IMF raises Philippines' 2026 growth forecast to 5.9%, up from 5.5% in 2025

The International Monetary Fund (IMF) has maintained its 2025 growth forecast for the Philippines at 5.5 percent but revised upward its projection to 5.9 percent for 2026, slightly below the government's target range of 6-7 percent.

Despite global uncertainties and heightened tariffs on Philippine goods announced by US President Donald J. Trump, the IMF’s updated forecast remains within the Philippines' economic targets.

The IMF highlighted that the Philippine economy holds significant potential with a sizable demographic dividend and abundant natural resources, noting reforms to reduce infrastructure gaps, promote foreign direct investment, and diversify export markets.

Global growth is expected to reach three percent in 2025, up from earlier forecasts of 2.8 percent, supported by better financial conditions and a weaker dollar.

The IMF emphasized the need for credible fiscal policies, transparent trade frameworks, and continued structural reforms to sustain economic growth and restore confidence amid ongoing global uncertainties.