Palace: 2014 gross domestic product growth target remains achievable

The Aquino government remains optimistic that it could achieve the 6.5 percent gross domestic product (GDP) growth target for the year, despite slower economic growth in the third quarter, Presidential Communications Operations Office Secretary Herminio Coloma, Jr. said Thursday.

Secretary Coloma said they remain hopeful that the country's economy would rebound in the fourth quarter.

Quoting National Economic and Development Authority (NEDA) Director General Arsenio Balisacan, Coloma said the administration’s optimism is based on the sound performance of the private sector.

“Ayon nga kay Secretary Balisacan, nananatiling optimistiko ang ating pananaw, sapagkat ang performance ng private sector ay patuloy pang nagiging masigla, at inaasahan natin ‘yung paggugol ng nalalabing mga pondo na appropriated ay mapapabilis ng iba’t ibang ahensya ng pamahalaan, at maging ang impact na rin ng mga rehabilitation efforts,” he said.

"Kaya’t hindi tayo natitinag sa ating optimism na gaganda ang takbo ng ekonomiya sa fourth quarter of the year at maaari pa ring matamo ang goal ng NEDA na minimum of 6.5 percent GDP growth for the year," the Palace official added.

Economic growth slowed down in the third quarter of the year, growing by only 5.3 percent, compared to 6.4 percent in the previous quarter and 7 percent in the same period last year.

Officials have blamed the dismal growth on port congestion, reduced government spending, as well as lower agricultural output from July to September.

Despite the slower growth, the Philippines remains the fourth fastest growing economy in the region during the third quarter, after those of China, Vietnam and Malaysia.

The Philippines' GDP grew by a robust 7.2 percent last year. (PCOO News Release)