Economy seen more competitive, invigorated

The Philippines is still geared for sustained and rapid inclusive growth given a credible leadership and reforms that have been put in place, according to the World Trade Organization Policy Review.

In a statement, the Department of Trade and Industry cited the WTO Secretariat Report, which stated that the Philippine economy had performed well since its third review in 2005, based on a relatively open trade regime.

During the time of review, when many countries were hard-hit by the global financial crisis, the Philippines achieved an annual real GDP [gross domestic product] growth rate of 5 percent, moderate inflation, and a surplus in its external account. These were attributed to measures that improved the business environment, encouraged foreign investment, streamlined customs procedures, followed international guidelines in standards and technical regulations, strengthened the banking sector, and deepened integration with Asean.

Trade Undersecretary Adrian S. Cristobal Jr., who led the Philippine delegation to the WTO TPR in Geneva recently, acknowledged that while the resilient economy registered steady, continuous and respectable growth in the past, this growth was not sufficient to eradicate poverty.

But he is confident that the chronic problems that have plagued the Philippines may be considered a thing of the past.

“We see a very different picture now. Painstaking policy reforms planted in the past not only helped the economy survive powerful external shocks, but are now actually bearing fruit, putting the country in a more competitive position. Critical initiatives in improving governance put in place are now invigorated by a political will imposed from a highly trusted and credible political leadership,” Cristobal explained.