TACLOBAN CITY — The services sector continued to drive the economy of Eastern Visayas in 2024, accounting for nearly half of the region’s total economic output, the National Economic and Development Authority (NEDA) reported.
Speaking at the Philippine Statistics Authority’s (PSA) Regional Economic Performance press conference on April 22, NEDA Regional Director Meylene Rosales said that the services sector contributed 48.1 percent to the region’s economy last year.
Although sectoral growth slightly dipped to 7.1 percent from 7.3 percent in 2023, Rosales underscored the sustained optimism in business and the strong expansion of tourism-driven industries.
“These gains highlight continued business optimism and the ongoing expansion of tourism-related activities,” she said.
Rosales noted that tourism played a crucial role in the services sector’s performance.
Total tourist spending in the region rose significantly from P31.52 billion in 2023 to P39.33 billion in 2024. The Meetings, Incentives, Conventions, and Exhibitions (MICE) segment in particular surged, with 832 events held and 210,487 participants recorded — a fourfold increase compared to the previous year.
“This upbeat performance indicates the sector’s growing contribution to job creation, local business activity, and consumer spending, especially in urban centers and tourism hubs,” Rosales added.
At the sub-industry level, wholesale and retail trade, including the repair of motor vehicles and motorcycles, made up the largest share of the services sector at 12.1 percent.
This segment drove growth with a 12.7 percent contribution, fueled by the opening of major retail hubs such as new Gaisano Grand branches in Catbalogan and Maasin cities. Trade fairs organized throughout the year also bolstered micro, small, and medium enterprise (MSME) activity, with sales climbing to P59 million in 2024 from P44 million the previous year.
Financial and insurance activities were the second-largest growth driver, accounting for 11.6 percent of the services sector. Deposit liabilities rose by 7.7 percent to P191 billion by December 2024, while loan portfolios expanded by 9.8 percent, reaching P74 billion.
Other service subsectors showed significant improvement as well: Public administration and defense grew by 12.0 percent, driven by enhanced government service delivery; human health and social work services rose by 12.6 percent, up from 5.2 percent in 2023, partly due to investments in healthcare infrastructure; professional and business services posted a remarkable 15.7 percent growth, nearly doubling its 8.5 percent performance in 2023.
Looking ahead, Rosales emphasized the importance of sustaining economic momentum while remaining cautious of looming challenges, particularly managing disinflation and a possible slowdown in manufacturing.
“This year, we will embark on the midterm update of the Eastern Visayas Regional Development Plan 2023–2028,” she said. “Guided by a clear understanding of our strengths and weaknesses as a region — and mindful of both threats and opportunities — we must approach this with clarity and purpose.”
Eastern Visayas’ continued focus on expanding its services sector, alongside promoting tourism, MSMEs, and financial activities, is expected to remain pivotal in strengthening its regional economy moving forward.
(NAPOLEON JASPER BALTAR, LNU STUDENT INTERN)
