His speech highlighted expanded support for small businesses, investments in agriculture and key industries, and the rollout of affordable rice programs. The President also announced full government coverage of medical expenses in public hospitals, broader energy subsidies for low-income households, and initiatives to promote renewable energy. Stressing unity and public service, he urged that economic progress must translate into tangible improvements in the lives of ordinary Filipinos.
Agriculture & Food Security
President Marcos Jr. emphasized key agricultural achievements, including expanded irrigation, farm-to-market roads, and productivity programs for rice and coconuts. He reaffirmed the viability of ₱20-per-kilo rice through KADIWA stores, while warning against price manipulation, labeling it “economic sabotage.” Land ownership was granted to long-time farmers, with debt relief measures underway, and fiberglass boats were distributed to support fisherfolk. Over 8 million farmers and fishers have benefited from government aid. A nationwide coconut planting initiative was also launched, with a target of 100 million trees by the end of his term, alongside a call to amend the Coconut Farmers and Industry Trust Fund Act to better serve the sector.
Anti-Corruption & Governance
In response to the recent devastation caused by Typhoons Crising, Dante, and Emong, President Marcos Jr. expressed strong frustration over the failure of flood-control projects and the misuse of public funds. He directed the Department of Public Works and Highways (DPWH) to immediately inspect and audit all typhoon-related infrastructure projects under his administration, with findings to be made public to ensure transparency and accountability. The President condemned corrupt practices and issued a stern warning to officials involved. Additionally, he asserted executive control over the 2026 National Budget, stating that any proposals not aligned with the National Expenditure Program will not be approved. The President told all government officials must act accordingly with the best interests of the Filipino people.
Climate Change
President Marcos Jr. raised concerns over the increasing threat of natural disasters, noting that 12 more typhoons are expected this year and four volcanoes remain active. To strengthen disaster preparedness, he called for the integration of modern technology into monitoring and prediction systems to enable automated, real-time responses. He also emphasized the importance of continuous improvement, urging Filipinos to apply lessons from past experiences. A key initiative includes the establishment of dedicated evacuation centers to reduce reliance on schools, ensuring both effective sheltering and uninterrupted education during emergencies. Pres. Marcos Jr. noted that the frequent occurrence of natural disasters requires the Philippines to adopt and prepare meticulously beforehand to withstand the impact of these disasters.
Digitalization & IT
President Marcos Jr. announced that the National Broadband Project has entered its fourth phase, with over 19,000 Filipinos now benefiting from the free Wi-Fi program. To further bridge the digital divide, the government plans to distribute over 1 million SIM cards to 12,000 public schools lacking internet access and build new cell sites in remote and underserved areas. He also introduced the expansion of 40 digital government services via the eGov PH app, streamlining access to essential services such as PhilHealth, Pag-IBIG, GSIS, driver’s license renewal, immigration documents, and job applications. Committed to improving public service delivery, the President vowed to eliminate inefficiencies and corruption, declaring: “Walang pila. Walang fixer. Walang korapsyon. (No long lines, no fixers, no corruption)."
Economy
President Marcos Jr. highlighted the Philippines’ accelerating economic momentum, attributing the rise in business confidence to streamlined regulatory processes and a more responsive investment climate. In a bold message to the global business community, “The Philippines is ready. Invest in the Filipino.”, he positioned the country not just as an emerging market, but as a strategic hub for innovation, services, and talent in the region. With a young, skilled, and adaptable workforce, the Philippines offers a competitive edge for investors seeking long-term growth in a dynamic and resilient economy. Key initiatives include low-interest capital loans, free capacity-building programs, and support for MSME development to foster entrepreneurship and self-sufficiency. The President’s remarks signal a clear intent to align governance with global business expectations, reinforcing the country’s commitment to transparency, efficiency, and inclusive development.
Education
President Marcos Jr. underscored that quality education must prioritize meaningful learning over infrastructure alone. Through the ARAL program, the government aims to support academically struggling students, while investing ₱1 billion in barangay child development centers and expanding mental health services through additional school counselors. The YAKAP caravan will deliver free health services to students and teachers, and incentives will be provided to teachers handling extra workloads. As the education system advances toward digitalization, efforts include distributing laptops, enhancing the TVET curriculum, and offering industry-recognized certifications to better equip senior high school graduates for employment. With the Philippines ranking second in Asia for youth TVET enrollment and 114 universities recognized globally, the President pledged to add 200,000 more TVET scholars and introduce a Presidential Scholarship for high-performing senior high school graduates signaling a strong push toward inclusive, future-ready education.
Foreign Affairs
President Marcos Jr. reaffirmed the Philippines’ longstanding foreign policy of being “a friend to all, and enemy to none,” a principle that will guide the country as it prepares to host the 2026 ASEAN Summit. Demonstrating this commitment, the Philippines has strengthened diplomatic cooperation, notably with the Sultanate of Oman in securing the release of Filipinos held by Houthi rebels, and with Gulf nations namely UAE, Qatar, Bahrain, and Kuwait that granted clemency to over 600 distressed Filipinos. The President expressed deep gratitude for these humanitarian efforts, underscoring the value of strategic partnerships in protecting Filipino citizens abroad.
