Philippines Consumer Morale Improves to 2-Year High

The consumer confidence indicator in the Philippines rose to -9.8 in the third quarter of 2025 from -14 in the previous period. The latest figure marked the highest reading since the third quarter of 2023, mainly driven by new income sources, higher earnings, more working family members, having a stable job, and greater employment opportunities. Among the component indicators, sentiment was largely unchanged on family income (2.2 vs 1.6 in Q2) and financial situation (-7.1 vs -8), while views on the overall economy turned less pessimistic (-24.4 vs -35.6). Notably, the family income index remained positive for the third consecutive quarter, indicating sustained optimism in household inflows. The consumer outlook also improved for both the next quarter (6.9 vs 0.6) and the next 12 months (14.1 vs 11.8), supported by expectations of higher income, additional earnings, more job openings, and stable prices of goods and services.