MANILA – The government speeds up the implementation of priority infrastructure projects by increasing public spending in order to boost the economy in the second half of the year and the next few years.
During an economic forum on Tuesday hosted by the Economic Journalists Association of the Philippines (EJAP), Socioeconomic Planning secretary Ernesto Pernia said 46 out of the total 75 infrastructure flagship projects with the cost of P2.18 trillion are under implementation.
“Many of these projects have been completed or near completion. These include the Bohol-Panglao International Airport, the Harbor Link project which connects the Port area to the NLEX (North Luzon Expressway). Then the Skyway Stage 3 connecting NLEX with SLEX (South Luzon Expressway),” he said
Pernia added that the projects are to be completed by the end of this year or early next year according to the Department of Public Works and Highways (DPWH).
Other projects are under development, and for government approval and re-evaluation by the Investment Coordination Committee.
Pernia, also the Director-General of the National Economic and Development Authority (NEDA), said they target to complete 22 projects by the end of the Duterte administration in 2022.
He also noted the country’s gross domestic product (GDP) must grow by 6.4 percent to hit the low-end of the six to seven-percent growth target for the year.
“I’m optimistic that we will reach at least six-percent growth rate for the whole of 2019,” he told reporters.
Citing the International Monetary Fund projections, Pernia said the Philippines will remain one of the fastest major growing economies in Asia after India, Vietnam and China.
The economy expanded at a slower pace of 5.5 percent in April to June, bringing the average growth in the first semester of the year to 5.5 percent.
The slower growth in the second quarter was attributed to the continued effect of the delay in the passage of the national budget, and the election ban on spending government projects.
Pernia said economic managers expect growth to recover in the medium-term, with the GDP targeted to accelerate to 6.5 to 7.5 percent by 2020, and seven to eight percent by 2021-2022.
“This will require redoubling our efforts in public spending, in pushing infrastructure projects on 24/7 work mode,” the NEDA chief said. (PNA)
