Second quarter growth declines but remains 2nd best among ASEAN: Balisacan
Economic growth in the second quarter was less than expected but it remained the second best among the Southeast Asian Nations, the National Economic and Development Authority (NEDA) reported Tuesday.
The Philippines’ gross domestic product (GDP) rose by 7.4 percent from April to June, slower than the revised GDP rate at 8.2 percent.
In a joint press conference with the Philippine Statistics Authority (PSA), Economic Secretary Arsenio Balisacan said GDP growth was “less than the median forecast”.
“Our country is next to Vietnam’s 7.7 percent. But faster than Indonesia’s 5.4 percent and China’s 0.4 percent,” Balisacan told reporters.
He said the performance is still within NEDA’s expected 6.5 to 7.5 percent growth for 2022.
Agriculture performed poorly due to natural calamities, he added.
“Given the agriculture’s weak performance, the government will provide support by lower input costs, access to new farming technologies, financial assistance to farmers and strengthening the agricultural value chain,” he said.
The manufacturing sector decelerated to 2.1 percent in the second quarter from 22.4 percent in the same quarter last year due to weaker growth in computers, electronic and optical products, chemical and chemical products and food products.
''The slowdown may be due to inflationary pressures brought about by the Russia-Ukraine war, weakening global demand and supply chain disruptions brought by lockdowns in China,'' said Balisacan.
''The overall goal is to reinvigorate job creation and reduce poverty,'' he added.
However, purchasing power from the reopening of the economy may be eroded by high inflation, said Balisacan.
''Consequently the government is focused on ensuring food security and reducing transport, logistics and energy costs,'' he said. Jaspearl Tan/DMS
