FX.co ★ Philippines GDP Growth Slowest in Over 4 Years

In the third quarter of 2025, the Philippines' GDP increased by 4.4% compared to the same period last year. This growth fell short of the anticipated 5.2% rise and marked a decline from the 5.5% expansion observed in the previous quarter. It was the slowest growth since the contraction experienced in the first quarter of 2021, attributed largely to an infrastructure scandal that has reduced public expenditure and a series of typhoons that have hampered economic activities. Government spending saw a significant deceleration (rising 5.8% compared to 8.7% in the previous quarter), as did household consumption (4.1% compared to 5.3%), while fixed investments showed minimal growth (0.1% versus 3.1%). Nevertheless, net trade had a positive impact on GDP, with exports growing by 7% compared to 4.7%, while import growth slowed to 2.6% from 3.5%. From a production perspective, all major sectors, particularly agriculture, forestry, and fishing (2.8% compared to 7%), industry (0.7% versus 2.1%), and services (5.5% versus 7%) experienced weakened activity. These figures fell short of the government's growth target of between 5.5% and 6.5%.