ILOILO City –This southern city has been recognized as the fastest-growing city in Western Visayas and the second fastest-growing among the 33 highly urbanized cities in the Philippines, following Puerto Princesa, Palawan.
Based on the latest date released by the Philippine Statistic Authority (PSA) – Iloilo Provincial Statistics Office, the city experienced a notable economic surge, with its Gross Domestic Product (GDP) increasing by 10.5 percent to P160.28 billion in 2023 from P145.07 billion in 2022.
Iloilo City’s Mayor Jerry Treñas attributed this success to the collaborative efforts of the local government, private sector, and residents.
He emphasized the city’s thriving business environment and the commitment to sustaining economic growth.
“This is a testament to the hard work of our business community, the efficiency of our local government, and the steadfast support of every Ilonggo. As your city mayor, I extend my heartfelt gratitude to all stakeholders who contributed to this success,” said Treñas.
According to PSA-Iloilo Supervising Statistical Specialist Engr. Jerry L. Dolutan, out of the 16 production industries, all except agriculture, fishing, and related activities contributed positively to Iloilo City’s remarkable 10.5 percent economic growth in 2023.
The key contributors to growth include wholesale and retail trade, repair of vehicles and motorcycles, accommodation and food services, financial and insurance activities.
On the other hand, the top three fastest-growing industries include accommodation and food services, transportation and storage.
Dolutan stressed that these industries were pivotal in driving the city’s economic expansion, showcasing its vibrant services sector and growing appeal as a business and tourism hub.
In terms of Iloilo City’s economic structure, the top three industries by share were wholesale and retail trade, repair of vehicles and motorcycles, and financial and insurance activities.
These three industries collectively accounted for 48.1% of the city’s economy, demonstrating their critical role in driving economic growth.
Meanwhile, for providing timely and complete data for the compilation of the 2023 Provincial Product Accounts, the Iloilo City government has been recognized as the Best Local Government Unit.
Local Economic Development and Investment Promotion Office (LEDIPO) head, Velma Jane Lao, received the award from the PSA-Iloilo Provincial Statistics Office on Nov. 26, 2024, during the Data Dissemination Forum on the 2023 Economic Performance Report of the province and city at Sam’s 21 Ballroom in Mandurriao.
During the press briefing, Lao shared that the city government plans to offer incentives for small and medium enterprises (SMEs), and technology startups once the revision of the Incentive Code is finalized.
Lao also mentioned that the city government plans to provide financial assistance to tech startups and is in the process of preparing guidelines to ensure compliance with the Commission on Audit (COA) rules regarding the provision of seed funds to private entities.
She underscored that this initiative is part of the city’s continued efforts to foster a vibrant business environment, supporting innovation and growth across various sectors.
Specifically, PSA-Iloilo data showed that Iloilo City’s services sector led the regional growth, with a 21.9 percent share and the highest per capita GDP of P337,805, more than double the regional average of P126,572.
The services sector in region 6 grew by 10.2 percent in 2023, with Iloilo City and the province of Iloilo recording faster growth rates than the regional average.
Likewise, Iloilo City emerged as the fastest-growing key services hub among all provinces and HUCs in the country.
Iloilo contributed 19 percent to the regional services sector, while Iloilo City had a larger share at 21.9 percent, underscoring its role as a leading economic driver in the region.
Iloilo City recorded the highest per capita GDP in the region at P337,805, reflecting its strong economic performance and exceeding the regional average of P126,572 by more than double.
For her part, Nelida Amolar, Officer-in-Charge of PSA Region 6, said the economic performance of cities and provinces aim to guide the development of targeted policies.
Amolar said the data, sourced from various government agencies and the private sector, is instrumental in formulating effective actions to enhance the economy.
She also stressed the need for a strong commitment to institutionalize these data-driven practices by 2025.
Amolar called for stronger collaboration and more regular data production, particularly from the province and city of Iloilo, to ensure more accurate and actionable insights./PN
