Cagayan de Oro has strengthened its standing as one of the country’s most economically dynamic urban centers, ranking as the second richest city outside Metro Manila based on per capita output. New data from the Philippine Statistics Authority (PSA) highlight how the city’s economy has expanded steadily in recent years, placing it just behind Baguio City among non-NCR urban areas.
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Logistics Hub Driving Economic Momentum
The PSA reported that Cagayan de Oro posted a per capita Gross Domestic Product (GDP) of P398,543 in 2024. This marked a clear rise from P343,936 in 2022, reflecting sustained economic momentum supported by trade, logistics, and a growing services sector. The figures underscore how the city has leveraged its geographic and commercial advantages to boost productivity and income levels.
Cagayan de Oro’s role as the primary gateway to Northern Mindanao continues to be a key factor behind its strong economic showing. Its strategic location allows it to serve as a central node for goods movement, distribution, and regional trade, linking Mindanao producers to broader domestic and international markets. This logistics-driven activity has helped anchor growth even as competition among emerging cities intensifies.
Despite its smaller land area compared to other major cities in Mindanao, Cagayan de Oro’s economic performance remains notable. For context, Davao City generated P5.76 billion in local revenue in 2024, while Cagayan de Oro recorded P3.15 billion during the same period. The contrast highlights how Cagayan de Oro has achieved high per capita output without relying on sheer size, pointing instead to efficiency and sector diversity.
Investments, Tourism, and Regional Influence
Fresh investments are expected to further reinforce the city’s upward trajectory. The entry of international hotel brands such as Sheraton and Dusit Thani signals growing confidence in Cagayan de Oro as a business and tourism destination. These projects are anticipated to generate employment, support small and medium enterprises, and stimulate related industries ranging from construction to hospitality services.
As the regional center and business hub of Northern Mindanao, Cagayan de Oro’s continued growth has implications beyond city borders. Stronger economic activity can translate into more jobs, improved infrastructure, and better access to services for nearby provinces that depend on the city for trade, education, and healthcare.
The city’s rise as one of the country’s richest outside NCR points to expanding opportunities closer to home and a more balanced pattern of national development.
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