Metro Manila (CNN Philippines, December 13) — The Asian Development Bank (ADB) has kept its economic growth forecast for the Philippines at 5.7% this year, with robust domestic demand still driving the expansion.
The Manila-based lender’s December report released on Wednesday said while household consumption slightly softened due to rising commodity prices, it remained strong with “low unemployment and steady remittances from overseas workers.The local economy also received support as the government ramped up its spending in the third quarter, the ADB said.More infrastructure projects are underway. The business outlook, based on the central bank’s Q3 survey, was more upbeat for 2024 on anticipation of buoyant domestic demand,” it said.For next year, the growth outlook was also maintained at 6.2%.The bank’s forecast for 2023, however, is weaker than the Marcos administration’s target of 6% to 7%.The ADB also said other economies in Developing Asia continue to be “solid despite global challenges” this 2023, prompting it to revise upward its growth forecast for the region to 4.9% from its 4.7% outlook in September.Healthy domestic demand, strong remittances, and recovering tourism are underpinning economic activity, which continued to expand even as inflation moderated,” it said.
