Strengthening the Philippine Education Sector Through Fiscal and Monetary Policies: Analyzing Government Interventions for Resilience and Growth

Abstract

Amid ongoing economic challenges, this paper analyzes how fiscal and monetary policies have influenced the resilience and growth of the Philippine education sector. Using a qualitative-descriptive approach based on secondary data, the study highlights that increased government spending was instrumental in sustaining learning continuity, enhancing digital infrastructure, and supporting post-pandemic recovery. These findings align with the Keynesian Intertemporal Synthesis (KIS-CES) model, which emphasizes the multiplier effects of public investment, especially in education. The role of monetary policy, while indirect, also proved essential; accommodative measures by the Bangko Sentral ng Pilipinas helped create a stable macroeconomic environment that supported education financing. However, inflation and reduced household purchasing power continue to affect access and equity. The study further confirms Human Capital Theory and modern Endogenous Growth Theory, which underscore education as a catalyst for long-term economic development. Overall, results affirm the need for sustained, inclusive, and coordinated policy actions to ensure a resilient and future-ready education system.