Indeed, in the absence of natural resources and a limited availability of the usual mechanisms for increasing competitiveness, enhancing the public infrastructure is considered crucial for economic growth in this region. In that sense, higher public savings to help funding increased public investment should be considered a necessary complement to a pegged exchange rate, which is also often the rule in this region.
Amando M Tetangco, Jr: The Philippine economy – building resilience in a time of uncertainty Speech by Mr Amando M Tetangco, Jr, Governor of the Central Bank of the Philippines (Bangko Sentral ng Pilipinas), at the Economic Forum “Philippine Economic Outlook – Prospects and Challenges”, hosted by Security Bank, Manila, 11 February 2009.