6-yr low in domestic consumption growth seen By Justine Xyrah Garcia
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SNAP DECISION One of four saltwater crocodiles rescued by the Department of Environment
and Natural Resources (DENR) over the weekend is safely secured after separate operations in San Felipe, Zambales, and Magalang, Pampanga. Three crocodiles were extracted from a resort in Zambales, while a 3.1-meter female was rescued in Pampanga following a citizen’s report. All four were turned over to accredited wildlife rescue centers for veterinary assessment, rehabilitation, and long-term care. The DENR reminded the public that saltwater crocodiles are protected under the Wildlife Resources Conservation and Protection Act and urged residents to report wildlife sightings instead of attempting to capture or keep the animals. Story on B8 News. PHOTO COURTESY OF DENR
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HE country’s domestic consumption growth may slow to its weakest pace in six years in 2026 as elevated prices continue to erode Filipinos’ purchasing power, according to the World Bank. In its midyear Philippines Economic Update, the World Bank said domestic consumption, long considered the economy’s main growth driver, is projected to expand by a mere 3.5 percent this year. If realized, this would be slower than the 4.6-percent growth recorded last year and the weakest since the pandemic-induced contraction of 8 percent in 2020. Excluding the pandemic years,
it would also mark the slowest consumption growth since the 3.6 percent recorded in 2010. World Bank Senior Country Economist Jaffar Al-Rikabi said higher prices have weakened household purchasing power, while persistent core inflation indicates that price pressures are spreading beyond volatile food and fuel items. Headline inflation averaged 4.8 percent in the first half of the year, while core inflation remained elevated at 3.5 percent, according to the World Bank. The lender expects inflation to average 5.8 percent this year, sharply higher than its earlier forecast of 2.5 percent. “When inflation goes up, this erodes people’s income and so it
weakens the purchasing power of households,” Al-Rikabi said during a briefing on Monday. The impact was already evident in the first quarter, when private consumption growth slowed to 2.2 percent, roughly half the pace recorded during the same period last year. Al-Rikabi said the slowdown is significant because household spending accounts for about P7 to P8 of every P10 of economic growth in the Philippines. “We’re forecasting for the full year that consumption growth is at 3.5 percent compared to 4.6 percent [last year],” he said. Weak household spending is also among the factors expected to pull Philippine economic growth down to 3.7 percent this
year, alongside contracting investment and sustained inflation. Al-Rikabi also linked the slowdown in consumption to a weakening labor market, as fewer employment opportunities and higher prices further constrain household spending. The World Bank estimated that the number of unemployed Filipinos increased by approximately 594,000 from January to May. More than six in 10 of the newly unemployed were young workers aged 24 and below. Despite the weaker outlook this year, the World Bank expects economic growth to rebound strongly in 2027 as inflationary pressures ease and broader economic conditions normalize. See “Consumption,” A2
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Tuesday, August 4, 2026 Vol. 21 No. 294
P25.00 nationwide | 2 sections 20 pages | 7 DAYS A WEEK
OSG readies challenge to RTC’s TRO on wage hike
By Reine Alberto @reine_alberto
HE Department of Finance (DOF) is pushing for a new comprehensive tax reform package, dubbed the “Progress Bill,” which could generate P191.77 billion in net revenues in the next four years by expanding sin taxes while providing tax relief for the middle class and small businesses.
