THE economy will grow by an average of 8 percent annually over the next six years if all the projects under the public-private partnership (PPP) scheme of the government are fully implemented, a Finance official said.
The government expects the economy this year to grow by 7 percent to 8 percent from the 6.1 percent expansion in 2014.
To date, nine of the more than 50 projects lined up under the PPP program have already been awarded and te government expects 14 other projects to eventually reach the awarding stage.
But if all the PPP projects are fully implemented, they would add an additional 2 percent to GDP growth per year, according to Department of Finance Undersecretary Gil Beltran, who is also the DOF’s chief economist.
In his presentation at the Asia CEO Forum held in Makati City on Tuesday, Beltran said that the more than 50 projects lined up under the PPP program represent 10 percent to 12 percent share of the country’s GDP.
“There’s a lot of projects to be bid out… that will provide us growth of additional 2 percent in the next six years,” Beltran said.
Beltran noted that with the 6 percent average growth of the Philippines per year plus the additional 2 percent share of the completed PPP projects, the country could achieve 8 percent average growth for the next six years.
“The next administration can have that [growth]if they implement the 50 projects in the pipeline. The pipeline is long and developing,” he said.
Thus far, PPP projects already awarded include the Daang Hari-South Luzon Expressway Link Project, PPP for School Infrastructure Project (PSIP)-Phase I, Ninoy Aquino International Airport Expressway Project-Phase II, PSIP-Phase II, Modernization of Philippine Orthopedic Center, Automatic Fare Collection System, Mactan-Cebu International Airport Terminal Building, Light Rail Transit Line 1 Cavite Extension and Operation and Maintenance, and the Integrated Transport System Project Southwest Terminal.