MANILA - The Philippines under President Rodrigo Duterte maintained its status as one of Asia's fastest growing economies, even as the lack of election spending slowed the expansion in the last three months of 2016. Gross domestic product grew 6.6 percent in the fourth quarter, from a revised 7 percent in the previous three months. This brought average GDP growth for the full year at 6.8 percent, government data showed. The median of a Reuters poll predicted economic expansion during the period at 6.5 percent. Robust government spending and consumer demand will likely propel growth "above 6.5 percent" this year, Standard Chartered head of research for ASEAN Edward Lee said. "The domestic engine continues to run well," Lee told ANC's "Market Edge with Cathy Yang." "If we see some of these risks materializing, it might pull growth back a bit. But on an overall basis, there are other engines of growth that the Philippines can rely on," he said. China's GDP grew 6.8 percent in the fourth quarter. Growth for the same period is expected to slow to 6 percent in India and 5.1 percent in Indonesia, according to Bloomberg data. http://news.abs-cbn.com/business/01/26/17/economy-under-duterte-keeps-lead-in-asia-despite-slowdown
Against the Pound, the Peso has been quite strong and below Php63 = £1 since that fateful day in June: But its performance against the US Dollar is another matter:
The reason the PhP is doing so well against the pound is because the pound has been doing dismally as well! It's also a pity about the PSEI, having dropped 6.3% in value since July 1st. In the 6 months before July 1st, it rose 12.6%! The Thai stock exchange rose 10% since 1/7/16. Singapore dropped 2% since 1/7/16 HK rose 12.4% since 30.6.16.
What a shame it STILL appears to be only the top 10% of the population who are coining it in. Lord only knows where these figures come from. Apparently only about 7 or 8 per cent of the population are unemployed too. Yeah right.
Must say that in the 80`s/90`s it was very tough for a college grad to get a job here and that`s when they were starting to go off en mass to countries like Saudi etc as OFW`s.. These days just about all my in laws kids are employed which is good news IMO.. Most of them are working in call centers around the country and seem to be enjoying life! Where we live we need local tradesmen badly but no one left available round here unfortunately. It`s difficult just to find an unskilled labourer..Hard to believe. Lots of poverty in Manila..Always will be,probably. According to the Phil statistics authority the R.P employment rate was 94.2% in 2016!!! If you look at historic exchange rates,the Pound has been dropping against PHP steadily for quite a few years now... We were lucky enough to change quite a lot of Pounds when the rate was almost 109.00 PHP= 1 Pound. Not too shabby eh!! If the Pound goes much lower,I might consider buying some...Might be a bit early yet though. I was thinking sometime in March or April. What do you reckon?
The PSE performance chart over the last 10 years till present looks very healthy to me... The trend line remains on an upward trajectory and I definitely do not detect a boom/bust cycle. The last few months correction is a normal and healthy reaction to a country engaged on a bumpy road re: war on drugs and was to be expected. I predict that the market will stabilize and that the Philippines will continue to attract growth and continued investment. I think that there are many ways that the R.P can really thrive but unfortunately the R.P constitution will have to be amended first,which is doubtful IMO.. I have also been watching property prices here for 33 years.. Always up...Never down. Makes no sense but thats just the way it is here. If people really think that the R.P is floating in an over inflated bubble,I suggest that they find a way to short the local market and make a killing.. Unfortunately some people are just not confident enough in their own convictions when it comes to real money!! Me?? I remain bullish and will continue to put my money where my mouth is. Wish me luck.
Good luck mate with the pounds mate. I can remember when it was easy to visualise 10,000 pesos too (a hundred quid ). The Phils government and I evidently have very different ideas on what constitutes 'employment'.
On a positive note Graham..Looks like Duterte may well put a stop to "Endo" or 5 month nonrenewable employment contracts.. Local Chinese Oligarchs have been using this loop hole for years to avoid Filipino workers having their SSS and Phil health paid.. They simply lay them off and employ new workers.. It’s 5-month contracts Duterte is against, explains Dominguez
That WOULD be good news for the poor downtrodden majority. After that.... end the ageism and sexism in employment, which is of course, rampant. I'm sure increasing the school leaving age has helped considerably towards massaging the employment figures too. Where their poverty-stricken parents will find the money for the extra year or two in school is their problem of course.
Agreed,but the problem here is the old one of supply and demand.. The Population is over a 100 million and the church wont let the poor bastards have condoms! I dont think this Duterte guy like`s the church very much.. Hopefully once he`s killed all the drug lords and pushers, he`ll start whacking a few Bishops.
Yep, but sadly it will take generations to free the locals from the grasp of the Catholic church. Tighter grip than any drug lords. I just let them get on with all the mumbo jumbo now. What can I do, except upset people ?
Yeah if the peso had not tanked against the dollar to the degree it has since last June, the GBP <> PHP would be much worse, both countries had massive political upheaval at more or less the same time.
