PH GDP grows 5.6%, on track for rapid 2022 rebound

The Philippine economy grew by 5.6% in 2021, exceeding the government's target range and reversing the previous year's contraction.

GDP expanded by 7.7% in the fourth quarter of 2021 as restrictions eased, boosting business activity and consumer spending.

Economists attribute the strong growth to 'revenge spending' by consumers who had been confined at home for nearly two years.

Despite the recent spike in Omicron cases, government officials remain optimistic about achieving a more ambitious 7-9% growth target in 2022 if restrictions ease soon.

Think tanks caution that the surge in COVID-19 cases early this year may dampen economic recovery momentum.