Economic Briefing on The State of the Philippine Economy:  Is the Glass Half Full or Half Empty?
July 8, 2024
Makati Diamond Residences

On July 8, 2024, the De La Salle research team on "The Future of the Philippine Economy" hosted an Economic Briefing at the Makati Diamond Residences.  The team provided an analysis of the economy, including forecasts for 2024-2030. The Philippine economy will continue improving but not as fast as the government predicts. Key targets in the Philippine Development Plan 2023-2028 will be attained but a few years later. A very large proportion of Filipino workers are engaged in activities of very low productivity, such as agriculture, wholesale and retail trade, and construction. With this employment structure it will be impossible to progress much faster. The DLSU researchers argued that the structure of the economy needs to change, in particular, the share of employment in manufacturing (representing only 8% of total employment now) needs to increase substantially. Using a model, they simulated the impact of a significant increase in this share, and showed that this is the only way to move forward faster. To do this, the Philippines needs modern firms that manufacture high quality products, and export, that is, compete in the world economy.