PH moves up in 2025 global competitiveness index

The Philippines moved up one notch in the 2025 edition of the World Competitiveness Ranking by the International Institute for Management Development (IMD), reflecting continued improvements in economic performance despite global headwinds.

In its latest report, Switzerland-based IMD ranked the Philippines 51st out of 69 economies, an improvement from 52nd out of 67 economies in 2024. The slight climb reflects positive momentum amid geopolitical challenges and global economic uncertainty.

The rise was largely driven by a strong showing in economic performance, where the Philippines improved from 40th to 33rd place. The country posted gains across sub-categories such as domestic economy, employment, prices, and international trade.

According to the Asian Institute of Management’s Rizalino S. Navarro Policy Center for Competitiveness, IMD’s local partner, this progress underscores the resilience of the Philippine economy.

“Amid global uncertainties, the Philippines continues to chart an upward course in competitiveness,” the center said in a statement.

Meanwhile, in infrastructure, the country moved up from 61st to 60th place, boosted by recent improvements in basic infrastructure and technology readiness.

While the Philippines remains 13th out of 14 Asia-Pacific economies in the rankings and last among ASEAN peers, the report still marks a step forward, with key gains laying the foundation for long-term competitiveness.

In terms of government efficiency, the Philippines ranked 49th, with modest improvements in business legislation offset by declines in tax policy and institutional framework. For business efficiency, the country landed at 46th, as improvements in management practices and productivity were balanced by challenges in labor market performance.

The IMD World Competitiveness Ranking uses 262 indicators—ranging from hard data to executive perception surveys—to assess a country’s ability to foster an environment that sustains long-term value creation.

Topping the 2025 ranking were Switzerland, Singapore, and Hong Kong, while the Philippines’ improved standing signals progress in its drive toward a more competitive and dynamic economy.