Tag: Association of Southeast Asian Nations (ASEAN)

Nomura Says Philippine Economic Growth May Fall Below 4% In The Near Term

Nomura Says Philippine Economic Growth May Fall Below 4% In The Near Term

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By pointing to the effects of the flood control corruption scandal as well as other factors, Nomura Global Markets Research stated that the economic growth of the Philippines may fall below 4% in the near term, according to a BusinessWorld news report.

To put things in perspective, posted below is an excerpt from business report of BusinessWorld. Some parts in boldface…

PHILIPPINE economic growth may fall below 4% in the near term as the billion‑peso flood control scandal drags on, affecting government spending and dampening consumption and sentiment, Nomura Global Markets Research said.

“I think going forward, these spillover effects (from the graft scandal) will also expand,” Nomura Chief Association of Southeast Asian Nations (ASEAN) Economist Euben Paracuelles told Money Talks with Cathy Yang on One News on Thursday.

The scandal, which curbed state spending last year, is expected to dampen household consumption and business investment amid weaker sentiment, he added.

“If the drag is now sort of becoming more broad-based, not just the drop in government spending, you’ll see growth coming potentially below 4%, at least in the near term,” he said.

Nomura now expects the gross domestic product (GDP) to expand by 5.3% in 2026 from 5.6% previously. This is still within the government’s recently revised 5-6% target this year.

Economy Secretary Arsenio M. Balisacan earlier said growth targets were lowered through 2027, after GDP growth likely slowed to 4.8-5% in 2025 amid the flood control controversy.

The government cut its 2026 projection to 5-6% and to 5.5-6.5% for 2027 from the earlier 6-7% range. The 2028 target was retained at 6-7%.

Mr. Paracuelles anticipates that the government will roll out catch-up spending plans, possibly in the second half of the year.

Meanwhile, the Philippines may earn a credit rating upgrade if the government manages to resolve the flood control corruption issue within a year, Mr. Paracuelles said.

“The key for me is 12 months from here, when they need to decide on whether they need to upgrade the Philippines, I think it’s still quite uncertain,” he said.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the economic growth of the Philippines is indeed slowing down right now? Would you be surprised to see the nation’s economic growth reach less than 4%? Do you think the officials of the Department of Public Works and Highways (DPWH) is working sufficiently to restore its credibility?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

America Eyes Expansion In The Philippines As Demand For Food Intensifies

America Eyes Expansion In The Philippines As Demand For Food Intensifies

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Following its aggressive move to export more fresh fruits to the Philippines, the United States under President Donald Trump will ramp up its agricultural exports to the country in connection with strong Filipino demand for food, according to a Manila Bulletin news report.

For the newcomers reading this, not even the softened economic growth of the Philippines dampened the Filipinos’ rising demand for food and the young population is a factor behind it. America sees opportunities to export more meat, seafood and other agricultural products to the Philippines.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

The United States (US) is gearing up to increase its agricultural exports to the Philippines, banking on the country’s growing food demand and potential economic growth.

In a Dec. 17 report, the US Department of Agriculture (USDA) said the country was the ninth-largest market for US exporters last year, with agricultural goods valued at $3.5 billion.

The foreign agency expects continued growth in the years to come, especially given the country’s fast-growing economy, which ranked third among the Association of Southeast Asian Nations (ASEAN) countries last year.

While it noted that the Philippine economy “continues to face risks from geopolitical tensions and trade policy uncertainties,” the USDA said it will likely remain resilient in the coming year.

The International Monetary Fund (IMF) earlier lowered its forecast of the country’s gross domestic product (GDP) growth from 5.4 percent to 5.1 percent this year, before rebounding to 5.6 percent in 2026.

The USDA also cited the easing of inflation and income inequality, driven by a growing population, as fueling demand for more agricultural commodities.

“With its rapid population growth, the Philippines has a young population that increasingly demands imported agricultural products,” it said.

According to the USDA, these market dynamics provide opportunities for US agricultural product exporters to broaden their presence in the country.

The report said products that have the “greatest potential for expansion” include dairy, poultry, ethanol (non-beverage), pork, beef, processed potatoes, confectionery and snack foods, and seafood.

