Publication: Philippines Quarterly Update, December 2011: Sustaining Growth in Uncertain Times
Date
2011-12
ISSN
Published
2011-12
Author(s)
World Bank Group
Abstract
After a strong rebound in 2010,
Philippine economic growth slowed by more than half to 3.6
percent in the first three quarters of 2011. Slower third
quarter (Q3) growth of 3.2 percent was the result of
significant contractions in exports and public investment.
The contraction in exports largely reflected weaker demand
in advanced economies while public investments continued to
shrink in part because of measures to improve accountability
of public spending. On the production side, industrial and
agricultural activities were sluggish, leaving the services
sector to buoy growth. To improve growth outcome in the
remainder of the year, the government announced a PHP 72
billion (about 0.7 percent of GDP) disbursement acceleration
plan to ensure that budgeted items are spent by year end.
After a strong rebound in 2010, Philippine economic growth
slowed by more than half to 3.6 percent in the first three
quarters of 2011, bringing year to date growth below the
government's revised target of 4.5 to 5.5 percent for
2011. Q3 growth of 3.2 percent was driven by private
consumption and inventory build-up, which grew by 7.1 and
147.7 percent respectively. The country's slower
expansion places it behind its neighbors with Indonesia,
Vietnam, and Singapore growing above 6 percent, Malaysia at
5.8 percent, and Thailand, which was devastated by massive
flooding in recent months, at 3.5 percent.
Citation
“World Bank Group. 2011. Philippines Quarterly Update, December 2011 : Sustaining Growth in Uncertain Times. © World Bank, Pasig City, Philippines. http://openknowledge.worldbank.org/handle/10986/26692 License: CC BY 3.0 IGO.”