Consumer sentiment turns upbeat for third quarter

Filipino consumers are feeling more optimistic heading into the third quarter of 2025 with expectations for better job prospects, improved incomes, and manageable inflation, according to the latest Consumer Expectations Survey (CES) by the Bangko Sentral ng Pilipinas (BSP).

While sentiment for the second quarter was slightly negative, with the overall confidence index (CI) slipping from -13 percent in the first quarter to -14 percent, the consumer outlook brightened in the coming months.

For the third quarter, the CI turned positive, signaling that more consumers are optimistic than pessimistic about their economic prospects.

Confidence also remained strong for the year ahead, even with a slight dip in the 12-month outlook.

The uptick in sentiment for the next quarter suggests consumers are expecting improved employment conditions, rising income levels, and more stable prices.

Notably, inflation expectations have also eased.

Consumers also expect inflation over the next 12 months to remain within the government’s target range, indicating easing household inflation expectations. Within-target inflation supports investments and employment.