Long road to recovery for the Philippines
MANILA - Although an improvement over Q2, GDP growth in the Philippines in the third quarter still fell by a solid 11.5% y/y, highlighting the long road to a recovery. GDPfor th second half came in at minus 16.9%.
"The pace of normalisation in private demand has been slow, and fiscal spending has not been aggressive enough to tackle a crisis of this magnitude," ANZ Bank reported today in a research report.
"Apart from a material decline in COIVD-19 cases and partial re-opening of international borders, the policy framework needs to be strengthened."
ANZ said fiscal spending needed to be more timely, and policy transmission from policy rates to lending rates had to improve.