ADB sees PH economy contracting 7.3% this year

The Asian Development Bank (ADB) projects that the Philippine economy will contract by 7.3% in 2020 due to subdued private consumption and investment amid the pandemic.

However, ADB expects a recovery of 6.5% growth in 2021 as the outbreak is contained and more government stimulus measures are implemented.

The report highlights downside risks for next year including a slower global economic recovery which could affect trade, investment, and overseas Filipino worker remittances.

ADB has provided about USD2.3 billion in loans and grants to support the government's urgent COVID-19 response.