MANILA – The Philippines is set to grow at a faster pace of 6.7 percent this year, the head of the Asian Development bank said Monday.
ADB president Takehiko Nakao said the country’s macroeconomic conditions have improved, pointing to faster growth this year for the Philippines.
Nakao mentioned that inflation was slowing down to around 5 percent giving monetary policy more flexibility. He also noted that the Philippine peso has been gaining strength after its weak performance in 2018.
He added that if the Philippines can maintain an average growth rate of 6.5 percent for the next 11 years, then real income will have doubled by 2030.
The ADB chief also said Asia as a whole will continue to grow at a fast clip despite concerns about China’s economy slowing down.
Besides the Philippines other countries that are also growing fast are Vietnam, Myanmar, Bangladesh and India.
“So although there is a lot of concern about a slowdown in China, Asia as whole is growing in a very solid way,” Nakao said.
The ADB is set to release official growth forecasts for the Philippines in April.
Nakao meanwhile also said he hopes the country is on a solid path to achieving upper middle income country status.
The World Bank last year said the Philippines was on track to becoming an upper middle income country as early as this year.
The multilateral lender currently defines an upper middle income economy as having a per capita income of $3,895 to $12,055. (ABS-CBN News)