The recent spike in COVID-19 cases just made it more uncertain for the country to rebound from the pandemic when the rest of the world is slowly getting back on its feet, a global think tank said.
In its latest chart book, London-based Capital Economics said the situation in the Philippines, which is already lagging behind in economic recovery, is now looking extremely serious and dire and “has gone from bad to worse over the past month.”
The firm noted, “The main headwind is a renewed surge in virus infections, with the country now reporting around 10,000 new cases of COVID-19 each day.”
Metro Manila alone accounts for 40 percent of the country’s gross domestic product and the overall road to economic recovery greatly hinges on easing of mobility restrictions and further opening up of businesses to encourage higher consumer spending.
There is also the high unemployment rate which rose to 8.8 percent in February.