From Buyers to Builders of Growth

The sharp economic slowdown in Western Visayas—now down to 4.3% in 2024 from 6.8% the previous year—should not simply be seen as a drop in numbers. It must be viewed as a wake-up call, a moment to pause, reflect, and redirect.

The newly drawn map of Western Visayas, now centered on Panay Island after the creation of the Negros Island Region (NIR), carries both challenge and opportunity. The challenge is clear: with Iloilo and Iloilo City accounting for over 60% of the regional economy, any drag here—like the persistent inflation that plagued both for most of 2024—has a disproportionate effect on growth. Yet within this vulnerability lies the very key to change.

A consumption-driven economy like Western Visayas is always walking a tightrope. When prices rise, purchasing power weakens, and with it the main engine of growth—household spending. The 3.3% household final consumption growth in 2024, a steep fall from 5.4% in 2023, tells us that the problem is not just macroeconomic. It is personal. It is felt in every kitchen, sari-sari store, and market stall.

But the solution cannot be to wait for inflation to drop or for national subsidies to ease the pain. The region must evolve—from buyers to builders of growth.

The PHP 149.75 billion trade deficit in 2024 underscores the region’s weak production base and heavy reliance on imports. This isn’t just about shipping containers and port activity—it’s about Western Visayas importing most of what it consumes and producing too little of what it needs or could sell. This economic configuration leaves the region highly exposed to external shocks, global price volatility, and supply chain disruptions.

There’s no dignity in dependency. But there is hope in rebuilding.

Boosting local production does not start with massive factories—it starts with policies. Local governments must reexamine their investment priorities. What is being done to support agri-industrial zones in Capiz or Guimaras? Where are the targeted incentives for micro, small, and medium enterprises (MSMEs) to scale their operations and join regional supply chains?

The structural reforms needed are no secret: fix logistics, invest in agricultural infrastructure, reduce red tape, and modernize public transport to cut household costs. These are not new goals. What’s missing is the urgency.

The economic slowdown is not irreversible. But getting back on track demands reform, not repetition. It is time for Western Visayas to stop seeing growth as something to be handed down from national government or to be outsourced through remittances and retail. The region must begin to grow from within.

And this responsibility does not fall on government alone. Regional development councils must work closer with academic institutions, private investors, farmer groups, cooperatives, and consumer watchdogs. These groups hold local knowledge and local stakes. If included in decision-making, they could drive more inclusive and responsive policies.

The Philippine Development Plan 2023–2028 emphasizes regional equity and competitiveness. But such aspirations remain on paper unless they translate into roads paved, seeds sown, goods manufactured, and industries scaled.

Western Visayas is not a poor region—it is an underleveraged one.

The people here are resourceful. The land is rich. The ports are open. What’s missing is alignment: of policies, capital, labor, and vision. And that’s where this turning point must lead us—not to despair, but to direction.

The latest numbers may show a slowdown.

But with bold reforms and broad cooperation, the region can accelerate toward a future it builds for itself.