The Marcos administration protected Filipino families in 2025 by keeping inflation low while sustaining solid economic growth.
Inflation dropped to just 1.6% from January to November 2025, down from 3.4% in 2024, continuing a steady decline since 2022.
The slowdown reflects coordinated government action to stabilize prices, secure food supply, and protect household purchasing power, especially for rice, the biggest expense of low-income families.
Rice prices have continued to ease as the Department of Agriculture works to bring costs down to P20 per kilo, about half the 2022 average.
As a result, inflation for the bottom 30% of households fell to -0.2% in November 2025, marking six straight months of contraction and showing that price controls are benefiting the poorest Filipinos.
S&P Global Ratings cited the country’s low and stable inflation in reaffirming the Philippines’ ‘BBB+’ investment-grade rating with a Positive Outlook, signaling confidence in the government’s economic leadership.
Lower prices, strong job conditions, and possible interest-rate adjustments by the BSP are expected to boost spending and growth. Investment prospects remain strong as reforms continue, with new opportunities, especially in agriculture, set to be announced.
Global lenders remain optimistic: the ADB forecasts 5% GDP growth, while the World Bank and IMF project 5.1% growth in 2025, outperforming advanced economies and ranking the Philippines among the fastest-growing in ASEAN.
By 2026, the IMF sees the Philippines tied with Vietnam as the region’s fastest-growing economy.IMT
