With less than three years left in office, President Ferdinand “Bongbong” Marcos Jr. is expected to deliver a State of the Nation Address (SoNA) that will outline his legislative priorities for the second half of his term. His address on 28 July comes as the administration seeks to sustain economic growth while addressing fiscal gaps, rising social pressures, and even the worsening traffic congestion in Metro Manila.

The Department of Finance, led by Secretary Ralph Recto, signaled that the administration will avoid imposing new taxes that burden consumers. Instead, the focus is on completing the remaining packages of the Comprehensive Tax Reform Program, particularly the Passive Income and Financial Intermediaries Taxation Act (PIFITA). The bill aims to rationalize tax rates on various financial instruments, with Recto indicating that a refined version could raise P300 billion over four years — a critical boost as the government tries to cut the fiscal deficit without dampening consumption.

There is also growing momentum for updating the Insurance Code of the Philippines, particularly in response to the alarming rise in road accidents and third-party liability claims. The Insurance Commission already increased the mandatory minimum coverage in 2024, but legislators are considering further amendments. These may include raising liability ceilings, streamlining claims processes, and tightening enforcement of motor vehicle insurance compliance. Such reforms would provide greater protection for accident victims while reinforcing the financial soundness of the insurance sector.

Another pressing issue likely to make its way into the President’s legislative agenda is the regulation of online gambling. The rise of online gaming platforms has raised concerns over financial crimes, tax leakages and social costs. In the past few months, there has been heightened visibility of these online gaming sites, especially in advertisements, billboards, and social media. There is concern that these gambling sites are targeting those who are on the lower side of the social scale, causing unwanted loss of hard-earned income.

Both legislators and the economic team have floated proposals for stricter oversight, including the imposition of higher licensing fees, better monitoring mechanisms, and even the potential outright ban of illegal platforms. Marcos may endorse a regulatory framework that balances revenue generation with safeguards against money laundering and other criminal activities linked to the sector.

Meanwhile, the worsening traffic and urban congestion in Metro Manila remain an ever-present frustration for commuters and businesses, especially now with the rainy season. The President is expected to renew his call for decentralization, encouraging investments in provincial cities through fiscal incentives, infrastructure development, and enhanced regional connectivity. Public-private partnerships will play a critical role, with Japanese-funded projects such as the Pasig-Marikina flood control works and the Davao bypass road serving as early examples.

This SoNA presents President Marcos with an opportunity to chart a path that marries fiscal responsibility with social equity. By advancing reforms in taxation, insurance, gambling regulation, and transportation infrastructure, the President can frame the latter half of his presidency as a period of meaningful structural change.