Fitch Solutions on Tuesday lowered its growth forecast for the Philippines because of the effects of the novel coronavirus.
Gross domestic product will likely grow by 6 percent, down from its initial forecast of 6.3 percent, the consultancy firm said.
“The exports sector, specifically tourism, is likely to see intense headwinds from the outbreak, while infrastructure projects could face delays, and households receive weaker remittance inflows,” Fitch said.
The revised forecast still reflects its view for a slight pick-up from 5.9 percent growth in 2019. Fiscal stimulus will be a key growth driver.
Economic Planning Secretary Ernesto Pernia said on Monday that COVID-19’s impact on trade could dent Customs revenue. The Bangko Sentral ng Pilipinas said it was also reviewing its estimate on COVID-19’s impact on Philippine growth.