Philippine Economy Overcoming The Global Challenge

Although there are several hindrances that attempt to overturn the economy of the Philippines it remains sturdy on its ground to obtain stability and improved commercialism. In the year 2007, the Philippines became the world's 37th country with the largest economy in terms of International Monetary Fund. In Asia, the Philippines continue to be the fastest growing country in terms of economic development. Although its economic growth was slightly affected by the global economic crisis, the recession did not halt the economic progress of the Philippines.

The Philippine Major Economic Sectors

The Philippines has three major economic sectors namely agriculture, service and industry. These three giant sectors in the Philippines are categorized according to the country's Gross Domestic Products. The service sector exhibits to be continuously growing while the country's agricultural sector remains to be substantially declining due to the effects of El Niño and climate changes. This sector contributes to the 20 percent of the country's gross domestic products. The industry sector plays 32 percent while the service sector plays a dominant role of 48 percent in the Philippine economy.

The Philippine's Economic Industry

The Philippine's agriculture, fishing and forestry industries contribute to the country's gross domestic products while it also has a growing sector in manufacturing, mining and construction industries. The commercial crops in the Philippines are centered on bananas, corn, rice, sugar cane, papayas and mangoes.

Although exportation of hardwood once been a popular industry in the country it gave rise to the increasing illegal logging which prompt the government to ban the exportation of hardwood logs. However this does not curtail the legal exportation of lumber products from the country.

The manufacturing industry also contributes to the growing economy of the Philippines with players from various sectors of non-durable goods and textiles, products on tobacco, processed foods, furniture, non-electrical equipment and electrical goods.

The Philippine government defines its own economic reforms to ensure that the country's economy will be stable and continuously growing. They are providing an environment that will attract foreign investments in order to strengthen the country's economic growth further while giving equal importance to both import and export with trading partners with foreign countries like Hong Kong, United States, Taiwan, Japan, and Singapore among others. These are the major countries importing chemicals, metals, petroleum, textiles, foods, and equipments for transportation. The Philippines also export main products such as coconut, electrical and electronic items, textile, and fish to these countries.

The remittances to the country by the overseas Filipino workers contributes to the 10 percent of the Philippine's GDP. This contributes to a significant value in helping the country establish a more stable economic level. There are about more than 4 millions of Filipinos working abroad mostly in the IT, medical and skilled workers industry. Some are working as domestic helpers, engineers, servicemen in the military, architects, nurses, doctors, and accountants. About 1/3 of the overseas Filipino workers are in the retail, hospitality and food/beverage sectors.

There was also a boost in the county's economy by the surge of trends in the business process outsourcing (BPO) due to the low cost of doing business in the country with the highest numbers of skilled and literate Filipinos to rely on. This further gave the Philippine economy better progress and stability.

Jose Maria Abada is a travel writer of http://www.philippine-travel-guide.com Philippine Travel Guide. You can find helpful resources about the Philippines and the Philippine economy on this website.

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