The 9th Joint Economic Briefing, held at Dusit Thani, Makati, on January 16, 2025, spotlighted the resilience and dynamism of the Philippine economy. Hosted in collaboration with nine esteemed chambers of commerce, the event offered an in-depth analysis of the country’s economic trajectory, trade prospects, and investment opportunities as it approaches 2025. Distinguished speakers from the European Union (EU), the Philippine government, and the private sector provided insights into macroeconomic trends and strategic reforms designed to foster growth and competitiveness.
Strengthening Economic Foundations
In his opening remarks, H.E. Ambassador Massimo Santoro, representing the EU to the Philippines, emphasized the interconnection between global challenges and regional opportunities. Reflecting on 2024, he noted the geopolitical tensions in Ukraine and the Middle East and their ripple effects on European economic and security policies. The EU, under President Ursula von der Leyen, has expanded its scope to include defense and trade within its economic security strategy. Central to this strategy are diversified trade agreements, including the resumption of the EU-Philippines Free Trade Agreement, slated for February 2025.
Ambassador Santoro highlighted the Philippines’ strategic importance as a trade partner in the Indo-Pacific. Currently the EU’s fourth-largest trading partner in the region, the Philippines accounts for 11% of the EU’s exports to the area and 6% of its imports. The proposed FTA aims to deepen bilateral ties by enhancing trade in goods and services, bolstering economic resilience, and driving mutual prosperity.
Policy Reforms Driving Investment
Hon. Ma. Angela Escalona Ignacio, Undersecretary from the Office of the President, highlighted the government’s strides in creating an investor-friendly environment. With GDP growth at 5.8% in 2024 and projected at 6.1% in 2025, the Philippines remains a standout in Southeast Asia. Key policy initiatives include the Create More Act and the establishment of green lanes to expedite strategic investments. Additionally, the national digital ID system has significantly improved public service efficiency, benefiting both citizens and businesses.
The administration’s Build-Better-More initiative continues to transform the country’s infrastructure landscape, with 186 projects valued at ₱9.6 trillion. Priority sectors such as renewable energy, tourism, and telecommunications have been liberalized, signaling the government’s commitment to attracting foreign direct investments (FDIs).
Macroeconomic Trends and Future Prospects
Dante Tinga Jr., Senior Vice President of BDO Unibank, provided an overview of the macroeconomic outlook for 2025. He highlighted the resilience of domestic demand, buoyed by strong remittances and a burgeoning middle class. Inflation, projected to stay within the central bank’s target range, provides a conducive environment for reduced interest rates, further stimulating economic activity.
Despite its strengths, Dante acknowledged challenges such as fiscal deficits, exchange rate volatility, and global commodity price shocks. As a net importer of commodities, the Philippines remains vulnerable to external pressures. The administration’s proactive monitoring of these risks underscores its commitment to economic stability.
He also spotlighted emerging investment opportunities. Food and energy security are critical focus areas, alongside the development of economic corridors and advancements in cybersecurity. These initiatives align with global trends, ensuring the Philippines remains competitive on the world stage.
The Role of Public-Private Partnerships
A recurring theme during the briefing was the transformative potential of Public-Private Partnerships (PPPs). These collaborations are pivotal in sectors like infrastructure, logistics, manufacturing, and renewable energy. By leveraging private sector expertise and capital, PPPs enhance project efficiency and contribute to sustainable economic growth.
One notable example is the government’s infrastructure pipeline, which includes projects addressing urban congestion, improving connectivity, and enhancing disaster resilience. These initiatives not only drive economic activity but also elevate the quality of life for Filipinos.
Inviting Global Collaboration
As the briefing concluded, the speakers echoed a unified call to action. Ambassador Santoro reaffirmed the EU’s commitment to strengthening its partnership with the Philippines, emphasizing mutual benefits in trade and investment. Undersecretary Ignacio extended an open invitation to global investors, urging them to explore the Philippines’ vibrant economy and untapped potential. Dante Tinga highlighted the private sector’s pivotal role in sustaining economic momentum and addressing key challenges.
The Philippine economy, characterized by robust domestic consumption, stands at a critical juncture. Strategic reforms, coupled with international collaborations, provide a solid foundation for long-term growth and resilience. The 9th Joint Economic Briefing highlighted the importance of seizing these opportunities to propel the nation toward a prosperous future.
A Promising Path Ahead
The Philippines is charting a promising path for 2025 and beyond. By fostering a business-friendly environment, implementing forward-looking policies, and embracing global partnerships, the country is well-positioned to achieve sustained economic progress. Events like the 9th Joint Economic Briefing serve as vital platforms for dialogue, enabling stakeholders to align strategies and drive collective success. As the nation continues its journey, it remains an attractive destination for investors eager to contribute to its evolving narrative.
Seize Investment Opportunities in the Philippines
The 9th Joint Economic Briefing highlighted the Philippines’ strong economic outlook and investment potential. With strategic policy reforms, expanding trade agreements, and a thriving business environment, now is the perfect time to explore opportunities in this dynamic market.
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