Inflation crimps Pinoys’ investing in future
Freshly Brewed
By Reine Juvierre S. Alberto
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ISING food, energy, health and transportation costs are pushing Filipino families to tighten budgets and cut non-essential spending, delaying long-term goals such as retirement and home ownership, according to Sun Life of Canada (Philippines) Inc. (Sun Life PHL).
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Citing the latest “Financial Resilience Index” by Sun Life Financial Asia Services Ltd., the insurance company said almost all Filipino respondents surveyed between April and May 2025 cited inflation as having impacted their ability to cover monthly expenses. The biggest price increases were observed in food, energy, health and transportation. “Economic strain forces Filipi-
nos to delay major aspirations to focus on day-to-day survival in the short-term,” the study read. As such, 61 percent of Filipinos put first managing their day-to-day expenses, while 45 percent build their emergency funds. The study revealed that confidence in managing monthly finances went up to 69 percent from 57 percent, showing improved short-term financial resilience.
However, saving for retirement and a house or apartment were set aside over the next three to five years. Long-term financial confidence also dipped, with only 64 percent feeling capable of meeting future goals, down from 72 percent. In case of income loss or illness, one in three Filipinos said that they would not be able to See “Inflation,” A2
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HOUSE OPENS HEARINGS ON ₧6.8-T BUDGET OF ’26 www.businessmirror.com.ph
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Monday, August 18, 2025 Vol. 20 No. 309
P25.00 nationwide | 2 sections 22 pages | 7 DAYS A WEEK
By Jovee Marie N. dela Cruz
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@joveemarie
HE House of Representatives will begin on Monday its hearings on the proposed P6.793-trillion national budget for 2026 with assurances that the public remains the top priority in an inclusive and transparent budget process. During the opening of the budget deliberations, the House Committee on Appropriations will receive a briefing from the Development Budget Coordination Committee (DBCC) on the country’s economic outlook and the macroeconomic assumptions that guided the preparation of the 2026 National Expenditure Program (NEP). The DBCC briefing will be led by Budget Secretary Amenah Pangandaman, Economic Planning Secretary Arsenio Balisacan Jr., Finance Secretary Ralph Recto, and Bangko Sentral ng Pilipinas Governor Eli Remolona Jr. Speaker Ferdinand Martin G. Romualdez reaffirmed the House’s commitment to an inclusive and transparent budget process, anchored on the reforms instituted in the passage and implementation of the national budget. “We want not only to inform but to involve the public, because the national budget is the people’s money. It should benefit them all,” Romualdez said. See “House,” A2
FROM FLOOD TO FOOD: FARMERS RESTART THE RICE CYCLE Farmers stoop over waterlogged paddies beside the NLEX Tabang exit in Guiguinto, Bulacan, their bent forms reflected on the shimmering surface. Undeterred by three consecutive typhoons that submerged Metro Manila and vast stretches of Luzon, they painstakingly transplant young rice plants, racing against time to revive the season and safeguard the country’s rice supply. BERNARD TESTA
TOP BIZ GROUPS BACK ‘RSA’ BID TO HELP SOLVE NCR FLOODING By Andrea E. San Juan
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@andreasanjuan
OP business groups in the Philippines are rallying behind San Miguel Corporation’s initiative to address flooding in Metro Manila, saying solving such an issue will have a “long-lasting and positive impact” on the economy. In a joint statement at the weekend, the Philippine Chamber of Commerce and Industry (PCCI), Employers Confederation of the Philippines (Ecop), Philippine Exporters Confederation Inc. (Philexport), Phil-
ippine Retailers Association (PRA) and Philippine Franchise Association (PFA) said: “This is consistent with what we always say and do about private sector doing what it can to help government address issues especially if these affect the business and trade communities.” Backed by “huge internal resources” built through the years and CSR programs and projects that benefit communities and the country in general, the business groups said they are confident that SMC will be able to deliver this commitment that See “Top,” A2
PPPs to cut farm loss, boost production By Cai U. Ordinario
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@caiordinario
NDERTAKING Public Private Partnerships (PPPs) with the private sector can help reduce losses and boost agriculture production nationwide, according to the Department of Agriculture (DA). In a recent forum at the Asian Development Bank (ADB), the focus was on how PPPs can create opportunities in the agriculture sector, such as those in post-harvest facilities as well as much-needed investments in particular commodities. Post-harvest losses could reach anywhere from 12 percent to as much as 40 percent on average in
terms of volume and depending on the commodity. “If I caught a tuna today, fresh, I can easily sell it at P350 per kilo. But in the afternoon, the value is down to maybe P100. So I already lost about 70 percent of the value simply because I don’t have sufficient post-harvest facility,” a senior DA official said. “So this is not about volume which is the normal way where we measure. We have to understand losses in terms of value. The same is true with vegetable, fruits and vegetables, the same story. And so we need to highlight that it is important to put investments on postharvest,” the official added. Another aspect of post-harvest losses is linked to logistics, the DA
said. This is the reason for the importance of developing efficient logistics systems. “Logistics is key to efficiency. You know, if you bring corn from Cagayan to Bulacan, it will cost you probably P2 per kilo. So a ton is P2,000, 10 tons is P20,000,” the DA official said. Apart from putting in effort in stemming losses, the agriculture sector requires P3.5 trillion in total investments, the DA estimated. The bulk of these investments is the P1.75 trillion needed in production support systems. This also includes P816.18 billion needed for infrastructure and logistics; P805.81 billion for the commodity sector; P85.5 billion for innovation and system enablers; and
P6.28 billion for sustainable and alternative agriculture systems. Investing in commodities, the official said, could become game changers for specific products such as eggs. The Philippines does not import eggs due to the difficulty of transporting them and the distance from known sources. The DA estimated that the country only produces 57 million eggs per day. This is only a fourth of the 230 million daily requirement. “Looking at the nutrition level, the requirement, you need, how many eggs do you need a day? One or two, right? Should be two. Okay. Now, times 115 million, that’s easily, you know, 230 million eggs,” the DA said. See “PPPs,” A2
PESO EXCHANGE RATES n US 56.7340 n JAPAN 0.3840 n UK 76.7781 n HK 7.2425 n CHINA 7.9022 n SINGAPORE 44.1819 n AUSTRALIA 36.8601 n EU 66.1065 n KOREA 0.0408 n SAUDI ARABIA 15.1214 Source: BSP (August 15, 2025)