National Economic Development Authority (NEDA) Secretary Arsenio Balisacan said that the ongoing geopolitical tension in the West Philippine Sea (WPS) could pose a significant threat to the country's economic growth.

During the Malacañang press briefing, Balisacan stated that they are not only considering the geopolitical tension in the West Philippine Sea but also other contributing threats to the growth of the Philippine economy.

"Indeed, they were. That's why, as I mentioned, all of those risks we considered when examining the prospects for our economy in the medium term," Balisacan said.

Despite acknowledging the existence of threats posed by such tensions, Balisacan remained optimistic about the Philippines' ability to navigate through these challenges.

"Despite that, we believe that the growth trajectory should not be adversely affected. We have to adjust to these global geopolitical tensions – that's what every economy is doing, and I don't think we are exempt from that," Balisacan said.

The Philippines has long been asserting its territorial sovereignty over the West Philippine Sea based on international law and arbitral ruling under the United Nations Convention on the Law of the Sea (UNCLOS).

China is opposing this as it unilaterally claims the whole South China Sea, which includes the West Philippine Sea.