Alyssa Nicole O. Tan Archives - ��ý Online

China proposes new joint exploration talks

��ý — Thu, 30 Mar 2023 11:54:03 +0000

THE PHILIPPINES is expected to embark on a new series of talks for jointly exploring the South China Sea for oil and gas, following proposals from Beijing.

When asked about joint exploration activities, Foreign Affairs Secretary Enrique A. Manalo said: “They were proposing that we begin talks again on oil and gas.”

“I think we will begin in maybe around six weeks, but as I said at a technical level,” he added.��“There’s no document yet.”

Maritime officers from both countries will meet, with discussions likely to revolve around the terms of reference, Mr. Manalo said.

“You will probably call it… exploratory or scoping, or setting the scope of the discussion. We’ll see where it goes,” he said.

“Definitely we’re open to talks but as I said, we’ll always be guided by the requirements of the Constitution,” he added.

At a House of Representatives hearing last year, Mr. Manalo said China was pushing for a 50-50% or 51-49% division rather than a 60-40% sharing agreement in favor of the Philippines.

It also sought to apply conditions in accordance with Chinese domestic law that were unacceptable to the Philippines.

For these reasons, “negotiations ended, and no agreement was reached,” Mr. Manalo said.

The South China Sea is subject to overlapping territorial claims involving China, Brunei, Malaysia, the Philippines, Taiwan and Vietnam. — Alyssa Nicole O. Tan

Philippines shuns ICC even as it embraces human rights pledges

��ý — Thu, 30 Mar 2023 11:40:38 +0000

By Kyle Aristophere T. Atienza and Alyssa Nicole O. Tan, Reporters

THE PHILIPPINES will talk with other countries on human rights and democracy issues as long as it is in line with its national interests, President Ferdinand R. Marcos, Jr. said on Wednesday, as the country continued to distance itself from the International Criminal Court (ICC) amid its drug war probe.

“The Philippines will continue to engage countries bilaterally and in international platforms on issues concerning democracy, human rights and good governance, as long as these engagements are constructive, based on facts, and respectful of Philippine sovereignty,” he said in a video message at the US-led Summit for Democracy.

“The Philippines will sustain its tradition of open, constructive and active engagement on human rights on matters that will meaningfully contribute towards reinforcing the sinews of democracy and of freedom,” Mr. Marcos said. “We enable our people to flourish and meet our national aspirations to be a modern prosperous middle-income society by 2040.”

Human Rights Watch slammed the Southeast Asian nation for its “double talk on democracy and human rights.”

“It cannot say it upholds those values but at the same time reject, ridicule and threaten accountability mechanisms like the ICC,” Elaine Pearson, Asia director at the global watchdog, said in an e-mailed statement.

“The international community should not be fooled by the Philippine government’s duplicity and rhetoric. The Marcos administration’s avowed commitments to protect human rights and fight impunity will be shown by whether it cooperates with the ICC’s investigation,” she added.

The Hague-based tribunal earlier rejected the Philippine government’s plea to stop its investigation of ex-President Rodrigo R. Duterte’s anti-illegal drug campaign.

In an eight-page decision dated March 2, the court’s Appeals Chamber said the Philippines had failed to persuade it to suspend the probe. The ICC said its investigation should not prevent the Philippines from continuing its own probe of rogue cops in the state’s deadly war on drugs.

During the summit, the Philippines reiterated that it does not recognize the ICC’s authority to investigate it.

“The Philippines joined the United States and several other countries around the world in endorsing the Summit for Democracy Declaration, as a testament to our unwavering commitment to upholding our democratic values and principles and to strengthening our democratic institutions,” the Department of Foreign Affairs said in a statement on Wednesday.

“The Philippines, however, disassociates itself from the declaration’s reference to the International Criminal Court,” it added.

The declaration, endorsed by more than 70 countries, affirmed their political commitments to ensure accountability for human rights violations and abuses; support those who stand for freedom and reject aggression including in Ukraine, and prevent and combat corruption.

They also vowed to fight all forms of discrimination and exclusion, advance technology for democracy and defend their territories against transnational threats including foreign malign influence and information manipulation and support free and fair elections.

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Under the declaration, nations “acknowledge the important role played by the ICC as a permanent and impartial tribunal complementary to national jurisdictions in advancing accountability for the most serious crimes under international law.”

“While the current language provides a qualifier that the ICC’s role may be acknowledged provided it abides by the principle of complementarity, the Philippines’ earlier decision to withdraw from the ICC was precisely because the court failed the test of complementarity,” DFA said.

The Philippines withdrew from the ICC in March 2018 under Mr. Duterte, who said there was “a concerted effort on the part of the United Nations special rapporteurs to paint me as a ruthless and heartless violator of human rights who allegedly caused thousands of extrajudicial killings.”

The government estimates that more than 6,000 suspected drug dealers had been killed in police operations. Human rights groups say as many as 30,000 suspects died.

