MANILA, Philippines – Think tank Philippine Institute of Development Studies (PIDS) is urging government leaders to focus on medium and long-term plans for the economy to survive global uncertainties.
In a statement, Global economic expert Dr. Dan Steinbock said while emerging countries in Asia were not as deeply affected by the 2008 global financial crisis and the Philippines economy has grown consistently, the country is still not immune to global economic shocks.
“The Philippines remains behind on policies and programs that are necessary to take advantage of its strengths and opportunities. There is no better time to capitalize than when the Philippine economic growth is comparatively good,” Steinbock said.
Steinbock said the country has to address its shortcomings in infrastructure development and “miniscule” investments in research and development. The country, he said, should also open up to more foreign direct investments.
“Emerging economies are now driving the world economy and it would be a shame if the Philippines does not act to get what it deserves,” Steinbock said.
PIDS said leaders must have a comprehensive consideration of not only the economic growth but also the economic adversities affecting advanced and emerging economies.
The think tanks noted that the negative effect of falling prices on Gulf economies impact the inflow of remittances from Filipino workers in this region.
“A decline in the economic health of the Gulf certainly affects Filipino laborers,” he said.
Other external factors such as the economic slowdown in China and Japan –both of which are major sources of capital goods and are export destinations of Philippine agriculture and manufactured products—should motivate the country to achieve and maintain inclusive and sustainable growth, Steinbock added.
The Philippine economy grew at its fastest pace of 6.3 percent in the last quarter of 2015, resulting to a full year growth rate of 5.8 percent.
This, however, fell short of the government’s target of seven to eight percent.
Former National Economic Development Authority (NEDA) director general Arsenio Balisacan, nevertheless, said the last quarter growth rate was an affirmation that the economy is traversing the higher growth path, building on the efforts of the public and private sectors.//
In a statement, Global economic expert Dr. Dan Steinbock said while emerging countries in Asia were not as deeply affected by the 2008 global financial crisis and the Philippines economy has grown consistently, the country is still not immune to global economic shocks.
“The Philippines remains behind on policies and programs that are necessary to take advantage of its strengths and opportunities. There is no better time to capitalize than when the Philippine economic growth is comparatively good,” Steinbock said.
Steinbock said the country has to address its shortcomings in infrastructure development and “miniscule” investments in research and development. The country, he said, should also open up to more foreign direct investments.
“Emerging economies are now driving the world economy and it would be a shame if the Philippines does not act to get what it deserves,” Steinbock said.
PIDS said leaders must have a comprehensive consideration of not only the economic growth but also the economic adversities affecting advanced and emerging economies.
The think tanks noted that the negative effect of falling prices on Gulf economies impact the inflow of remittances from Filipino workers in this region.
“A decline in the economic health of the Gulf certainly affects Filipino laborers,” he said.
Other external factors such as the economic slowdown in China and Japan –both of which are major sources of capital goods and are export destinations of Philippine agriculture and manufactured products—should motivate the country to achieve and maintain inclusive and sustainable growth, Steinbock added.
The Philippine economy grew at its fastest pace of 6.3 percent in the last quarter of 2015, resulting to a full year growth rate of 5.8 percent.
This, however, fell short of the government’s target of seven to eight percent.
Former National Economic Development Authority (NEDA) director general Arsenio Balisacan, nevertheless, said the last quarter growth rate was an affirmation that the economy is traversing the higher growth path, building on the efforts of the public and private sectors.//
