BY CHYNNA GRACE ONG
THE Philippine Economic Zone Authority (PEZA) on Monday said the World Bank’s upgrading the country to upper-middle-income status should drive improvements in government services and investment promotion to meet rising investor expectations.
“Investors will expect faster government services, more reliable infrastructure, clearer regulations, stronger digital systems, better logistics, a deeper talent pool, and a more predictable business environment,” PEZA Director General Tereso Panga said.
He noted that the country’s higher income status could strengthen domestic demand, improve investor confidence, and support import substitution and investments in semiconductors, electronics, green industries and artificial intelligence services.
The government, in turn, should treat ease of doing business as a national competitiveness strategy by speeding up permits, improving inter-agency coordination, integrating digital systems, and aligning infrastructure with industry needs, Panga added.
The country’s new status also validates PEZA’s investment promotion efforts. From 2022 to 2025, Panga said the agency posted an average annual growth of 22.9 percent in approved investments.
Over the past 4.6 years, it approved P932.17 billion in ecozone investments, exceeding the P877.8 billion of the previous administration.
The World Bank recently reclassified the Philippines as an upper-middle-income economy after its gross national income per capita reached $4,850 in 2025, above the $4,636 threshold.
The Philippines joined Jordan, Micronesia, Sri Lanka, and Vietnam in moving up from lower-middle-income status this year.
