HONG KONG – President Gloria Macapagal-Arroyo said today the Philippine economy is on track to grow between 5.5 and 6.5 percent in 2007, up from 5 percent in 2005 and higher than the government projection of 5.6 percent this year.

The expected acceleration of the economy comes on the back of economic, fiscal and other policy reforms, including the imposition of a higher Value Added Tax (VAT) and the Natural Attrition Law.

She told a press conference at the Four Seasons Hotel this afternoon that the peso, which rose Monday to its highest level in four years at 49.73 to the US dollar, could still rise.

The President arrived here Tuesday afternoon after attending the 15^th Association of Southeast Asian Nations (Asean) + China Commemorative Summit in Nanning, China.

Looking ahead, she said she hoped the economy would follow a sustained growth path and hit 7 percent by the end of her term in 2010.

Assessing the Philippine economy this year, the Asian Development Bank (ADB) has described 2006 as a "very good year" for the country.

Ifzal Ali, ADB chief economist, projected that the Philippine economic growth, boosted by the agricultural sector, would hit 5.4 percent this year.

"Agriculture production was strong in the first half and industry performed better than expected. This dampened inflation pressures," the ADB economist said.

The Chief Executive, this year’s Chair of the Asean, co-chaired with Chinese Prime Minister Wen Jiabao the 15^th Asean + China Commemorative Summit.

In her address at the opening of the 3^rd China Asean Business and Investment Summit on Tuesday in Nanning, the President said her administration had taken various steps to make the Philippines investment-friendly, and to ensure the security and competitiveness of foreign investments.

Still in China, the President batted for stronger trade relations among the Asean member countries and China and close cooperation in regional security.

In her bilateral meeting with Laotian Prime Minister Bouasone Buophavanh, President Arroyo was informed that Laos was interested in investing in mining and the information technology sector in the Philippines.

The Laotian leader also sought the President’s assistance in lowering the cost of trade between the two countries.

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HONG KONG – President Gloria Macapagal-Arroyo welcomed today North Korea's declaration that it would resume the stalled Six-Party Talks, saying it was "good news for the region and the world."

In an interview with media at the Four Seasons Hotel here, the President also said she was "impressed by China's very hands-on role in resolving this issue," referring to North Korea’s nuclear weapons program.

President Arroyo arrived here Tuesday afternoon after attending the 15^th Association of Southeast Asian Nations (ASEAN) + China Commemorative Summit in Nanning, China where the group issued a strongly worded statement on Pyongyang's insistence at testing its nuclear capabilities.

The President, who sits as Chair of Asean, said that due to the proximity of China to North Korea, not to mention the heavy trade between the two countries, Beijing is in a better position to ask Pyongyang to cease its nuclear testing program.

"I was very impressed by China playing a very hands-on role in resolving this issue and I think that was very successful. The proof of the success is Pyongyang's declaration that they are going to resume the Six-Party Talks and that's really good news for the region and the world," the President said.

Participants in the Six-Party Talks are China, the United States, North Korea, Russia, South Korea, and Japan.

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HONG KONG – President Gloria Macapagal-Arroyo chose to spend her observance of All Saints’ Day with her family at this former Crown Colony but just the same joined the Filipino people in praying for their "beloved dead."

The President is here to spend some quality time with her family after coming from a five-day five official visit to the People's Republic of China where she attended the 15^th Association of Southeast Asian Nations (ASEAN) + China Commemorative Summit.

President Arroyo had just come from mass to pray for the beloved dead and to commemorate the birthday of her late mother, Dona Eva Macapagal, when she met with reporters who covered her China trip at her suite at the Four Seasons Hotel here.

"I heard Mass this morning because it is not only All Saints’ Day but because it is also my mother's birthday," she said.

Following is her message to the Filipino community on the observance of All Saints’ Day:

"We join the whole country in praying for our beloved dead because that is what All Saints’ Day is all about. It's the communion of saints but we can still continue to commune with our loved ones who have passed on to the next life. We can pray for them and they can pray for us."

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