Northern Mindanao Records the Highest Expansion of Government Spending in 2019

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Release Date: 

Friday, November 20, 2020

The economy of the region expanded by 5.9 percent in 2019. At the expenditure side, the region topped in terms of growth rate in government spending at 19.2 percent. Government spending in the region amounted to PhP 94.31 billion in 2019 sharing 3.9 percent to the total government spending in the country.

Gross capital formation also grew by 11.1 percent in 2019. This includes gross fixed capital formation (construction, durable equipment, breeding stocks and orchard development, and intellectual property products), changes in inventories, and valuables. 

Household final consumption expenditure recorded an increase of 5.2 percent in 2019. This includes final consumption expenditure incurred by resident households on goods or services to satisfy human needs and wants, and not for business purposes.

Exports of goods and services to the rest of the world increased by 4.8 percent in 2019. Imports of goods and services from the rest of the world, likewise, increased by 6.4 percent.

Meanwhile, net exports of goods and services to rest of the Philippines showed a contraction of 9.5 percent.

Household Final Consumption Expenditure shared the bulk of the total regional expenditure

Looking at the shares of expenditures, household final consumption expenditure had the biggest share of the total expenditure at 55.8 percent, with government final consumption expenditure contributing the least share of 10.9 percent. (Figure 2)

Region X ranked third among the 17 regions in terms of share of spending in Gross Fixed Capital Formation in Breeding Stocks and Orchard Development at 9.9 percent amounting to PhP 39.98 billion. Moreover, the region ranked second in terms of share of spending in Valuables reaching PhP 0.24 billion, which constituted 16.5 percent of the total national spending in Valuables. (Table 1)

Household Final Consumption Expenditure as the main driver of economic growth

The main drivers of economic growth in the expenditure side are Household Final Consumption Expenditure (HFCE), Gross Capital Formation and Government Final Consumption Expenditire (GFCE).  (Table 2)

Real per capita HFCE increased by 3.8 percent

Real per capita Household Final Consumption Expenditure (HFCE), which is the amount of household spending per person, reached PhP 97,939, an increase of 3.8 percent from the recorded per capita HFCE of the previous year. This is lower than the national level which amounted to Php 130,743. (Figure 3)

The Gross Regional Domestic Expenditure (GRDE) measures the economic performance of a region from the perspective of the expenditures of residents of the region. This represents the final value of goods and services produced in the region during the reference period. It is defined as the expenditure of residents of the region in the domestic territory plus their expenditures in other regions, including the rest of the world.




(Chief Administrative Officer)


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