First quarter growth ”a reduction” of .9 percentage point: Pernia

March 29, 2019

Socioeconomic Planning Secretary Ernesto Pernia on Friday said first quarter growth will have a reduction of .9 percentage points since the administration is operating on a reenacted budget.

Pernia, in a press briefing, said the executive department is still working on the 2019 national budget and they are expected to work under the reenacted budget until middle of April.

Though the budget is being delayed, he said the country’s target of six to seven percent gross domestic product is still “realistic”.

“That’s the more realistic target given the reenactment of the budget so already the estimate for the first quarter is a reduction of something like .9 percentage point on first quarter GDP,” he said.

“For the first quarter, that would be extent of reduction,” Pernia added.

But Pernia said other quarters may be able to show growth.

“It’s possible that other quarters will be compensate for that shortfall in the growth rate, shortfall to our expectation,” he said.

On Tuesday, the P3.757 trillion 2019 national budget has been signed by Senate President Vicente Sotto III and was sent to the Palace "with strong reservations." Ella Dionisio/DMS