NEDA: Expect Slower Economic Growth in 2023

The National Economic and Development (NEDA) expects slower growth for 2023 due to external and internal factors affecting economic growth.

Socioeconomic Planning Secretary Arsenio M. Balisacan said the economy would likely grow above 7% this year, but is expected to slow down in 2023.

“After a likely over 7% growth in 2022, yes, we may slow down, given still elevated external headwinds and internal challenges, but the economy will remain comparatively strong in 2023,” Balisacan said.

The inter-agency Development Budget Coordination Committee (DBCC) targets a GDP growth of 6.5% to 7.5% in 2022 and 6.5% to 8% from 2023 to 2028.

Finance Secretary Benjamin Diokno also said the country’s economic recovery is gaining strong traction as seen in the rising foreign exchange buffer, or gross international reserves (GIR), which hit $94.1 billion in October from $93 billion in September.

Diokno also said the peso is strengthening, lowering to 58 per US dollar from a record high of 60.

Current account deficits were narrowing after the import season ended, while overseas Filipino remittances are rising. Money grew by 3% in the first eight months of the year to $20.99 billion from $20.38 billion last year.

Lastly, Diokno said manufacturers’ production index remains positive and the highest in the region.

Source: Manila Bulletin