IN THIS ISSUE:

Latest Economic Performance:

Growth, Financial Markets, Fiscal Performance
and Employment

Economic Reports:
BSP Expectations Survey, Index of Economic Freedom
and Human Development Report

Dutertes Socioeconomic Agenda:

Philippine Development Plan 2017-2022, and
Investment Priorities Plan 2017-2019

economic
snapshots
QUICK FACTS AND FIGURES OF THE PHILIPPINE ECONOMY

QUARTERLY
 CURRENT
ECONOMIC
SITUATION
The Philippine economy continued to perform in the first quarter, with the Duterte administrations
infrastructure projects and reforms in its tax policy underway. This Economic Snapshots presents the most recent
developments, examining the countrys growth drivers, its financial inflows, and its fiscal performance.
It discusses the results of the Bangko Sentrals expectations survey, which will give a better glimpse into
business and consumer sentiments, as well as the Index of Economic Freedom and the Human Development
Report. Finally, the second half delves into the new Philippine Development Plan 2017-2022
and Investment Priorities Plan 2017-2019, which shed light on this administrations priorities.

picture credit: philstar.com

2 March 2017 1st QUARTER ECONOMIC SNAPSHOTS
ECONOMIC DEVELOPMENTS GROWTH

The Philippine economy recorded a growth rate

of 6.6% in the final quarter of 2016, bringing full year Figure 1: ASEAN GDP Growth Rates
growth to 6.8%. The country posted the fourth fastest
growth in the region during the 4th quarter, behind
Indias 7%, Chinas 6.8% and Vietnams 6.7%. Growth was
driven by higher investments and consumption.

The Finance Department expects the economy

to expand by 6.5%-7% in 2017, supported by ample
foreign exchange reserves, a healthy banking system,
and a highly-skilled work force.1 If implemented,
the Comprehensive Tax Reform Program and the
construction of big-ticket infrastructure projects within
the year should also boost the economy.
Source: Bangko Sentral ng Pilipinas
Household consumption is still the main driver
of growth, posting an increase of 6.3% during the
quarter. This is slightly slower, however, than the 6.5% Figure 2: Demand-Side Contribution to GDP
rate recorded in the same period in 2015. Food and
non-alcoholic beverages, which account for 43.1% of
total household expenses, slowed by 5.7%. Clothing
and footwear also contributed to the lower expenses,
contracting by 2.4%.

For the seventh consecutive quarter, fixed capital

investments recorded double-digit growth, reaching
18.7% in the 4th quarter. Public construction grew by
23%, as the administration has launched an aggressive
infrastructure campaign. Investments in durable
equipment grew by 26.2%, indicating sustained
business expansion. Meanwhile, government spending Source: Philippine Statistics Authority
grew by 4% in the 4th quarter, lagging behind 2015s

