Zobel de Ayala, chairman of Ayala Corp., struck a cautiously optimistic tone on the Philippines’ economic outlook, projecting a rebound as near-term risks begin to ease and structural strengths remain intact.
The Philippines faces a markedly weaker growth trajectory after the International Monetary Fund (IMF) cut its 2026 expansion forecast to 4.1 percent, citing intensifying global shocks and a softer domestic backdrop.
Rising geopolitical tensions in the Middle East and the looming effects of El Niño are emerging as twin headwinds to Philippine growth, with remittances and inflation pressures forming a potentially volatile mix.
Economic Planning Secretary Arsenio Balisacan cautioned lawmakers that a prolonged Middle East conflict could trigger a severe economic shock in the Philippines, with surging oil prices threatening to reverse gains in poverty reduction.
Treasury bill yields continued to ease at Monday’s auction as investors positioned for a possible shift toward monetary easing by the Bangko Sentral ng Pilipinas (BSP) amid weakening economic momentum.
Foreign business groups are urging the Philippine government to speed up economic reforms, warning that slow implementation of existing laws could weaken the country’s competitiveness and limit investment opportunities.
The Bureau of Internal Revenue (BIR) has granted P149.35 million in tax relief to 2,379 micro taxpayers in three months, as participation in its one-time tax abatement program accelerates ahead of the Dec. 31, 2026 deadline.
The Bases Conversion and Development Authority (BCDA) and Pag-IBIG Fund are teaming up to develop housing and other projects on BCDA-owned properties, starting with about 14 hectares in New Clark City.