Business World

Philippine peso 4th most undervalued in July Big Mac Index

The Economist’s Big Mac Index, July 2026 In The Economist’s July 2026 Big Mac Index, the Philippine peso was 56% undervalued against the US dollar, making it the fourth-most undervalued currency in the index. A Big Mac cost P169 in the Philippines,...

Social services, infra in 2027 plan

THE PHILIPPINES’ proposed 2027 national budget puts social services and infrastructure at the center of government spending, with education, public works and health among the biggest beneficiaries as President Ferdinand R. Marcos, Jr. enters the final...

FDI inflows sink to over 11-year low

FOREIGN DIRECT INVESTMENT (FDI) net inflows into the Philippines sank to their lowest level in more than 11 years in May amid still-cautious investor sentiment, Bangko Sentral ng Pilipinas (BSP) data showed. Based on preliminary BSP data released on...

Philippines trails regional peers in responsible AI index

The Philippines ranked 68th out of 135 countries after scoring 32.98 out of 100 in the second edition of the Global Index on Responsible AI (GIRAI) by the Global Center on AI Governance. The country’s score was the fifth-lowest among its East and...

Farm output growth slows in Q2

THE PHILIPPINES’ agricultural sector posted slower growth of 2.9% in the second quarter, down from 6% a year earlier, despite improved output across all subsectors, the Philippine Statistics Authority (PSA) said. The PSA reported that the value of...

July inflation cools to 4-month low

PHILIPPINE INFLATION cooled to its slowest pace in four months in July as transport costs eased and food inflation steadied, the Philippine Statistics Authority (PSA) said. Data from the PSA showed headline inflation slowed to 6.2% from 6.4% in June...

Hot money inflows hit $170M in June

NET FOREIGN portfolio investment inflows into the Philippines extended to a second straight month in June as investor activity improved despite lingering financial market volatility, according to Bangko Sentral ng Pilipinas (BSP) data. Transactions on...

DoF proposes higher excise taxes

THE DEPARTMENT of Finance (DoF) is proposing a package of new and higher taxes on sweetened beverages, e-cigarettes, flexible plastic products, luxury vehicles and private aircraft to offset revenue losses from proposed personal income tax relief...

Q2 growth likely slowed to 2.8%

THE PHILIPPINE ECONOMY likely expanded at a slower pace year on year in the second quarter, as elevated inflation weighed on household spending while weak business confidence and sluggish public infrastructure spending dampened economic activity. A...

June trade gap widens to $4.94B

THE PHILIPPINES’ trade deficit in goods ballooned to $4.94 billion in June as the boom in artificial intelligence (AI) drove double-digit growth in exports and imports, data from the Philippine Statistics Authority (PSA) showed. Preliminary data from...

Philippines ranks fourth-lowest in Asia-Pacific environmental index

The Philippines ranked 21st out of 24 Asia-Pacific economies in the 2026 Environmental Performance Index (EPI), making it the region’s fourth-lowest performer. The country scored 27.87 out of 100, below the regional average of 36.84, and ranked 162nd...

BSP: ‘Small chance’ of aggressive hikes

THE BANGKO SENTRAL ng Pilipinas (BSP) sees only a “small chance” of more aggressive monetary policy tightening this year, despite renewed volatility and expectations of a second-half economic recovery. BSP Governor Eli M. Remolona, Jr. on Tuesday said...

Philippines ranks 65th in impunity index

The Philippines ranked 65th out of 172 economies in the Eurasia Group’s 2025 Atlas of Impunity, with an impunity score of 44.86 out of 100. The country’s score was higher than the global average of 39.05, making it the fifth-highest among East and...

Tracking Philippine Development Plan targets

NG budget deficit widens in June

THE NATIONAL GOVERNMENT’S (NG) budget deficit widened by 9.39% in June as spending outpaced revenue growth, although the first-half fiscal gap remained broadly in line with the government’s program, Bureau of the Treasury (BTr) data showed. In a...

Peso sinks to match record low P61.75

THE PESO weakened on Wednesday to match its all-time low against the US dollar as a re-escalation in the Middle East conflict heightened concerns over inflation risks. The Philippine peso closed at P61.75 against the US dollar on Wednesday, inching...

