NSCB - First Quarter 2007 GNP - Gross Domestic Capital Formation

First Quarter 2007
Gross National Product &
Gross Domestic Product by Expenditure Shares

Investments in Fixed Capital Formation improves from last year

Investments in Fixed Capital Formation in the first quarter of 2007 improved its growth to 2.7 percent from 2.4 percent in the same period of last year.

Investments in Construction grow at a slower pace

Government pump priming continued to push Public Construction to a double-digit growth of 16.9 percent in first quarter of 2007 from 36.5 percent in the same period last year.

Meanwhile, investments in Private Construction rebounded to 2.0 percent from negative 3.2 percent last year.

Investments in Durable Equipment improve but still on the downtrend

Investments in Durable Equipment improved to a lower negative growth of 0.4 percent from negative 0.7 percent a year ago. Increased investments were registered in nine (9) out of the twenty (20) types of equipment.

Significant expansions in investments were noted in the following sub-sectors: Water Transport, soared by 447.0 percent from 47.9 percent; Pumps and Compressor, up by 38.3 percent from negative 23.5 percent; Textile machineries, up by 33.4 percent from negative 47.4 percent; Mining, Construction Machineries up by 22.8 percent from negative 13.4 percent; and, Tractor other than Steam which grew by 5.4 percent from negative 22.6 percent.

Meanwhile, decline in investments during the period were recorded in the following: Sugarmill Machineries plunged to negative 91.4 percent from a growth of 201.8 percent; Other Electrical Machinery and Apparatus down by 44.4 percent from negative 11.5 percent; Railway Transport down by 30.6 percent from a growth of 22.7 percent; and, Other miscellaneous durable equipment declined by 14.2 percent from a growth of 13.9 percent.

Investments in Breeding Stocks, Orchard Development and Afforestation rebound

Capital formation for the combined Breeding Stocks, Orchard Development and Afforestation for the first quarter of 2007 rebounded to a growth of 2.2 percent from negative 1.7 percent in 2006.

GROSS DOMESTIC CAPITAL FORMATION BY TYPE
1st Quarter 2006 and 1st Quarter 2007
IN MILLION PESOS

At Constant 1985 Prices

TYPE OF EXPENDITURE	1st Qtr 2006	1st Qtr 2007	Growth Rate (%)
3. Capital Formation	56,201	56,548	0.6
A. Fixed Capital	53,831	55,306	2.7
1. Construction	20,583	22,088	7.3
2. Durable Equipment	28,829	28,700	-0.4
3. Breeding Stock & Orchard Dev't	4,419	4,518	2.2
B. Changes in Stocks	2,370	1,242

At Current Prices

TYPE OF EXPENDITURE	1st Qtr 2006	1st Qtr 2007	Growth Rate (%)
3. Capital Formation	203,149	212,178	4.4
A. Fixed Capital	190,981	202,531	6.0
1. Construction	91,993	102,145	11.0
2. Durable Equipment	83,010	84,948	2.3
3. Breeding Stock & Orchard Dev't	15,978	15,438	-3.4
B. Changes in Stocks	12,168	9,646

GROSS DOMESTIC CAPITAL FORMATION BY TYPE
2005 and 2006
IN MILLION PESOS

TYPE OF EXPENDITURE	AT CURRENT PRICES			AT CONSTANT PRICES
TYPE OF EXPENDITURE	2005	2006	Growth Rate (%)	2005	2006	Growth Rate (%)
3. Capital Formation	793,989	864,531	8.9	213,534	219,286	2.7
A. Fixed Capital	783,404	834,415	6.5	209,389	212,276	1.4
1. Construction	365,910	407,017	11.2	87,501	92,308	5.5
2. Durable Equipment	351,859	355,110	0.9	105,298	103,446	-1.8
3. Breeding Stock & Orchard Dev't	65,635	72,288	10.1	16,590	16,522	-0.4
B. Changes in Stocks	10,585	30,116		4,144	7,011

Source: National Statistical Coordination Board (NSCB)

Posted May 31, 2007.