Looming Lockdown in August Backed by Business Leaders

In an effort to mitigate the Delta variant from causing further economic harm, various business leaders have agreed to the proposed plan of implementing a 2-week hard lockdown next month. This is more than likely to prompt negative growth during the third quarter, but the move is intended to protect the fourth quarter.

President of the Federation of Filipino Chinese Chamber of Commerce and Industry Inc. Henry Lim Bon Liong, president emeritus of the Philippine Chamber of Commerce and Industry George Barcelon, and the Federation of Indian Chambers of Commerce Philippines Inc. were among the personalities who expressed support for the proposal.

“Our objective is really to ensure a safe and robust fourth-quarter especially the fourth quarter, which is stronger quarter every year and very important for struggling enterprises,” explained Joey Concepcion, Presidential Adviser on Entrepreneurship.

August is also considered to be “ghost month” since it’s traditionally a slower month in terms of economics, elaborated Concepcion. This makes the drastic move more timely, especially as the rains have also kept people at home.

“We are in imminent danger at this point in time. If the fourth quarter is affected then 2022 will be a write-off,” added Concepcion.

He affirmed that economic momentum is projected to be built up in the fourth quarter because of the Christmas season as well as the start of election spending. The potential arrival of another Bayanihan fund support could also be considered an economic booster should it materialize during the fourth quarter.

Source: Manila Bulletin