Finance Secretary Frederick D. Go has welcomed Moody’s optimistic assessment of the Philippines’ growth potential as a result of the structural reforms that have been implemented by the Marcos Jr. administration.
The assessment report released on February 12, 2026 highlighted the country’s strong macroeconomic fundamentals, sound regulatory framework, and resilient financial system.
“Moody’s assessment affirms that the Philippines is on the right track. We will continue to uphold fiscal discipline, accelerate strategic investments, and fast track reforms toward sustainable growth,” Secretary Go said in a news release dated Feb. 17.
According to Moody’s assessment, the Philippines’ Baa2 rating is supported by strong access to domestic and international funding markets, a stable banking system, and ample foreign currency reserves to cushion the impact of global market volatility.
Moreover, Moody’s is confident that the Philippines will maintain resilient economic growth compared to its regional and rating peers.
Growth momentum will be fueled by strong household consumption, overseas workers’ remittances, accelerated public investment, and ongoing structural reforms.
Moody’s also noted that the government’s fiscal consolidation remains on track, gradually reducing fiscal deficit from an estimated 5.6% of GDP in 2025 to 4.3% by 2028, supported by reforms to improve revenue collection and spending efficiency.
Despite external challenges, the government’s policy and fiscal management remain relatively strong.
To protect the country’s credit standing, Moody’s recommends sustaining reforms that have strengthened the economy, noting that a steady flow of public and private investments could also help growth exceed expectations.
Under the leadership of Secretary Go, the Department of Finance (DOF) will continue to advance fiscal reforms and strategic policy measures to achieve a credit rating upgrade for the Philippines.