FPI head bullish over RP growth

Federation of Philippine Industries (FPI) chairman Meneleo Carlos has expressed optimism over growth prospects this year despite the oil price increases.

According to Carlos, certain sectors are already showing signs of recovery such as the construction and export sectors. The construction sector is picking up, especially low-cost housing, Carlos noted.

The shortage of cement, Carlos said, is an indication of increasing demand. The low interest regime, he noted, is also making it attractive to construct.

A pick-up in the construction sector has a strong multiplier effect on the economy because it touches on almost all other industries such as steel, glass, cement, electrical and many others sectors.

Exports are also recovering, Carlos said, especially electronics and garments. He admitted, however, that the economy could still use some help.

Another sector which could further help the economy, he said, is the tourism industry, which also has a strong multiplier effect because it involves construction, food and services.

Tourism also stimulates the local manufacturing industries, especially since tourists buy local goods.