Bangko Sentral ng Pilipinas (BSP) Governor Benjamin Diokno considers as “highly unlikely” any ratings downgrade for the Philippines after the domestic economy posted another growth contraction in the second quarter of 2020.
“The sharp fall in Q2 GDP does not pose a danger to the Philippines strong macroeconomic fundamentals: relatively low debt-to-GDP ratio, one of the highest tax effort in the region, benign inflation and well-managed inflation expectations, strong peso, hefty gross international reserves, well-capitalized banking system with low non-performing loans,” he said in a text message to journalists Friday.