MANILA, Dec. 12 (Xinhua) -- The Asian Development Bank (ADB) has maintained its growth forecast for the Philippines at 6.4 percent for 2018 and 6.7 percent for 2019, says a report from the Asian Development Bank (ADB) released on Wednesday.
In a supplement to its Asian Development Outlook (ADO) 2018 Update report, the Manila-based bank said the Philippines gross domestic product (GDP) growth remained strong at 6.3 percent in the first three quarters of 2018, though moderating from 6.8 percent a year earlier.
"Investment was the biggest contributor to growth, followed by household consumption. Investment growth accelerated to 16.7 percent in the first three quarters from 9.8 percent," the report says.
The report says that public and private construction growth quickened, as did investment in durable equipment.
Moreover, the report says that growth in government spending also picked up on higher social service expenditure and on salary hikes for government workers.
"Drag on GDP growth from net exports deepened, however, as strong domestic demand fueled a surge in imports, especially of capital goods, and as a weaker external environment slowed export growth," the report notes.
In this light, the report predicts the Philippines' GDP to continue to grow through 2019.
"GDP growth is seen accelerating through 2019, supported by robust public and private investment," the report says.
ADO is ADB's flagship annual economic publication. The publication provides a comprehensive analysis of macroeconomic issues in developing Asia, including growth projections for major economies.
