The Philippines Statistics Authority (PSA) announced on Friday that the number of poor Filipinos in the first half of this year has decreased compared to 2021. According to the PSA, the poverty rate dropped from 23.7 percent to 22.4 percent, resulting in about 900,000 Filipinos crossing the poverty line. The poverty line was set at P13,797 for a family of five, and this improvement is certainly a positive development for the country.
It is worth noting that the poverty line in the same period in 2021 was P12,082. This increase in the poverty line reflects the rising cost of living and the need for higher income thresholds to meet basic needs. Despite this, the decrease in the poverty rate is a significant achievement and indicates progress in addressing poverty in the Philippines.
In addition to the overall poverty rate, the number of Filipinos who cannot afford basic food needs also decreased. During the same period, the percentage of Filipinos unable to buy their basic food needs decreased from 9.9 percent to 8.7 percent. This represents a decrease of approximately 1.15 million individuals who now have improved access to food.
Furthermore, the subsistence incidence, which measures the proportion of Filipinos whose income is insufficient to cover even basic food demands, also saw a decline. In the first semester of 2023, the subsistence incidence was reported at 8.7 percent or around 9.79 million people. This is a decrease from 9.9 percent in 2021, indicating that more Filipinos are now able to meet their basic food requirements.
The report also highlights the regional disparities in poverty incidence. The poverty rate decreased in 15 out of the 17 regions from 2021 to 2023, with significant declines observed in the National Capital Region, Cordillera Autonomous Region, Cagayan Valley, Central Luzon, Soccsksargen, and Caraga. However, the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) still has the highest poverty incidence in the country.
Socioeconomic Planning Secretary Arsenio Balisacan attributed the positive trends to various government interventions. Programs such as the Targeted Cash Transfer Program, fuel subsidies, one-time rice allowances, and the Libreng Sakay Program have helped mitigate the adverse effects of inflation on poor households. Additionally, the lifting of Covid-19 restrictions and the reopening of the economy have contributed to the improved poverty situation.
Balisacan also highlighted the country’s efforts to manage inflation, which has resulted in a significant drop in the inflation rate. From a high of 8.7 percent in January, inflation has decreased to a 20-month low of 4.1 percent in November this year. This achievement further supports the government’s commitment to addressing poverty and improving the overall economic situation in the Philippines.
Looking ahead, the Philippine Development Plan 2023-2028 aims to reduce the poverty incidence rate to 16.4 percent this year and further decrease it by 13.2 percent by 2025. The government’s focus on poverty reduction demonstrates its commitment to improving the lives of its citizens and creating a more equitable society.
In conclusion, the decrease in the poverty rate and the improvement in access to basic food needs are positive indicators for the Philippines. Government interventions, economic growth, and efforts to manage inflation have contributed to this progress. However, regional disparities in poverty incidence remain a challenge that needs to be addressed. With the government’s commitment and the implementation of targeted policies, the Philippines can continue to make strides in reducing poverty and improving the well-being of its people.
Source: The Manila Times
