HIGHLIGHTS

 

Gross Domestic Product of the Philippines Highlights for 2017

Release Date: Thursday, April 26, 2018
Philippine economy posts 6.7 percent growth
 
The Philippine economy grew by 6.7 percent growth in 2017. This was slower than the 6.9 percent growth recorded in 2016. The main drivers to growth in 2017 were Manufacturing, Trade, and Real Estate, Renting and Business Activities.
 
Among the major economic sectors in 2017, Industry recorded the fastest growth of 7.2 percent, followed by Services which grew by 6.8 percent during the year. On the other hand, Agriculture, Hunting, Forestry and Fishing recovered from a decline of 1.2 percent in 2016 and posted a growth of 4.0 percent in 2017. 
 
Among the major sub-industries, five (5) recorded faster growths in 2017: Manufacturing grew by 8.4 percent; Public Administration and Defense; Compulsory Social Security 7.8 percent; Agriculture and Forestry, 4.0 percent; and Mining and Quarrying, 3.7 percent. Meanwhile, Fishing continued to decline with 0.9 percent contraction in 2017, although slower than the 4.0 percent contraction in 2016.
 
Meanwhile, the following sub-industries posted slower growths: Financial Intermediation, 7.6 percent; Real Estate, Renting and Business Activities, 7.4 percent; Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods, 7.3 percent; Other Services, 6.4 percent; Construction, 5.3 percent; Transportation, Storage and Communication, 4.0 percent; and Electricity, Gas and Water Supply, 3.4 percent.
 
Services accounted for more than half or 57.5 percent of the country’s Gross Domestic Product (GDP). Industry, on the other hand, recorded a share of about one-third or 34.0 percent while AHFF comprised 8.5 percent of the national economy.
 
 
Cordillera Administrative Region (CAR) records the fastest economic growth in 2017
 
All seventeen regions posted positive economic growth in 2017 with CAR’s economy growing the fastest. Among the regions, nine (9) recorded accelerated economies during the year. CAR recorded a growth of 12.1 percent; Davao Region,10.9 percent; Western Visayas, 8.4 percent; SOCCSKSARGEN, 8.2 percent; ARMM, 7.3 percent; Cagayan Valley, 7.2 percent; CALABARZON, 6.7 percent;  MIMAROPA, 6.2 percent; and Caraga, 4.3 percent.
 
The following regions’ economies also grew, but at a slower pace. Central Luzon grew by 9.3 percent; NCR, 6.1 percent; Northern Mindanao, 5.9 percent; Ilocos Region, 5.8 percent; Central Visayas, 5.1 percent; Bicol Region, 5.1 percent; Zamboanga Peninsula, 2.3 percent; and Eastern Visayas, 1.8 percent.
 
Figure 1. Growth Rates of Regional Economies: 2015-2016 and 2016-2017
(at Constant 2000 Prices, in Percent)
 
 
 
NCR continues to have the largest share of the national economy
 
NCR continued to account for the largest share of the country’s Gross Domestic Product (GDP) at 36.4 percent. It was followed by CALABARZON with a share of 16.8 percent and Central Luzon with a share of 9.7 percent.
 
In terms of contribution to the GDP growth rate of 6.7 percent in 2017, NCR contributed the most with 2.2 percentage points, followed by CALABARZON with 1.1 percentage points and Central Luzon with 0.9 percentage point. All other regions contributed positively to the growth of the national economy.
 
 
 
 
 
 
Economic Performance of the Regions
 
 
NCR’s economy slows down in 2017
 
The economy of National Capital Region slowed down from 7.4 percent in 2016 to 6.1 percent in 2017. The main drivers for growth in 2017 were Trade, Real Estate, Renting and Business Activities, Financial Intermediation and Manufacturing.
 
Services decelerated from 8.0 percent in 2016 to 7.0 percent in 2017.  Public Administration and Defense grew faster from 7.9 percent in 2017 to 8.6 percent in 2017. Trade grew at 8.2 percent in both 2016 and 2017. On the other hand, Real Estate, Renting and Business Activities, Financial Intermediation, Other Services and Transportation, Storage and Communication slowed down from 11.3 percent, 8.1 percent, 5.3 percent and 3.3 percent in 2016 to 8.0 percent, 7.4 percent, 4.4 percent and 2.2 percent in 2017, respectively.
 
Industry decelerated from 5.1 percent in 2016 to 2.0 percent in 2017.  This was attributed to the decline in Construction, Manufacturing and Electricity, Gas and Water Supply.  Construction further declined from 3.5 percent decline in 2016 to 16.1 percent contraction in 2017.  Manufacturing slowed down from 6.6 percent to 6.3 percent while Electricity, Gas and Water Supply decelerated from 8.7 percent in 2016 to 2.3 percent in 2017.
 
Agriculture, Hunting, Forestry and Fishing slowed down from 2.5 percent growth in 2016 to 0.7 percent growth in 2017.  Agriculture and Forestry grew at slower pace from 2.6 percent in 2016 to 0.7 percent in 2017.  Fishing continued to decline with 3.2 percent drop in 2016 and 0.3 percent contraction in 2017.
 
 
Cordillera’s economy grew the highest at 12.1 percent in 2017
 
The economy of CAR grew by 12.1 percent in 2017, the highest among all regions in the country. This growth was faster than the 2.3 percent growth in 2016 attributed to the  double-digit growth of Industry, particularly Manufacturing and Construction subsectors.
 
