DAVAO Region's economy accelerated to 5.4 percent in 2009 from 3.7 percent in 2008. The growth was mainly brought about by continuous growth of the industry and service sectors.
Accounting for the largest share of the region's economy in 2009 was the service sector with a 41.2 percent share, although this was lower than its 41.5 percent share in 2008.
The industry sector meanwhile increased its share to 34.4 percent from 32.9 percent in 2008, while agriculture, fishery and forestry (AFF)'s share decreased to 24.4 percent from 25.6 percent.
The growth of the service sector accelerated by 4.6 percent in 2009 from 3.3 percent in 2008 as all its sub-sectors, except the Ownership of Dwelling and Real Estate sector, also posted accelerated growth.
Sub-sectors under service sector are: trade, private services, government services, transport, communication and storage (TCS), government services, ownership of dwellings and real estate, and finance.
TCS sub-sector accelerated by 6.2 percent from 5.4 percent due to the favorable performances of land and air transports and communication.
Trade posted an accelerated growth of 2.7 percent from 2.0 percent as both wholesale and retail trade showed better performances.
Finance grew by 4.9 percent from 2.0 percent due to the increased outputs of banks and insurance.
Private services accelerated to 11.3 percent from 5.2 percent due to the improved performance in medical, business, hotel and restaurant and personal services while government services also accelerated to 6.0 percent from 4.0 percent.
Ownership of dwellings and real estate, on the other hand, posted a decelerated growth from 5.5 percent to 3.5 percent as growth in real estate slowed down.
The industry sector registered an accelerated growth of 10.2 percent in 2009 from 5.4 percent in 2008 due to the remarkable growth in Construction and Electricity and Water sub-sectors.
Sub-sectors falling under the industry sector include mining and quarrying; manufacturing; construction; electricity and water.
Construction accelerated by 19.6 percent from 5.5 percent because of the boom in private constructions and increase in government infrastructure projects while Electricity and Water also accelerated by 5.1 percent from 4.0 percent due to the increase in electricity distribution.
Meanwhile, mining and quarrying rebounded to a 3.0 percent growth from negative 8.7 percent as the region’s gold production improved while manufacturing posted a slower growth of 7.1 percent from 8.1 percent due to a weaker performance in food and beverage manufacturing.
On the other hand, AFF dampened the region's performance as it slowed down by 0.5 percent from 2.0 percent. The decelerated growth was brought about by the lower production of banana, coconut and poultry and the decline in the production of corn, livestock and fishery.
Industry posted the biggest contribution to the growth of the region at 3.3 percentage points and services contributed 2.0 percentage points while AFF contributed 0.1 percentage point.