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Current account deficit lingers
Manila Bulletin
|October 16, 2025
The Washington-based multilateral lender International Monetary Fund (IMF) expects the Philippines’ current account deficit to widen by end-2025 and remain elevated through 2026.
According to its latest World Economic Outlook (WEO) report, published on Tuesday, Oct. 14, the IMF has forecast the Philippines’ current account—a measure of the country’s net dollar earnings from trade in goods and services and income from overseas Filipino workers (OFWs)—to post a deficit equivalent to 3.8 percent of gross domestic product (GDP) this year and 3.5 percent next year.
Although these projected deficits are narrower than last year’s four percent of GDP, they are higher than the Bangko Sentral ng Pilipinas’ (BSP) forecasts of 3.3 percent and 2.9 percent, respectively, for the same years.
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