Ladies and gentlemen:
The National Economic and Development Authority, or NEDA, is the premier development and socioeconomic planning agency of the Philippines.
We are pleased to share with you the country’s strategic development framework provided in our Philippine Development Plan 2017-2022, which highlights infrastructure development acceleration as among its bedrock strategies for high and sustained economic growth – overall these are what comprise “Dutertenomics”.
Last year, our economy grew by 6.9 percent, making us one of the fastest rising economies in Asia today. On the same note, the International Monetary Fund projects us to be the fastest-growing economy among the ASEAN 5 this year and in 2018. These forecasts are backed by the economy’s positive restructuring, which supports job generation and sustainable growth: the resurgence of investment on the demand side of the economy from being consumption-driven; as well as the increasing contribution of industry, especially manufacturing, on the supply side, slowly outpacing the services sector.
We are optimistic that we will achieve our target of 7 to 8 percent growth from 2018 all throughout President Duterte’s term in 2022. We will raise infrastructure spending up to 7.4 percent of GDP in 2022, with the thrust of rural and regional development: to build major connectivity networks, spawn new growth centers nationwide, support production value chains reaching deep into rural areas, and better protect local communities from calamities. We plan to pour in up to $170 billion for public infrastructure from 2017 to 2022, making this period “The Golden Age of Infrastructure” in the Philippines. We also plan to complement public spending with private investment through Public-Private Partnerships (or PPP) currently with our robust pipeline of at least 40 major projects amounting to more than $25 billion.
As equally important, we will also invest heavily on our people, our human capital, through increased spending in education and social services, and through the full implementation of our Responsible Parenthood and Reproductive Health (RPRH) Law as the Philippines transition towards the demographic “sweet spot”.
Based on our calculation, we expect this planned infrastructure spending to supplement spur our GDP growth by 3.4 percentage points on average annually, and create more than one million additional jobs a year over the next six years. We are highly motivated by these prospects, and we invite you to join us in making them happen.
Thank you and mabuhay!