DBM sees no reason to revise GDP growth target

MANILA, Philippines — Budget Secretary Amenah Pangandaman said she sees no reason to revise the country’s full-year gross domestic product (GDP) growth target, expressing continued confidence in the government’s economic outlook and the existing growth projections for 2025.

Pangandaman, who also heads the Cabinet-level Development Budget Coordination Committee (DBCC), said the economic team is yet to study the possible adverse economic effects of La Niña in the coming months.

“The technical working group will sit down; I’m not considering adjusting it (growth target) yet. Maybe not now, in my opinion,” the budget secretary said when asked about her stance on adjusting the GDP growth target.

Still, Pangandaman assured the public that the government was prepared, noting that a contingency program was already in place for emergency situations.

State weather bureau Philippine Atmospheric, Geophysical and Astronomical Services Administration said La Niña may hit the country as early as September.

The DBCC lowered this year’s economic growth target to a range of 5.5 to 6.5 percent from the original target of six to eight percent.

Pangandaman recently mentioned that the country is on track to meet its full-year GDP growth target, adding that third-quarter growth is expected to reach six percent.

The Philippine economy expanded by 5.5 percent in the second quarter, slightly faster than the 5.4 percent growth recorded in the first quarter.

Pangandaman said the government would bolster infrastructure spending to help accelerate economic growth and offset the slowdown experienced in the first half.

She said that the investigation into the ghost infrastructure project resides with the implementing agencies, not the budget department.