ILOILO City – This city emerged as the only economy in Western Visayas with a per capita gross domestic product (GDP) exceeding the regional average in 2025, reinforcing its position as a major economic hub even as its overall growth slowed to 6.1 percent.
The city’s economy expanded to P181.99 billion last year from P171.59 billion in 2024, according to the Philippine Statistics Authority’s (PSA) latest Provincial Product Accounts (PPA) report.
Despite the expansion, economic growth moderated from 7.1 percent in 2024 to 6.1 percent in 2025, indicating a slower pace of economic activity although production continued to increase.
Iloilo City’s per capita GDP climbed by 5.8 percent to P394,755, making it the only one among the six province- and city-level economies in Western Visayas to surpass the regional average.
The distinction underscores the city’s economic strength relative to its population and its growing importance as a center for commerce, finance, healthcare and other high-value services.
The services sector remained the backbone of the local economy, contributing 5.3 percentage points to the city’s overall 6.1 percent growth.
Among individual industries, human health and social work activities registered the fastest expansion at 14.2 percent, highlighting the increasing contribution of healthcare services to the city’s economic performance.
Construction followed with a 12.6 percent growth rate, reflecting continued activity in infrastructure and property development, while other services expanded by 9.4 percent.
These industries helped sustain economic momentum despite the moderation in the city’s overall growth rate.
PSA Supervising Statistical Specialist Elgie A. Gulane-Rosenblad, officer-in-charge of the Subnational Economic Accounts Division, said the latest figures demonstrated the continued expansion of businesses and production activities in Iloilo City.
“The GDP of Iloilo City in 2023 increased to P160.20 billion, then rose to P171.59 billion in 2024 — an P11 billion surge indicating business expansions and additional production,” Gulane-Rosenblad noted.
She emphasized that the slower growth rate should not overshadow the city’s continued economic gains.
“In 2025, it grew further to P181.99 billion, meaning businesses continued to expand and overall production increased across industries in Iloilo City. While some might notice the slight deceleration to 6.1% from 7.1% in 2024, it remains a highly positive result and a strong economic performance,” she added.
The figures showed that Iloilo City’s economy increased by approximately P21.79 billion between 2023 and 2025, reflecting sustained growth over the two-year period.
While Iloilo City stood out in per capita GDP, it ranked fourth among Western Visayas economies in terms of economic growth in 2025.
The PSA report also showed that all six province- and city-level economies in the region recorded year-on-year expansion, indicating that economic growth extended beyond the regional urban center.
The latest figures further highlighted the complementary economic roles of Iloilo City and Iloilo Province.
While the province remains an important center for agriculture and manufacturing, the city continues to strengthen its position in services, healthcare, commercial development and urban enterprise.
The city’s economic performance demonstrates its growing capacity to generate economic output, although sustaining that momentum amid moderating growth will remain a key challenge in the coming years.
For Iloilo City, the latest PSA figures point to an economy that continues to expand, with its strength increasingly anchored on service-oriented industries and healthcare development./PN
