MANILA, Dec. 12 (Xinhua) -- A new World Bank report released this week said that the Philippines' progress in reducing poverty will continue, leading to a drop in poverty incidence this year until 2026.
Due to robust economic growth and rising real household incomes, poverty incidence (based on the lower-middle-income country poverty line of 3.65 U.S. dollars per day) is projected to decrease from 15.5 percent in 2023 to 13.6 percent in 2024 before falling further to 11.3 percent by 2026, said the report.
However, the latest Philippines Economic Update warned that the recurrence of climate events such as tropical cyclones and vulnerability to food price shocks pose risks.
The report said that these weather-related shocks have damaged homes and infrastructure and disrupted businesses and livelihoods in the past.
Meanwhile, the report added that household income vulnerability and vulnerability to climate disasters may undermine the potential for continued poverty reduction.
Proactive government measures are crucial to protect poor and vulnerable households, the report said, adding that the Philippine authorities are actively adopting policies to mitigate these shocks.
The Philippines' poverty rate declined to 15.5 percent in 2023 from 18.1 percent in 2021, the Philippine Statistics Authority said in July. ■
