MANILA -- The Philippines’ gross domestic product (GDP) is expected to grow 6.5 percent in the third quarter of 2017, IHS Markit Chief Economist for Asia Pacific Rajiv Biswas said Monday.
The GDP outlook for Q3 2017 is the same with the actual growth rate in second quarter of the year.
“Strong growth momentum in Q3 is expected to be boosted by continued firm growth in consumer spending, reflecting rapid growth in household incomes, [and] continued expansion in overseas worker remittances as well as strong growth in consumer credit,” Biswas said in an e-mail.
“Rapid growth in construction spending is also expected to support GDP growth momentum, due to continued buoyant growth in the residential construction sector while the government’s ‘Build, Build, Build’ strategy is ramping up public sector spending on infrastructure,” he added.
The Duterte administration targets to hike infrastructure spending to 7.0 percent of GDP by 2022.
The government is also aggressive in infrastructure projects even for the remaining months of the year as it works on infrastructure in Marawi City after war between troops and terrorists devastated infrastructure in the area.
“The outlook for GDP growth in 2018 is for continued robust expansion at a pace of 6.3 percent year-on-year, as government infrastructure spending strengthens further, while private consumption is expected to remain buoyant,” the economist noted.
The government is expected to announce the data on the country's economic performance for Q3 2017 by Thursday. (PNA)
