Philippine Q1 GDP growth slows to 6.4pc

Dhaka,  Mon,  21 August 2017
Published : 18 May 2017, 12:21:08
printer

Philippine Q1 economy grows at slowest pace in over a year

Philippine Q1 GDP growth slows to 6.4pc
The Philippine economy grew at its slowest pace in more than a year in the first quarter (Q1), but resilient exports and strong consumer spending are likely to keep momentum buoyant this year.

The pace was the weakest for the Southeast Asian economy since the last quarter of 2015, but the government said the economy was "broadly in line" to grow within its target of 6.5-7.5 per cent for the year.

Gross domestic product (GDP) grew 6.4 per cent in January-March from a year earlier, government data showed on Thursday, below market expectations. 

The Philippine Statistics Authority revised growth in October-December 2015 to 6.3 per cent from 6.7 per cent.

Economists polled by Reuters had forecast the economy would expand 6.8 per cent from a year earlier compared with 6.6 per cent in the last three months of 2016.

"The Philippines remains one of the strongest performers among the major emerging economies in Asia," Economic Planning Secretary Ernesto Pernia said.

The first quarter's pace was only second to China's 6.9 per cent clip. India has not released first-quarter data yet, the Planning Secretary said.

Pernia said the slowdown could be explained by the absence of election spending which boosted growth a year earlier.

The economy grew a seasonally adjusted 1.1 per cent from the previous three months, also less than the 1.5 per cent forecast in a poll and the slowest in eight quarters.

To sustain the economy's growth momentum and ensure its effects are more broadly felt, President Rodrigo Duterte has promised to spend up to $180 billion over six years to build and modernize railways, airports, seaports and roads.

The stimulus would help offset the impact of protectionist US policies on remittances from overseas Filipinos and on American investment in business process outsourcing to the Philippines, a vital sector for the economy, according to Reuters.
ADDRESS
Editor : A.H.M Moazzem Hossain
Published by the Editor for International Publications Limited from Tropicana Tower (4th floor), 45, Topkhana Road, GPO Box : 2526 Dhaka- 1000 and printed by him from City Publishing House Ltd., 1 RK Mission Road, Dhaka-1000.
Telephone : PABX : 9553550 (Hunting), 9513814, 7172017 and 7172012 Fax : 880-2-9567049
Email : editor@thefinancialexpress-bd.com, fexpress68@gmail.com
Copyright © 2017. All rights reserved
Powered by : orangebdlogo
close