Consumption continues to rise on higher farm incomes, rising employment and increasing consumer loans. Still, rising material costs slowed construction. |
Exports also sustained growth in manufacturing. Government spending has accelerated and will continue to be the main driver for growth next year with mega projects. |
If political tension cannot be resolved by June, it could lead to an alarming imbalance in the trade account, the current account and the balance of payments. |
Plenty of rain this year has helped crop production, especially rice and corn, after falling sharply last year because of drought. |
The upward interest rate trend will continue because the real interest rate is still negative. |
We foresee that this year should be a year of investment and high export growth, therefore we need foreign currencies to finance investment and imports of raw material, as well as capital goods. |