IvanHoe Belle C.

Sala JD- NT 4 June 15, 2019

Mr. Miguel P. Bolo English 20 Saturday (8am- 5pm)

The Philippine Economic Trend:

In the Global Game II
(Economic Essay)

The author in the previous essay (The Philippine Economic Trend: In the Global
Game I) wrote about the conditions of the Philippine economy and poverty reduction on
April of 2016 through the Word Bank reports1.The author chose April of 2016, because
that time, it was the last and updated economic and poverty forecast of the Philippines.
It was last, because it was the last and final days of former President Benigno Aquino to
lead the Philippines for economic growth and poverty reduction; updated on the other
hand, because it was the latest reports of the World Bank on economic growth and
poverty reduction in the Philippines since the resumption of Benigno Aquino on the
Office of the President from June of 2013. Now, this part two of the essay deals with the
same- the economic status and poverty reduction of the Philippines, but now, under
President Rodrigo Duterte since his resumption on the Office of the President from June
of 2016 in consonance of the Constitution2. The pattern is that on April 2016 in was still
the term of former President Aquino even thou his last term that is where the author
wrote the first part of the essay for the final assessment of Philippine economy under
Aquino administration. After April 2016 or on June 2016 it is already the term of
President- elect Rodrigo Duterte which this economic essay now discusses the
economic stability and poverty reduction of the Philippines.

Accoding to the World Bank report 3 as of April 2019 the Philippine economic
growth Is projected to reach 6.4% in 2019 and slightly edged up to 6.5% in 2020 and
2021. This is in connection with the country’s inflation rate for the past months were
high, The big jump in inflation rate was triggered by the TRAIN law. Only 2.9% in
December 2017, went up to 3.4% in January 2018 (first month of TRAIN law), 3.8% in
February, 5.7% in July, 6.4% in August, 6.7% in August and same 6.7% in September.
The year to date (ytd, January to October) inflation rate then is 5.1% or nearly double
2017’s 2.9%4. Nonetheless, it slowed down to 3.0 % on April 2019 the lowest inflation
since January 2018. Unlike in the previous administration, the current administration is
towards to economic and poverty reduction. An example of this is the Built, Built, Built
Program 5 and the Tax Acceleration and Inclusion Act (TRAIN Law) 6 . According to
author Panos Mourdoukoutas in his economic essay which he said that: “In fact, the

1 https://www.worldbank.org/
2 Art. VII, Sec. 4, 1987 Constitution
3 https://www.worldbank.org/en/country/philippines/publication/philippines-economic-

update-april-2019-safeguarding-stability-investing-in-the-filipino
4 https://www.bworldonline.com/inflation-gdp-and-duterte/
5 https://www.forbes.com/sites/outofasia/2018/02/28/dutertes-ambitious-build-build-

build-project-to-transform-the-philippines-could-become-his-legacy/#6a225bb21a7f
6 https://www.iist.or.jp/en-m/2018/0283-1087/
Philippines economy is getting less rather than more market driven under Duterte,
according to a recent report from the Heritage Foundation, which shows that the
Philippines economy is less free under Duterte.”7

The author disagrees to the claim of Mr. Mourdoukoutas. In fact, on the contrary,
the Duterte administration posts the high growth in 2017- 2018. The first two full years
of the administration of President Rodrigo Duterte registered the highest level of
economic growth among post-Marcos administrations, averaging 6.6% for the years
2017 and 2018. Believe it or not, the country’s economic growth is domestic- driven as
we invest heavily in our infrastructure, as what I cited the Build, Build, Build program 8
and tax revenue this is without yet foreign aids and investments- like Japan, as it
pledges P 434 billion in aid and investments, and South Korea just this current visit of
Pres. Duterte to the said country on June 5, which it pledges up to $1 billion in official
development assistance for the Philippines’ infrastructure projects. Unlike the previous
administration its major moved for economic and poverty reduction was just the
Pantawid Pamilyang Pilipino Program (4Ps), which know becomes into law- R.A.
11310.9

It should be seen that the current administration is really on the straight path for
the economic growth and poverty reduction of the Philippines unlike the previous
administration in the first part of my economic essay. Yet, there is still a long way for the
current administration for economic growth and poverty reduction, as its term is to end
on 2022.

7 https://www.forbes.com/sites/panosmourdoukoutas/2019/02/10/dutertes-jobless-
economic-boom/#2ac7bf613ed3
8 https://www.dbm.gov.ph/index.php/secretary-s-corner/press-releases/list-of-press-

releases/1341-duterte-admin-posts-high-growth-in-2017-2018
9 https://www.officialgazette.gov.ph/downloads/2019/04apr/20190417-RA-11310-

RRD.pdf