{
  "id": 6152488,
  "title": "ADB: Philippines GDP may still grow by 3.8% this year",
  "url": "https://urgent.news/2026/09/07/adb-philippines-gdp-may-still-grow-by-3-8-this-year",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-07T16:00:00.000Z",
  "source": {
    "name": "Philippine Star Business",
    "slug": "philippine-star-business",
    "url": "https://www.philstar.com/business/2026/09/08/2554667/adb-philippines-gdp-may-still-grow-38-year"
  },
  "original_language": "en",
  "account": "The Philippine economy may still grow by 3.8 percent this year, according to the Asian Development Bank (ADB), despite a weak first-half performance. However, the bank believes that stronger infrastructure spending and consumption growth in the second half are necessary for this forecast to be realized, explained ADB President Masato Kanda. Kanda stated that the 3.8 percent growth forecast for 2026 is achievable, provided that project execution and household consumption surge in the latter half. If the growth forecast holds true, the economy's growth would align with the revised government target of 3.5 to 4.5 percent for the year. In the second quarter, the economy's growth slowed to 2.3 percent, presenting the weakest performance since 2021, and pushing the first semester's average growth to 2.6 percent. The slowdown was largely attributed to delays in public spending due to the government's tightened scrutiny following the flood control controversy the previous year. Kanda emphasized that while project oversight remains crucial, project delivery is equally important. To address this, the ADB is collaborating with the Department of Public Works and Highways and Department of Transportation on procurement and management. The second quarter's growth was further hampered by muted consumption as inflation remained elevated. Household spending grew by 2.8 percent in the second quarter, slower than the previous quarter's 3 percent and the 5.2 percent growth in the same period last year. Inflation eased to 6.1 percent in August from the previous month's 6.2 percent, resulting in an average inflation rate of 5.2 percent for the January to August period, surpassing the government's two to four percent target. For the ADB, a significant boost in public investment execution and a decrease in inflation would enable the economy to experience higher growth. Kanda also highlighted that private investment would play a significant role in driving economic growth. Although there is ample liquidity, he noted that the investing environment needs to be improved.",
  "summary": "The Philippine economy may still post 3.8 percent growth this year, despite the weak growth performance in the first half, but faster infrastructure spending and consumption growth would be needed in the second half, according to the Asian Development Bank..",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}