Debt servicing hits P140 billion in July

The Philippines' unemployment rate rose to its highest level in over four years in July, with more Filipinos entering the workforce but struggling to find jobs. According to preliminary results from the Philippine Statistics Authority's Labor Force Survey, the unemployment rate increased to six percent in July from the previous month's 4.9 percent and 5.3 percent in the same month last year.

This rate was the highest since January and February 2022 and matched the levels recorded in May and June 2022. In July, there were 3.14 million jobless Filipinos, up from 2.59 million the previous month and 2022. National Statistician Dennis Mapa stated that more people joined the labor market, but not all jobs were available. Employers Confederation of the Philippines president Sergio Ortiz-Luis Jr. noted that businesses are cautious and not hiring due to uncertainty, including US President Donald Trump's policies, wage hikes, and flood control measures.

Inflation remains a concern, even though it eased to 6.1 percent in August. The labor force participation rate was at 63.6 percent in July, slightly lower than the previous month and higher than July 2025. The employment rate declined to 94 percent, down from 95.1 percent the previous month and 94.7 percent in 2025. Underemployment was estimated at 12.9 percent, up from 12.1 percent the previous month but lower than the 14.8 percent in 2025.

The government plans to support workers and businesses by strengthening support, improving ease of doing business, and implementing reforms to better prepare for future challenges.