Due to robust employment and spending by households and the government, the economy could grow by 6 percent this year and 6.1 percent next year.

“The Philippines remains a bright spot in the Southeast Asian region, with robust private consumption and sustained investments, particularly on infrastructure, continuing to fuel growth,” ADB country director for the Philippines Pavit Ramachandran said.

He said growth drivers include infrastructure projects in railways, telecommunications, and renewable energy and conditional cash transfers to the poorest in the country, which help raise productive citizens. Ramachandran added that the government's upskilling programs will help Filipinos seize opportunities for emerging jobs.

However, he said developments in import tariffs under the Trump administration might affect investors' sentiments and decisions.

Due to geopolitical and trade risks, he expects local inflation to average 3 percent this year and in 2026.