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The Philippine government's economic team has lowered gross domestic product (GDP) target for 2022 to 6.5 to 7.5 per cent from 7 to 8 per cent due to "recent external and domestic developments".

"This growth will be sustained and expanded to 6.5 per cent to 8 per cent in 2023 to 2028," Xinhua news agency quoted the interagency Development Budget Coordination Committee headed by newly appointed Finance Secretary Benjamin Diokno, as saying.

The increase in household consumption and private investments, along with the robust manufacturing industry, high vaccination rate, improved healthcare capacity, and the upward trend in tourism and employment, have allowed the Philippines to safely re-open the economy and register positive growth for the first three months of 2022.

"This momentum is expected to continue for the rest of the year, with the GDP growth assumption slightly adjusted to 6.5 to 7.5 per cent in consideration of recent external and domestic developments," the committee said in a statement.

It also revised the average inflation rate assumption for 2022, saying that prices remain elevated and are projected to range from 4.5 to 5.5 per cent due to the uptick in fuel and food prices.

The committee slightly adjusted the inflation rate for 2023 to 2.5 to 4.5 per cent.

It forecasts the inflation rate to return to the target range of 2 to 4 per cent by 2024 until 2028.