Palace cites importance of reopening economy after PHL GDP shrinks to its lowest in years

Published January 28, 2021 02:51 PM By VIRGIL LOPEZ, GMA News

Malacañang on Thursday cited the importance of reopening the economy after the Philippines registered its worst gross domestic product (GDP) contraction in over seven decades.

Palace spokesperson Harry Roque Jr. said economic reopening will help address hunger.

“Nakikita natin na hindi pa po sapat ang pagbubukas para tayo’y bumalik sa normal para mapigil ang kagutuman sa Pilipinas,” he said at a press briefing.

“’Pag hindi binuksan ang ekonomiya, marami talaga ang magugutom at maraming mamamatay kung hindi dahil sa COVID, dahil nga po sa kagutuman.”

The country’s GDP shrank 9.5% in 2020

largely because of the COVID-19 pandemic. This is the steepest decline based on available government data since 1947.

Roque, however, said that the fourth quarter of 2020 (-8.3%) was better compared to previous quarters of double-digit declines.

“Nagagalak po tayo na kahit papaano dahil sa pagbubukas ng ekonomiya ay unti-unti pong nag-iimprove ang ating ekonomiya,” he said.

Acting Socioeconomic Planning Secretary Karl Kendrick Chua, meanwhile, said the prospects for 2021 were “encouraging.”

“With the continuous calibrated reopening of businesses and mass transportation and the relaxation of age group restrictions, we will see more economic activity in the months ahead,” he said.

"This will lead to a strong recovery before the end of the year when the government will have rolled out enough vaccines against COVID-19 for a majority of our people.”

The government expects GDP to grow 6.5% to 7.5% this 2021, and 8% to 10% in 2022. -MDM, GMA News

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