BoP surplus widens to $3.4B in June

THE PHILIPPINES’ balance of payments (BoP) surplus widened to over $3 billion in June, which helped significantly narrow the BoP deficit in the first half of the year, central bank data showed. Based on Bangko Sentral ng Pilipinas (BSP) data released...

How the Philippines fared in global financial secrecy index

The Philippines placed 61st out of 141 jurisdictions in the 2026 edition of the Financial Secrecy Index (FSI) published by the Tax Justice Network with an FSI value of 159, down from 173 last year. This makes it a low enabler of concealing financial...

BIR, BoC upbeat on revenue targets

THE PHILIPPINE government’s main revenue-generating agencies are confident of meeting their revised full-year targets, after posting higher collections in the first half of the year. Bureau of Internal Revenue (BIR) Commissioner Charlito Martin R....

Philippines moves up in Nature Conservation Index

The Philippines climbed seven places to 141st out of 180 countries, with a score of 50.3 out of 100 in the 2025 Nature Conservation Index, published by The Goldman Sonnenfeldt School of Sustainability and Climate Change in collaboration with the...

Cash remittances fall to 1-year low

THE ONGOING Middle East war may have continued to take a toll on migrant Filipinos, as the money they sent home in May slumped to its lowest level in a year, preliminary Bangko Sentral ng Pilipinas (BSP) data showed. Cash remittances from overseas...

IT-BPM industry cuts 2028 targets

THE PHILIPPINE information technology-business process management (IT-BPM) industry slashed its revenue and employment targets for 2028, citing the rapid adoption of artificial intelligence (AI) and intensifying global competition. In its revised...

Misery index inches down in May

The Philippines’ adjusted misery index eased to 23.2% in May from 26.3% in April, marking its lowest level since 20.8% in March. The decline reflected slower inflation, which eased to 6.8% in May from 7.2% in April. The adjusted underemployment rate*...

Core inflation risks seen to persist

THE BANGKO SENTRAL ng Pilipinas (BSP) could extend its tightening cycle as the widening pass-through effects of energy shocks stemming from the Middle East war are expected to keep core inflation elevated, analysts said. Metropolitan Bank and Trust...

Philippines improves in global presence index, but still trails regional peers

The Philippines climbed three spots to 41st out of 150 countries with a global presence value of 58.13 in the latest Elcano Global Presence Index by Madrid-based think tank Elcano Royal Institute. Despite its higher overall rank, the country was among...

IMF trims Philippine growth outlook

THE PHILIPPINE ECONOMY could post its weakest growth this year since the pandemic, as the Middle East war drives up prices and dampens economic activity, the International Monetary Fund (IMF) said. In its latest World Economic Outlook (WEO) released...

Core inflation hits 31-month high

PHILIPPINE headline inflation eased for a second straight month in June on lower transport and food prices, but pass-through effects pushed core inflation to its fastest pace in 31 months, the Philippine Statistics Authority (PSA) said. Based on PSA...

Philippines trails regional peers in Future Skills Index

The Philippines placed 38th out of 89 economies in the latest edition of the World Future Skills Index by service and analytics provider Quacquarelli Symonds (QS). The country had a final score of 68.5 out of a possible 100. The index evaluates how...

Poll: Inflation likely cooled in June

PHILIPPINE INFLATION likely eased for a second straight month to a three-month low in June as lower oil and rice prices offset higher electricity rates, analysts said. A BusinessWorld poll of 18 analysts yielded a median estimate of 6.6% for June...

NG debt hits P18.55 trillion in May

NATIONAL GOVERNMENT (NG) debt rose in May as it continued to raise funds to support financing needs, the Bureau of the Treasury (BTr) said. The latest data from the Treasury showed that outstanding debt stood at P18.55 trillion as of end-May, inching...

Manufacturing PMI improves in June

PHILIPPINE FACTORY activity continued to expand in June amid stronger output and new orders, S&P Global said on Wednesday. S&P Global Philippines Manufacturing Purchasing Managers’ Index (PMI) inched up to 50.9 in June from 50.8 in May, signaling a...

