President of Philippines Says Economy Stable at 7% Current Year

Philippine economic growth will likely remain stable at around 7% this year, according to President Ferdinand Marcos Jr., citing strong fundamentals that will help the country post the fastest growth in Asia despite a bleak global outlook.

“There is so much space, room to grow, in the sense that we are starting very many new things now,” Marcos said in an interview with Bloomberg Television’s Haslinda Amin on the sidelines of the World Economic Forum in Davos, Switzerland.

He described the economy as "rather stable," with unemployment continuing to fall. According to Marcos, the domestic economy "will be able to manage at least 7% growth for last year" and will grow at a similar rate in 2023.

In his first six months as president, Marcos has faced numerous economic challenges, including tight public finances and rising borrowing costs. Inflation has reached a 14-year high due to rising prices for essential goods such as sugar and onions, and Marcos, who also heads the agriculture department, has stated that farm production will be increased to reduce imports and prices.

Marcos, like many others in Southeast Asia, has sought to strike a balance between US and Chinese interests. He has tried to cooperate with China in agriculture and infrastructure and met with President Xi Jinping earlier this month, agreeing to pursue South China Sea energy exploration talks.

Tensions in the disputed sea have recently risen, with the Southeast Asian nation expressing "great concern" about Chinese vessels massing off its western coast. China is constructing several uninhabited land features in the South China Sea.