The Philippine economy faces risks from political instability and worsening natural disasters, which could hinder growth amid ongoing inflation and global uncertainties, a study by the Philippine Institute for Development Studies (PIDS) warned.
Political uncertainties may cause policy delays and lower investor confidence, while corruption and bureaucratic inefficiencies also deter investments.
The report highlighted the country’s vulnerability to typhoons, floods, and earthquakes, with climate change likely to worsen these threats, impacting agriculture and infrastructure.
External risks like rising oil prices and weaker global demand may further slow economic progress.
PIDS urged coordinated efforts from government, businesses, and individuals to build resilience through sound policies, climate adaptation, and risk management to sustain growth and reach upper-middle-income status.
Source: PhilNews24 | October 19, 2025
PHILIPPINE ECONOMY FACES RISKS FROM POLITICAL UNREST AND NATURAL DISASTERS
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