FILIPINO consumers are less optimistic in the second quarter of 2020 and in the next 12 months with stagnant income and the current health crisis as among their reasons, a latest Bangko Sentral ng Pilipinas (BSP) survey revealed.
"Consumers cited anew their anticipation of faster increase in the prices of goods, low or no increase in income, natural calamities and the coronavirus pandemic and higher household expenses as reasons for their less upbeat outlook for the second quarter of 2020 and the next 12 months," the central bank said.
The confidence index of the quarterly survey declined in the April to June period to 9.2 percent from 15.7 percent in the first quarter of this year.
The confidence index for the next 12 months also dropped to 19.9 percent from previous expectations of 26.4 percent for the year ahead.
The consumer confidence index measures the outlook on three indicators, namely overall condition of the economy, household finances and household income.
The latest BSP survey was conducted from late January to early February covering 5,555 households nationwide.
The central bank survey also noted the decline in consumer spending outlook for this quarter to 33.3 percent from 37.1 percent in the previous survey result.
The BSP said growth in consumer spending may slow in the next three months.
"This suggests that while more respondents continued to expect higher spending on basic goods and services, the number that said so decreased compared to (previous) survey result," the BSP said.
Across the commodity groups, household spending outlook was mixed.
Fewer respondents expected higher spending on electricity, food, non-alcoholic and alcoholic beverages and tobacco, fuel, personal care and effects, transportation, education, recreation and culture, clothing and footwear, restaurants and cafes and communication.
More respondents expected an increase in expenditures on medical care, but steady spending for water, house rent and furnishings.
