Philippines poverty rate hits record low of 9.7% in 2025

The Philippines' poverty incidence fell to a record low of 9.7 percent in 2025, according to the Philippine Statistics Authority. This milestone marks the first time the rate has dropped to single digits, lifting approximately 6.5 million Filipinos out of poverty compared to 2023 levels.

Economic Planning Secretary Arsenio Balisacan stated that the achievement puts the government three years ahead of its target under the Philippine Development Plan. The decline is attributed to nominal incomes increasing by about 22 percent between 2023 and 2025, outpacing a cumulative inflation rate of 5 percent.

Despite this progress, economic vulnerabilities remain. The World Bank estimates that roughly 28 percent of the population lives just above the poverty line and remains at risk of falling back into poverty due to economic shocks. Experts suggest that long-term resilience will require sustained focus on inflation control, social protection, health, education, and manufacturing development.