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Monday, November 24, 2025 Vol. 21 No. 47
P25.00 nationwide | 2 sections 20 pages | 7 DAYS A WEEK
INFRASPEND PLUNGES 42.6% ON DPWH FIASCO H
BSP seen to cut rates anew as economy, peso weaken
By Reine Juvierre S. Alberto
EIGHTENED scrutiny over the Department of Public Works and Highways (DPWH), coupled with adverse weather conditions, hampered the government’s infrastructure spending in September, sending it plunging by 42.6 percent year-on-year. Latest data from the Department of Budget and Management (DBM) showed infrastructure and other capital outlays dropped to P78.7 billion in September 2025 from P137.1 billion in the same month a year ago. The DBM attributed the decline to the delays in contractor billings due to ongoing inspections by DPWH implementing offices to verify project status and completion, slowing payment processing and disbursement. Oversight institutions, including the Office of the Ombudsman, the Commission on Audit, the Bu-
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Pilipinas (BSP) Governor Eli M. Remolona Jr. said. “By improving system-wide monitoring and coordination, the FSCC aims to safeguard the stability of the Philippine financial system,” Remolona added. Alongside the mapping effort, the FSCC will also create an interagency coordinated response
S the Marcos Jr. administration faces rising political unrest over the flood control corruption scandal, the Bangko Sentral ng Pilipinas (BSP) is seen to further cut interest rates to cushion the economy from stalled infrastructure spending and a weakening peso. “In six out of 11 economies we expect modest further easing, the greatest further easing forecast [is] for the Philippines,” S&P Global Ratings said in its Asia-Pacific Credit Outlook 2026: Same North, Different Stars. S&P Global Ratings forecasts only modest further monetary easing in 2026, while Malaysia, Thailand and Indonesia are projected to maintain current policy rates through the end of 2026. “Domestic developments in some Asia-Pacific countries could reduce policy space for their sovereign governments,” S&P Global Ratings said, noting that the Philippines saw large street protests focusing on governance-related issues in recent months. At the same time, think tank Capital Economics senior Asia economist Gareth Leather said the recent resignation of two Cabinet ministers over graft allegations related to flood control projects “raises the risk of public anger spilling out into protests and social unrest.” Iglesia ni Cristo, an influential church in the country, organized large demonstrations last weekend, while a nationwide rally dubbed the “Trillion Peso March” is set for November 30, 2025. “Unrest could further dampen economic activity, which is already suffering after the government halted public infrastructure works on the back of the corruption allegations,” Leather said. This has also contributed to the third quarter’s sharp economic slowdown, with growth at only 4 percent year-on-year. Given the country’s wide current account deficit and increased reliance on more volatile forms of foreign capital, the Philippine peso is also at risk of coming under fresh downward pressure, Leather said.
See “FSCC,” A2
See “BSP,” A2
reau of Internal Revenue (BIR), and the DBM, have also intensified review of transactions, which led agencies to become more conservative and cautious in processing payment claims. Some DPWH implementing offices’ bank accounts have also been frozen due to ongoing investigations, which means that offices cannot process payments or disburse funds. Still, the DBM said that payments for the local counterpart of foreign-assisted projects of the DeSee “Infra,” A2
MINING REFORMS, MINERALS PLAN TO FUEL GROWTH–DENR By Jonathan L. Mayuga @jonlmayuga
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NVIRONMENT Secretary Raphael P.M. Lotilla on Friday said the Marcos administration is accelerating policy reforms to position the Philippines as a responsible player in the global clean energy transition, particularly through a more sustainable and valueadding mining industry. Through a recorded mes-
sage at the StratBase ADR Institute’s Pilipinas Conference in Makati City recently, the DENR chief said the Department of Environment and Natural Resources (DENR) is pushing “concrete policy action, cross-sector collaboration, and long-term investments in resilience” as the country moves past the midpoint of President Ferdinand Marcos Jr.’s term. See “Mining,” A2
FSCC mapping corporate linkages
November 17, 2025 | 10 AM
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BusinessMirror
Freshly Brewed
SCIENCE AS SHIELD RENATO SOLIDUM Science and Technology Secretary
HOW PREPARED COMMUNITIES SURVIVE DISASTERS
GHOST PROJECTS VS. REAL STRUGGLES “On a stretch of national road in Teresa, Rizal, vendor Rene Alberto earns his living selling peanuts and corn, determined to support his Grade 11 child and his son studying criminology. His resolve highlights the human cost of broken systems. As the government grapples with allegations of “ghost” flood-control projects, billions allocated for river dredging, slope protection, and drainage upgrades have been flagged for irregularities—from questionable subcontractors to incomplete or unverified works. Such anomalies leave floodprone towns exposed, disrupt transport routes, and choke local commerce. Meanwhile, rising national debt heightens pressure on public finances, straining support for low-income households. For Rene, the lack of reliable infrastructure means fewer safe spaces for vending, unstable foot traffic, and increased vulnerability whenever heavy rains strike. His story underscores how corruption in flood-control spending ripples directly into the lives of those already fighting to stay above water. BERNARD TESTA
BLESS AUBREY OGERIO BusinessMirror Science Reporter
XPANDING connections between non-financial corporations and lenders—shaped by housing trends and higher leverage— are emerging as key risks to watch next year, according to the Financial Stability Coordination Council (FSCC). In a statement over the weekend, FSCC said its top initiative for 2026 is a comprehensive mapping of corporate linkages in the Philippines to identify contagion pathways and stress points
across the financial system. The FSCC said the link between non-financial corporations and the financial system has deepened in recent years, with risks largely shaped by housing market trends and rising leverage in both corporate and household sectors. “The FSCC’s top priority is to stay ahead of emerging risks and respond as one cohesive front,” FSCC Chairman and Bangko Sentral ng
PESO EXCHANGE RATES n US 59.0660 n JAPAN 0.3751 n UK 77.2347 n HK 7.5889 n CHINA 8.2981 n SINGAPORE 45.1678 n AUSTRALIA 38.0208 n EU 68.1031 n KOREA 0.0400 n SAUDI ARABIA 15.7497 Source: BSP (November 21, 2025)