Industry rebounded from 0.3 percent decline in 2016 to 18.6 percent growth in 2017. Manufacturing, the Industry’s biggest contributor, posted a 19.5 percent growth in 2017.  Construction turned around with 23.6 percent growth in 2017 from a 26.4 percent decline in 2016. Electricity, Gas and Water Supply likewise grew by 5.7 percent in 2017 but slower than the previous year’s 12.6 percent growth.  However, Mining and Quarrying further declined during the period by 2.9 percent in 2017 from the 3.5 percent drop in 2016.
 
Services decelerated to 5.8 percent in 2017 as compared to the 7.1 percent in 2016.  Transportation, Storage and Communication recorded the slowest growth with 3.8 percent followed by Other Services with 4.6 percent growth in 2017.  Financial Intermediation managed to continue the pace with 9.0 percent in 2017 from 9.1 percent in 2016.  Meanwhile, Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods accelerated from 7.4 percent to 8.1 percent, followed by Real Estate, Renting and Business Activities from 3.1 percent to 5.9 percent, and PAD from 5.2 percent to 5.9 percent.
 
Agriculture, Hunting, Forestry and Fishing recovered from a 4.5 percent decline in 2016 to a 5.1 percent growth in 2017. The growth was mainly attributed to the Agriculture and Forestry subsector which bounced back to 5.2 percent growth in 2017 from the 4.8 percent drop in 2016.
 
Industry contributed the most to the region’s overall growth rate with 9.2 percentage points. Services added 2.4 percentage points while Agriculture, Hunting, Forestry and Fishing contributed the least with 0.4 percentage point.
 
 
Economy of Ilocos Region grows 5.8 percent in 2017
 
The economy of Ilocos Region grew by 5.8 percent in 2017, slower than its 8.5 percent growth in 2016. Services was the main driver of the growth, contributing 3.5 percentage points, followed by Industry with 1.8 percentage points, and Agriculture, Hunting, Forestry and Fishing with 0.5 percentage points.
 
Services, accounting 51.9 percent of the region’s economy, grew slower with 6.8 percent in 2017. Only Public Administration and Defense grew faster with 6.8 percent in 2017. The rest of its sub-sectors contributed positively to the growth but at a slower pace: Other Services with 8.2 percent; Trade and Repair of Motor Vehicles with 7.7 percent; Real Estate, Renting and Business Activities with 7.0 percent; Financial Intermediation with 7.0 percent, and Transportation, Storage and Communication with 4.0 percent.
 
Industry decelerated to 6.5 percent in 2017 compared to its 16.9 percent growth in 2016. Construction, contributing 41.8 percent to the total Industry sector, grew slower at 11.8 percent. Likewise, Mining and Quarrying and Electricity, Gas and Water Supply slowed down to 4.3 percent and 1.7 percent, respectively. Meanwhile, Manufacturing posted an expansion of 5.3 percent, faster than 2.7 percent growth recorded in 2016.
 
On the other hand, Agriculture, Hunting, Forestry and Fishing rebounded to 2.4 percent in 2017 from a contraction of 1.7 percent in 2016. Agriculture and Forestry and Fishing both posted positive growth rates of 2.3 percent and 2.9 percent, respectively.
 
 
Rebound in AHFF boosts Cagayan Valley’s economic growth
 
Cagayan Valley’s economy grew faster by 7.2 percent in 2017 from its 3.8 percent growth in 2016. The uptick was brought about by the recovery in Agriculture, Hunting, Forestry and Fishing, specifically the Agriculture and Forestry sub-industry, and faster growth of Industry.
 
Among the three major economic industries, Services continued to account for the largest share of the region’s economy in 2017 at 51.1 percent. Agriculture, Hunting, Forestry and Fishing followed with 33.7 percent share while Industry remained to get the least chunk at 15.2 percent of the region’s total economy.
 
In 2017, Services posted an increase but at a slower pace at 6.0 percent as compared with the 6.6 percent growth in the previous year. The slowdown was due to the slower growth of the two (2) major contributors to Services, the Transportation, Storage and Communication and Other Services, and the slower growth of Trade. From 6.6 percent and 9.9 percent growths in 2016, Transportation, Storage and Communication and Other Services grew slower at 4.5 percent and 7.8 percent in 2017, respectively. Trade also contributed to the slower growth of Services as it grew slower from 6.6 percent in 2016 to 6.5 percent in 2017. On the other hand, Financial Intermediation, Public Administration and Defense and Real Estate, Renting and Business Activities led the growth of Services with improved performances from 5.8 percent, 5.3 percent and 1.7 percent growths in 2016 to 6.8 percent, 6.0 percent and 4.0 percent growths in 2017, respectively.
 
Agriculture, Hunting, Forestry and Fishing rebounded from a 3.0 percent decline in 2016 to a 6.2 percent growth in 2017. This was mainly due to the recovery of Agriculture and Forestry, which Agriculture, Hunting, Forestry and Fishing accounts for the bulk, from a 2.9 percent drop in 2016 to a 6.7 percent growth in 2017. Also, although at a slower rate, Fishing continued to drop from a 5.0 percent decline in 2016 to 3.3 percent decline in 2017.
 
Industry sped up the region’s economy as it grew faster from the 11.9 percent growth in 2016 to a 13.9 percent growth in 2017. The growth was driven by the acceleration in Electricity, Gas and Water Supply, Mining and Quarrying and Construction. Electricity, Gas and Water Supply continued to contribute to the region’s Industry with a 29.5 percent growth in 2017, higher than the 26.5 percent growth in 2016. Likewise, Mining and Quarrying posted 14.0 percent growth as compared with the 9.3 percent growth in the previous year. As the biggest contributor to the region’s Industry, Construction sped up with 10.7 percent in 2017 from a 7.6 growth in 2016. On the other hand, Manufacturing posted a slower growth in 2017 at 3.9 percent as compared with the 17.0 percent growth in the previous year.
 
