THE outlook of businesses on the economy turned less optimistic in the first quarter of 2018 compared to a quarter ago, due to the usual slowdown in business activity after the holiday season and in part to the impact of the implementation of the Tax Reform for Acceleration and Inclusion, Bangko Sentral ng Pilipinas said Friday.
Based on the latest Business Expectation Survey for the period, the overall business confidence index declined to 39.5 percent from 43.3 percent in the last quarter of 2017.
According to respondents, their less upbeat quarter-on-quarter outlook was due primarily to the lesser business activity and moderation of consumer demand after the holiday season and harvest seasons.
Other reasons cited were the rising fuel prices that were largely influenced by higher international prices of crude oil and the increase in excise tax on petroleum products, and stiffer business competition.
