May export earnings up 1.9% to US$6.44B By Andrea E. San Juan @andreasanjuan
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HE country’s export earnings posted a posit ive growth for the first time in si x mont hs in May 2023, w it h elect ronic products accounting for 57.5 percent or the largest share in the country’s exports pie, according to the Philippine Statistics Authority (PSA). Figures from the PSA showed the country’s export earnings increased by 1.9 percent to US$6.44 billion from the $6.32 billion recorded in the same month last year. “The commodity group with the highest annual growth in the value of exports in May 2023 was
electronic products, which rose by US$231.53 million,” PSA said. This was followed by ignition wiring set and other wiring sets used in vehicles, aircraft and ships, which increased by US$75.98 million; and copper concentrates, rising by US$73.75 million. Total export earnings in the first five months of the year amounted to US$28.21 billion. This represented a decline of 11.5 percent from the year-todate annual total export value of US$31.89 billion in the same period last year.
Imports
MEANWHILE, the country’s total import bill contracted by 8.8
percent year-on-year to $10.84 billion in May. In April, it recorded an annu a l de c l i ne of 15 p e rce nt , while in May 2022, it exhibited a double-digit annual increase of 30.2 percent. With this, the country recorded a trade deficit of $4.40 billion, which is narrower by 20.9 percent compared to the $5.56 billion in May 2022 and the previous month’s $4.8 billion. PSA data showed that in April 2023, the trade deficit recorded an annual decline of 9 percent and in May 2022, it posted an annual increase of 74.9 percent. The 20.9 percent decline in the trade deficit recorded in May 2023 is the narrowest since November
2022, which posted a 21-percent decline. “The balance of trade in goods [BoT-G] is the difference between the value of export and import,” the PSA said. For his part, Rizal Commercial Banking Corporation (RCBC) Chief Economist Michael Ricafort said, “Trade deficit/Net imports already among the narrowest in more than a year, thereby partly supporting the stronger peso e xc h a nge rate recent ly [peso among the strongest in 2 months]; also after relatively lower global oil and other commodity prices amid risk of recession in the US.” See “Export,” A2
BusinessMirror A broader look at today’s business
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Wednesday, July 12, 2023 Vol. 18 No. 268
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AMRO KEEPS INFLATION, GDP FORECASTS FOR PHL n
FIELDS OF DREAD In Cavite, an industrial landscape looms in the background as a rice farmer walks across a nearly dried-up rice paddy, illustrating the challenges posed by industrial encroachment and climate change on agriculture. Efforts are under way to develop an El Niño mitigation strategy to address these challenges. NONIE REYES By Cai U. Ordinario
D
@caiordinario
ESPITE global headwinds, the Association of Southeast Asian Nation (Asean) Macroeconomic Research Office (Amro) maintained its growth and inflation forecast for the Philippines this year and in 2024.
In a briefing on Tuesday, Amro Chief Economist Hoe Ee Khor said the Philippines is still expected to post a growth of 6.2 percent this year and 6.5 percent next year, while inf lation is seen averaging 5.9 percent in 2023 and 3.8 percent in 2024.
Khor said the Philippine economy remains a service-oriented one and may be insulated from the slowdown of the trade of goods that is expected in other Asean economies. See “Amro,” A2
D.O.T. PRESSES DFA ON WAYS TO LURE CHINESE TOURISTS By Ma. Stella F. Arnaldo @akosistellaBM
Special to the BusinessMirror
T
H E De pa r t me nt of Tourism (DOT) scored the Department of Foreign Affairs (DFA) for measures seen discouraging the arrival of more Chinese tourists in the Philippines. I n a let ter to Foreig n A ffairs Secretar y Enrique Manalo dated June 8, 2023, DOT Secretary Ma. Esperanza Christina Garcia Frasco said, “This is to respectfully reiterate the Department of Tourism’s URGENT APPEAL for the Department of Foreign
Affairs to LIFT the published daily quota of issuing only 100 visas per day per Philippine foreign service post in China.” (DOT’s emphasis) She added: “While we understand from the initial reply conveyed to the DOT by DFA Assistant Secretary Henry S. Bensurtoz Jr. dated 30 March 2023 that there are instances where consular posts issue 200-250 visas per day, the continued website publication of an official policy limiting issuances to only 100 visas per day serves as a deterrent to potential visa applicants, See “DOT,” A2
Marcos: Pagcor plays vital role in development of PHL By Samuel P. Medenilla @sam_medenilla
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RESIDENT Ferdinand R. Marcos Jr. on Tuesday highlighted the important role of the Philippine Amusement and Gaming Corp. (Pagcor) in nation-building. “Pagcor has made an indelible mark in our society with its undeniable contribution to nationbuilding,” Marcos said during the celebration of the 40th anniversary of Pagcor held at the Marriott Hotel Manila. He said Pagcor played a crucial role in drawing in more tourists and in generating not only jobs but also revenues. T he state-r un gaming and
regulatory firm, he noted, has also helped in the development of the country’s sports sector by providing support to athletes and coaches. “It is my hope that this anniversar y w ill inspire you to continue setting new standards and keep being at the forefront of an industr y that is not only financially successful, but also soc i a l ly i mpac t f u l a nd most importantly socially relevant,” Marcos said. Pagcor Chairman and CEO A lejandro H. Tengco said the agency is determined to continue the said initiatives by generating more government revenues. See “Pagcor,” A2
PESO EXCHANGE RATES n US 55.6170 n JAPAN 0.3935 n UK 71.5346 n HK 7.1047 n CHINA 7.6978 n SINGAPORE 41.3786 n AUSTRALIA 37.1188 n EU 61.1898 n KOREA 0.0429 n SAUDI ARABIA 14.8264 Source:
BSP (11 July 2023)