PSA keeps Q1 GDP growth unchanged

The Philippine Statistics Authority (PSA) said on Wednesday it had kept the country’s gross domestic product (GDP) growth rate at 5.4% for the first quarter.

The gross national income — the sum of the nation’s GDP and net primary income from the rest of the world — for the first three months was revised downwards to 7.2% from the 7.5% initially reported.

Similarly, net primary income from the rest of the world for the first quarter was lowered to 22% from 24.6%.

The statistics agency also noted some changes in some components of the national accounts, particularly on the supply side.

“Downward revisions were noted in electricity, steam, water and waste management (2.7% from 3.8% initially reported), financial and insurance activities, (6.9% from 7.2%) and information and communication (4.7% from 5.6%),” the PSA said in a report.

Meanwhile, the following sectors saw upward revisions: manufacturing (4.3% from 4.1%), real estate and ownership of dwellings (3.7% from 3.3%) and professional and business services (5.2% from 5%).

On the demand side, gross capital formation growth — the investment component of the economy — was raised to 4.8% from the 4% initially reported.

Growth in exports of goods and services was revised upward to 7.1% from 6.2%, while growth in imports was raised to 10.3% from 9.9%.

Private consumption (5.3%) and state spending (18.7%) were unchanged for the January-to-March period from initial estimates.

The revision came ahead of the second-quarter GDP data that will be released on Aug. 7.

A BusinessWorld poll of 17 economists late last week showed a median estimate of 5.5% GDP growth in the April-to-June period, which would be slower than the 6.5% expansion in the same period last year.

National account revisions are based on approved revision policy, which is consistent with international standard practices, the PSA said. — Abigail Marie P. Yraola