By Benjamin Cuaresma
MANILA — Employers Confederation of the Philippines (ECOP) President Emeritus and Philippine Chamber of Commerce and Industry (PCCI) Chairman Emeritus Sergio Ortiz-Luis Jr. expressed concern over the country’s economic performance, warning that weak growth, persistent corruption issues, and political instability are undermining investor confidence.
In a radio interview on Thursday, Ortiz-Luis pointed to the Philippines’ reported 2.8-percent gross domestic product (GDP) growth rate, describing it as one of the weakest performances in decades outside the COVID-19 pandemic period.
“Economic conditions are not improving,” he said, noting that unemployment has increased compared to last year while investments remain limited.
According to the veteran business leader, the country needs sustained annual economic growth of around 7 to 8 percent to achieve meaningful development and keep pace with regional competitors.
Ortiz-Luis said concerns surrounding alleged irregularities in flood control projects continue to weigh heavily on the business community, as investors seek transparency, accountability, and political stability before committing capital.
He noted that expectations that the controversy would be resolved this year have not materialized, leading to uncertainty among both investors and potential tourists.
“The perception problem remains,” Ortiz-Luis said, stressing that businesses are looking for concrete actions and visible results from ongoing investigations.
The ECOP chief also raised concerns over continuing political disputes and controversies, saying these issues divert attention from pressing economic challenges faced by ordinary Filipinos.
He urged government leaders to focus on restoring confidence in public institutions, resolving governance issues, and prioritizing economic reforms.
“Investors value stability,” Ortiz-Luis said. “The government must focus on solving the problems affecting confidence and address the concerns that are discouraging investments.”
He added that negative perceptions could take years to reverse, with many foreign investors typically evaluating political and economic conditions over a two- to five-year period before making long-term commitments.
Ortiz-Luis also linked concerns about alleged corruption to limited government resources for development programs, particularly those intended to support small and medium enterprises and export-oriented industries.
Despite the challenges, he expressed hope that authorities would move swiftly to address governance issues and refocus national attention on economic growth, job creation, and improving the welfare of Filipinos.
“The priority should be solving the country’s economic problems,” he said. “That is what investors and the public want to see.”
ia/xf
