Manila Ninoy Aquino International Airport in Paranaque city, the Philippines, is deserted on April 19 amid the COVID-19 outbreak (Photo: Xinhua/VNA)Hanoi (VNA) – The Philippine economy islikely to experience the first annual contraction in more than two decades thisyear due to the COVID-19 pandemic before it pulls back up for a U-shapedrecovery in 2021.
Key cities in the Philippines, which is amongthe fastest growing economies in Asia during the pre-pandemic period, are understrict quarantine measures since mid-March, according to Reuters.
In a statement on April 25, Governor thecountry’s central bank Benjamin Diokno said the Philippines’ gross domesticproduct would likely shrink by 0.2 percent in 2020 before bouncing back toabout 7.7 percent thanks to policy support measures.
That would mark a sharp reversal from thegovernment’s initial annual growth target of between 6.5 percent and 7.5percent for 2020 to 2022.
He said the economic recovery would follow aU-shaped path in 2021, following a slowdown in the first quarter andcontractions in the next two quarters of this year.
On April 24, Philippine President RodrigoDuterte extended a strict lockdown in the capital Manila and key cities untilMay 15 in an effort to contain the spread of the coronavirus, which has so farinfected 7,192 people and killed 477 in the country./.
VNA
