Hi everyone this is my first time here and let’s talk about the current situation of our country about how this pandemic affects the economy of the philippines.
According to the Philippine Statistics Authority (PSA), China is Philippines top trading partner accounting for 18.8% of total trade. Wherein the Novel Coronavirus (COVID 19) first started specifically in Wuhan, China. Due to its proximity to China, the Philippines is at a far greater risk of increased cases of the said virus compared to other countries. The Philippines is also home to hundreds of workers from China working in the Philippines Offshore Gambling Operation (POGO). There are also migrant Filipinos often referred as Overseas Filipino Workers (OFW) working in China and other countries. The eruption of Taal Volcano in early January, the spread of the Coronavirus Disease 2019 (COVID-19) outbreak in the region, and the rise of COVID-19 infection cases in the Philippines in March, forced the economy to a near halt in the latter part of March due to severe disruptions in manufacturing, agriculture, tourism and hospitality, construction, and trade.However the Philippines government is taking several steps to control the spread of the virus, first off to this is the travel restrictions from other countries. It affects our economy because the Philippines is known to have many tourist destinations and this pandemic has cut international tourist arrivals as well as closing of hotels put around many of our countrymen jobs are at risk for the observation of social distancing. Tourists constitute the bulk of hotel guests and most of them are business travelers. Most of the hotels we have here in the Philippines are near the airports and a lot of hotel guests are local tourists, airline crews and delegates to live-in conventions and seminars. Restaurants have stopped operating as well as bars wherein a lot of people are coming to have fun. Second from banning travels are the education because it has a direct effect on the growth of an economy. All of us are not expecting this new normal as what have said by the government. As a student its really hard for us to adapt to this new way of learning, because most of the students are only doing self study at home instead of having a professionals who can explain the lessons that we can easily understand. Because I believe that the skills, education and training of the labor force have a big impact in our economy. A skilled, well-trained workforce is more productive and will produce a high-quality output. Another problems or issues regarding education is revenues from schools will be decline, closure of some school-related businesses, reduction in employment and income for those working on school-related sectors. There is also an impact in our export as a market are mineral products, veneer sheets, seaweeds, bananas, telecoms, chemicals, electronic data processing, and automotive electronics. Most of them are also from China. Those that are more likely to be affected are those that are consumer-oriented. Many people from developing countries leave their homes and families to seek employment abroad. Therefore it is another effect on our economy, the remittances from our Overseas Filipino Workers (OFW), if most of them are employed in tourism and tourism-related services lose their jobs they wont be able to send money to their relatives back home. Money remittances by our OFW’s contributed significantly to the country’s foreign exchange earnings. Money transferred by Filipinos from all over the world is the second largest source of foreign capital next to value added exports. These remittances have contributed to strengthening the nation’s position regarding balance of payments. COVID 19 is affecting two significant aspects: the supply and demand for food, which is directly related to food security. The food supply chain connects an agricultural system (the farm) with the consumer’s table including processes such as manufacturing, packaging, distribution and storage. Initially, the announcements of Enhanced Community Quarantine (ECQ) in the entire Luzon made people go to the supply centers and panic buying has been escalating since the start of the lockdown. It generates a shortage of some products, despite this, the food supply has stabilized because it is one of the systems that must be maintained to ensure food security. The construction industry creates direct jobs, income, and tax revenue. The rampant growing of Philippines construction industry is due to the ongoing infrastructure investment by the government. However with the continuous increase of COVID 19 cases, the government announced strict measures to immediately stop the ongoing construction of the said infrastructure for the time being. In a positive development, all public and private construction projects were allowed to resume in areas under General Community Quarantine (GCQ). The country’s construction industry will benefit from large-scale infrastructure projects, like the major projects under the “Build, Build, Build (BBB) Program”. According to the UN data, the Philippines population is estimated at 109,581,078 people and is equivalent to 1.41% of the total world population, wherein what we have to do mostly is to have a physical distancing with one another. Some said that high population growth creates pressures on limited natural resources, reduces private and public capital formation. As for me, growing economies need growing populations, increasing the supply of both workers and consumers, although the precise nature of this relationship is of course complex and variable. More importantly, the government spend a lot of money to provide relief goods and basic services to people to be quarantined, focusing on projects that has no connection to this current stuation, repatriating of Filipinos overseas back here in our country, and by not taking immediate action amid the first outbreak of this pandemic. Because of this our government tend to borrow money from other countries. Our government became dependent with the help that other countries would be giving. This affects our economy because over the long term, debt holders could demand largest interest payments and they’d want compensation for an increased risk that they won’t be repaid. Demands would further increase interest rates leaving less money for other economically stimulating activities and that would slow the economy from growing.
