{"id":19448,"date":"2024-06-25T03:02:24","date_gmt":"2024-06-25T03:02:24","guid":{"rendered":"https:\/\/energybuzz.ph\/staging\/6915\/sp-global-trims-phl-growth-outlook\/"},"modified":"2024-06-25T03:02:24","modified_gmt":"2024-06-25T03:02:24","slug":"sp-global-trims-phl-growth-outlook","status":"publish","type":"post","link":"https:\/\/energybuzz.ph\/staging\/6915\/sp-global-trims-phl-growth-outlook\/","title":{"rendered":"S&P Global trims PHL growth outlook"},"content":{"rendered":"
\n

\n

S&P GLOBAL RATINGS trimmed its gross domestic product (GDP) forecast for the Philippines for this year and 2025 amid expectations that high interest rates will continue to crimp domestic demand. <\/span><\/p>\n

In a report, the credit rater cut its growth forecast for 2024 to 5.8% from 5.9% previously. It also lowered its GDP estimate for 2025 to 6.1% from 6.2% earlier.<\/p>\n

S&P\u2019s latest projections are below the government\u2019s 6-7% growth goal for this year, and 6.5-7.5% for 2025. <\/span><\/p>\n

\u201cDomestic demand started out the year on a disappointing note, at least in part due to the high level of interest rates,\u201d S&P Global Ratings Senior Economist Vincent Conti said in an e-mail.<\/p>\n

In the f<\/span>irst quarter, the Philippine economy grew by a weaker-than-expected 5.7%.<\/p>\n

Household consumption, which accounts for about three-fourths of growth, grew by 4.6%. This was its slowest pace since the 4.8% drop in the f<\/span>irst quarter of 2021.<\/p>\n

\u201cWith the Fed staying higher for longer than initially expected, so will the Bangko Sentral ng Pilipinas (BSP),\u201d Mr. Conti said.<\/p>\n

US Federal Reserve o<\/span>ff<\/span>icials are now projecting just one rate cut this <\/span>year and delaying any policy easing moves to as late as December.<\/span><\/p>\n

A BusinessWorld<\/i> poll conducted last week showed that all 15 analysts surveyed expect the BSP to keep rates unchanged at its policy meeting on Thursday. <\/span><\/p>\n

The Monetary Board has kept its key rate at a 17-year high of 6.5% since October 2023 to tame inf<\/span>lation.<\/p>\n

BSP Governor Eli M. Remolona, Jr. had said that the earliest the central bank can begin cutting rates is by August for a total of 25-50 bps for the year.<\/span><\/p>\n

S&P said it expects the benchmark rate to stand at 6.25% by end-2024, which implies a 25-bp cut this year.<\/p>\n

\u201cThis (high interest rates) will continue to pose headwinds for a full recovery in domestic demand. Nonetheless, there are favorable base ef<\/span>fects in exports that, combined with relatively slower imports due to domestic demand, will provide growth support in the interim,\u201d Mr. Conti added.<\/p>\n

Despite the cut, S&P Global still expects the Philippines to post the second-fastest growth in the Asia-Pacif<\/span>ic\u00a0 <\/span>region this year, the same as Vietnam (5.8%) and just behind India (6.8%).<\/p>\n

For 2025, the 6.1% growth projection for the Philippines would make it the third-fastest growing economy, after India (6.9%) and Vietnam (6.7%).<\/p>\n

\u201cBetter export growth will lead to higher GDP growth this year in Malaysia, the Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam. Other economies should also benefit from stronger exports this year,\u201d it added.<\/p>\n

Meanwhile, the debt watcher said that inflation is projected to average 3.4% this year. This would be slightly below the BSP\u2019s 3.5% full-year forecast.<\/span><\/p>\n

It sees inflation further easing to 3.1% in 2025, also below the BSP\u2019s projection of 3.3% for next year.<\/span><\/p>\n

\u201cIn<\/span>f<\/span>lation pressure has eased in the region. But the prospect of delayed US policy rate cuts is leading Asian central banks to do the same and take other measures to protect domestic currencies. Emerging markets could be tested if US rates were to rise further and capital out<\/span>f<\/span>lows intensi<\/span>f<\/span>ied,\u201d S&P said.<\/span><\/p>\n

Headline inflation picked up to 3.9% in May, marking the sixth straight month in<\/span>f<\/span>lation settled within the BSP\u2019s 2-4% target band. \u2014 Luisa Maria Jacinta C. Jocson<\/b><\/span><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

