LATELY, there were some good news coming from the economic front as more businesses are reopening in Metro Manila, following the lowering of quarantine classification to Alert Level 2 because of the diminishing number of Covid-19 cases.
Many business owners are understandably upbeat since more people are now allowed to go out of their houses including minors and even the elderly particularly those who were already fully vaccinated.
With more people outside of their houses, there are greater chances that more business deals, transactions and spending will be made, which are good for business.
P190-B losses
Among those that hugely benefitted from the reopening albeit partially of the economy is the tourism sector and its ancillary businesses like hotels, restaurants and transportation.
As we all know, they were among those hardest hit by the pandemic and therefore, also have every reason to be more optimistic.
In fact, from March to July last year alone, the period when lockdowns and travel restrictions were at their peak, the tourism industry has lost approximately P190 billion in revenue while hundreds of thousands of workers also lost their jobs.
Restrictions
For this year, latest report from the Department of Tourism (DOT) showed that from January to July 2021, only 71,021 foreign visitors entered the country.
The figure was a huge drop of 94.97 percent compared to the 1,410,653 that arrived in the same period last year.
The decline is a result of restrictions in inbound international travel and the low daily quota set on incoming air passengers from abroad.
It’s a welcome news therefore that resorts, hotels and major tourist destinations are now being allowed to operate in their near capacity along with easing of health requirements and travel restrictions.
Perfect timing?
Certainly, the reopening of the economy also could not have come at a more appropriate time.
The Christmas Season is fast approaching, and traditionally it is during this time of the year that sales and almost all kinds of businesses are brisk.
Unsure
But despite all the optimism surrounding the reopening of the economy and the coming Yuletide Season, there were some quarters that were unsure if the coming Christmas would indeed be merry.
And among those that have reservations are from the Philippine Amalgamated Supermarkets Association Inc. (PAGASA), who of all people should be rejoicing because of the latest welcome developments.
Holes in pockets
PAGASA president Steven Cua said even as improved sales can be expected this Christmas and New Year, it would not be able to compensate for losses on their part over the past months.
He added that money remains a concern in driving up demand and they are unsure if ordinary people, majority of whom have lost their jobs in the past two years, still have money to spend this Christmas.
“The pocket of Juan dela Cruz has holes right now. And where the money is coming from is very important,” Cua said.
Valid observation
Cua’s observation was valid.
While most Filipinos are certainly looking forward to celebrating the coming Christmas and New Year, their consumption would certainly be more muted this year than during the pre-pandemic years.
Historically, demand is high in the fourth quarter due to the Christmas season, during which people usually spend their bonuses and 13th month pay, even as many of them are also given higher remittances than usual by their relatives who work overseas.
Unfortunately, many Filipinos can’t expect bonuses and 13th month pay this year because a huge number of them are yet to return to their work, while their relatives overseas many of whom have also lost their jobs, are yet to recover their bearings.
Unrealized target
To recall, business groups supported the third round of lockdown in August to immediately bring down the number of COVID cases and ensure the economy is open in the last quarter of the year.
However, while Covid-19 cases are lowest at this time, job opportunities have yet to return, with unemployment remaining high, and those actually looking for work are declining because there are no openings to apply for.
So, given the actual situation on the ground, I hate to be a harbinger of bad news but it’s highly unlikely that Filipinos will be celebrating a MERRY Christmas and HAPPY New Year soon.
Let’s just hope that everything will be better and happier next year.