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 3


Figure 3: Supply-Side Contribution of Sectors to GDP
Source: Philippine Statistics Authority
growth of 15.8%. The slower growth can be attributed
to the lower maintenance and operating expenses of
government agencies, as some programs had already
been completed in the first half of the year. Expenses
in the previous year were also higher because the
country hosted the Asia-Pacific Economic Cooperation
(APEC) summit, as well as the Commission on Elections
preparations for the elections.
Full-year trade grew by 5.8% for 2016, reaching USD
137.4 Billion. Imports grew by 14.2%, which offset the
4.4% decline in exports. In January of 2017, however,
exports grew by 22.5% to USD 5.1 Billion, brought about
by huge jumps in eight major commodities, including
apparel and clothing (270.1%), coconut oil (229.6%), and
chemicals (104.7%).
Electronic products are still the countrys top exports,
expanding by 10.4% to USD 2.36 Billion for that month.
4 March 2016 1st QUARTER ECONOMIC SNAPSHOTS
Meanwhile, imports continued to increase, growing by
9.1% to USD 7.44 Billion in January.
The government expects increased trade in 2017,
especially with improved ties with Russia and China;
exports to China grew by 36.6% in December and by
23.6% in January. In the latest show of economic good
will, Chinese Vice Premier Wang Yang signed contracts
to import Philippine products amounting to USD 1.74
Billion in March.2 Beyond China, however, Philippine
trade is experiencing a half-decade upswing: a February
report from the Asian Development Bank report
highlighted that the Philippines saw stronger exports
in 2011-2015, compared to 2000-2010. ADB expects
demand for Philippine goods to continue to rise as
advanced economies are set to recover.3
On the production side, services sustained their
expansion, growing by 7.4% in the 4th quarter. Services
will continue to drive the economy, helped by
moderate inflation, more tourist arrivals, expansion
in retail trade, a robust financial sector, and continued
remittance inflows and information technology and
business process management (IT-BPM) activity.
Meanwhile, industry grew by 7.6%. Construction
grew by 11%, driven by both public and private
sector activity. Manufacturing continues to drive
growth in the sector, accelerating by 6.9% in the
4th quarter. The strong growth can be attributed to
increased production of petroleum products, food
manufactures, and transport equipment.
According to the National Economic
Development Authority (NEDA), the Volume of
Production Index (VoPI) grew by an average of
14.4% for 2016. However, at the start of 2017, VoPIs
growth was slower at 9.3%, reflecting businesses
caution on domestic and global risks, such as higher
oil prices, higher cost of raw materials, an increase
in interest rates, and a weaker peso.4 Nevertheless,
Nikkeis Purchasing Managers Index reports that
the manufacturing sector recovered in February
after the slowdown they had in the previous month,
reflecting optimism in higher stock purchases, new
orders, and higher output.5 Meanwhile, the countrys
average capacity utilization reached 83.8, nearing
its record-highs, although further investments in
innovation and research are still necessary to sustain
this expansion in the long run.6
Agriculture posted a decline of 1.1% in the fourth
quarter, reversing its growth of 2.9% in the previous
quarter. The sector was dampened by lower palay
(-3.6%), sugarcane (-15%), and coconut (-5.2%) output.
Forestry (-20.7%) and fishing (-3%) also contributed
to the slump. Palay and corn output for 2016 were
lower than 2015, due to chronic dry spells and the
continuing effects of typhoons Lando and Nona at the
start of 2016, and the effects of typhoons Karen and
Lawin in the latter part of the year.7
The World Bank estimates the countrys rice output to
grow by 2% this year due to favorable conditions, with
the country expected to produce a total of 11.5 million
Metric Tons. Imports for rice are also expected to fall
to1.3 Million MT this year, from 1.6 Million MT in 2016.8
In contrast, the US Department of Agricultures Global
Agriculture Information Network (GAIN) report is less
optimistic, noting that rice production could decline
once the National Food Authority lifts its quantitative
restriction on rice imports in June. This would result to
an influx of cheaper rice imports, potentially reducing
investments in the commodity.9

Figure 4: Year-on-Year Changes in Production

Source: Philippine Statistics Authority

Figure 5: Inflation Rate

Source: Bangko Sentral ng Pilipinas

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 5

 Financial Markets
Figure 6: Foreign Direct Investments
Inflation continued to move upwards, rising by 2.7% in
January and 3.3% in February, although it is still within the
BSPs target of 2%-4%. Prices inched higher due to rising
oil prices, as the Organization of Petroleum Exporting
Countries (OPEC) decided to cut production to curb the
oversupply of oil; the implementation of the unitary tax on
cigarettes at the start of the year; and the lingering effects
of typhoon Nina, which affected harvests in Southern
Luzon and Visayas at the end of 2016.10

The BSP revised its inflation estimate to 3.5% this year on

the back of higher government spending and tax reforms.
Source: Bangko Sentral ng Pilipinas Inflationary pressures are also up because of the weaker
peso and higher commodity prices.

