Due to Reicelene Joy N. Ignacio, Reporter
THE ASEAN + 3 Macroeconomic Research Office (AMRO) has revised its Philippine economic growth forecast for 2020 down to 6.5% of its previous 6.6% view in May, according to July. Everyday update of the ASEAN + 3 Regional Economic Outlook on Tuesday released showing that the 2019 projection was retained at 6.3% in retirement in June but at 6.4% in May.
"AMRO revised the GDP of Philippines (gross domestic product) down to 6.3% for 2019 and 6.5% by 2020 due to a bleak global growth perspective and a sharp decline in Q1 2019 from the Philippines economy , "AMRO Chief Economist How Ee Khor said in an email.
"The GDP growth rate of the country dropped to 5.6% in Q1 2019, the lowest since Q1 2015, partly due to the delays of the & # 39; s budget approval, & # 39 ; t restrict government spending, besides the weaker external demand, "added Mr. Khor.
"Looking ahead, it is expected that economic growth will recover significantly, because government spending began to increase and reduce monetary policy."
For the entire ASEAN + 3 region – the 10 members of Southeast Asian Nations (ASEAN) plus China, Japan and Korea – AMRO cut its economic growth projection to 4.9% this year by 2020, from 5.1% and 5% projections respectively, due to "persistent weakness in production products and export outputs."
On a question what AMRO expects from & # 39; a Philippines in & # 39; the second half of & # 39; In the sixth term of President Rodrigo R. Duterte, Mr Khor replied, "The economic growth of the Philippines is expected to be restored ahead."
"The pelvic lovers of US-China trade disputes over the Philippines economy may not be significant. However, a further escalation of trading conflicts could lead to a sharper global slowdown, which is the economic growth of & # 39; a Philippines could reduce, "he said.
"In this context, the emphasis on policy should be focused on supporting growth, while avoiding subversion of macro-stability. The government must maintain the reform agenda to continue improving growth potential. ”
AMRO – first established as a company in April 2011 and transformed into an international organization in February 2016 – conducts macroeconomic oversight and supports the implementation of the Chiang Mai Initiative Multilateralization currency swap arrangement that includes the 10 ASEAN members, as well as China, Japan and South Korea agrees to prevent any financial crisis.