Philippines Post 7.5% GDP Growth for 2Q 2013

The domestic economy accelerated in the second quarter of 2013 to 7.5% from 6.3% recorded the previous year, boosting the 2013 first semester growth to 7.6% from 6.4% in the first half of 2012, according to the National Statistical Coordination Board (NSCB). The second quarter growth is the fourth consecutive GDP growth of more than 7% under the Aquino Administration.

The resilient Services sector, which grew by 7.4%, remained the main driver of the country’s growth supported by the 10.3% and 17.4% growth of  manufacturing and construction, respectively boosting the Industry sector to grow by 10.3%.

On the demand side, the growth came mainly from consumer and public spending buttressed by increased investments in Fixed Capital.  External trade has been lackluster.

The growth in the Net Factor Income from Abroad at 2.7% together with the impressive growth in the domestic economy pushed the Gross National Income (GNI) to grow by 6.8% from 6.5% 2012.

For the first semester of 2013, GNI grew by 7.3% from 6.1% in the first semester of 2012.

On a seasonally adjusted basis, GDP grew at 1.4% but this was slower than the previous quarter’s growth of 2.3%. Similarly, GNI grew by a slower pace of 1.2% in the second quarter of 2013 compared to 2.2% in the first quarter of 2013.

With projected population reaching 97.2 million, per capita GDP accelerated to 5.8%. Similarly, per capita GNI upped its growth by 5% while per capita Househ0ld Final Consumption Expenditure (HCFE) slowed down by 3.5%.