Philippines falls into recession as 2nd quarter growth declines 16.5%

August 6, 2020

The Philippine economy's second quarter gross domestic product slumped to minus 16.5 percent, the Philipine Statistics Authority (PSA) said Thursday.

In the first quarter, gross domestic product declined by minus 0.7 percent.

''PH plunges into a recession as 2Q GDP falls,'' tweeted analyst Jonathan Ravelas.

By sector, agriculture grew 1.5 percent, industry and services went down by 22.9 percent and 19.6 percent.

Major contributors to the growth decline from the expenditure side were household final consumption expenditure, with 10.7 percentage points; construction, with 5.5 percentage points and durable equipment, with 4.2 percentage points.

On the demand side, only government final consumption expenditure rose 22.1 percent and breeding stocks and orchard development, 2.2 percent.

The Philippine Stock Exchange index was up 21.07 points at 5,854.65 points. DMS