The International Monetary Fund (IMF) has reduced its economic growth projections for the Philippines, citing ongoing high inflation that is expected to dampen domestic demand. The IMF revised the country’s 2024 GDP growth forecast down to 5.8% from an earlier 6%, and 2025 growth to 6.1% from 6.2%. These estimates fall short of the Philippine government’s projections of 6-7% for 2024 and 6.5-7.5% for 2025. The downgrade is primarily due to slower private consumption growth driven by elevated food prices. Despite the adjustment, the IMF maintains that the Philippines remains one of the region’s highest growth economies, supported by its natural resources and potential for structural reforms. Inflation is projected to average 3.3% in 2024 and 3% in 2025.