Of the overall 7.2 percent growth of the region, Services continued to be the biggest contributor to growth with 3.1 percentage points; followed by Agriculture, Hunting, Forestry and Fishing with 2.1 percentage points; and Industry with 2.0 percentage points.
 
 
Central Luzon sustains high economic growth in 2017
 
Central Luzon’s economy grew by 9.3 percent though at a slower rate as compared with 9.5 percent in 2016.  The slower performance of the region’s economy was due to the decelerated growths of Industry and Services.  Moreover, Central Luzon remained as the third fastest growing economy in the country, contributing 0.9 percentage point to the country’s 6.7 percent growth in 2017.
 
Industry continued to account for the largest share of the region’s economy with 48.3 percent in 2017, albeit higher than its 46.3 share in the previous year. Meanwhile, Services and Agriculture, Hunting, Forestry and Fishing accounted for 37.4 percent and 14.3 percent, respectively.
 
Among the major economic sectors, Industry decelerated to 13.9 percent from its previous year’s 15.8 percent growth. Manufacturing, the largest subsector in the region, grew at a slower rate of 13.2 percent from the previous year’s 17.5 percent.  Construction surged from 2.9 percent in 2016 to 22.3 percent in 2017, while Electricity, Gas and Water Supply slowed down to 8.5 percent from its 25.4 percent growth in 2016.  Mining and Quarrying contracted by 26.1 percent in 2017, a reversal from its 20.4 percent growth in 2016.
 
Services slid to 5.8 percent from 6.1 percent in 2016, as most of its subsectors slowed down in 2017, except for Real Estate, Renting and Business Activities and Public Administration and Defense; Compulsory Social Security. In 2017, Real Estate, Renting and Business Activities expanded from 5.6 percent to 7.5 percent and Public Administration and Defense from 5.7 percent to 6.4 percent.  The slow growth in the Service sector was due to the deceleration of the following subsectors:  Transportation, Storage and Communication at 3.9 percent from 5.0 percent; Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods at 4.8 percent from 5.8 percent; Financial Intermediation at 6.0 percent from 6.7 percent; and Other Services at 7.7 percent from 8.2 percent.
 
Agriculture, Hunting, Forestry and Fishing expanded to 3.9 percent in 2017 from its previous year’s 0.7 percent growth.  Agriculture and Forestry accelerated to 4.1 percent, higher by 3.2 percentage points than its 0.9 percent growth in 2016.  Fishing rebounded from a decline of 0.4 percent in 2016 to 2.9 percent in 2017.
 
Industry contributed most to the region’s overall growth rate with 6.4 percentage points followed by Services with 2.3 percentage points and Agriculture, Hunting, Forestry and Fishing at 0.6 percentage point.
 
 
CALABARZON economy accelerates in 2017
 
The economy of CALABARZON accelerated to 6.7 percent in 2017 as compared with the 4.8 percent growth in 2016. The region’s higher growth was brought about by the accelerated growth of the Industry sector driven by Manufacturing and Construction.
 
The share of Industry to the region’s economy remained the highest among the three (3) major sectors at 61.9 percent followed by Services at 33.0 percent. Meanwhile, Agriculture, Hunting, Forestry and Fishing accounted for 5.1 percent of the region’s Gross Regional Domestic Product (GRDP) in 2017.
 
Industry grew by 7.7 percent in 2017, faster than the 3.6 percent growth in 2016.  The faster growth was driven by Manufacturing with 7.3 percent growth and Construction with 15.9 percent, both faster from the respective growth of 3.7 percent and 1.0 percent in 2016. Likewise, Electricity, Gas and Water Supply contributed to the growth of Industry with 3.4 percent growth during the period, although slower than the previous year’s 6.7 percent. On the other hand, MAQ rebounded to 1.0 percent growth from a 1.8 percent decline in 2016.
 
Meanwhile, Services grew by 6.0 percent in 2017 as compared to the 7.3 percent in 2016. All subsectors expanded during the period and contributed positively to the entire Services: Real Estate, Renting and Business Activities grew by 6.9 percent; Other Services, by 8.5 percent; Trade, by 4.1 percent; Finance by 7.4 percent; Transportation, Storage and Communication, by 3.7 percent; and Public Administration and Defense, by 8.0 percent.
 
On the other hand, Agriculture, Hunting, Forestry and Fishing recorded a 0.6 percent decline in 2017 from a 3.4 percent growth in 2016. This is attributed to the slower growth recorded in Agriculture and Forestry from 4.6 percent in 2016 to 0.8 percent in 2017 and the decline in Fishing by 5.4 percent in 2017.
 
Of the total 6.7 percent growth in 2017, Industry remained the largest contributor to the growth with 4.7 percentage points followed Services by 2.0 percentage points. Agriculture, Hunting, Forestry and Fishing pulled down the economic performance of the region by 0.03 percentage point.
 
 
MIMAROPA’s economy grows in 2017
 
The GRDP of MIMAROPA grew by 6.2 percent in 2017. This was higher than the 2.6 percent growth recorded in 2016. The performance of MIMAROPA’s economy was attributed to the improvement of all the major economic sectors.
 
Agriculture, Hunting, Forestry, and Fishing which accounted for 20.1 percent of the region’s economy, rebounded to 3.0 percent in 2017, from a decline of 6.8 percent in 2016. Agriculture and Forestry recorded 4.4 percent growth in 2017, a turnaround from the 4.1 percent drop in 2016. Fishing in 2017 continued to decline by 1.9 percent, although at a slower pace than last year’s 14.8 percent decline.
 