Hi everyone this is my first time here and let’s talk about the current situation of our country about how this pandemic affects the economy of the philippines. According to the Philippine Statistics Authority (PSA), China is Philippines top trading partner accounting for 18.8% of total trade. Wherein the Novel Coronavirus (COVID 19) first started specifically in Wuhan, China. Due to its proximity to China, the Philippines is at a far greater risk of increased cases of the said virus compared to other countries. The Philippines is also home to hundreds of workers from China working in the Philippines Offshore Gambling Operation (POGO). There are also migrant Filipinos often referred as Overseas Filipino Workers (OFW) working in China and other countries. The eruption of Taal Volcano in early January, the spread of the Coronavirus Disease 2019 (COVID-19) outbreak in the region, and the rise of COVID-19 infection cases in the Philippines in March, forced the economy to a near halt in the latter part of March due to severe disruptions in manufacturing, agriculture, tourism and hospitality, construction, and trade.However the Philippines government is taking several steps to control the spread of the virus, first off to this is the travel restrictions from other countries. It affects our economy because the Philippines is known to have many tourist destinations and this pandemic has cut international tourist arrivals as well as closing of hotels put around many of our countrymen jobs are at risk for the observation of social distancing. Tourists constitute the bulk of hotel guests and most of them are business travelers. Most of the hotels we have here in the Philippines are near the airports and a lot of hotel guests are local tourists, airline crews and delegates to live-in conventions and seminars. Restaurants have stopped operating as well as bars wherein a lot of people are coming to have fun. Second from banning travels are the education because it has a direct effect on the growth of an economy. All of us are not expecting this new normal as what have said by the government. As a student its really hard for us to adapt to this new way of learning, because most of the students are only doing self study at home instead of having a professionals who can explain the lessons that we can easily understand. Because I believe that the skills, education and training of the labor force have a big impact in our economy. A skilled, well-trained workforce is more productive and will produce a high-quality output. Another problems or issues regarding education is revenues from schools will be decline, closure of some school-related businesses, reduction in employment and income for those working on school-related sectors. There is also an impact in our export as a market are mineral products, veneer sheets, seaweeds, bananas, telecoms, chemicals, electronic data processing, and automotive electronics. Most of them are also from China. Those that are more likely to be affected are those that are consumer-oriented. Many people from developing countries leave their homes and families to seek employment abroad. Therefore it is another effect on our economy, the remittances from our Overseas Filipino Workers (OFW), if most of them are employed in tourism and tourism-related services lose their jobs they wont be able to send money to their relatives back home. Money remittances by our OFW’s contributed significantly to the country’s foreign exchange earnings. Money transferred by Filipinos from all over the world is the second largest source of foreign capital next to value added exports. These remittances have contributed to strengthening the nation’s position regarding balance of payments. COVID 19 is affecting two significant aspects: the supply and demand for food, which is directly related to food security. The food supply chain connects an agricultural system (the farm) with the consumer’s table including processes such as manufacturing, packaging, distribution and storage. Initially, the announcements of Enhanced Community Quarantine (ECQ) in the entire Luzon made people go to the supply centers and panic buying has been escalating since the start of the lockdown. It generates a shortage of some products, despite this, the food supply has stabilized because it is one of the systems that must be maintained to ensure food security. The construction industry creates direct jobs, income, and tax revenue. The rampant growing of Philippines construction industry is due to the ongoing infrastructure investment by the government. However with the continuous increase of COVID 19 cases, the government announced strict measures to immediately stop the ongoing construction of the said infrastructure for the time being. In a positive development, all public and private construction projects were allowed to resume in areas under General Community Quarantine (GCQ). The country’s construction industry will benefit from large-scale infrastructure projects, like the major projects under the “Build, Build, Build (BBB) Program”. According to the UN data, the Philippines population is estimated at 109,581,078 people and is equivalent to 1.41% of the total world population, wherein what we have to do mostly is to have a physical distancing with one another. Some said that high population growth creates pressures on limited natural resources, reduces private and public capital formation. As for me, growing economies need growing populations, increasing the supply of both workers and consumers, although the precise nature of this relationship is of course complex and variable. More importantly, the government spend a lot of money to provide relief goods and basic services to people to be quarantined, focusing on projects that has no connection to this current stuation, repatriating of Filipinos overseas back here in our country, and by not taking immediate action amid the first outbreak of this pandemic. Because of this our government tend to borrow money from other countries. Our government became dependent with the help that other countries would be giving. This affects our economy because over the long term, debt holders could demand largest interest payments and they’d want compensation for an increased risk that they won’t be repaid. Demands would further increase interest rates leaving less money for other economically stimulating activities and that would slow the economy from growing.