Metro Manila (CNN Philippines, October 9) — Finance Secretary Benjamin Diokno is confident the local economy will post stronger growth in the second half of 2023 as government agencies ramp up spending.
During his weekly media briefing, Diokno said he expects that the July-December period would provide “much better” economic results.
The Philippines booked a 5.3% growth in the first six months of the year following a slowdown in the second quarter, blamed on underspending on the government, as well as high inflation and interest rates.
READ: Nagging inflation, rate hikes drag PH growth in Q2
“The second half of growth will be faster than the first half. Because historically also, the fourth quarter is where most infrastructure projects are done,” Diokno said.
This is because the country experiences fewer typhoons, allowing construction projects to be at full throttle, he added.
They also expect significant improvements in disbursement rate during the last quarters, with the crafted catch-up plans set to address issues on procurement processes and implementation of the following departments:
– Department of Public Works and Highways
– Department of Transportation
– Department of Health
– Department of Social Welfare and Development
Diokno also said the problem of underspending has long been an issue since the term of late former President Benigno Aquino III.
“Meron din siguro rin element na first year palang, learning by doing. Siguro baka matuto na sila dito sa first year,” he added.
[Translation: Maybe there is also an element that is the first year (of the Marcos administration), learning by doing. Maybe they will learn here in the first year.]
