MANILA – Despite not reaching the government’s target, the Philippines achieved a robust 5.6% GDP growth in 2024, positioning it among the fastest-growing economies in the Asia Pacific, according to Budget Secretary Amenah Pangandaman. She made these remarks following the release of the Philippine Statistics Authority’s report, which indicated a 5.2% growth in the fourth quarter, culminating in the annual figure.
Pangandaman acknowledged that the 2024 target of 6 to 6.5% was not met, yet she emphasized that the country’s performance still outshone many ASEAN neighbors, contributing to the ongoing economic transformation. She highlighted the severe impact of a record-breaking typhoon season, with six storms hitting between late October and mid-November, which significantly affected the economy.
Despite these challenges, Pangandaman praised the resilience of the Philippine economy, stating that achieving 5.6% growth amidst such adversity demonstrated the effectiveness of the country’s growth strategy. She also credited the Build Better More Program, noting that construction played a pivotal role in driving economic growth, with increases of 7.8% in the fourth quarter and 10.3% for the entire year.
Looking ahead, Pangandaman reaffirmed the government’s commitment to the Agenda for Prosperity, focusing on implementing key programs and strategies aligned with the 8-Point Socioeconomic Agenda and the Philippine Development Plan 2023-2028. She expressed confidence that these efforts would create a resilient macroeconomic environment conducive to sustained growth.
The Department of Budget and Management (DBM) reported positive outcomes from efforts to enhance budget efficiency, with Government’s Final Consumption Expenditure showing a significant year-on-year growth of 9.7%. DBM Principal Economist Joselito Basilio attributed the sustained economic growth to the government’s initiatives to tackle underspending, allocate sufficient funds to high-impact programs, and bolster infrastructure development.
Basilio also noted that while GDP growth was steady, Gross National Income saw a year-on-year increase of 6.2% in the fourth quarter, leading to a full-year growth of 7.6% in 2024.