Despite the slow economic growth in the second quarter, newly reelected Asian Development Bank (ADB) President Masato Kanda believed that the Philippines can still achieve 3.8 percent growth for 2026.

"We forecast GDP growth of 3.8 percent this year," Kanda said in a press conference on Monday.

The forecast of Asian Development Bank (ADB) is within this year's target of the Philippine government of 3.5 to 4.5 percent.

The Department of Budget and Management previously reported that "economic growth is projected to slow down to 3.5 to 4.5 percent in 2026 before recovering to 5 to 6 percent in 2027 to 2030."

"Growth is expected to moderate this year amid heightened domestic and external uncertainties, including the lingering effects of governance-related issues, geopolitical tensions in the Middle East, and other global developments affecting business and consumer confidence," it added.

Kanda admitted that the 3.8 growth outlook for 2026 which is supported by expectations of better public investment execution and resilient household consumption is achievable but challenging.

"It is challenging but we think reaching the 3.8 forecast for 2026 is possible, achievable," he said.

The Philippine Statistics Authority (PSA) reported that the gross domestic product (GDP) in April to June 2026 grew to 2.3 percent which is slower than the 2.8 percent growth in the first quarter of the year.

It noted that economic growth in the second quarter is the lowest recorded since the fourth quarter of 2009 excluding the recorded GDP during the pandemic. Robina Asido/PHS