The Philippine economy showed its vigor as seasonally-adjusted estimates of the agriculture, fishery and forestry and industry sectors improved by 2.8 percent and 2.6 percent, respectively, during the first quarter of 2004. The resilient services sector continued to grow at 1.6 percent during the first quarter of 2004. As a result, the Seasonally Adjusted Gross Domestic Product (SAGDP) grew by 2.2 percent while the Seasonally Adjusted Gross National Product (SAGNP) to a growth of 0.5 percent. Amidst the political tension and security threats hounding the 2004 national elections, the economy demonstrated its sufficient stability to sustain the significant gains of the economy during the last two quarters of last year.

Original Data vs.
Seasonally Adjusted Gross Domestic Product

PERSONAL CONSUMPTION EXPENDITURE

On the demand side, the Seasonally Adjusted Personal Consumption Expenditure (SAPCE) improved by 1.6 percent. It remained a major stimulus to the domestic economy.

AGRICULTURE, FISHERY AND FORESTRY

The agriculture, fishery and forestry sector sustained its growth momentum with a growth of 2.8 percent. The consecutive expansion of the sector for the last three quarters manifested the gains from the government effort to help the agricultural sector. The improved performance of the fishery sub-sector was the major contributor to the surge in the AFF sector.

INDUSTRY

The industry sector registered its highest growth since the first quarter of 2000 as the sector grew by 2.6 percent in the first quarter of 2004. The huge gain from 0.8 percent of the fourth quarter of last year was due to the expansion of the manufacturing sub-sector and the recovery of construction.

SERVICES

The services sector expanded by 1.6 percent during the first quarter of 2004. All subsectors contributed to the sustained growth of services, particularly trade, transportation, communication and storage, finance and private services.