Philippine August trade gap narrows to 15-month low

THE PHILIPPINES’ trade-in-goods deficit narrowed by 3.5% year on year to $3.85 billion in August — the smallest gap in 15 months — as merchandise exports grew faster than imports, the Philippine Statistics Authority (PSA) said on Wednesday.  

The country’s trade balance has remained in deficit since the $64.95-million surplus in May 2015.  

Merchandise exports jumped by 27.8% to $9.11 billion last month from 5.5% growth recorded a year earlier and 10.9% in July.  

Imports rose by 16.6% to $12.96 billion, reversing the 0.3% decline in August last year but slowing from the 23% surge in July.  

For the eight-month period, the trade-in-goods deficit widened by 26.34% to $41.56 billion from a year earlier. Exports rose 14.78% to $64.04 billion year on year, while imports climbed 19% to $105.6 billion, the PSA said. 

The Development Budget Coordination Committee expects exports to rise 3% and imports by 5% this year. — Beatriz Marie D. Cruz