Business

PSA revises downwards 3Q GDP growth

The Philippine Statistics Authority has revised the gross domestic product growth of the Philippines to 6.0% for the 3rd quarter from the 6.1% growth it announced in November.

The Philippine Statistics Authority has revised the gross domestic product growth of the Philippines to 6.0% for the 3rd quarter from the 6.1% growth it announced in November.

The revision comes a day ahead of the announcement of the 4th quarter 2018 growth numbers.

According to the PSA, the revision was due to lower than previously announced growth in manufacturing, trade and repair of motor vehicles, motorcycles, personal and household goods, as well as financial intermediation.

The PSA also lowered the reported growth in net primary income from the rest of the world. The growth in NPI was brought down to 4.8% from 5.6% resulting in a lower gross national income growth of 5.8% from 6%. The NPI represents the earnings of the central bank’s investments in foreign currencies as well as the remittances of overseas Filipinos.

The Duterte administration lowered its GDP growth target for 2018 to 6.5 to 6.9% for 2018 from a previous target of 7 to 8%.

In the first three quarters of 2018, GDP growth averaged at 6.3%. To hit the lower end of the GDP target, the fourth quarter GDP growth needs to reach 7.1%. The growth will have to come from services and industry as growth in agriculture for the quarter was reported at 1.8%.(Eileen Mencias)

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