| Long Definition: |
Annual
growth rate of gross capital formation based on constant local currency.
Aggregates are based on constant 2005 U.S. dollars. Gross capital formation
(formerly gross domestic investment) consists of outlays on additions to the
fixed assets of the economy plus net changes in the level of inventories.
Fixed assets include land improvements (fences, ditches, drains, and so on);
plant, machinery, and equipment purchases; and the construction of roads,
railways, and the like, including schools, offices, hospitals, private
residential dwellings, and commercial and industrial buildings. Inventories
are stocks of goods held by firms to meet temporary or unexpected
fluctuations in production or sales, and "work in progress."
According to the 1993 SNA, net acquisitions of valuables are also considered
capital formation. |
.png "Philippines Gross capital formation (annual % growth)")
