Major Economic Problems of the Philippines

Major Economic Problems of the Filipinos Import-Export Imbalance: Among the many scotch problems set about by the Philippines, one is the imbalance of imports and exports. The negative trade is bowed down(p) and only counterbalanced by the service account surplus. over the last two decades, Philippine exports have shifted from commodity-based products to manufactured goods. However, in the midst of the current global economic recession, the exports of electronics, garments and textiles are barely to reach a level of import neutralization. Decline of the Philippine Peso: The economic downturn has resulted in the devaluation of the Philippine peso and subsequently, a fall in the stock market. The monetary conservatism strategy adopted by the Philippine government has still to reflect a positive effect on speedup of economic growth. 6% growth in the gross interior(prenominal) product (GDP) in 2004 and 7.3% in 2007 has yet to accelerate to the elongated GDP growth projected by the government. Reliance on Remittances: President Gloria Macapagal-Arroyo has pledged complete development of the economy by the year 2020. There have been a number of tax income reforms put in place, alongside extensive asset privatization. Nevertheless, Philippines habituation on remittances from non-resident investors is large.

Neighboring competitors have been siphoning away big investors in infrastructure and outsourcing. This has resulted in an uneven regional development. These are meet some of the economic challenges looming large over the Philippines. The government is fetching extensive steps to ensure even distribution of economic growth within the nation, by promoting overseas and home-bound investments in the Philippine Islands. The country is facing significant decline in industrial production, gross domestic product, income and employment and sales. Nevertheless, the crossover from import commutation to promotion of exports are slowly adding quality to various fiscal incentives. The abolishing of export... If you want to get a full essay, order it on our website: Ordercustompaper.com

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