PH may become key global growth driver

THE PHILIPPINES has the potential to become one of the top 10 countries that can greatly contribute to global growth within the decade, Goldman Sachs said.

According to the investment bank, the Philippines is among the N-11 (Next 11) economies that are likely to advance to the stage of “growth countries,” or nations that account for at least one percent of global gross domestic product.

The N-11 economies are Mexico, Korea, Indonesia, Turkey, Iran, Egypt, Nigeria, Bangladesh, Pakistan, Philippines and Vietnam.

Goldman Sachs said that, except for Vietnam and Bangladesh, all N-11 economies could advance to the “growth” classification.

The investment bank’s projection is anchored on the relatively low incomes observed of most N-11 economies in the past. As a result, the countries have much room for growth and may improve their economic fundamentals significantly.

The nine economies from the N-11, along with the so-called BRICS (Brazil, Russia, India, and China), are expected to contribute the most to global growth from 2011 to 2020.

“Growth markets have the potential to be among the top ten contributors to global growth over the next decade,” Goldman Sachs said.

The Philippines grew by 3.6 percent in 2011. In the past decade, it posted an aver-