Economic execs applaud upgrade

The upgrade from JCR is a solid recognition of the Philippines’ capability to stage a quick and strong recovery

The government’s top economic managers welcome the recent credit upgrade awarded to the Philippines, lifting its BBB+ status to A-.

Finance Secretary Carlos Dominguez III expressed his gratitude to the Japan

Credit Rating Agency (JCR) as he noted the rating action to be the outcome of President Duterte’s strong leadership along with the country’s robust fiscal position.

“The A- rating upgrade from JCR, which comes at a time when economies across the world are reeling from what could likely become the worst global downturn in nearly a century, is a solid recognition of the Philippines’ capability to stage a quick and strong recovery from this health crisis,” Dominguez said.

Sweeping initiatives

“Sweeping initiatives, such as tax reform that President Duterte carried out since he took over in 2016, have placed the Philippines in a strong fiscal position to deal with — and overcome — the financial shocks unleashed by the coronavirus disease (COVID-19) pandemic,” he added.

According to him, the government’s four-pillar socioeconomic strategy will help the economy afloat as it includes programs to help the most vulnerable groups and individuals as well as businesses who were affected by the crisis.

Strong fundamentals

Acting Socioeconomic Planning Secretary Karl Kendrick Chua shared the same sentiment as he noted the government’s commitment to craft and push reforms to help the economy recover faster.

“The Philippines had continued to strengthen its macroeconomic fundamentals prior to the COVID-19 pandemic. As a result, we have sufficient fiscal space and economic resiliency to address the pandemic,” Chua said.

“We are currently working with Congress to enact a recovery program. JCR’s latest credit action in the Philippines is an affirmation of the economy’s resilience,” he added.