Philippine Finance Head Warns Graft Scandal May Slow Economy

Philippine Finance Secretary Ralph Recto has warned that the government's crackdown on corruption in infrastructure projects may slow the country's economic growth until early 2023. Recto stated that the ongoing anti-corruption efforts could impact the pace of project implementation, but he believes that further interest rate cuts would be beneficial for the Southeast Asian nation. The finance secretary's comments come amid the government's efforts to address corruption, which has been a persistent issue in the Philippines. The clampdown on graft in infrastructure projects is seen as a crucial step in ensuring the efficient and transparent use of public funds, but Recto has cautioned that it may have a temporary effect on the economy's overall performance. Despite the potential short-term slowdown, Recto remains optimistic about the country's economic prospects, suggesting that additional interest rate cuts could help mitigate the impact and support the overall growth of the Philippine economy.