PH Economy Outpaces Neighboring Asian Countries

The Philippine economy continues to bloom and outperform other Asian Countries.

The notable increase of figure over 6 percent has pushed the country’s growth, nailing it’s spot as the second fastest-growing economy in Asia.

Even the country was hit by many storms and natural disasters last year, the $300 billion Philippine economy exceeds compared to other Asia countries.

“Growth figures… beat international expectations — nearly 7 percent in the last quarter of 2014 — pushing the average full-year growth to more than 6 percent for a third consecutive year,” Economic Planning Secretary Arsenio Balisacan said.

Exporters impact at port congestion and destructive storm brought by Typhoon Haiyan, made a huge dropped down on its economic performance of 2014.

Country regains its boost economic level again made by the increase in agricultural output, continuing expansion of call center industry, public and private sectors’ construction, and high consumer demands.

“The current growth of the Philippines is not driven purely by debt. It’s driven by strong fundamentals and a good demographics, and improved productivity. So you would think that it does seem like the issues of the past of boom-bust cycles and the leverage-driven growth is no longer the case,” Shanaka Jayanath Peiris of International Money Fund said.

Philippines will benefit from low oil prices, which will cover cheaper commodities and electricity rates. But in a home to one of Asia’s youngest and fastest growing populations, it is believed that its growth lies on taking advantage of young society.

“That young population provides a big opportunity to grow faster and create jobs. Of course it provides the opportunity to have higher GDP growth,” Peiris said. “But you also need to create the jobs, so you won’t have the unemployment problem. So it’s a great opportunity but it’s also a challenge.”