Flag description:
two equal horizontal bands of blue (top; representing peace and
justice) and red (representing courage); a white equilateral
triangle based on the hoist side represents equality; the center of
the triangle displays a yellow sun with eight primary rays, each
representing one of the first eight provinces that sought
independence from Spain; each corner of the triangle contains a
small, yellow, five-pointed star representing the three major
geographical divisions of the country: Luzon, Visayas, and Mindanao;
the design of the flag dates to 1897; in wartime the flag is flown
upside down with the red band at the top

Economy Philippines

Economy - overview:
The Philippines was less severely affected by the Asian financial
crisis of 1998 than its neighbors, aided in part by annual
remittances of $7-8 billion from overseas workers and no sustained
runup in asset prices or foreign borrowing prior to the crisis. From
a 0.6% decline in 1998, GDP expanded by 2.4% in 1999, and 4.4% in
2000, but slowed to 3.2% in 2001 in the context of a global economic
slowdown, an export slump, and political and security concerns. GDP
growth accelerated to 4.3% in 2002, 4.7% in 2003, and about 6% in
2004, reflecting the continued resilience of the service sector, and
improved exports and agricultural output. Nonetheless, it will take
a higher, sustained growth path to make appreciable progress in
poverty alleviation given the Philippines' high annual population
growth rate and unequal distribution of income. The Philippines also
faces higher oil prices, higher interest rates on its dollar
borrowings, and higher inflation. Fiscal constraints limit Manila's
ability to finance infrastructure and social spending. The
Philippines' consistently large budget deficit has produced a high
debt level and has forced Manila to spend a large portion of the
national government budget on debt service. Large, unprofitable
public enterprises, especially in the energy sector, contribute to
the government's debt because of slow progress on privatization.
Credit rating agencies are increasingly concerned about the
Philippines' ability to sustain the debt; legislative progress on
new revenue measures will weigh heavily on credit rating decisions.

GDP (purchasing power parity):
$430.6 billion (2004 est.)

GDP - real growth rate:
5.9% (2004 est.)

GDP - per capita: