Neda downgrades growth estimate due to Yolanda

MANILA, Philippines—The Philippine economy could grow by a much slower pace of 4.1 percent in the fourth quarter as a result of the impact of Supertyphoon Yolanda, the National Economic and Development Authority said in a statement Friday.

Also, Neda said, full-year economic growth is now seen to settle between 6.5 and 7 percent.

Prior to the calamity, the Neda said the economy could grow by over 7 percent this year.

The government’s official growth target for this year was set at a range of 6 to 7 percent.

In the first and second quarters, the Philippines grew by 7.7 percent and 7.5 percent, respectively, the fastest growth rates in Asia for the two periods and the same as China’s expansion rates.