Philippines eyes upper-middle income status by 2025

The National Economic and Development Authority (NEDA) affirms the Philippines' trajectory towards achieving upper-middle income status by 2025, despite revising its economic growth targets for the current year.

NEDA Secretary Arsenio Balisacan confirmed this during a press conference in Malacañang, noting that the adjusted GDP growth goal of six to seven percent for the year still aligns with the country's aspirations for upper-middle income status. This classification entails a Gross National Income (GNI) per capita within the range of $4,466 to $13,845.

Currently categorized as a lower-middle income country by the World Bank with a GNI per capita of $3,950, the Philippines aims to surpass the $4,500 threshold indicative of upper-middle income status. The World Bank previously projected the country's attainment of this milestone by 2025 or 2026.

Balisacan emphasized that the revised growth target, while lower than initially anticipated, remains conducive to the country's advancement. He highlighted the resilience of the Philippine economy amidst global challenges, expressing confidence in its ability to sustain growth momentum and enhance economic competitiveness.

In addition to economic targets, the government's agenda includes addressing social issues such as poverty reduction. Balisacan outlined plans to diminish poverty incidence to single-digit figures by 2028, down from 18.1 percent in 2021. Projections from the World Bank's Macro Poverty Outlook for the Philippines suggest a decline in poverty rates, with expectations of reaching single-digit levels by 2026.

Achieving upper-middle income status signifies more than just economic progress; it reflects the nation's commitment to inclusive growth and improved quality of life for its citizens. As the Philippines charts its course towards this milestone, stakeholders across various sectors remain dedicated to fostering sustainable development and ensuring equitable opportunities for all.