The slowdown came as a surprise as the fourth quarter is typically a strong period for growth, thanks to holiday spending. The latest print stands out as the weakest fourth-quarter performance in five years or since the 8.2% contraction in the fourth quarter of 2020. In 2025, the economy expanded by 4.4%, much weaker than the 5.7% growth in 2024. Mr. Balisacan, who earlier expected full-year growth to come in at 4.8-5%, said he did not expect such a “sharp” slowdown. This was the slowest household spending growth since the -4.8% seen in the first quarter of 2021.