Philippine central bank sees wider current account surpluses on economic recovery


1000x-1

MANILA, June 19 (Reuters): The Philippines is expected to post bigger current account surpluses for this year and 2022, the central bank said on Friday, due to better prospects for trade in goods and services as the global economy recovers from the pandemic shock.

The central bank raised its 2021 projection for the current account surplus to US$10 billion, or 2.5% of gross domestic product (GDP), from its previous forecast of US$9.1 billion, or 2.3% of GDP.

For next year, the current account surplus was expected to reach US$6.7 billion, or 1.5% of GDP, also wider than the earlier estimate of $5.2 billion, or 1.2% of GDP, central bank managing director Zeno Abenoja told a news conference.

An improving global economy should drive 10% growth in exports of goods this year, higher than the central bank's 8% estimate in March, and then 6.0% growth next year, Abenoja said.

The central bank predicted that imports of goods this year and next year would grow 12% and 10%, respectively, as domestic demand recovers in line with a gradual reopening of the economy, which should allow for more business activity.

This year's balance of payment surplus was forecast to reach US$7.1 billion, up from the projected US$6.2 billion in March, before narrowing to US$2.7 billion next year.

The central bank's also raised its estimate for foreign exchange reserves this year to US$115 billion from US$114 billion. - Reuters
Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

Philippines , Central Bank , Balancing , Act , Economy , Surplus

   

Next In Aseanplus News

Asean News Headlines at 10pm on Sunday (Aug 1)
Singapore reports another 113 local Covid-19 cases as 10 more clusters confirmed on Sunday (Aug 1)
Indonesia reports 20.67 million people have received two shots of vaccines; 30,738 new Covid-19 cases, on Sunday (Aug 1)
Thailand: Tighter curbs extended; staggering 18,027 Covid-19 cases on Sunday (Aug 1); total now above 600,000
Philippines reports 8,000-over Covid-19 cases for three straight days; death toll exceeds 28,000
Vietnam reports 8,620 new Covid-19 cases, 154,306 in total; southern region lockdown extended by two weeks
Shoppers welcome enhanced Covid-19 safety measures at Singapore markets, hawker centres
Indonesia extends Covid-19 restrictions for outside Java, says local media
Thailand tightens curbs in 16 more provinces as outbreak sets record
Vietnam to extend lockdown throughout southern region as Covid-19 cases soar

Stories You'll Enjoy


Vouchers