Senator Win Gatchalian on Tuesday cautioned that even rumors of destabilization are negatively impacting the Philippine economy, affecting the peso, stock market, and foreign investments.
“Yung simpleng usapan lang ng destabilisasyon, hindi na maganda para sa atin. Ngayon nakikita nating mahina ang piso kontra dolyar, ‘yung stock market pababa. Sino pang mamumuhunan sa atin kung ganyan ang sitwasyon?” said Gatchalian, chair of the Senate Committee on Finance.
He noted that household sentiment, which drives 60–70% of economic activity, is being affected.
“Kapag hindi maganda ang sentimyento ng mga tao, naaapektuhan nito ang paggastos o pagbili,” he added.
Gatchalian also linked the slowdown to controversies surrounding DPWH flood control projects and slower government spending, contributing to weaker 4% GDP growth in Q3.
Foreign direct investments dropped 40.5% to $494 million in August due to declining placements in debt instruments.