Industry, which shared 32.9 percent, accelerated to 4.8 percent in 2017 from 2.0 percent in 2016. The growth was brought about by Construction which grew faster by 17.3 percent than the 0.5 percent growth in the previous year. Electricity Gas and Water Supply likewise accelerated to 14.8 percent in 2017 from 14.6 percent in 2016. Manufacturing also contributed positively to Industry growth although the 4.9 percent growth was slower than the 8.5 percent recorded in 2016. Meanwhile, Mining and Quarrying contracted by 0.2 percent from 0.6 percent growth in 2016.
 
Services, accounting for 47.0 percent to MIMAROPA’s economy, grew faster by 8.7 percent in 2017 from 7.9 percent in 2016. Four (4) of its six (6) sub-industries registered accelerated growth in 2017. This included Other Services, with 12.5 percent as compared to 8.8 percent in 2016; Financial Intermediation, 12.1 percent from 9.3 percent; Public Administration and Defense, Compulsory Social Security, 7.8 percent from 7.1 percent; and Transportation, Storage and Communication, 7.3 percent from 7.1 percent growth in the previous year. Meanwhile, Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods and Real Estate, Renting and Business Activities also contributed positively to growth but at a slower pace.
 
Services remained the largest contributor to the growth of MIMAROPA’s economy accounting for 4.0 percentage points to the region’s 6.2 percent growth in 2017. This was followed by Industry with 1.6 percentage points and Agriculture, Hunting, Forestry and Fishing with 0.6 percentage point.
 
 
Bicol Region’s economy grows by 5.1 percent in 2017
 
The economy of the Bicol region posted a 5.1 percentgrowth in 2017, albeit slightly slower than the 5.5 percent growth recorded in 2016.
 
Services and Agriculture, Hunting, Forestry and Fishing contributed mainly to the growth of the region in 2017.
 
Services remained to account the largest share to the region’s economy at 57.6 percent followed by Industry at 22.7 percent and Agriculture, Hunting, Forestry and Fishing at 19.6 percent.
 
Agriculture, Hunting, Forestry and Fishing rebounded to 2.6 percent growth in 2017 from a 0.1 contraction in 2016 due to the 6.5 percentage points expansion in Fishing. Moreover, Agriculture and Forestry accelerated to 2.8 percent from 1.4 percent in 2016.
 
Industry slowed down to 3.6 percent in 2017 from 7.4 percent in 2016. Except for Electricity, Gas and Water Supply which contracted by 0.2 percent, all subsectors posted decelerated growth. Mining and Quarrying grew by 5.5 percent in 2017. Meanwhile, Construction posted 5.1 percent growth from 5.5 percent in 2016 and Manufacturing slowed down 12.1 percent in 2016 to 3.3 percent in 2017.
 
Services decelerated to 6.5 percent in 2017 from 6.9 percent in 2016. Other Services grew by 10.4 percent in 2017 from 9.3 percent in the previous year. Public Administration and Defense accelerated to 6.7 percent from 6.0 percent growth in 2016. Likewise, Real Estate, Renting and Business Activities grew faster at 5.4 percent from 1.9 percent growth in the previous year.
 
Meanwhile, Financial Intermediation posted a 7.0 percent growth, a slowdown from 11.2 percent recorded in the previous year. Trade as well as Transportation, Storage and Communication also slowed down to 4.2 percent and 4.0 percent in 2017 from 6.7 percent growth both in 2016.
 
Services was the biggest contributor to the Bicol Region’s economic performance in 2017 accounting to 3.7 percentage points of the total 5.1 percent growth. Meanwhile, Industry and Agriculture, Hunting, Forestry and Fishing contributed 0.8 percentage point and 0.5 percentage point, respectively.
 
 
Economy of Western Visayas grew at 8.4 percent
 
Western Visayas’ economy in 2017 accelerated to 8.4 percent compared with the 5.9 percent growth in 2016. The higher growth rate was due to the recovery of the Agriculture, Hunting, Forestry and Fishing sector and faster growth of the Services sector despite the slowdown of the Industry sector.
  
Of the 8.4 percent economic growth in the region, Agriculture, Hunting, Forestry and Fishing’s share to the region’s total output is 1.6 percentage points, an increment of 2.0 from a negative 0.4 in 2016.  Services contributed 4.7 percentage points, an increase of 0.9 points compared in the previous year, while Industry’s share is 2.1 percentage points, lower than the 2.4 figure in 2016.
 
Agriculture, Hunting, Forestry and Fishing sector rebounded from a negative 1.8 percent in 2016 to 8.8 percent growth rate in 2017. Agriculture, Hunting and Forestry, which accounted to 81.5 percent share to Agriculture, Hunting, Forestry and Fishing, grew by 11.6 percent from a negative 1.6 percent. Fishing output improved from a negative 2.6 percent to smaller negative 1.8 percent.
 
Services accelerated to 8.2 percent, an increment of 1.5 percentage points from 6.7 percent in 2016. All subsectors grew except Transport, Storage and Communication and Other services with decelerated growth rates of 5.8 percent and 9.2 percent, respectively. Financial Intermediation was the fastest growing subsector with 14.4 percent from 4.9 percent in 2016. Real Estate, Renting and Business Activities likewise grew at 7.2 percent, higher than the 3.7 percent growth in the previous year. Trade and Repair of Motor Vehicles grew at 6.5 percent from 6.2 percent and Public Administration and Defense posted accelerated growth of 7.3 percent from 6.7 percent in 2016.
 
