The Philippines has entered the World Bank’s upper-middle-income category after its gross national income (GNI) per capita climbed to a record $4,850 in 2025, marking a milestone for an economy that has sustained growth despite global headwinds.
The World Bank’s annual income classifications, released Wednesday, moved the Philippines from the lower-middle-income group alongside Jordan, Micronesia, Sri Lanka and Vietnam.
The World Bank defines upper-middle-income economies for the current fiscal year as those with GNI per capita between $4,636 and $14,375. The Philippines exceeded that threshold after its GNI per capita rose from $4,470 in 2024.
“The Philippines achieved its reclassification through broad-based expansion. GDP grew at an average of 5.8% per year over five years, reflecting gains across all major industries, not a single sector boom, but an economy-wide shift,” the Washington-based lender said.
The World Bank credited the upgrade to resilient domestic demand, easier monetary policy and investment reforms that helped drive growth across both the public and private sectors.
It said the classifications provide a consistent benchmark for comparing economies, although they do not fully reflect a country’s overall level of development.
