In the Philippines, the political landscape was defined by the breakdown of the alliance between President Ferdinand Marcos Jr. and Vice President Sara Duterte, culminating in Duterte’s impeachment by the House of Representatives in December 2024. The move reflected a growing power struggle within the governing coalition. At the same time, former President Rodrigo Duterte’s attempt to return as mayor of Davao City occurred amid an ongoing ICC investigation into his anti-drug campaign.
Economic growth reached 5.6% in 2024, below the government target. Extreme weather events disrupted agriculture and slowed public spending. In response, a major tax reform lowered corporate taxes and introduced incentives to attract foreign investment to aim for higher competitiveness internationally.
The government launched a program to create jobs and reduce poverty, but did not initiate structural reforms. Rising tensions in the South China Sea prompted stronger security cooperation with Japan and partners such as France.