“The Philippine government does not recognize the ICC’s jurisdiction and affirms that the Philippines has the jurisdiction to investigate and prosecute crimes, including those allegedly committed in the context of the country’s anti-illegal drug campaign,” DFA said.

DFA said the country maintains that the rule of law and accountability is fully functioning through its criminal justice system.

The ICC reopened its investigation into drug-related killings and so-called crimes against humanity in January as it was dissatisfied with Philippine efforts to probe human rights abuses during the period.

DFA said human rights-related dialogues and platforms “must not be politicized and targeted against specific countries,” as it asked global leaders to be constructive and inclusive.

“The Philippines upholds its commitment to fight impunity for atrocity crimes, notwithstanding the country’s withdrawal from the Rome Statute, especially since the Philippines has a national legislation punishing atrocity crimes,” DFA said.

More than 30 member-states of the United Nations Human Rights Council in November urged the Philippines to do something about extralegal killings in connection with Mr. Duterte’s anti-illegal drug campaign.

The Philippines has accepted 200 recommendations from the council, including investigating extralegal killings and protecting journalists and activists.

Japan reaffirms support for rule-based global maritime order

��ý — Thu, 30 Mar 2023 11:39:07 +0000

JAPAN has reaffirmed its support for Philippine initiatives to keep a rule-based international maritime order, as it seeks to boost cooperation in the area, according to a statement from the Philippines’ Department of Foreign Affairs (DFA) on Wednesday night.

A Philippine delegation was in Tokyo to discuss maritime issues with Japanese officials, it said.

During the meeting, Japan backed a Philippine plan to enhance maritime domain awareness and combat illegal, unreported and unregulated fishing, as well as other capacity-building projects.

“The delegations exchanged views on issues of mutual interest, particularly the situation in vital waterways of the West Philippine Sea, Luzon Strait, Sulu-Celebes Seas and the East China Sea,” DFA said.

Officials also discussed regional efforts to maintain peace and stability at sea, as well as the climate change situation.

Both nations look forward to working together on preserving the marine environment, especially in relation to the recently completed Biodiversity Beyond National Jurisdiction Treaty and on crafting rules on deep seabed mining.

“Both sides affirmed the importance of rules-based, free and open maritime order and continued to strengthen cooperation in maritime-related fields toward the realization of a free and open Indo-Pacific and the ASEAN Outlook on the Indo-Pacific,” the Japanese Embassy said in a separate statement on Thursday.

The dialogue, first convened in 2011, was held after President Ferdinand R. Marcos, Jr.’s visit to Tokyo in February, when he affirmed with Japanese Prime Minister Fumio Kishida the importance of maritime policy coordination. — Alyssa Nicole O. Tan

Bill creating education council filed at the Senate��

��ý — Thu, 30 Mar 2023 11:34:59 +0000

A BILL that will create a National Education Council to harmonize policies of agencies handling the primary and tertiary levels as well as technical-vocational training has been filed at the Senate.��

Senate Bill 2017 seeks to establish a system of national coordination, planning, monitoring, evaluation, and management among the Department of Education (DepEd), the Commission on Higher Education (CHED), and the Technical Education and Skills Development Authority (TESDA).��

“Through our proposal to form a National Council for Education, we will be able to strengthen relations with various government offices to raise the quality of education in our country,” Senator Sherwin T. Gatchalian, who chairs the Senate Basic Education Committee, said in Filipino in a statement on Thursday.��

The bill’s passage will mandate the formulation of a national education agenda, which will include a strategic vision for education, long- and medium-term goals, strategies for a coordinated and coherent implementation, and recommendations on the corresponding investments and appropriations.��

The Philippine president will chair the council, while the heads of the DepEd, CHED and TESDA will serve as co-chairpersons. Other members include the heads of Congress and selected Cabinet members.��

The bill states that the national education agenda will cover a minimum of five years, to be updated annually and reviewed periodically by the council. — Alyssa Nicole O. Tan��

Ukraine pitches e-gov’t, procurement, mapping apps, long-term grain contracts

��ý — Wed, 29 Mar 2023 12:22:35 +0000

UKRAINE has offered the Philippines applications to digitize government functions, procurement and land mapping.

“We have presented three applications which are commercialized. One application is the e-governance application. This product is already market-ready, and we even have the commercial structures prepared to engage with the interested parties here,” Denys Mykhailiuk, a counselor at the Ukrainian Embassy in Malaysia, said at a briefing at the Makati Diamond Residences on Wednesday.

“The second one is the ProZorro platform…, a procurement platform for the government,” he added. “It’s an advanced technological solution (that is) able to reduce the transaction costs and… (human intervention) in the procurement process, so it fights corruption.”

The third app digitalizes aerial and satellite images of land, Mr. Mykhailiuk said.

