Thank you, Mr. Barnaby “Barns” Lo, for the kind introduction.
Senator Hontiveros;
Ombudsman Remulla;
Ambassador Nurminen; (Embassy of Finland)
Members of the diplomatic community;
President Lema;
Members of the Foreign Correspondents Association of the Philippines;
Our friends from the media;
Partners from the private sector;
Special guests, good morning.

Let me start by congratulating FOCAP on the launch of the 2026 Prospects Magazine. For more than 50 years, FOCAP has done something essential but never easy: protecting press freedom, asking hard questions, and making sure power is held to account. In a world overflowing with information—and misinformation—that role matters.

In this new world of clickbait media frenzy, fighting for audience attention, thank goodness there are still many of you who practice responsible journalism.

On the government’s part, we are now, more than ever, committed to fiscal discipline and smart spending. I am committed to reducing the fiscal deficit. This will be the DOF’s constant refrain from hereon.

It is not optional and requires a collective effort across government – to reduce inefficiencies and ensure that every peso funds productive, high-impact, and high multiplier programs that create jobs, drive growth, and deliver real benefits to every Filipino.

I would like to assure everybody that the long term fundamentals of the Philippine economy remains intact and on solid footing – strong GDP growth, manageable inflation, a robust labor market, and prudent fiscal management.

Since the administration of President Ferdinand R. Marcos Jr. assumed office in 2022, the Philippine economy has grown at an average of 5.7 percent—placing it among the fastest-growing economies in Asia.

This momentum continued into 2025, with growth of 5.4 percent and 5.5 percent in the first two quarters of the year.

Even with the extraordinary challenges in the second half – external shocks, war, tariffs, middle east geopolitical tensions, natural calamities, climate change, and the President’s flood control exposé – growth moderated to 4.4 percent for the year. This is well above the global average of 2.9 percent.

According to PSA and leading multilateral institutions like ADB and the World Bank, our economy is expected to regain momentum and bounce back to a 5 percent level of growth or higher in 2026.

Inflation remained controlled at 1.7% last year.

National Government debt in 2024 is 60.69%. General Government debt is 53.88%. Way below the 70% international threshold for debt-to-gdp ratio.

The country continues to receive triple B plus and A- credit ratings with stable and positive investment-grade marks from major international agencies.

At the same time, the three pillars of growth remain solid and reliable. In 2024, export revenues reached 106 billion USD, the business process outsourcing sector generated 32 billion USD, and remittances from Overseas Filipinos totaled 34 billion USD. Together, these pillars continue to anchor the resilience and momentum of the Philippine economy.

The government has been putting together policies and programs to create an environment more conducive for businesses to thrive. Let me highlight five.

The Philippines now has the most open and liberal investment environment in its history.

We have implemented decisive, progressive reforms:

First, enacting the CREATE MORE Act, which offers up to 40 years of fiscal and non-fiscal incentives;

Second, implementing the new PPP Code to promote greater public-private sector participation;

Third, amending the Investors’ Lease Act, extending lease terms to as much as 99 years, giving non-Filipinos and Filipinos an option to secure land for long-term investments. This is a practice that is at par with the best in Asia.

Fourth, the Accelerated and Reformed Right-of-Way Act, which helps push critical infra projects forward. We had identified this as the main reason for delays in infra projects in the past, and have acted upon it.

Fifth, the implementation of CMEPA, which reduces the stock transaction tax (STT) from 0.6% to 0.1%. This practice is now aligned with Hong Kong, Singapore, Thailand, Indonesia, Vietnam, and Malaysia whose stock transaction taxes are either 0.05 or 0.1%, while PH was at 0.6%.

For strategic investments to enter the country, I will continue my previous responsibility as Special Assistant to the President to enhance the ease of doing business, reduce the cost of doing business, and promote greater predictability in doing business.

This means streamlining processes, shortening approval times, and giving investors clarity.

On my role in the DOF, let me discuss a few things:

Last November, we supported the suspension of all field audits and other related operations, including the issuance of Letters of Authority and Mission Orders, after hearing concerns from taxpayers and businesses.

The pause allowed the Bureau of Internal Revenue to review its audit framework, consult stakeholders, and design reforms.

The BIR’s review is now completed. We are resuming the issuance of letters of authority with three key reforms to make audits fairer, more predictable, and more accountable.

First, instead of receiving letters from multiple BIR departments, taxpayers will now receive only one, issued by a single department. Second, only one letter of authority will be issued per taxable year, replacing the previous practice of multiple letters for the same tax type. Finally, we are digitizing the process to reduce discretion, strengthen accountability, and prevent arbitrary or abusive audits. 


