LOW CONFIDENCE Continued increase in the prices of commodities has stymied local consumer confidence despite expectations of better harvests and more jobs. Dennis Jay Santos/INQUIRER MINDANAO
Local consumer confidence remained low in the second quarter despite expectations of a better harvest and the availability of more jobs compared with last year, results of the latest household survey by the Bangko Sentral ng Pilipinas showed.
The overall consumer confidence index declined by one index point to 24.1 percent versus the index in the previous quarter. Optimism among households outside the National Capital Region prevented a sharper decline in the index for the period, the BSP’s data showed.
A negative index indicates that pessimists outnumber optimists; the index shows the difference between respondents with a positive view and those with a negative view.
“The current quarter’s outlook stemmed from the counterbalancing of those respondents who reported higher family incomes with those that said they were negatively affected by the high cost of petroleum products and higher prices of goods and services”, BSP director Rosabel B. Guerrero said in a briefing.
“This outlook mirrored the steady sentiment of consumers in Germany, France and New Zealand,” Guerrero said.
She said such “broadly steady” sentiment would carry over to the next three months, although consumers were more bullish about the 12 months ahead.
The BSP’s consumer poll covers households’ outlook on three indicators—the country’s economic condition, family financial situation and family income.
Guerrero said the consumer outlook was mixed, as sentiment on family finances and family income improved while that on the economic condition weakened.
“More respondents said they anticipate additional incomes due to good harvest and more jobs available in the second quarter,” Guerrero said.
“However, the continued increase in the prices of commodities dampened the sentiment on the country’s economy,” Guererro added.