GDP declines by -4.2% during the First Quarter

PH GDP declines by -4.2 percent in Q1 at Constant 2018 Prices

MANILA – The country’s Gross Domestic Product (GDP) declared a decline of -4.2 percent in the first quarter of the year.

In a virtual briefing today, the Philippine Statistics Authority said the main contributors to the decline were Construction with -24.2 percent; Other Services, -38.0 percent; and Real Estate and Ownership of Dwellings, -13.2 percent.

The contributors to the growth were led by Financial and insurance activities, 5.2 percent; Public administration and defense; compulsory social activities, 7.5 percent; and Human health and social work activities, 11.7 percent. Other industries which managed to grow during the period included the Information and communication, 6.3 percent; Manufacturing, 0.5 percent; and Electricity, steam, water, and waste management, 1.9 percent.

The major economic sectors registered losses led by Agriculture, Forestry, and Fishing (AFF) declined by 1.2 percent in the first quarter of the year. Services declined by -4.4 percent while Industry shrunk by -4.7 percent.

However, on the demand side, Household Final Consumption Expenditure (HFCE) declined by -4.8 percent with Gross Capital Formation (GCF), 18.3 percent; Exports by 9.0 percent and Imports, 8.3 percent.

Government Final Consumption Expenditure (GFCE) grew by 16.1 percent during the first quarter of 2021.

The PSA said the Net Primary Income (NPI) from the Rest of the World continued to decline by -75.8 percent, bringing the Gross National Income (GNI) to drop by 10.9 percent during the same period.

China’s GDP grew 18.3% while Vietnam posted a growth of 4.48% during the First Quarter of 2021. (Melo M. Acuña)