Last year, the US was the top single-country supplier to the Philippines, with a market share of 18 percent, behind ASEAN at 31 percent.

The USDA noted that despite this strong performance, US exporters remain at a disadvantage relative to other exporters due to logistical and tariff challenges.

In this case, members of ASEAN benefit from lower tariffs and cheaper shipping costs, whereas the US is subject to slightly higher taxes under the most-favored nation tariff rates.

On top of this, the USDA said exporters also face higher costs due to government policies such as the sanitary and phytosanitary import clearance (SPSIC)—a document required before shipment of any agricultural product to the Philippines.

“SPSICs are valid for 20 to 90 days, depending on the commodity. The limited validity period adds costs and complicates the timing of exports, among other factors,” the report read.

In this view, the USDA emphasized the need for exporters to keep up to date with market trends to maintain the competitiveness of American products in the local market.

For instance, it noted that young Filipinos are more open to new flavors and experiences, which suppliers could consider when promoting their products.

For the full report of the US Department of Agriculture related to the news story, click here.

Let me end this piece by asking you readers: What is your reaction to this development? Are you looking forward to more American agricultural products plus seafood in the local markets? Do you think exporters of America are on the verge of becoming more competitive globally over the next 24 months?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

US Mounts Offensive To Smash China’s Fruit Market Dominance In The Philippines

US Mounts Offensive To Smash China’s Fruit Market Dominance In The Philippines

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Were you able to spot and buy fruits imported from America at the local markets here in the Philippines over the past month? The United States will soon introduce new varieties of fruit to the Philippines in what is seen as a serious effort to break China’s dominance, according to a news report by the Manila Bulletin.

To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…

The United States (US) aims to introduce new fruit varieties to the Philippines to boost its share of the import market, which has long been dominated by China.

In a market brief published last week by the US Department of Agriculture (USDA), American exporters were urged to introduce innovative fruit varieties to the country to sustain the momentum in apple exports.

The USDA expects exports of fresh fruits to fall by at least seven percent to around $13 million this year from $14 million in 2024.

Despite this, the foreign agency said shipments of apples to the country will grow this year, driven by the popularity of the Ambrosia, Cosmic Crisp, and SugarBee varieties. These varieties were introduced to the Philippine market last year and have since gained traction among consumers.

“Consumers are eager to try new-to-market fruit varieties and share their experiences on social media,” the report read.

The USDA noted that only bananas and papayas are harvested year-round in the country, creating an opportunity for American exporters to fill market gaps year-round.

“The United States is widely recognized for consistently supplying premium-quality fruit, and US exporters are encouraged to leverage this reputation,” it said.

The USDA, citing Philippine government data, expects fresh fruit imports this year to grow by 25 percent to around $400 million, up from $321 million in 2024.

Last year, the US only accounted for a three percent share in the import market. Its main shipments were apples, cherries, grapes, oranges, strawberries, cranberries, blueberries, and peaches.

In contrast, China seized 72 percent of the market last year, with its main exports being apples, grapes, mandarins, oranges, and other citrus hybrids.

Also outperforming the US were South Africa and Australia with market shares of nine percent and eight percent, respectively.

With the exception of South Africa, the USDA noted that the dominance of regional suppliers is a result of better prices, largely driven by lower shipping costs and zero-tariff advantages under free trade agreements with the Association of Southeast Asian Nations (ASEAN).

“The Philippines does not have a preferential trade agreement with the United States or South Africa. As a result, MFN (most-favored-nation) tariff rates apply to fresh fruit imports from both countries,” the report read.

Let me end this post by asking you readers: What is your reaction to this recent development? Did you buy any fruits in the local market that were imported from the United States of America? Does the name or image of US President Donald Trump influence your decisions on buying American fruits locally? Apart from prices, how would you compare American fruits with the ones from China in terms of taste, texture and satisfaction?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

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Philippines At Risk Of Falling Behind Southeast Asian Neighbors Economically

Philippines At Risk Of Falling Behind Southeast Asian Neighbors Economically

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The 3rd quarter growth of only 4% the Philippines achieved has been on people’s minds a lot lately. As such, the country is at risk of falling behind its neighbors in Southeast Asia in terms of economic growth and gross domestic product (GDP) per capita, according to a BusinessWorld news report.  

