Philippine economy will continue to grow by more than 6 percent this year on the back of robust consumer demand, the local central bank said Friday.

"New available data suggest that the growth of the domestic economy is likely to continue at an above-trend pace, although capital flow volatility can create some challenges to financial markets in the near-term," the Philippine central bank said.

It noted that the country's gross domestic product (GDP) expanded by 6.5 percent in the fourth quarter of 2013, marking the eighth quarter the economy has grown above 6 percent. This brought last year's GDP growth to 7.2 percent, higher than the government' s target of 6 to 7 percent.

"The positive outlook for economic activity is expected to continue on the strength of consumer spending, as evidenced by the trend of various demand indicators," the central bank said.

Analysts expect remittances from overseas Filipino workers will continue to support domestic consumption. The central bank said the improvement in labor market conditions and manufacturing activity will also boost demand.

The Philippine government is targeting to grow the economy by 6. 5 to 7.5 percent this year.

The local central bank, however, cautioned that the tapering of the U.S. Federal Reserve's stimulus program could pose a threat to the country's economy.

"While financial market reactions have been relatively muted since the U.S. Fed's tapering announcement in December, financial market and capital flow volatility could remain a concern," it said. Endi