PH economy may lose up to P2.5T from COVID-19

The Philippine economy could incur losses ranging from P276.3 billion to P2.5 trillion due to the COVID-19 pandemic, according to a study by the Philippine Institute for Development Studies (PIDS).

The worst-case scenario, projecting up to P2.482 trillion in losses, assumes the pandemic is not contained globally, leading to a worldwide recession.

In a best-case scenario where global containment is achieved by the end of the second quarter, economic losses are estimated at P276.3 billion.

These figures consider potential reductions in household consumption and labor supply, along with net income reductions for displaced workers.

The manufacturing sector is expected to be the most significantly affected, facing potential losses of P855.2 billion.

Other hard-hit sectors include trade (-P724.8 billion), transportation, storage, and communication (-P124.3 billion), and agriculture, forestry, and fishing (-P110.3 billion).