MANILA -- Businesses remain optimistic about their prospect this quarter, but consumers are pessimistic, according to recent surveys by the Bangko Sentral ng Pilipinas (BSP).

Based on the central bank's latest Business Expectations Survey, businesses' confidence index was slightly up at 32.9 percent in the third quarter, from 32.1 percent in the second quarter.

Most businesses said they were optimistic as they expected an increase in demand for certain goods and services such as food and beverage, apparel, education, and personal services; and a seasonal uptick in business activities due to the start of the new school term and the pre-holiday inventory stocking by retailers.

They are also seeing inflation easing and an expansion and improvement of business operations.

Business confidence in the last quarter of the year also turned bullish, with the confidence index climbing to 56.8.

Consumers, meanwhile, remained pessimistic, although the number of pessimists decreased.

The BSP’s Consumer Expectations Survey showed that the overall confidence index for consumers was at -15.6 percent, which was still better than the -20.5 percent seen in the second quarter.

Consumers said their pessimism decreased because of higher income from wages, remittances, and other sources; additional sources of income; permanent employment and more available jobs, and more working family members.

Consumer sentiment turned positive for the fourth quarter, however, to 0.7 percent.

The number of households with savings also declined in the third quarter, while those with loans increased.

Businesses and consumers alike expect a weaker peso, and higher inflation and interest rates in the third quarter.

Consumers also expect higher unemployment in the same period. 

Businesses optimistic but consumers pessimistic: BSP surveys

Firms less optimistic as demand for goods, services decline in Q2

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