A 5-percent growth for the Philippine economy for 2025 remains a respectable growth vis-a vis its neighboring countries amidst the challenges that were beyond the control of the government, an economic official said Monday.

Growth as of the third quarter of this year averaged at 5 percent, with the quarterly growth since the first quarter at 5.4 percent, 5.5 percent, and 4 percent, respectively.

For the last quarter, a 7-percent growth is needed for the economy to achieve the 5.5 percent to 6.5 percent full year growth target, Department of Economy, Planning, and Development (DEPDev) Secretary Arsenio Balisacan said in a briefing Monday.

Balisacan, however, said this is a challenge given the impact of natural disasters and the investigation on questionable flood control projects, among others.

He admitted that while the ongoing investigation on the anomalous infrastructure projects have somewhat affected economic growth, domestic fundamentals remain strong, thus the need to sustain achievements from the past to ensure the gains that they have achieved will be protected.

Balisacan said the rate of price increases remains manageable as prices of rice and other basic commodities have stabilized, the labor market remains robust, the banking system remains healthy, the local currency remains broadly stable against the U.S. dollar, and the fiscal deficit has narrowed to around 5 percent of domestic output.

“Only by keeping our growth momentum through steady and sound economic policies and steadfast commitment to uplift the lives of ordinary Filipinos can we earn and maintain our people’s trust in government,” he said.

Balisacan said what the government will focus on moving forward are social protection programs that will help people affected by recent disasters to regain their footing, which in turn boost economic growth and other programs that will help boost the economy.

He said the inter-agency Development Budget Coordination Committee (DBCC) will have a meeting on Dec. 9 to review latest developments and its impact on the government’s economic targets, among others.

“What we want to ensure (is) that the projects, particularly those projects that are very supportive of the economy and social protection, particularly projects that involve recovery from those disasters, typhoons, would have to move quickly,” he said.

“With strong macroeconomic fundamentals, coupled with structural reforms underway, we are laying the groundwork for an economy where investments flourish, and progress is felt by all Filipinos. Maintaining this trajectory requires credible institutions, transparent governance, and policy environments that foster public trust—because trust is not just an outcome of development; it is a precondition for it.” (PNA)