September 1, 2006

Greater harvest boosts growth in Philippines's economy

Agricultural production, comprising a fifth of the Philippines' economy in 2005, grew 3.7 percent, the fastest pace in almost five years, the country's local media reported. 

Favourable weather in the second quarter expanded output a lot faster than projected and led to stronger growth, said Song Seng Wun, an economist at CIMB-GK Research.

Philippine farmers planted more crops in the second half of 2005 to take advantage of abnormally high rainfall caused by La Niña's weather cycle, which led to a bigger harvest.