Philippines' President Ferdinand Marcos has ordered government agencies to cut operating and maintenance spending by at least 10%, equivalent to roughly $4.8 billion, amid surging energy costs, Nikkei Asian Review reported, citing his address to Japanese media ahead of Tokyo visit.
Marcos warned of stagflation risks, saying the government was trying to contain slowing growth, rising inflation and unemployment pressures. The Philippines, heavily reliant on imported fuel and lacking broad energy subsidies, has been among the region's hardest hit by disruptions around the Strait of Hormuz. GDP growth slowed to 2.8% in the first quarter while inflation accelerated to 7.2% in April, the report said.
The administration has declared an energy emergency, rolled out transport subsidies and sought to cap food prices, though producers are now seeking price increases, the Nikkei said.
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