DEBT watcher Fitch Ratings said Philippine economic growth in the next five years could average above percent as the country continued to hold strong external position and macroeconomic fundamentals. It pointed out the country’s strong external position with current account surpluses, high levels of international reserves, and low and declining external debt. In March, Fitch affirmed the Philippines’ “BBB-” investment grade rating and positive outlook, but warned it will be watching the impact of the government’s anti-illegal drugs program on the overall economy. It offered neither an upgrade nor warned of a downgrade, saying that the affirmation recognized the country’s strong growth momentum, robust net external position, and low manageable debt levels. At the same time, it also cited the factors at the other end of the spectrum: relatively weak governance standards, a narrow government revenue base, and below BBB- median levels of per capita income and human development.

Source: Manila Times July 26, 2017 17:03 UTC