Metro Manila gets P85 daily wage hike

THE DAILY minimum wage in Metro Manila will increase to P780 by January 2027 after the Regional Tripartite Wages and Productivity Board-National Capital Region approved an P85 increase to be implemented in two phases, Labor Secretary Francis N....

Philippines rises in global child rights list

The Philippines climbed 15 places to 57th out of 194 countries in the 2026 edition of the KidsRights Index (KRI) by the KidsRights Foundation. The country scored 0.735 out of 1, where a higher score means a positive contribution to children’s rights....

Residential property prices rise by 4.5% in Q1 2026

Philippine housing prices grew 4.5% year on year in the January-to-March period. This was slower than the 7.6% in the same period in 2025, but faster than the 1.6% in the fourth quarter last year, according to the central bank’s Residential Property...

Philippines inches up in 2026 SDG Index

The Philippines moved up one spot to 80th out of 169 ranked countries in the 2026 release of the Sustainable Development Report by the United Nations. Scoring 69.87 index points out of 100, the country surpassed both the East and South Asian and world...

Philippines rises four spots in Elite Quality Index

The Philippines climbed four spots to 46th out of 151 countries with a score of 52.1 in the 2026 edition of the Elite Quality Index (EQx) by Switzerland-based Foundation for Value Creation Activities, in partnership with the University of St. Gallen....

Manila remains the region’s laggard in Cities in Motion Index

Manila placed 167th out of 183 cities across 92 countries in the latest edition of the Cities in Motion Index (CIMI) by Spain-based University of Navarra’s IESE Business School, scoring 22.56 out of 100. The Philippine capital was classified as “low”...

How Philippine trade resilience compares with its peers in the region

The Philippines ranked 35th out of 56 countries assessed in the 2026 edition of the Global Trade Resilience Index (GTRI) by Whiteshield, scoring 55.66 out of 100. The Philippines was the third-lowest country in freight resilience among its regional...

BoP swings to $131-M surplus in May

HIGHER DOLLAR INFLOWS and easing external payment pressures drove the Philippines’ balance of payments (BoP) position to an over $100-million surplus in May, analysts said. Data from the Bangko Sentral ng Pilipinas (BSP) showed the country’s BoP...

Philippines hits 6-year high in World Competitiveness Ranking, but still trails Asia-Pacific peers

The Philippines jumped four spots to 47th out of 70 economies with a score of 59.07 out of 100 in the 2026 edition of the World Competitiveness Ranking by the International Institute for Management Development (IMD). This was the country’s highest...

Philippines ‘partially ready’ in global education readiness list

The Philippines ranked 85th out of 177 countries in the latest update of the Global Education Futures Readiness Index (GEFRI), scoring 52.64 out of 100. The country’s score was above the global average score of 49.87 but below the East Asia & Pacific...

April misery index worsens to 26.4%, highest in over three years

The Philippines’ adjusted misery index climbed to over a three-year high of 26.4% in April from 20.8% in March. It was the worst reading since it logged 26.9% in January 2023. The worsening of the index was driven by inflation accelerating to a...

OFW remittances rise 2% in April

CASH REMITTANCES recorded its slowest annual growth in nearly four years in April as weak global economic conditions weighed on overseas Filipino workers’ (OFWs) ability to send money home. Data from the Bangko Sentral ng Pilipinas (BSP) showed money...

Poll: BSP poised for 25-bp rate hike

STILL ELEVATED INFLATION and the peso’s persistent weakness may prompt the Bangko Sentral ng Pilipinas (BSP) to tighten for a second straight meeting to stay ahead of the curve and keep inflation expectations anchored, analysts said. A BusinessWorld...

Philippines slips in global peace ranking, scores below Asia-Pacific average

The Philippines fell three places to 102nd out of 163 countries in the 2026 edition of the Global Peace Index (GPI) published by the Institute for Economics and Peace. This was the country’s worst placement in two years or since it ranked 103rd in...

BoC collects P80.7 billion in May but misses target by 2.1%

THE BUREAU of Customs (BoC) collected P80.664 billion in revenues in May but fell short of its target due to lower volumes and the temporary suspension of excise taxes on liquefied petroleum gas (LPG) and kerosene. In a statement on Monday, the agency...

