In the first quarter, household consumption expanded by 7.0 percent year-on-year, as compared to a 6.5 percent increase in the December quarter 2015. Government expenditure rose 9.9 percent, slowing from a 15.8 percent growth in the previous three months. Gross domestic capital formation increased by 23.8 percent, accelerating from a 13.3 percent growth in the previous quarter, as investment expanded for all categories. Investment on durable equipment rose 36.6 percent year-on-year, followed by construction (+12.0 percent), breeding stocks & orchard development (+4.1 percent) and intellectual property products (+24.3 percent). Exports expanded by 6.6 percent, slower than a 10.9 percent growth in the fourth quarter, as sales of goods eased (+5.2 percent from +9.0 percent +11.1 percent). Those of services also slowed (+ 11.1 percent from +19.1 percent). Imports grew by 16.2 percent, faster than a 14.9 percent in the December quarter.
On the production side, the services sector advanced by 7.9 percent, compared to a 7.8 percent growth in the December quarter, supported by financial intermediation (+9.1 percent), real estate (+9.0 percent), trade and repair of motor vehicles, motorcycles, personal and household goods (+8.0 percent), other services (+8.0 percent), public administration & defense; compulsory social security (+6.8 percent) and transportation, storage and communication (+5.4 percent). The industry sector expanded 8.7 percent, following a 6.5 percent in the preceding quarter quarter. Growth in the sector were contributed the most by mining & quarrying (+11.3 percent), followed by construction (+10.8 percent); electricity, gas and water supply (+9.7 percent) and manufacturing (+8.1 percent). In contrast, agriculture, hunting, forestry and fishing contracted by 4.4 percent, following a 0.2 percent decline in the December quarter.
For 2016, the economy is targeted to grow by 6.8 to 7.8 percent.