Sec Diokno Says Agriculture Needed to Reach GDP Growth Target

In the 17th Philippine Summit hosted by the Asset, Secretary Benjamin Diokno stated that the achievement of the medium-term fiscal framework (MTFF) would be determined by the sustainability and strength of the overall growth.

The MTFF is the government’s blueprint to sustain post-pandemic economic recovery and support the rapid growth of the country. This also doubles as a framework for expanding the government’s annual national expenditure program.

According to the MTFF, the administration is aiming at a gross domestic product (GDP) growth of 6.5 – 8% from 2023 up to 2028.

Aside from other known services and industries, Sec Diokno is banking on agriculture to contribute significantly to growth.

“Agriculture is the priority of this administration. Looking back, agriculture has always been a laggard in the economy and it’s been in and out of recession,” says Diokno.

“So if you can only grow agriculture by about two to three percent, that’s already a big plus,” he adds.

In the last couple of years, agriculture’s contribution only amounted to a tenth of the overall GDP.

Data shows that the agriculture sector’s performance has decreased for the second consecutive quarter dipping by 0.6% from April to June. This has been attributed to the low production of fisheries and crops.

Sec Diokno has highlighted that the government has increased its measures to aid the growth of the domestic supply of essential commodities by increasing local production, securing the importation of needed raw materials, and fertilizers, and boosting the efficiency of distribution.

“We should import if necessary and do not delay. That is key to our objective to maintain inflation and make it manageable. Not only importation but also distribution,” says Diokno.

Source: Philstar