How Neoliberalism Failed the Philippines

Following the 1986 People Power Revolution, the Philippines adopted neoliberal free-market policies, prioritizing foreign debt repayment over public investment and industrial growth, which caused the economy to stagnate compared to its neighbors.

Under the Ramos administration, aggressive tariff cuts and deregulation hindered local manufacturing and agriculture. Accession to the WTO further locked the country into a cycle of capital flight and dependency.

The privatization of power and water sectors, intended to lower costs, resulted in some of the highest residential rates in Asia and poor service quality, effectively turning essential public goods into profit-seeking private monopolies.

President Duterte challenged the established neoliberal consensus and foreign policy alignment with the U.S. However, he faced significant structural limitations because the bureaucratic and legal systems were already deeply entrenched in neoliberal dogma.

The video concludes that after 40 years of failed outcomes, including persistent poverty and labor export, the Philippines must pivot toward a development model that prioritizes state-led industrial policy and economic sovereignty.