“It can be used for city planning (and) agriculture, so it’s widely used,” he said. “There will be no need to send thousands of people to measure the land. It will be done through images with our software.”

Ukraine submitted proposals on Tuesday to the departments of Information and Communications Technology (DICT), National Defense and Foreign Affairs.

“The next step might be the MoU (Memorandum of Understanding) between our digitalization ministry and the DICT, for example, but the ball is on the Filipino side,” he said. “We just kicked the ball to your side yesterday, and we’re waiting for a pass back.”

Ukraine is seeking to improve trade with the Philippines to remedy the 94% drop in its bilateral trade after Russia’s invasion, the counselor said.

He proposed that Ukraine supply the Philippines with more grain, one of its top exports, on long-term contract arrangements.

He said the Philippines can build up a grain bank to minimize the impact of volatile market prices for grain.

Ukraine also hoped for Philippine humanitarian assistance to those affected by the war, as well as participation in rebuilding the country.

He said the reconstruction plan involves bringing in Filipino construction workers to Ukraine.

“We will begin talks about Filipino workers to come because this reconstruction effort will need a significant increase in labor,” he said.

“Ukraine, the like majority of European states, is an aging country. Hard-working Filipinos will be very welcomed there,” he added.

Ukraine��Foreign Minister Dmytro Kuleba��is also expected to visit the Philippines around June or July, Mr. Mykhailiuk said.

It hopes to open an embassy in the Philippines by the end of the year, subject to budget availability as much of the Ukrainian government’s funding is currently dedicated to defense. — Alyssa Nicole O. Tan

81 Filipino overseas workers facing death penalty cases — DFA��

��ý — Wed, 29 Mar 2023 12:04:54 +0000

THE DEPARTMENT of Foreign Affairs (DFA) reported on Wednesday that 81 Filipino workers abroad have pending cases that are punishable by death.��

“The DFA continues to work hard and exhausts all diplomatic channels available to ensure that no death penalty sentence is executed against any of our kababayans (countrymen),” states a data sheet from the Assistance to Nationals program.��

It cited accomplishments in recent years involving the acquittal of one Filipino in Saudi Arabia and another in the United Arab Emirates, who were both on death row for murder.��

The DFA also said the death sentence on two Filipinos in Saudi Arabia were commuted in 2022 to nine years in prison.��

The department also obtained 354 pardons from 2018 to 2022, with most cases filed due to drug trafficking, prostitution and theft.��

It also reported that it has secured 135 acquittals through its legal assistance fund in 2022.��

Of the total, 132 were from the Middle East, two from Asia, and one from Africa.��

“The 2022 figures should be appreciated vis à vis the fact that, for the first half of 2022, most countries in Asia and the Middle East were still practicing strict COVID-19 control protocols,” the DFA said.��

A total of 556 acquittals were secured from the Middle East, Asia, Africa and America between 2018 to 2022.��

“Most of the acquittals involved retaliatory cases filed against household service workers in the Middle East for theft, absconding and breach of trust.”��

The DFA said legal assistance given to overseas Filipinos start even “before the commencement of actual trials.”��

“Such services would include representing the accused Filipino during custodial investigation, explaining to the Filipino the nuances of a particular case, making representations to the police investigators or the prosecutor for the dismissal of the complains, as well as reporting to the embassy or consulate developments of a particular case,” it added. — Alyssa Nicole O. Tan��

Senator asks local governments to ban offshore gambling operators

��ý — Tue, 28 Mar 2023 11:59:00 +0000

THE CHAIRMAN of the Senate ways and means committee on Tuesday urged local governments to ban Philippine offshore gaming operators (POGO) to protect them from crimes.

“Once crime happens in your jurisdiction, it’s the mayor’s responsibility and the local chief of police’s responsibility,” Senator Sherwin T. Gatchalian said in a statement. “So, it becomes a local issue, and it becomes the problem of the community.”

He said some local governments that are POGO hubs have begun to doubt the benefits of these mostly Chinese online gambling operators on their economy. These include the cities of Manila, Pasay and Parañaque, he added.

Mr. Gatchalian said Pasig City was the first to approve an ordinance banning POGOs after seeing that the social costs outweigh the benefits.

“What we should strive for is a peaceful and orderly society, a country that we can invite our friends and tourists from abroad to come to,” he said. “They will not come here if they read in the reports that people are being illegally detained.”

The senator will soon submit a Senate resolution urging the Executive department to ban POGO operations in the country.

This comes after Mr. Gatchalian presented the results of his committee’s inquiry in plenary, noting that “the POGO experiment has failed to provide the promised economic benefits to the Filipino people.”

“Instead, POGOs have created new avenues for crime and corruption, damaging our country’s reputation among diplomatic allies, foreign investors, potential tourists and even our own countrymen,” he told the Senate floor last week.

