Good morning and happy Thursday — it’s June 26.
In today’s issue: we break down why the Filipino middle class is shrinking, give you the latest on the Duterte cases, and serve up key business and investment updates from the PH. We also round up the biggest global headlines, plus quick dives into tech and science you actually want to read.
Also — we’ve leveled up on Instagram. If you’re into daily explainers, smart carousels, and sharp video breakdowns, we’re dropping them daily.
📲 Follow us (Click here) and say hi in the comments. We’d love to hear from you.
Join nearly 20,000 smart, curious Filipinos who stay sharp with the news that matters.
📩 Sign up here.
Got tips, tsismis, or feedback? We’re all ears → [email protected]
PESO EXPLAINS
Is the Middle Class in the Philippines Shrinking?
Why earning ₱50K a month still feels like barely surviving on a time, earning ₱50,000 a month meant “nakakaangat ka na sa buhay.” Today? It feels like treading water — or worse, drowning in bills, debt, and delivery fees. Welcome to the Philippine middle class in 2025: not poor enough for subsidies, not rich enough for comfort — and stuck in the most financially fragile spot of all.
Who exactly is middle class?
According to the Philippine Institute for Development Studies (PIDS), a Filipino household is considered middle class if it earns ₱23,000 to ₱140,000 per month, depending on size. For a family of 4, the “typical” middle class monthly income is around ₱43,000 to ₱77,000.
Sounds solid, right?
But with inflation averaging 6%+ in the last few years, that income doesn’t stretch like it used to. A ₱1,000 grocery run in 2019 now costs ₱1,300+. Gas, rent, tuition, kuryente — everything’s up, but salaries? Not so much.
The Pressure Cooker
Middle-class Filipinos often carry the heaviest economic burden:
They pay full taxes (12% VAT, income tax) without many deductions.
They send siblings to school and help extended family.
They aspire — car loans, house mortgages, family vacations — often funded by credit.
That’s the trap: aspirational spending fueled by "kaya mo na" pressure, without the safety net of generational wealth. Credit cards, BNPL apps, and bank loans provide the illusion of progress — until the bills pile up.In fact, consumer debt in the Philippines grew 20% year-on-year in 2024, driven largely by personal loans and credit card usage among working professionals.
Why It Feels Like the Middle Is Collapsing
Even if the middle class has grown in number, its quality of life is declining. Studies by the Asian Development Bank show a rising number of “vulnerable middle-class” Filipinos — just one job loss, illness, or economic shock away from poverty.
Add the rise of gig work, contractual jobs, and expensive urban living, and the foundation starts to crack. The result? Millions of Filipinos stuck in a paradox: working harder than ever, but unable to move up.
Why it matters
A strong middle class is the backbone of any economy — they fuel consumption, pay taxes, and drive small business. But if they’re overwhelmed, overtaxed, and one crisis away from collapse, the entire system suffers.
MARKETS
Market at a glance
PSEi: 6,325.64
BSP Rates: 5.25% (borrowing) | 4.75% (deposit) | 5.75% (lending)
🌐 Global Markets
Bitcoin: $107,818.28
Gold: $3,388.04 - $3,389.56
💱 Exchange Rates (PHP per 1 unit)
🇺🇸 USD: ₱56.72
🇬🇧 GBP: ₱77.85
🇸🇦 SAR: ₱15.12
🇯🇵 JPY: ₱0.39
🇪🇺 EUR: ₱65.81
🇦🇪 AED: ₱15.44
Note: Exchange rates may vary slightly depending on provider.
MAIN STORIES
ICC Seeks Witness Protection as VP Duterte’s Impeachment Trial Nears
Tomohiro Ohsumi / Getty
The Philippines is facing two major political developments: a renewed request from the International Criminal Court (ICC) for witness protection in its investigation into former President Rodrigo Duterte, and the scheduled impeachment trial of Vice President Sara Duterte.
ICC Moves Forward on Duterte Case
The ICC has formally requested the Philippine government to provide witness protection for individuals expected to testify in its case against former President Duterte. The court is investigating alleged crimes against humanity linked to his administration’s anti-drug campaign.
Key context:
The request underscores the ICC’s intent to advance its case and ensure the safety of witnesses.
The Philippine government’s response could influence its relationship with the ICC and broader international legal norms.
The case remains a point of national and global interest, particularly regarding human rights and rule of law.
Vice President Sara Duterte’s impeachment trial is tentatively set to begin on July 29, aligned with the opening of the 20th Congress. She faces charges related to the alleged misuse of confidential funds and constitutional violations. The House of Representatives approved the impeachment, sending it to the Senate for trial.
