A corner in Makati city of the Philippines. (Photo: Reuters) Hanoi (VNA) – The Philippines is tempering its economic growth outlook for 2024 as it braces for "difficult months" when the El Nino weather phenomenon takes its toll.
Speaking at a press conference on December 13, the country’s Economic Planning Secretary Arsenio Balisacan said that while the medium-term gross domestic product (GDP) growth of 6.5%-8% is still being targeted, its higher end is already out of the range for next year.
The government is monitoring risks like El Nino and geopolitical tensions that can raise uncertainty and disrupt supply chains, Balisacan said.
In the Philippines and other parts of Asia, El Nino usually causes hot, dry weather that results in lower agricultural production and disruption in water and power supplies.
The Ministry of Science and Technology has warned that 65 provinces, or about 77 % of the Philippines, can suffer from moderate-to-severe drought in February to May 2024.
The minister revealed that the government will ask traders to frontload their commodity imports. Besides, the government is also considering extending a reduction in tariffs for commodities like meat, corn, and rice beyond the December 31, 2023 deadline.
The country's inflation averaged 6.2% in January to November, well above the central bank's 2%-4%target. Its economy grew 5.5% in January to September.
Cabinet officials involved in the economic cluster will meet on December 15 to discuss macroeconomic assumptions./.
