Contact Person: Irenea B. Ubungen

Tel. No.: (072) 888 2160/700 3035

E-mail: nscbrd1@digitelone.com

 

 
PR-200607-RO1-043
PRESS RELEASE

July 17, 2006

 

Ilocos is Fourth Fastest Growing Region  in 2005

 

The economy of the Ilocos Region recorded a 6.0 percent growth  in 2005, the fourth  highest among the 17 regions of the country, outpacing its 5.4 percent growth in 2004.  The region  contributed 0.2 percentage point to the 5.0 percent growth of the country’s Gross Domestic Product in 2005, same as its contribution the previous year.

 

Region 1 is one of the five regions of the country which posted accelerated growths in 2005. The faster growth of Region 1 was largely due to the robust performance of agriculture, fishery and forestry (AFF) which contributed 3.3 percentage points to the region’s growth. 

 

AFF, which comprised 42.8 percent of the regional output, registered a higher 7.9 percent growth as compared to its 5.2 percent growth the previous year. The remarkable performance of fisheries, which was attributed to increased aquaculture production, combined with the significant growth of palay and the sustained growth of other crops,  fueled the growth of AFF. 

 

The services sector, which contributed 43.1 percent to the region’s economy, recorded a slower growth from 5.7 percent in 2004 to 4.7 percent in 2005 on account of the slowdown of three of its subsectors. Trade, although it decelerated to 5.7 percent from 9.5 percent a year ago, remained the biggest contributor to the sector.   Ownership of dwellings and real estate grew at a faster rate of 4.9 percent from 2.8 percent in 2004 due to the increased volume of real estate transactions.  Finance, on the other hand, increased from 4.7 percent to 5.1 percent as the performance of the banking subsector improved. Transportation, communication and storage recorded the fastest growth at 6.7 percent while private services increased by 3.3 percent.  Government services posted a minimal growth of 1.0 percent as the government continued to implement austerity measures. The services sector shared 2.1 percentage point to the growth of the region.

 

Industry registered a slightly lower 4.2 percent growth from 5.2 percent the past year due to the deceleration of all its subsectors, except construction which was also the biggest contributor to the sector.  The improved growth of construction from 3.3 percent to 4.9 percent was propelled by the increase in public construction.  Meanwhile, manufacturing, electricity and water, and mining and quarrying grew at 3.8 percent, 3.0 percent and 1.7 percent, respectively.

 

The region’s per capita GRDP increased by 3.8 percent,  from P 7,442 in 2004 to P 7,727 in 2005.  Meanwhile,  the average prices of goods and services produced in the region  in 2005   increased by 4.7 percent as compared to 2004.

 

The top five fastest growing regions in 2005 included Zamboaga Peninsula,  with 7.2 percent growth;  National Capital Region,  with 7.1 percent;  MIMAROPA, with 6.5 percent;  and Ilocos Region and Eastern Visayas,  with 6.0 percent each.

 

The GRDP measures the goods and services produced by the various industries within the region. It is compiled on an annual basis by the National Statistical Coordination Board (NSCB).

 

 

IRENEA B. UBUNGEN

Head, NSCB Regional Division I