Revenues of key industries up 10.8% in Q2 – PSA

MANILA, Philippines – Revenues of the country’s key industries grew by 10.8 percent in the second quarter of 2014, led by the double-digit growth rates in the transportation, communications, and real estate sector.

Philippine Statistics Authority (PSA)Interim Deputy National Statistician Officer-in-Charge Romeo S. Recide said the total gross revenue index of key industries grew by 10.8 percent in the April to June period, higher than the 9.6 percent expansion a year ago.

Among industries, revenues in the transportation and communication grew the fastest at a rate of 21.1 percent in the period, compared to a growth rate of only 2.7 percent growth in the same period in 2013.

With a strong and sustained 15.8 percent, the real estate sector improved its gross revenue gain from 11.9 percent last year.

Earnings from manufacturing grew by 13.8 percent from three percent last year.

The private services contracted this quarter, while finance and trade slowed down, with revenues falling by 10.3 percent and 9.6 percent from 12.0 percent and 12.6 percent, respectively.

Recide said that total employment index improved from a 1.1 percent growth rate in 2013 to 4.7 percent this year. Except for electricity and water, which declined by 0.3 percent, all sectors registered gains.

Based on the October 2014 issue of the Quarterly Economic Indices (QEI), growth of the total employment index was largely caused by the upturn of transportation and communication with a growth rate of 5.9 percent, and manufacturing with 5.2 percent.

Employment in the mining and quarrying rebounded to 7.8 percent growth this year from the 1.7 percent drop posted in the same quarter last year.

Meanwhile, employment in the finance sector accelerated to 8.7 percent from 1.2 percent last year. Real estate and private services slowed down to 10.4 percent and 5.3 from 11.2 percent and 5.8 percent last year.

On the other hand, employment in trade slightly grew with 0.1 percent, albeit slower than the 3.1 percent in 2013.

Total compensation index accelerated to 6.3 percent, from 4.5 percent growth posted last year.

The growth in compensation was led by real estate and finance, which maintained its double-digit growth for the past two quarters with 26.9 percent and 14.4 percent, respectively.

Compensation in private services sped up with 8.3 percent growth from 6.6 percent growth last year. Transportation and communication accelerated with 7.3 percent growth compared to 6.8 percent in the same quarter in 2013.

Similarly, the manufacturing sector went up by 6.1 percent growth this quarter from 1.6 percent growth last year.

Mining and quarrying slowed down in Q2 2014 only posting a two-percent growth compared to the 12.7 percent in 2013.

Total compensation per employee index decelerated to 1.5 percent from 3.3 percent registered last year.

“The deceleration was attributed to the decline in mining and quarrying, which posted a negative 5.4 percent, Transport and communication with 1.3 percent growth from 6.8 percent, Finance with 5.3 from 15.8 percent growth,” the PSA official said.