Growth in total Construction investments slows down
Capital Formation on Construction grew by 2.6 percent in the second quarter of 2019, slower than the 11.9 percent growth recorded in the previous year. Private Construction, which accounted for 71.1 percent of total construction investments, grew by 23.1 percent. Meanwhile, Public Construction contracted by 27.2 percent.
Investments in Durable Equipment declines
Capital Formation on Durable Equipment declined by 13.0 percent in the second quarter of 2019. Decreased investments were registered in twelve (12) out of twenty (20) types of fixed asset investments.
The following subsectors declined and contributed to the decrease in investments: Road Vehicles, which suffered a setback of 18.1 percent from the previous year’s 24.8 percent; Water Transport, 80.3 percent; Mining & Construction Machineries, 25.1 percent; Other Special Industrial Machinery, 18.6 percent; and Air Transport, 49.5 percent.
Meanwhile, the following durable equipment registered growths: Other General Industrial Machinery, 4.4 percent; Office Machinery & Data Processing, 13.8 percent; Pulp and Paper Machineries, 54.9 percent; Railway Transport, 148.1 percent; and Other Miscellaneous Durable Equipment, 0.8 percent.
Investments in Breeding Stocks and Orchard Development (BSOD) maintains its growth
Capital Formation on BSOD for the second quarter of 2019 maintained its growth at 3.6 percent growth from its performance in the same period of the previous year.
Intellectual Property Products (IPP) accelerates
Capital Formation on Intellectual Property Products grew by 28.7 percent in the second quarter of 2019, higher compared with 26.7 percent recorded during the same period of the previous year. The growth can be attributed to the investment in Computer Software and Databases and Entertainment, Literary or Artistic Originals.
Changes in Inventories records withdrawals
Changes in Inventories posted withdrawals of PhP 27.2 billion in the second quarter of 2019 as compared with the PhP 2.1 billion withdrawals in 2018. The agriculture and establishment recorded withdrawals in inventories.