Philippines typhoon causes infra spend boost

The government of the Philippines is to increase its infrastructure spending for 2014 by around $1.5bn following the damage caused by the recent typhoon.

The Aquino government will now increase the spending to nearly $10bn for next year, up from around $8bn, which represents 3.5 % of the country’s projected gross domestic product.

It is also considering raising the budget deficit ceiling as a result, in a bid to meet the expenditure needs in the aftermath of the disaster.

Economic Planning Secretary Arsenio Balisacan said the additional budget for infrastructure could be made possible mainly by shifting portions of the budget allocations for less important expenditure requirements.