Philippine economy: Economic growth and projected inflation rate

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Philippine Economy
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Philippine Economy - Overview

• The Philippine economy is considered one of the
  most dynamic economies in the East Asia Pacific
  region. Solid economic fundamentals and a
  competitive workforce drive the growth momentum
  of its economy.
• The countrys average annual gross domestic
  product (GDP) growth accelerated to 6.4 between
  2010 to 2019.
• However, the Philippine GDP contracted by a
  record 9.6 in 2020, as the country imposed
  prolonged lockdowns to contain the Covid-19
  spread.

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Philippine - GDP

• The Philippines GDP per capita declined to
  3,430 in 2020 from 3,850 in 2019, delaying the
  governments goal of achieving upper middle-class
  status within a 4,096 to 12,695 income range.
• In 2021, the Philippine economy expanded by 5.7
  and returned to its pre-pandemic levels. Last
  year, growth even stood at 7.6. The Philippine
  government aims for GDP growth rates of 67 in
  2023 and 2024. However, the IMF is predicting 5
  growth for 2023.

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Philippines - GDP
(Source IMF WEO Update January 2023)
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Currency and Central Bank

• The Philippine peso (PHP), also referred to as
  piso in Filipino is the countrys official
  currency. It is subdivided into 100 centavos or
  sentimos.
• The Bangko Sentral ng Pilipinas (BSP), serves as
  the countrys central bank. The BSP was
  established in 1993 in accordance with Republic
  Act 7653 or the New Central Bank Act of 1993.
• Average inflation in the Philippines in 2021
  stood at 3.9 and 5.8 in 2022. The central
  banks target is in the range of 2 to 4.

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Industry and Trade

• Services, industry, and agriculture are the main
  sectors of the Philippine economy. Food
  processing, cement, iron, and steel production,
  and telecommunications are among the countrys
  most significant contributors.

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Industry and Trade

• The services sector makes an enormous
  contribution to the countrys GDP at 61 and
  provides 57.6 of the nations labour force.
• The Philippines industry sector is second in GDP
  contribution with 28,4 and employs 19.8 of the
  total workforce.
• Lastly, the agricultural sectors contribution to
  the GDP has continued to decline in recent years
  and is currently at 8.5. However, it still
  provides employment for 25 of the labour force.

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Stock Exchanges

• The Philippine Stock Exchange or PSE is the
  countrys sole stock exchange. It was formed
  following the merger between the Manila Stock
  Exchange and the Makati Stock Exchange in 1992.
• The PSE has a total market capitalisation of
  291.47 billion as of March 2, 2022.
  Exchange-Traded Funds (ETFs) are offered via the
  First Metro Philippine Equity Exchange Traded
  Fund, Inc.

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