The Philippines’ gross domestic product (GDP) grew year-on-year by 7.1 percent in the third quarter of 2016, driven by manufacturing, trade, and real estate, renting and other business activities, according to the Philippine Statistics Authority. This is the fastest pace in three years, beating the growth rates of 7.0 percent in the second quarter of 2016 and 6.2 percent in the third quarter of 2015.
The country’s growth exceeded China’s 6.7 percent and Vietnam’s 6.4 percent in the same period.
“Philippines will remain an outperformer in the region,” said Rahul Bajoria, a senior economist at Barclays Plc in Singapore. “It is domestically driven, with consumption holding up quite well and the fiscal spending being planned. The global risks we’re seeing including to trade won’t fundamentally alter its prospects.”
Among the major sectors, services posted a growth of 6.9 percent in the third quarter of 2016, power than the 7.2 percent growth in the previous year. On the other hand, industry accelerated to 8.6 percent compared with 6.1 percent in 2015. Meanwhile, after five consecutive quarters of decline, agriculture rebounded to 2.9 percent in the third quarter of 2016.
In the same period last year, it declined by 0.1 percent.
Net Primary Income (NPI) slowed down to 2.5 percent in the third quarter of 2016 compared with 6.8 percent in 2015. As a result, Gross National Income (GNI) grew by 6.3 percent.
With the country’s projected population reaching 103.5 million in the third quarter of 2016, per capita GDP and per capita GNI grew by 5.3 percent and 4.6 percent, respectively. These are both higher than the respective growth of 4.4 percent and 4.5 percent in 2015.