TRAIN to drive economic growth to 7% — DOF
New revenues will let the Philippines pick up steam in 2018.
The Department of Finance (DOF) believes the Philippine economy has what it takes to attain at least 7 percent growth this year, supported by the tax reform law that will raise more funds for the government to spend.
“An economic expansion of at least 7 percent is doable this year with the implementation of the Tax Reform for Acceleration and Inclusion (TRAIN) Law—the first package of the Comprehensive Tax Reform Program—along with the planned tariffication on rice, and massive infrastructure projects under the ambitious “Build, Build, Build” program of the Duterte administration,” DOF chief economist Undersecretary Gil Beltran said in a statement.
The TRAIN took effect on Jan. 1, 2018 and is expected to generate an additional P82.3 billion in government revenues. The funds will then be used for new infrastructure projects under the Duterte administration.
This means that the 7-8 percent growth target will also be attained for the year.