Updates on the Philippine Economy:

A Comprehensive Approach
Presented by
Daren Dungka Cortez, CFMP
 Learning Outcomes

To understand the current economic condition of the Philippines

To be informed on the current events pertinent to our country’s

economy

To recognize the government’s effort in achieving economic

progress
Bangko Sentral Hits the Gas for Economic Growth

• BSP cut down the level of cash

banks need, as the Philippines
struggles to hit its economic
growth target.

• lowering of the reserve

requirement ratio (RRR) by 100
basis points from 16% to 15%
effective on the first week of
November.
Bangko Sentral Hits the Gas for Economic Growth

• sets the minimum amount

of reserves that must be held
by a commercial bank

• the higher the reserve

requirement, the less profit a
bank makes with its money

• high requirement is especially

hard on small banks
Online Gambling Contributes PhP 551 Billion to
Philippine Economy Yearly

• POGOs contribute some PhP 551

billion to the Philippine economy
yearly, overtaking traditional
information technology and
business process management (IT-
BPM) companies

• China urged the Philippine

government to stop POGOs from
operating in the country, even
linking the industry to crimes like
money laundering and kidnapping
Online Gambling Contributes PhP 551 Billion to
Philippine Economy Yearly

• Of the total Philippine office takeup

of 1 million square meters (sqm),
POGOs accounted for 386,000
sqm. or 34% year-to-date, while the
IT-BPM sector recorded 355,000
sqm.

• Alabang and Quezon City are the

top destinations of POGOs,
accounting for 1 million sqm or 71%
of the total Philippine POGO
footprint
ADB Sees Philippines Still Hitting 2019
Economic Growth Target

• slashed its growth outlook for the

Philippines again, but maintained
that it will likely remain within the
government's target band.

• Year-to-date, GDP growth is still

below target at 5.5%. To hit the
lower end of the target of 6% to
7%, GDP growth has to hit at
least 6.5% in the 3rd and 4th
quarters
Donors sought for projects affected by
aid suspension
Government debt at record-high P7.94T in
end-August
Gov’t to borrow P220B locally in Q4
6 percent economic growth this year
'reachable': Pernia