DAVAO Region’s gross regional domestic product (GRDP) posted an 8.6 percent growth in 2018, slower than the 10.7 percent growth in 2017.
“Statistically, we can say that our growth is still improving, although it decelerated kasi in percentage terms siya. But if you consider the performance of even the Philippine economy, nag-decelerate din siya from 6.7 [percent growth] naging 6.2 percent na lang by the end of 2018. So comparably, so as with the performance in other regions, we say that our economic performance in Davao region is relatively better and we have sound fundamentals as well,” National Economic and Development Authority (Neda)-Davao Director Maria Lourdes Lim said Thursday, April 25.
In a report presented by the Philippine Statistics Authority (PSA)-Davao, the slower growth was due to the performance of the sub-sectors under the Industry Sector such as manufacturing that posted a 6.4 percent growth in 2018 from 11.4 percent in 2017 and construction, which slowed down to 18.1 percent from 37.9 percent.
Lim said there is a need to improve these sectors to reach the regional target of 10.5 percent GRDP growth this year.
Mimaropa and Davao Region had the second fastest growth rate among the regions in 2018. Bicol Region posted the highest growth rate at 8.9 percent. Rounding up the five fastest growing regions are Central Visayas (7.6 percent), Calabarzon (7.3 percent), Cordillera Administrative Region (7.3 percent), and the Autonomous Region of Muslim Mindanao (7.2 percent).
The Mindanao Development Authority (MinDA) public relations head Adrian Tamayo said Thursday, April 25, that the Build, Build, Build program of President Rodrigo Duterte buoyed the regional economy up.
“As a result, investor interests on the real estate properties and the construction industry contribute able to foot the bill of growth of the economy of Davao Region. Likewise, the tourism industry and the BPO sectors are also sure robust players to this growth,” Tamayo said.
Meanwhile, Davao City Tourism Operations Office (CTOO) head Generose Tecson said Davao City’s positioning itself as a tourist and meetings, incentives, conferences and exhibitions (Mice) destination have contributed to the economic growth of the region.
“I am very happy with this report. It has been a long time coming. It's really also why our tourism receipts have been at an all-time high. Investors are tourists first before they actually invest in a business because they want to see what's here in Davao. This will also bolster our positioning as a Mice destination and campaign for more branded hotels and convention facilities,” she said.
With this, Davao City Vice President Bernard Al-ag said in order to maintain the economic development, the local government unit (LGU) will continue to collaborate with the private sector.
For his part, Pilipino Banana Growers and Exporters Association Inc. (PBGEA) Executive Director Stephen A. Antig told SunStar Davao that 2018 GRDP of the region is good for employment generation and reduction of the poverty incidence in the area.
“It is very obvious that the economy of Davao is really growing as evidenced by the structures in the landscape,” he said.
Ruben Abaro, PSA-Davao director, said the GRDP measures the goods and services produced in each of the geo-political regions in the country. It provides for an analysis of the regional distribution of the country’s GDP, the industries and factors that contribute to the regional economies, and the pace at which these economies are moving on an annual basis.