15-12-2023 (MANILA) The Philippine government, through the Development Budget Coordination Committee (DBCC), has reasserted its gross domestic product (GDP) target for 2023, maintaining it at a range of 6 to 7 percent. However, there has been a modification to the growth target for 2024, which now stands between 6.5 to 7.5 percent, a narrowing from the initial projection of 6.5 to 8 percent.
Despite the challenges posed by the ongoing global economic landscape, the Philippine economy demonstrated resilience and sustained growth, registering a 5.5 percent expansion in the first three quarters of the current year. The robust performance has positioned the Philippines as one of the leading economies in the Asia-Pacific region.
The DBCC attributes this growth to robust domestic demand and a widespread expansion across major sectors. The committee anticipates that this positive momentum will endure throughout the remainder of the year, outpacing the economic performance of neighboring countries.
For the years 2025 to 2028, the interagency economic team maintains a GDP growth assumption in the range of 6.5 to 8 percent. Furthermore, they express confidence that the GDP per capita for this year will surpass pre-pandemic levels.
In terms of inflation, the DBCC has set the average rate at 6 percent for the current year. Looking ahead, they expect inflation to return to the target range of 2 to 4 percent, a trend projected to persist from 2024 to 2028.
The Philippine economy exhibited remarkable resilience, expanding by 7.6 percent in 2022, positioning itself as one of the fastest-growing economies in the Asia-Pacific region. Following a contraction of 9.6 percent in 2020 due to the pandemic, the country’s GDP rebounded in 2021, recording a growth of 5.7 percent.
The Asian Development Bank’s latest report forecasts the Philippine GDP to reach 5.7 percent in 2023 and 6.2 percent in 2024. The multilateral lender also predicts inflation rates of 6.2 percent for the current year, moderating to 4 percent in 2024.