The Industry sector posted a slower growth of 8.8 percent compared to its growth rate of 10.6 percent in 2016. The output of this sector was pulled down by the slowing down of Construction to 4.5 percent compared to the previous year’s growth of 10.0 percent. Likewise, Electricity, Gas and Water Supply decelerated to 21.8 percent from the 22.3 percent growth in 2016. On the contrary, Mining and Quarrying output continued to be the subsector with the highest growth rate at 36.7 percent, which still grew faster compared with the previous year’s level of 34.1 percent.
 
Services remained to be the top contributor to the region’s economy with a share of 57.3 percent. Industry shared 24.1 percent and Agriculture, Hunting, Forestry and Fishing accounted 18.6 percent of the region’s economy in 2017.
   
 
Central Visayas economy continues to grow at a slower pace
 
Central Visayas’ economy slowed down to 5.1 percent in 2017 from 8.6 percent in 2016. This was attributed to the slowdown of the Industry sector to 3.0 percent in 2017 from 14.1 percent in 2016.
 
Services sustained the largest share in the region’s economy accounting to 56.3 percent in 2017, slightly higher than its share in 2016 at 55.6 percent. Likewise, Agriculture, Hunting, Forestry and Fishing had a higher share with 5.5 percent in 2017 from 5.4 percent in 2016. On the other hand, Industry decreased its share to 38.2 percent in 2017 from 38.9 percent in 2016.
 
Services accelerated to 6.3 percent in 2017 from 6.0 percent in 2016. Public Administration and Defense accelerated to 8.4 percent in 2017. Real Estate, Renting and Business Activities grew to 7.9 percent. Financial Intermediation expanded to 7.7 percent in 2017. Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods expanded by 5.2 percent in 2017. On the other hand, the growth of Other Services and Transportation, Storage and Communication slowed down to 5.8 percent and 5.2 percent, respectively.
 
Industry decelerated to 3.0 percent in 2017 from 14.1 percent in 2016. The deceleration was brought about by Construction that contracted by 0.9 percent in 2017. Mining and quarrying also suffered a decline by 5.5 percent, while Electricity, Gas and Water Supply dipped by 0.9 percent. Manufacturing, on the other hand, grew at a slower pace with 5.5 percent.
 
Agriculture, Hunting, Forestry and Fishing rebounded to a growth of 7.0 percent in 2017 from a negative 0.2 percent in 2016. This was due to the turnaround of Agriculture and Forestry to 9.6 percent growth in 2017 from negative 1.0 percent in 2016. While Fishing, contracted by 8.5 percent in 2017 from 4.7 percent in 2016.
 
Service sector contributed most to the region’s overall growth rate with 3.5 percentage points followed by the Industry with 1.2 percentage points and Agriculture, Hunting, Forestry and Fishing at 0.4 percentage point.
 
 
Eastern Visayas economy slows down in 2017
 
The economy of Eastern Visayas slowed down to 1.8 percent in 2017. The deceleration was due to the contraction of the Industry sector.
 
Industry and Services equally shared the bulk of the region’s economy at 42.6 percent and 42.5 percent, respectively. Agriculture, Hunting, Forestry and Fishery had the smallest share at 14.9 percent.
 
Industry contracted by 1.7 percent in 2017 from a 19.5 percent growth posted in the previous year. This was attributed to the decline of the three subsectors: Electricity, Gas and Water Supply by 3.1 percent, Construction by 21.0 percent, and Mining and Quarrying by 12.3 percent. On the other hand, Manufacturing, which accounts for 48.2 percent of the Industry sector, grew by 13.2 percent.
 
Services grew by 6.2 percent in 2017, slower than the 8.4 percent growth in 2016. Transportation, Storage and Communication, one of the main drivers of the Services sector, grew by 2.3 percent. This was lower than previous year’s growth of 8.8 percent. Trade and Financial Intermediation posted decelerated growth rates of 4.9 percent and 10.3 percent, respectively. Other Services also slowed down by 8.7 percent as compared with the 10.8 percent growth posted in the previous year. On the other hand, Real Estate, Renting and Business Activities and Public Administration and Defense posted accelerated growth rates of 6.2 percent and 6.8 percent, respectively. 
 
AHFF managed to grow, albeit slower at 0.1 percent in 2017 as compared with the 2.4 percent growth posted in the previous year. Agriculture and Forestry grew by 2.8 percent. Fishing, however, declined by 10.1 percent.
 
Services and AHFF contributed 2.5 and 0.02 percentage points, respectively, to Eastern Visayas’ economic performance in 2017. However, Industry pulled down the growth by 0.8 percentage point.
 
 
Zamboanga Peninsula's economy grows at a slower pace in 2017
 
Zamboanga Peninsula’s economy posted a slower growth of 2.3 percent in 2017 from 4.6 percent in 2016. The deceleration was due to the contraction of Agriculture, Hunting, Forestry and Fishing and Industry in the region.
 
Services accounted for the largest share of the region’s economy. Its share increased from 43.1 percent in 2016 to 44.8 percent in 2017. Meanwhile, the shares of Industry and Agriculture, Hunting, Forestry and Fishing were 37.8 percent and 17.4 percent, respectively.
 
Services contributed the most to the region’s total economic growth with 2.7 percentage points. Industry and Agriculture, Hunting, Forestry and Fishing pulled down the region’s total GDP by 0.3 percentage point and 0.1 percentage point, respectively.
 
