Marcos Sharpens Anti-Graft Drive Ahead of Philippines Transition

MANILA-Philippine President Ferdinand Marcos Jr. placed his anti-corruption campaign at the centre of his fifth State of the Nation Address on Monday, declaring that investigations into alleged irregularities in government flood-control projects could soon lead to multiple cases against his cousin and former House Speaker Martin Romualdez, as his administration seeks to address public concerns over governance and rising living costs.

Addressing Congress in Manila, Marcos said his responsibility was to serve the Filipino people rather than family members or political allies. His remarks came as his administration continues to confront political uncertainty, economic pressures and declining public confidence during the final years of his single six-year presidential term, which ends in 2028.

The president said pursuing accountability was necessary despite the personal implications. The investigation centres on alleged irregularities in flood-control projects valued at billions of pesos, which Marcos disclosed last year. According to the allegations, the projects involved kickbacks to officials and several politicians. The controversy implicated Romualdez, who subsequently stepped down as House speaker.

Romualdez denied any wrongdoing in a statement, saying he had committed no offence and was prepared to answer any charges that might be brought against him.

The corruption investigation has remained in the public spotlight as many Filipinos continue to grapple with elevated consumer prices and inflation that has exceeded the government’s target. Concerns over governance have added to broader dissatisfaction with economic conditions, placing additional pressure on the Marcos administration.

Political analysts said the president’s willingness to publicly reference possible legal action involving a close relative carried significant political weight. Jean Encinas-Franco, a political science professor at the University of the Philippines, said the remarks suggested Marcos was prepared to pursue accountability even when members of his own family were involved. However, she added that the administration would ultimately be judged by whether formal cases were filed and pursued rather than by public statements alone.

Public confidence in the government has weakened in recent months. According to Pulse Asia polling cited in the address’s aftermath, Marcos’ trust rating has fallen to 28%, while 51% of respondents expressed distrust in his administration.

Outside the House of Representatives, hundreds of demonstrators gathered during the president’s annual address. Protesters carried banners and placards demanding stronger action against corruption while also calling for lower prices and higher wages amid persistent cost-of-living pressures.

Marcos also outlined economic measures intended to ease the burden on households and businesses. He urged lawmakers to approve tax relief proposals that would expand income tax exemptions for workers and eliminate the minimum corporate income tax for small businesses, arguing that such measures would help cushion the effects of rising consumer prices.

The address also touched on foreign policy, particularly the Philippines’ maritime dispute in the South China Sea. Without naming China directly, Marcos reaffirmed Manila’s position by recalling the 10th anniversary of the 2016 international arbitration ruling that found China’s expansive claims in the South China Sea lacked legal basis. He said the Philippines would continue to uphold its claims and would not abandon its position.

China rejects the arbitration ruling and continues to assert its claims over much of the strategically important waterway.

The speech came against the backdrop of continuing political tensions following the collapse of Marcos’ alliance with Vice President Sara Duterte, who is facing an impeachment trial. Despite those proceedings, Duterte remains the leading choice in early opinion surveys for the 2028 presidential election, leaving questions over the country’s political succession unresolved as Marcos enters the closing phase of his presidency.