Save The Philippines Real GDP Growth

The Philippines is the 5th largest economy in SE Asia and a lower-middle income country with GDP per capita being around 3,000 US$. Private consumption and foreign trade are the main contributors to its GDP. Government debt accounts for 35% of GDP. Total population are over 100 million people, which is the 2nd most among six SE Asian countries. Median age is 23 years old. With a huge amount of working-age population and low wage, the country takes advantage of its demographic dividend.

GDP shares are as follow:
Agriculture: 7%
Industry: 33%, roughly 65% of which are manufacture, with another 20% being construction.
Services: 60%, roughly 30% of which are retails, wholesales and vehicle maintenance, and 20% are real estate services.

The Philippines' trade to GDP ratio is roughly 140%. Its economy highly relies on the global economy. The country has maintained in a trade deficit for a long time, so Peso has been weak. The currency and trade improved a little in 2019 during the US-China trade war. The country's main exports are machinery and manufactured goods. Major trade partners include China, ASEAN, Japan and USA.

FDI from Japan, Singapore and Malaysia mostly flow into manufacture (45%) and construction (10%).

Save Real GDP Shares

The fast-growing country's GDP relies on consumption and trade.

GDP shares based on spending are as follow:
Private consumption expenditure: 65%
Government consumption expenditure: 12%
Investment: 30%
Exports: 65%
Imports: 72%

GDP shares based on production are as follow:
Primary sector: 7%
Secondary sector: 33%
Tertiary sector: 60%

Save Overnight Reverse Repurchase Rate vs. CPI

The Philippines' Overnight Reverse Repurchase Rate (RRP) is determined by Bangko Sentral ng Pilipinas (BSP). The country sets its 2019-20 & 2021-22 inflation target within 2% to 4%.

Save Benchmark Interest Rate

The Philippines' Overnight Reverse Repurchase Rate (RRP) is determined by Bangko Sentral ng Pilipinas (BSP).

Save Money Supply (YoY)

M1 includes notes, coins in circulation and demand deposits.
M2 is money in a broader sense, including M1, saving deposits and time deposits.
M3 includes M2 and bank debentures, commercial paper, money market funds and debt securities.

Save Trade Balance

Exports and imports account for 65% and 72% of Malaysia's GDP, respectively. The country with a trade surplus relies heavily on trade.

The country has maintained in a trade deficit for a long time, so Peso has been weak. The currency and trade improved a little in 2019 during the US-China trade war. The country's main exports are machinery and manufactured goods. Major trade partners include China, ASEAN, Japan and USA.

Save Exports by Country (YoY)

Exports and imports account for 65% and 72% of The Philippines' GDP, respectively.

The Philippines' major export partners:
China (15 ~ 20% )
Japan (10 ~ 15% )
USA (10 ~ 15% )
ASEAN (10 ~ 15% )

Save Imports by Country (YoY)

Exports and imports account for 65% and 72% of Malaysia's GDP, respectively.

The Philippines' major import partner:
China (25 ~ 30%)
ASEAN (25 ~ 30%)
Japan (5 ~ 10% )
USA (5 ~ 10% )

Save Exports: Electronics

Electronics account for roughly 60% of exports, so The Philippines' exports depend on global demand for electronics.

Save Employment

Unemployment rate= employed / (employed + unemployed)

Companies stop hiring or slash employment because the economy is shrinking. An increase in unemployed persons will lead to decrease in household income and consumption.
Consumption accounts for 65% of GDP, a decrease in which will bring economic growth down.

Labor force participation rate= (employed + unemployed) / population

Save Retail Sales Index

Private consumption accounts for 65% of GDP. Changes in retail sales are related to the country's GDP growth.

Save CPI vs. PPI

Consumer Price Index (CPI) is a measure of inflation and economic conditions. Core CPI is CPI excluding food and energy which have greater fluctuations in prices and reflects a more real economic conditions in the household. Core CPI also prevents price fluctuations caused by temporary supply-demand factors.

There are 2 types of inflation:
1. Demand-pull inflation is caused by undersupply. When the economy grows, price rises.
2. Cost-push inflation occurs when producing costs of goods increase.

Producer Price Index, on the other hand, reflects production costs and business conditions.

Mild inflation helps economy expand, while rapid inflation or deflation are bad for the economy.

Save Manufacturing PMI vs. IPI

Industry is the main contributor to The Philippines' GDP, of which it accounts for 33%. PMI and IPI reveal the industrial business conditions.

IHS Markit surveys purchasing managers from manufacturers on the business conditions every month. Purchasing Managers' Index (PMI) is composed of 5 indices (weight):
New orders (30%)
Output (25%)
Employment (20%)
Supplier's delivery times (15%)
Stocks of purchases (10%)
A reading above 50 suggests optimism, while a reading below 50 suggests pessimism.

Industrial Production Index (IPI) is an official economic indicator.

Save House Price Index

The construction sector accounts for 10% of GDP. Rising house price supports construction and economic growth.

Save Exports vs. USD/PHP

Exports account for 60% of GDP. Peso strengthens when exports increase. Ringgit weakens when exports fall.

Save Business Confidence vs. Consumer Confidence

Confidence index is a quarterly survey conducted by Bangko Sentral ng Pilipinas (BSP).
Business Confidence shows how local companies see the economy.
Consumer Confidence shows how people see the economy.

Save Stock Market

PSE Composite Index, consists of 30 companies, is the main stock index in The Philippines. The index

Save Philippines Government Bond Yield