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Despite economic gains, 58.7% of Filipinos remain poverty-vulnerable due to shocks and inequality, with upper-middle-income status delayed to 2026.
A new study by the Philippine Institute for Development Studies finds that 58.7% of Filipinos remain vulnerable to poverty despite economic progress, with vulnerability driven by shocks, pandemic fallout, and rural-urban disparities.
While poverty dropped to 15.5% in 2023 and extreme poverty to 5.3%, the country narrowly missed the World Bank’s $4,496 GNI per capita threshold for upper-middle-income status in 2025, recording $4,470.
Officials hope to achieve the status in 2026, but private economists project slower growth, below the government’s 5.5–6.5% target, raising doubts.
The PIDS urges a shift to preventive social protection systems to strengthen household resilience and curb downward mobility.
A pesar de las ganancias económicas, el 58.7% de los filipinos siguen siendo vulnerables a la pobreza debido a los shocks y la desigualdad, con el estatus de ingresos medios superiores retrasado hasta 2026.