Fewer Philippine CEOs optimistic over next 12 months

Fewer business leaders are optimistic over their industry prospects for the next 12 months, with under a tenth of them believing that the government is performing well in fighting corruption, results of the Philippine CEO Survey 2025 released on Monday showed.

The survey, conducted with nearly 200 chief executive officers from July 22 to August 25 this year, showed that 83% of business leaders country are confident about their industry’s prospects for the next 12 months, lower than the record-high 86% recorded in 2024.

Led by Isla Lipana & Co./PwC Philippines in collaboration with the Management Association of the Philippines,  the study found that the decline was mostly due to external factors, such as geopolitical conflicts, shifting global trade policies, and climate change.

“It’s not a significant decline. In general, how we dissect it, all the sectors are growing, but then the results of the external factors are faster now,” PwC Philippines Deals and Corporate Finance partner Trissy Rogacion told reporters in Makati City.

“Before, there’s a lagged effect, but now the impacts are faster. That’s why we need to really have a very responsive government. It’s more they’re positive toward their business and sector, but they know that that optimism can still be affected,” she added.

The same survey showed that 31% of the respondents said they were “very confident,” 52% were “somewhat confident,” 17% were “not very confident,” and the remaining 1% said they were “not confident at all.”

This comes as 25% of respondents said they believe that the global economic growth will decline slightly in the next year, while 15% expect a moderate decline, and 2% expect a significant decline. There were 20% that believe growth will stay the same.

There were 22% who expect a slight improvement, 15% who project a moderate improvement, and 1% a significant improvement.

“CEOs in the Philippines see both the risks and opportunities that lie ahead, such as the rising digital economy, sustained consumer spending, robust banking system, and lower inflation and interest rates, among others,” PwC Philippines chairman and senior partner Roderick Danao said.

“They remain optimistic while at the same time anticipating the headwinds arising from fracturing geopolitics and global trade disruptions, which can trigger inflation,” he added.

More than half or 52% of the CEOs believe their companies will not be economically viable beyond 10 years if they continue running on their current paths, with the majority citing risks to inflation and macroeconomic volatility.

The same survey also asked CEOs which areas they believe the government is performing well at the moment, of which four out of five indices saw a decline, including the administration’s fight against corruption which scored 9%, down from 10% in the previous year.

To recall, President Ferdinand “Bongbong” Marcos Jr. in his State of the Nation Address (SONA) last July warned government personnel who steal public funds — such as those for flood control projects — to have some shame.

He also earlier launched a website on flood control, and urged citizens to report any wrongdoings through the platform, as he found that only 15 firms have cornered 20% of contracts across the country.

An independent commission is also set to be formed to oversee the investigation into anomalous flood control projects that have been riddled with corruption allegations.

Drops were also seen in the CEOs assessment of government performance in managing interest rates (53% from 54% previously), forging stronger relationships with other nations (65% from 74%), and pushing for infrastructure (69% from 83%).

The only index that saw an increase in the satisfaction of CEOs was the government’s management of inflation where 70% said they believe the administration is performing well, up from 58% in 2024 when inflation averaged 3.2%—AOL, GMA Integrated News