These changes align with the administration’s big, bold reforms, to improve the ease of doing business and strengthen trust in government. As audit resumes, we urge tax payers and the public to actively participate in implementing these reforms. Your engagement is critical to ensuring these improvements succeed. 



We also supported the streamlining of the tax exemption application process for socialized and economic housing projects. Private developers now only need the Socialized Housing Certification from DHSUD or BOI to get a Certificate of Tax Exemption (CTE) from the BIR.

And just last Tuesday, we launched the Registered Business Enterprises Taxpayer Service, or RBETS—a key reform under the CREATE MORE Act.

RBETS gives registered businesses, under Investment Promotion Agencies, one place to go and one set of rules to follow. By centralizing taxpayer services, we remove confusion, ensure consistent interpretation of incentives, and make compliance easier for everyone.

When the rules are clear and predictable, businesses can focus on investing and creating jobs.

At the Bureau of Customs, we aim to make trade faster, simpler, and more efficient, with digitalization — the National Single Window – Integrated Trade Facilitation Platform (NSW-ITFP) PPP was signed last December.

This new platform will consolidate all trade requirements into a single digital portal, cutting red tape, reducing delays, and lowering costs. No more running from one agency to another because everything businesses need will be accessible in one place.

Countries that have implemented a national single window have seen a dramatic improvement in clearance times, export competitiveness and increase in government tax revenues.

In September 2025, the President signed the Enhanced Mining Fiscal Regime Act. The law establishes a fairer and simpler fiscal regime for the mining sector, creating a more predictable environment to attract investors and encourage tax compliance.

We have recently issued its IRR.

We are also working closely with the BIR in the issuance of the revenue regulations for the law’s tax provisions.

Circling back to PPP, I’d like to highlight that the Marcos Jr. administration successfully awarded three major airport projects, including the main gateway—Manila International Airport, the New Bohol International Airport in Visayas, and Laguindingan International Airport in Mindanao.

When we first said we would privatize the Manila airport – nobody believed us. Today, we have done three in just the first half of the admin. I hope you are convinced. Despite the distractions, this government means business and will continue to pursue the right reforms and programs.

And the momentum continues. Several flagship projects are available for PPPs. At the last Economic Development Council, we just approved the 105.7 billion PPP for public school infra projects aimed at closing classroom gaps and providing better learning environments for our youth.

Together, these investments will expand access to education, healthcare, ease daily commutes, and build a more connected, more resilient Philippines.

We have 209 infrastructure flagship projects and 49 of them are under PPP. We are actively inviting you to submit unsolicited proposals and participate in solicited bids. The PPP Center and DepDev have a complete list.

Last January 16, we held our flagship event–– the Big, Bold Reforms Philippines economic briefing with leading private-sector stakeholders, with the goal of inspiring optimism, strengthening partnerships, and renewing investor confidence.

At that event, several big, bold reforms and solutions were presented.

For instance, the Securities and Exchange Commission highlighted its shortened or faster processing timelines on applications and reduced fees and charges for about 20-50%.

And just recently, the Government finalized a funding solution to ensure that government obligations under the CARS Program will be fulfilled.

This is proof that the Government stands by its commitments and remains fully supportive of long-term investments in the Philippines.

We have also relaxed visa requirements for India and China, two of the most populous countries in the world.

Indian and Chinese nationals may now enter Manila and Cebu visa-free for stays of up to 14 days, and up to 21 days for holders of valid AJACSSUK (America, Japan, Australia, Canada, Schengen, UK) visas.

This move is expected to strengthen tourism, trade, and investments in the country.

Let me now turn to some updates on trade and investment.

Currently, we have a Foreign Trade Service Corps with 29 posts across 21 countries, working on the ground every day—helping Philippine exporters find new markets, supporting investors, and making it easier to do business with the Philippines.

At the same time, we are steadily expanding our economic partnerships. We have four bilateral trade agreements, eight ASEAN trade agreements, and we are exploring nine more free trade or economic cooperation agreements.

Our direction is clear. We are keeping Philippine trade policy open, relevant, and future-oriented.

We continue to see strong interest in the Philippines—from both domestic and foreign investors. IPAs and BOI approvals in 2024 stand at 1.96 trillion pesos.

Together, these reforms demonstrate our commitment to creating a business environment that is efficient, predictable, and supportive of inclusive growth.

To FOCAP and the media: continue telling the Philippine story with depth and context—not only during moments of crisis, but also during periods of celebration and reform.

Thank you, and congratulations once again to FOCAP on the 2026 Prospects Conference and Magazine.