MANILA - Strong remittance inflows from Filipinos working abroad should help the Philippines meet its growth target this year despite the devastation caused by recent typhoons, a government official stressed on Wednesday.

Damage from two strong typhoons that hit the country in the past two weeks is estimated at more than P10 billion, and could reduce 2009 growth to 0.6 to 1.6%, against the official target of 0.8 to 1.8%, said Dennis Arroyo, head of policy planning at the National Economic Development Authority (NEDA), the government's economic planning agency.

But the government will not change its official target, he said. "Stronger-than-expected remittances should help offset the impact of the typhoons."

Arroyo is reiterating a previous statement of acting NEDA chief Augusto Santos who briefed a cabinet meeting more than a week ago about the prospects of the economy amid the stark storm damages. (Read: 'Ondoy' to slash RP growth by 0.043%—Neda)

Remittances grew 3.8% in the first 7 months of the year from the same period in 2008, according to latest data from the central bank.

Bangko Sentral ng Pilipinas governor Amando Tetangco has said he expects remittances to climb more than 3% this year, fuelling consumer spending which drives more than two-thirds of GDP.

Analysts expect remittances to grow 5.5% this year, higher than the International Monetary Fund's 4% estimate.  - with Reuters