MANILA – Fitch Solutions unit BMI has projected that the Philippines' household spending this year will exceed the pre-pandemic level.
In its commentary on consumer and retail released Thursday, BMI said real household spending this year is projected at PHP12 trillion, higher than the PHP10.9 trillion expenditure in 2019.
"We hold a positive outlook for consumer spending in the Philippines over the rest of 2023, as a wider economic recovery feeds through to strong real consumer spending growth over the full year," it said.
BMI also maintained its 5.5 percent consumer expenditure growth forecast for this year from the previous commentary released last May.
The Fitch Solutions company also expects the easing of inflation to support spending activities of Filipinos.
Inflation in July 2023 declined to 4.7 percent, the lowest since March 2022.
"Our consumer spending outlook will continue its steady growth as we look toward 2024. Real household spending over 2024 will grow 6 percent over 2024, to a total of PHP12.7 trillion,” it said. (PNA)
