BDO Capital and Investment Corp. president Ed Francisco has come to the defense of Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona Jr. following the latter’s comments at a recent Senate hearing describing Filipinos as “mayabang” (boastful) for the country’s consumption culture.

The BSP chief told lawmakers on 27 August that the Philippines’ current account deficit largely results from investments outpacing national savings, resulting in a persistent shortfall that has negatively impacted the peso, currently at record lows.

“If possible, I hope our savings can grow. That’s the long-term solution. It’s difficult to say this, but we Filipinos like to show off. We have what you would call a consumption culture,” he said in Filipino.

In a recent television interview, Francisco said Remolona’s comments may have been taken out of context.

“I think Governor Eli was just taken out of context. [Our consumption] was really something to be proud of, right? Because that kept us resilient the last few years,” he said.

“When other countries were having their hiccups, we were continuing to grow at 5-6 percent the last few years because of the consumption. Yes, our savings have not been as good, but then consumption is key.”

Consumption has long been the main driver of the Philippine economy, historically accounting for about two-thirds of growth. The country’s current account deficit indicates that the Philippines is spending more in its transactions with the rest of the world than it is earning through those transactions.

However, gross domestic product growth slumped in the second quarter of 2026 to 2.3 percent, the lowest quarterly rate since 2009 excluding the pandemic, with consumption likewise falling.

In response to the weaker second-quarter figures — the fourth consecutive quarter of decline — Francisco said consumers had pivoted their behavior, becoming more apprehensive amid greater economic uncertainty.

“People are now saving more because they’re being more careful, but it also means they’re not as optimistic about the future,” he said.

“Before, you still buy the same brand, and then you shift down to the sachet. Now, they’re already shifting to alternative brands, looking for cheaper brands.”

The BSP’s second-quarter Consumer Expectations Survey indicated extreme pessimism, with the Consumer Confidence Index (CI) plunging to -42.0 in the second quarter from -15.8 in the previous quarter.

Aside from concerns over higher food and fuel prices, respondents also cited governance-related issues as weighing on their outlook, likely referring to the ongoing probes into the flood control scandal and tensions between the Marcos and Duterte factions of government.