MANILA, Philippines — A Filipino family may earn enough to stay above the official poverty line and still struggle to finish school, secure decent housing, access basic services, or find stable work.
That is the reality highlighted by the Philippine Statistics Authority’s (PSA) newly released Multidimensional Poverty Index (MPI), which found that 12.8% of Filipinos were multidimensionally poor in 2024.
Unlike the country’s traditional poverty statistics, which focus primarily on whether a person’s income is enough to meet basic food and non-food needs, the MPI looks at a broader picture of deprivation — including education, health and nutrition, housing, water and sanitation, and employment.
The findings underscore a critical message: poverty is not always visible in a family’s income.
Poverty Is More Than What’s in Your Wallet
The PSA’s inaugural national MPI used data from the 2024 Community-Based Monitoring System (CBMS) to identify Filipinos living with overlapping disadvantages in essential areas of daily life.
According to the agency, the index complements — rather than replaces — the country’s official income-based poverty estimates.
DEPDev Secretary Arsenio Balisacan said the findings show why measuring poverty through income alone does not tell the whole story.
For many struggling households, the problem is not just a lack of money. It can also mean falling behind in education, living in inadequate housing, lacking essential services, or facing barriers to stable employment — challenges that can reinforce one another and make it harder for families to escape poverty.
Education Emerges as a Major Warning Sign
Among the most significant concerns identified in the MPI is education, with many adults aged 19 and above unable to complete high school.
Housing, water and sanitation also emerged as major areas of deprivation, particularly among households living in makeshift or inadequate dwellings and those without sufficient access to basic services.
This broader approach matters because a household can technically be above the income poverty threshold while still experiencing serious disadvantages that affect long-term well-being and economic opportunities.
The PSA has long emphasized that multidimensional poverty statistics are designed to reveal which specific deprivations families experience, giving policymakers a clearer guide for targeting assistance and public investment.
The Numbers Tell Two Different Stories About Poverty
The release of the MPI comes shortly after the PSA reported that the country’s income-based poverty incidence fell to 9.7% in 2025, down from 15.5% in 2023 — the lowest rate recorded under the country’s official poverty statistics.
The latest figures mean the number of Filipinos living below the official poverty threshold declined from about 17.5 million in 2023 to 11 million in 2025, according to the PSA data cited in the report.
But the new MPI adds another layer to that picture.
A lower income-poverty rate does not automatically mean all other forms of deprivation have disappeared. The two indicators use different methodologies, datasets and reference years, making direct one-to-one comparisons inappropriate. Instead, together they provide a more complete view of the challenges Filipino families face.
Some Basic Services Are Improving — But Gaps Remain
Separate PSA findings from the 2024 Annual Poverty Indicators Survey (APIS) show progress in several basic services. Access to at least basic drinking water service reached 97.5% of Filipino families, while access to basic sanitation services increased to 84.7%.
However, national averages can mask significant regional disparities. For example, the PSA reported substantially lower access to safely managed drinking water and basic sanitation in some regions, including BARMM, highlighting why poverty interventions may need to be more targeted.
What Happens Next Could Matter More Than the Number Itself
The MPI is expected to help government agencies identify not only who is struggling, but also what they are struggling with.
Balisacan said the findings support the need for stronger and better-coordinated interventions, including investments in education, affordable housing, healthcare, food security and livelihood opportunities.
The government has cited programs ranging from adult literacy and housing initiatives to food security measures as part of its broader anti-poverty strategy.
But the real test will be whether the new data translates into improvements that families can actually feel.
Because for millions of Filipinos, escaping poverty may require more than crossing an income threshold.
It may mean finally getting a diploma, a decent home, reliable water, better healthcare — or simply a stable opportunity to build a more secure future.
As the Philippines celebrates progress in reducing income poverty, the PSA’s new index delivers a powerful reminder:
The question is no longer just how much Filipinos earn. The bigger question is whether they have what they need to live with dignity.
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