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Figure 5. Gross Regional Domestic Product, Western Visayas
consumer spending during the May 2022 election season may also contribute to the growth of the economic growth of the region. The upcoming election will make businesses, such as printing and advertising, vibrant. The reopening of business establishments and tourism activities as well as public spending on infrastructure, and the continued vaccination of the population will help the region accelerate recovery in 2022. The subsequent reconstruction and rehabilitation activities could offset the impact of the typhoon and spur economic activities, thereby providing more livelihood opportunities, particularly to the skilled workers. Reconstruction should be fast-moving to counterbalance the impacts on agriculture.
On the other hand, imposing restrictions on economic and social activities in the region through a higher ALS classification status will hinder the overall recovery of the region from the pandemic and from the damages and losses incurred from the disaster. The adverse effects may dampen the gains from the sectors and can further push back the region’s recovery from the COVID-19 pandemic. Economic shutdown, brought about by the surge of the pandemic and/or as a result of the global economic shock due to the Russia-Ukraine conflict, is projected to hugely impact the regional economy which can result in the deceleration of the GRDP to a maximum low of -13.15 percent.
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Figure 5. Gross Regional Domestic Product, Western Visayas
Source: PSA-VI and NEDA-VI Estimates
It is therefore critical to provide the necessary interventions to ensure recovery from the disaster and facilitate the sustainable reopening of the economy into the new normal. There is a need to increase investment inflow to the region’s priority industries to improve the region’s economy, create more quality employment opportunities, and increase labor productivity. There is also a need to sustain poverty reduction efforts to cushion the impact of the disaster, especially to one disadvantaged and vulnerable groups. Domestic tourism should be back on track to have more tourism receipts to contribute to the economy of the region. Remittances from overseas Filipino workers (OFWs), who would likely extend financial support to their families because of emergencies, could help mitigate the decline of the GRDP.
