MANILA, Philippines — The Malacañang on Thursday announced that the administration under President Ferdinand Marcos Jr. will implement measures to expedite spending and regain momentum after the Philippines experienced a slowdown in Gross Domestic Product (GDP) growth during the second quarter.
The Philippine Statistics Authority (PSA) reported on Thursday that the country’s economy grew by 4.3 percent in the second quarter of 2023. This is a decline from the 6.4 percent growth in the first quarter and the 7.5 percent growth in the same quarter last year. The decrease in consumer spending, caused by high inflation and interest rates, contributed to the slowdown.
In response to the GDP slowdown, the Palace stated, “The Marcos government will accelerate spending in the coming quarters to regain momentum following the 4.3 percent economic expansion in the second quarter of this year.”
READ: PH GDP growth slowed to 4.3% in Q2 2023
Additionally, the PSA reported a decline of 7.1 percent in Government Final Consumption Expenditure.
The economic managers of the country, including the Department of Budget and Management, Department of Finance (DOF), and the National Economic and Development Authority (Neda), released a joint statement attributing the decline to the lack of election-related spending.
“While government expenditure contracted by 7.1 percent in the absence of election-related spending in the first half of the year, government spending will accelerate in the coming quarters to allow us to regain growth momentum,” stated the economic managers.
The Palace also mentioned that the Economic Development Group, led by Finance Secretary Benjamin Diokno and Neda Chief Arsenio M. Balisacan, is currently discussing ways to expedite the implementation of programs and projects for the remainder of the year.
“Government agencies, including local and regional government entities, are encouraged, if not instructed, to formulate catch-up plans, accelerate, and even frontload the implementation of said programs and projects,” the Palace added.
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Omprakash Tiwary is a business writer who delves into the intricacies of the corporate world. With a focus on finance and economic landscape. He offers readers valuable insights into market trends, entrepreneurship, and economic developments.
Denial of responsibility! Samachar Central is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
