Manila, May 12, (dpa/GNA) – The Philippine economy grew by 8.3% in the first quarter of the year, buoyed by strong private spending and recoveries of most sectors after Covid-19 pandemic restrictions were eased, the government said Thursday.
The gross domestic product (GDP) growth was a “significant reversal” from the 3.8% contraction in the same period in 2021 as the economy reeled from the effects of Covid-19 lockdowns, according to Socio-Economic Planning Secretary Karl Kendrick Chua.
“The big driver of this growth is our full reopening of the economy… that is the single most important driver,” Chua told a press conference.
“We have restored many jobs and livelihoods by shifting to a more endemic mindset, accelerating vaccination, and implementing granular lockdowns that only targeted the areas of highest risk while allowing the majority of our people to work and earn a living,” he added.
Among the major economic sectors, the main contributors to the growth were industry and services, which expanded by 10.4% and 8.6% respectively.
Agriculture slightly improved by 0.2% as growth was hampered by an outbreak of African Swine Fever and elevated prices of agricultural commodities.
“On the expenditure side, growth was driven by private consumption which went up by 10.1 per cent, a stark reversal from the -4.8 per cent figure in the same period last year,” Chua said.
“With much-relaxed quarantine restrictions and more vaccinated Filipinos, family activities, leisure, travel, and tourism have all grown significantly,” he added.
Chua said the strong performance in the first quarter moved the country closer to achieving the annual growth target of between 7% and 9% this year.
GNA