World Bank sees Philippines reaching upper middle-income status by 2027

The Philippines is more likely to achieve upper middle-income status by 2027, a year later than the government’s 2026 target, the World Bank said. The country’s gross national income per capita reached USD4,230 in 2023, below the USD4,516 threshold required for upper middle-income classification. The World Bank cited the need for faster growth and continued reforms to meet the goal earlier. Philippine GDP is forecast to expand by 5.3% in 2025 and 5.4% in 2026, below the government’s 6-8% target range. Officials said key reforms, including the amended Public Service Act and streamlined business registration processes, are crucial to sustaining growth and attracting investment. The government maintains it remains on track to hit its income target by next year, barring major external shocks.