[MANILA] Philippine President Rodrigo Duterte has approved a record 4.5 trillion-peso (S$124.5 billion) budget for next year that economic managers have called the "heftiest stimulus package" for recovery from the pandemic.

The Philippines is expecting its economy to grow by as much 7.5 per cent in 2021 after plunging into recession this year. Mr Duterte's economic team has said the 2021 budget will help boost economic growth. Next year's budget deficit ceiling was raised to 8.9 per cent of GDP due to higher spending.

"Every centavo of this budget must be spent to ensure our nation's recovery," Duterte said in a televised speech on Monday. Government has allocated 72.5 billion pesos to buy vaccines, he said.

BLOOMBERG