PAMCHAM Urges Government to Course‑correct, Restore Efficiency in Public
Construction and Services, and Rebuild Public Trust
The Pampanga Chamber of Commerce and Industry, Inc. (PAMCHAM) expresses deep
concern over the Philippines’ reported 4.4% GDP growth rate for 2025, a notable
decrease from the previous year’s 5.7% and far below government expectations. This
weaker-than-anticipated performance places the Philippines behind many of its regional
counterparts and highlights pressing challenges in economic management and publicsector efficiency.
A key contributor to the slowdown is the sharp drop in public construction spending,
following a corruption scandal involving flood‑control projects. While investigations into
irregularities were necessary, the aftermath generated widespread hesitation within
government agencies—particularly the Department of Public Works and Highways
(DPWH)—resulting in an effective freeze on project approvals and payments. This
disruption affected not only flood‑control initiatives but also key infrastructure programs
vital to economic activity, regional mobility, and national competitiveness.
The paralysis in government processes has caused delays in construction projects,
stalled economic activity in many provinces, and postponed salary releases for affected
workers. Many stakeholders assert that the slowdown stemmed more from administrative
fear and indecision rather than the investigations themselves.
Despite assurances from economic officials that these measures were intended to correct
systemic weaknesses and rebuild institutional integrity, the overall economic impact has
been substantial, placing additional strain on Filipino workers, contractors, families, and
local businesses.
As the Philippines enters 2026, PAMCHAM calls for decisive, transparent, and strategic
action to restore confidence, revive public spending efficiency, and strengthen economic
momentum.
Statements from PAMCHAM Leadership:
Atty. Paul Yusi, PAMCHAM President, stressed the importance of restoring trust and
consistency in public processes:
“The business community needs predictability and confidence in government actions.
While accountability is essential, it must be balanced with continuity in service delivery.
We encourage the government to adopt clear corrective measures that both uphold
integrity and keep the economy moving.”
Mr. Jim Jimenez, PAMCHAM Chairman of the Board, highlighted the broader
implications for Filipino workers and businesses:
“Delays in salaries, halted projects, and slowed provincial activity have real human and
economic costs. The government must take a proactive stance to ensure that the
burdens of governance challenges are not disproportionately carried by ordinary
citizens and small enterprises.”
Atty. Ryan Tan, PAMCHAM Board Director and Director‑in‑Charge of the Infrastructure
Development Committee, emphasized the business sector’s growing concerns:
“Infrastructure is the backbone of regional and national competitiveness. When public
construction stalls, local economies suffer. We urge the government to act swiftly,
ensure that critical projects move forward, and eliminate the climate of uncertainty that
is hindering progress.”
A Call for Clear Direction and Stronger Leadership
PAMCHAM stands with the broader business community in calling for a clear course
correction, improved efficiency in public spending, and a renewed commitment to
transparent, effective governance. These steps are essential to reversing the economic
slowdown and positioning the Philippines for stronger, more sustainable growth within
the region.
PAMCHAM remains ready to collaborate with government agencies, local stakeholders,
and private-sector partners to support initiatives that promote economic resilience,
institutional strengthening, and long‑term national development.