MANILA, PHILIPPINES – Overall business confidence in the Philippines for the second quarter soared to 49.2 percent, up from the 45.2 percent posted in the previous quarter, the Bangko Sentral ng Pilipinas (BSP) said in a statement.
“This indicates that more businesses are optimistic about the country’s economic prospects for the second quarter of the year compared to that in the previous quarter,” the statement posted on BSP’s website said.
Businessmen who responded to the business sentiment survey cited several factors in their bullish outlook for the second quarter.
Among the factors were the robust consumer demand during the secondary harvest and fishing seasons, graduation and enrollment periods, and summer season given the expected influx of both local and foreign tourists; the expected increase in activities in the construction sector, particularly infrastructure-related government projects; and the increase in orders and new contracts/projects leading to higher volume of production.
The respondents also cited the expansion of businesses and launch of new product lines, and the continuing confidence in the government.
“Their more positive outlook was further driven by expectations of more favorable macroeconomic conditions in the country (particularly, stable inflation and low interest rates), sustained foreign investment inflows and the steady stream of overseas Filipinos’ (OFs) remittances,” the BSP said.
The sentiment of businesses in the Philippines mirrored the buoyant business outlook in the US, Germany, Korea and Singapore but was in contrast to the less bullish views of those in UK, Hong Kong, and India. – BusinessNewsAsia.com