The country’s economic managers appear to be undeterred by the current political noise, as they also welcomed the improved credit ratings from S&P Global Ratings (S&P).
The Office of the Special Assistant to the President for Investment and Economic Affairs (OSAPIEA), Departments of Finance and of Budget and Management, National Economic and Development Authority stressed the Philippines is determined to achieve an A rating and the administration is ensuring that the transformation of the economy will not be set back by political challenges.
S&P recently raised the Philippines’ credit rating outlook to “positive,” indicating a possible upgrade to an “A-” rating within 24 months.
The economic managers noted the economy has proven time and again its resilience against both domestic and external challenges, whether arising from natural disasters, geopolitical risks, election cycle tensions, global or regional financial crises, supply chain gaps abroad, cybercriminal activities or other crises.
“Hence, it is business as usual for the Philippine government,” they said.
“All branches of government are focused on fulfilling their various functions in a whole-of-government approach towards our Agenda for Prosperity,” they added.
Secretary Frederick Go of the OSAPIEA said the S&P upgrade reflects the country’s effective policymaking, ongoing fiscal reforms, improved infrastructure and solid external position as key factors to the improved outlook and credit rating affirmation.
“The positive shift is significant as it allows the government to secure loans at lower interest rates, enabling increased investment in infrastructure and public services. It also benefits businesses by lowering borrowing costs, helping fund expansion and job creation,” he said.
Meanwhile, in a televised interview, DOF undersecretary Domini Velasquez said that foreign investors are “more insulated” from the country’s political noise.
“Of course, they are (updated through the media), but I think it does not matter that much because we’ve proven ourselves that we’re beyond this political noise, we’re able to pass reforms,” Velasquez said.