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

The Philippine economy is at risk of further falling behind its Southeast Asian neighbors, an economist said, noting it may take two years to catch up with Vietnam and up to 70 years to catch up with Singapore.

“(T)he Philippines could find itself lagging behind if alleged public spending issues continue to divert attention and resources away from the structural reforms needed to accelerate economic development,” Bank of the Philippine Islands (BPI) Lead Economist Emilio S. Neri, Jr. said in a commentary on Wednesday.

In the third quarter, Philippine gross domestic product (GDP) grew by 4%, its slowest pace in over four years amid slower household and public infrastructure spending as the flood control scandal dampened investor and con-sumer sentiment.

In the nine months to September, GDP growth averaged 5%, putting the government’s 5.5%-6.5% full-year growth target further out of reach.

“The Philippine economy is growing, but not enough to close the economic gap with other countries,” Mr. Neri said.

He noted the Philippine GDP per capita is lower compared with other economies in the region. Citing International Monetary Fund (IMF) data, he said the Philippines’ GDP per capita stood at $4,078 in 2024.

“At the current growth rate, it would take the Philippines two years to catch up with the GDP per capita of Vietnam, 4 years with Indonesia, 14 years with Thailand, 26 years with Malaysia, and 70 years with Singapore, assuming their incomes remain stagnant. In reality, their GDP per capita continues to grow, which means the gap could persist or even widen,” Mr. Neri said.

The Philippines lagged behind Singapore which had a GDP per capita of $90,674 in 2024, followed by South Korea ($36,128), Japan ($32,498), China ($13,312), Malaysia ($12,540), Thailand ($7,491), Indonesia ($4,958) and Vietnam ($4,535).

“Before the pandemic, the Philippines had a higher GDP per capita than Vietnam, but has since been overtaken. At current trends, it would take the Philippines two years to catch up with Vietnam, but that gap could increase to 13 years by 2044,” Mr. Neri said.

The BPI economist said the Philippines needs structural reforms to accelerate growth in order to close the widening gap with its neighbors.

“The current economic model of the country is not enough, as shown by the country’s inability to grow faster than 6% in recent years,” he said.

Mr. Neri said the economy has been “too reliant” on consumer spending, driven by overseas Filipino worker (OFW) remittances and the business process outsourcing industry.

“There is a need to diversify its sources of growth. The economy must improve in terms of production, especially in agriculture and manufacturing, as they will allow the economy to be more self-sufficient and to reach foreign markets. These industries have been critical to Vietnam’s success and could play a similar role for the Philippines,” he said.

However, Mr. Neri said implementing these reforms will be hard if the government lacks focus.

“Public spending issues divert fiscal resources and policymaking focus away from long-term development priorities. Efforts to strengthen safeguards against potential issues in government spending are essential, enabling the country to work on structural reforms that could improve the economy,” he said.

Let me end this post by asking you readers: What is your reaction to this recent development? What do you think should the government do to accelerate economic growth?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

Nomura Sees 2025 Philippine Economic Growth Slowing Down To 4.7%

Nomura Sees 2025 Philippine Economic Growth Slowing Down To 4.7%

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In its latest economic report, Nomura Global Markets Research sees the economic growth of the Philippines slowing down to 4.7% this and they pointed to an expected decline in government spending, according to a news report by BusinessWorld.

To put things in perspective, posted below is an excerpt from the news report of BusinessWorld. Some parts in boldface…

PHILIPPINE ECONOMIC GROWTH may slow to 4.7% this year, as government spending is expected to further decline amid the corruption investigation in infrastructure projects, Nomura Global Markets Research said.

In a report dated Oct. 27, Nomura Chief ASEAN (Association of Southeast Asian Nations) Economist Euben Paracuelles and Macroeconomic Research Analyst Yiru Chen said the gross domestic product (GDP) forecast was slashed to 4.7% this year from 5.3% previously as downside risks increased due to the corruption scandal involving flood control projects.

“This pencils in GDP growth slowing to just 4% in the second half from 5.4% in the first half and is based on the assumption that the decline in government expenditures in September will worsen in the next 3-4 months,” they said.

