PH poverty rate in first half of 2023 down to 22.4% —PSA

The Philippines' poverty rate dropped to 22.4% in the first half of 2023, the Philippine Statistics Authority (PSA) on Friday

The number is a decrease from the 23.7% recorded in the same period in 2021, according to PSA chief and National Statistician Claire Dennis Mapa in a press conference.

"Ibig sabihin 224 sa bawat isang libong Pilipino ay nasa may pamilyang hindi sapat ang kinikita upang matugunan ang kanilang basic food and non-food needs sa unang anim na buwan ng 2023," Mapa said.

(This means 224 out of 1,000 Filipinos are from a family that is not earning enough to meet their basic food and non-food needs during the first six months of 2023.)

Poverty incidence among families, meanwhile, declined to 16.4% in the first semester of 2023 from 18.0% in the same period of 2021, equivalent to 230,000 households escaping poverty, the PSA said.

Across the country, poverty incidence decreased in 15 out of the 17 regions from 2021 to 2023, with significant decline recorded in the National Capital Region (NCR), Cordillera Administrative Region (CAR), Cagayan Valley, Central Luzon, SOCCSKSARGEN, and Caraga. 

The highest poverty incidence, on the other hand, is still reported in the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM), while the Davao Region experienced a significant increase in poverty incidence due to its vulnerability to natural hazards, such as flooding and earthquakes.

President Ferdinand "Bongbong" Marcos Jr aims to bring down the poverty rate to 9% before his six-year term ends in 2028, by investing in infrastructure and courting foreign direct investment to create jobs and boost economic growth.

Marcos on Wednesday signed into law next year's record P5.768-trillion national budget, detailing the government's plan to combat poverty, secure the borders, and boost economic growth.

The Philippines, a country of more than 110 million people, is bracing for a challenging 2024 due to the impact of El Niño weather phenomenon which could potentially derail the country's fight against inflation.

It has abandoned its growth target range of 6.5%-8.0% for 2024, narrowing it to 6.5%-7.5%, to reflect the impact of the dry spell on the consumption-driven economy.

The PSA only releases poverty data once every few years.

Admin's focus

In a statement, National Economic and Development Authority (NEDA) Secretary Arsenio Balisacan said reducing poverty to a single-digit level remains a priority of the Marcos administration.

"First, we will continue to prioritize creating high-quality and high-paying jobs to address the rising issue of vulnerable employment," Balisacan said.

He said the government will also ensure that the country's macroeconomic fundamentals are sound, "enabling us to sustain growth in the medium and long term."

The government will also continue facilitating policy initiatives to create an enabling environment for investments, trade, and innovation, Balisacan added.  

"These programs will generate more high-quality jobs, create various opportunities for Filipino workers, and contribute to our goal of significantly reducing poverty in the country," he said. —GMA Integrated News with Reuters