“The data and evidence on hand all point to the same conclusion: Enough is enough. It is time to ban offshore gaming operations in the Philippines, once and for all,” he added.

Lawmakers have sought to ban mostly Chinese gaming companies that operate online casinos, which proliferated during the term of ex-President Rodrigo R. Duterte, saying these have become breeding grounds for illegal activities including kidnapping and money laundering.

“Only criminal syndicates can illegally detain people and that creates an environment that is not stable for all of us,” Mr. Gatchalian said.

“I’m afraid that if we do not stop this, it will cascade to enforcers, and one day, we will have a difficult time mobilizing enforcers as well because they are already taken hold by these criminal operations,” he added.

“Let’s not attract investors that bring crimes. It’s like we’re clinging to a knife. There are legitimate investors who can bring in capital investments and increase jobs,” he said.

Mr. Gatchalian said 90% of POGO workers are foreigners. “We are not creating value for our own citizens.”

The Department of Finance in November said the country could lose about P65 billion in taxes and other fees if the industry was shut down. It is also expected to affect the property sector.

The Bureau of Internal Revenue last year said the state collected P4.4 billion in POGO taxes in the eight months to August, up from P3.91 billion for the entire 2021. The amount was significantly lower than pre-pandemic projections at P32.1 billion for 2021. — Alyssa Nicole O. Tan

DMW ready to assume assistance program for overseas Filipinos from DFA by June��

��ý — Tue, 28 Mar 2023 11:58:14 +0000

TOP officials of the Department of Foreign Affairs (DFA) and the newly formed Department of Migrant Workers (DMW) met on Tuesday to jumpstart the turnover of a more than two-decade old program for assisting distressed overseas Filipinos.��

The discussions involved the transition of functions, training for DMW personnel, exchange of information on processes and organization development, and cooperation between the two departments, DFA said in a statement on Tuesday.��

Migrant Workers Secretary Maria Susana V. Ople earlier said her department, which was formally created in 2022 and started full operations this year, is ready to take over the Assistance to Nationals (ATN) program by June.��

Foreign Affairs Secretary Enrique A. Manalo, for his part, affirmed that the DFA will work closely with the DMW to protect the rights, welfare and interest of overseas Filipinos.��

The ATN program, which began in 1995, has received recognition from other countries for its excellence in assisting distressed overseas Filipinos, mostly workers.��

The Philippines has also achieved and maintained the highest classification status in the annual Trafficking in Persons Report from 2017 to 2022. — Alyssa Nicole O. Tan��

Bill calling for employment masterplan endorsed to Senate plenary

��ý — Mon, 27 Mar 2023 12:23:48 +0000

SENATE Majority Leader Emmanuel Joel J. Villanueva has sponsored out to the plenary a bill seeking to establish a long-term��employment generation and recovery masterplan.

Senate Bill 2035, otherwise known as the��Trabaho Para sa Bayan Plan, seeks to make job creation a product of deliberate policy.

“Employment should not just be incidental to economic development. Generating more decent and permanent employment should be the objective of economic growth, to make growth inclusive and a reality for all,” Mr. Villanueva said in a statement on Monday.

The measure proposes the drafting of a “comprehensive, coherent, and future-oriented employment policy… to address dynamic changes in the labor market.”

He said the Philippine job market suffers from “seasonality, in which jobs can be had during peak business months,” Mr. Villanueva said.

Citing data from the Philippine Statistics Authority, Mr. Villanueva noted that in December, the unemployment rate dropped to 4.3% from 5.3% in August. However, it rose to a four-month high of 4.8% amid the loss of temporary holiday jobs.

The underemployment rate, he added, has remained high from 13.8% in 2019 to 14.1% in January.

Mr. Villanueva also noted the gap in service sector employment, which consists of 61% of the workforce, while agriculture and industry accounted for 22% and 17%, respectively.

The masterplan will be drafted by an inter-agency council headed by the National Economic and Development Authority, together with the departments of Trade and Industry and Labor and Employment.

The bill is among the priority measures of President Ferdinand R. Marcos, Jr. — Alyssa Nicole O. Tan

Senator bucks proposal letting aliens own land

��ý — Mon, 27 Mar 2023 11:49:17 +0000

A PHILIPPINE senator on Monday opposed a proposal to let foreigners own land, saying it has nothing to do with the economy and would only spur opposition to Charter change (Cha-cha).

“Although they call it economic provisions, there is one rider that it’s not necessarily connected to economic provisions,” Senator Aquilino Martin D. Pimentel III said in a statement. “They want to open up land ownership to foreigners. This will result in more opposition to the call for Charter change right now.”

Senator Robin C. Padilla, who heads the committee on constitutional amendments, earlier filed a resolution seeking to amend economic provisions of the 1987 Constitution through a constituent assembly.��

The resolution provides that Congress may allow foreigners to acquire private lands not exceeding 1,000 square meters. It also allows foreign companies to buy rural private lands not exceeding five hectares.

