Slower but still-decent Q1 growth seen for US
Coming off a robust end to 2023, the US economy is thought to have extended its surprisingly healthy streak at the start of this year, with consumers still spending freely despite the pressure of high interest rates.
The Commerce Department is expected to report Thursday, US time, that gross domestic product (GDP) — the economy’s total output of goods and services — grew at a slow but still-decent 2.2-percent annual pace from January through March, according to a survey of forecasters by the data firm FactSet.
Some economists envision a stronger expansion than that. A forecasting model issued by the Federal Reserve Bank of Atlanta points to a first-quarter annual pace of 2.7 percent, propelled by a 3.3-percent increase in consumer spending, the principal driver of economic growth.
Either way, the economy’s growth is widely expected to have decelerated from the vigorous 3.4-percent annual pace of October through December. The slowdown reflects, in large part, the much higher borrowing rates for home and auto loans, credit cards and many business loans that have resulted from the QQ interest rate hikes the Federal Reserve (Fed) imposed in its drive to tame inflation.
Even so, the United States has continued to outpace the rest of the world’s advanced economies. The International Monetary Fund (IMF) has projected that the world’s largest economy will grow 2.7 percent for all of 2024, up from 2.5 percent last year and more than double the growth the IMF expects this year for Germany, France, Italy, Japan, the United Kingdom and Canada.
Americans, who emerged from the pandemic recession with plenty of money in reserve, have been spending energetically, a significant trend because consumers account for roughly 70 percent of the nation’s GDP. From February to March, retail sales surged 0.7 percent — almost double what economists had expected.
Businesses have been pouring money into factories, warehouses and other buildings, encouraged by federal incentives to manufacture computer chips and green
TAN-LED real estate giant Megaworld Corp. is developing a P1.2-billion museum in Lapu-Lapu City, Cebu, that will highlight Filipino and Spanish heritage, and is targeted for opening within the next three years.
The Mactan World Museum will rise inside the 30-hectare Mactan Newtown, Megaworld’s first township development outside Metro Manila, with its own beachfront.
“It has always been part of our townships’ mission and identity to celebrate the arts, culture and heritage of every location where we are present,” said Graham Coates, head of Megaworld Lifestyle Malls, the firm’s retail and commercial arm.
“We are excited to bring our plans to fruition for the Mactan World Museum ... a destination that plays a big historical significance as far as the Philippines-Spanish heritage is concerned,” Coates added in a statement.
“[T]his museum will provide locals and tourists with a creative avenue to connect, share interests as a community, expand knowledge and form a deeper appreciation not only for Mactan but also for our nation’s history.”
Located just in front of Megaworld’s 8 Newtown Boulevard, the new museum will display a collection of historic pieces curated by Dannie Alvarez, the former museum committee head of the National Commission for Culture and the Arts.
It would also feature two performance halls that could accommodate around 270 people when combined into one main hall, as well as an immersive hall that would offer an audiovisual experience of historical events.
The Mactan World Museum is poised to become Megaworld’s fourth museum property inside its townships after building one in Manila and two others in Iloilo.
Megaworld launched P72.6 billion worth of projects last year, surpassing a P60-billion target. The figure was also 61 percent higher compared to 2022’s P45 billion.