Figure 7: FDI Inflows in ASEAN Full-year growth for foreign direct investment (FDI) grew
by 40.7%, reaching USD 7.9 Billion in 2016. The inflows
surpassed the BSPs target of USD 6.7 Billion by 18.4%.
Despite the uncertainty surrounding the leadership
change, investors remained confident in the countrys
economy. Investments in debt instrumentslending by
parent companies abroad to their local subsidiariesled
FDI inflows, growing by 68.6% to USD 5.2 Billion for the
year. Equity capital investments also accelerated by 12.1%,
to USD 2 Billion. FDI was mostly channeled to financial and
insurance activities; arts, entertainment and recreation;
manufacturing; real estate and construction activities.
Meanwhile, investments mostly stemmed from Japan,
Singapore, Taiwan, USA, and Hong Kong. 11
Source: Bangko Sentral ng Pilipinas

6 March 2016 1st QUARTER ECONOMIC SNAPSHOTS

 The countrys FDI is slowly catching up to its peers in
the region, however, high power costs, poor infrastructure, Figure 8: Foreign Portfolio Investments
and restrictive foreign ownership rules must be addressed
soon for the Philippines to keep on track. While global
uncertainty is growing, the BSP remains optimistic about
FDI in 2017, noting the countrys improved economic
conditions and highly-skilled workforce.12

After posting inflows of USD 301 Million in January,

backed by optimistic investor sentiment on the fourth
quarter GDP, foreign portfolio investments (hot money)
reversed in February, recording a net outflow of USD 409
Million. The outflow was attributed to concerns on trade
and immigration policies under the Trump administration,
as well as the suspension of mining operations in the Source: Bangko Sentral ng Pilipinas
country. Over 80% were headed for the US.13

Meanwhile, the peso continued to slide against the dollar, Figure 9: Monthly Average of USD-PHP Exchange Rate
breaching the USD 50 mark in November 2016. This is the
pesos weakest performance against the dollar in over a
decade. The peso joins other ASEAN currencies which have
also fallen against the dollar. However, while the dollar has
strengthened, the peso has also weakened on its own,
exacerbated by foreign fund outflows amidst negative
domestic headlines.14 Global factors have also contributed
to the pesos depreciation, such as the anticipated Federal
Reserve rate increases in 2017, changes in global political
dynamics and its implications on economic policies,
such as the infrastructure expansion under the Trump
administration.
Source: Bangko Sentral ng Pilipinas

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 7

 Demand for the dollar is expected to remain strong
owing to higher imports, particularly of capital goods Figure 10: Cumulative Remittance Levels
geared towards construction materials and equipment.15
Despite this, the country has enough foreign reserves
because of sustained inflows of foreign exchange from
OFW remittances, FDI, BPOs and tourism receipts.16

Remittances continued to grow in January, rising by

8.5% to hit USD 2.4 Billion for the month. This comes after
remittance inflows in 2016 reached USD 29.7 Billion, growing
by 4.9% and surpassing BSPs year-end target of USD 26.3
Billion. Remittances were driven by a 7.6% expansion from
land-based workers with work contracts exceeding a year,
compensating a 3.7% decline in remittances from sea-and
land-based workers with short-term contracts. Source: Bangko Sentral ng Pilipinas

Remittances benefitted from global recovery, with a

growth in inflows from the Middle East, Asia, and the US. Figure 11: Remittance by Country
However, remittances from Europe dropped by 3.8%, mostly
due to lower transfers from the UK as the pound sterling
depreciated against the dollar. At least 80% of remittances
originated from the US, Saudi Arabia, UAE, Singapore, UK,
Japan, Qatar, Kuwait, Hong Kong, and Germany.

While remittances have fueled the economy, an ADB

report notes that the country has the largest brain drain
in the ASEAN. The governments education policy is driven
towards exporting high-skilled workers, which has led
to shortages in the domestic labor market, especially in
nursing, engineering, and aviation. At least 64% of high-
skilled workers leave the country, with most heading for
Source: Bangko Sentral ng Pilipinas
the UAE.17

8 March 2016 1st QUARTER ECONOMIC SNAPSHOTS

Fiscal Performance

The government posted a budget deficit of PHP 353.4 Billion for 2016, lower than the target of PHP 388.9 Billion, but triple the deficit posted in 2015. Government
spending accelerated by 14% in 2016, as the government ramped up public spending on infrastructure. Revenue collections grew by 4% to PHP 2,195.92 Billion for
the year, although still short of its PHP 2,256.7 Billion target. This puts the deficit at 2.4% of GDP, the highest in 5 years.18 Despite the missed targets, this marked an
improvement from the previous administrations fiscal performance, which was constantly beset with underspending.

