This paper develops a prototype macroeconomic model for assessing monetary and fiscal policy in the Philippines. We make use of Bayesian estimation as well as calibration of a Dynamic Stochastic General Equilibrium model with data spanning 2005 to 2022. The model incorporates heterogeneous agents. There are Ricardian and non-Ricardian households, and entrepreneurial and working-capital firms. Optimal policies are set for both monetary policy and fiscal transfers targeting non-Ricardian consumption and loans to working-capital firms. The performance of these policies is assessed relative to the simulated base paths. We demonstrate that the base paths are closer to the optimal paths for fiscal transfers, compared to non-intervention policies for fiscal transfers and a pure inflation-targeting rule, during crisis periods.