Philippines: 2024 Article IV Consultation-Press Release; and Staff Report

International Monetary Fund

No 2024/351, IMF Staff Country Reports from International Monetary Fund

Abstract: The 2024 Article IV Consultation highlights that growth is expected to accelerate in 2024-25, supported by disinflation, and gradually declining borrowing costs as monetary policy normalizes in Philippines. Growth is expected to pick up modestly in 2024-25 while inflation should remain within the Bangko Sentral ng Pilipinas’ target range. Systemic risks within the financial system are moderate, but pockets of vulnerabilities remain. The banking system has sufficient liquidity and capital buffers, and nonperforming loans are low. The more gradual pace of consolidation in the revised fiscal program is appropriate and should be supported by a concrete and sustainable plan to raise tax revenues and implement expenditure reforms. The Philippine economy holds significant potential with its abundant natural resources, untapped blue economy, and a sizable demographic dividend. Unlocking the medium-term growth potential will crucially depend on comprehensive and well-sequenced structural reforms. These reforms, coupled with strengthened social protection programs, should aim to boost job creation, enhance productivity, increase resilience to climate change, and reduce poverty and inequality.

Keywords: article IV consultation discussion; SDR million; upside inflation risk; resident representative; IMF's article; Anti-money laundering and combating the financing of terrorism (AML/CFT); Inflation; Global (search for similar items in EconPapers)
Pages: 87
Date: 2024-12-19
New Economics Papers: this item is included in nep-sea
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=559739 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:imf:imfscr:2024/351

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Staff Country Reports from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().