Consumers expect economic prospects to improve in the next 12 months, a Bangko Sentral ng Pilipinas (BSP) survey released late Thursday showed.

Results of the first quarter 2025 Consumer Expectations Survey (CES) 

showed that while consumer sentiment was more pessimistic in the first quarter of the year, sentiment remains optimistic in the next 12 months.

Survey results showed that the overall confidence index (CI) was at -13 percent from -11.1 percent in the fourth quarter of 2024.

The BSP said the pessimism among consumers in the first quarter of 2025 was primarily due to their concerns over the faster increase in the prices of goods and services, lower household income, and fewer available job opportunities.

However, consumer sentiment for the next 12 months remained optimistic, based on an unchanged CI from the fourth quarter of the 2024 survey round at 12.4 percent.

"The consumers’ sustained optimism for the next 12 months was attributed to their expectations of additional and higher income, more available jobs, salary increases, and stable prices of goods and services," the BSP said.

The CES is a quarterly survey of a random sample of about 5,000 households in the Philippines.

It covers three component indices of the consumer outlook such as overall economic condition, family financial situation, and family income.

Results of the CES are among the factors the BSP monitors for the conduct of monetary policy.

In response to the survey results, the BSP reiterated its commitment to its mandates, among which is helping keep inflation manageable.

Based on its latest estimates, inflation or the increase in prices of goods and services is expected to remain manageable and within the target range of 2 to 4 percent for this year up to 2027.

The BSP said within-target inflation supports investments and job creation.

PNA PHOTO