Analysts Trim GDP Outlook After Poor Q1

BSP rate cuts seen supporting growth

- By KEISHA TA-ASAN

Despite stronger household spending and a pre-election boost in government expenditure, the country's gross domestic product (GDP) grew by only 5.4 percent year-on-year in the first quarter, a tad higher than 5.3 percent in the previous quarter but below market expectations.

It was also slower than the 5.9 percent growth in the first quarter of 2024 and missed the government's six to eight percent target for this year.

In its Asia Economic Monthly report, Nomura Global Markets Research described the first-quarter growth outcome as "disappointing" and attributed it to weak investment spending and external demand.