Manila: Japanese debt watcher Rating and Investment Information, Inc.’s (R and I) recent affirmation of the country’s investment-grade credit rating shows that credit rating agencies and investors remain confident in the Philippines, Finance Secretary Ralph Recto said.
According to Philippines News Agency, Recto expressed that this achievement is a testament to the continued trust from credit rating agencies and investors. “Isa itong tagumpay na dapat ipagdiwang ng bawat Pilipino. Dahil ibig sabihin nito, nananatiling mataas ang tiwala ng mga credit rating agencies at investors sa atin (This is a success that every Filipino should celebrate. Because it means that credit rating agencies and investors remain confident in us),” he stated in a recent announcement.
Recto further emphasized the implications of this affirmation, stating, “Kaya mas dadami ang papasok na investments, mas maraming magandang trabaho ang malilikha, mas tataas ang kita, at mas maraming Pilipino ang maiaahon natin sa kahirapan. (So more investments will come in, more good jobs will be created, income will increase, and we will be able to lift more Filipinos out of poverty).”
On Wednesday, R and I confirmed the Philippines’ “A-” investment-grade rating accompanied by a stable outlook. An ‘A-‘ rating signifies strong macroeconomic stability and robust creditworthiness, which in turn leads to lower interest rates on borrowings for both the national government and the private sector, and aids in attracting more foreign direct investments.
R and I highlighted that the Philippine economy continues to exhibit robust growth, outpacing major Southeast Asian countries. In the second quarter of 2025, the Philippines achieved a Gross Domestic Product growth of 5.5 percent, surpassing China (5.2 percent), Indonesia (5.1 percent), Malaysia (4.5 percent), Singapore (4.3 percent), and Thailand (2.8 percent).
Moreover, R and I acknowledged the Philippines’ steady progress in fiscal consolidation, underscoring the government’s efforts in reducing the fiscal deficit and improving debt metrics in alignment with its fiscal strategy.
