Philippine economy seen growing 5.3% in Q3, missing state target

The Philippine economy likely grew by 5.3% in the third quarter of 2025, a slowdown from the 5.5% expansion in the second quarter, according to a median forecast of 18 economists and analysts.

This anticipated growth rate, if realized, would bring the average GDP growth for the year to 5.4%, falling short of the government's full-year target of 5.5%-6.5%.

Factors contributing to the potential deceleration include soft government spending, disruptions from typhoons, and ongoing corruption scandals, particularly concerning flood control and infrastructure projects.

Reduced public infrastructure spending, which represents a significant portion of GDP, may have directly impacted economic growth.

Despite these headwinds, resilient household spending supported by the central bank's rate cuts may have helped anchor economic activity.

The Philippine Statistics Authority is scheduled to release the official third-quarter GDP data on November 7.