CV economy remains resilient despite trials

CEBU, Philippines — Growth of the Central Visayas economy remained strong in the first half of the year despite the challenges it's been facing.

In his regional economic update, National Economic and Development Authority regional director Efren Carreon said the regional economy continued to be buoyed by its key growth drivers.

He said investments in the retail sector continued to expand and have spread out to the countryside.

"Growth of sales was more modest compared to last election," the official said.

He noted that tourism-related spending, remittances from overseas Filipino workers (OFWs) and higher disposable income continued to boost domestic consumption.

"Food and food service, electronics and health products lead the growth," Carreon said.

The region's exports also continued to recover, a trend earlier confirmed by Philippine Exporters Confederation Inc (Philexport)-Cebu executive director Fred Escalona.

Escalona earlier said he projected the export sector's recovery would continue throughout the year and hopefully would continue to grow next year.

Carreon said CV's top exports include electronics, machinery and transport equipment, furniture, woodcrafts, metal components, processed food and beverages, cathodes or refined copper, gold and ignition wiring sets.

Moreover, growth in the business process outsourcing (BPO) sector also continued to be robust.

"Expansion in terms of operation and products and services offered continued and service offerings have evolved from contact centers to higher value-added services," the NEDA official said.

He added Cebu and Negros Oriental remained preferred destinations for outsourcing companies despite losing spots in the Tholon's list of top global outsourcing sites.

On the tourism industry, Carreon said it emerged to be resilient amid the terror threats that took place in the first half of 2017.

He believes investor interest in the industry remains strong.

"Higher tourist arrivals from Asia Pacific region offset slowdown in arrivals from other countries. Domestic tourists boosted the growth of the industry," he said.

Furthermore, the agriculture sector also saw a better performance in the first semester.

Crops, livestock and poultry sub-sectors all posted positive growth during the period except the fisheries sub-sector whose growth went down 7.8 percent.

In addition, the employment rate in the region had improved at 95 percent although underemployment rate went up to 17.8 percent.

In 2016, the Central Visayas economy grew by 8.8 percent, making it the fourth fastest growing region in the country last year. (FREEMAN)