PH struggles in global competitiveness

Metro Manila, Philippines - The Philippines slightly improved its global competitiveness ranking, but remained a laggard in Asia Pacific.

The country was 51st out of 69 economies, rising from 52nd in 2024, according to the IMD World Competitiveness Ranking 2025 published by the Switzerland-based International Institute for Management Development (IMD).

In previous editions, Manila was also 52nd in 2021 and 2023, and 48th in 2022.

“Compared to its neighbors, the Philippines’ standing in the Yearbook remains low, with the country ranking 13th out of 14 included economies in the Asia-Pacific region, and ranking 5th out of the five included economies in the Association of Southeast Asian Nations (ASEAN) region,” the IMD said in a news release.

Switzerland was the top economy, followed by Singapore, and Hong Kong.

The Philippines declined in the factors of government efficiency (49th in 2024 to 51st in 2025) and business efficiency (43rd in 2024 to 46th in 2025).

In the infrastructure pillar, the country’s perennial problem in previous editions of the report, slightly improved to 60th from 61st, while economic performance jumped from 40th to 33rd.

The IMD said the challenges of the Philippines this year are:

+ Re-kindling economic dynamism and growth trajectory

+ Addressing inflation expectations

+ Promoting investments in inclusive technology to boost labor productivity and empower entrepreneurship

+ Improving education and health care to promote inclusive growth and reduce vulnerabilities

+ Adapting to shifting global economic and geo-political dynamics.