What happens next:
The Senate will convene as an impeachment court, with senators acting as judges.
The trial could affect political alignments and public perception of institutional accountability.
Both the prosecution and defense are expected to present their arguments in what is likely to be a closely followed process.
Why It Matters:
These two developments—one international, one domestic—are unfolding simultaneously and could shape the country’s political and legal landscape in the months ahead.
WORLD STORIES
Jeff Bezos' $34M Venice Wedding Sparks Italian Ire (and Banners)
Yara Nardi / Reuters
Jeff Bezos and Lauren Sánchez are throwing a royal-sized wedding in Venice this week, and not everyone's clapping. Locals and activists are protesting what they call the billionaire's “privatization” of their fragile, overtouristed city.
Details are hush-hush, but reports say the multiday bash could cost up to $34 million, with venues rumored to include his superyacht Koru, a historic monastery, or a former Venetian armory. Greenpeace and locals under the “No Space for Bezos” banner say the wedding epitomizes wealth run amok—especially as the city sinks and residents are priced out.
Bezos’ team insists it’s all respectful and low-impact. They even donated to lagoon preservation efforts.
NATO’s 5% Pledge Is Big—But So Are the Hedges
The NATO summit in The Hague was short, sweet, and... strategic in its sidesteps. Leaders committed to a 5% of GDP defense-spending goal by 2035—a win for Trump, who finally said NATO isn’t a “rip-off.” But the fine print (and the diplomatic body language) told another story: hedge, hedge, and more hedge.
Instead of confronting Russia’s Ukraine war head-on, the Alliance tiptoed. Ukraine was nudged to the sidelines. No new sanctions. No clear path on U.S. force posture. Even the final communiqué was barely five paragraphs—a diplomatic haiku, as one expert put it.
Translation: Europe promised more cash, Trump got his applause, and Russia probably poured a drink.
Now the hard part begins—actually spending 5% without torching social budgets or economies.
South Korea’s Dog Meat Ban Left 500,000 Dogs—and Farmers—In Crisis
South Korea banned dog meat in 2024, giving farmers until early 2027 to shut shop. But halfway through, many are stuck in limbo—dogs unsold, debt piling up, and zero clear path forward.
Farmers like Reverend Joo and 33-year-old Chan-woo can’t offload hundreds of dogs, especially since the breeds—Tosa-Inus, raised for meat—aren’t exactly Instagram pet material. Even shelters don’t want them. The government promised help (₩600K per dog), but plans remain vague and underfunded. Meanwhile, rehoming is nearly impossible, and euthanasia—officially denied—looms quietly in the background.
Animal rights won. But farmers? They’re broke, jobless, and bitter.
Ceasefire Holds (For Now), But Iran’s Nukes Still a Dealbreaker
The guns are silent—for now. A fragile ceasefire between Iran and Israel is holding after a brutal 12-day war that killed over 1,000 in Iran and wounded thousands more. Brokered in part by U.S. President Donald Trump, the truce raised slim hopes for a longer-term peace.
But Tehran isn’t folding on its nuclear ambitions. Its parliament fast-tracked a bill to suspend cooperation with the UN’s nuclear watchdog, while warning its uranium program will “move faster.” Israel and the U.S. say recent airstrikes set Iran’s nuclear timeline back “by years.” Some intel agencies say it’s more like… a few months.
Meanwhile, China’s calling for calm. Iran just executed 3 more alleged spies. And Trump’s team says peace talks are brewing behind the scenes.
TECHNOLOGY & AI DEEP DIVE
Tesla’s Robotaxis Are Driving Themselves Into Trouble (Literally)
Andrea Chronopoulos / Instagram
Need to Know: Just days after Tesla’s robotaxis started cruising around Austin, the U.S. National Highway Traffic Safety Administration (NHTSA) has its eye on Elon’s latest launch—after viral clips showed the cars doing things like driving the wrong way and panic-braking mid-traffic.
The details:
Tesla rolled out a small fleet of 10–20 Model Y SUVs in Austin over the weekend, all equipped with its new FSD (Full Self-Driving) Unsupervised software and hardware.
While there's a human “valet” in the passenger seat to intervene if needed, the robotaxis are meant to run on their own during daytime and good weather.
Social media footage caught some vehicles swerving into oncoming lanes, braking for things not in their path (like parked police cars), and generally misbehaving.
NHTSA confirmed it’s “aware” of the incidents and is in contact with Tesla. The agency doesn’t pre-approve new tech but investigates after receiving safety-related complaints.
Despite the glitches, Tesla shares jumped 8% on launch day—likely helped by invite-only users who also happen to be vocal Tesla fans.
