Based on 2023 PSA data: Cebu records positive economic performance

CEBU, Philippines — Cebu Province and its three highly urbanized cities have posted significant economic growth in 2023, says the Philippine Statistics Authority (PSA)-7 during the Provincial Product Accounts Dissemination Forum yesterday.

PSA-7 Chief Statistical Specialists Engr. Leopoldo P. Alfanta, Jr. and Melchor Bautista reported that Cebu Province and the cities of Cebu, Mandaue and Lapu-Lapu recorded positive economic performance in the 2023.

Neil Andrew Menjares, Chief Economic Development Specialist of the National Economic and Development Authority (NEDA)-7, noted that the region's economic activities have recovered from the effects of the pandemic.

“A very significant development because our economic activities are now in full swing. And notably, full in-person classes played a big role because the parents already have a place to deposit their children,” said Menjares.

“As the local economy and the regional economy continue to grow, we are optimistic that these industries will eventually recover,” he added.

With a Gross Domestic Product (GDP) of P1.38 trillion, Central Visayas remains a thriving economic region, with the Province of Cebu maintaining its position as the largest contributor, accounting for 29.8 percent of the region's total economy.

The province's economy expanded from P388.06 billion in 2022 to P411.32 billion in 2023, reflecting a faster growth rate of 6.0 percent compared to the 5.0 percent recorded in 2022.

Cebu City ranked second, contributing 22.6 percent to the regional economy. Bohol followed with a 13.2 percent share, while Negros Oriental ranked fourth with 12.9 percent. Lapu-Lapu City claimed fifth place with 12.0 percent, Mandaue City came in sixth with 8.5 percent, and Siquijor rounded out the list with a 0.9 percent share.

The sector that has the largest share was the services with 62.0 percent, followed by industry with 29.1 percent share, and last was the AFF with 8.9 percent share.

Furthermore, Cebu City posted 8.3 percent growth, slower than the 8.5 percent growth registered in 2022. Its GDP expanded P312.71 billion in 2023 from the P288.77 billion recorded in 2022.

Lapu-Lapu City, on the other hand, recorded 9.4 percent in 2023 which amounted to P165. 61 billion, slower than the 13.2 percent growth in previous year.

Economic performance of Mandaue City exhibited 7.6 percent growth amounting to P117.99 billion. The three major sectors that contributed to the region’s economy were industry, services, and agriculture, forestry, and fishing (AFF).

In terms of major industries' contribution to the economy, Services dominate in Cebu City and Mandaue City, accounting for 89.7 percent and 68.3 percent, respectively.

Meanwhile, Industry holds the largest share in Lapu-Lapu City at 50.5 percent, with Services coming in second at 49.2 percent.

All the three cities have small portions for Agriculture, Forestry, and Fishing (AFF), Cebu with 0.5 percent share; Lapu-Lapu at 0.3 percent share; and Mandaue with 0.03 percent share.

In Cebu City, Financial and Insurance Activities, Wholesale & Retail trade; repair of motor vehicles and motorcycles and Accommodation and food service activities were the major contributors. Major contributors for Lapu-Lapu are Transportation and storage, Accommodation and food service activities, and Construction.

For the City of Mandaue, the major contributors are Wholesale & Retail trade; repair of motor vehicles and motorcycles, Accommodation and food service activities, and Transportation and Storage.

PSA-7 regional director Ariel Florendo emphasized the significance of the dissemination forum.

“That’s why we have this Provincial Product Account so that other LGUs and even national agencies will look at the results to assess their policies and programs effective ba siya or is it weakening.”

PPA is a “mechanism to compile the GDP using production approach and other economic accounts at the sub-regional level.”

The GDP is a measure of economic activity and measured the value of all final goods and services produced within the economy in a given period of time. — /FPL (FREEMAN)

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