Customers queue up outside a shop in Manila, the Philippines. (Photo: Xinhua/VNA) Hanoi (VNA) – The Philippine economy may contract by 8 percent in the second quarter of 2020 due to containment measures against COVID-19, according to Moody’s Analytics.
That will follow the GDP decline of 0.2 percent in Q1, ending 84 straight quarters of positive growth since Q4 of 1998.
Steven Cochrane, chief economist for Asia Pacific at Moody’s Analytics, said the country’s GDP is seen sinking by 4.5 percent in 2020.
Meanwhile, economic managers, through the Development Budget Coordination Committee, forecast the GDP of this archipelago nation may contract between 2 and 3.4 percent this year.
The last time the country’s economy contracted was in 1998 with 0.5 percent due to the Asian financial crisis.
Cochrane warned that if the lockdowns continue well into Q3 of 2020, the risks to the outlook for both 2020 and 2021 are clearly to the downside./.
VNA
