Q4 consumer confidence steady, spending on basic goods to rise in Q1 of 2018: BSP


Posted at Dec 08 2017 08:57 PM

MANILA - The Bangko Sentral ng Pilipinas (BSP) on Friday reported a steady consumer outlook for the fourth quarter of 2017 and a rise in spending on basic goods and services for the first quarter of 2018. 

Based on the Consumer Expectancy Survey (CES), the overall confidence index (CI) decreased just slightly to 9.5 percent from 10.2 percent for the third quarter of 2017, the central bank said in a statement.

Respondents cited additional family income, higher salary and availability of more jobs for their positive sentiment.

The minimal decline was attributed to higher prices of goods and household expenditures, peace and order problems such as alleged extra-judicial killings, the war on drugs and the Marawi crisis, calamities, and high medical expenses, the BSP said.

Meanwhile, spending on basic goods and services are likely to rise in the first quarter of 2018 as the spending outlook index for households increased to 34.9 percent from 28.1 percent from the previous quarter.
For the first quarter of 2018, the confidence index remains steady, showing only a fractional decline to 17.5 percent from 17.8 percent from the previous quarter. 

But the consumer outlook for the whole of 2018 dwindled to 32 percent from 33.7 percent.

Low-income earners are the least optimistic for the last quarter of 2017 while those in the mid- and high-income brackets registered a positive but weaker outlook due to the anticipated lower salary and higher household expenditures.