RP economy grew above target

RP economy grew above target

MANILA: The Philippine economy likely grew 6.1 percent in 2004, higher than the government's target of between 4.9 and 5.8 percent, Economic Planning Secretary Romulo Neri said on Thursday.

The projection was based on the strong performance of the services and agriculture sectors, he said.

However, growth will likely ease in 2005 to 5.3 percent, still within the government's official forecast of between 5.3 and 6.3 percent, Neri said.

Gross domestic product expanded 6.5 percent in the first three quarters.

Neri did not provide any forecast for the fourth quarter, but the full-year estimate suggests that economic growth will likely ease in the three remaining months of the year.

Neri said "growth will moderate in 2005 due to lingering effect of high oil prices and deceleration in world growth," according to documents from government agencies detailing the economic performance this year and the outlook for the next.

Merchandise exports this year likely grew 14.3 percent, higher than the government's 10 percent target, while imports probably rose 5.7 percent, well below the 11 percent forecast, Neri said. -- AFP