The Bangko Sentral ng Pilipinas (BSP) has released the first results of its new monthly Business Expectations Survey (BES), giving policymakers a more frequent reading of business sentiment across the country.
Previously conducted every quarter, the survey will now be done monthly to help the central bank respond more quickly to changes in local and global economic conditions.
Results from the January 2026 survey show that businesses remain cautiously optimistic about the economy. The Confidence Index (CI) stood at 0.9 percent, meaning slightly more firms were optimistic than pessimistic. However, this was significantly lower than the 29.7 percent recorded in the fourth quarter of 2025.
Despite the slower start to the year, businesses expressed stronger optimism about the months ahead. The three-month-ahead CI rose to 33.3 percent, while the 12-month outlook climbed to 38.6 percent, indicating expectations of better conditions in the near and medium term.
Firms cited expectations of stronger consumer demand, higher sales, improved domestic economic conditions, and better investment prospects as key reasons for their positive outlook.
The BES is an important tool for measuring business confidence, which often signals future trends in investment, hiring, and production. A positive outlook suggests companies may expand operations, hire more workers, and increase spending — factors that support economic growth.
For households, improved business sentiment could translate into more job opportunities and stable incomes if firms follow through on expansion plans. For businesses, the survey provides insight into overall market conditions and peer sentiment, which can guide planning and investment decisions.
The January 2026 survey covered 507 firms nationwide, including companies in the National Capital Region and across 18 regions. While the monthly survey covers fewer firms than the previous quarterly round, its results remain statistically reliable within accepted survey standards.
The shift to a monthly survey forms part of the BSP’s broader efforts to strengthen its macroeconomic monitoring tools, allowing it to better track economic trends and respond promptly when needed.
