The Philippine Gross Domestic Product (GDP) posted a quarter-on-quarter growth of 1.1 percent in the first quarter of 2023. (Figure 1)
On a seasonally adjusted basis, the main contributors to the first quarter 2023 GDP growth were: Construction, 5.2 percent; Manufacturing, 1.0 percent; and Financial and insurance activities, 1.5 percent.
Combined Mining and quarrying, Manufacturing, Construction, and Electricity, steam, water and waste management posted the fastest quarter-on-quarter growth of 2.1 percent. This was followed by Agriculture, forestry, and fishing (AFF) with 1.4 percent; and Services with 0.7 percent.
Figure 1. Seasonally Adjusted Gross Domestic Product,
Quarter-on-Quarter Growth Rates,
Q1 2020 to Q1 2023, At constant 2018 prices
Out of the 16 industries, Other services registered the fastest quarter-on-quarter growth of 6.7 percent. This was followed by Construction with 5.2 percent; Mining and quarrying with 2.3 percent; Electricity, steam, water and waste management with 1.7 percent; and Financial and insurance activities with 1.5 percent.
On the other hand, the following industries posted quarter-on-quarter declines in the first quarter of 2023: Real estate and ownership of dwellings, -1.3 percent; Accommodation and food service activities, -1.2 percent; Public administration and defense; compulsory social activities, -0.7 percent; Human health and social work activities, -0.3 percent; and Education, -0.04 percent. (Figure 2)
Figure 2. Seasonally Adjusted GDP by Industry,
Quarter-on-Quarter Growth Rates,
Q1 2023, At constant 2018 prices
In AFF, the main contributors to the 1.4 percent quarter-on-quarter growth were the following: Palay, 4.2 percent; Poultry and egg production, 3.8 percent; and Livestock, 3.0 percent.
Construction and Manufacturing, which recorded positive growths of 5.2 percent and 1.0 percent, respectively, were the top contributors to the quarter-on-quarter growth of the Industry. Similarly, Electricity, steam, water and waste management; and Mining and quarrying both posted quarter-on-quarter growths with 1.7 percent and 2.3 percent, respectively in the first quarter of 2023.
The top positive contributors to the growth of the Services sector were: Financial and insurance activities, 1.5 percent; Wholesale and retail trade; repair of motor vehicles and motorcycles, 0.7 percent; and Other services, 6.7 percent.
On the other hand, the following industries pulled down the quarter-on-quarter growth of the Services sector: Real estate and ownership of dwellings, -1.3 percent; Public administration and defense; compulsory social activities, -0.7 percent; and Accommodation and food service activities, -1.2 percent.
On the demand side, Gross capital formation recorded the fastest quarter-on-quarter growth in the first quarter of 2023 with 11.4 percent. This was followed by the following expenditure items that also recorded positive growths: Imports of goods and services, 7.1 percent; Government final consumption expenditure, 2.5 percent; and Household final consumption expenditure (HFCE), 1.4 percent. Meanwhile, Exports of goods and services declined by -8.4 percent in the first quarter of 2023. (Figure 3)
Figure 3. Seasonally Adjusted GDP by Expenditure Item,
Quarter-on-Quarter Growth Rates,
Q1 2023, At constant 2018 prices
The top contributors to the quarter-on-quarter growth of HFCE were the following: Transport, 6.0 percent; Food and non-alcoholic beverages, 0.6 percent; and Miscellaneous goods and services, 1.4 percent.
Gross fixed capital formation posted an 8.5 percent quarter-on-quarter growth, which can be attributed to the following growths of its subitems: Construction, 6.0 percent; Durable equipment, 16.9 percent; Breeding stocks and orchard development, 2.9 percent; and Intellectual property products, 1.7 percent.
Imports of goods and services posted a quarter-on-quarter growth of 7.1 percent, while Exports of goods and services declined by -8.4 percent in the first quarter of 2023. The increase in the Imports of goods and services reflected the quarter-on-quarter growth of Imports of goods at 11.0 percent. Meanwhile, Imports of services posted a quarter-on-quarter decline of -6.9 percent. Exports of goods recorded a quarter-on-quarter decline of -14.9 percent, while a quarter-on-quarter growth of 0.1 percent was posted by Exports of services.
The Gross National Income posted a quarter-on-quarter growth of 2.3 percent in the first quarter of 2023. (Figure 4)
Net Primary Income also increased quarter-on-quarter by 20.2 percent.
Figure 4. Seasonally Adjusted Gross National Income,
Quarter-on-Quarter Growth Rates,
Q1 2020 to Q1 2023, At constant 2018 prices
