Economy Falls Elsewhere, But Not In The Philippines
The economic strength created by an expansion of the job market in the Philippines has been making the poverty line shrink. Poverty in the Philippines is a "chronic development issue" which has caused the country to be an "outlier" in Asia. That might change as the nation's economy steadily rises.
Voice of America reported that for the first time, the archipelago's official poverty rate dropped down to 21% during the first half of last year. In comparison, it was at 27.6% during the first half of 2015.
Philippine President Rodrigo Duterte revealed this fact during his July 22 State of the Nation Address.
The other figures that he revealed were on economic growth citing that there is a 6% plus that's developed since 2012 and it has made jobs, especially in important Philippine cities that people flock to.
A commonly cited example is the capital Manila, where the disparity between the rich and poor is visible every day.
Economists like Rajiv Biswas of the market research firm HIS Markit said that 27% is a high value even by Asian standards.
The progress happening in the Philippines can be attributed to the rapid economic growth the country has experienced since 2012, he added.
While others are confident about the growth, others-such as a regional think tank-is keeping a modest eye trained on the Philippine economy's growth.
The ASEAN+3 Macroeconomic Research Office, or AMRO, said that the Philippine economy will grow by 6.3% in 2019 as opposed to the earlier 6.4% ranking.
Phil Star reported that the cause for this is because of the lackluster manufacturing and export currently prevailing in Southeast Asia. For 2020, the AMRO expected the Philippine economy to expand, though at a lower 6.5% from the earlier 6.6% valuation. The Philippines is just one of those that became downgraded. Malaysia, Myanmar, Singapore, and Thailand also received downgraded values.
The gross domestic product of the country went down to 5.6% during the first three months of 2019. A dispute among lawmakers slowed down the approval of a new national budget, which also bogged down infrastructure spending and state spending also facing a decline.
Job seekers, however, have a lot to be joyful about as urban jobs remained easier to find and call centers to take advantage of cheap labor coupled with English-language proficiency. If the economy relies on workers to thrive, then the Philippine economy may enjoy more of the great trend currently prevailing.