The Philippines’ GDP growth is projected to rise to 5.9% in the second quarter of 2024, up from 5.7% in the first quarter, driven by high employment, increased government spending, and controlled inflation, according to First Metro Investment Corp. (FMIC) and University of Asia and the Pacific (UA&P).
This forecast surpasses the 4.3% growth recorded in the same quarter last year. FMIC and UA&P maintain a full-year growth forecast of 6%, the lower end of the government’s 6-7% target.
They expect inflation to average 3.9% in the second quarter due to base effects but predict it will stabilize closer to 3% by August.
Additionally, they anticipate the Bangko Sentral ng Pilipinas (BSP) will cut interest rates by 25 basis points in the third quarter.
Source: PhilNews24 | May 30, 2024