Under the Constitution, “save in cases of hereditary succession, no private lands shall be transferred or conveyed except to individuals, corporations, or associations qualified to acquire or hold lands of the public domain.”

“Land ownership is sacred and a very personal issue to many Filipinos,” Mr. Pimentel said. If Congress insists on pushing Charter change, it should be the one to do it, he added.

The House of Representatives this month approved on third reading a bill detailing how a proposed constitutional convention will make changes to economic provisions of the Constitution. Under the bill, members of the hybrid constitutional convention will both be elected and appointed.

The public will elect delegates during village elections in October. The Senate president and Speaker will appoint delegates who will be paid P10,000 daily and get travel and lodging allowances.

Mr. Padilla has said opening up the economy to foreigners would create jobs for Filipinos. He said foreigners would still think twice about investing in the Philippines despite the passage of measures opening up certain sectors to them, including changes to the Public Service Act and the law on Retail Trade Liberalization.

“Also, we cannot discount the questions raised by some sectors about the constitutionality of the Public Service Act,” he said earlier.

Most senators are not keen on amending the Constitution, saying it is not needed.

Mr. Pimentel said it would be best to prioritize resolving the country’s high energy costs and inefficient justice system, noting that these keep foreign investors away.

“The poverty that we see all around us was not caused by the Constitution. This has been caused by unfair policies,” he said. “What is important is, No. 1, our energy cost. Number two, our justice system. Our system must be efficient and trustworthy.”

Electricity rates for residential, commercial and industrial sectors “have been significantly higher from between 25% to as high as 87% than its Association of Southeast Asian Nations (ASEAN) neighbors, namely Malaysia (87.5%), Indonesia (87.5%), Vietnam (50%) and Thailand (36%),” the senator said, citing the Philippine Chamber of Commerce and Industry.

“Life is difficult nowadays. We have domestic problems. The world has gotten so complicated, not only in trading but also in the politics of the world, especially these geopolitical issues,” he said. “Cha-cha will really eat up our time. This will refocus our attention from more pressing issues.” — Alyssa Nicole O. Tan

Senator seeks inquiry on government’s short-, long-term plans on water supply��

��ý — Mon, 27 Mar 2023 11:45:20 +0000

THE SENATE majority leader on Monday filed a resolution seeking to probe, in aid of legislation, the government’s short- and long-term plans to address the water supply problem in Metro Manila and other parts of the country, especially with the onset of the dry season that is expected to be until end-May.��

“Despite the abundance of water resources in the country, lack of sustainable water supply has been a constant problem, especially during the dry season,” Senate Majority Leader Emmanuel Joel J. Villanueva said under Senate Resolution 561.��

The archipelagic country is surrounded by 1,380 square kilometers of water area, with 421 principal river basins that serve as sources of daily sustenance and livelihood to communities.��

Regulator Metropolitan Waterworks and Sewerage System early this year warned of a possible water supply crisis in 2023 without new water sources or additional water supply to meet increasing demand.��

With the country’s expanding population, water scarcity becomes a more serious concern, Mr. Villanueva said.��

According to the Department of Health, Philippine population is expected to increase to 114 million by 2024.��

Angat Dam, which has a storage capacity of about 850 million cubic meters, supplies 98% of Metro Manila’s water needs, as well as irrigation needs of 25,000 hectares of farmlands in Bulacan and Pampanga.��

“Although far from the critical water level of 180 meters, the decreasing trend of this year’s water level is a cause of concern and an object of strict monitoring to avoid the situation in 2022 where water level was below critical level of 176 meters in the months of July and September,” Mr. Villanueva said.��

The government has an alternative water source to Angat Dam, set for construction from 2020 to 2025. However, the Kaliwa Dam Project has yet to materialize due to failure to obtain several permits and certifications despite its kickoff being moved to June 2022.��

“Although the construction is now scheduled on June 2023, strong opposition from affected indigenous peoples, environmental watchdogs and other stakeholders can cause further delays, especially since the construction of the dam will likely cause massive environmental degradation in the Kaliwa watershed forest reserve,” the majority leader said.��

“Given the foregoing and acknowledging that access to clean water supply is an integral need of every Filipino household, there is a need to ensure that the current state of the country’s water supply is adequate for the residents of Metro Manila and other affected areas,” he added. — Alyssa Nicole O. Tan��

Economists back Senate proposal to ban POGOs

��ý — Sun, 26 Mar 2023 10:37:42 +0000

By Alyssa Nicole O. Tan, Reporter

ECONOMISTS on Sunday backed a proposal to ban offshore gaming operations in the Philippines, saying there are better ways to boost the economy.

“I wouldn’t really mind seeing them leave,” Ser Percival Peña-Reyes, director of the Ateneo de Manila University Center for Economic Research and Development, said in a Viber message. “Others have already lamented about how these Philippine offshore gaming operators (POGO) do not create jobs for Filipinos. Also, there have been reports of criminal activities at their facilities.”

