Metro Manila, Philippines – Malacañang expressed confidence that higher government spending on infrastructure projects will help boost the economy in the second half.
Communications Undersecretary Claire Castro said infrastructure spending has improved with the resumption of a number of projects after a review of flood control and other public works programs.
“Since ngayon ay gumaganda naman ang paggastos sa imprastraktura, nakikita ninyo naman po. So nakikita sa second half this year ay malamang magkakaroon na ng konting improvement,” Castro said on Thursday, June 26.
[Translation: Infrastructure spending is improving, as you can already see. We expect to see some improvement in the second half of the year.]
The administration has accelerated infrastructure projects, particularly those that are under construction but delayed because of the review in light of the flood control scandal.
Marcos earlier ordered agencies to release funds to ensure timely project completion and sustain economic activity.
The economy posted slower-than-expected growth in the first quarter as a result of high oil prices, inflation, and continued uncertainty in the global economy.
The government’s economic managers initially projected economic output as measured by the gross domestic product to grow by 5 percent to 6 percent this year but lowered the target to 3.5 percent to 4.5 percent in June.
Castro cited Budget Secretary Kim De Leon, who said recent domestic and global developments, including geopolitical tensions and efforts to improve governance and the quality of infrastructure implementation, require a calibrated policy response.
The Department of Budget and Management said the government remains committed to pursuing strategic, high-quality public investments supported by stronger project preparation, integrated infrastructure planning and improved budget execution.
