Addressing corruption key to restoring investor trust

The country’s economic slump might continue in 2026 if concrete reforms are not instituted to address corruption and governance issues, according to former Bangko Sentral ng Pilipinas (BSP) deputy governor Diwa Guinigundo.

“Unless the government is able to resolve the issue of corruption and bad governance, it will be very difficult to restore the trust of investors and businesses in our country,” he said.

“We can expect that this year, the economy will continue to slow down, which will impact growth, employment and the improvement of our livelihoods in the Philippines,” Guinigundo added.

Earlier, think-tank Stratbase Group said majority of Filipinos consider corruption making a heavy impact on the economy, in particular on rising prices and weaker services.

“Filipinos recognize that corruption has direct consequences on their daily lives. When public funds are misused, people feel it through higher prices, weaker public services, and fewer job opportunities,” said Victor Andres Manhit, Stratbase Group founder and CEO.

Manhit cited a Stratbase-commissioned Pulse Asia survey in December which showed at least 38% of respondents identified making food prices more affordable as the most urgent action government leaders should take, followed by reducing or eliminating corruption to improve service delivery (31%) and creating more jobs and livelihood opportunities (21%), making these the highest-ranked concerns across regions and socio-economic classes.

For Guinigundo, political issues must be addressed first for economic growth to rebound.

“Why would anyone invest in an economy where they know that the funds for infrastructure, public education and public health are at stake? These elements are crucial for human capital development and ultimately determine whether our economy will thrive or not,” he said.

Manhit said based on the survey conducted December 12-15, 2025, Filipinos view corruption as an economic issue rather than a purely moral one.

“The public is not presenting an either-or choice…They expect government leaders to address urgent economic concerns while at the same time ensuring accountability through investigation, arrest, and prosecution of those involved in corruption,” he said.

Corruption issues have also dragged down the ratings of President Ferdinand Marcos Jr., said Senate President Pro Tempore Panfilo Lacson.

In Pulse Asia’s December survey, the President logged a 34% approval rating and a 32% trust rating. His disapproval rating, on the other hand, stood at 48% while his distrust rating was at 47%.