Vietnam’s success is because they focused on Exports and Foreign Investments while the Philippines focused on weaker Strategies
Here is a good Article about how and why the Philippines is already lagging behind Vietnam, and here are the Key Points on why it is so:
In 2024, the difference in Gross National Income (GNI) per Capita between Vietnam and the Philippines was only $20 with Vietnam ahead, but just a Year later in 2025 Vietnam has now increased its Lead to $120. "GNI per Capita" means the Total Income earned by all of a Country's Residents divided by its Population.
Vietnam's success is because they focused on providing Exports and getting Foreign Investments. The Philippines on the other Hand just focused on exporting Labor and depended on Domestic Consumption, which clearly now shows as the weaker Strategy, especially now.
Vietnam took only around two Decades to enter the Lower Middle Income (LMI) Category and "graduate" to Upper Middle Income (UMI) Status while the Philippines took around twice as long or around four Decades to do the same.
Below is the GNI per Capita of most of the Countries in South East Asia (SEA): 1) Singapore - $81,760 2) Malaysia - $12,380 3) Thailand - $7,690 4) Indonesia - $5,120 5) Vietnam - $4,970 6) Philippines - $4,850
SOURCE: A Tale of two Economies: Why the Philippines now lags Vietnam {Archived Link}









