{"id":254177,"date":"2020-05-07T06:49:34","date_gmt":"2020-05-07T10:49:34","guid":{"rendered":"https:\/\/canadianinquirer.net\/v1\/?p=254177"},"modified":"2020-05-07T06:49:34","modified_gmt":"2020-05-07T10:49:34","slug":"palace-expects-v-shaped-economic-recovery","status":"publish","type":"post","link":"https:\/\/canadianinquirer.net\/v1\/2020\/05\/07\/palace-expects-v-shaped-economic-recovery\/","title":{"rendered":"Palace expects \u2018V-shaped\u2019 economic recovery"},"content":{"rendered":"
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FILE: The Makati CBD skyline bordered by Ayala Avenue, Manila Philippines. (Photo<\/a>: DerekBBB\/Flickr<\/a>, CC BY-NC 2.0<\/a>)<\/figcaption><\/figure>\n

MANILA<\/strong>\u00a0\u2013 Malaca\u00f1ang on Thursday said it expects a \u201cV-shaped\u201d economic recovery in the third quarter of the year as the country continues to grapple with the impact of the coronavirus disease 2019 (Covid-19) pandemic.<\/p>\n

Presidential Spokesperson Harry Roque made this remark after the Philippine Statistics Authority (PSA) announced that for the first time since 1998, the country\u2019s gross domestic product (GDP) decreased by 0.2 percent in January to March this year.<\/p>\n

Roque described the decline as a \u201cminimal contraction\u201d, saying the enhanced community quarantine (ECQ) placed over Luzon and some parts of Visayas and Mindanao was expected to take a toll on economic activity.<\/p>\n

\u201cOf course, we regret it but we\u2019re glad that it\u2019s a minimal contraction given that\u00a0nag<\/em>\u00a0ECQ\u00a0na po tayo ng<\/em>\u00a0(we already went on ECQ during the) last two weeks ng March which is part of the first quarter,\u201d he said in a virtual presser.<\/p>\n

He is optimistic that the country would be able to make a rebound given the efforts exerted by the government and \u201csound economic fundamentals\u201d as evidenced by a high credit rating and strong peso despite the ECQ.<\/p>\n

\u201cWe expect of course the economy to shrink even more during the month of April because the whole month of April was basically under ECQ and the first two weeks of May as well. We definitely expect a big contraction but the economic planners are very vigilant. We foresee a V-shape of economic recovery,\u201d Roque said.<\/p>\n

A V-shaped economic recovery refers to a sharp economic decline followed by a quick and sustained recovery.<\/p>\n

He also acknowledged that the second quarter will be worse because of the ECQ extension in April but remained hopeful that the economy will benefit from \u201cBuild, Build, Build\u201d program and \u201cvery prudent\u201d fiscal policy.<\/p>\n

\u201cThere will be a steep decline in GDP for the second quarter perhaps but we expect a very strong rebound courtesy of the Build, Build, Build program of the government and very prudent fiscal policy as well as prudent monetary policy which means we\u2019re using public spending as a tool for recovery and we\u2019re also using money supply as a tool also for economic recovery,\u201d he added.<\/p>\n

Asked about the possibility of the country facing a recession, Roque expressed hope that the country\u2019s GDP would not reach that point.<\/p>\n

\u201cAng<\/em>\u00a0(A) recession\u00a0po kasi<\/em>\u00a0(is) three consecutive quarters of decline in the GDP. We\u2019re hoping po that pursuant to the V-strategy\u00a0baka naman umakyat na<\/em>\u00a0(it might rise) by the time we hit the third quarter,\u201d he said.<\/p>\n

In a separate virtual presser, NEDA acting Secretary Karl Chua said increasing the country\u2019s Covid-19 testing capacity to 30,000 tests per day could reverse the economic trajectory by June so that by the second half of the year, the country can recover.<\/p>\n

He said areas which have moved to general community quarantine (GCQ) could also help minimize the expected contraction in the second quarter, he said.<\/p>\n

Since March 17, Metro Manila and other \u201chigh-risk\u201d areas have been under ECQ which is expected to end on May 15.<\/p>\n

The GCQ, with relaxed quarantine measures, is currently being implemented in all low-risk and moderate-risk areas nationwide since May 1.<\/p>\n","protected":false},"excerpt":{"rendered":"

MANILA\u00a0\u2013 Malaca\u00f1ang on Thursday said it expects a \u201cV-shaped\u201d economic recovery in the third quarter of the year as the …<\/p>\n","protected":false},"author":44,"featured_media":242976,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16,95],"tags":[],"class_list":["post-254177","post","type-post","status-publish","format-standard","has-post-thumbnail","category-news","category-news-ph","mauthors-azer-parrocha","mauthors-philippine-news-agency"],"_links":{"self":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/254177","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/comments?post=254177"}],"version-history":[{"count":1,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/254177\/revisions"}],"predecessor-version":[{"id":254178,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/posts\/254177\/revisions\/254178"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media\/242976"}],"wp:attachment":[{"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/media?parent=254177"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/categories?post=254177"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/canadianinquirer.net\/v1\/wp-json\/wp\/v2\/tags?post=254177"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}