Eastern Visayas: Government spending and robust economic activities have propelled the Gross Regional Domestic Expenditure (GRDE) in Eastern Visayas to a steady growth in 2024, as highlighted by an official from the Department of Economy, Planning and Development (DEPDev), previously known as the National Economic and Development Authority.
According to Philippines News Agency, the GRDE of Eastern Visayas saw an increase of 6.2 percent, climbing to PHP555.62 billion from PHP523.22 billion recorded in 2023. This growth was significantly influenced by both government and private sector spending, leading to a 6.8 percent rise in household consumption. Household consumption, which constitutes 88.3 percent of the 2024 GRDE, is defined as the expenditure of residents within the domestic territory and other regions, including international spending.
Meylene Rosales, the regional director of DEPDev Eastern Visayas, attributed the surge in household spending to improved household incomes, which were bolstered by wage hikes and sustained government support. The minimum wage in the private sector was increased to PHP405 in 2024, with a further rise to PHP435 set for June 2025. Additionally, the Salary Standardization Law VI contributed to increased earnings for government employees.
On the demand side, gross capital formation accelerated markedly, growing by 9.4 percent in 2024 compared to 4.4 percent in the previous year. Rosales, referencing data from the Philippine Statistics Authority (PSA), noted that this uptick was mainly driven by investments in durable equipment, breeding stocks and orchard development, and construction. These areas reflect a robust infrastructure rollout and heightened building activities.
Government expenditure, accounting for 21.9 percent of the GRDE, grew by 5.7 percent last year. This was largely due to the implementation of health and social protection programs, particularly cash transfers aimed at mitigating inflation impacts on low-income households. Notable initiatives included PHP3.2 billion allocated for social pensions for indigent senior citizens, PHP6.25 billion for the Pantawid Pamilyang Pilipino Program, and PHP1.4 billion for the Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers (TUPAD) program.
