Despite the economic slowdown brought about by super typhoons that hit hard on Bicol’s agriculture-based economy, the National Economic Development Administration (NEDA) sees improvement at the onset of third quarter (Q3) as rehabilitation works progress and agricultural production increases.

        In its second quarter (Q2) report, the NEDA also sees better performance in the tourism industry for the annual Peñafrancia fiesta celebration in September which is expected to increase tourist arrivals.

        “This will increase the demand for tourism-related products and services like transportation, hotel accommodation, entertainment, food and souvenirs,” it added.

        The NEDA further casts on the continuing stronger peso exchange rate at P46 to $1, restored communication facilities that it foresees to increase business opportunities, and partial rehabilitation of typhoon-damaged facilities like roads and bridges as positive economic indicators that would revive fast mobility of goods and services in the region.

        Within the Q3 of this year, construction activities are expected to increase especially in Naga City which implied generation of more jobs while related sales in ancilliary services and industries are expected to peak up.

        “(There will) more production from agriculture from the planting materials distributed to those gravely affected by typhoons Milenyo and Reming,” the Neda said, expecting results from government and non-government initiatives in agricultural rehabilitation work.

        But the NEDA identified several development concerns that are to be addressed to achieve improvement in the regional economy.

        Among these development concerns that must be addressed included the continuing rehabilitation works for typhoon-damaged facilities, including desilting and riprapping of damaged seawalls and dredging of river channels preparatory for the onset of the rainy season.

        On the weather front, the forecast by PAGASA of a prolonged dry season or a La Niña, which is could affect agricultural production in some areas.

        Viewed as another concern is the slow pace of development of relocation sites for the remaining evacuees in the typhoon-affected areas.

        The NEDA added that the frequent interruptions in power supply due to damaged transmission lines and aggravated by the rampant theft of electric cables must also be addressed.

        It called for the harmonization of the LGU’s executive and legislative agenda in six provinces of Bicol to achieve further improvement of the regional economy.