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Not so long ago, the Philippines was promoted as Southeast Asia’s most resilient growth story. But as pre-2022 economies policies have been undermined, fundamentals are plunging. The latest GDP data shocked even cautious observers. The economy expanded by only 2.8% year-on-year in Q1 2026, far below expectations and dramatically below the 5–6% growth once considered normal for the country. Inflation has soared to above 7%. Fiscal deficits remain elevated. Public debt has climbed to the highest ratio in two decades. As I have warned since January, without a decisive change of course the Philippines risks losing its way. (Not-so-nice) signs…
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