Figure 12: Fiscal Balance

Source: Bureau of Treasury

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 9

 Employment
The unemployment rate in January climbed to 6.6%, a turnaround from a ten
year low of 4.7% in October. This marks the highest unemployment rate in two
and a half years. Unemployment crept up as an estimated 882,000 agriculture
jobs were lost due to typhoons Nina and Auring, which hit the country in
December and January. Higher election-related employment in the run up
to the elections of May 2016 also contributed to increased unemployment
afterward. Meanwhile, underemployment, which includes those who are
currently employed but are still seeking better job opportunities, is at 16.3%,
recording its lowest level since April 2005, when a new unemployment
definition was adopted.19 The Ilocos Region, NCR, Caraga, and CALABARZON
had the highest unemployment rates.20
The labor force participation rate is at 60.7%, which translates to 69.4 million
economically active citizens. Employment is still concentrated in services
(57.10%), followed by agriculture (25.5%), and industry (17.4%). Despite having
the least proportion of workers, industry has the highest labor productivity
among all three sectors. Agriculture, which employs the second-highest
proportion of workers, consistently records the lowest labor productivity.
110 March 2016 1st QUARTER ECONOMIC SNAPSHOTS
BSP Expectations Surveys
Business confidence was barely changed from the previous quarter, with the
confidence index declining to 39.4% from 39.8%. The outlook stems from the
usual slowdown in business activity and tempered demand after the holidays;
the implementation of new business strategies for the year; higher oil prices
and cost of raw materials; uncertainty regarding Trumps economic policies;
the weaker peso; higher prices; and interest rate hikes in the US and in the
Philippines. However, firms are more optimistic about the second quarter of
the year, due to increased demand during the summer season; enrollment and
harvest periods; expansion of business activities; more infrastructure projects
and higher government spending.
Across industries, business sentiment is mixed. Outlook in the services,
wholesale and retail trade sectors is subdued, due to slower demand after the
holiday season. Sentiment in the industry and construction sectors are bullish
this quarter, as implementation of construction projects are set to begin.
However, their outlook in the next quarter is less optimistic due to a pause in
new projects.21
Employment outlook is more positive in the next quarter, indicating that
firms will likely hire more new employees. More businesses also have expansion
plans in the next quarter, although the capacity utilization remains the same,
implying sustained volume of business activity.
 Figure 13: Overall Business Confidence Index

Source: Bangko Sentral ng Pilipinas

Figure 14: Overall Consumer Outlook Index

Source: Bangko Sentral ng Pilipinas

Consumer outlook remained steady during the 1st quarter, declining from 9.2% in the previous quarter to 8.7%. Consumer sentiment was mixed, with negative views due
to higher prices of goods and household expenditures, poor harvests and unfavorable weather conditions. Meanwhile, positive sentiment was driven by additional family
income, increased employment, effective government policies, and improvements in peace and order situation. Consumers are less optimistic in the 2nd quarter of the year
due to the weaker peso, higher prices, and slowdown in business activity. Households also expect to spend more on housing and rent, water, electricity, fuel and transportation
in the 2nd quarter. OFW households allotting remittances for savings and investment dropped due to inflation and higher expected expenditures.22

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 11

 International Rankings
Table 1: Index of Economic Freedom: Philippines
The Heritage Foundations 2017 Index of Economic Freedom

Economic freedom pertains to the free movement of labor, capital, and goods. The index
highlights the positive relationship between economic freedom and social and economic
prosperity. The report covers 12 freedoms, which are grouped into 4 pillars. The four pillars are:
rule of law, government size, regulatory efficiency, and open markets. This year, Hong Kong,
followed by Singapore, tops 186 countries. Meanwhile, the Philippines ranks 58th in the world,
up by 12 places, and 14th in the region, falling under the moderately free category. Among
the ASEAN-6, the Philippines ranks ahead of Indonesia and Vietnam. The report noted that
the country has attained strong exports expansion despite a subdued global environment.
Economic development, however, is hampered by the absence of entrepreneurial dynamism.

