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Betting Big on the Future: Why Philippine Hotel Giants Are Doubling Down on Expansion Amid Sluggish Arrivals

Skyscraper with glass facade under blue sky, surrounded by lush green plants and vibrant garden. Signs visible on building.

Despite underwhelming foreign visitor arrivals and a still-recovering global travel landscape, the Philippines’ leading hospitality developers are boldly forging ahead, unveiling ambitious expansion plans, launching new luxury brands, and planting fresh flags across the archipelago.


At the recent Philippine Hotel Connect 2025, hosted by the Philippine Hotel Owners Association (PHOA) at the Manila Marriott Grand Ballroom, optimism was palpable. On stage were three titans of the Philippine hospitality sector;  Kevin L. Tan, President and CEO of Alliance Global Group Inc. (AGI); Paloma Urquijo Zobel de Ayala, Chief Creative Officer of Ayala Land Hospitality (ALH); and Francis Gotianun, Senior Vice President of Filinvest Hospitality Corp. (FHC), all united in their long-term faith in the Philippine tourism sector, even as the numbers tell a more cautious tale.


The Numbers vs. The Narrative

Last year, the Philippines welcomed just under 6 million international tourists, falling short of its target of 7.7 million. This year’s goal, 8.4 million arrivals, may seem lofty amid lingering challenges such as global economic uncertainty and geopolitical tensions.

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