“2007 will likely be remembered as the year when the Philippine economy turned in its biggest surprise in more than two decades. In the first nine months, the country’s gross domestic product (GDP) expanded by a faster-than-expected 7.1 percent.”
Manila Times Business Editor Arnold Tenorio made this analysis for 2007. It’s quite a long report, and yet still worth reading. I’ll highlight his observations and analysis of how the Philippine economy turned around in 2007.
1. Unemployment and underemployment rates were down.
2. Business sentiments remained positive with the increased consumer spending over the holidays.
3. World Bank cited the country’s expansion as the fastest among middle-income peers.
4. The country’s dollar reserves are at a record $32.7 billion at end-November.
5.The government has trimmed its debt to about 60 percent of GDP
6. Also contributing to expansion is the home-building frenzy among property firms to cater to cash-rich OFW families.
7. Thanks to OFW remittances, the peso has appreciated.
8. The exception this year however has been the agriculture sector, as growth suffered from a prolonged dry spell.
Tags: philippines, economy, business, money, growth, GDP
