The situation, in brief
Newly-appointed Finance Secretary Frederick Go sought to ease public worries about the economy, saying the Philippines’ core economic fundamentals remain intact despite concerns over corruption controversies and reduced government spending in the second half of 2025. In an interview on DZRH News’…
Newly-appointed Finance Secretary Frederick Go sought to ease public worries about the economy, saying the Philippines’ core economic fundamentals remain intact despite concerns over corruption controversies and reduced government spending in the second half of 2025.
In an interview on DZRH News’ Special on Saturday on November 29, Go said Filipinos can remain hopeful as the country enters 2026.
Go pointed to several indicators that, he said, continue to support the economy. Inflation is low, employment is high, overseas remittances and BPO services remain steady, and exports have been rising based on the latest report from the Philippine Statistics Authority.
“All the economic levers that have been propelling our country’s growth are intact,” he said.
He explained that the softer GDP performance in the third and fourth quarters was mainly due to lower government spending amid ongoing investigations. This slowdown, he stressed, is temporary.
According to Go, government disbursements are expected to return to their usual pace in the first and second quarters of 2026 as agencies resume normal operations.
Go also noted that the economy still grew by 4% in the third quarter. While this is below the 5.5% to 5.7% seen in previous years, he said the figure remains respectable given that global growth is expected to stay below 3%.
He added that international observers continue to view the Philippines positively, citing a recent S&P rating of “stable with positive outlook.”
S&P’s assessment, Go said, reinforces the view that the country’s long-term growth fundamentals remain solid.
“They are confirming all our growth fundamentals are still intact. The long-term growth fundamentals ng ating bansa ay tuloy-tuloy pa rin po,” he said.
Asked what the rating means for ordinary workers, Go said it indicates a better economic environment ahead. He emphasized the importance of strong and continued private sector investment, noting that about 90% of employed Filipinos work in private companies.
“Kailangan na kailangan po natin na ’yung mga private sector partners po ng gobyerno ay tuloy-tuloy ang pag-invest,” he said.
Go said sustained business activity—including investment, expansion, and day-to-day operations—remains critical to job creation. He added that encouraging private sector confidence will be a priority as the country transitions into the new year.
