THE Philippine Chamber of Commerce and Industry (PCCI) said the “fear factor” among consumers would dampen interest among businesses especially among retailers to reopen despite the easing of the lockdowns.
Benedicto Yujuico, PCCI president, in a forum sponsored by the Foreign Correspondents Association of the Philippines (FOCAP) yesterday said it may take another three to six months to rev up consumer interest as he noted the need to bring back confidence among consumers.
Yujuico, however, gave the government passing grade in handling concerns of businesses particularly the small ones in coping the pandemic though a bit slow such as in granting credit.
According to Yujuico, based on his meeting with the PCCI area vice presidents yesterday, there is no substantial number of companies that have shut down but that if no assistance comes in a month or two, they have no choice but to shut down.
For now, he said, businesses are on a wait-and-see mode.
Yujuico said the crowds seen rushing to the malls on May 16 or the first day of the modified enhanced community quarantine (MECQ) in Metro Manila was a psychological reaction by Filipinos who have been cooped up at home for more than two months.
Yujuico said even those who went to the malls were buying only food and other essentials.
He added two days after the reopening, foot traffic has gone down.
“Some members say no one is buying and fear of losing more money paying their workers if no one is walking into the shops,” Yujuico said.
Yujuico said Filipinos will use their money to buy food and basic needs and for those who have extra will keep their money and save for the rainy days.
“Consumer confidence is a function of the state of the economy,” he said, adding that even if people have cash and credit, they will not risk their lives and go out.