“It’s better to stick to foreign direct investments that create jobs and generate income for Filipinos to spur the textbook multiplier effect and… boost exports,” he added.

Senator Sherwin T. Gatchalian, who heads the ways and means committee, on Wednesday told the floor “the POGO experiment has failed to provide the promised economic benefits to the Filipino people.”

“The data and evidence on hand all point to the same conclusion: Enough is enough. It is time to ban offshore gaming operations in the Philippines, once and for all,” he added.

John Paolo R. Rivera, an economist at the Asian Institute of Management, said the ban is expected to reduce economic activities. “However, it will positively affect Philippine society given the elimination of risks brought by POGO,” he said in a Viber message.

He said he agrees with the proposed ban, “but the question of priorities has to be addressed.” “This is a short-run decision whose benefits can be reaped in the long-term,” he said, adding that the government should be creative in thinking of alternatives.

“The amended Public Service Act can facilitate the creation of alternative sources of revenues,” Mr. Rivera said. “The government can look into optimizing that rather than looking elsewhere.”

The law that allows full foreign ownership in telecommunications, domestic shipping, railways and subways, airlines, expressways and tollways, and airports is set to take effect in April, according to the National Economic and Development Authority.

Other sources of foreign revenue are tourism, exports, business process outsourcing and remittances, Mr. Reyes said. “These are still far more than what POGOs bring to our economy.”

“These could also create a broader income base from which much of our taxes ultimately come,” he said. “What we can get from these can circulate more broadly in the economy.”

The Philippine Amusement and Gaming Corp. has also projected that POGO revenues would hit P10.23 billion by 2027, which Mr. Gatchalian said was too optimistic after the industry’s revenue peaked at P8 billion in 2019.

Antonio A. Ligon, a law and business professor at De La Salle University, said the ban was unlikely to “bring down our economy.”

The Department of Finance in November said the country could lose about P65 billion in taxes and other fees if the industry was shut down. It is also expected to affect the property sector.

The Philippines could pursue business activities from other sectors including electric vehicle manufacturing and parts, Mr. Ligon said in a text message.

“Instead of other countries training Filipinos to be skilled in this aspect, we can invite experts to train Filipinos here and invite investors to set up the different manufacturing plants in the Philippines,” he said.

Mr. Ligon said the success of enforcing the POGO ban would depend on how efficient and transparent it is done. “Every key player should cooperate to prevent the circumvention of the law.”

Mr. Rivera said POGOs should be completely banned. “There should be no exception to the rule. The ban should be objective and not subject to interpretation.”

China accuses US of aggravating tensions as it meets with Manila

��ý — Thu, 23 Mar 2023 11:53:48 +0000

CHINA on Wednesday accused the United States of worsening tensions by boosting military deployment in the Asia-Pacific region.

“The US side, out of selfish interests, remains trapped in a zero-sum mentality and keeps increasing military deployment in the Asia-Pacific,” Chinese Foreign Ministry spokesman Wang Wenbin told a news briefing in Beijing, based on a transcript posted on the agency’s website. “This would escalate tensions and endanger peace and stability in the region.”

“Regional countries need to remain vigilant and avoid being coerced or used by the US,” he added.

He also reiterated his opposition to a decision by Philippine President Ferdinand R. Marcos, Jr. to increase US access to military bases in the Southeast Asian nation under their Enhanced Defense Cooperation Agreement (EDCA).

Mr. Wang said physical consultations between the Foreign ministries of China and the Philippines would let both sides have an “in-depth communication on properly handling maritime disputes and advancing practical maritime cooperation, and exchange views on international and regional issues of shared interest.”

“We hope and believe that this round of consultation will help enhance mutual understanding and trust and bring about closer communication and coordination between the two sides, and galvanize joint efforts for the sound and steady growth of bilateral ties,” he added.

Last month, the Philippine government said it would allow the US to access four more military bases. Projects at five existing EDCA sites were almost finished, it added. Under the 2014 pact, Philippine military bases may be used for joint training, pre-positioning of equipment and building facilities such as runways, fuel storage and military housing.

Meanwhile, Chinese Ministry of Foreign Affairs Vice President Sun Weidong, said he expects friendly relations between China and the Philippines to continue.

“We need to… deepen our comprehensive strategic cooperation, enhance our cooperation in various practical areas and properly deal with our differences through friendly consultation,” he told Philippine envoys during a meeting at the Diamond Hotel in Manila streamed live on Facebook on Thursday.

Mr. Sun said consultations would continue under a “favorable atmosphere” amid talks on the South China Sea.

At the meeting, Philippine Foreign Affairs Undersecretary Ma. Theresa P. Lazaro said the Philippines looks forward to “utilizing these consultations to implement the consensus between our two leaders.”

