Government procedures are in place to help resuscitate the Philippine economy, said Department of Economy, Planning and Development (DEPDev) Secretary Arsenio Balisacan. 

In a press briefing on Friday, 7 November, Balisacan said the government has measures ready to bolster economic activity and improve investor sentiment following the weaker-than-expected gross domestic product (GDP) growth for the third quarter of 2025.

Priority efforts

The DEPDev chief said priority efforts include fast-tracking the rollout of social and financial aid for disaster-hit facilities and communities affected by typhoon “Tino.” 

He also highlighted ongoing efforts to pursue free trade agreements with the European Union, Chile, the United Arab Emirates and Canada, alongside full implementation of the Regional Comprehensive Economic Partnership (RCEP), as key steps to strengthen economic recovery.

Balisacan attributed the slower growth to government directives addressing the “floodgate” corruption scandal, along with the series of natural disasters that struck the country during the third quarter. 

He called for legislative action and operational reforms to curb corruption and ensure more efficient government financial management.

Temporary setbacks

“While we may not be able to fully recover the economic losses within the year, we believe these are temporary setbacks. With sustained interventions and improved resilience, we expect the economy to rebound in 2026,” he said.

The Philippine Statistics Authority reported a GDP growth of 4.0 percent for the third quarter, a figure that further dampened an already fragile investor outlook and contributed to the Philippine Stock Exchange Index slipping to 5,739.37 — its second lowest close since 2022. 

Optimistic view 

Despite this, Balisacan maintained an optimistic view for the months ahead, citing strong macroeconomic fundamentals, steady inflation, and the usual fourth-quarter uptick driven by domestic spending and overseas Filipino worker remittances.

He noted that the economy needs to grow between 5 percent and 6.8 percent in the fourth quarter to meet the Bangko Sentral ng Pilipinas’ full-year target of 5.5 percent to 6.5 percent. 

Balisacan acknowledged the challenge, especially with the entry of super typhoon “Uwan” into the Philippine Area of Responsibility on Saturday morning.

“But my own take is that if we can get at least to the fives, that would be a very good achievement given the shocks that we’ve not anticipated and that had happened,” he said, adding that with continued interventions and stronger fiscal discipline, the economy “should be able to come [back] stronger.”