Manila - The Philippine economy is teetering on the brink of
after posting 0.4 per cent growth in the first quarter of the year
amid the raging global crisis, the government said Thursday.
Romulo Virola, secretary general of the National Statistical
Coordination Board, said the country's gross domestic product (GDP)
growth in the first quarter was down from 3.9 per cent a year ago.
'The Philippine economy is now teetering into recession,' he said.
'Leading economic indicators for the second quarter breached into the
negative territory, confirming the all too real threat of recession.'
Virola noted that the agriculture, fishery and forestry sector
contracted by 1 per cent in the first quarter, while the industry
sector sank by 6.6 per cent.
The country's gross national product, which included dollar
remittances from millions of overseas Filipinos, grew by 4.4 per
cent, slightly lower than the 6.4 per cent last year.
Virola noted that dollar remittances from abroad remained one of
the few bright spots in the country's dimming economic prospects, as
demand for Filipino workers continues to rise.
'Notwithstanding the difficulties faced the by global economy, the
demand for the services of our overseas Filipino workers continued to
heighten,' he said.
According to the central bank, dollar remittances from overseas
Filipinos expanded 2.7 per cent to 4.1 billion dollars in the first
quarter of the year.
Socio-economic Planning Secretary Ralph Recto admitted that the
government has become less confident in achieving its 2009 growth
target of between 3.1 per cent and 4.1 per cent.
Recto, however, said the economy will 'stay afloat' during the
year.
USA
Your Talkback on this Story