Business sentiment for next 12 months worsens - BusinessWorld Online

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Business sentiment worsened for the next 12 months, with consumers less likely to spend amid rising oil and food prices, according to the Philippine central bank. READ:

dence index fell to 59.9% from 69.8%, according to the results of its Business Expectations Survey.

The Marcos administration inherited some global issues affecting the Philippines, including spiraling oil and food prices caused by Russia’s invasion of Ukraine.dence for the next 12 months was weighed down by concerns over the inoculation targets not being met, China lockdowns and possible stagflation due to the Ukraine-Russia conMeanwhile, households expect the prices of consumer goods and services to rise faster in the third quarter, the central bank said, citing Consumer Expectations Survey.

“This suggests that while more respondents continue to expect higher spending on basic goods and services, a moderation in spending among consumers is expected for Q3 2022,” according to the report. The inflation expectation of companies in the near term is above the upper end of the government’s 2–4% target.“Businesses expect that the peso may depreciate against the US dollar in Q2 and Q3 2022, and in the next 12 months,” it said.

 

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