Maybank Philippines and Maybank Kim Eng recently hosted a year-opening briefing on economic outlook, with guest economic experts sharing common optimism on the Philippines’ firmer footing on growth on 2020.
On the macro level, Maybank Global Thematic Macro Economist Dr. Chua Hak Bin shared three themes on Asean’s recovery and reconfiguration.
Dr. Chua’s first theme cites the US-China ceasefire and will reignite a modest recovery in capex and trade, benefitting open economies like Singapore, Thailand, Malaysia and Vietnam.
The second theme refers to the US election as diverting President Trump’s focus from China which pauses positively for Asian countries dependent on Chinese imports and tourists. The third theme states ASEAN supply chain solidifying, benefiting Vietnam, Malaysia, Thailand and the Philippines.
Maybank Group Chief Economist Suhaimi Ilias presented a complementary upbeat economic outlook on the Philippines, predicting “growth is expected to strengthen to +6.3 percent in 2020 on additional monetary policy easing by BSP via another 25 basis points cut in interest rate and further -300 basis points RRR cuts.”
Ilias also cited the higher number of Private Partnership Projects (PPP) under the government’s “Build, Build, Build” program will catalyze the execution of infrastructure investments, pushing the investment growth momentum in 2020 and beyond.
Inevitably, both Chua and Ilias tackled some economic impact of the Wuhan corona virus.
Ilias cited authorities’ claim that the Wuhan virus may be more infectious but less fatal than SARS. He made the observation that policy response to the epidemic is a lot quicker and aggressive, containing the virus spread in Asia and around the world. He further cites the risk of a larger economic impact on China on the outbreak and its possible prolonged duration, and the Asean dependency on China’s export and tourist shares.
Manuel Bosano, Maybank Philippines Head of Global Banking, emphasized the bank’s objective in hosting the 2020 Economic Outlook.
“Maybank Philippines and Maybank Kim Eng hope that we can contribute to intelligent and relevant market insights that could all positively transform the factors that matter most for our business, for our communities, for our people. WE are confident on the country’s and Southeast Asia’s growth in 2020 despite the setbacks of the nCov. Given our presence in major cities in SEA, Maybank is in the best position to cater to large corporations in the area,” Bosano said
Alexander Dauz, Maybank Kim Eng Securities, Inc. President, shared the common confidence and upbeat outlook of the guest economists.
“Maybank Kim Eng and Maybank Philippines are one with our clients as committed partners where our organizations, our products and services are directed to respond to the market’s needs for financial support, investment partner, and advocate in their business endeavors,” Dauz said.
Maybank Philippines is a member of the Maybank Group, Malaysia’s regional financial services leader with an international network of over 2,200 offices in 20 countries. It has 73 branches nationwide, of which 30 are in Metro Manila and the rest are strategically located in key cities of Luzon, Visayas, Mindanao.