Economy grows faster than expected at 6.4% in first quarter

MANILA, Philippines - Stable consumer prices and improvement in  the manufacturing sector and services boosted the Philippine economy to grow faster than expected in the year's first three months, the government said Thursday.

"After four quarters of lackluster performance, the Philippine economy is off to a rousing start in the year of the water dragon as GDP (gross domestic product) grew by 6.4 percent in the first quarter of 2012 compared to an upwardly revised growth of 4.9 percent last year," the National Statistical Coordination Board said in a statement.

The government is seeking to boost the country's economy between five and six percent this year.

Meanwhile, owing to strong remittances from overseas Filipinos, the country's gross national product rose 5.8 percent from 3.5 percent in 2011.

Fastest-growing economy in Southeast Asia

Abigail Valte, deputy presidential spokesperson, said the economic growth in the first quarter of the year makes the Philippines' economy the best performer in Southeast Asia.

"It's the highest in ASEAN (Association of the Southeast Asian Nations) and second-highest in China," Valte said at a briefing in Malacañang.

Valte said only China's economy, with an 8.1-percent growth, performed better than the Philippines' economy.

- Cheryl M. Arcibal

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