Monetary Board member Benjamin Diokno said the Philippines risks losing its investment-grade sovereign credit ratings due to the twin threats of an oil shock and a prolonged flood-control corruption scandal, as reported by Philstar Biz.
The oil price surge fueled by global tensions could strain the country's external accounts and inflation outlook, while the unresolved corruption case in the flood-control program undermines institutional credibility and investor confidence.
Diokno's warning comes amid ongoing monitoring by international credit rating agencies, which could downgrade the Philippines if fiscal and governance indicators deteriorate further.