First-quarter GDP growth unchanged at 2.8%

The Philippine Statistics Authority (PSA) on Thursday announced revisions to the first-quarter GDP growth figures for the Philippines. The GDP growth rate remained steady at 2.8%, while gross national income growth was adjusted downward to 2.9% from the previously reported 3%. This adjustment was driven by revisions in net primary income from the rest of the world, which was lowered from 4.5% to 3.5%. The PSA also updated several components of the national accounts. Downward revisions were made to other services (from 3.9% to 2.9%), electricity, steam, water, and waste management (from 0.7% to 0.03%), and education (from 6.1% to 5.9%). Conversely, manufacturing growth was revised upward to 0.7% from 0.5%, transportation and storage to 5% from 4.4%, and wholesale and retail trade, repair of motor vehicles and motorcycles to 4.7% from 4.6%. The revisions align with international standard practices and were conducted ahead of the release of second-quarter GDP data on August 7. A BusinessWorld poll of 21 economists predicted a median GDP growth estimate of 2.8% for the April-to-June period, matching the first-quarter pace but significantly lower than the 5.4% expansion observed in the same period last year. This would result in a first-half average growth rate of 2.8%, below the government’s projected 3.5%-4.5% full-year target.