Healthcare
Over the past three years, 530 Bagong Urgent Care and Ambulatory Service (BUCAS) centers have been established across 32 locations, offering free outpatient services such as consultations, lab tests, and x-rays. Building on this momentum, President Marcos Jr. aims to expand the network nationwide to improve access to primary care. Complementing this initiative, PhilHealth benefits have been broadened to cover heart disease treatment, dialysis, eyeglass prescriptions, and therapy for persons with disabilities, with plans to increase financial support for kidney transplants and cancer care. The government also seeks to implement a “Zero Balance Billing” policy in DOH hospitals, ensuring full coverage for basic accommodations. To streamline access, basic medical services will be integrated into the eGov PH app, reinforcing the administration’s commitment to accessible, transparent, and patient-centered healthcare.
Infrastructure & Transportation
Under the Build Better More campaign, President Marcos Jr. emphasized a forward-looking approach to infrastructure, stating, “We are not building for today; we are also building for tomorrow.” Key transportation upgrades include increasing LRT and MRT discounts from 20% to 50% for students, seniors, and PWDs, introducing a 1+3 Pamilya Pass for Sunday travel, and activating the long-idled 2014 Dalian trains, adding nearly 50 new carriages. The revival of the iconic 1970s “Love Bus” will begin with pilot runs in Davao and Cebu to expand free public transport. Major infrastructure projects were also highlighted, such as the PNR Bicol line extension, SLEX reopening, Guadalupe Bridge rehabilitation, and connectivity improvements in Mindanao and Tawi-Tawi. While some projects may extend beyond his term, the President framed these efforts as foundational investments in long-term mobility and national development.
Labor & Employment
President Marcos Jr. reaffirmed his administration’s commitment to reducing unemployment by working closely with DOLE, DTI, DSWD, and DOST to create inclusive opportunities for the remaining 4% of jobless Filipinos. He also outlined plans to strengthen strategic industries such as automotive, electronics, biotechnology, pharmaceuticals, critical minerals, textiles, Halal products, construction, and energy. While promoting industrial growth, the President emphasized that agriculture remains a viable and profitable enterprise, urging Filipinos to recognize its potential in driving sustainable economic development.
Public Utility Services
President Marcos Jr. acknowledged the ongoing challenges faced by 3 million households without electricity and 6 million without access to clean water. Since the start of his term, over 2 million households have gained electricity through ongoing installations and the Solar Power Home System program, which will be expanded to reach more remote provinces. He directed the DENR to accelerate net metering initiatives and urged the Energy Regulatory Commission to approve refunds for unused electricity payments. On water access, a Mass Water Filtration System will be developed and distributed, while the Local Water Utilities Administration (LWUA) has been tasked with monitoring service delivery to ensure clean water reaches all communities. These efforts reflect a broader push toward inclusive, sustainable access to essential utilities.
Legislative Matters
Before President Marcos Jr. delivered his fourth SONA, the 20th Philippine Congress opened its session with the election of new leaders in both chambers. Committee chairpersons for the Senate and House of Representatives were also appointed. Senate President Francis Escudero urged his colleagues to uphold integrity and transparency in crafting responsive legislation. He emphasized unity and collaboration as essential to addressing national challenges. House Speaker Martin Romualdez called on lawmakers to prioritize laws that uplift the lives of ordinary Filipinos. He stressed the importance of inclusive policies and proactive governance in driving national progress. He further noted that the legislative priorities of the House of Representatives (HOR) for this Congress centers on food security, employment opportunities, educational improvements and public health services expansion.
Access the list of Committee Chairpersons for the Senate and the House of Representatives below.
What does this mean for German-Philippine business relations?
GPCCI welcomes President Ferdinand Marcos Jr.’s State of the Nation Address, especially the strong focus on ease of doing business, skills development, and climate action. These are shared priorities where German businesses are eager to contribute.
This year alone, we’ve facilitated business delegations in Energy and MedTech, with a Water Technologies mission set for later this year, reflecting growing momentum for long-term, sustainable partnerships.
We also work closely with TESDA on the co-certification of training programs, helping advance skills development in emerging technologies and technical fields.
In the Spring 2025 edition of the AHK World Business Outlook Survey, respondents identified regulatory uncertainty, demand fluctuations, and rising raw materials as the top risks facing businesses in the Philippines. The government's strategic initiatives on enhanced e-governance, accelerated digitalization, and reforms to improve ease of doing business are expected to reduce operational costs, streamline compliance, and create a more stable and predictable environment for both local and foreign enterprises. Germany brings proven expertise in infrastructure, digitalization, and vocational training, all essential for inclusive, future-ready growth. As the urgency around climate action rises, we stand ready to support the Philippines in building a circular economy, scaling green energy, and creating sustainable, high-quality jobs.