Services accelerated to 6.3 percent in 2017 from 6.1 percent in 2016. This was due to the improved performance of the Other Services, with 10.4 percent growth. Other Services include Education, Health and Social Work, Hotels and Restaurants, Sewage and Refuse Disposal Sanitation and Similar Activities, Recreational, Cultural and Sporting Activities, and Other Service Activities. All other sub-industries under Services also contributed positively to the growth of the Services industry in the region: Public Administration and Defense with 7.8 percent growth; Financial Intermediation with 7.6 percent growth; Transportation, Storage and Communication with 4.9 percent growth; Trade and Repair of Motor Vehicles, Personal and Household Goods with 4.0 percent growth; and Real Estate, Renting and Business Activities with 1.8 percent growth.
 
Industry, on the other hand, contracted by 0.8 percent in 2017 as compared with the 7.9 percent growth recorded in 2016. The contraction was due to the decline in Construction by 9.4 percent in 2017. Meanwhile, the following sub-industries contributed positively to the growth of Industry in the region: Mining and Quarrying with accelerated growth of 11.6 percent from 4.3 percent in 2016; Manufacturing with 3.2 percent growth from 1.6 percent last year; and Electricity, Gas and Water Supply with 0.4 percent, although a deceleration from previous year’s 2.1 percent.
 
Agriculture, Hunting, Forestry and Fishing continued to decline in 2017 with 0.4 percent drop in 2017, although at a slower rate than the 5.0 percent drop in 2016. Pulling down the growth of Agriculture, Hunting, Forestry and Fishing was Fishing, which accounted for 5.0 percent of the region’s economy. It further declined by 9.4 percent in 2017 from a 7.7 percent drop in 2016. Agriculture and Forestry, on the other hand, rebounded from a decline of 3.7 percent in 2016 to 3.8 percent growth in 2017.
 
 
Northern Mindanao’s economy posts 5.9 percent growth in 2017
 
The economy of Northern Mindanao posted a 5.9 percent growth in 2017, slower as compared with the 7.5 percent growth recorded in 2016. Among the major economic sectors, Services had the fastest growth at 6.6 percent, lower than previous year’s growth of 8.3 percent. Industry decelerated by 5.9 percent compared with the 9.8 percent growth in 2016. Agriculture, Hunting, Forestry and Fishing grew by 4.7 percent, faster than 2.4 percent growth in the previous year.
 
Agriculture, Hunting, Forestry and Fishing contributed 1.0 percentage point to the 5.9 percent growth of economic performance of the region in 2017. Agriculture and Forestry which accounted for 87.5 percent of the total AHFF sector increased by 5.7 percent. On the other hand, Fishing declined by 1.6 percent. This was driven by the decline in tiger prawn and seaweed production.
 
Industry contributed 2.1 percentage points to the 5.9 percent growth of the region’s economy. Manufacturing, which remained the highest contributor to the region’s economy grew by 5.5 percent growth. Electricity, Gas, and Water Supply and Mining and Quarrying, posted double digit growth of 13.8 percent and 10.5 percent, respectively. On the other hand, Construction expanded by 2.2 percent growth in 2017.
 
Services remained as the main driver of the region’s economy, accounted for 43.4 percent. The Services contributed 2.8 percentage points to the 5.9 percent growth of the region’s economy. Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods which shared 36.4 percent of the total Services grew by 5.9 percent. The rest of the industries also posted positive growth: Other Services with 8.0 percent, Transportation, Storage and Communication with 7.5 percent, Real Estate, Renting and Business Activities with 5.1 percent, Financial Intermediation with 7.6 percent, Public Administration and Defense; Compulsory Social Security with 5.4 percent.
 
 
Davao Region’s economy expands by 10.9 percent in 2017
 
The economy of Davao Region grew by 10.9 percent in 2017, the second fastest growth among the 17 regions in the country. The growth was higher than the 9.5 percent growth recorded in 2016.
 
Services continued to account for the biggest share to the region’s economy at 49.6 percent. Industry followed with a 39.2 percent share; and Agriculture, Hunting, Forestry and Fishing with 11.2 percent share. The percentage share of the Industry sector to the total economy of the region increased, while Service sector and Agriculture, Hunting, Forestry and Fishing shares declined. 
 
Industry posted a 19.1 percent growth on account to the improved performance of Construction and Manufacturing. Construction accelerated to 38.2 percent, from 24.0 percent in 2016. Manufacturing likewise grew by 11.4 percent, from 11.3 percent in 2016. Mining and Quarrying grew by 18.2 percent, from 15.7 percent in the previous year. Meanwhile, Electricity, Gas and Water Supply decelerated to 3.8 percent from 43.5 percent in 2016.  
 
Services grew by 7.3 percent in 2017, slower than the 8.0 percent growth recorded in 2016. All subsectors grew and contributed positively to growth: Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods, grew by 8.8 percent; Other Services, grew by 6.0 percent; Transportation, Storage and Communication, by 7.1 percent; Real Estate, Renting and Business Activities, by 6.8 percent; Financial Intermediation, by 6.2 percent; and Public Administration and Defense; Compulsory Social Security, by 5.6 percent.
 
Agriculture, Hunting, Forestry and Fishing rebounded to 1.7 percent, from its 1.3 percent decline in 2016. The sector’s growth was brought about by the Agriculture and Forestry which rebounded to 1.9 percent, from its 1.4 percent decline the previous year. Fishing further declined to 3.6 percent, from 0.6 percent contraction in 2016.
 
