The Philippines’ economic growth slows sharply in the second quarter, reaching the weakest pace since 2009 and falling short of expectations for an acceleration, according to Bloomberg and the Financial Post. Both reports say the slowdown is closely tied to the protracted conflict in the Middle East, which contributes to higher inflation. The rise in prices reduces consumers’ purchasing power, weakening household spending. The same inflation pressures also affect business conditions, contributing to lower investment. As a result, demand across the economy does not pick up as previously anticipated. The reports characterize the quarter’s performance as a broad-based drag rather than a single-sector disruption, pointing instead to macroeconomic pressures stemming from external geopolitical developments. Overall, the sources agree that the second-quarter figures reflect a weaker growth backdrop than forecast, with inflation playing a central role in dampening both consumption and investment.