Roughly 8.8 million Filipinos successfully transitioned out of poverty in 2025 as the nationwide poverty incidence experienced a sharp decline to 9.7 percent from the 18.1 percent recorded in 2021, according to data released by the Department of Economy, Planning, and Development (DEPDev).
Socioeconomic Planning Secretary Arsenio Balisacan credited this significant progress to a strong rebound in household income and expanding job opportunities, alongside the government’s persistent social welfare initiatives.
“Poverty declined substantially regardless of the poverty threshold or norm used,” Balisacan said.
“Based on the country’s official poverty line and the preliminary estimates for 2025, poverty incidence, or the proportion of the population deemed poor among Filipinos, fell from 18.1% in 2021 to 9.7% in 2025,” he added.
Despite the notable milestone, DEPDev warned that persistent high inflation could erode or reverse these achievements, noting that elevated prices inflict the heaviest burden on impoverished and low-income families.
To ensure economic expansion does not depend disproportionately on consumer spending, the agency highlighted the imperative of stimulating investments, boosting exports, and bolstering performance in the agricultural and industrial sectors.
DEPDev emphasized that preserving this downward trajectory in poverty demands persistent commitment toward expanding employment, lifting wage levels, and fortifying the nation’s core productive industries.