The report underscores the need for deeper institutional reforms in business freedom,
investment freedom, and the rule of law. The countrys score in the rule of law pillar falls
below the world average due to poor enforcement of property rights, courts riddled with
inefficiencies, as well as widespread corruption and cronyism.23

Meanwhile, the countrys score stagnated in the open markets pillar. The trade freedom
ranking slipped by 9 places, as agricultural imports continue to face a number of barriers.
The investment freedom score remains unchanged, as investment in a number of economic
sectors is still restricted. The countrys performance improved in the regulatory efficiency
pillar. The Philippines saw the most improvement in monetary freedom, up by 18 places. The
indicator measures price stability and price controls. While inflation was stable, price controls
on pharmaceuticals and food and household items remained. The countrys ranking for labor
freedom also went up by 6 notches, although the report observed that the countrys labor
market remains rigid.

112 March 2016 1st QUARTER ECONOMIC SNAPSHOTS

The United Nations Development Programs
Human Development Report 2016

The Human Development Index (HDI) has three dimensions, including a long and healthy life, access to knowledge, and a decent standard of living. Norway topped
the list, followed by Australia and Switzerland. The Philippines ranked 116 out of 188 countries in 2015, slipping by 2 places, with a score of 0.682 out of 1. The countrys
HDI is above the 0.631 average in its category, but below the 0.720 average in East Asia and the Pacific. This places the country under the medium human development
category, alongside Indonesia, Vietnam, Laos, Cambodia, and Myanmar in the region. Singapore and Brunei were classified under the very high human development
category, while Malaysia and Thailand were under the high human development bracket. In the 1990s, the Philippines had higher Human Development Index than
Indonesia, Thailand, and Vietnam. However, in a span of 25 years, these countries have overtaken the Philippines.

The report underscores the need to closely examine human decision-making, which may reflect a lack of access to services. In the Philippines, a group who was
offered savings accounts without a withdrawal option for six months increased their savings by 82%. The report also lauded the countrys conditional cash transfer
program, which has provided benefits to the poorest 40% of the population. The Women Development Act, which provides financial access for women under
the same conditions as men, was also noted in the report. From 1990 to 2015, the Philippines HDI increased by 16.3%. During this period, life expectancy at birth
increased by 3 years, mean years of schooling rose by 2.7 years, expected years of schooling increased by 0.9 years, and GNI per capita grew by 111.9%, or an increase
of USD 4,433 in 25 years. Despite the overall improvement in human development, some groups have not benefitted from this progress. Around 6.17 million Filipinos
experience multidimensional poverty.

Table 2: ASEAN Human Development Indicators

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 13

 Table 2: ASEAN Human Development Indicators

The Duterte Administrations Socioeconomic Agenda

Philippine Development Plan (PDP) 2017-2022

In February, Duterte approved the new medium-term development plan. The plan is anchored on AmBisyon Natin 2040, a 25-year vision which encapsulates
Filipinos aspirations for a strongly-rooted, comfortable, and secure life. The plan will serve as the governments blueprint for the next six years, and puts more flesh to
the governments socioeconomic agenda. For the next six years, the government plans to harness technology and innovation to improve e-governance and efficiency.
Although the PDP highlights the need to diffuse growth across different regions in the country, the federalism championed by President Duterte is not mentioned
throughout the text.

Despite the economic gains of the Aquino government, it fell short of the growth targets it set in the previous PDP. Under the Duterte administration, poverty
incidence is targeted to reduce from 21.6% to 14%, with poverty rates in rural areas targeted to decline from 30% to 20% by 2022. Meanwhile, the unemployment rate
is expected to go down to 3%-5%. Economic growth is forecast to expand by 7%-8% annually. The Philippines aims to reach upper-middle income status at the end
of Dutertes term in 2022.

