The current account position is an important indicator about the economy’s health. If the current account balance is in surplus, the country is a “net lender” to the rest of the world. The country’s economic managers have repeatedly said high imports will “support domestic economic expansion.”According to the BSP, the current account deficit is forecast to balloon to $6.4 billion, or 1.9 percent of GDP, in 2018. This was more than twice its previous estimate and higher than $2.2 billion gap posted last year. “We are not seeing a widening of current account to unsustainable levels,” BSP Assistant Governor Francisco Dakila said in a press conference, adding that imports are projected to ease on the back of tumbling fuel prices.

Source: Philippine Star December 14, 2018 11:20 UTC