HIGHLIGHTS

As the domestic economy expanded to 4.4 percent in 2002, correspondingly, all the regions except CARAGA exhibited positive growths during the year. Eleven regions posted accelerated growths, outpacing their previous year’s output. These include: NCR (4.5 percent), CAR (3.9 percent), Ilocos Region (6.0 percent), Southern Tagalog (6.5 percent), Bicol Region (5.5 percent), Western Visayas (5.0 percent), Central Visayas (4.5 percent), Eastern Visayas (4.4 percent), Southern Mindanao (2.2 percent), Central Mindanao (5.6 percent) and ARMM (4.8 percent). Three regions recorded decelerated growths: Cagayan Valley (0.3 percent), Central Luzon (3.7 percent), and Northern Mindanao (1.3 percent). Western Mindanao registered a turn-around, growing by 5.4 percent, from a negative growth of 0.5 percent. CARAGA, the lone region that declined in output, slid by a minimal 0.4 percent.

The structure of the regional economy did not change much in 2002, recording slight increases/decreases in percentage point shifts in the respective region’s share to the overall economy. The five regions with the largest shares include NCR (30.59 percent), followed by Southern Tagalog (15.57 percent), Central Luzon (9.00 percent), Central Visayas (7.16 percent) and Western Visayas (7.12 percent), respectively.

Correspondingly, the top five contributors to growth also consisted of the same regions, namely NCR (1.36 percentage points), Southern Tagalog (1.02 percentage points), Western Visayas (0.36 percentage point), Central Luzon (0.34 percentage point) and Central Visayas (0.26 percentage point).

Other regions with bigger contributions to growth include Ilocos Region (0.19 percentage point), Bicol Region (0.16 percentage point), Western Mindanao (0.15 percentage point), Central Mindanao (0.14 percentage point) and Southern Mindanao (0.13 percentage point).

Ilocos Region was among the regions with the fastest growth in 2002, recording output gains in all major sectors. Growth was mainly driven by the expansion in Services, with Trade accounting for the largest share; the turn-around in Industry from negative 3.9 percent to 18.6 percent following a remarkable hike of 28.4 percent in Construction; and the accelerated growth of Agriculture, Fishery and Forestry of 3.3 percent.

Bicol Region managed to sustain its growth momentum in 2001, as its economy further improved during the year. Although Agriculture output slowed down, it was offset by the robust performances of Services (particularly Trade and TCS ) and Industry (with Mining and Quarrying at the forefront).

Western Mindanao bounced back from a negative growth of 0.5 percent in the previous year to a 5.4 percent growth in 2002 with the combined recovery of the Agriculture, Fishery and Forestry, and Industry from their negative outputs in the previous year and the continued growth of Services.

Central Mindanao fared much better in 2002 with the accelerated growths in Agriculture, Fishery and Forestry and Services and the rebound of Industry (particularly Mining and Quarrying and Construction) from its negative output in the previous year.

Southern Mindanao benefited from the increased pace of Services and the recovery of the Agriculture, Fishery and Forestry during the period, which offset the cutback in production from Industry, mainly due to the drop in construction activities.

The performance of CAR is worth mentioning, with its much-improved expansion of 3.9 percent from zero growth in the previous year. The big jump in Industry from a negative output last year due to the resurgence of the mining industry and the sustained growth of Services more than made up for decline of Agriculture, Fishery and Forestry during the period.

The continued growth in the economy translated to a higher growth in per capita GDP from 0.6 percent in the previous year to 2.0 percent in 2002. On a regional scale, twelve out of the sixteen regions of the country recorded improved per capita growths during the year, while four regions posted declines.

Ilocos region registered the highest per capita GRDP growth among the regions with 4.2 percent from 0.4 percent a year ago. Other regions which surpassed their last years per capita GRDP growth include NCR (0.9% to 2.2%), CAR (–1.7% to 2.1%), Southern Tagalog (-0.7% to 2.8%), Bicol (2.9 % to 3.7 %), Western Visayas (2.1 % to 3.5%), Central Visayas (2.1% to 2.3%) Eastern Visayas (0.3% to 2.7%), Western Mindanao (-2.7 % to 3.0%), Southern Mindanao (-1.2% to –0.4%), Central Mindanao (-0.8% to 3.0%) and ARMM (0.1% to 2.0%).

NCR remained as the region with the highest per capita index at 236.05, with the national index set at 100. This was followed by CAR and Northern Mindanao, with indices of 139.31 and 105.98, respectively. The rest of the regions have a lower per capita index than the national average.