Electronics Exports Propel Philippine Economic Growth to 5.3% in Q4 2025, Moody's Reports
Electronics exports are likely to have boosted Philippine economic growth to 5.3 percent in the fourth quarter of 2025, according to a report from Moody's Analytics released on Monday, January 26, 2026. This forecast represents a significant acceleration from the four percent growth recorded in the third quarter of last year, highlighting a strong rebound in economic activity as the year drew to a close.
Robust Export Demand and Weather Challenges
The report from Moody's Analytics emphasized that robust demand for electronics likely supported exports toward the end of the year, providing a crucial lift to the nation's economic performance. However, this positive trend was partially offset by extreme weather events, which weighed on economic activity by disrupting key sectors such as agriculture, infrastructure, and household consumption. These adverse conditions created a mixed economic landscape, with exports shining as a bright spot amid broader challenges.
Full-Year 2025 Growth Projections and Government Targets
For the full year of 2025, Moody's Analytics projects gross domestic product (GDP) growth at 5.1 percent. This figure falls below the government's downwardly revised target range of 5.5 to 6.5 percent, indicating that while the economy showed resilience, it did not fully meet official expectations. Domestic output averaged five percent in the first three quarters of 2025, setting the stage for the stronger fourth-quarter performance driven by export activities.
Upcoming Official Data and Economic Management Insights
The Philippine Statistics Authority is set to release the full-year GDP report on Thursday, January 29, providing official confirmation of these projections. Economic managers had earlier projected slower growth in 2025 following the third-quarter slowdown, citing weather-related disruptions and reduced government spending due to issues surrounding flood control projects. In response to these challenges, they added that reforms have been implemented to prevent similar problems in the future, aiming to bolster economic stability and growth prospects moving forward.
