The Philippine economy saw a 5.2 percent uptick for the fourth quarter of 2024, resulting in a marginal full-year increase of 5.6 percent lower than the government’s 6 to 6.5 percent objective.
The third quarter also saw a 5.2 percent growth. However, according to a Reuters poll of economists, the median forecast for the fourth quarter was 5.4 percent.
From October through December of last year, the economy grew by 1.8 percent, adjusted for seasonal fluctuations, lower than the predicted 1.9 percent rise.
“We faced numerous setbacks like extreme weather events, geopolitical tensions, and subdued global demand,” Economic Planning Undersecretary Rosemarie Edillon said during a media briefing.
Hampered by a host of difficulties posed by the onslaught of typhoons as well as droughts, agricultural output fell for the third consecutive quarter, this time by 2.2 percent. Nonetheless, the rate at which it diminished slowed, said the agency.
In comparison to the 5.2 percent growth in household consumption experienced by the quarter prior, consumption in the fourth reached only 4.7 percent.
Meanwhile, government consumption climbed by 9.7 percent in the fourth quarter, higher than the 5 percent increase seen previously.
The government recently expanded its growth target for 2025-2028. From a range of 6.5 to 7.5 percent for 2025 and 6.5 to 8 percent in 2026-2028, the target was adjusted to 6 to 8 percent, to take shifting global challenges into consideration.
The government is confident of its reaching the low end of the current year’s growth target, said Edillon.
