Business groups believe the economy will remain resilient, as they affirmed their long-term confidence despite political uncertainty, according to a statement issued jointly by six influential business groups.
The Philippine business community remains strongly committed to supporting a competitive, resilient, and inclusive economy, according to the statement issued amid the massive three-day anti-corruption rally.
“While the current political turmoil raises understandable concerns, we stress that the country’s long-term fundamentals remain strong, anchored by a well-regulated financial system, a stable banking sector, and companies that continue to invest in and believe in the Philippines,” it added.
The business sector is being rattled by the slide in the stock market index and the peso’s weakness to record lows lately as a result of the corruption scandal that has reached the government leadership, including President Ferdinand Marcos Jr.
The business groups pointed to institutions that safeguard markets, that “continue to operate independently and rigorously.”
Institutions act as buffers
“The Bangko Sentral ng Pilipinas and the Securities and Exchange Commission uphold regulatory frameworks aligned with global standards, ensuring market integrity, prudent risk management, and strong investor protections,” according to the trade groups.
The Philippines continues to meet benchmarks on capital adequacy, disclosure requirements, and corporate governance, the statement read.
It cited corporate earnings that reflect the economy’s underlying strength.
“Even during periods of global instability, from the Global Financial Crisis to the Covid-19 pandemic, publicly-listed companies demonstrated resilience, with growing revenues, stable margins, and rebounding strongly as conditions normalized.”
Among the signatories of the manifesto are the Financial Executives Institute of the Philippines, the Institute of Corporate Directors, the Makati Business Club, the Management Association of the Philippines and the Philippine Chamber of Commerce and Industry.
Investment remains strong
Equally important, private-sector investment has stayed strong, as over the last 10 years, gross fixed capital formation in the country has consistently ranged between 22 percent and 27 percent of gross domestic product, with total investment surpassing P6 trillion in 2024.
“This ongoing level of capital spending, mainly driven by business growth, clearly indicates that Philippine companies continue to build capacity, expand operations, and invest in the country’s long-term prospects,” the groups further reiterated.
“We also recognize that investor confidence is influenced not only by economic fundamentals but also by governance. We therefore urge public institutions to ensure policy stability, uphold the rule of law, and address corruption quickly and decisively,” the statement stressed.