Infrastructure spending has surged from 1 to 2% of GDP to 5% or more under the Marcos administration, representing the single biggest driver of the Philippines’ above-average economic growth of 5.8% over the past four years, Finance Undersecretary Joven Balbosa said Saturday.
Balbosa made the statement in an interview on DZRH News program Special on Saturday on August 8, as part of the DZRH SONA 2026 Series featuring the Department of Finance (DOF).
“Ang foundation kasi ng growth na talagang sinusuportahan ng Pangulong Ferdinand Marcos Junior, itong infrastructure spending. So from 1% to 2% of GDP, ngayon nakikita natin 5% or more of GDP. Ang lakas nu’n. So ‘yun ‘yung nagpa-power,” Balbosa said.
He said the infrastructure investment covers railways, long-span bridges, highways, and other projects that create employment during construction while improving logistics and productivity for the long term.
Balbosa added that the Marcos administration’s infrastructure push has been complemented by targeted investments in agriculture through the Philippine Rural Development Project, supported by the World Bank and the Asian Development Bank, which includes solar irrigation systems and small impounding facilities for farmers.
He said investments in education and health have also been critical, particularly programs addressing stunting among children, noting that a healthy and educated population is the foundation of sustainable economic development.
Finance Secretary Frederick Go acknowledged that infrastructure spending growth slowed in the period leading up to the current SONA due to reduced public spending, and confirmed the government is actively restoring that spending in the second half of 2026.
Balbosa said the goal is to sustain the 5% GDP infrastructure investment level in the years ahead, saying the experience of the past four years has demonstrated that infrastructure is the most powerful lever available to the government for driving broad-based economic growth.