114 March 2016 1st QUARTER ECONOMIC SNAPSHOTS

The government has identified three major pillars to achieve its targets:
1. Enhancing the Social Fabric
More efficient governance will be instituted by reducing and streamlining
bureaucratic processes and simplifying transactions, as well as ensuring
interoperable government processes and databases. Citizen engagement and
participatory governance is also encouraged; the government committed to
facilitating Freedom of Information and strengthening feedback mechanisms
such as the Citizens Hotline (8888). ICT will be a key component in addressing
the fragmentation of the justice system.
2. Inequality-Reducing Transformation
Agriculture has been lagging behind other sectors due to underinvestment.
The strategies laid out in the PDP had been outlined by Agriculture Secretary
Piol before taking office. These include launching a color-coded agricultural
map and providing irrigation systems to farmers. Market access to agricultural
products will also be improved through better infrastructure.
Opportunities in industry and services are hampered by factors including
logistics bottlenecks, restrictive economic provisions and high cost of
doing business. The government seeks to adopt strategies to address
these challenges and improve the countrys investment climate. Providing
assistance to MSMEs will be prioritized. Innovation and technology will be
harnessed to increase output and provide better services. Human capital
will be developed by improving health, education and labor policies. Social
protection programs, including Conditional Cash Transfers, will be expanded
and enhanced to mitigate risks faced by vulnerable groups.
3. Increasing Potential Growth
With a large proportion of the population below 15 years old, the country
is set to benefit from its demographic dividend in a few years. However, to
maximize this, the unmet need for family planning should be addressed to
reduce fertility rates and unwanted pregnancies. Investments in human capital
formation should also be increased. The government also acknowledges the
low level of innovation in the country. Science, Technology, and Innovation
(STI) will be promoted across industries. More support (financing and
logistics) will also be given to STI start-ups and enterprises.
The plan also includes the governments thrust to institute reforms in
tax policy and administration. Trade opportunities will be expanded by
simplifying trade procedures and tapping the Brunei-Indonesia-Malaysia-
Philippines East ASEAN Growth Area (BIMP-EAGA) network. With the creation
of the Philippine Competition Commission in 2015, the country is also set
to push reforms in the competition environment and enhance market
competition, particularly in the telecommunications and the power sectors.
To sustain development, peace and order should be ensured. Peace
negotiations with various groups, including the Moro Islamic Liberation
Front (MILF) and the National Democratic Front (NDF), will be pursued. The
plan also emphasizes a rules-based regime in the West Philippine Sea. Public
order and security will also be prioritized, focusing on Dutertes promise to
reduce criminality and illegal drugs.
The countrys infrastructure deficit will be addressed by increasing
infrastructure spending to at least 5.3% of GDP in 2017 and to 7.4% in 2022.
A Three-Year Rolling Infrastructure Program (TRIP) will also be adopted to
maximize utilization of budget allocations. A host of other administrative
and procedural reforms will also be implemented to fast track infrastructure
projects. Addressing ICT infrastructure will narrow gaps in digital connectivity
and enhance e-governance. Energy infrastructure will also be developed
further to reduce costs and improve power generation.
ECONOMIC SNAPSHOTS 1st QUARTER March 2017 15
 Investment Priorities Plan (IPP) 2017-2019

The new IPP, themed Scaling Up and Disbursing Opportunities, lists priority sectors which may be eligible for
fiscal and non-fiscal incentives. The administrations preferred investment areas include: agriculture, forestry
and fishery; manufacturing, including agri-processing; infrastructure and logistics, including LGU Public Private
Partnership; housing; inclusive business models; health care, including drug rehabilitation; innovation drivers; and
the environment and climate change.

Unlike the previous IPP, the importance of spreading investments to the countryside has been underscored. In
the new plan, there is greater focus on MSMEs, particularly those involved in agribusiness and tourism in rural areas,
which highlights the administrations thrust for more inclusive growth. Environment projects that promote the
reduction of greenhouse gases and other environmentally-sound activities will also be prioritized.

