DBCC lowers growth goal for 2021 to 4%-5%
The Development Budget Coordination Committee (DBCC) revised its growth assumptions for FY 2021 from 6 to 7 percent to 4 to 5 percent on Wednesday.
The revision was done due to ''the reimposition of stricter mobility restrictions in various areas of the country to effectively address the heightened risks brought about by the COVID-19 Delta variant.''
Enhanced community quarantine was reimposed in the National Capital Region from August 6 to 20.
The DBCC said in the first half careful balancing of COVID-19 and non-COVID-19 risks allowed the country to improve GDP growth to 11.8 percent in the second quarter.
Without the present spike, the original growth target of 6 to 7 percent would have been achievable, it said.
''However, with the global emergence of the Delta variant, the second half growth outlook was revised downwards to reflect the additional restrictions imposed by the government, which are necessary to curb its spread,'' the DBCC said.
The DBCC said growth strategy will consist of ''managing the risks carefully by imposing granular quarantines, while allowing a vast number of people to earn a living''
The period of ECQ will be used to speed up the roll-out of the vaccination program, it said.
As of August 15, a total of 27.8 million doses have been administered, consisting of 15.2 million and 12.6 million for the first and second dose, respectively, DBCC said.
Last August 5, the country recorded an all-time high of 710,482 jabs in a day, while in the past week, the total average daily jabs reached more than 475,000.
The DBCC said it is confident authorities can inoculate the required number of individuals, particularly in the densely populated areas, by the end of 2021.
''We expect that this will significantly reduce the need for wide-scale quarantines, especially in key economic centers where the majority of Filipinos work,'' said the DBCC.
This is why the DBCC retained its growth targets for 2022 at 7 to 9 percent, and for 2023 and 2024 at 6 to 7 percent. DMS
