Bicol Economy Inches Up 0.5% in 2025 Amid Agriculture, Construction Slump
Legazpi City – The Bicol region’s economy posted modest growth of 0.5 percent in 2025, with its gross regional domestic product (GRDP) rising by PHP3.63 billion, the Philippine Statistics Authority (PSA) reported.
PSA-5 Regional Director Cynthia Perdiz said the region’s GRDP reached PHP644.15 billion, up slightly from PHP640.82 billion in 2024.
The services sector remained the main driver of the economy, accounting for 53.8 percent of total output and growing by 6 percent to PHP346.67 billion. Industry followed with a 33.6 percent share, while agriculture, forestry, and fishing contributed 12.6 percent.
Among industries, human health and social work activities recorded the fastest growth at 12.7 percent, followed by public administration and defense at 9.1 percent, and education at 8.7 percent.
However, overall economic expansion was weighed down by a 2.9 percent contraction in agriculture, largely due to adverse weather conditions such as heavy rainfall and tropical cyclones that disrupted crop production, livestock, and fisheries.
Construction also declined sharply by 12.9 percent, attributed to delays in public infrastructure projects. Perdiz noted that some projects were halted amid flood control issues, affecting implementation across the region, including in Sorsogon.
Looking ahead, Jasmin Zantua of the Department of Economy, Planning and Development emphasized the need to address structural challenges to sustain growth.
She said development priorities under the Bicol Regional Development Plan 2023–2028 include strengthening climate-resilient agriculture, improving mechanization and post-harvest systems, and expanding livelihood opportunities for farmers and fisherfolk.
In the industry sector, the region aims to accelerate infrastructure development, support micro, small, and medium enterprises (MSMEs), promote responsible mining, and encourage digitalization and innovation to attract investments and generate jobs.
For services, strategies focus on enhancing transportation and digital connectivity, upgrading education and healthcare systems, expanding financial inclusion, and revitalizing tourism to boost competitiveness and sustain growth.
NPO News Team | Philippine News Agency - PR