Ms. Lazaro was referring to Philippine President Ferdinand R. Marcos, Jr.’s meeting with Chinese President Xi Jinping during his state visit to Beijing in January. The neighbors signed 14 bilateral deals covering infrastructure, agriculture, trade and tourism, while the Philippines also got business pledges from China worth about $23 billion.

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The seventh Bilateral Consultation Mechanism on the South China Sea was the first since a global coronavirus pandemic started in 2020.

“In light of this fast-changing international landscape, China stands ready to work with countries in the neighborhood including the Philippines to enhance our solidarity and cooperation, communication and coordination to jointly uphold our shared interests and peace and stability of the region,” Mr. Sun said.

“It has been almost four years since the last physical Foreign Ministry consultations, and the Philippines attaches much importance to this mechanism,” Ms. Lazaro said. “Through these Foreign Ministry consultations, we hope to translate the outcomes of the state visit into concrete and high impact engagements that are mutually beneficial for our two countries and peoples,” she added.

The South China Sea, a key global shipping route, is subject to overlapping territorial claims involving China, Brunei, Malaysia, the Philippines, Taiwan and Vietnam. Each year, trillions of dollars of trade flow through the sea, which is also rich in fish and gas.��

More than 40 Chinese boats were still roaming near Thitu Island in the South China Sea, the Philippine Coast Guard said weeks after it accused its Chinese counterpart of endangering the crew of a resupply ship in an incident that has stoked long-running diplomatic tensions over China’s expansive claims in the waterway.

Mr. Marcos has asked the Philippine Army to boost relations with its foreign counterparts, highlighting the importance of international ties amid increasing Chinese assertiveness in Philippine-claimed areas in the South China Sea.

Local foreign policy think tanks and experts have been urging the Philippine government to partner with as many countries as possible to deter China’s expansive activities at sea. — Alyssa Nicole O. Tan

Philippine Ombudsman orders suspension of officials in COVID mess

��ý — Thu, 23 Mar 2023 11:52:44 +0000

THE PHILIPPINE Ombudsman has ordered the suspension of 33 government officials over the purchase of what it called were overpriced coronavirus test kits in 2020.

In an order dated March 20, Ombudsman Samuel Martires said he found compelling reasons to suspend the Budget and Health officials pending investigation of the case.

“The evidence of guilt is strong,” he said, citing charges of “dishonesty, oppression or grave misconduct or neglect in the performance of duty,” based on a copy of the order. “The gravity of these offenses coupled with the seriousness of their participation would warrant removal from the service.”

Twenty-four current and ex-Budget officials and nine from the Health department were ordered suspended to prevent them from hampering the probe.

Senator Ana Theresia “Risa” N. Hontiveros-Baraquel, who sought the probe by the blue ribbon committee under its former chairman, ex-Senator Richard J. Gordon, Sr., said there is a further need to unmask the “masterminds behind the modus, well beyond the foot soldiers and mid-level officials.”

“Although the Ombudsman order only covers the COVID-19 test kits, we look forward to an investigation of the personal protective equipment and other overpriced procurements,” she said.

A special audit by the Commission on Audit would “paint an even fuller picture,” she said. “Any and all ill-gotten profit made from taxpayers’ money should eventually be seized and turned back over to the government where it belongs.”

During hearings by the previous Senate, lawmakers took Health officials to task for transferring about P42 billion to the Budget department’s procurement arm, which bought the medical supplies. Pharmally Pharmaceutical Corp. got P8.6 billion worth of contracts in 2020, according to the results of the probe.

“The Procurement Service-Department of Budget and Management (PS-DBM) respects and recognizes the authority and decision of the Office of the Ombudsman to suspend former and present officials and personnel of PS-DBM,” Procurement Service Executive Director Dennis S. Santiago said in a statement.

“We join the Office of the Ombudsman in its quest for truth and upholding public trust,” he said. “Rest assured that we shall implement the order within the specified time frame.”

He also vowed to pursue reforms at the agency. “Under the current leadership, the PS-DBM shall continue to implement and institute crucial procurement and administrative reforms, while implementing zero tolerance on irregularities and any form of corruption.”

The Department of Health (DoH) in a separate statement noted that while it respected the decision of the Ombudsman, it said its people were innocent. “While we commit to religiously comply with all procedures, the DoH vouches for the integrity of these officials who have played a significant role in the country’s COVID-19 response.”��

“We would also like to reiterate that the role of the DoH and the Research Institute for Tropical Medicine was limited to providing technical inputs as end-users in the conduct of the procurement of commodities for the COVID-19 pandemic,” it added.

“We ask the public to reserve judgement and keep an open mind until the investigation has been resolved.”

Senator Aquilino Martin “Koko” D. Pimentel III commended the Ombudsman, but said its actions and final decision should be monitored.

