Rosy Picture: PH Businesses more upbeat

Businesses more upbeat

 "Results of the first-quarter Business Expectations Survey which the Bangko Sentral ng Pilipinas (BSP) released on Thursday showed confidence index for the "current quarter" picking up to 40.5% from the 38.7% recorded in October-December 2011, while the "next quarter" index similarly rose to 55.4% from 36.1% in the same surveys.

"The latest survey was conducted Jan. 6-Feb. 14 among representatives of 1,587 firms nationwide.

"The confidence index is computed as the percentage of respondents who answered in the affirmative less percentage of those that answered in the negative with respect to views on specific indicators.

"This, the central bank said, indicates "that economic growth is likely to be sustained in 2012."

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"Finally, respondents identified competition, insufficient demand and unclear economic laws as the top three business constraints.

""The business confidence index... is a good leading indicator of economic growth. If [such] is going to be the measure, high economic growth is expected in the first quarter as well as the second quarter of 2012," Diwa C. Guinigundo, BSP deputy governor, said during a news conference yesterday at the central bank headquarters where survey results were presented."