Nomura’s latest forecast is below the government’s 5.5-6.5% GDP growth target for the year and is slower than the 5.7% growth in 2024.

“Taking into account the sharp drop in fiscal spending in September, we think the ‘bad scenario’ on the growth impact of the ongoing corruption scandal is materializing,” they said.

Third-quarter GDP data will be released on Nov. 7.

President Ferdinand R. Marcos, Jr. had flagged anomalous flood control projects during his State of the Nation Address in late July. This sparked several investigations into alleged corruption involving lawmakers, government officials, and private contractors.

Latest Treasury data showed government expenditures declined by 7.53% in September, worsening from the 0.7% drop in August, mainly due to lower spending by the Department of Public Works and Highways. Nomura also noted that government spending declined by 2.8% in the third quarter, a reversal of 1.6% growth in the second quarter.

“Excluding interest payments and debt servicing, expenditure growth slumped even more to -10.2% y-o-y (year on year) in September from -3.5% in August, the weakest since 2020. This suggests a relatively rapid deterioration in the pace of budget disbursements after President Marcos brought to light the corruption scandal of flood control projects,” they said.

Nomura also noted that the reallocation of funds to other types of capital expenditures such as school buildings has been “challenging” to implement.

“In addition, we incorporate some spillovers into other components of domestic demand, which were also evident in these previous episodes, including household consumption spending. Our forecast continues to take into account the impact of the US tariffs, which, as we have argued before, pose significant headwinds for goods exports,” they said.

Let me end this post by asking you readers: What is your reaction to this recent development? Do you think the GDP growth of the Philippines will end up below 5% for 2025 as a whole? Are you convinced that investigations and embarrassing details from flood control projects are turning away foreign investors already?  

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

Trump and Takaichi Reaffirm US-Japan Alliance in Tokyo

Trump and Takaichi Reaffirm US-Japan Alliance in Tokyo

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United States President Donald Trump and new Japanese Prime Minister Takaichi Sanae met in Tokyo yesterday and officially America and Japan reaffirmed its alliance, according to the English news report of NHK and other sources.

For the newcomers reading this, Takaichi was recently elected as the new Prime Minister of Japan while Trump arrived from Malaysia where he presided the formal signing of a peace declaration between Thailand and Cambodia, and reached trade agreements with some Southeast Asian nations. Trump and Takaichi both attended the ASEAN Summit in Malaysia.

To put things in perspective, posted below is an excerpt from NHK’s English news report. Some parts in boldface…

Japanese Prime Minister Takaichi Sanae and US President Donald Trump are taking part in a series of talks and appearances during their first summit in Tokyo.

Takaichi welcomed Trump at the State Guest House in Tokyo Tuesday morning. They received a salute from a ceremonial guard of honor with Japan’s Self-Defense Forces. Soon after, the two leaders sat down for their first face-to-face meeting.

Takaichi said, “I am determined to restore Japan’s dynamic diplomacy to protect Japanese national interests. I am ready to promote further collaboration between Japan and the United States toward our shared goal of achieving a free and open Indo-Pacific. I want to realize a new golden age of our Japan-US alliance in which both nations become stronger and more prosperous.“

Trump said, “I have always had a great love of Japan and a great respect of Japan, and I will say that this will be a relationship that will be stronger than ever before, and I look forward to working with you and on behalf of our country. I want to just let you know anytime you have any questions, any doubt, anything you want, any favors you need, anything I can do to help Japan, we will be there, we are an ally at the strongest level.”

The two leaders have signed documents to cement a deal reached as a result of tariff talks.

Trump meets abductee families – After the meeting, Trump met families of Japanese citizens abducted by North Korea.

He said, “I met the families before, and I’m with them all the way, and the US is with them all the way, and with Japan and the prime minister.“

Trump also said he’s had the issue in mind since meeting late Prime Minister Abe Shinzo. He told the families the US will do everything in its power to help.

Japan’s government says at least 17 Japanese nationals were kidnapped by North Korean agents in the 1970s and ’80s. Five of them returned in 2002, but what happened to a dozen others remains unknown.

Takaichi seeks to strengthen security, economic ties with US – Ahead of the meeting on Tuesday morning, Takaichi wrote on X that she is looking forward to “having a fruitful discussion on how we can further strengthen our great Alliance.”

