It is more than usual that the start of every year brings us to the prospect of what is in store for us for the year. It is therefore not surprising why some people (not only the Chinese) become so wary if they don’t have a tinge of what is expected of the year.

Even the not too superstitious would try to eavesdrop as to what the Chinese lunar calendar brings to their life to have at least a guide or measure of how to live their life the current year.

If we are to base our economic projections on the outlook of the economy last year, a lot is in store for us positively for the year 2013. Late reports stated that the average growth rate of the economy from the first to third quarter of 2012 was at an astonishing 6.5 percent, surpassing the growth rate achieved in the same period of 2011. It is not startling therefore that the fourth quarter growth rate will more or less be at 7 percent considering the increase in consumer spending that normally accompanies the last quarter of the year. Judging from the last year’s performance, 2013 will be another good year for the Philippine economy.

With the expected massive spending brought about by this year’s midterm election, it is expected that business and employment opportunities will be created. Direct and indirect election-related opportunities are up for grabs and will be available nationwide resulting in a natural pump-priming of the economy. Though short-lived, it nevertheless will increase consumer spending, a major component of our Gross National Product (GNP).

Not to be overlooked is the sustained government spending both on infrastructures and public sectors salaries and wages. By and large, the government is the biggest spender in the economy and therefore can make things happen and the resulting outcome of such actions could go either way.

Although such measures by the government or private sector may have been independently done accordingly, it could create corollary effects like higher inflation resulting from increased consumer buying power, an aftermath of increased currency (money) in circulation.

On the financial front, sustained growth in the securities and shares market has been consistently attained, a reflection of economic and political stability that has evaded us for quite some time. Countless record-breaking achievements in the bourse market have been realized last year should be carried over to the year 2013. All efforts to attract foreign investments done by the President last year in his foreign trips are expected to be realized this year. Large amounts in FDI will pour into our turf.

The increased efficiency of the government bureaucracy (hopefully) can bring about a revolutionary change (for the better) of our economy. Major income generating agencies like the Bureau of Internal Revenue (BIR), Bureau of Customs (BOC), Pagcor, etc. should be strictly monitored to provide and achieved the target revenue that will help sustain government expenditures (through its budget) which now stands high at P2 trillion! Unless efficient tax collection is consistently realized, government expenditures may hit a snag and may resort into borrowing or deficit spending that may prove to be another deterrent to our goal of sustained economic development.

Recent bicameral legislations seem to augur well with the government thrust of sustained economic growth. The Sin Tax Law is expected to generate at least P30 billion in additional revenues for the government. There exists a trade-off in terms of industry unemployment.

The controversial RH law although not acceptable to a significant number in the populace, has for its thrust a radical reduction in the demographic landscape, a generally perceived hindrance to economic development. Although the current population growth rate has significantly gone down from 2.3 percent to less than 2 percent, the government sees a further need of rectification to a level that will require a considerable improvement in our economic growth and development.

The bullish state of the economy though not stable in character is fuelled by confidence and trust in the economic and political leadership. Despite not measurable in essence, it is basically the main ingredient that has catapulted the Philippine economy to its present positive ratings. The present leadership has maintained a certain degree of peoples thrust and confidence which is a major requirement for economic and political stability.

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