IMF raises Philippine growth forecast for year to 6.5 per cent; boosted by typhoon rebuilding

MANILA, Philippines – The International Monetary Fund has raised its 2014 economic growth forecast for the Philippines to 6.5 per cent, up from its January projection of 6.3 per cent, with typhoon reconstruction expected to boost the economy.

It forecasts 2015 growth at 6.5 per cent, slightly lower than its 6.6 per cent estimate in January. The economy grew 7.2 per cent last year despite a string of calamities including Typhoon Haiyan in November, and government has targeted growth of 6.5 to 7.5 per cent this year and 7 to 8 per cent next year.

An IMF statement at the conclusion of regular consultation with economic managers also says the need for easy monetary policies in the Philippines has waned because of a stronger global outlook.

Monetary authorities have kept interest rates at record lows to spur credit and spending.