Trump has complained that the burden for security shouldered by US allies is insufficient. The measures include revising three national security documents, including the National Security Strategy, by the end of next year.

Japan had been aiming to increase defense spending and related expenditures to two percent of the GDP in fiscal 2027. Takaichi will likely tell Trump that Japan will instead achieve that goal in the current fiscal year.

Takaichi wants to use the occasion to build a personal relationship with Trump. She is also hoping to enhance bilateral cooperation across a wide range of fields, including security and economy.

For additional coverage of Trump’s visit in Japan, watch the selected YouTube videos below…

Let me end this piece by asking you readers: What is your reaction to this development? Are you feeling confident that US-Japan relations will improve under Trump and Takaichi? Considering the geopolitical interests of both leaders, do you think US-Japan will help turn the tide against Communist China with regards to disputes on the sea of Southeast Asia? Do you think illegal immigrants, the LGBTQ mob, the woke extremists and Islamists are now feeling uneasy about invading Japan and America?

You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.

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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at  @HavenorFantasy as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco

My Observations: Lunch At Little Caesars Pizza (Philippines)

My Observations: Lunch At Little Caesars Pizza (Philippines)

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This past January, there was lots of buzz on Facebook when a new branch of pizza maker Little Caesars Pizza opened in the Ermita area of the City of Manila here in the Philippines. There were pictures and videos showing some entertainment just outside the restaurant and customers who looked like they enjoyed the place.

Because I live and work in Alabang, the Little Caesars Pizza Philippines was far away. Very recently I got the golden opportunity to visit the pizza joint and try out the food for the first time ever.

To put things in perspective, Little Caesars started with a blind date between Mike Ilitch and Marian Bayoff that was arranged by Mike’s father in the year 1954. Some months later they got married and they invested their life savings to establish their first pizza store in Garden City, Michigan. In 1962, the first franchise opened in Warren, Michigan. The move with franchising helped Little Caesars to expand rapidly in the United States and eventually as an international pizza maker.

I myself had visited the United States many times in my life and the funny thing was that I NEVER got to visit a branch of Little Caesars nor had I ever ate any of their food. There were times when me and my relatives traveled by car passing a few Little Caesars branches but never stopped to dine in.

This brings me to my first-time ever to visit and dine at Little Caesars right here in the Philippines. The Little Caesars Pizza Philippines branch is located along United Nations Avenue corner Alhambra street in Ermita Manila. Parking there was tricky and I was lucky that the parking slot right in front was vacant.

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Little Caesars Pizza Philippines in Ermita, Manila.

So there I was at the counter carefully looking at the menu and saw selections like 12-inch pizzas with flavors of Pepperoni, Cheese, Ultimate Supreme, 3-Meat Treat, Hula Hawaiian and Veggie Veggie. Since I love eating vegetable pizza, I ordered a Veggie Veggie and a drink.

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The 12-inch Veggie Veggie pizza served freshly hot. Tasty too!

Within minutes the pizza was served to me with a box which is ideal for taking out whatever is left. Right from the start there was that fragrance that was delightful to smell. The pizza was freshly cooked and had nice heat (not too hot) and I noticed the ingredients looked really nice.

How was my first bite with the first slice? It was really tasty. The cheese, the sauce, the dough and the ingredients all combined for a nice flavor. It was so tasty, I did not to add any condiments. The dough was also somewhat soft which was good because I managed to eat the crust with no problem. Also I noticed that there was minimal grease on the pizza.

Once I was satisfied, I took home the remaining pizza slices with the box and I left pretty satisfied and delighted. Perhaps next time I visit, I’ll try those another flavor.

Was my visit at Little Caesars Pizza Philippines worth it? YES! In fact, I encourage you readers to visit it if you are looking for nice pizza in the City of Manila.

What can I say about their Veggie Veggie pizza? I highly recommend it!

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A closer look at the Veggie Veggie pizza.

Visit Little Caesars Philippines FB page now.

Thank you for reading. If you find this article to be engaging, please click the like button below and also please consider sharing this article to others. Also my fantasy book The World of Havenor is still available in paperback and e-book format. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me as well. Also please feel free to visit my Facebook page Author Carlo Carrasco.