BDO VP upbeat on PH econ, sees stable remittances driving growth

BDO Unibank's Investor Relations Group highlighted the Philippines' strong economic performance, citing factors such as increased domestic consumption and a young population.

Dante Tinga Jr., senior vice president of BDO Unibank, expressed optimism about the country’s economic outlook despite global challenges, emphasizing resilience driven by a young demographic and steady remittances from overseas workers.

Tinga noted that household spending has surpassed pre-pandemic levels due to stable remittance flows, bolstering purchasing power and driving consumption growth.

BDO anticipates that with inflation within the target range of 2.0% to 4.0%, the Bangko Sentral ng Pilipinas (BSP) will cautiously lower interest rates, potentially revitalizing private sector investments and boosting business sentiment.

Tinga warned about potential risks from a stronger dollar, which could raise import costs, and stressed the need for workforce upskilling in a digital economy to maintain competitiveness.