Cebu’s business leaders said the continued decline in oil prices will have a temporary positive impact on the country’s economy, resulting in savings and extra disposable income for people.
“With oil imports at half a price, that translates to fuel expenses cut in half for Filipino motorists. It will also lower transport costs and may lower the prices of basic commodities,” said Philippine Retailers Association Cebu chapter president Robert Go.
He said more dollars means the government can boost its dollar reserves and pay its loans.
“Our gasoline and diesel should further go down in a month. That’s a big plus to the economy,” Go said.
Ma. Teresa Chan, Cebu Chamber of Commerce and Industry president, said inflation may go down.
“This will also positively affect the country’s balance of payment. Hopefully, it should positively affect our exchange rate and thus, our purchasing power,” she said.
Philip N. Tan, Mandaue Chamber of Commerce and Industry past president, said businessmen may take advantage of the windfall of profit before fuel prices return to its usual level.
“If anything, it will spur consumption as people will have more to spend as transportation costs decrease. But this drop it’s most likely temporary as always. It too will recover as investors adjust to the fluctuations,” Cebu Business Club president Gordon Alan Joseph said.