PH fails to reach upper-middle-income status
Based on World Bank data, the country's gross national income (GNI) per capita rose from $4,320 in 2023 to $4,470 in 2024 — a sign of economic improvement. However, the threshold to become an upper-middle-income country (UMIC) was set at $4,496, leaving the Philippines just shy of the mark.
The World Bank defines GNI per capita as the country's total income divided by its population. For the fiscal year, countries with GNI per capita between $1,136 and $4,495 are classified as lower-middle-income economies. Those between $4,496 and $13,935 qualify as upper-middle-income.
Despite the lowered income requirement from last year's cutoff, the Philippines still remained in the lower-middle-income group, along with countries like Cambodia, India, Myanmar, Vietnam, Timor-Leste, and Papua New Guinea.
In his first State of the Nation Address (SONA) in July 2022, President Ferdinand Marcos Jr. set a target for the country to achieve UMIC status by 2024, with a GNI per capita of at least $4,256. However, that goal has been repeatedly pushed back.
Economic Planning Secretary Arsenio Balisacan is now hopeful the Philippines will reach the UMIC bracket by 2026, citing a projected 6% economic growth in 2025.
At a Palace press briefing, Presidential Communications Office Undersecretary Claire Castro said the government remains committed to the goal and will 'double efforts' to elevate the country's income status.
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