MANILA, Philippines (Updated 12:27 p.m.) — The Philippine economy grew faster than expected in the third quarter, likely making it the second fastest-growing economy in Asia next to Vietnam and ahead of China, the Philippine Statistics Authority reported Thursday.
The Philippines’ gross domestic product—or the value of all finished goods and services produced in the country—clocked a solid 6.9 percent growth rate for the July-September period.
This was higher than the upwardly revised 6.7 percent logged in the second quarter and above the 6.5-6.7 percent estimate by market analysts. However, the third quarter GDP was slower than the 7.1 percent recorded in the same period last year.
Manufacturing, trade, real estate, renting and business activities were the main drivers of growth for the quarter, the statistics agency said.
Among the major economic sectors, industry recorded the fastest growth at 7.5 percent followed by services which rose by 7.1 percent.
Q4 GDP ‘will be higher’
Asked for his GDP outlook for the last quarter of 2017, Pernia said he expects the economy to grow at a faster pace in October-December period despite risks posed by typhoons that come late in the year.
He also said agriculture, which decelerated to 2.5 percent in the third quarter, is likely to post positive growth in the coming months.
“Well the usual risks would be weather disturbances. But we were saying that we expect though that the… growth of the fourth quarter GDP will be higher or at least match the third quarter’s performance,” Pernia said.
Meanwhile, another domestic risk that could affect the government’s bullish outlook for the fourth quarter would be “an upward price pressures from oil prices,” National Economic and Development Authority Assistant Secretary Carlos Abad Santos said.