Interior and Local Government Secretary Jonvic Remulla underscored the decisive role of local governments in breaking the country’s cycle of poverty and driving progress to every community.

Speaking at the launch of the Philippines Economic Update Report titled Growth Corridors: Pathways Out of Poverty, Remulla said real development begins at the local level, where leaders confront daily the realities that shape the lives of ordinary Filipinos.

“We are a rich country pretending to be poor. It just takes a few leaders to unlock its potential. To point it in the right direction. As a nation, we can move forward,” the Secretary said.

He emphasized that local government units remain the country’s most consistent frontliners of service, responding to citizens every day, carrying out national priorities, and directly answering to the people they serve.

“This is what local governments do. If you think national government is hard, local government is even harder. People go to you with their problems every day. When a new initiative is announced, they watch closely if it is real. In local government, it is nearly impossible to have a ghost project. You cannot walk into a barangay and claim a project that does not exist. People will not vote for you. And it happens, it happens often,” Remulla said.

He described LGUs as the country’s “sole remaining unblemished and still functioning” institutions, trusted by communities to spend public funds responsibly and deliver results that can be seen and felt. He added that this direction is also set by President Ferdinand Marcos Jr., who believes strong and accountable local governance is essential in fighting corruption and sustaining national growth.

To illustrate what strong local leadership can achieve, Remulla cited Cavite’s transformation into an economic powerhouse with poverty incidence now in single digits.

“With a population of five million, Cavite has gone from what it was 40 years ago to becoming number one in growth and development. Finally, we have a chance. The Philippines has a chance,” he said.

The PEU report, published twice a year by the World Bank Group, highlights economic trends and provides growth forecasts for countries. This year’s edition reinforces the importance of urbanization and strong local service delivery in shaping the nation’s economic trajectory.

The event was attended by World Bank Division Director for the Philippines Zafer Mustafaoğlu, World Bank Senior Country Economist Jaffar Al-Rikabi, and DTI Undersecretary Mary Jean Pacheco, among others.

This year also marks eight decades of partnership between the Philippines and the World Bank, a collaboration focused on reducing poverty, expanding job opportunities, and building a more inclusive economy for all Filipinos.