Inclusive economy to sustain PHL growth

INCLUSIVE growth is necessary in order for the Philippines to sustain its growth momentum according to Finance Secretary Carlos Dominguez III.

In a recent speech before the Economic Journalists Association of the Philippines (EJAP), Dominguez pointed out that in the Philippines, market information and other issues related to the economy are kept from ordinary Filipinos and exchanged within a narrow section of the population, “a testament to our economy being an exclusive rather than an inclusive one.”

“This situation cannot persist for too long. Unless our economy becomes truly inclusive, with ordinary folk making market decisions and shaping economic development, we cannot sustain a high-growth momentum,” he stressed.

He cited the “magnified role” of economic journalists in emerging economies like the Philippines to make the economy “inclusive” for ordinary people, who rely on the news not only to get the facts straight but also to widen their financial and economic literacy.

“You, the economic journalists, are the evangelists of modern economic thinking. We can push the reforms only as far as our citizens grasp the strategic significance of what we are trying to do,” Dominguez added.


Singapore’s Example

As an example of an inclusive economy, Dominguez mentioned that it is no longer surprising to see cab drivers in Singapore scanning the newspapers’ stocks pages and analyzing the performance of listed companies while waiting for passengers because, they, too, invest in the stock market.

“In these advanced economies, the capital markets are as deep-rooted as the economy is inclusive. Regardless of what their day jobs are, ordinary citizens help drive up the savings and investment rates by participating in financial products. The man-on-the-street is involved in market decisions that make the economy what it is,” he continued.

The finance chief said the reforms being implemented and pushed by the Duterte administration are meant not only to sustain the high growth rate at 7 percent and reduce poverty by 14 percent in 2022, but also aims to widen the base of economic decision-making in the country to include ordinary folk.

Dominguez said the Duterte administration can only go so far in pushing the reforms it wants to do, which is why it needs the support of economic journalists whose ability to communicate would allow people to understand the confusing jargon and the strategic importance of the government’s plan to sustain high growth and make it a truly inclusive one.

“I look forward to working closely with you in the coming weeks and months. Ours is a common crusade to build the economic literacy of our public. That lays the real foundation for inclusive economic growth,” Dominguez pointed out.

He also averred the country’s Gross Domestic Product (GDP) expansion of 6.8 percent in 2016 underscored a domestic economy in “pretty good shape” and well on its way to sustaining its growth momentum over the medium term, on the back of the Duterte administration’s bold initiatives to keep it on its upward trajectory despite global market volatility.

Dominguez explained that “the fast GDP expansion has buoyed government expectations of meeting its growth targets in 2017 and, with the hoped-for timely congressional approval of the first package of the CTRP, of sustaining its ambitious inclusive-growth agenda to attract more investments, create enough jobs, reduce the poverty incidence by almost half, and transform the Philippines into an upper middle-income country by 2022.”

He said the economy is well positioned to grow between 6.5 percent to 7 percent this year—as projected by most international and local financial institutions and experts—given “the government’s resolve to further strengthen its macroeconomic fundamentals and maintain solid buffers to cushion the effects of global unknowns like the coming US Federal Reserve hikes and inward-looking or protectionist policies by certain countries that could undermine international trade.”


Like us in Facebook


Latest News


                The Bangko Sentral ng Pilipinas (BSP) and the International Monetary Fund (IMF) co-hosted the inaugural Regional... Read More...
Draft substitute bill raises ERC board from 5 to 7

    By Rose de la Cruz   A draft substitute bill in the House sees to reorganize the energy sector and increase the number of commissioners of the... Read More...
Bong still unsure of Senate run

Should he stay or should he go?  This is the question that Special Assistant to the President Christopher “Bong” Go is trying to answer and... Read More...
IMAGE In the know: Solar Philippines

Solar Philippines is currently the country’s – and Southeast Asia’s – largest solar-energy company. Founded in August 2013 by Leandro... Read More...
Stupid Name Giver and Other Laughs

Stupid Name Giver Late one night, a burglar broke into a house. While he was sneaking around he heard a voice say, "Jesús is watching you."  He... Read More...
Confession Code and other laughs

Confession Code AN old priest who became sick of all the people in his parish who kept confessing to adultery said one Sunday, in the pulpit,"If I... Read More...

Photo courtesy of Top Gear Philippines Officials of motorcycle-sharing service company Angkas must be grinning all the way to the bank. After a... Read More...

MABUTI naman at tuluyan ng nagpasiya ang pamahalaan na sampahan ng karampatang kaso ang mga sangkot sa kontrobersyal na Dengvaxia anti-dengue... Read More...

Our Guests

This week3309
This month18618

Visitor Info

  • Your IP:

Who Is Online


Thursday, 24 January 2019
© 2016 OpinYon News Magazine Online. All Rights Reserved.

Please publish modules in offcanvas position.