Manila, May 30 (Reporter Zhang Ming) — Philippine officials announced on the 30th that the country's Gross Domestic Product (GDP) grew by 7.8% year-on-year in the first quarter of this year, ranking highest among all Asian economies.
Deputy Presidential Spokesperson Abigail Valte read a statement at a press conference in the Presidential Palace that day, noting that this is the highest quarterly growth figure achieved since the Aquino administration took office and the highest economic growth rate reached by the Philippines in a non-election year since 1988. She specifically mentioned that preliminary data shows the Philippines' economic performance in the first quarter of this year surpassed all other Asian economies, including China (7.7% growth in Q1), Indonesia (6%), and Malaysia (4.1%), adding that "this result exceeded almost all market expectations."
Arsenio Balisacan, Director-General of the National Economic and Development Authority and Secretary of Socioeconomic Planning, stated that day that the Philippine economy grew by 6.8% in real terms in 2012. He noted that the 7.8% high growth figure in the first quarter of this year is "significant," as it dispels prior external doubts that the high growth in 2012 might have been due to a low base effect. "This also indicates that the Philippines is moving along a new growth trajectory."
According to Balisacan, all major sectors of the Philippine economy achieved growth in the first quarter of this year: the service sector grew by 7%, the industrial sector by 10.9%, and the agricultural sector by 3.3%.
Data shows that due to strong domestic market demand, the Philippine manufacturing sector grew by 9.7% year-on-year in the first quarter, making the most significant contribution to industrial growth. Fast-growing manufacturing industries included household appliances, communication equipment, chemical products, transport equipment, and machinery. The construction sector saw a year-on-year increase of 32.5%, also contributing significantly to the country's industrial growth. The growth of the service sector was primarily driven by strong performances in finance, retail, and tourism.
Balisacan stated that the Philippines' per capita GDP grew by 6.1% year-on-year in the first quarter of this year, an acceleration from the 4.7% growth rate during the same period last year. Adjusted for inflation, the Philippines' per capita GDP grew by 11% from the first quarter of 2011 to the first quarter of 2013. Moving forward, the Philippine government will prioritize the development of industries with growth potential that can create a large number of jobs, allowing more of the population to benefit from economic growth and promoting inclusive growth.
