Business leaders chart path to Cebu’s next economic push
CEBU CITY—Cebu needs to chart a new course for economic growth, and one that moves beyond its traditional strengths to build a more competitive, resilient and investment-ready economy.
With growth slowing and businesses grappling with rising operating costs, the Cebu Chamber of Commerce and Industry (CCCI) is pushing for closer collaboration between the government and private sector to address long-standing challenges and unlock new opportunities.
Cebu has the foundations for sustained growth, namely, a strategic location, an entrepreneurial workforce, established industries and access to international markets.
But these advantages alone are no longer enough.
To remain competitive, Cebu must address perennial challenges, said CCCI president Regan Rex King, particularly unreliable electricity, inadequate infrastructure, costly logistics and bureaucratic hurdles.
At the same time, Cebu needs to start developing industries that generate higher-value products and better-paying jobs.
The chamber wants to bring together businesses, local governments, national agencies and academic institutions to develop practical solutions that benefit each Cebuano.
“We always believe [we should] be part of the solution, not just an identifier of the problem,” King said in an interview with the Inquirer on Monday.
“We don’t claim that we have all the answers. [The challenges go] beyond one person, one government and one organization. We need the collaboration of everyone,” he added.
CCCI is the largest business-oriented organization outside Metro Manila, with around 1,000 members.
Urgency
Official figures underscore the urgency of Cebu’s economic challenges.
“These are very alarming figures,” King said.
Data from the Philippine Statistics Authority (PSA) showed that Cebu province’s economy grew by just 2.7 percent in 2025, a sharp slowdown from 7.4 percent in 2024. Its gross domestic product reached P453.76 billion.
Cebu City’s economy, meanwhile, only grew by 5.8 percent, down from 7 percent the previous year, with economic output reaching P353.81 billion.
The slowdown extended across the greater Central Visayas region, where economic growth eased to 3.7 percent in 2025 from 7.4 percent in 2024.
Despite this, the region remained the country’s fourth-largest regional economy.
Adding to the pressure is inflation, which accelerated to 8.3 percent in Central Visayas in September, squeezing household budgets and raising costs for businesses.
Still, business leaders like King believe Cebu can reverse the slowdown if stakeholders move beyond discussions and take concrete action.
“The spirit of optimism must always be matched with action,” he said. “We need to address the fundamentals and restore the confidence of the community.”
Collaboration
At the heart of CCCI’s strategy is a simple proposition.
Cebu can accomplish more if its institutions work together rather than pursue solutions in silos.
King said government agencies, private companies and research institutions already have programs, technologies and expertise that could address many of Cebu’s economic challenges.
The problem, he said, is that these resources are often poorly coordinated or remain unknown to those who need them.
“The role of the chamber is to bring these groups together, connect their knowledge and resources,” King added.
To bridge these gaps, CCCI is strengthening partnerships between schools and industries, encouraging cooperation on energy security and bringing local governments together to address transport and logistics concerns.
The chamber is also working toward a unified investment and tourism brand for Cebu, while creating more opportunities for businesses to raise concerns directly with government agencies.
Another priority is helping micro, small and medium enterprises (MSMEs) expand their markets, improve productivity and become part of larger supply chains.
“Both [the public and private sectors] should have a shared responsibility,” King said.
Power, skills and higher-value industries
Among Cebu’s most pressing concerns is energy security, which the CCCI considers fundamental to attracting investments and sustaining industrial growth.
Recurring power interruptions have forced factories to suspend operations, disrupted production schedules, and increased expenses for businesses already dealing with high electricity rates.
“Businesses cannot operate properly and expand or scale, and even attract foreign investors, without stable power supply and affordable electricity costs,” King said.
That’s why CCCI is pushing for immediate solutions to power shortages while advocating long-term investments in generation capacity, grid improvements and cleaner energy sources.
The chamber also backed the formation of Cebu Energy Alliance and a broader Visayas Energy Security Alliance to strengthen coordination among utilities, power producers, government regulators and businesses.
“Our messaging is very clear: Affordable power for everyone and cleaner power for the future,” King said.
Beyond electricity, CCCI wants Cebu to move into higher-value manufacturing rather than directly compete with neighboring countries, such as Vietnam and Cambodia, on labor and production costs.
Specialized skills, higher-value tourism
The chamber also sees opportunities in information technology, business process management, creative content production, medical tourism, education, agriculture and food processing.
For the IT-BPM sector, a bread-and-butter industry in Cebu, King stressed the importance of preparing workers for artificial intelligence (AI) and developing more specialized professional services.
In tourism, CCCI believes Cebu should focus on attracting visitors who spend more and stay longer instead of pursuing arrival numbers alone.
“Let’s go for value, not for volume,” King said.
He also urged greater investment in agriculture and food processing to strengthen local food supply chains, reduce dependence on imported products and create opportunities beyond Metro Cebu.
From plans to measurable results
In achieving these goals, CCCI has outlined its priorities through its “LEAD AMUST have IMPACT” agenda.
It focuses on investment promotion, industry partnerships, innovation, workforce development, sustainability, and improvements in the business environment.
In August, the chamber formalized partnerships supporting digital transformation, executive education, civic innovation and professional development.
But King said the success of these initiatives should ultimately be measured by their impact on businesses, workers and communities.
Over the next three to five years, the CCCI president hopes to see stronger private investments, more quality jobs, improved infrastructure, greater MSME participation in supply chains and better alignment between education and industry needs.
“Are there fewer power interruptions? Are businesses becoming more competitive? Are there more quality jobs being created? Are our farmers earning better incomes? [Are] tourists spending longer in our communities?” asked King.
He also called for a more integrated economic development strategy that extends beyond three-year election cycles and political boundaries.
King said better coordination among local governments could help address traffic congestion, flooding, waste management, and land-use planning while encouraging investments in northern and southern Cebu.
“Challenges know no political boundaries and colors,” he said. “Our shared interests [are] greater than our differences.”
For CCCI, Cebu’s next chapter should not be defined merely by new investments or the number of programs launched, but by whether economic growth translates into better opportunities and improved living standards.
Achieving that vision, King said, requires businesses, government officials, and ordinary Cebuanos to share responsibility for the province’s future.
“Let us stop asking only what the government and private sector can do, and start asking what I can do for Cebu,” he said.
