The country’s economy rebounded in the second quarter and posted a level of growth not seen in over three decades, according to data released by the Philippine Statistics Authority (PSA) on Tuesday.
The PSA reported that GDP growth surged 11.8 percent in the second quarter, the highest since the fourth quarter of 1988 when the economy grew 12 percent.
In the first semester, the PSA reported that the country’s GDP averaged 3.7 percent, using constant 2018 prices.
“The second quarter of 2021 GDP is P488.83 billion and P370.35 billion higher than the second quarter 2020 and first quarter 2021 GDP, respectively,” National Statistician Claire Dennis S. Mapa said in a briefing on Tuesday.
In a joint statement read by Socioeconomic Planning Secretary Karl Kendrick T. Chua, the President’s economic team attributed the recovery to the government’s policy to ease mobility restrictions in production sectors, such as construction, during the enhanced community quarantine (ECQ) period last March and April.
Public construction, Chua said, grew 49.7 percent while private construction expanded by 19.1 percent. Together, the construction sector grew 25.7 percent, the highest since the second quarter of 2010, when its expansion reached 26.6 percent.
Chua added that household spending grew 7.2 percent as millions regained their jobs and income sources in the first half.
He also said foreign trade substantially recovered with imports and exports rising by 37.8 percent and 27 percent, respectively. This, Chua said, is a strong rebound that reflected increased domestic demand and the recovery of the country’s trading partners.
“In summary, almost all sectors bounced back despite the imposition of the ECQ and the MECQ last April and May 2021. This is a clear indication that managing risks, instead of shutting down large segments of the economy, stands a far better chance of improving both economic and health outcomes,” Chua said.
The PSA said the main contributors to the growth were: Manufacture which rose by 22.3 percent; Construction, 25.7 percent; and Wholesale and retail trade; repair of motor vehicles and motorcycles, 5.4 percent.
Among the major economic sectors, Industry and Services posted increases of 20.8 percent and 9.6 percent, respectively.
Meanwhile, Agriculture, forestry, and fishing contracted by -0.1 percent in the second quarter.
Image courtesy of