Fitch affirms PH 'BBB' rating but maintains negative outlook

Fitch Ratings affirmed the Philippines' 'BBB' investment grade rating but maintained a negative outlook due to uncertainties about medium-term growth prospects.

The negative outlook indicates potential for a downgrade within 12 to 18 months, reflecting concerns over government revenue mobilization and high debt-to-GDP ratios.

Despite strong external buffers, Fitch noted lagging per capita income and governance indicators as weaknesses.

Fitch projects the Philippine economy to grow by 6.9% this year and 7% next year, higher than last year's 5.6% growth.