S&P: Philippines among global growth drivers by 2035

S&P: Philippines among global growth drivers by 2035

Story by Louella Desiderio

Philstar Global

18 October 2024

MANILA, Philippines — The Philippines is among the emerging economies that will be driving global growth over the next decade, according to S&P Global.

In its report titled “Look Forward Emerging Markets: A Decisive Decade,” S&P Global said emerging markets would play a crucial role in shaping the global economy over the next decade, averaging 4.06 percent gross domestic product (GDP) growth through 2035 and contributing about 65 percent of global economic growth.

“This growth will be driven mainly by emerging economies in Asia-Pacific, including China, India, Vietnam and the Philippines,” S&P Global said.

The Philippines is expected to post the third highest average annual GDP growth of 4.8 percent from 2024 to 2035, it also said.

Vietnam is expected to see annual GDP growth over the next decade at 6.2 percent, followed by India, which is projected to post annual GDP growth of 5.9 percent in the same period.

S&P Global said supportive demographics, abundant natural resources, evolving trade dynamics and technological innovations in energy and manufacturing could propel the emerging markets to higher development stages.

Emerging markets, however, also face geopolitical disruptions, climate change risks and the resurgence of industrial policies and protectionism in advanced economies.

“This intricate environment will present both emergent opportunities and multifaceted challenges for emerging markets as they strive to accelerate their advancement,” S&P Global said.

The Philippine government is aiming for a six to seven percent economic growth for this year.

As of the first semester, the Philippine economy posted an average growth of six percent.

For next year, the Philippine government has set a 6.5 to 7.5 percent economic growth target.

For 2026 to 2028, the Philippine government’s annual economic growth goal is at 6.5 to eight percent.