RP 2008 growth seen

Philippine economic growth will probably skid to a six-year low this year on sluggish exports and as high food and fuel prices depress consumption, a Reuters quarterly poll showed.

After hitting a more than three-decade peak in 2007, growth will slow this year and is likely to be almost flat next year as a global economic slowdown and the U.S. financial crisis dampen demand for the country's key electronics exports.

A Reuters poll of 10 economists last week gave a median forecast of 4.6 percent economic growth this year, off a July poll forecast of 5.1 percent and last year's revised figure of 7.2 percent, but sees growth strengthening slightly to 4.7 percent in 2009.

The economy will find support from strong inflows of remittances from overseas Filipino workers, equivalent to roughly 10 percent of GDP, which will continue to cushion private consumption and slow the peso's fall.

"Remittances remain on the rise this year, so far unaffected by what's happening globally," said Angus To, analyst at BNP Paribas in Hong Kong, adding that money sent home by Filipino workers abroad would prop up consumption despite global uncertainties.

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