Global Research Firms Cut PH Growth Estimates

More global research firms slashed their economic growth forecasts for the Philippines this year, as they expect high interest rates to further crimp consumer spending and private investments.

Photo Insert: HSBC also trimmed its 2024 Philippine gross domestic product (GDP) forecast to 5.2% from 5.6%.

In an Aug. 15 report, HSBC Global Research cut its Philippine growth projection this year to 4.8% from 5.3%, following a “significant downside surprise” in the second quarter.

It also trimmed its 2024 Philippine gross domestic product (GDP) forecast to 5.2% from 5.6%.; Nomura Global Markets Research also cut its Philippine growth forecast to 5.2% for this year from 5.5%.

The HSBC and Nomura forecasts are significantly below the government’s 6-7% growth target for the year. Economic managers had earlier said GDP must expand by at least 6.6% in the second half to achieve the 6-7% target.

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