TIM eMagazine Vol.2 Issue 3
expectations of brisker business during the summer season
as well as lower fuel costs, purchase of additional vehicles (i.e.,
aircraft, cargo vessels, and buses), telecommunication network
improvement plans in Metro Manila, improved marketing
strategies, and initiatives on the development of system
processes. The outlook of firms in the other sub-sectors (i.e.,
renting and business activities, hotels and restaurants and real
estate, likewise) improved. Only firms in the community, social
and personal services sub-sector registered a lower outlook for
Q2 2017.
Construction firms’ outlook for Q2 2017 was likewise more
positive in view of the start of implementation of the 2017
construction projects (both public and private), and better
business environment.
The outlook of firms in the wholesale and retail trade sector
was also more upbeat for Q2 2017. Respondents attributed
their optimism to expectations of more robust demand,
business expansion and improvement in business processes
and product lines.
Meanwhile, industry firms’ outlook declined but remained
positive for Q2 2017 over expectations of lower production
volume and demand (e.g., furniture, and packaging products
and services). Moreover, damages caused by typhoons
continued to affect energy production. By contrast, the
confidence index of firms in the mining and quarrying sub-
sector was the highest for the last ten quarters, on account of
the expected increase in demand for metal (e.g., nickel) and
quarry products. The optimism of the agriculture, fishery and
forestry sub-sector also stood at an all-time high on account of
improved weather conditions and increase in fishing stock.
Firms are more upbeat about their own business operations
The outlook of firms about their own business operations
improved for Q2 2017 compared to that a quarter ago.
Notably, the outlook of firms on the volume of business
activity and total orders booked was broadly more buoyant
across sectors.
Employment outlook remains positive
The employment outlook index for the next quarter
remained positive across sectors although lower compared
to the last quarter’s survey. This suggests that more firms will
continue to hire new employees than those that indicated
otherwise, although the number of new hires could be lower
compared to the previous quarter’