The government remains confident of hitting its economic growth target for the year, after its latest revision.
Finance Secretary Carlos Dominguez III said with the nine-month gross domestic product (GDP) growth at 4.9 percent, there is a “greater likelihood” the full-year growth target of 5 to 5.5 percent will be achieved.
“The country’s economic performance has exceeded our expectations in 2021,” he said.
Following this month’s Development Budget Coordination Committee meeting, the government adjusted upwards its growth target from a twice-revised target of 4 to 5 percent for the year.
Initially, the government was looking at a 6.5 to 7.5 percent GDP growth, revising it downward in May and in August.
Philippine Chief Economist Gil Beltran said the confidence stems from the encouraging volume of production in the manufacturing sector, recording a 24.7 percent uptick in October.
“Because we have further opened the markets, I think the growth rate will be sustained,” he said.
“So (if) we hit 7 percent, we will hit five and a half percent for the year. So backed by stronger healthcare system and the massive rollout of the vaccination program, we will solidify our recovery by reopening the economy and will start level one in January 2022,” Dominguez meanwhile said.
“At the same time to avert long term productivity losses and restore more employment, we will resume face-to-face schooling most likely in January 2022, increase public transport capacity for all types of transport to 100 percent and relax restrictions,” he added. – Ruelle Castro