Finance Undersecretary Karlo Fermin S. Adriano on Monday briefed reporters on the DOFbacked tax package eyed for enactment “as soon as possible” or in 2027. The administration has
By Samuel P. Medenilla & Mary Jade Gale Jadormio
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HE Marcos administration has opposed the decision of a Pasig Regional Trial Court (RTC) to issue a temporary restraining order (TRO) on the P85 minimum pay hike of the wage board in Metro Manila for violating the Labor Code and Republic Act 6727 or the Wage Rationalization Act. In a press briefing on Monday, Palace Press Officer Claire Castro said the Office of the Solicitor General (OSG) will represent the Regional Tripartite Wages and Productivity Board-National Capital Region (RTWPB-NCR) in contesting the TRO. “At present, a document and a formal objection are being prepared [by the OSG]. While we certainly respect all courts, the government—the administration—also has the right to articulate what is in the best interest of our fellow citizens and our workers,” she said in Filipino. “The Office of the Solicitor General is ready to defend the wage order passed for our workers,” she added. On Thursday, Pasig RTC Branch 152 issued a TRO on the implementation of the first part of Wage Order No. NCR-27 implementing an P85 daily minimum wage increase in two tranches. The TRO is expected to last until August 13, 2026. The first part of the new wage order granting minimum wage earners a P60 increase took effect on July 25, 2026, and the second part, which grants a P25, will take effect on January 20, 2027. Once Wage Order No. NCR-27 takes full effect, it will raise daily minimum wage rates in NCR to P743 and P780. The ruling stems from the petition filed by Readycon Trading and Construction Corp. and R-11 Builders Inc. who claimed the new wage order will significantly raise their expenses. Castro echoed the Department of Labor and Employment’s (DOLE) position that the appeal should have been filed with the RTWPB rather than the regular courts. Under Article 126 of the Labor Code, courts or tribunals are prohibited from issuing preliminary or permanent injunction or TRO against the proceedings of the National Wages and Productivity Commission (NWPC) or the regional wage boards. Instead, RA 6727 provides a party aggrieved by a wage order to appeal such an order within 10 calendar days from the publication of such order to the NWPC.
yet to identify the lawmaker who will file and sponsor the measure in Congress. “[This] is a very timely intervention because the main target of See “Bill,” A2
‘LICKING CORRUPTION, BETTER EODB SHOULD GET PRIORITY’ By Andrea E. San Juan
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@andreasanjuan
MPROVING the country’s corruption perception index and ease of doing business ranking should be prioritized instead of focusing on trade liberalization and leaning towards a “stronger peso” to prop up manufacturing in the country, according to Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona. “If you look at the corruption perception index, we’re near the bottom. The perception of us by
foreign investors is we’re corrupt. If you look at the ease of doing business indices, we’re in the middle of the pack. We could be higher, I think,” Remolona said in a televised interview on Sunday. “So those are the things that go beyond just exchange rate and go beyond just trade liberalization,” added Remolona. The central bank governor said this against the backdrop of the competitiveness of the country’s manufacturing sector. “The lesson is that trade See “EODB,” A2
‘AWAT NA’ Power transmission posts line a major road in Las Piñas City as electricity costs remain under the spotlight. The Energy Regulatory Commission (ERC) has ordered Manila Electric Co. (Meralco) to refund P9.5 billion to consumers over its actual weighted average tariff (AWAT), while lawmakers have filed a bill seeking to remove system loss charges from electricity bills. The proposal follows President Ferdinand Marcos Jr.’s fifth State of the Nation Address, where he said consumers should no longer shoulder system losses caused by power theft, faulty meters, poor maintenance, inefficient operations, weak collection systems, or negligence by distribution utilities. NONIE REYES
Labor groups’ warning
PAY ON HOLD Labor groups and workers’ coalitions stage a protest outside the Pasig City Regional Trial Court on Monday, August 3, 2026, denouncing the temporary restraining order (TRO) that halted the implementation of the P85 daily minimum wage increase in Metro Manila. The wage hike, approved by the Regional Tripartite Wages and Productivity Board–National Capital Region (RTWPB-NCR), was set to take effect in two tranches, but has been suspended pending further court proceedings. NONOY LACZA
LABOR groups on Monday moved to intervene in the court challenge against the Metro Manila wage hike, warning that employers could use trial courts to delay adjustments already approved through the regional wage-setting process. Nagkaisa Labor Coalition said the case could create a precedent for similar petitions in other regions, adding another layer of litigation to a system already marked by staggered and often contested wage increases. Its motion before Pasig Regional Trial Court Branch 152 seeks to bring workers directly into See “Wage hike,” A2
PESO EXCHANGE RATES n US 61.3270 n JAPAN 0.3894 n UK 82.7976 n HK 7.8201 n CHINA 9.0821 n SINGAPORE 47.8706 n AUSTRALIA 43.1681 n EU 70.8695 n KOREA 0.0425 n SAUDI ARABIA 16.3312 Source: BSP (August 3, 2026)