The economy reversed its 1.0% contraction in fiscal year 2020 (FY2020, ended 30 June), growing by 5.6% in FY2021. Industrial output grew by 7.8%, buoyed by fiscal incentives. Manufacturing was up by 10.5%, construction by 5.3%, and services rebounded by 5.7%, after pandemic-related restrictions were lifted. On the demand side, private consumption led the recovery, supported by government cash transfers and a record increase in remittances, along with an expansionary monetary policy. GDP growth, however, is projected to moderate to 4.0% in FY2022 due to slower domestic demand from monetary tightening, restrictions on automobile financing, and additional fiscal consolidation measures enacted in January 2022. Growth is expected to accelerate to 4.5% in FY2023 due to increased private consumption and investment. Greater macroeconomic stability is also expected to boost household and business confidence. 

Source: Asian Development Outlook 2022.
Latest Month-Ago Year-Ago
Composite Stock Price Index 1 47.0 (Aug23)45.0 42.0
Broad Money Growth 2 13.1 (Jul23)13.1 14.2
Headline Inflation Rate 3 27.4 (Aug23)28.3 27.3
Industrial/ Manufacturing Production Growth Rate 3 -1.2 (Oct21)1.6 21.9
Merchandise Export Growth 3 -4.6 (Aug23)-4.6 -8.1
Exchange Rate Index 4 491.7 (Aug23)476.7 370.4
1 Monthly average, local index.
2 %.
3 y-o-y, %.
4 Monthly average, January 2006 = 100, $/local currency.
Source: Bloomberg LP; CEIC database; Federal Bureau of Statistics.

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