Philippines' GDP Growth Beats Forecasts in Q1 2013

In the first quarter of 2013, Philippines' economy expanded by 7.8 percent yoy, up from 7.1 percent in the previous quarter, making the country fastest growing economy in Asia. The growth was driven mainly by robust domestic consumption and government spending.
National Statistical Coordination Board | Joana Taborda | 5/30/2013 11:20:35 AM
On the production side, industry grew by 10.9 percent yoy, from 5.3 percent in the same period last year.  The biggest contributors to the growth in industry sector were manufacturing (up by 9.7 percent) and construction (up by 32.5 percent ). Electricity, gas and water supply expanded by 0.1 percent and mining and quarrying contracted by 17 percent. 

Services, which remained the main driver of the economy, grew by 7.0 percent from 8.4 percent in the same period last year. All subsectors, led by financial intermediation (up by 13.9 percent ) contributed robustly to sector’s growth. Public administration, defense and social security expanded by 8 percent and real estate, renting and business activities increased by 6.3 percent.

Agriculture, hunting, fishery and forestry expanded by 3.3 percent.

On the demand side, household consumption expanded by 5.1 percent and government consumption grew 13.2 percent. Capital formation rose by 47.7 percent boosted by higher fixed capital formation (up by 16.8 percent) and investments in private construction (up to 30.7 percent). Total exports declined by 7.0 percent as shipments of goods registered double-digit drop of 8.4 percent. Imports expanded by 1.6 percent.
On a seasonally adjusted basis, the GDP is gaining momentum growing by 2.2 percent in the first quarter of 2013.