Business tycoon Manuel V. Pangilinan has cautioned that the economy could face even greater challenges in 2027, describing the current business environment as the toughest he has encountered in his 45 years in the industry, surpassing even the difficulties brought by the COVID-19 pandemic.
“I think it will be a tougher economic environment next year,” the PLDT chairman and CEO said in remarks reported Nov. 12.
The warning comes as Philippine growth slowed to 2.1% in the third quarter of 2026, down from 4% a year earlier. Household spending grew just 2.4%, while inflation reached 7.8% in October, up from 7.2% in September. Transport prices climbed 20.1% from a year earlier.
When COVID-19 hit in 2020, Philippine inflation stayed low at 2.4% as demand collapsed, then climbed to 3.9% in 2021 and 5.8% in 2022 amid supply chain disruptions and soaring fuel prices. Over 73% of MSMEs temporarily closed during the initial lockdowns, and 88% suffered sharp sales drops and cash shortages.
Pangilinan cited political uncertainty, conflicts in the Middle East, tensions in the South China Sea and rapid advances in artificial intelligence as pressures complicating business decisions.
“There are so many cross currents that are descending upon us,” he said.
He also raised concerns about impeachment proceedings, amid the Senate case involving Vice President Sara Duterte.
The pressure is evident in telecom earnings. PLDT’s service revenue rose 2% to ₱161.2 billion in the first nine months of 2026, but net income attributable to shareholders fell 8% to ₱21.67 billion. The company spent ₱36.6 billion on capital projects through September.
DITO CME Holdings Corp., parent of DITO Telecommunity, posted a ₱11.29 billion first-half net loss attributable to shareholders.
Pangilinan questioned whether four major providers could keep funding expensive networks in a small market. He warned the industry may eventually need fewer operators.
“We have to consolidate, or one of us, two of us have to give up some point,” he said.
