AHFF Sector comprises 56.4% of the total GRDP of ARMM

May 9, 2018Special Release Ref No.: 2018-016

Result of the Gross Regional Domestic Product (GRDP) estimation for the Autonomous Region in Muslim Mindanao (ARMM) showed that the region’s economic performance accelerated by 7.3 percent between 2016 and 2017, after a rebound in 2016 with 0.4 percent growth rate and a contraction in 2015 at 0.4 percent negative growth rate. Philippine’s economic performance decelerated at 6.7 percentage in 2016-2017 from the 6.9 percent positive growth rate in the previous year.

ARMM’s economy was estimated at 54.5 billion pesos in 2017 which is higher than the previous year with only 50.8 billion pesos. Philippine’s economy was estimated at 8.6 trillion pesos in 2017 and 8.2 trillion pesos in 2016.

Fig. 1. Gross Regional Domestic Product, ARMM: at Constant 2000 Prices (in billion pesos)
Source: Philippine Statistics Authority
Fig. 2. Regional Growth Rates: 2016-2017 (At Constant 2000 Prices)
Source: Philippine Statistics Authority

Among the 17 regions in the country, there are seven regions which posted a higher GRDP growth rate than the national Gross Domestics Product (GDP) growth rate. These are Cordillera Administrative Region (CAR) at 12.1 percent; Region X (Davao Region) at 10.9 percent; Region III (Central Luzon) at 9.3 percent; Region VI (Western Visayas) at 8.4 percent; ARMM at 7.3 percent and Region II (Cagayan Valley) at 7.2 percent. ARMM ranked 6th in the entire country in terms of GRDP growth rate.

Agriculture, Hunting, Forestry and Fishing sector rebounded to 7.7 percent growth rate in 2017 from the 2.9 percent contraction in 2016. Agriculture and Forestry recovered from a 0.9 percent decline in 2016 to 8.7 percent growth rate in 2017. Similarly, Fishing turned around from 8.7 percent drop in 2016 to 4.5 percent growth in 2017.

Services grew faster from 5.5 percent in 2016 to 6.3 percent in 2017. All subsectors contributed positively to the entire sector. Transportation, Storage and Communication grew by 3.8 percent; Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods by 6.0 percent; Financial Intermediation by 8.7 percent; Real Estate, Renting and Business Activities (RERBA) by 2.0 percent; Public Administration and Defense by 5.9 percent; and Other Services by 12.1 percent.

Industry sector registered a 10.8 percent growth rate in 2017, faster than the 2.5 percent growth in 2016. Mining and Quarrying and Electricity, Gas and Water Supply posted a double-digit growth of 31.9 percent and 16.3 percent, respectively in 2017. Likewise, Manufacturing and Construction contributed positively to the growth but at a slower pace of 4.0 percent and 2.5 percent, respectively.

Table 1. Growth Rates by Industry Origin: ARMM, 2015-2016 and 2016-2017 (At Constant 2000 Prices), in percent
INDUSTRY/YEAR 2015-2016 2016-2017
a. Agriculture and Forestry (0.9) 8.7
b. Fishing (8.7) 4.5
a. Mining and Quarrying 3.9 31.9
b. Manufacturing 5.5 4.0
c. Construction 20.3 2.5
d. Electricity, Gas and Water Supply (11.7) 16.3
a. Transportation, Storage & Communication 3.4 3.8
b. Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods 8.3 6.0
c. Financial Intermediation 8.9 8.7
d. Real Estate, Renting & Business Activities 2.1 2.0
e. Public Administration & Defense; Compulsory Social Security 5.2 5.9
f. Other Services 9.2 12.1
Source: Philippine Statistics Authority

Agriculture, Hunting, Forestry and Fishing (AHFF) continued to account the largest share to the region’s economy at 56.4 percent. Services and Industry accounted for 37.7 percent and 5.9 percent, respectively.

Agriculture and Forestry contributed 76.4 percent from the total contribution of AHFF while the remaining 23.6 percent was contributed by Fishing subsector.

Fig. 3. Percent Distribution by Industry: ARMM 2017 (At Constant 2000 Prices)

Source: Philippine Statistics Authority

Public Administration and Defense accounted the largest share under Service sector at 35.3 percent followed by Real Estate, Renting and Business Activities at 20.8 percent; Other Services at 19.9 percent; Transportation, Storage and Communication at 11.0 percent; Financial Intermediation at 9.8 percent and Trade and Repair of Motor Vehicles, Motorcycles, Personal and Household Goods at 3.2 percent.

Under the Industry Sector, Electric, Gas and Water accounted the largest share at 35.9 percent followed by Construction at 29.4 percent, Manufacturing at 21.8 percent and Mining and Quarrying at 12.9 percent.

Table 2. Per Capita GRDP by Region: 2015 to 2017 at Constant 2000 Prices, in pesos
REGION/YEAR 2015 2016 2017
PHILIPPINES 74,833 78,676 82,592
NCR - NATIONAL CAPITAL REGION 218,987 232,739 244,453
Region I - ILOCOS REGION 46,180 49,474 51,728
Region II - CAGAYAN VALLEY 38,436 39,344 41,600
Region III - CENTRAL LUZON 63,641 68,634 73,921
Region IVA - CALABARZON 92,184 94,811 99,328
Region IVB - MIMAROPA REGION 39,575 39,784 41,421
Region V - BICOL REGION 25,770 26,686 27,504
Region VI - WESTERN VISAYAS 39,653 41,417 44,296
Region VII - CENTRAL VISAYAS 64,846 69,315 71,677
Region VIII - EASTERN VISAYAS 33,771 37,144 37,125
Region IX - ZAMBOANGA PENINSULA 41,873 43,043 43,300
Region X - NORTHERN MINDANAO 60,290 63,771 66,499
Region XI - DAVAO REGION 61,335 65,913 71,762
Region XII - SOCCSKSARGEN 44,178 45,459 48,240
Region XIII - CARAGA 35,553 35,537 36,308
Source: Philippine Statistics Authority

In 2017, the highest per capita GRDP was posted by the National Capital Region at 244,453 pesos while national per capita GDP was estimated at 82,592 pesos. In the case of ARMM, the estimated per capita GRDP is 13,989.00, about 83 percent lower than the national per capita GDP and about 4.7 percent higher than the 13,366 pesos 2016 per capita GRDP of the region. On the other hand, the 2017 economic output per capita index of ARMM to the national average is 16.9.

Technical notes:
Gross Domestic Product the total value of the goods and services produced by the people of a nation during a year not including the value of income earned in foreign countries
Gross Regional Domestic Product measures the economic performance of a region. It covers the value of goods and services produced in the region.
It is usually reported in terms of growth rate and expressed in real terms or at constant prices. Growth rate shows if the economy grows faster (accelerated) or slower (decelerated) or decline (contracted) compared to the previous period.
It measures the relative contribution of the three major economic sectors, Agriculture, Hunting, Forestry, and Fishing (AHFF), Industry, and Services.
Growth rate shows if the economy grows faster (accelerated) or slower (decelerated) or decline (contracted) compared to the previous period.
Per Capita - by or for each person
(Chief Statistical Specialist)