Philippine economy shrinks

Philippine economy shrinks

MANILA (DPA): The Philippines' gross domestic product (GDP) shrank 1.9 per cent in the fourth quarter of 1998 due to a slump in agricultural production, which was ravaged by droughts and floods, a top official said Friday.

The figure marked the third consecutive quarter of economic contraction.

For the year, the GDP was down 0.5 per cent, said Socio- Economic Planning Secretary Felipe Medalla, but the gross national product (GNP) grew by 0.1 per cent. Income from Filipinos abroad enabled overall output to achieve positive growth, he said.

The Philippines plunged into a recession after second and third-quarter GDP tumbled.