Davao region’s economy posts growth

DAVAO CITY (MindaNews/25 July)–From 3.7 percent in 2011, the Gross Regional Domestic Product (GRDP) of the Davao region increased to 7.4 percent in 2012, Rosendo Aya-ay, acting head of the National Statistics Coordination Board (NSCB) in Region XI, announced during Thursday’s release of the 2012 Report on the Regional Economy of Davao Region.

Maria Lourdes Lim, director of the National Economic and Development Authority (NEDA) in Region XI, said the region’s performance last year surpassed the target GRDP of 6.8 percent.

“We are happy that the Davao region posed a strong and better than expected economy in 2012,” she added.

The services sector contributed 4.80 percent of the total growth rate while the Industry and Agriculture, Hunting, Forestry and Fishing (AHFF) sectors pitched in 2.56 percent and 0.08 percent, respectively. The services sector’s share increased from 52.2 percent in 2011 to 53.0 percent in 2012. The other sectors’ contributions last year were: Industry with 29% and AHFF with 17.9%

Lim said that government services, transportation, real estate, business subsectors and the establishment of more shopping malls and tourist destinations in the region were among the factors that added to the growth of the services sector.

The AHFF sector’s low contribution, on the other hand, was due to the typhoons, including super typhoon Pablo, which damaged many plantations in the region last year. It decreased the production of crops such as coconut, cacao and banana, which were supposed to be the main agricultural products of the region.

Records of the NSCB also showed that Davao region ranked 7th in the economic performance per region in the country.

In Mindanao, the region ranks fourth in economic performance last year. Zamboanga Peninsula emerged at the top at 12.4 percent followed by Caraga region with 10.6 percent and Soccsksargen region with 8.1 percent.

The Davao region ranked second in the Mindanao regions with significant change in growth rate with 3.7 percent, next to Zamboanga Peninsula with a staggering 12.3 percent increase.

Jose Ramon Albert, NSCB secretary general, said the Davao region remains to have the biggest economy in Mindanao, holding a percentage share of 26.6 percent.

The contribution of Davao region to the country’s GDP also increased from 0.1 percent in 2011 to 0.3 percent the following year. (Florienne Melendrez/MindaNews)

URL: http://www.mindanews.com/business/2013/07/25/davao-regions-economy-posts-growth/


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