Similarly, the recent approval of the 4.5-trillion peso General Appropriations Act for 2021, which prioritizes health-related response programs and infrastructure projects, could help facilitate the strong rebound of the economy and its transition to the “new normal.” In addition, let me stress that the BSP recognizes micro, small and medium enterprises as a vital component of the Philippine economy.
At the same time, confidence in the recovery is improving considerably. The latest European Commission economic sentiment indicator improved notably in March and was driven by a pick-up in both consumer and business confidence. This improvement was also echoed in the latest data in Germany, with consumer confidence rebounding strongly in March and business confidence indicators continuing to expand.