Marvin Fausto: 2009 market rally muted fiscal deficit concerns

In an interview over ANC's Business Nightly, Marvin Fausto, the senior vice president and chief investment officer of Banco de Oro, said investors should be more conscious of the national budget deficit this 2010. He noted that the market rally in 2009 has muted concerns over the country's fiscal position, which is expected to hover around P300 billion in 2009 and 2010.

He added that 2010 will be a consolidation year. "It is hard to imagine a run this year," he said.

Aside from the national budget deficit, he said his team is expecting the country's economy to grow less than the 4% to 5% target of the government. Consumer consumption will still be resilient, thanks to the millions of Filipinos abroad who send money home, but the a lackluster global economy will continue to affect exports performance, he added.

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