GDP’s slowdown ‘only temporary’–Palace
Malacañang on Friday said the slowed economic growth in the second quarter is “only temporary” and “does not determine the country’s long-term direction.”
The Philippine Statistics Authority reported a 2.3-percent growth, down from 2.8 percent in the previous quarter.
“We acknowledge that the country’s economic growth in the second quarter was 2.3 percent. This result was lower than we had hoped. The numbers show the challenges we have faced, but they do not determine the country’s long-term direction. This slowdown is only temporary,” Palace press officer Claire Castro told reporters in a Viber message.
Pickup seen
She attributed the slowdown in part to the Middle East conflict.
“As the government continues to speed up spending and release budgets more quickly, we hope the economy can start to pick up in the second half of the year as well,” Castro added.
But Philippine exports grew by 12.2 percent. she noted that merchandise exports had double-digit growth for five straight quarters, while manufacturing grew by 2.6 percent and agriculture, 2.7 percent.
“Government spending rose to 8.3 percent as we focused on helping families most affected by higher prices. Tourism is bouncing back. Travel exports rose by 12.6 percent, and more visitors helped boost services exports,” Castro said.
“Although consumer confidence is still low, businesses are starting to improve. Manufacturing activity continues to expand, supported by strong global demand for technology products and the expected recovery of infrastructure spending,” she said.
