This report provides an in-depth analysis of the Philippine capital market and presents policy recommendations to support its development within five areas. It builds on extensive analysis using OECD databases and a unique dataset provided by the Securities and Exchange Commission of the Philippines for this project. The policy recommendations have been developed by the OECD in discussion with a wide range of market stakeholders, including government authorities, industry organisations, market infrastructure providers, investors, legal and financial advisors and securities exchanges.

The report follows a request by the Securities and Exchange Commission of the Philippines. The project is part of a Japanese government-financed programme to support the development of Asian capital markets.

This review is part of the OECD Capital Market Series, which informs policy discussions on how capital markets can serve their important role of channelling financial resources from households to productive investments in the real economy.

The report is structured as follows: Chapter 1 presents an assessment of five different capital market areas and policy recommendations for each; Chapter 2 provides an overview of the Philippine economy and various aspects of its corporate sector; Chapter 3 describes the use of market-based financing, both through public equity and corporate bond markets, including issuance trends, sectoral compositions and market infrastructure.

A detailed description of data sources, the methodology for data collection and analysis are provided in the Annex. For qualitative inputs, the OECD Secretariat gratefully acknowledges the contribution of the organisations and individuals who offered their time for consultations in the preparation of this report.

The report was developed by the Capital Markets and Financial Institutions Division of the OECD Directorate for Financial and Enterprise Affairs. It was prepared by Gülgün Arikan, Blanca Gené Orriols, Carl Lekvall, Kyo Maruyama, Tugba Mulazimoglu and Yun Tang, under the supervision of Alejandra Medina, Head of the Financial Economics Unit, and Serdar Çelik, Head of Division.