Growth has not eased Philippine poverty, UN study says

MANILA, Philippines—The Philippines is expected to sustain post-crisis economic growth, but this will be “without development” and “(one) that increases poverty,” partly due to a large and expanding population, according to a new study from the United Nations.

According to data from the Economic and Social Survey of Asia and the Pacific 2011, growth of the domestic economy will ease from 7.3 percent in 2010 to a moderate 5.2 percent this year.

This is attributed to an expected dampening of remittances from overseas Filipinos—which drive consumption in the country—due to recent events in the Middle East and Japan.

Renaud Meyer, director of the UN Development Program in the Philippines, noted that the “fairly stable growth” of the Philippine economy in the past 10 years has not made a significant dent in poverty.

Meyer gave keynote remarks in Thursday’s launch of the survey results held at the Astoria Plaza Hotel in Pasig City.

Meyer said that while income growth does not automatically translate into improvements in the welfare of the poor, the country’s growing population also continues to be a “challenging concern.”

“Poverty in the Philippines may be explained in part by population growth,” Meyer said. “It is therefore imperative that a rational population management policy be enforced by the government immediately, despite vigorous opposition from vigorous lobby groups.”

A proposed law on reproductive health remains pending in Congress amid impassioned debate between its supporters and critics, mainly the Roman Catholic Church.

Further, Meyer said economic growth in the past decade has not brought development and has been far from inclusive.

“At worst, it is growth that increases poverty, benefiting few industries, few regions, and few sectors of society,” Meyer said.

The UN Economic and Social Commission for Asia and the Pacific, which released the study, called for economic policies that focus on creating opportunities for workers in the formal and non-agricultural sectors to move into better jobs.