Poverty rate drops to 15.3% in 2023; government eyes single-digit by 2028

Zion Mhar Kaezer Corpuz

Government programs and interventions were cited as key contributors to the decline in poverty incidence in the Philippines, according to a July 21 press release by the Philippine News Agency (PNA).

Photo Courtesy of Neocha/Earvin Perias.

Data from the Philippine Statistics Authority (PSA) show that poverty incidence in the Philippines dropped from 18.1 percent in 2021 to 15.3 percent in 2023, surpassing the 16 to 16.4 percent target set by the government under the Philippine Development Plan 2023–2028. 

By the numbers, poor Filipinos, whose income is insufficient to meet basic needs, went from 19.99 million in 2021 to 17.54 million in 2023, the PSA reported. 

The Department of Economy, Planning, and Development (DEPDev) sees this progress as a stepping stone in achieving the Marcos administration’s goal of alleviating poverty to a single-digit level by 2028.

“As we welcome news of our progress, we remain steadfast in our efforts to ensure that our economic gains are truly felt by all Filipinos, rich and poor alike,” DEPDev Secretary Arsenio Balisacan assures.

He also added that improving agricultural productivity, investing in markets and infrastructure, and managing economic models effectively are crucial to sustaining the trend.

On the other hand, Rizal Commercial Banking Corporation Chief Economist Michael Ricafort emphasized investing more in education to access global technologies, boost economic productivity, and achieve a single-digit poverty rate.

“Education is one [of] the biggest equalizers, with the biggest budget allocation in recent years, as an investment approach that would reap the greatest return for the Philippine economy and society, especially STEM (Science, Technology, Engineering, and Mathematics) courses to make Filipinos more competitive worldwide,” Ricafort explained.

Moreover, Department of Finance Secretary Ralph Recto is firm that the single-digit poverty rate is achievable by the end of the Marcos Administration.

“I am confident we will be able to uplift more Filipino lives by growing the economy and creating more and better jobs,” Recto declared.

The Philippine Development Plan 2023–2028 is the 6-year blueprint of the country that reflects the overall policies, strategies, programs, and legislative priorities of the current administration, one of which is the alleviation of a single-digit poverty rate in 2028.