PH economy grew 5.6% in 2024, misses revised target

The Philippine economy grew by 5.6% in 2024, falling short of the revised government target range of 6.0% to 6.5%.

This growth rate is a slight improvement from the 5.5% recorded in 2023, but still missed the target.

The fourth quarter GDP growth was 5.2%, with Budget Secretary Amenah Pangandaman stating this still places the Philippines among the fastest-growing economies in the Asia Pacific region.

Analysts and Secretary Pangandaman suggested that typhoons late last year hampered economic activity during the holiday season, preventing a stronger fourth-quarter performance.

Key sectors contributing to the fourth-quarter growth included wholesale and retail trade, financial and insurance activities, and construction.

However, the agriculture, forestry, and fisheries sector contracted by 1.8% in the fourth quarter, negatively impacted by storms and livestock decline.

Household spending contributed 3% to GDP growth, with construction at 1.5% and government expenditure at 1%.

NEDA Undersecretary Rosemarie Edillon acknowledged setbacks, noting that while employment numbers were met, targets for quality employment were missed.