Philippines - Current economic position and prospects

I REPCFRTS j9R.I Report No. FE-34a J \IWITHIN X L ONE WEEIK . _ This report was prepared for use within the Bank and its affiliated organizations. I They do not acceDt responsibility for its accuracy or completeness. The report may not be published nor may it be quoted as representing their views. INTERNkTIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION CURRENT ECONOMIC POSITION AN:D PROSPECTS OF THE PHILIPPINES January 6, 1964 Depart.ent of Operations Far East:  EXCHANGE RATE 1 peso = $0. 256 1 dollar = P3. 91 One million pesos = $256, 000 One million dollars = 1.3, 910, 000 The above is the average free market rate for the peso during July 1962 - June 1963. This is generally applicable for foreign exchange transactions other than export receipts. For the latter, there is a surrender requirement of 200n of the proceeds at the old official rate of 2 pesos per dollar. The effective rate for exports averaged, tnereiore, 3. D1 pesos per doliar during July 196O - June 1963.  mAflT nR OF nrnTMrrTS ragJLe No. U .0asiC U as zoo o ae o o . a . . . Sunmary and Conclusions D o i 0 o 9 * 0 0 o e ** e- Chapter I., General Bac;k-ground,,00o0ooooo0.. e*.0.*. *o... 0-0.0 1 Introduction.... .....oooe.ooo0 .. oe... eo0o.oo.ooo.. 1 Natural Resources... O, . . . ... *.* 0.0 A ........ . 2 Human Resourceso0*......... ... . .. D*.....,.. 2 Social and Political Background0 e0o 0*. c . .. o...... 2 Chapter 11 Economic Trends- *...... 00-00 O. .00.0..9 . .... .. 5 Controls and Decontrol .......... . ........ * * * * o5 Prodletion, Investment and Finance @.*e*.o. . *... . ** 6 Introduction ......... . f oo.000000 0900 0 .0. 6 Manufacturing ... ....**9o0e0 o o0 0o o..o. o * 7 The Export Sector .......... 000* .. 000.0 ...... ... 9 Domestic Agriculture 0 0 0 0 O ......* . 10 The Public Sector., *0 D .. 0 00 00000 0000 11 Private Credit and Monetary Developments90009090. .. 13 Balance of Payments...... e *.... 00o00o . 00aoo o 15 Chapter III. The Economic OutlookO0 ooo* ......* ..0 .... o oo.00 19 Development Problemso0,,. S,*0*0 ..*.o0000.......... S.-* 90 19 The Development Potential. 0C0000 00.000.00.0000 ....... 21 Development Planning and Progress9 ....................... 21 Pro;peots 0oe * eooe. o........ *.. c *r ** o ...... .... 22 Statistical _ 'y,-e,ndix Annex I. Brief Outline of Fiscal Operations i n the Phi I i ne,ir T tnti nnal Gcrvern-r nt A',nnex TIT fRas'is ffor Thrport ralue Projections  DfRHOLUd AJHIR Axea: 11:5,000 sq. miles Arable land 46,000 sq. miles Forest 43,500 sq. miles Other 25,500 sq. miles Population (census 1960): 27.1 million E;stima:,ted population growtlh (early 19601s): 3.2k p.a0 Per Capi-ta Incom-e: (1962) P500 ($130) Output and Employment by Industries: (1962) Percent of Output Percent of Employment Agricultlre 33 60 Mining 2 CIO Manufacturing 21 12 Construction 4 3 Transportation, Utilities 3 4 Commerce, Trade 11 10 Other Services 26 11 Annual Rate of Growth in Real Output: 1955-1962 1958-1962 5T 43 Government Finances (in million P): Fiscal vear 1960 1961 1962 1963 Revenue :1,177 ]J263 172 1,752 hm Pn di