The International Monetary Fund (IMF) on Monday said the Philippines is one of the resilient economies in the region, with growth mostly supported by domestic demand.

“India and the Philippines have been the source of repeated positive growth surprises, supported by resilient domestic demand,” the IMF said in its April 2024 Regional Economic Outlook for Asia and Pacific report.

The IMF expects the Philippine economy to grow by 6.2 percent for both 2024 and 2025.

“The Philippines is one country which has done very well in terms of…the growth is being resilient (and) inflation is coming down,” IMF director of the Asia and Pacific department Krishna Srinivasan said in a virtual briefing on Tuesday.

IMF’s latest forecast for the year, settles within the government’s 6.0 to 7.0 percent growth target.

Last year, the economy grew by 5.6 percent, outpacing major economies in Asia, such as China (5.2 percent), Vietnam (5.0 percent), and Malaysia (3.8 percent).

1st quarter GDP growth

In an interview with reporters late Monday, Finance Secretary Ralph Recto said Philippine economic growth will likely settle at 5.8 to 6.3 percent in the first quarter of the year.

“Anything higher than 5.5 is a win because last year we grew by 5.5 so if we grew by 5.8 that’s good enough, that should be one of the highest in the region if not one of the highest in the world. So based on our analysis, 5.8 to 6.3 for the first quarter,” he said.

He said 5.8 percent is a “realistic” number, adding however that a growth of 6 percent and above is also possible.

“I think in the first quarter last year, the [economic] growth was high, so we’re starting from a high base so put it in perspective. If we can achieve 5.8 percent, maganda na rin yun (it’s also good) because [we’re] starting from a high base,” Recto said.

In the first quarter of 2023, the Philippine economy grew by 6.4 percent.

The first quarter Philippine gross domestic product growth data is scheduled to be released by the Philippine Statistics Authority on May 9. (PNA)