First-quarter GDP likely grew 5.8-6.3%, Recto says

PHILIPPINE ECONOMIC GROWTH in the Ffirst quarter According to Treasury Secretary Ralph G. Recto, the settlement could have been between 5.8% and 6.3%.

“Anything above 5.5% is a win, because last year we grew by 5.5%. If we grow by 5.8%, that’s good enough. That should be one of the highest in the region, if not one of the highest in the world,” he told reporters late on Monday.

Gross domestic product (GDP) will grow by 5.5% in 2023. For 2024, the government is targeting GDP growth of 6-7%.

“The target is 6%, but because I’m realistic it seems (FGDP in the first quarter) could be closer to 5.8%. But there is still hope that we will reach the 6% target,” Mr Recto said in mixed English and Filipino.

“If we are lucky, we can even reach 6.3%, it dependsFlat. Taking all these factors into account, (we predict) 5.8% to 6.3%.”

The lower end of Mr. Recto’s forecast would be faster than the 5.5% growth in the fourth quarter, but slower than the 6.4% growth in the fourth quarter. Ffirst quarter of 2023.

“In the FGrowth was high in the first quarter of last year, so we’re starting from a high base. Put that in perspective. If we can get to 5.8%, that’s good,” he added.

The Philippine Statistical Authority (PSA) will announce the figures FFirst quarter GDP data on May 9.

In the meantime, the finance chief announced thisFThis is still the ‘biggest concern’.

“If we can cut costsFGDP growth will be higher. So that’s what we’re looking at,” Mr Recto said.

The Bangko Sentral ng Pilipinas (BSP) expects inFThe expectation is that interest rates in April will be within the range of 3.5% to 4.3%. Head inFInflation accelerated for the second month in a row to 3.7% in March.

Mr. Recto said insideFThis is likely to exceed the BSP’s 2-4% target in the coming months.

“That was always expected, perhaps in the second or third quarter,” the BSP said. But within the year, we expect this to still be in the 2-4% range,” he said.

The BSP previously warned about thisFInflation may temporarily exceed the target level of 2 to 4% over the next two quarters.

The central bank expectsFthis year an average of 3.8%.

Mr Recto says that economic managers are working on initiatives to send inFlat.

The Inter-Agency Committee on Inflation and Market Outlook met last week to discuss strategies to dampen inflationFsuch as boosting agricultural productivity, accelerating the rollout of African swine fever vaccines and combating anti-competitive practices.

President Ferdinand R. Marcos Jr. also recently signed an order that aims to ease the import process of agricultural products and eliminate non-tari tariffs.Ff barriers. — Luisa Maria Jacinta C. Jocson