Most small and medium enterprises in the Philippines are upbeat on domestic business prospects, resulting in a potential expansion in capital spending and hiring of more employees, according to separate survey results released yesterday by two multinational firms.

In particular, the annual Asia Business Monitor study of international logistics firm UPS showed that the country’s SMEs were the most optimistic among their peers in the Asia-Pacific region.

Similarly, the semi-annual small business confidence monitor of British banking giant HSBC showed a “healthy” level of optimism among Philippine SMEs, even though local traders were reported to be more “guarded” compared to other Asian emerging markets, bank senior vice president Junie Veloso said in a briefing yesterday.

The UPS study said that the upbeat sentiment among approximately 85 percent of local SME leaders—who predicted more opportunities for themselves in 2010 compare to last year—was possibly “driven by the Philippine election optimism.”

“We are glad that Philippine SMEs continue to be positive about their business prospects,” UPS Philippines managing director Tim Gohoc said. “They showed remarkable resilience last year when they maintained their optimism amid the global economic downturn and, from this year’s findings, they are maintaining the same bullishness.” Read more...

By Doris Dumlao, Daxim Lucas (business.inquirer.net)