The Philippines is projected to fall short of its goal to reduce poverty to single-digit levels by 2028, according to a World Bank report released Thursday. Nearly 28% of Filipinos remain vulnerable to falling back into poverty due to economic shocks.
"As of this moment, we're not projecting poverty to fall to single-digit levels by 2028, based on what we've seen so far," said Liliana Sousa, senior economist at the World Bank, during a briefing.
The Washington-based lender said that under a business-as-usual scenario, the poverty rate would decline gradually to around 6% by 2040. However, if the government implements policies that accelerate economic growth and generate more and better jobs, poverty could fall to as low as 2.9% by 2040.
"Progress in the Philippines is real, but many families sit just above the poverty line, and a single shock can push them back," Sousa emphasized. She called for a two-track reform approach: faster income growth through better jobs for the poorest, alongside a stronger resilience framework that includes robust social protection, expanded insurance, and more effective local public spending.