THE PHILIPPINE economic growth is poised to return to pre-pandemic levels in 2022 when a “full recovery” is likely to be seen, Bangko Sentral ng Pilipinas (BSP) Gov. Benjamin Diokno said Thursday.
In a virtual briefing, Diokno said he is optimistic that the economic performance is expected to improve starting in the third quarter, and bounce back by 2021 before returning to pre-pandemic levels the following year.
“I’ve been quoted as saying that 2021 will be a recovery year for us. We expect the economy to bounce back by maybe between 6.5 to 7.5 percent, but that means we have not fully recovered,” he told reporters.
“Full recovery will take place in 2022, so we will be a contraction this year 2020, recovery next year, but we will be back to our 2019 GDP (gross domestic product) by 2022,” he added.
The economy contracted by 16.5 percent in the second quarter of the year mostly due to the COVID-19 pandemic, bringing the Philippines into a technical recession. Third-quarter figures are scheduled to be released next week.
Prior to the pandemic, the Philippines reported a 5.9 percent economic growth in 2019, the slowest pace in eight years, following the failure of Congress to pass a national budget on time.
For this year, economic managers are expecting the economy to contract by as much as 5.5 percent, taking in the effects of the community quarantines set in place since March to curb the spread of COVID-19. (GMA News)
