PRESIDENT Ferdinand Marcos Jr. said Monday he remains optimistic about the country’s economy’s recovery, citing sustained investor interest, accelerated public spending and targeted support programs aimed at cushioning the impact of global economic pressures.
In an interview with Japanese media at Malacañang, Mr. Marcos said the government has continued to keep the country’s “economic machine running” despite concerns over slowing growth and inflationary pressures linked partly to global oil market instability.
“Luckily, I suppose, or at least we are still continuing to see marked interest in investment in the Philippines,” Marcos said.
He attributed continued investor confidence to government policies and incentives designed to attract investments into the country.
“And perhaps this is because of the policies that we adopted, the incentives that we have put out for investors. So slowly, we can see the way through this, where we will recover through this,” the President said..
He also said the government remains focused on preventing stagflation, a condition marked by stagnant economic growth coupled with persistently high inflation.
“The concern was about stagflation, in which the gross domestic product growth becomes stagnant, while inflation continues to increase,” he said.
According to the Chief Executive, his administration has implemented measures to contain inflation while sustaining economic activity through increased public expenditures.
“And so that is very important because we want to keep the system, the economic system, continuing to function. We have done all these measures to keep inflation down,” Mr. Marcos said.
The President acknowledged delays in government spending during the first quarter of the year but said public spending has since been accelerated to help support gross domestic product growth.
He said the administration has shifted spending toward programs that provide immediate relief to ordinary Filipinos, including subsidies and fuel discounts for the transport sector.
“To boost growth, government spending has been directed more towards direct spending so that ordinary people can immediately feel the government’s assistance,” President Marcos said.
Mr. Marcos also underscored the importance of supporting micro, small, and medium enterprises, or MSMEs, which he said account for 95% of businesses in the country and employ about 63% of the workforce.
“We have to find new ways of encouraging investment. We have to find new ways of supporting MSMEs,” he said.
“If we keep those sectors strong, I’m confident that although we will feel the effects of the oil crisis, I think that we will be able to mitigate many of the effects,” the President added.
