The government retained its 5.3-percent estimate for Philippine economic growth in the third quarter of 2014.
The Philippine Statistics Authority (PSA) said that, while there were significant revisions in the growth estimates in the trade and repair and other service sectors, “the changes were not adequate to affect the preliminary gross domestic product [GDP] estimate made in November 2014,” the PSA said.
The PSA said, however, that there was a downward revision in the net primary income (NPI) from the Rest of the World to 2.2 percent from the earlier estimate of 5.1 percent.
This caused the PSA to significantly cut the estimate for the country’s Gross National Income (GNI) in the third quarter.
The new estimate was revised downward to 7.7 percent from the initial figure of 8.1 percent.
GDP refers to the value of all goods and services produced domestically; the sum of gross value added of all resident institutional units engaged in production.
This includes any tax, minus any subsidy, on products not included in the values of their outputs.
GNI, on the other hand, is the total value of goods produced by the Philippine economy in a certain period of time. This is the reason computing for the GNI includes the NPI.