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The Philippine economy grew 7.6% in the third quarter of 2022, beating analysts’ median forecast of 6.3% and defying heightened global uncertainty and rising consumer prices
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GDP growth in the third quarter was a notch higher than the revised 7.5% expansion in the second quarter and faster than the 7% advance in the same period last year
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The main growth contributors were wholesale and retail trade; repair of motor vehicles and motorcycles; financial and insurance activities, and construction
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Socioeconomic Planning Secretary Arsenio Balisacan said the country is on track to achieving the government’s growth target of 6.5% to 7.5% for 2022
The Philippine economy grew 7.6% in the third quarter of 2022, exceeding analysts’ median forecast of 6.3% despite heightened global uncertainty and elevated consumer prices.
The third-quarter gross domestic product was slightly higher than the revised 7.5% growth in the second quarter of 2022 and faster than the 7% expansion in the third quarter of 2021, according to the Philippine Statistics Authority. In the first quarter of the year, GDP grew 8.2%.
The main contributors to this year’s third-quarter growth were wholesale and retail trade at 9.09%; repair of motor vehicles and motorcycles, 9.1%; financial and insurance activities, 7.7%; and construction, 12.2%.
The major economic sectors, namely agriculture, forestry, and fishing; industry, and services all posted positive growths of 2.2%, 5.8%, and 9.1%, respectively.
On the demand side, household consumption rose 8%. Also registering growth were government expenditure, 0.8%, gross capital formation, 21.7%; exports, 13.1%; and imports, 17.3%.
With the 7.6% growth, the country is on track to achieve the government’s growth target of 6.5% to 7.5% for 2022, Socioeconomic Planning Secretary Arsenio Balisacan said in a statement. He said the economy needs to grow 3.3% to 6.9% in the fourth quarter.
The third-quarter growth also lands the Philippines on second place among Association of Southeast Asian Nations members in terms of GDP growth for the quarter, trailing Vietnam’s 13.7% and ahead of Indonesia’s 5.7%.
Balisacan said the GDP growth largely benefitted from the further easing of mobility, including the resumption of face-to-face classes, which boosted consumption among Filipinos.
The relaxation of border restrictions and more simplified travel protocols also supported the growth of local tourism and other sectors that were affected severely by the pandemic, leading to economic expansion in the third quarter.
