AN ECONOMIST of DBS Bank Ltd. has forecast a 6.5 percent gross domestic product (GDP) in the third quarter of 2017, the same as the previous quarter’s performance.
“We expect consumption growth to also remain strong at 6.3 percent, partly supported by robust remittances flows, which are on track to reach a record-high of $28 billion this year,” said DBS Bank Group Research economist Gundy Cahyadi on Monday.
The National Economic and Development Authority (NEDA) is scheduled to announce the figures for the third quarter growth on Thursday, Nov. 16.
Growth in the second quarter this year slightly went up from the previous quarter’s 6.4 percent, but is lower than the 7.1 percent in the second quarter of 2016. It was boosted by manufacturing, trade, real estate, renting and business activities.
The industry sector posted the highest output at 7.3 percent followed by agriculture, which recovered and hit a 6.3 percent growth from a two percent decline in the previous year. Services remain robust with a 6.1 percent growth but is slower than the 8.2 percent growth in the second quarter of 2016.
In the first half this year, growth averaged at 6.4 percent, slightly below the low-end of the government’s 6.5 to 7.5 percent target for the year. JV/PNA