Philippines GDP Expands 7.5% YoY in Q2

In the second quarter of 2013, Philippines’ GDP expanded an annual 7.5 percent, from 7.7 percent in the previous quarter and 6.3 percent a year earlier. Strong consumer and public spending, together with increasing investment were enough to offset a drop in the external sector.
National Statistical Coordination Board | Joana Taborda | 8/29/2013 9:51:43 AM
On the production side, services, which remains as the main engine of the economy, expanded 7.4 percent yoy, from 8.4 percent in the previous year. Financial intermediation activities grew the most (9.6 percent), followed by real estate and renting activities (9.5 percent).

Industry sustained its expansion since the first quarter of 2012, growing by 10.3 percent from 5.8 percent in the previous year. The biggest contributors were manufacturing (up 10.3 percent) and construction (up by 17.4 percent). In contrast, mining activities contracted 2.7 percent yoy. 

Agriculture, fishing, forestry and hunting production contracted 0.3 percent. 

On the demand side, growth came mainly from household spending (accelerated to 6.2 percent) and government consumption, which increased 17 percent yoy. Capital formation expanded 13.2 percent, boosted by increased investments in fixed capital. In contrast, both exports and imports contracted by 6.5 percent and 3 percent, respectively. 

On a seasonally adjusted basis, the GDP grew 1.4 percent, slower than the previous quarter’s growth of 2.3 percent.

Philippines GDP Expands 7.5% YoY in Q2