Philippines Business Sentiment Less Pessimistic in May

2026-06-26 08:41 By Erika Ordonez 1 min. read

The Business Confidence Index in the Philippines rose to -25.2 in May 2026 from -35.8 in the previous month.

The improvement was driven by expectations of stronger consumer spending and corporate earnings, along with lower oil prices and energy costs.

During the month, firms were less pessimistic about financial conditions (-25.7 vs -35.5 in April), order books (-2.2 vs -15.6), access to credit (-7.3 vs -9.9), and business activity (-4.5 vs -15.3).

Additionally, the three-month business outlook turned positive (0.6 vs -7.5), supported by expectations of stronger growth in the manufacturing, construction, and business process outsourcing sectors, higher public infrastructure spending, and declining oil prices.

Confidence for the year ahead improved to 27.8 from 19.5, reflecting expectations of easing inflation and oil price pressures, a possible resolution of the Middle East conflict, and a recovery in investor confidence.



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Philippines Business Sentiment Less Pessimistic in May
The Business Confidence Index in the Philippines rose to -25.2 in May 2026 from -35.8 in the previous month. The improvement was driven by expectations of stronger consumer spending and corporate earnings, along with lower oil prices and energy costs. During the month, firms were less pessimistic about financial conditions (-25.7 vs -35.5 in April), order books (-2.2 vs -15.6), access to credit (-7.3 vs -9.9), and business activity (-4.5 vs -15.3). Additionally, the three-month business outlook turned positive (0.6 vs -7.5), supported by expectations of stronger growth in the manufacturing, construction, and business process outsourcing sectors, higher public infrastructure spending, and declining oil prices. Confidence for the year ahead improved to 27.8 from 19.5, reflecting expectations of easing inflation and oil price pressures, a possible resolution of the Middle East conflict, and a recovery in investor confidence.
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