Based on President Arroyo’s TEN-POINT Legacy, the “8 for 2008” Government Priorities, the Philippine commitment to attain the Millennium Development Goals (MDGs), and the Super Regions Strategy for National Development, regional development in CAR targets the following in 2010:
Gross Regional Domestic Product (GRDP). CAR shall have attained 8.2 percent economic growth by 2010 (Table 2.1). In absolute terms, GRDP shall have reached about P40.48 billion, largely sourced-out from the industry sector particularly manufacturing and mining sub-sectors. The Baguio Economic Zone shall remain to be the driver for manufacturing, while the micro, small and medium enterprises (SMEs) surging to prominence in the long-term and later becoming the major economic driver for growth in CAR. Likewise, there shall be a resurgence of the mining industry in CAR while agriculture shall have shifted to organic farming using modern technologies. ICT for knowledge-based industries shall pick up with the rise in transport and communication, trading and private services particularly in education, health and tourism sectors.
Employment rate by 2010 would rise to 98.6 percent or an annual average growth in absolute employment levels by 6.9 percent translated into 934,000 employed persons. There shall be an increase in gainful employment in the countryside, and underemployment will drop from 10.9 in 2003 to 6.5 percent by 2010. Labor-saving industries shall be established and there will be upsurge of jobs in tourism, education, health sectors, and in knowledge-based industries.
Investments would grow by about 10 percent from 16.5 percent share to GRDP (2003 level) to 20.0 by 2010. While current government outlays will perk up regional investments, the private sector shall still take the lead role with higher expenditures on durable equipment, breeding stocks and nurseries development, and construction.
Regional Exports would expand annually by 8.5 percent until 2010 to increase CAR’s share to overall NDA target. The regional exports shall comprise products, services and technologies from Baguio Ecozone, research and development centers and local agro-processing and manufacturing industries outside of the Baguio-Benguet area. This implements the forward-backward linkages of the urban-rural economies of the region.
Regional Poverty Incidence
would decline to 15.7 percent by 2010 or, in absolute terms, the number of poor families will decline to 53,963. More aggressive production activities, greater employment opportunities, and improved wage structure will allow poverty incidence to decline faster. In particular, prioritized development of rural areas will bring about greater welfare gains.