Philippines ranks 68th in new risk and readiness atlas

The Philippines ranked 68th out of 85 countries according to the 2026 edition of Global Atlas of Risk and Readiness (GARR) by Global Citizen Solutions. The country scored 78.83 out of 100, only outperforming Cambodia’s 73.58 score (82nd) in the East...

1 in 5 working-age Filipinos use generative AI

One in five working-age Filipinos used generative artificial intelligence (AI) in the first quarter of 2026, results of Microsoft AI Economy Institute’s AI Diffusion Index showed. This was above the global average of 17.8% and placed the Philippines at...

Philippines may face new US tariffs

THE PHILIPPINES is facing the prospect of additional US tariffs, after a US Trade Representative (USTR) investigation found it and 59 other economies had not done enough to curb the importation of goods that were made with forced labor. In its report...

NPL ratio hits 8-month high in April

PHILIPPINE LENDERS’ nonperforming loan (NPL) ratio worsened to its highest level in eight months in April as borrowers faced tighter economic conditions amid the Middle East war, latest Bangko Sentral ng Pilipinas (BSP) data showed. The banking...

Philippine factory activity returns to growth in May

PHILIPPINE FACTORY activity bounced back in May as stronger domestic demand boosted output and new orders, although supply chain disruptions and rising costs linked to the Middle East conflict continued to weigh on manufacturers, S&P Global said on...

Poll: May inflation likely hit 7.9%

PHILIPPINE INFLATION likely hit its fastest pace in over three years as elevated oil prices amid the ongoing Middle East war drove up food costs and kept the peso weak against the dollar, analysts said. The headline print may have accelerated to 7.9%...

Japan firms to boost PHL investments

LONG-TERM INFLATION expectations remain anchored despite persistent price pressures driven by oil shocks stemming from the Middle East war, a study by the Bangko Sentral ng Pilipinas (BSP) Research Academy showed. According to a discussion paper...

Manila climbs two spots in financial center ranking

Manila rose two places to 102nd out of 120 global financial centers in the 39th edition of the biannual Global Financial Centers Index (GFCI) by London-based think tank Z/Yen as part of its Long Finance initiative. Despite the improvement, the...

April budget surplus narrows to P31B

THE NATIONAL Government’s (NG) budget surplus narrowed sharply in April to P31.4 billion amid muted revenue growth as the deadline for filing annual income tax returns was moved to May, the Bureau of the Treasury (BTr) said. In a statement on Tuesday,...

FSCC: Financial system under strain

THE PHILIPPINE financial system is facing mounting pressure as vulnerabilities tied to corporate debt and rising household debt amid the Middle East conflict continue to test its resilience, the Financial Stability Coordination Council (FSCC) said. In...

Auto sales slump as oil prices surge

PHILIPPINE CAR SALES declined by 19% in April as rising oil prices linked to the Middle East war continue to dampen consumer demand for gas-powered vehicles, according to a joint report by the Chamber of Automotive Manufacturers of the Philippines,...

Philippines’ labor productivity eases in Q1

Labor productivity in the Philippines picked up by 2.2% year on year to P115,281 in the first three months of 2026. This was slower than the 4.2% growth recorded a year ago, and the 3.1% growth in the fourth quarter of 2025. Labor productivity is...

ADB urges PHL to maximize PPPs

THE PHILIPPINE government should maximize public-private partnerships (PPP) to help narrow the country’s infrastructure gap while easing fiscal pressure from rising debt levels, the Asian Development Bank (ADB) said. Despite the government’s...

BoP deficit narrows to $2.1B in April

STEADY INFLOWS from remittances and the services sector despite emerging external pressures helped narrow the Philippines’ balance of payments (BoP) gap to a three-month low in April, Bangko Sentral ng Pilipinas (BSP) data showed. Based on central...

Philippines holds 79th spot in Global Tax Expenditures Transparency Index

The Philippines’ rank remained at 79th out of 116 countries and jurisdictions in the latest update of the Global Tax Expenditures Transparency Index (GTETI) by Council on Economic Policies (CEP) and the German Institute of Development and...

