Cordillera’s economy contracted in 2020 | Philippine Statistics Authority

Release Date :

Thursday, April 29, 2021

Reference Number :

PSA-CAR2021-04-01

The economy of Cordillera contracted by 9.9 percent in 2020 from the 4.4 percent growth the previous year. The biggest decline was seen on the following: Other Services, which include, but are not limited to, arts, entertainment and recreation, barbershops, salons and funeral parlors, with negative 51.4 percent; Accommodation and Food Service Activities with negative 49.0; Transportation and Storage with negative 26.6 percent; and Manufacturing with negative 16.3 percent. The biggest contributors to the decline of CAR economy were Accommodation and Food Service Activities and Manufacturing, which pulled further down the decline of the economy by 3.0 and 2.2 percentage points, respectively.

Growth Rates by Industry/Subindustry, CAR 2019-2020

At Constant 2018 Prices, in Percent

Source: Philippine Statistics Authority (PSA)

Services accounted for more than half of the region’s total economic output with 66.3 percent share followed by Industry with 23.6 percent share and Agriculture, Forestry, and Fishing with 10.1 percent share. Of the 9.6 percent economic contraction of the country in 2020, Cordillera remained to be one of the least contributors with negative 0.2 percentage points. CAR economic output accounted for only 1.7 percent of the total GDP.

Expenditure Performance of the Region

Cordillera’s exports of goods and services decline

Exports of Goods and Services to the Rest of the World was the major driver of the 9.9 percent decline of the CAR expenditures in 2020. Among all the expenditure items, only Government Final Consumption Expenditure (GFCE) registered a growth of 7.2 percent. On the other hand, the 42.6 and 29.0 percent contractions observed from Imports and Exports of Goods and Services from and to the Rest of the World greatly hampered the expansion of expenditures in the region.

Growth Rates by Expenditure Item, CAR 2019-2020
At Constant 2018 Prices, in Percent

The per capita Household Final Consumption Expenditure (HFCE) of CAR was estimated at 118,236 pesos in 2020. This was slightly lower than the national per capita HFCE of 118,723 pesos. This was also lower than the per capita HFCE of CAR in 2019 of 129,731 pesos. This means that, on the average, an individual member of a household spent 118,236 pesos on final consumption of goods and services that includes purchase of consumer goods and services, barter transactions, goods and services in kind, and goods and services produced and consumed by the same individual. CAR was among the seven regions that surpassed the 100,000 peso-mark in terms of per capita HFCE in 2020.

Table 1. Percentage Share and Growth Rates of Gross Regional Domestic

Product by Industry, CAR: 2018-2020