The economy: BBM’s record vs. past presidents

The Philippine economy grew 2.1 percent in the third quarter of 2026, the slowest quarterly growth in output of goods and services (what you call the Gross Domestic Product) in 16 years. The 2.1 percent third quarter growth brings January-September 2026 GDP growth to 2.5 percent.

For the whole of 2026, economic or GDP growth will be 2.8 percent – the slowest in six years or since the negative 9.5 percent growth in 2020 because of COVID.

For the remaining years of the Ferdinand Marcos Jr. (BBM) presidency (up to June 30, 2028), economic growth will be sluggish. Food prices will remain elevated. Electricity or energy prices will remain elevated.

The next president, the successor to BBM, would also do badly on the economic front – especially if that president were Sara Duterte (assuming she is not convicted) and, for that matter, Leni Robredo, who for all practical purposes is a plain housewife – like the late Corazon Aquino.

GDP growth rates by president: housewife Cory Aquino, 3.86 percent; General FVR 3.76 percent; dropout Erap 2.3 percent; economist GMArroyo 4.55 percent; prince BS Aquino 6.25 percent and killer Digong Duterte 4.30 percent.

BBM has averaged 5.8 percent GDP growth in his first four years. The 2026 growth will be 2.8 percent and per ADB, 5.1 percent in 2027 and 5.5 percent in 2028. That means in his six years, average economic growth under BBM would be 4.8 percent – BETTER than all post-EDSA presidents except Noynoy Aquino’s 6.25 percent. Now, given the current domestic political crisis and geopolitical developments, the most severe in a century, to eke out a modest 4.8 percent GDP growth in six years is not at all bad.

I said economic growth in the coming years will be sluggish. Let me quote from the speech of Senate President Sherwin Gatchalian when he addressed the Federation of Philippine Industries, Oct. 29, 2026. According to Win, here is what‘s wrong with our economy, and I quote excerpts:

First, electricity costs continue to be a burden. The Department of Energy‘s August 2026 comparison of industrial electricity rates in selected ASEAN countries puts the Philippine rate at P10.03 per kilowatt hour, compared with P7.35 in Malaysia, P6.17 in Thailand and P3.62 in Indonesia. These are substantial differences in the costs of powering production.

Second, our manufacturers face expensive and sometimes unreliable logistics. An assessment by the Department of Trade and Industry covering 2017 showed that logistics costs as a share of total sales are also highest in our country – 27.2 percent compared to 21.4 percent in Indonesia and 16.3 percent in Vietnam and 11.1 percent in Thailand. Transport and the cost of holding inventory accounted for the largest portions of this burden.

Third, red tape and corruption. The World Bank‘s 2025 Business Ready report puts the time needed to complete registration for a new domestic company at 53 calendar days in the Philippines, compared with seven days in Vietnam. For an entrepreneur ready to invest, those are weeks spent completing the process before the business can get fully underway.

Our country‘s Corruption Perception Index Score or CPI has been consistently declining. Transparency International measures perceived public sector corruption using a scale of zero to a hundred. From 2015 to 2025, our score fell steadily from an already low 35 to 32. Ito ang pinakamababa sa ASEAN region.

Salot ang korapsyon at red tape sa ekonomiya. Salot ang korapsyon at red tape sa negosyo. Higit sa lahat, salot ang korapsyon at red tape sa buhay ng mga Pilipino.

Isa sa malubhang anyo ng korapsyon na sagabal sa paglaki ng ating industriya ay ang illicit trade at smuggling.

Euromonitor figures show that illicit cigarettes accounted for 24.1 percent of cigarette retail volume in 2025, skyrocketing from 11.5 percent in 2020. That means nearly one in every four cigarettes sold was illicit. Legitimate producers are competing against illegal products that evade the taxes and requirements they themselves must meet.

The Department of Finance estimated that in 2025, revenue leakages from smuggling amounted to P150 billion.

This is infuriating and unacceptable. Because not only does the illicit trade rob our economy of revenue, it also harms the competitiveness of Filipino-made products that were made with the talent, sweat and strength of our people.

The Senate will exercise its oversight powers to crack down on corruption in government. A clear example of this is the Senate Blue Ribbon committee investigations into abuses committed by BIR officials when using Letters of Authority or LOA after reports surfaced that the LOA was being used to extort money from taxpayers.

We will also press agencies to speed up processes for business permits, licenses and approvals — and hold leadership responsible for persistent delays.

The Senate will ensure the full and effective implementation of Retail Competition and Open Access framework, or RCOA, which allows eligible consumers to choose their electricity supplier. It is one of the reforms under EPIRA.

Giving businesses the power to choose their energy supplier also gives them greater control over their energy costs. This opens the door to more competitive rates rather than relying solely on price reductions from a single distribution utility.

The generation charge of a major distributor for September is at a weighted average of P9.7032 per kilowatt hour. By comparison, the weighted average price in RCOA for Q3 is P5.77 per kilowatt hour. This represents potential savings of 40 percent on the generation component.

Effective June 26 this year, the eligibility threshold was lowered from 500 kilowatts to 100 kilowatts, opening participation to more businesses.

Qualified manufacturers must be able to compare offers and switch suppliers through clear and workable procedures. Greater choice must deliver effective competition and better supply arrangements.

Me: My advice to consumers ­— magyabang kayo. Spend, spend, spend. Otherwise, your money will just be stolen – by the politicians.

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