The expected slowdown in other advance economies, including those in Europe and Japan, dampens further the country’s FDI prospects. III. Sources of resilience of the Philippine economy  While the Philippines is not immune to the contagion from the global financial turbulence, underlying strengths or buffers in the economy remain that can help it ride out the storm.
Restructuring measures by domestic industry, overall reduction in domestic interest rates, both nominal and real, improved corporate profitability, benign investment climate amidst strong global demand and commitment rules-based fiscal policy have led to the real GDP growth averaging close to 9 per cent per annum over the 4-year period ended 2006-07; growth in the last two years has averaged 9.5 per cent per annum.