THERE is a need to shift the structure of the Philippine economy to be able to sustain the growth it has achieved during the past three years, Socioeconomic Planning Secretary Arsenio Balisacan said over the weekend.
In his speech at the 3rd Anniversary Celebration of the Philippine Council for Industry, Energy and Emerging Technology, Balisacan, who is also the director general of the National Economic and Development Authority (NEDA), said sustaining the economic growth that benefits everyone, regardless of location or social status should be ensured.
To be able to do that, the NEDA chief said there is a need to shift the structure of the economy from being largely consumption-driven to one that is increasingly led by investments.
“In particular, we need to improve the efficiency of public investment to serve as a catalyst for greater private sector participation; connect the regions to facilitate access to markets and basic services and address critical constraints to investments, particularly high power cost, poor infrastructure, policy inconsistencies and administrative inefficiencies,” he added.
Balisacan continued that to promote rapid, sustained growth, the government is anchoring public investment to areas and programs that will improve the investment climate for private investors.
He added that the government’s strategic framework envisions the public sector as the provider of enabling conditions for the private sector to invest in productive sectors, thereby creating decent and remunerative employment opportunities for our rapidly growing labor force.
“Macroeconomic stability will still be the major strategy to fuel positive expectations. Government will continue to exercise fiscal prudence. We will strive to maintain, if not improve our credit ratings, so that businesses and employers can enjoy a lower cost of capital,” he said.
Furthermore, the NEDA chief stated that the government is also creating new drivers of growth that will generate high-quality jobs and strengthen regional competitive advantage. He added that the Philippine Development Plan: 2011-2016 and the various regional development plans have identified priority industries which will be located across the country.