The Philippines will maintain its economic growth in the next three years, according to a World Bank Report, but growth must benefit the poor in terms of more and better jobs, according to one of its officials.
The country is expected to grow by 6.2 per cent this year, by 6.4 next year and by 6.3 per cent in 2015, the WB report predicted.
Together with other developing economies, the Philippines is seen to spur a modest global recovery during the three-year period which should be “underpinned by stronger internal policies as buffer against lingering risks from fragile high-income countries.”
World Bank projections in 2012 saw the Philippines growing by 6 per cent, slightly below what turned out as a 6.6 per cent actual growth rate for the year.
On the other hand, the country’s economic leaders expect an acceleration of the economy by 6-7.5 per cent this year; 6.5 to 7.5 per cent next year; 7-8 per cent in 2015, and 7.5 to 8.5 per cent in 2016.
Meanwhile, at the Philippine Development Forum held this week, World Bank country director Motoo Konishi said that the country’s economic growth must be more inclusive, that is, able to create more and better jobs for poor Filipinos.
After saying that “macroeconomic stability — the low inflation, large current account surpluses, a market-based exchange rate — is now the new “normal” for the Philippines,” Konishi posed the challenge of sustaining what has been achieved.
He noted that 10 million Filipinos are either unemployed or underemployed, with 1.1 million new entrants to the labor force annually. This implies a total of 14.6 million jobs need to be created in the next three years.
The challenge for the government is to boost other sectors particularly agribusiness and agriculture, he added.
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