World Bank sees worst GDP drop for the Philippines in 35 years

A woman wearing a face mask and face shield for protection against Covid-19) is pictured at a financial district in Bonifacio Global City, Taguig, Metro Manila, Philippines,on Sept 22, 2020. - Reuters

MANILA (Philippine Daily Inquirer/ANN): With Covid-19 still not contained in the Philippines, the World Bank sees gross domestic product (GDP) shrinking by 6.9 per cent this year — the worst drop in 35 years — even as the country’s chief economist expects slower third-quarter contraction than the record fall at the height of the lockdown in the second quarter.

The Washington-based multilateral lender’s updated GDP forecast for the Philippines, contained in its October 2020 East Asia and Pacific Economic Update report released on Tuesday (Sept 29), was a steeper fall than the 1.9-per cent decline projected in June.