The Department of Trade and Industry (DTI) expects the Philippine economy to grow at least 7 percent in 2015, with foreign direct investments (FDI) and lower oil prices driving the growth. Foreign direct investments rose 61 percent to $4.8 billion in 2014, with growth centered mostly in the business process outsourcing (BPO) and manufacturing sectors.
Trade secretary Gregory Domingo cited the increasing flow of foreign direct investments to the Philippines for the past four years, adding that the country beat Malaysia in terms of growth. Foreign direct investments were $1 billion in 2010, $2 billion in 2011, $3.2 billion in 2012, 3.8 billion in 2013, and $4.8 billion in 2014.
Gross domestic product (GDP) growth rate from January to September last year reached 5.8 percent and the government is targeting 7 to 8 percent growth for 2015. This is higher than the International Monetary Fund's (IMF) forecast of 6.3 percent growth for the country in 2014.
In addition to the FDI figures, Domingo mentioned Moody's recent credit rating upgrading for the Philippines which is expected to further increase investments.
"There are many good things going in the Philippines, I am very optimistic about our economic growth in the next few decades," Domingo said.
Trade undersecretary Adrian Cristobal, Jr. is similarly optimistic, saying that the manufacturing sector and exporters can benefit from the strong peso. DTI also expects infrastructure development projects to move faster.