MANILA -- The Philippines has good prospects in attaining 6.5 to 7.5 percent full-year gross domestic product (GDP) growth rate this year because of its strong agriculture, industry, and services sectors, which fuel growth, a lawmaker said on Saturday.
In a news forum in Quezon City on Saturday, Albay Rep. Joey Salceda, stressed the importance of the economy’s supply side because this is where economic growth is generated.
“Mukhang services pa rin po kasi mayroon pa tayong comparative advantage lalung-lalo na sa mga BPO, call centers… ay hindi pa po talaga nalalampasan tayo ng mga kalaban natin, kakumpetensiya natin,” said Salceda, chairman of the Committee on Ways and Means in the House of Representatives.
“At siyempre, kasama po diyan iyong wholesale trade at saka mga… iyong mga retail trade gawa nga po ang Pilipinas ay parang… kumikita tayo from abroad tapos dito ginagastos. So halimbawa OFW, umaakyat pa rin ng 3 percent per year so may driver po iyong domestic consumption,” he said.
In terms of agriculture, the prospects are also good because the new agriculture secretary, referring to Francisco Tiu Laurel Jr., is focused in the implementation of Department of Agriculture’s (DA) programs aimed at boosting production, Salceda said.
And with Secretary Laurel’s strong grasp of the agricultural sector, Salceda said that instead of 2.5 percent, the sector could even achieve higher growth this year.
“Mukhang kakayanin natin na mataasan iyon. Kasi ‘pag titingnan mo ang Pilipinas, simple lang iyan – 2.5 ang agri; 4.5 ang industry; 5.5 ang average for the past 15 years… ang atin pong growth rate kasi maalala ninyo naman 2020 saka 2021, bumaba tayo,” Salceda told the forum.
“So iyong mga dati nating nagse-seven percent tayo, so mukhang ‘pag in-average out mo iyon – nagiging 2.5 agri; 4.5 industry; at saka 5.5 ang services,” he added.
According to the Albay legislator, the important thing is that although there was a slowdown in the economy, there will be productive capacity and food security if the agriculture and industrial sectors are performing well.
Agriculture growth is also important in the government’s campaign to fight poverty, he said.
“Lalung-lalo na ‘pag sa agriculture galing ang growth, may ginhawa po iyan pagdating sa poverty dahil nga po ang poverty natin, karamihan ay dahil po mataas ang presyo ng kinakain at ang lowest 30 percent ng ating ekonomiya, ang kanila pong kinakain ay 60 percent ay galing po sa agriculture,”Salceda pointed out.
“So, ‘pag mababa ang presyo, bababa din po ang poverty. So, maganda po kung galing na sa agriculture ang growth po ng Pilipinas,” he pointed out.
The National Economic and Development Authority (NEDA) eyes this year to achieve 6.5 to 7.5 percent full-year GDP growth rate to generate economic opportunities, increase employment, raise per capita incomes, and elevate Philippine economy to “upper-middle-income-country” status by 2025.
The Philippine economy generally performed well in 2023, despite the magnitude of the challenges that the country has faced and which continue to persist, NEDA Secretary Arsenio Balisacan said. (PND)