The Industry sector contributed the biggest share to the region’s economic growth in 2017 at 7.0 percentage points. Meanwhile, Service sector and Agriculture, Hunting, Forestry and Fishing shared 3.8 percentage points and 0.2 percentage point, respectively to the total region’s growth.
 
 
SOCCSKSARGEN’s economy speeds up as AHFF recovers
 
SOCCSKSARGEN’s economy expanded by 8.2 percent in 2017, faster than the 4.9 percent growth in 2016. The expansion of the regional economy was driven by the recovery of Agriculture, Hunting, Forestry and Fishing.
 
Services accounted for the largest share of the region’s total output at 40.2 percent followed by Industry at 36.8 percent. Agriculture, Hunting, Forestry and Fishing had the smallest share at 23.0 percent.
 
Services sustained its 7.6 percent growth as four (4) of its subsectors accelerated in 2017. Other Services and Trade recorded higher growths in 2017, from 9.4 percent to 9.8 percent, and from 7.4 percent to 8.0 percent, respectively. Public Administration and Defense from 5.6 percent to 6.2 percent and Transportation, Storage and Communication from 4.5 percent to 6.1 percent also outpaced their previous performances. Financial Intermediation expanded by 7.6 percent in 2017, slower than the 9.9 percent recorded in 2016. Real Estate, Renting and Business Activities decelerated from 8.4 percent in 2016 to 6.5 percent in 2017.
 
Industry grew by 8.4 percent in 2017, slower than the 13.1 percent growth posted in 2016. Manufacturing, which accounted for the bulk of the Industry, grew from 8.4 percent in 2016 to 10.3 percent in 2017. Mining and Quarrying likewise accelerated from 7.2 percent to 8.0 percent. Construction also expanded though at a slower pace from 23.9 percent in 2016 to 10.4 percent in 2017. On the other hand, Electricity, Gas and Water Supply declined by 7.0 percent in 2017, a reversal from the 24.4 percent growth a year ago.
 
Meanwhile, Agriculture, Hunting, Forestry and Fishing rebounded from a 9.5 percent decline in 2016 to an 8.7 percent growth in 2017. This is due to the recovery of Agriculture and Forestry with an 8.2 percent growth in 2017 from a 6.8 percent contraction in 2016. Fishing likewise bounced back from a 20.9 percent slump in 2016 to an 11.2 percent growth in 2017.
 
Industry and Services contributed the highest to the total regional economic growth in 2017, both with 3.1 percentage points. Agriculture, Hunting, Forestry and Fishing contributed 2.0 percentage points.
 
 
Caraga’s economy continues to expand in 2017
 
Caraga’s economy grew by 4.3 percent in 2017. This is higher than the 2.0 percent growth recorded in 2016. The Agriculture, Hunting, Forestry and Fishing and Industry both recovered from their respective declines in 2016 while Services continued to expand in 2017.
 
Services remained to account for the largest share in the region’s economy with 49.7 percent. This was followed by Industry with 34.3 percent and Agriculture, Hunting, Forestry and Fishing with 16.0 percent.
 
Services continued to expand in 2017 with 7.2 percent growth. Other Services, contributed the most to growth as it grew by 10.9 percent. Other subsectors also expanded during the period: Financial Intermediation, by 8.1 percent; Public Administration and Defense; Compulsory Social Security, by 7.0 percent; Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods, 5.8 percent; Real Estate, Renting and Business Activities, by 5.7 percent; and Transportation, Storage and Communication, 5.5 percent.
 
Industry rebounded with a 1.8 percent growth in 2017 from a decline of 3.8 percent in 2016. The growth was contributed by the expansion in Construction by 14.3 percent and Manufacturing by 5.0 percent. Mining and Quarrying and Electricity, Gas and Water Supply both pulled down the growth of Industry with a contraction of 4.3 percent and 6.1 percent, respectively.
 
Meanwhile, Agriculture, Hunting, Forestry and Fishing grew by 0.9 percent in 2017 from a dip of 1.6 percent in 2016. Both Agriculture and Forestry, and Fishing posted growth of 1.0 percent and 0.3 percent, respectively.
 
Of the 4.3 percent growth of Caraga in 2017, Services contributed 3.5 percentage points. Industry and Agriculture, Hunting, Forestry and Fishing contributed 0.6 percentage point and 0.2 percentage point, respectively.
 
 
ARMM’s economy expands by 7.3 percent in 2017
 
The economy of ARMM accelerated to 7.3 percent in 2017 from the 0.4 percent growth in 2016. The improved performance of the region’s economy was mainly due to the recovery of the Agriculture, Hunting, Forestry and Fishing sector./div>
 
Agriculture, Hunting, Forestry and Fishing continued to account the largest share to the region’s economy at 56.4 percent. Services and Industry accounted for 37.7 percent and 5.9 percent, respectively.
 
The Agriculture, Hunting, Forestry and Fishing rebounded to 7.7 percent from the 2.9 percent contraction in 2016. Agriculture and Forestry recovered from a 0.9 percent decline in 2016 to 8.7 percent growth in 2017. Similarly, Fishing turned around from 8.7 percent drop in 2016 to 4.5 percent growth in 2017.
 
Services grew faster from 5.5 percent in 2016 to 6.3 percent in 2017. All subsectors contributed positively to the entire sector; Transportation, Storage and Communication grew by 3.8 percent; Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods by 6.0 percent; Financial Intermediation by 8.7 percent; Real Estate, Renting and Business Activities (RERBA) by 2.0 percent; Public Administration and Defense by 5.9 percent; and Other Services by 12.1 percent.
 
