Gov't cuts growth outlook for 2026

Philippine economic growth is set to fall short of the government target in 2025, prompting a downward revision of gross domestic product (GDP) projections for the next two years.

- By RICARDO M. AUSTRIA

However, the P6.793-trillion 2026 national budget is expected to support a strong economic recovery, the country's chief economist said.

Speaking at the Presidential Communications Office's (PCO) press briefing on Monday, Jan. 5, Department of Economy, Planning, and Development (DEPDev) Secretary Arsenio M. Balisacan said the 2026 budget is expected to bolster economic growth to five to six percent this year. Growth is projected to further rise to 5.5 to 6.5 percent in 2027 and six to seven percent in 2028.

To recall, the government, through the Cabinet-level, interagency Development Budget Coordination Committee (DBCC), last year set the Philippines' annual GDP growth target at six to seven percent for 2026 to 2028.