Paper on the Fiscal Condition of the Philippines During the Covid-19 Pandemic, Exercises of Public finance

Download Paper on the Fiscal Condition of the Philippines During the Covid-19 Pandemic and more Exercises Public finance in PDF only on Docsity! Fiscal Condition of the Philippines during the COVID19 Pandemic Before the pandemic, the Philippines was one of the few bright spots in both the ASEAN and ASIAN region in terms of economy. However, when the travel and economic restrictions were imposed to prevent the spread of the disease, the Gross Domestic Product had a sharp decline, suffering a loss of 10% on the average. This is after the GDP went on an 84 consecutive quarters of growth tallied. Somehow, the economy is picking up the slack and is slowly recovering from the dip. During the 4th quarter of 2020, the Philippines closed the year on a positive note, with 10.6%, form a -5.3% rating from the previous quarter. The country is also showing signs of hope and improvement as the restrictions were gradually lifted, partially attributed to the decreasing number of COVID19 cases and the vaccination program. As per the Bangko Sentral ng Pilipinas (BSP), the inflation rate from 2020 to 2022 may be within the range of 2.6% to 3.2%, well within the target and manageable range set by the agency which is at 2-4%, given the circumstances and the situation. Aside from the pandemic, the inflation rate is also affected by the weather disturbances and international oil price hikes across the globe. Meanwhile, the unemployment rate was at its highest at 17.7% where economic activity was restricted for fears of rapid spread of infection. It was at this time in April of 2020 when the government decided to impose the strictest lockdown and community quarantine classification