S&P GLOBAL RATINGS trimmed its gross domestic product (GDP) forecast for the Philippines for this year and 2025 amid expectations that high interest rates will continue to crimp domestic demand. In a report, the credit rater cut its growth forecast for 2024 to 5.8% from 5.9% previously. It also lowered its GDP estimate for 2025 [\u2026]<\/div>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","footnotes":""},"categories":[1],"tags":[14644,1090,11413,14752,11354,15775,18509],"class_list":["post-19448","post","type-post","status-publish","format-standard","hentry","category-uncategorized","tag-bworldonline","tag-global","tag-growth","tag-outlook","tag-phl","tag-sp","tag-trims"],"yoast_head":"\nS&P Global trims PHL growth outlook - Energy Buzz<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"S&P Global trims PHL growth outlook - Energy Buzz\" \/>\n<meta property=\"og:description\" content=\"S&P GLOBAL RATINGS trimmed its gross domestic product (GDP) forecast for the Philippines for this year and 2025 amid expectations that high interest rates will continue to crimp domestic demand. In a report, the credit rater cut its growth forecast for 2024 to 5.8% from 5.9% previously. It also lowered its GDP estimate for 2025 [\u2026]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/\" \/>\n<meta property=\"og:site_name\" content=\"Energy Buzz\" \/>\n<meta property=\"article:published_time\" content=\"2024-06-25T03:02:24+00:00\" \/>\n<meta name=\"author\" content=\"admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/\"},\"author\":{\"name\":\"admin\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#\\\/schema\\\/person\\\/344f8dbaaecf75e51367eef93f492892\"},\"headline\":\"S&P Global trims PHL growth outlook\",\"datePublished\":\"2024-06-25T03:02:24+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/\"},\"wordCount\":546,\"publisher\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#organization\"},\"keywords\":[\"bworldonline\",\"global\",\"growth\",\"outlook\",\"phl\",\"s&p\",\"trims\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/\",\"url\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/\",\"name\":\"S&P Global trims PHL growth outlook - Energy Buzz\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#website\"},\"datePublished\":\"2024-06-25T03:02:24+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/sp-global-trims-phl-growth-outlook\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/energybuzz.ph\\\/staging\\\/6915\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"S&P Global trims PHL growth outlook\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#website\",\"url\":\"https:\\\/\\\/energybuzz.ph\\\/\",\"name\":\"Energy Buzz\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/energybuzz.ph\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#organization\",\"name\":\"Energy Buzz\",\"url\":\"https:\\\/\\\/energybuzz.ph\\\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#\\\/schema\\\/logo\\\/image\\\/\",\"url\":\"https:\\\/\\\/energybuzz.ph\\\/staging\\\/6915\\\/wp-content\\\/uploads\\\/2023\\\/09\\\/EnergyBuzzLogo.png\",\"contentUrl\":\"https:\\\/\\\/energybuzz.ph\\\/staging\\\/6915\\\/wp-content\\\/uploads\\\/2023\\\/09\\\/EnergyBuzzLogo.png\",\"width\":1315,\"height\":656,\"caption\":\"Energy Buzz\"},\"image\":{\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#\\\/schema\\\/logo\\\/image\\\/\"}},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/energybuzz.ph\\\/#\\\/schema\\\/person\\\/344f8dbaaecf75e51367eef93f492892\",\"name\":\"admin\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g\",\"caption\":\"admin\"},\"url\":\"https:\\\/\\\/energybuzz.ph\\\/staging\\\/6915\\\/author\\\/admin\\\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"S&P Global trims PHL growth outlook - Energy Buzz","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/","og_locale":"en_US","og_type":"article","og_title":"S&P Global trims PHL growth outlook - Energy Buzz","og_description":"S&P GLOBAL RATINGS trimmed its gross domestic product (GDP) forecast for the Philippines for this year and 2025 amid expectations that high interest rates will continue to crimp domestic demand. In a report, the credit rater cut its growth forecast for 2024 to 5.8% from 5.9% previously. It also lowered its GDP estimate for 2025 [\u2026]","og_url":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/","og_site_name":"Energy Buzz","article_published_time":"2024-06-25T03:02:24+00:00","author":"admin","twitter_card":"summary_large_image","twitter_misc":{"Written by":"admin","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/#article","isPartOf":{"@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/"},"author":{"name":"admin","@id":"https:\/\/energybuzz.ph\/#\/schema\/person\/344f8dbaaecf75e51367eef93f492892"},"headline":"S&P Global trims PHL growth outlook","datePublished":"2024-06-25T03:02:24+00:00","mainEntityOfPage":{"@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/"},"wordCount":546,"publisher":{"@id":"https:\/\/energybuzz.ph\/#organization"},"keywords":["bworldonline","global","growth","outlook","phl","s&p","trims"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/","url":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/","name":"S&P Global trims PHL growth outlook - Energy Buzz","isPartOf":{"@id":"https:\/\/energybuzz.ph\/#website"},"datePublished":"2024-06-25T03:02:24+00:00","breadcrumb":{"@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/energybuzz.ph\/sp-global-trims-phl-growth-outlook\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/energybuzz.ph\/staging\/6915\/"},{"@type":"ListItem","position":2,"name":"S&P Global trims PHL growth outlook"}]},{"@type":"WebSite","@id":"https:\/\/energybuzz.ph\/#website","url":"https:\/\/energybuzz.ph\/","name":"Energy Buzz","description":"","publisher":{"@id":"https:\/\/energybuzz.ph\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/energybuzz.ph\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/energybuzz.ph\/#organization","name":"Energy Buzz","url":"https:\/\/energybuzz.ph\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/energybuzz.ph\/#\/schema\/logo\/image\/","url":"https:\/\/energybuzz.ph\/staging\/6915\/wp-content\/uploads\/2023\/09\/EnergyBuzzLogo.png","contentUrl":"https:\/\/energybuzz.ph\/staging\/6915\/wp-content\/uploads\/2023\/09\/EnergyBuzzLogo.png","width":1315,"height":656,"caption":"Energy Buzz"},"image":{"@id":"https:\/\/energybuzz.ph\/#\/schema\/logo\/image\/"}},{"@type":"Person","@id":"https:\/\/energybuzz.ph\/#\/schema\/person\/344f8dbaaecf75e51367eef93f492892","name":"admin","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/136dede3a147ecd1a9946f78a827dcc4c82e31eece4650a789bbb3656cebe664?s=96&d=mm&r=g","caption":"admin"},"url":"https:\/\/energybuzz.ph\/staging\/6915\/author\/admin\/"}]}},"_links":{"self":[{"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/posts\/19448","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/comments?post=19448"}],"version-history":[{"count":0,"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/posts\/19448\/revisions"}],"wp:attachment":[{"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/media?parent=19448"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/categories?post=19448"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/energybuzz.ph\/staging\/6915\/wp-json\/wp\/v2\/tags?post=19448"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}