Long-term economic reforms pushed

Fifteen years from now, the Philippine economy could accelerate by 6.8 percent yearly if the country continues to improve regional connectivity, productivity, and resource allocation, the Washington-based World Bank stated.

- By DERCO ROSAL

According to the multilateral lender's latest report on Philippine growth and employment, such efforts could also increase the country's employment by seven percent, and lift wages by 12.9 percent by 2040.

To achieve this, the World Bank has recommended reforms based on existing problems. Despite the country's efforts, gaps in the infrastructure and energy sectors are still flagged by the World Bank as needing improvements.

“Despite investments in connectivity infrastructure, transport costs remain high,” the World Bank said in the report released on Tuesday, July 15. It noted that rising prices in energy, telecoms, and logistics, along with climate risks, continue to weigh on growth and stability.

To address these, the World Bank recommended building better roads, internet, and disaster-ready systems, especially in “lagging” or less developed areas.