The IPP is also more open towards new entrants in the telecommunications sector. There is also priority in
promoting projects outside Metro Manila. BPO industries expanding their operations in the provinces will qualify
for incentives.24 The IPP also includes projects in the Autonomous Region of Muslim Mindanao (ARMM), export
businesses, and others that qualify under special laws that grant incentives, such as the Philippine Mining Act,
Renewable Energy Act, and the Tourism Act. The Board of Investments is still finalizing the General Policies and
Specific Guidelines for the IPPs implementation.

picture credit: rappler.com

116 March 2016 1st QUARTER ECONOMIC SNAPSHOTS

ENDNOTES:
1
Department of Finance. (30 January 2017). Dominguez sees Bangko Sentral ng Pilipinas. Report on Economic and Financial
16

2017 GDP growth of 6.5-7%. Developments Fourth Quarter 2016.

2
Reuters. (24 March 2017). Economic planner sees Q1 GDP 17
Uy, D. (07 February 2017). OFW Focus Producing Shortages in
growing at least 6.5-7%. BusinessWorld. Critical OccupationsADB. BusinessWorld.

3
Uy, D. (03 February 2017). ADB reports export recovery in much 18
Bureau of Treasury. (December 2016). Full-year National Gov-
of developing Asia. BusinessWorld. ernment Budget Deficit Rises to PHP 33.4 Billion in 2016.

4
National Economic and Development Authority. (2016). Manu- 19
Uy, D. (15 March 2017). Joblessness worse, but job quality bet-
facturing Outlook Remains Strong in Q1 2017. ter. BusinessWorld.

5
World Bank. (March 2017). Philippines Monthly Economic De- 20
Philippine Statistics Authority. (14 March 2017). Employment
velopments. rate in January 2017 is estimated at 93.4 percent.

6
National Economic and Development Authority. (2016). Manu- 21
Bangko Sentral ng Pilipinas. (23 February 2017).
facturing Remains Strong in September 2016.
22
Bangko Sentral ng Pilipinas. (24 March 2017).
7
Philippine Statistics Authority. (October 2016). Rice and Corn
Situation and Outlook. 23
The Heritage Foundation. 2017 Index of Economic Freedom.

8
Uy, D. (26 January 2017). World Bank sees Philippine rice output 24
Memorandum Order No. 12.
rising 2%. BusinessWorld.

9
Arcalas, J. 22 March 2017). Farmers to dump rice for corn when
QR ends. Business Mirror.

10
Lopez, M. (6 February 2017). Policy steady despite inflation
poll. BusinessWorld.

11
Bangko Sentral ng Pilipinas. (10 March 2017). Foreign Direct In-
vestments More than Double in December 2016; Full year Level
at USD 7.9 Billion.

12
Caraballo, M. (21 March 2017). PH to sustain foreign invest-
ment inflow in 2017. The Manila Times.

13
Bangko Sentral ng Pilipinas. (16 March 017). Foreign portfolio
investments result in net outflows in February 2017.

14
Sy, W. (31 October 2016). Strong dollar or weak peso? The Phil-
ippine Star.

15
Soliman, J. (24 February 2017). Metrobank expects infra-driven
GDP growth exceeding 7 percent. BusinessWorld.

ECONOMIC SNAPSHOTS 1st QUARTER March 2017 17

ABOUT
economic
snapshots
is a quarterly publication that presents the current economic situation of
the Philippines through various economic indicators as monitored by local and
international financial institutions. This includes the countrys most recent data
on Gross Domestic Product, Foreign Direct Investments and Remittances,
among others. In addition, studies on the economic performance and
financial forecasts for the Philippines are included in this report.

Stratbase ADRInstitute
is an independent international and strategic research
organization with the principal goal of addressing the
issues affecting the Philippines and East Asia
9F 6780 Ayala Avenue, Makati City
Philippines 1200
V 8921751
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www.stratbase.ph

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