Philippine growth seen as ‘exception’ in region

PHILIPPINE economic growth will be an “exception” in a region feeling the effects of the US-China trade war, Nomura Global Markets Research said in a report, adding that its forecasts for Philippine economic growth are “above consensus” at 6% in 2019 and 6.7% in 2020.

In a report published Monday, “Asia in 2020: Glass half full and half empty,” Nomura Global Markets Research added: “In the Philippines, we expect a V-shaped pickup in growth, driven by accelerating public investment spending and strengthening overall domestic demand. We therefore reiterate our above-consensus GDP growth forecasts of 6% in 2019 and 6.7% in 2020 (Consensus: 5.8% and 6.1%, respectively),” it said.

Nomura Global’s 6% estimate for 2019 is scaled back from the 7.1% projection it made in 2018, and lower than the 6.2% rise in 2018. The government’s official target range is 6-7% for 2019 and 6.5-7.5% for 2020.

Nomura Global said the “Philippines has fared relatively better” than some of its neighbors that were affected by the US-China trade war, which resulted in scaled-back growth forecasts for Singapore and Thailand.

Read more: Business World