Philippines exports fall for 13th straight month on muted manufacturing growth

Philippines exports fell for the 13th straight month in April as manufacturing remained muted that helped prevent exports from making a significant contribution. Lack of functioning infrastructure and onerous restrictions on foreign investment have restricted manufacturing sector, which accounts for over 30 percent of the country’s gross domestic product.

Exports from the Philippines fell for a thirteenth consecutive month in April, but came in better than expected as price falls eased back from a downward dive in March. The value of exports contracted 4.1 per cent year-on-year in April, coming in above a consensus forecast from economists of -4.7 per cent and improving notably from the previous month’s fall of 15.1 per cent, data released by the Philippine Statistics Authority showed Friday.

The latest trade data comes at the near-end term of President Benigno Aquino III, during whose reign, the country has seen dramatic improvement in sovereign debt ratings due to rise in spending caps, at the expense of infrastructure investment.

The total value of exports in the first quarter of 2016 was equivalent to almost 19 percent of gross domestic product for the period, according to figures from the Philippine Statistics Authority.

Meanwhile, major policy changes are unlikely in the short term with the Presidential election due on June 30 and the outgoing administration already has planned the budget for 2016.