The Philippine economy contracted at a slower rate of 11.5% in the 3rd quarter, as the government gradually eased restrictions despite continuously rising COVID-19 cases. While negative, it is an improvement from the 16.9% dip in the 2nd quarter – the worst reading on record.
The recession lingering in the third quarter was no surprise, however, the double-digit dip was much sharper than what the market expected and was worse than regional peers.
Despite this, the economic team is “optimistic that the worst is over for the country.”
“The smaller GDP contraction of 11.5% in the 3rd quarter from a contraction of 16.9% in the 2nd quarter indicates that the economy is on the mend,” said Acting Socioeconomic Planning Secretary Karl Chua.