Economy of the Philippines

Economy of Philippines

Metro Manila, the economic center of the Philippines
Currency	Philippine peso (Filipino: piso; sign: ₱; code: PHP)
Fiscal year	Calendar year
Trade organizations	ADB, AIIB, AFTA, APEC, ASEAN, EAS, G-24, RCEP, WTO and others
Country group	Developing/Emerging[1] Lower-middle income economy[2] Newly industrialized country
Statistics
Population	114,120,000 (2025)[3]
GDP	$497.49 billion (nominal; 2025 est.)[4] $1.479 trillion (PPP; 2025 est.)[4]
GDP rank	32nd (nominal; 2025 est.) 30th (PPP; 2025 est.)
GDP growth	5.7% (2024)[1] 5.5% (2025p)[1] 5.8% (2026p)[1]
GDP per capita	$4,350 (nominal; 2025 est.)[4] $12,935 (PPP; 2025 est.)[4]
GDP per capita rank	124th (nominal; 2025 est.) 114th (PPP; 2025 est.)
GDP by sector	Agriculture: 8.0% Industry: 29.1% Services: 62.9% (2024)[5]
GDP by component	Household consumption 72.5% Government consumption 14.5% Gross capital formation 23.6% Exports of goods and services 26.9% Less: Imports of goods and services 37.5% Other source 12.6% (2024)[5]
Inflation (CPI)	1.4% (April 2025)[6]
Population below poverty line	15.5% (2023)[7] 18.0% on less than $3.65/day (2021)[8]
Gini coefficient	40.7 medium (2023)[9]
Human Development Index	0.720 high (2023, 117th)[9] 0.597 medium (2023, IHDI)[9]
Corruption Perceptions Index	33 out of 100 points (2024, 114th rank)
Labor force	48.02 million 62.9% participation rate (March 2025 est.)[10]
Labor force by occupation	Agriculture: 20.1% Industry: 17.9% Services: 62.0% (March 2025 est.)[10]
Unemployment	3.9% 1.93 million unemployed (March 2025 est.)[10]
Average gross salary	₱18,423 / US$338 monthly (2022)[11]
Gross savings	₱6.60 trillion (2023)[12]
Main industries	Electronics assembly aerospace/parts agribusiness automotive/parts IT and business process outsourcing food processing furnitures pharmaceuticals petrochemicals metal casting and mining shipbuilding textile tourism[13][14]
External
Exports	$116.52 billion (2023)[15][5][note 1]
Export goods	Electronic products 53.4% Agricultural products 10.6% Manufactured goods 6.4% Mineral products 4.1% Machinery and Transport equipment 3.5% Ignition wirings 3.1% Other 18.9% (2024)[16][17]
Main export partners	United States 16.6%  ASEAN 15.0%  Japan 14.1%  Hong Kong 13.1%  China 12.9%  European Union 11.0% Other 16.3% (2024)[17]
Imports	$159.29 billion (2022)[15][5][note 1]
Import goods	Electronic products 21.5% Agricultural products 15.3% Mineral products 14.9% Transport equipment 8.9% Industrial machinery 4.5% Iron and steel 4.1% Other 30.8% (2024)[16][17]
Main import partners	ASEAN 28.2%  China 25.7%  Japan 7.9%  South Korea 7.5%  United States 6.4%  European Union 5.8% Other 18.5% (2024)[17]
FDI stock	$118.98 billion (Inward, 2023)[18] $68.27 billion (Outward, 2023)[18]
Current account	-$17.51 billion -3.8% of GDP (2024)[19][20]
Gross external debt	$137.63 billion 29.8% of GDP (2024p)[5]
Public finances
Government debt	₱16.05 trillion ($280.15 billion) 60.7% of GDP (2024)[5]
Foreign reserves	$106.67 billion (March 2025)[19][21]
Budget balance	-₱1.51 trillion (-$26.28 billion) −5.7% of GDP (2024)[5]
Revenues	₱4.42 trillion ($77.13 billion) 16.7% of GDP (2024)[5]
Expenses	₱5.92 trillion ($103.42 billion) 22.4% of GDP (2024)[5]
Economic aid	recipient: $1.67 billion (2011)[22]
Credit rating	Japan Credit Rating Agency:[23] A− (Domestic/Foreign) A− (Bonds) Outlook: Stable Standard & Poor's:[24] BBB+ (Domestic/Foreign) BBB+ (T&C Assessment) Outlook: Positive Moody's:[25] Baa2 Outlook: Stable Fitch:[26] BBB (Domestic/Foreign) BBB+ (Country Ceiling) Outlook: Stable
All values, unless otherwise stated, are in US dollars.

The economy of the Philippines is an emerging market, and considered as a newly industrialized country in the Asia-Pacific region.^[27] In 2025, the Philippine economy is estimated to be at ₱28.50 trillion ($497.5 billion), making it the world's 32nd largest by nominal GDP and 9th largest in Asia according to the International Monetary Fund.

The Philippine economy is a service-oriented economy, with relatively more modest contributions from the manufacturing and agriculture sectors. It has experienced significant economic growth and transformation in the past, posting one of the highest GDP growth rates in Asia. With an average annual growth rate of around 6 percent since 2010, the country has emerged as one of the fastest-growing economies in the world.^[28] The Philippines is a founding member of the United Nations, Association of Southeast Asian Nations, Asia-Pacific Economic Cooperation, East Asia Summit and the World Trade Organization.^[29] The Asian Development Bank (ADB) is headquartered in the Ortigas Center located in the city of Mandaluyong, Metro Manila.

The country's primary exports include semiconductors and electronic products, transport equipment, garments, chemical products, copper, nickel, abaca, coconut oil, and fruits. Its major trading partners include Japan, China, the United States, Singapore, South Korea, the Netherlands, Hong Kong, Germany, Taiwan, and Thailand.

In 2017, the Philippine economy was projected to become the 9th largest in Asia and 19th largest in the world by 2050.^[30] By 2035, the Filipino economy is predicted to be the 22nd largest in the world.^[31]

The Philippines has been named as one of the Tiger Cub Economies, alongside Indonesia, Malaysia, Vietnam, and Thailand. However, major problems remain, mainly related to alleviating the wide income and growth disparities between the country's different regions and socioeconomic classes, reducing corruption, and investing in the infrastructure necessary to ensure future growth.

In 2024, the World Economic Forum chief Børge Brende said that “there is a real opportunity for this country to become a $2-trillion economy.”^[32]

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