Why it matters: Tesla’s robotaxi dreams have been long in the making, with Musk promising full autonomy for nearly a decade. But so far, reality hasn’t caught up. Meanwhile, competitors like Waymo just passed 10 million paid rides and continue expanding. Tesla’s rollout—while splashy—has already triggered federal scrutiny, adding more pressure to an already ongoing probe into its FSD Beta software. If anything, this launch proves one thing: driverless hype still sells, but regulators are watching the road ahead closely.
Your Doctor’s New Assistant? An AI That Never Sleeps (or Misspells 'Amoxicillin')
Quick Take: Abridge just bagged a massive $300M to turn doctors into better listeners (with help from AI). Valued now at $5.3B, the startup wants to take over hospital hallways with ambient-listening tech that writes notes so humans don’t have to.
The details:
Abridge’s AI listens in on doctor-patient conversations, transcribes them, and generates clinical notes—saving time and reducing burnout.
Used in over 150 health systems, it now supports ~50 million medical chats a year.
The $300M raise, led by Andreessen Horowitz and Khosla Ventures, will fund AI infrastructure and more hires.
Adoption’s ramping up: Yale’s health system expects Abridge use to double among its 3,000 physicians this year.
Inova Health is even rolling it out to 6,000 nurses for bedside documentation.
New features include billing-code validation during conversations, smarter note customization per doctor, and deeper EHR integration.
Why it matters: Healthcare is sprinting into the AI era, and Abridge is leading the pack in ambient tech—a field also eyed by Microsoft (via Nuance) and other rivals. It’s not just hype: doctors who use it report lower stress, and health systems are quietly shifting from pilot mode to full-blown rollouts.
But not everyone’s cheering. Privacy concerns are growing, especially with devices that “listen in” during sensitive moments. And experts caution against letting AI make clinical decisions—Abridge markets itself as assistive, not autonomous.
BUSINESS & INVESTMENT
Leandro Leviste Sells SPNEC Stake as He Enters Congress
Leandro Leviste is trading solar for politics. The 32-year-old founder of Solar Philippines is divesting his shares in SP New Energy Corp. (SPNEC) after winning a congressional seat in Batangas.
He recently sold 5.01 billion SPNEC shares to Meralco PowerGen (MGen) for ₱6.26 billion, following earlier deals worth ₱12 billion. He also sold ₱2.23 billion worth of shares to the public in 2023.
MGen now holds 53.7% of SPNEC. Leviste’s firm still owns 8.16 billion shares (16.32%) and is eyeing more private placements that could raise over ₱34 billion in total funding.
Metro Manila’s New Address for the Ultra-Rich? Up, Not Out.
Forget the mansion—wealthy Filipinos are going vertical. Developers are rolling out ultra-luxe condos priced from ₱12M to over ₱500M, targeting empty nesters and old-money families trading house-and-lot living for convenience and concierge service.
Ayala Land’s Park Villas? Starts at half a billion. Torre Lorenzo’s Loyola project? ₱25M–₱75M a unit.
Why the shift? Smaller space, bigger amenities, and proximity to city life. Plus, this cash-rich crowd isn’t flinching at rising rates or market shocks.
Fueling Up for Impact: Gov’t Preps ₱2.5B PUV Subsidy Plan
The LTFRB is finalizing a fresh ₱2.5B fuel subsidy program for PUV drivers—no franchise consolidation required—if global oil prices hit $80/barrel. Though oil’s currently around $75, officials are bracing for volatility, especially with Middle East tensions simmering. Digital payouts via e-wallets are in the works to avoid chaos and complaints. Jeepneys, buses, and UV Express operators are all eligible, regardless of group status.
PESO PICKS
Curated Finds for Savvy Filipinos
👻 Philippine Campfire Stories: Chilling tales of aswangs, ghosts, and folklore — for brave ears only. Click here
🎥 Nicole Alba (YouTube): Fun, beginner-friendly financial videos for Gen Z and Filipino students. Link of the site: Click here
📊 Moneymax ph: Practical money tips and product comparisons tailored for Pinoy consumers. Link of the site: Click here
🎓 TESDA Financial Literacy (Free Course): Government-backed modules on budgeting, saving, and debt—free and online. Link of the site: Click here
📚 RichestPH: Simple, Pinoy-style articles on investing, saving, and wealth-building in the Philippines. Link of the site: Click here
Historybook:During the Seven Years' War, Britain seized Manila from Spain in 1762. Though a brief occupation, lasting only eighteen months, it was a significant event. Filipino resistance under Simón de Anda y Salazar largely confined the British to Manila and Cavite, preventing wider control. The city was returned to Spain in 1764 following the Treaty of Paris.
📲 Tap an icon below to connect with us: