144 vs 183

What do those numbers mean? Bloomberg‘s William Pesek came out with an interesting bit today about those two numbers.  $183 billion is the amount of bailout that has so far been given to AIG, 1 company, while $144bn is the amount of Philippine GDP, yes the output of one whole country of 96 million.  The bailout is also apparently bigger than the GDP’s of Eatern European country Czech Republic (est. $175bn) and South America’s Chile (est. $164bn).

A quick note on the Philippine economy (my country): We are still expected to grow 4% this year although the country has been hit hard by the slump in trade and more importantly declining remittances from OFWs (Overseas Filipino Workers) which contributes as much as 17% of the country’s GDP.  RGE Monitor predicts a drop of remittances between 6 and 11% this year.  If things slow down for the country, there still remains some 475 basis points room for interest maneuvering for central bank governor Amando Tetangco.

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