The National Economic and Development Authority (NEDA) is optimistic the country would hit the lower end of the growth target for the year of about 6 percent buoyed by the catch-up spending of government agencies and post-pandemic recovery of some industries like tourism and information technology-business process outsourcing (IT-BPO)
“For the year, our expectation is we will hit the low end of the target, if not close to it. The low end of the growth target is a six percent, so either a six or very close to that six percent,” NEDA Undersecretary Rosemarie Edillon said in a news forum on Saturday.
Edillon said this expectation was based on the indicators such as the improved employment rating, the high Purchasing Managers Index, and the recovery of various sectors from the coronavirus disease pandemic.
She said government spending has also started to improve during the second quarter and has “caught up” in the third quarter.
Edillon said the tourism industry has also started to gain traction with the adoption of holiday economics that helped boost domestic tourism. She said international tourism, however, still needs to improve.
She said this resulted in more employment in tourism.
Edillon said apart from the improved employment, the unemployment and underemployment rates have also gone down.
“We are hopeful for the rest of the year, but especially going forward,” she added.
Edillon said NEDA is also optimistic the administration will be able to attain a single digit poverty rate by 2028, or by the end of the term of President Marcos Jr.
She said this is possible with the administration’s commitment to realize its catch-up plan to increase economic growth that ensures a high inclusivity rate.
Poverty rate was 21.8 percent in 2021 which the Marcos administration hopes to bring down to 9 percent.
