Economic growth in the second quarter may be slower than the 6.4-percent expansion in the first quarter as external headwinds and uncertainties are expected to continue impacting global economies, a top executive of Sun Life Investment Management and Trust Corp. said in an online briefing Wednesday.
“Our economists are more leaning toward a slightly slower Q2 growth.. This is mainly due to base effects… Drivers [of growth] will be consumer spending in goods and services… that will definitely continue and we will continue to grow this year,” Sun Life Investment Management and Trust Corp. president and chief investment officer Mike Enriquez said.
The economy grew by 6.4 percent in the first quarter, slower than 8 percent a year ago and 7.1 percent in the fourth quarter of 2022 amid the persistent elevated inflation that impacted consumption.
Enriquez said that for the whole 2023, the gross domestic product was expected to grow 5.35 percent, slower than 7.6 percent in 2022 due to external risks, particularly the global recessionary fears.
“The slower GDP growth at 5.35 percent [is] mainly due to base effects… [But] consumer growth is very robust, especially for non-food spending,” Enriquez said.
“We see the continuation of the re-opening story of 2022 in 2023. This will support mall operators, restaurants and loan growth,” Enriquez said.
