Push Admin

DTI’s Lopez downplays stagflation concerns, citing ‘growth momentum’

Article (news)

ABS-CBN News

<figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=2083042" width="100%"></iframe></figure><div class="iwantbar">Watch more News on <a href="https://www.iwanttfc.com/#!/browse/Genres/News/tag_id_genres/id_news" target="_blank">iWantTFC</a></div><p>MANILA — Outgoing Department of Trade and Industry (DTI) Secretary Ramon Lopez said Saturday that stagflation is unlikely to happen in the country, citing a rosy economic outlook.</p><p>Stagflation happens when there is slow economic growth, high inflation, and a high unemployment rate.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/06/07/22/inflation-quickens-further-to-54-percent-in-may">Inflation quickens further to 5.4 percent in May</a></li></ul><p>&quot;Stagflation, malabo dahil nga dito sa growth momentum that we are experiencing despite the challenges,&quot; Lopez told ABS-CBN&#x27;s TeleRadyo.</p><p>The World Bank&#x27;s Philippines Economic Update in June 2022 showed that the country&#x27;s economy may grow 5.7 percent in 2022 and 5.6 percent in 2023 and 2024.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/06/08/22/ph-to-grow-57-pct-in-2022-but-risks-linger-world-bank">PH economy likely to grow by 5.7 percent in 2022 but risks linger: World Bank</a></li></ul><p>&quot;The growth outlook for the Philippines remains positive but subject to downside risks,&quot; World Bank senior economist Kevin Chua had said.</p><p>The IMF earlier said that the Asian region &quot;faces a <a href="https://news.abs-cbn.com/business/04/26/22/asia-facing-stagflationary-outlook-amid-ukraine-war-imf">stagflationary outlook</a>, with growth being lower than previously expected, and inflation being higher.&quot;</p><p>Lopez said that economic growth will continue as long as there are no lockdowns, coupled with an increasing employment rate.</p><p>Some 2.76 million Filipinos were jobless in April as the unemployment rate eased to 5.7 percent for the month, the Philippine Statistics Bureau had said.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/06/10/22/276-million-jobless-in-april-as-unemployment-eases-to-57-percent">2.76 million jobless in April as unemployment eases to 5.7 percent: PSA</a></li></ul><p>&quot;Ang bilis naka-recover ng economy natin, &#x27;yung industry growth natin after the pandemic year of 2020, 2021 nag-grow na kaagad ng 8.8 percent &#x27;yung industry, tapos 10.1 [percent] nitong first quarter,&quot; Lopez added.</p><p>&quot;Maraming manufacturing activity meaning may trabaho rin.&quot;</p><p>The Bangko Sentral ng Pilipinas, meanwhile, also said that it does not view stagflation as an immediate risk to the Philippine economy.</p><p>The central bank said it remains optimistic that the Philippines will sustain its economic recovery. </p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/06/16/22/bsp-allays-stagflation-worries-sees-sustained-growth">BSP stagflation &#x27;not an immediate risk&#x27;, sees sustained economic growth</a></li></ul><div><strong>—TeleRadyo, June 18, 2022</strong></div>

The Bangko Sentral ng Pilipinas, meanwhile, also said that it does not view stagflation as an immediate risk to the national economy.