The Philippines is forecast to post GDP growth in 2025 at 5.6 percent, revised down from April’s 6.3 percent projection, according to the ASEAN+3 Regional Economic Outlook Update, July 2025→view source.
Key details:
- Its 2026 forecast stands at 5.5 percent, above the ASEAN average of 4.2 percent, reaffirming the country’s position as a regional growth leader.
- Inflation is expected to remain moderate, with the Consumer Price Index projected at 1.8 percent in 2025 and 3.2 percent in 2026.
In the ASEAN region, the Philippines stands out as the fastest-growing economy in 2025 with a projected GDP growth of 5.6 percent, just behind Vietnam’s revised 7 percent.
It is also slightly ahead of Indonesia (4.8 percent), Malaysia (4.2 percent), and Thailand (3 percent) which bringing up the rear.
Inflation in the Philippines remains moderate at 1.8 percent for 2025. The ASEAN average is 3 percent.
ASEAN+3: AMRO Growth and Inflation Projections, 2025–26
| GDP (Percent year-on-year) | CPI (Percent year-on-year) | |||||||
| 2025 | July Update | 2025 | July Update | |||||
| 2025f | 2026f | 2025f | 2026f | 2025f | 2026f | 2025f | 2026f | |
| ASEAN+3 | 4.2 | 4.1 | 3.8 | 3.6 | 1.7 | 1.7 | 0.9 | 1 |
| Plus-3 | 4.1 | 4 | 3.7 | 3.4 | 1.4 | 1.5 | 0.5 | 0.6 |
| China | 4.8 | 4.7 | 4.5 | 4.1 | 1.1 | 1.3 | 0 | 0.2 |
| Hong Kong, China | 2.4 | 2.3 | 2.1 | 1.9 | 2.2 | 2 | 1.8 | 1.6 |
| Japan | 1.3 | 1 | 0.7 | 0.6 | 2.5 | 2.1 | 2.9 | 2.1 |
| Korea | 1.6 | 1.9 | 0.7 | 1.6 | 1.9 | 1.8 | 2 | 1.9 |
| ASEAN | 4.7 | 4.7 | 4.4 | 4.2 | 3 | 2.9 | 2.4 | 2.7 |
| Brunei Darussalam | 2.6 | 2.6 | 1.7 | 2.3 | 0.6 | 0.4 | 0.2 | 0.3 |
| Cambodia | 5.8 | 6 | 5.2 | 4.7 | 2.9 | 2.5 | 2.5 | 2.3 |
| Indonesia | 5 | 5.1 | 4.8 | 4.7 | 2.2 | 2.7 | 1.5 | 1.9 |
| Lao PDR | 4.6 | 4.6 | 4.4 | 4.2 | 10.1 | 6.4 | 10.1 | 6.4 |
| Malaysia | 4.7 | 4.5 | 4.2 | 3.8 | 2.7 | 2.5 | 2 | 2.2 |
| Myanmar | 1 | 1 | –1.0 | 1.5 | 25 | 18 | 30 | 28 |
| The Philippines | 6.3 | 6.3 | 5.6 | 5.5 | 3.3 | 3.2 | 1.8 | 3.2 |
| Singapore | 2.7 | 2.4 | 2.3 | 1.6 | 1.8 | 1.8 | 1 | 0.8 |
| Thailand | 2.9 | 3 | 2.1 | 1.8 | 1.2 | 1.3 | 0.5 | 0.8 |
| Vietnam | 6.5 | 6.2 | 7 | 6.5 | 3.5 | 3 | 3.4 | 3 |
See also: How to Start a Business in the Philippines 2025: Foreign Ownership, Procedures & More