Banks’ NPL ratio improves in March

THE PHILIPPINE BANKING sector’s nonperforming loan (NPL) ratio declined in March, data from the Bangko Sentral ng Pilipinas (BSP) showed, reflecting borrowers’ strong repayment capacity despite the Middle East war. Based on the latest central bank...

Foreign investment pledges up 52.3%

FOREIGN INVESTMENT pledges in the Philippines rose by 52.3% in the first quarter from a low base a year earlier, although commitments fell to their lowest level in four quarters as analysts cited geopolitical uncertainty, elevated costs, and weaker...

Misery index worsens in March, highest in nearly two years

The Philippines’ adjusted misery index soared to a 23-month high of 20.8% in March from 18.7% in February. It was the worst reading in nearly two years since it logged 21.8% in April 2024. The worsening of the index was driven by inflation accelerating...

Can domestic savings cover the country’s increasing investment needs?

The country’s savings rate — defined as gross domestic savings as a percentage of gross domestic product (GDP) — reached 6.1% in the first three months of the year, amounting to P423 billion. Meanwhile, the investment rate was 20.9% of GDP, or P1.45...

How does the Philippines compare in governance performance among its peers in the region?

The Philippines ranked 129th out of 208 countries in the 2026 Global Governance Climate Index (GCI) published by the International Labour Organization (ILO). On a scale of 0 to 1, where a higher score indicates strong organizational governance, the...

Q2 growth outlook remains weak

PHILIPPINE gross domestic product (GDP) likely remained below the government’s 5-6% growth target in the second quarter as higher oil prices and tighter financial conditions continued to dampen domestic demand, analysts said. This as the Development...

Oil shock drags growth to 5-year low

THE Philippine economy grew by a weaker-than-expected 2.8% in the first quarter, the slowest pace since the pandemic, as the fallout from a corruption scandal and soaring oil prices triggered by the Middle East conflict dampened economic...

PSA: 2.58 million Filipinos jobless in March

THE Philippine unemployment rate in March rose to 5%, as the number of jobless Filipinos jumped to 2.58 million amid the oil crisis, the Philippine Statistics Authority (PSA) said. Preliminary results from the March 2026 Labor Force Survey released on...

April inflation heats up to 3-year high

ELEVATED oil prices continued to feed into food and utility costs, pushing annual inflation to a three-year high of 7.2% in April, the Philippine Statistics Authority (PSA) said on Tuesday. Faster-than-expected inflation now puts more pressure on the...

Q1 growth likely still weak amid flood mess fallout, rising inflation

PHILIPPINE economic growth likely remained muted in the first quarter, weighed down by the lingering fallout from the flood control scandal and rising costs driven by the oil crisis, analysts said. In a report dated May 1, Nomura Global Markets...

Poll: GDP growth likely slowed in Q1

THE Philippine economy likely lost momentum in the first quarter, weighed down by weak household purchasing power, subdued government spending, fragile business confidence, and rising global energy prices linked to the Middle East conflict, economists...

April inflation may hit 3-year high

PHILIPPINE INFLATION likely accelerated to as high as 6.4% in April, driven by higher prices of fuel, electricity and food amid the war in the Middle East, as well as a weaker peso, the Bangko Sentral ng Pilipinas (BSP) said on Tuesday. In its...

Q1 growth may slow amid Iran war

THE PHILIPPINE ECONOMY likely slowed in the first quarter as the prolonged Middle East war weighed on activity, with growth expected to fall below recent quarters and miss the government’s full-year target, the Economy chief said. Economy, Planning,...

Manila ranks 91st in Global Green Finance Index, lags behind its East and Southeast Asian peers

Manila ranked 91st out of 92 financial centers in the 17th edition of the Global Green Finance Index (GGFI) released by commercial think tank Z/Yen Group as part of its Long Finance initiative. With an overall rating of 512, the Philippine capital...

Philippines logs over 624,000 breached accounts in Q1

The Philippines ranked 22nd out of 250 countries and territories with a total of 624,405 breached accounts in the first three months of the year, according to the latest data from Surfshark’s Global Data Breach Statistics. This was higher by 76.8% from...