Philippines growth outlook dimsIMF lowers 2025-2027 forecastsMANILA, Philippines — The International Monetary Fund (IMF) lowered its economic growth projections for the Philippines, citing weaker near-term momentum, lingering spillovers and slower capital accumulation, based on its latest World Economic Outlook update. “The downward revision in GDP growth projections for 2026 and 2027 reflects the carryover impact from a downward revision in the IMF’s growth forecast for 2025 and a slower pace of capital accumulation,” it said. The multilateral lender explained that the weaker outlook in the outer years is closely tied to developments last year, with growth losing more momentum than previously anticipated. The Philippine economy grew by just four percent in the third quarter of 2025, slower than the previous quarter’s 5.5 percent expansion and the 5.2 growth posted in the third quarter of 2024. On the upside, accelerated implementation of structural and governance reforms can boost foreign direct investments, increase fiscal multipliers and boost potential growth,” it added.

Source: Philippine Star January 20, 2026 08:33 UTC