Although the Philippines was unable to meet its GDP growth target for 2024, its 5.6 percent increase puts the country among the “fastest-growing” Asia Pacific economies, the Department of Budget and Management said.
The Philippine Statistics Authority (PSA) reported that the country had landed a 5.2 percent increase in the fourth quarter of last year, which led to a 5.6 full-year growth.
“While our target for 2024 is 6 to 6.5 percent, the results still put the Philippines among the fastest-growing economies in the Asia Pacific region, outpacing many of our ASEAN neighbors, and still propelling our desired economic transformation,” Budget Secretary Amenah Pangandaman said in a statement on Thursday.
She pointed out that the country was met with many difficulties, particularly during the fourth quarter. From October to November, six straight tropical cyclones hit the Philippines, considerably impacting the economy.
“The fact that we still hit 5.6 percent in spite of all these storms shows that our formula for growth is working,” Pangandaman said.
The government will stay on course with its Agenda for Prosperity, the DBM head assured.
“For the upcoming years, we remain dedicated to implementing priority programs and strategies aligned with our 8-Point Socioeconomic Agenda and the Philippine Development Plan 2023-2028,” she said. “Through these efforts, we anticipate fostering a favorable and resilient macroeconomic environment that will sustain our progress toward growth in the medium term.”
“Moving forward, we will ensure that all the necessary support is in place to further boost our GDP growth and pursue our Agenda for Prosperity,” she added.
For 2024, the year-on-year Government’s Final Consumption Expenditure growth peaked at 9.7 percent due to the DBM’s pursuit of an enhanced budget utilization.
Moreover, with a stable GDP, the country’s year-on-year Gross National Income expanded by 6.2 percent for the fourth quarter, yielding its full-year growth to 7.6 percent.
Construction was a major contributor for the fourth quarter, hitting a 7.8 percent increase—as well as for the rest of the year, which attained an overall 10.3 percent increase.
Tackling underspending issues, allotting adequate funds for initiatives which would generate the highest economic impact, and improving infrastructure have all driven the growth of the Philippine economy, DBM’s Principal Economist Joselito Basilio said.
