The Philippine economy is headed for a sharper slowdown in 2026 as elevated energy costs, weak public investment and subdued business confidence weigh on domestic demand, the World Bank said, while lowering its growth outlook for next year.
The Philippine government is moving to translate the World Bank’s Public Finance Review into concrete fiscal reforms, with economic officials stressing that better tax collection and spending will matter only if recommendations result in measurable improvements for citizens.
The Philippine government said it will act on recommendations from the World Bank’s latest Public Finance Review, putting a sharper focus on broadening the tax base, improving revenue collection and ensuring that public spending translates into measurable gains for Filipinos.
Accelerating power sector reforms could slash electricity prices, create more than 161,000 jobs and lift about 730,000 Filipinos out of poverty by 2030, with the World Bank arguing that lower energy costs may be one of the country's biggest catalysts for faster and more inclusive economic growth.
The World Bank Group has approved a USD268.6-million, or about P15.6-billion, water and sanitation project for the Philippines that is expected to create up to 46,500 jobs over the next 25 years while improving climate resilience in three island provinces.
Chinese automakers are closing in on American rivals in customer experience, slashing the gap to just five points this year from 29 points in 2025, with BYD posting the biggest improvement among 11 brands assessed in the Philippines.
The various banks are anticipating a stable lending environment with potential growth in borrowing activity toward the end of the year, according to the latest Senior Bank Loan Officers’ Survey conducted by the Bangko Sentral ng Pilipinas.
The Philippine Competition Commission (PCC) fined Pilipinas Enterprise Management Holdings Inc. (PEMHI) and Meralco PowerGen Corp. (MGen) P5.8 million for repeatedly missing reporting deadlines tied to their merger clearance, underscoring the regulator’s tougher stance on compliance with post-merger commitments.
A community‑led nature‑based restoration project is helping protect over 1,000 Ata‑Manobo residents in Sitio Patil, Barangay Gupitan, Kapalong from worsening riverbank erosion and climate‑driven hazards. Ten major flood and landslide events hit the area between 2020 and 2023, as strong currents at the Kapalong‑Maguimon river confluence wore away soil and threatened homes, farms and ancestral lands.