Government reforms to strengthen the country’s economic fundamentals helped the Philippines achieve its upper-middle income country (UMIC) status, Finance Secretary Frederick Go said, noting that the government will continue its efforts to improve Filipinos’ lives.

“The Philippines’ transition to an upper middle-income country is an affirmation of the reforms and policies that the government has consistently pursued to strengthen our economic fundamentals and create more opportunities for our people,” Go said in a statement Thursday.

“Now, we must continue to build on these gains so that the benefits of economic development reach more Filipinos,” he added.

In its latest income assessment released late Wednesday, the World Bank said that the Philippines’ gross national income (GNI) per capita was at USD4,850, exceeding the USD4,636 (UMIC) threshold.

The World Bank defines UMIC economies as those with GNI per capita ranging between USD4,636 and USD14,375 for fiscal year 2027.

GNI per capita measures the economic output per citizen, encompassing both domestic and international earnings.

A higher GNI per capita is one indication of greater economic prosperity and a higher standard of living.

In a separate statement, Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona Jr. said the Philippines’ move to upper middle-income status is an important milestone that reflects years of steady economic progress.

“It signals that the country’s productive capacity and incomes have improved over time,” he said.

Remolona said the move underscores the importance of the efforts to preserve macroeconomic stability and sustain structural reforms by the National Government.

“On the part of the BSP, it underlines the importance of managing inflation to encourage investment and protect the purchasing power of Filipino households; maintaining adequate international reserves to ensure confidence; ensuring banks are solid and able to support economic growth; and payment systems are modernized to provide businesses and consumers fast and safe transfers,” Remolona said. (PNA)