Industry registered a 10.8 percent growth in 2017 faster than the 2.5 percent growth in 2016. Mining and Quarrying and Electricity, Gas and Water Supply posted a double-digit growth of 31.9 percent and 16.3 percent, respectively. Likewise, Manufacturing and Construction contributed positively to the growth but at a slower pace of 4.0 percent and 2.5 percent, respectively.
 
Agriculture, Hunting, Forestry and Fishing contributed most to the region’s overall growth with 4.3 percentage points. This was followed by Services with 2.4 percentage points and Industry with 0.6 percentage point.
 
 
Economic Performance by Industry
 
 
Agriculture, Hunting, Forestry and Fishing recovers
 
Agriculture, Hunting, Forestry and Fishing grew by 4.0 percent in 2017, a reversal from a decline of 1.2 percent in 2016. Among the three major industries, Agriculture, Hunting, Forestry and Fishing’s share to total GDP remained the smallest at 8.5 percent.
 
In 2017, most regions posted accelerated growth with the exception of NCR and Eastern Visayas which slowed down to 0.7 percent and 0.1 percent, respectively. Meanwhile, CALABARZON declined by 0.6 percent.
 
 
Figure 2. Growth Rates of Regional Economies in AHFF:
2015-2016 and 2016-2017 (at Constant 2000 Prices, in Percent)
 
 
 
 
Central Luzon continued to account for the largest share of the country’s AHFF with a 16.3 percent share in 2017. It was followed by CALABARZON with 10.0 percent and Northern Mindanao with 9.5 percent. NCR continued to account for the smallest share to AHFF at 0.7 percent.
 
The top contributor to the AHFF growth was Western Visayas with a contribution of 0.7 percentage point followed by Central Luzon and SOCCSKSARGEN, each with a contribution of 0.6 percentage point. On the other hand, CALABARZON and Zamboanga Peninsula pulled down the growth with their negative contributions.
 
AHFF contributed 0.3 percentage point to the 6.7 percent GDP growth in 2017.
 
 
 
Industry slows down  
 
Industry slowed down from 8.0 percent in 2016 to 7.2 percent in 2017, accounting for 34.0 percent of the country’s total GDP. 
 
Among the 17 regions in the country, six (6) regions recorded expansions, all of which posted accelerated growth rates.
 
CAR recorded the biggest acceleration from a 0.3 percent decline in the previous year to 18.6 percent growth in 2017. Other regions with faster growth rates include: Davao Region, Cagayan Valley, ARMM, CALABARZON, MIMAROPA, and Caraga. Regions which expanded but at slower pace were: Central Luzon, Western Visayas, SOCCSKSARGEN, Ilocos Region, Northern Mindanao, Bicol Region, Central Visayas, and NCR. On the other hand, Zamboanga Peninsula and Eastern Visayas declined.
 
CALABARZON accounted for the bulk of the country’s total Industry output at 30.6 percent in 2017. It was followed by NCR with a 19.0 percent share and Central Luzon with a 13.8 percent share.
 
Figure 3. Growth Rates of Regional Economies in Industry:
2015-2016 and 2016-2017 (at Constant 2000 Prices, in Percent)
 
 
 
 
CALABARZON was the top contributor to the 7.2 percent growth of the Industry sector in 2017 with 2.4 percentage points followed by Central Luzon and Davao Region with 1.8 percentage points and 0.8 percentage points, respectively.
 
Industry contributed 2.4 percentage points to the GDP growth of 6.7 percent in 2017, lower than its contribution of 2.7 percentage points in 2016.
 
 
Services grows but at a slower pace
 
Services grew from 7.5 in 2016 to 6.8 percent in 2017, accounting for 57.5 percent of the country’s GDP.
 
All 17 regions in the country expanded, six (6) of which grew faster. The regions which posted accelerated growth rates were: MIMAROPA, Western Visayas, SOCCSKSARGEN, Central Visayas, Zamboanga Peninsula, and ARMM.
 
 
Figure 4. Growth Rates of Regional Economies in Services:
2015-2016 and 2016-2017 (at Constant 2000 Prices, in Percent)
 
 
 
 
NCR continued to have the largest share to the total output of Services at 52.1 percent. CALABARZON ranked second with a 9.6 percent share, and Central Luzon was third with a 6.4 percent share.
 
NCR continued to be the biggest contributor with 3.7 percentage points to the 6.8 percent growth of Services in 2017. All the other regions posted less than one percentage point to the growth of Services.
 
Among the three major industries, Services contributed the most to the 6.7 percent GDP growth in 2017 with 3.9 percentage points.
 
 
Per Capita GRDP
 
 
Real per capita GRDP of NCR nearly three times the national per capita GDP
 
The average real per capita GDP of the Philippines increased by 5.0 percent or from PhP 78,676 in 2016 to PhP 82,592 in 2017.
 
NCR posted the highest per capita GRDP at PhP 244,453 in 2017 which is 5.0 percent higher than in 2016 and nearly three times the national average. Aside from NCR, CALABARZON and CAR posted real per capita GRDP higher than the national average at PhP 99,328 and PhP 83,044, respectively.
 
 
 Figure 5. GRDP Per Capita Index with Reference to the National Average
2016 and 2017 (at Constant 2000 Prices)
 
 
 
 
CAR registered the highest increase in per capita at 10.1 percent or from PhP 75,401 in 2016 to PhP 83,044 in 2017. It was followed by Davao Region at 8.9 percent and Central Luzon at 7.7 percent.
 
NCR posted the highest per capita index relative to the national average at 296.0 in 2017, followed by CALABARZON at 120.3 and CAR at 100.5. All other regions have indices lower than the national average.

 

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