Imports up 39% to $6.7B in May

CEBU, Philippines - Philippine imports rose 39 percent in May to $6.7 billion, signaling the strong domestic activity, this as exports also continued to decline due to weak global demand.

The increase was due to positive growth rates of nine out of the top 10 major imported products, the Philippine Statistics Authority said yesterday.

Imports from January to May 2016 totaled $31.9 billion, up 18 percent from $27 billion in the same period last year.

The Philippines registered a $2 billion trade deficit in May, which means the country was importing more than exporting.

Electronics, the top import item, increased 44.5 percent to $1.7 billion, accounting for 24.8 percent of total import bill.

Percentage increases were also noted in transport equipment, power generating machinery and industrial equipment, among others.

The positive performance of imports indicates the robust domestic economic conditions despite the sluggish global economy.

In the first five months of 2016, exports were down 6.6 percent, bringing the trade deficit so far this year to $9.8 billion.

Socioeconomic Planning Chief Ernesto Pernia had said growth of exports is expected to remain muted for the rest of 2016 given the global economy's slow recovery.

Meanwhile, China remained the country's top import source, followed by Japan, the US, Thailand and Korea. (FREEMAN)