Standard Chartered Bank said on Tuesday that the Philippines’ trade deficit in the fourth quarter of the current year will continue to contract, according to the bank’s latest economic report on the Asian markets.
In their report titled “Asian Manufacturing Continues to Recover,” Standard Chartered said that the Philippines’ third-quarter growth in trade would be supported by capital and consumer goods imports.
“The Philippines will release September trade data on November 26 [Tuesday]. We forecast that imports grew 6.2 percent year-on-year [versus 6.9 percent in August]and that the trade deficit narrowed to $611 million [in September]from $961 million in August,” the bank said, citing the National Statistics Office (NSO) data showing imports grew by 7.2 percent in September compared to year ago levels.
“The trade deficit is likely to have widened to an average of $742 million in September, versus the $693 million in September 2012. We expect the deficit to narrow further in fourth quarter as export growth continues to improve,” Standard Chartered added.