Duterte’s Popularity Hit by Rising Inflation

Rodrigo Duterte was sworn in as Philippine president more than two years ago on a promise to be different from his predecessors. Like them, however, he is proving vulnerable on inflation and that will prove a challenge for his legislative agenda, the Financial Times reported. FTCR’s Economic Sentiment Index for the Philippines dropped to 48.9 in the second quarter, marking the first time consumers have turned pessimistic since the fourth quarter of 2015, and since Mr Duterte took office in June 2016. A loss of confidence was also seen in our Political Sentiment Index, which fell to 50.7, just above the line separating optimism from pessimism. Consumer inflation rose to a five-year high of 5.7 per cent in July, above the government’s 2-4 per cent target range, dragging Philippine economic growth to a below-target, three-year low of 6 per cent year on year in the second quarter. Read more. (Subscription required.)