The Government is confident the economy will sustain a 7% growth rate over the medium term, the Finance department said.
“The 6.5% growth for the first semester makes the Philippines the second-fastest growing economy in Asia after China. We retain the 7% growth rate target for the year, spurred by the investment spending in the infrastructure program.
We believe this growth rate is sustainable well into the medium term,” Finance Secretary Carlos G. Dominguez III said in a statement. He added that his confidence is based on the government’s ability to deliver on its Php8.4 trillion infrastructure program.
Government spending in the nine months to September was up 8% year-on-year at Php2.01 trillion, equivalent to 69.23% of the Php2.91 trillion target for 2017.
“Increased investments in modernizing the country’s infrastructure will be the key driver of our growth the next few years. These investments seek to bring up our infra to match those of our most progressive neighbors. By modernizing our infrastructure, we will address congestion in our ports, airports and roads,” Dominguez said.