The International Monetary Fund (IMF) upgraded Wednesday its 2012 growth forecast for the Philippines to 6.5 percent on back of its strong fundamentals.
"This growth resilience and more favorable outlook is both a testament to the Philippines' improved macroeconomics fundamentals, policy reforms and a reflection of the exceptional goal setting," IMF Mission Chief Rachel van Elkan said in Wednesday's briefing in Manila.
This figure is up from the IMF's original 4.8 percent forecast announced in October and higher than the government's five to six percent target for 2012. As of the third quarter of 2012, Philippine GDP rose 6.5 percent. The official full-year growth data will be released Jan. 31.
"The focus on good governance has buoyed confidence and is supportive of more-inclusive growth," she added. The IMF just concluded its Article IV consultation with Philippine authorities that included an examination of government policies.
The IMF also raised its 2013 forecast to six percent, up from last October's 4.8 percent GDP growth forecast. /.