Philippine economic growth quickens to 5.6% in Q2
Philippine economic growth quickened in the second quarter, the government said, placing the country in a better position to weather the global fallout from China's economic woes.
Officials credited the growth to "prudent fiscal management" and policies pursued by President Benigno Aquino, which has helped transform the country into one of the fastestgrowing economies in the region.
Boosted by higher government spending, the April to June gross domestic product (GDP) grew 5.6 per cent, outpacing the 5.0per cent growth in the previous quarter, which was the lowest in three years, Economic Planning Secretary Arsenio Balisacan said. Despite the rebound, Balisacan said the economy was likely to grow from 6.0 to 6.5 per cent for the full year, below the government's 7.0 to 8.0 per cent target.
Second quarter growth was also slower than 6.7 per cent during the same period last year, data showed. Balisacan and other officials stressed that the growth showed the country could weather the global financial turmoil.
"Our economic fundamentals are still strong. We have to make sure we are mindful of the challenges we are facing," Balisacan told reporters. "The quality and the rate of growth of the Philippine economy gives some assurance that with greater vigilance ... we can withstand the volatile markets overseas," he added.
President Aquino's spokesman Edwin Lacierda said the growth was due to political stability "along with prudent fiscal management". "This stability has helped the Philippines weather external shocks, proving once again that good governance is good economics," he added.