World Bank Keeps Philippines GDP Growth Forecast Unchanged

PHILIPPINES: The forecast report released by the World Bank predicts that the Philippine economy is expected to grow by 5.8% in 2024 and 5.9% in 2025. The World Bank's Philippines Economic Update also states that growth is likely to be supported by strong household consumption, continuing strength in the services sector, and increased trade as global demand for products and services recovers. The government's commitment to increasing public investment, with plans to invest an average of 5.7% of GDP between 2024 and 2026, including 124 new flagship infrastructure projects, is anticipated to enhance growth. However, the research also warns that higher-than-expected inflation, extreme weather and climate change, global geopolitical tensions, and tighter-than-expected financial conditions could pose risks to the growth outlook.

Source: World Bank