Manila: The country's poverty rate has declined to 15.3 percent in 2023 from 18.1 percent in 2021, aided by government measures aimed at reducing the number of impoverished Filipinos. This improvement exceeds the government's targeted range of 16 percent to 16.4 percent, as outlined in the Philippine Development Plan 2023-2028.
According to Philippines News Agency, data from the Philippine Statistics Authority revealed a reduction in the number of poor Filipinos whose income is insufficient to meet basic food and non-food needs, dropping to 17.54 million from 19.99 million in 2021. Poverty incidence among families also decreased to 10.9 percent, affecting 3 million families compared to 3.5 million families at the end of 2021.
In 2023, ten out of the fourteen basic sectors identified under Republic Act 8425, or the Social Reform and Poverty Alleviation Act, experienced a decline in poverty incidence. Senior citizens, formal labor and migrant workers, and urban residents recorded the lowest poverty incidence among these sectors at 7.8 percent, 8.3 percent, and 10.3 percent, respectively, compared to higher rates in 2021.
Further data from the PSA indicated declines in poverty rates among other sectors, including youth (14.1 percent from 16.5 percent), persons aged 15 years and above with disabilities (14.1 percent from 17.2 percent), women (15.6 percent from 18.3 percent), and self-employed and unpaid family workers (16.1 percent from 18.5 percent). Children, farmers, and fisherfolk also saw reductions in poverty incidence.
For the first time, the PSA provided poverty incidence estimates for indigenous peoples, recording a rate of 32.4 percent. The Department of Economy, Planning, and Development (DEPDev), previously the National Economic and Development Authority, noted that the decline in poverty incidence is a step towards the Marcos administration's goal of achieving a single-digit poverty rate by 2028. DEPDev Secretary Arsenio Balisacan emphasized the government's continued commitment to effective policies and initiatives for improving the lives of Filipinos.
Rizal Commercial Banking Corporation chief economist Michael Ricafort suggested that economic growth and increased investments in education are key to further reducing poverty. He highlighted education and global technologies as equalizers that could enhance productivity, particularly in agriculture, which employs a significant portion of the workforce but contributes less to the GDP.
Department of Finance Secretary Ralph Recto expressed optimism about achieving a single-digit poverty level before the end of the Marcos administration, focusing on economic growth, job creation, and investments in infrastructure, education, and health.
