The Federation of Filipino-Chinese Chambers of Commerce and Industry Inc. (FFCCCII) is urging the government to implement reforms to reverse the forecast of a slower economic growth this year.

In a statement, FFCCCII President Victor Lim said the projection of De La Salle University (DLSU) economists that the country’s gross domestic product (GDP) would hit 4.5 percent this year is a “sobering warning.”

“This pace, below our nation's potential, demands an immediate, unified response,” said Lim.

In their January report, DLSU economists downgraded their year-end forecast from 4.8 percent last month to 4.5 percent. This is slower than their full-year projection of 4.8 percent growth for last year.

The forecast is also below the government’s revised projection for the year by five to six percent.

Earlier, FFCCCII encouraged the government to aim for an eight percent GDP growth, saying that this is the “ideal benchmark of transformative progress.”

To achieve faster economic growth, Lim said the Marcos administration should embrace a reform agenda to reignite confidence in the economy and accelerate inclusive growth.

Central to this agenda is to enact transparent enforcement of systemic anti-corruption measures to restore institutional trust in the government.

Last year, economic growth was subdued due to softer government spending following the corruption scandal that paused multiple infrastructure projects.

To this end, FFCCCII is asking the government to “aggressively woo” local and foreign investors by guaranteeing protections and ensuring ease of doing business.

The business group said an incentive program to entice technology adoption should be implemented to foster growth in the key growth sectors of manufacturing and agriculture.

This should be supported by constructing strategic infrastructure, such as ports and hubs, to address the disconnect between markets scattered across the archipelago, FFCCCII said.

In addition, the group is pushing for increased investments in education, skills, and universal healthcare to help alleviate poverty in the country.

FFCCCII said the government should also focus on green and digital transformation to position the country as a regional hub for sustainable technology.

Lastly, it seeks to create a tourism “renaissance” master plan to help the country attract tourists, thereby further stimulating the economy.

“By uniting behind these reforms, we can build the resilient, soaring economy every Filipino deserves,” said Lim.

“The time for action is now,” he stressed.