ASEAN KEY DESTINATIONS
Businesses ‘remain optimistic’ in Q4 2016
PHILIPPINES: Businesses remain optimistic on the country’s economy in the fourth quarter of the year, the Bangko Sentral ng Pilipinas reported Friday, November 25.
During the Business Expectations Survey (BES) briefing, BSP department of economic statistics deputy director Teresita Deveza said business outlook remained positive at 39.8 percent in Q4 2016.
However, Q4 2016’s figure dropped from 51.3 percent in Q4 2015 despite the usual uptick in demand during the Christmas season.
Deveza noted that among the concerns of businesses that pulled down business optimism include the direction of foreign policies and economic reforms in the country, weakening global demand, foreign exchange losses of importers due to peso depreciation, and lack of supply of raw materials.
BSP managing director Francisco Dakila Jr. said the central bank recorded in 2014 the lowest business outlook figure for the last quarter.
The BSP survey also noted that businesses engaged in international commodity trading are less upbeat compared to domestic-oriented enterprises.
Dakila said the lower confidence among firms involved in outbound trade could be attributed to concerns on foreign economic policies not only in the Philippines but in countries like the United States. These businesses are concerned on how other countries’ new policies will impact businesses here.
Likewise, business outlook for Q1 2017 weakened but continued to be positive at 34.5 percent from 56.8 percent in Q3 2016’s BES result.
Tags: Bangko Sentral ng Pilipinas, BES, BSP, Business Expectations Survey, business outlook, Businesses ‘remain optimistic’ in Q4 2016, fourth quarter, manila bulletin
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