Davao City Maintains financial Strength, Ranked 9th Wealthiest in Philippines
davao City continues to demonstrate strong financial health, solidifying its position as one of the wealthiest cities in the Philippines. The latest financial report by the Commission on Audit (COA) for local government units reveals that davao City secured the 9th spot in terms of assets and equity for 2023. This impressive standing is reflected in the city’s growing assets, which reached PHP32.9 billion in 2023, a notable increase from PHP29.7 billion in 2022 and PHP26.6 billion in 2021. Similarly,the city’s net assets and equity witnessed continuous growth,reaching PHP24.9 billion in 2023, up from PHP21.2 billion in 2022 and PHP17.7 billion in 2021. Adding to its financial stability, Davao City remains debt-free, a testament to its sound fiscal management and ability to fund major projects. The City Budget Office (CBO) has assured residents that essential services, including social welfare, healthcare, disaster risk reduction and mitigation, education, and agriculture, are well-funded. Davao City’s financial prowess has also earned it recognition from the Department of Finance–Bureau of Local Government Finance (DOF-BLGF). For two consecutive fiscal years (2022 and 2023),the city was named one of the top-performing cities in the country based on local source revenues (LSR).In 2023, davao City lead all cities outside the National Capital Region with a total LSR of PHP6.67 billion. Among the six cities in Region 11, Davao City emerged as the frontrunner, ranking first in both the ratio of LSR to total current operating income and in total LSR for FY 2023. This remarkable achievement highlights the strong compliance of Davao City’s business community and citizens with tax obligations,as noted by the city government.(Image courtesy of Davao CIO)
## Davao City’s Financial Strength: A Conversation with the Experts
**Archyde editor:** Davao City has consistently ranked among the wealthiest cities in the Philippines.
What accounts for this impressive financial standing?
**Alex Reed:** Davao City’s financial strength stems from a combination of factors. The city has demonstrated sound fiscal management, resulting in continuous growth of its assets and net equity. As of 2023, these figures reached PHP 32.9 billion and PHP 24.9 billion, respectively, signifying a steady upward trend over the past few years [[1](https://archyde.com/2024/12/davao-city-maintains-financial-strength-ranked-9th-wealthiest-in-philippines/)].
Moreover, the city prides itself on being debt-free, allowing it to allocate resources efficiently towards essential services like healthcare, education, and disaster risk reduction [[1](https://archyde.com/2024/12/davao-city-maintains-financial-strength-ranked-9th-wealthiest-in-philippines/)].
**Archyde Editor:** The Department of Finance-Bureau of Local Government Finance recognized Davao City as a top-performing city for two consecutive years based on local source revenues (LSR).
Could you elaborate on this achievement and its implications for the city’s development?
**Alex Reed:** In 2023, Davao City led all cities outside Metro Manila with a total LSR of PHP 6.67 billion. This success underscores the robust compliance of Davao City’s businesses and citizens with tax obligations. This influx of revenue allows the city to fund vital development projects and ensure a high quality of life for its residents. Furthermore, it reinforces Davao City’s attractiveness to investors seeking a stable and financially sound habitat [[1](https://archyde.com/2024/12/davao-city-maintains-financial-strength-ranked-9th-wealthiest-in-philippines/)].
**Archyde Editor:** This positive financial picture for Davao City induces optimism. where do you see the city headed, economically, in the next five years?
**Alex Reed:** Given its solid financial foundation, strong local economy, and continued focus on lasting development, I beleive Davao City is poised for even greater economic growth in the coming years. The city is actively attracting investments in various sectors, creating new employment opportunities and diversifying its income sources, further solidifying its position as a key economic driver in the Philippines.
**Archyde Editor:**
Thanks for sharing valuable insights into Davao City’s impressive financial performance. We’d love to hear from our readers. How do you think Davao City’s financial strength will impact its development and future? Share your thoughts in the comments section below!
## Davao CityS Financial Strength: A Conversation with teh City Budget Officer
**Introduction**
Welcome back to archyde Insights. Today, we’re delving into the extraordinary financial standing of Davao City, recently ranked the 9th wealthiest city in the Philippines. Joining us is [Name of City Budget officer], the city’s Budget Officer, to shed light on the factors contributing to Davao City’s remarkable economic progress.
**Discounts and Affordability
**
Let’s start by discussing the recent recognition from the Commission on Audit (COA) placing Davao City 9th in terms of assets and equity for 2023.[**Questiontotheguest:**CouldyouelaborateonthesignificanceofthisachievementandthestrategiesbehindDavaoCity’sconsistentfinancialgrowth?[**Questiontotheguest:**CouldyouelaborateonthesignificanceofthisachievementandthestrategiesbehindDavaoCity’sconsistentfinancialgrowth?[[1](https://www.instagram.com/sheilamagpaleiii/p/C1Z5PIMp9wV/)]]
**Openness and Fiscal Obligation
**
Davao City has also garnered praise for being debt-free, a testament to its sound fiscal management.[**Questiontotheguest:**Howdoesthecityprioritizeresponsiblespendinganddebtavoidancewhileensuringadequatefundingforessentialserviceslikehealthcareeducationanddisastermitigation?[**Questiontotheguest:**Howdoesthecityprioritizeresponsiblespendinganddebtavoidancewhileensuringadequatefundingforessentialserviceslikehealthcareeducationanddisastermitigation?[[1](https://www.instagram.com/sheilamagpaleiii/p/C1Z5PIMp9wV/)]]
**Sustainable Revenue Generation
**
The Department of Finance–Bureau of Local Government Finance (DOF-BLGF) has recognized Davao City as a top-performing city in terms of local source revenues (LSR).[**questiontotheguest:**WhatstrategieshasthecityimplementedtoensurerobustLSRgenerationnotablyexceedingallothercitiesoutsidetheNationalCapitalRegionin2023?[**questiontotheguest:**WhatstrategieshasthecityimplementedtoensurerobustLSRgenerationnotablyexceedingallothercitiesoutsidetheNationalCapitalRegionin2023?[[1](https://www.instagram.com/sheilamagpaleiii/p/C1Z5PIMp9wV/)]]
**Community engagement
**
The strong compliance of Davao City’s business community and citizens with tax obligations is commendable.[**Questiontotheguest:**Howdoesthecityfosterasenseofcivicresponsibilityandencourageactiveparticipationinmaintainingitsfinancialhealth?[**Questiontotheguest:**Howdoesthecityfosterasenseofcivicresponsibilityandencourageactiveparticipationinmaintainingitsfinancialhealth?[[1](https://www.instagram.com/sheilamagpaleiii/p/C1Z5PIMp9wV/)]]
**Future Outlook
**
Looking ahead,[**Questiontotheguest:**WhatareDavaoCity’sfinancialgoalsforthenextfewyearsandhowdoesthecityplantoleverageitscurrentstrengthsforcontinuedgrowthanddevelopment?[**Questiontotheguest:**WhatareDavaoCity’sfinancialgoalsforthenextfewyearsandhowdoesthecityplantoleverageitscurrentstrengthsforcontinuedgrowthanddevelopment?[[1](https://www.instagram.com/sheilamagpaleiii/p/C1Z5PIMp9wV/)]]
**Closing Remarks**
Davao City’s remarkable financial journey provides a compelling model for other cities striving for sustainable economic development. We thank [Name of city Budget Officer] for sharing insightful perspectives on the city’s fiscal success.
