Consumer, gov't spending to lift PH economy in 2019 – PCCI
MANILA, Philippines – Despite soaring inflation, the Philippine Chamber of Commerce and Industry (PCCI) casts an "optimistic" eye on 2019, projecting a growth rate of 6.7%.
In a statement, the PCCI said the growth would be due to "robust" consumer and government spending.
"We agree with the Asian Development Bank (ADB) and the World Bank that see a growth rate of 6.7% for 2019 despite rising global uncertainty," the PCCI said.
Its prediction came after a slashed growth estimate from the ADB, which initially released a rosy prediction of 6.9% growth in 2019.
The Philippine economy has been hit by global shakeups in the past months due to rising oil prices and the trade war between superpowers United States and China.
Still, the PCCI said the Philippines remains to be "one of the more resilient economies in Asia."
In addition, the PCCI listed the following:
- Rise of public construction amid the Duterte administration's Build, Build, Build campaign
- Surge in foreign direct investments
- Growth in tourism, following the reopening of popular tourist destination Boracay
- Improvement in employment, both in quality and quantity
"We in PCCI believe that investment growth will eventually catch up as higher public capital outlays, including increased infrastructure spending, will be undertaken more aggressively under [Build, Build, Build]," the group said. (READ: Hits and misses of Duterte's infrastructure push)
The PCCI advised the government to do the following to stimulate the economy:
- Streamlining business permitting and licensing
- Elimination of port congestion
- Addressing contractualization in implementing Build, Build, Build projects
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