Manny Villar: PH should ‘stick to fundamentals’
In a column for the Business Mirror, former Senator Manny Villar writes about the rough patch the Philippine economy is mired in and how sticking to the basics will help the country “ride out the storm.”
Villar mentions various factors that have affected the Philippine economy including the turbulent reaction of the global financial markets during the second week of October. Many foreign analysts have pointed out that the sharp drop in Wall Street was “overdue.” European and Asian markets, which include the Philippines, were then affected by this.
The brewing trade war between the United States and China is another factor that compounded the global market turmoil. Moreover, the Middle East tension about the increase in world oil prices as well as the staggered interest rate hikes of the US Federal Reserve Board also contributed to the current economic climate.
“We should be clear-headed”
Amid these global issues, Villar says that Filipinos should be “clear-headed.” There’s no doubt that the country’s economy is growing, and we should hold on to that.
“Now is not the time to make a U-turn from the economic fundamentals we have nurtured and built,” Villar writes. “We should protect our growth drivers and go easy on the productive sectors that have been a proven contributor to the gross domestic product.”
Villar also reminded that government should temporarily avoid introducing reforms, which could add up to the anxiety of consumers. Food and gas prices recently went up, and any economic measure that could possibly further increase the prices and lead to job losses or reduced job opportunities should be pulled out until the circumstances stabilize.
