Arthur Fuentes

Skyline and buildings in Quezon City on January 11, 2023. Mark Demayo, ABS-CBN News

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Philippine economy

ABS-CBN News

<div><br/></div><h3 id="isPasted"><strong>P6.79-trillion budget eyed for 2026</strong></h3><div><br/></div><p>MANILA — The Philippines has again revised its growth target for the year, citing heightened global uncertainties such as the conflict in the Middle East and the imposition of US tariffs.</p><p>The Development and Budget Coordination Committee on Thursday said it was targeting an economic growth range of 5.5 to 6.5 percent. In December last year, the <a href="https://www.abs-cbn.com/news/business/2024/12/2/dbcc-narrows-widens-growth-targets-for-ph-0001" rel="noopener noreferrer" target="_blank">target for 2025</a> was set at 6 to 8 percent.</p><p>The revised target is in line with the forecasts of private sector analysts and international financial institutions, said the DBCC, which is a cabinet-level body composed of the country&#x27;s main economic managers.</p><p>The <a href="https://www.abs-cbn.com/news/business/2025/6/19/philippines-rise-to-upper-middle-income-ranks-likely-delayed-to-2027-world-bank-1733" rel="noopener noreferrer" target="_blank">World Bank earlier said</a> it sees the country growing 5.3 percent this 2025. Meanwhile, the Asian Development Bank in April said the Philippine economy may grow 6 percent in 2025, but emphasized that this forecast was before the US imposed sweeping tariffs on its trading partners.</p><div><strong>2026 BUDGET</strong></div><p>For 2026, the DBCC is also proposing a National Budget of P6.793 trillion, which is 7.4 percent higher than the 2025 budget. Next year&#x27;s planned budget is also equivalent to 22 percent of GDP, the DBCC said.</p><p>The budget will power infrastructure spending, which will be sustained at 5 to 6 percent of GDP each year through 2028 to ensure continued improvements in physical connectivity, the DBCC added.</p><p>Despite the revision in growth targets, the DBCC noted that the Philippines remains one of the fastest-growing economies in Southeast Asia, with robust domestic demand as its main driver.  </p><p>The DBCC said the government is focused on strengthening the domestic economy and building on recent structural reforms, such as the CREATE MORE Act and the PPP Code, that make the country more competitive for trade and investment.</p><p>&quot;We will also pursue the approval and implementation of other game-changing reforms recently ratified by our Congress, such as the Liberalizing the Lease of Private Lands by Foreign Investors Act, Enhanced Fiscal Regime for Large-Scale Metallic Mining Act, Accelerated and Reformed Right-of-Way (ARROW) Act, and Konektadong Pinoy Act,&quot; the DBCC said.</p><p>The Philippines has struggled to hit its growth targets in recent years, with economic managers often citing global headwinds.</p>

<p>The Philippines has again revised its growth target for the year, citing heightened global uncertainties such as the conflict in the Middle East and the imposition of US tariffs.</p>

The Philippines has again revised its growth target for the year, citing heightened global uncertainties such as the conflict in the Middle East and the imposition of US tariffs.

Philippines lowers growth target range for 2025 citing rising uncertainties; P6.79-trillion budget eyed for 2026

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Philippines lowers growth target range for 2025 citing rising uncertainties; P6.79-trillion budget eyed for 2026

Arthur Fuentes,

ABS-CBN News

Published Jun 26, 2025 06:39 PM PHT

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Updated Jun 26, 2025 07:28 PM PHT

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