Philippines enters its longest economic slump in history
MANILA -- The decline in Q1 GDP in the Philippines marks the longest economic slump in the country's history. GDP growth was minus 4.2% - still an improvement from the minus 8.3% recorded for Q4 of 2020.
ANZ Bank reports that although the bank had forecast positive growth from the current quarter, there is little doubt that the frequent imposition of restrictions on mobility is hurting recovery.
"This feature was also reflected in the internals of GDP performance - weak private consumption and investment, with some offset coming from public spending," ANZ says.
"The policy implications are clear - monetary accommodation albeit without further rate cuts will continue through the remainder of the year."