With the ambitious “Build, Build, Build” infrastructure program in full swing, the country’s chief economist expects the Philippine economy to withstand looming global uncertainties.
“The government is making definite progress in its massive infrastructure program, we all know as ‘Build, Build, Build.’ We are certain that the government’s efforts will pay off and we will see improvements in the state of the country’s infrastructure over the medium-term,” Socioeconomic Planning Secretary Ernesto M. Pernia said in a statement.
Pernia, who heads the state planning agency National Economic and Development Authority (Neda), said that as of November, 35 of the 75 flagship projects already secured various stages of approval by the Neda Board or the Investment Coordination Committee (ICC).
The big-ticket projects approved to date cost a total of P1.54 trillion, the Neda chief said.
“Meanwhile, 31 projects are expected to be approved by the Neda Board upon the recommendation of the ICC. In terms of project timelines, we expect 31 projects to be completed by 2022. The remaining 44 projects will be completed beyond this administration’s term but may commence implementation during this administration,” Pernia said.
The Duterte administration’s “Build, Build, Build” was aimed at ushering in the “golden age of infrastructure” as the government plans to roll out over P8 trillion worth of projects nationwide.
Pernia said the “Build, Build, Build” was expected to support sustained robust economic growth next year and in the medium term even as local and global challenges remained.
“If 2018 has not been easy for us, 2019 will not be bereft of challenges as well,” Pernia said, noting the recent high inflation episode that slowed economic growth.
“The global growth [is] expected to slow down starting next year. The external environment seems to be less supportive of our country’s potential economic growth in 2019,” he said.
The government is targeting a 7-8 percent gross domestic product (GDP) next year, a higher range than this year’s downgraded 6.5-6.9 percent goal.
“The resilience of the Philippine economy in 2018 will likely continue over the medium term. With key reforms scored this year, we expect the performance of the economy to be robust despite domestic and external risks,” Pernia said.