“During the pandemic, they made profit out of equipment purchased to fight against it,” Ms. Hontiveros said. “During the COVID-19, where many died, many suffered, the public treasure was even robbed. Let justice be served. This investigation is just the beginning.” — Alyssa Nicole O. Tan

PBEd-USAID program to train 600 youths in Polomolok and Malungon towns��

��ý — Thu, 23 Mar 2023 11:49:12 +0000

THE PHILIPPINE Business for Education (PBEd), in partnership with the United States Agency for International Development (USAID), will be training 600 out-of-school youths in the towns of Polomolok and Malungon in southern Philippines.��

Apart from training, the initiative with a P3-million funding will also establish a government-industry-academe council to address youth and employment concerns. ��

Malungon is within Sarangani province while Polomolok is in neighboring South Cotabato. The local economies of both towns are mainly agriculture-driven, with a number of agri-processing locators for high-value crops such as pineapple, banana, and mango, among others.��

PBEd and USAID, through their joint development project Youth Works PH, recently signed an agreement with the local government units for the training program.��

The Department of Social Welfare and Development’s (DSWD) Soccsksargen regional office is also supporting the project, along with the local Public Employment Service Offices and youth groups.��

“Our mandate is to provide our services to the vulnerable sectors, especially those at the grassroots,” Social Welfare Regional Director Loreto V. Cabaya, Jr. said in the statement. “We are hoping that this partnership will just be the start of bigger initiatives.” — Alyssa Nicole O. Tan

Senator backs proposal to strip Pagcor of role as state casino operator

��ý — Wed, 22 Mar 2023 12:18:21 +0000

THE HEAD of the Senate committee on public services on Wednesday backed a proposal to strip the Philippine Amusement and Gaming Corp. (Pagcor) of its role as an operator of state-owned casinos and making it function as a regulator.

“It’s high time for Pagcor to break up its dual role as operator and regulator of the gaming sector,”  Senator Mary Grace Poe-Llamanzares said in a statement.

“Pagcor can train its sights to guarantee a level playing field among industry players, prevent illegal activities and ensure the people’s welfare is protected from potential social harm,” she added.

Pagcor Chairman and Chief Executive Officer Alejandro H. Tengco on Tuesday said they were seriously considering to focus solely on regulating gaming operations, citing a plan to create a regulatory framework for online poker and enhancing slot machine operations.

The agency is also looking at destroying outdated gaming merchandise and equipment and creating and updating regulatory manuals.

It is also tying up with other agencies including the Justice and Interior and Local Government departments, as well as the police and National Bureau of Investigation to better combat illegal gambling.

“While there is no disputing the fact that the government needs revenues, generating and maximizing profits are better left to a separate agency, if not the private sector,” Ms. Poe said.

Pagcor expects to generate about P80 billion ($1.47 billion) from the sale of its 41 casinos.

The Philippines’ gross gaming revenue hit P214.3 billion in 2022, up from P113.1 billion in 2021, according to Pagcor data.  

The proposal seeks to resolve the state company’s conflicting functions that the senator said have resulted in its failure to do due diligence in the operations of Philippine offshore gaming companies and electronic cockfighting.

Lawmakers have also flagged Pagcor’s failure to regulate them and stem abductions involving mostly Chinese workers in the Philippines. — Alyssa Nicole O. Tan

Philippine Senate to investigate delays in processing of social security claims of SSS members

��ý — Wed, 22 Mar 2023 12:18:14 +0000

A SENATOR has filed a resolution seeking to investigate delays in the processing of claims from members of the stated-owned Social Security System (SSS).

These delays have caused financial difficulties on the part of retirees, Senator Rafael “Raffy” T. Tulfo said in Senate Resolution 544.

“It is the responsibility of the Senate to ensure that government agencies such as the SSS are efficient in providing services to the public, especially to its members who have contributed to the system,” he said.

The inquiry will look into the cause of delays and measures being taken by the SSS to address these. 

It will also tackle possible reforms to speed up the release of benefits, including the use of digital technology and automation.

Senators will also probe the need for additional funding and manpower, as well as the possible establishment of a monitoring system that will track the progress of claims.

The findings would help the Senate formulate measures to ensure members of the state pension fund receive benefits on time, Mr. Tulfo said. — Alyssa Nicole O. Tan

Australia provides P98.7M in support of PHL educational reform��

��ý — Wed, 22 Mar 2023 12:15:50 +0000

THE AUSTRALIAN government, in partnership with the private sector-led Philippine Business for Education (PBEd), is providing P98.7 million in support of educational reform initiatives.��

“Australia believes that quality education is key to a prosperous and productive nation. We have been a longstanding partner to the Philippines and strong supporter of its education reform goals,” Australian Ambassador to the Philippines Hae Kyong Yu said in a statement on Wednesday.��

“In this new phase of our partnership with PBEd, we will support the Philippines to achieve an education system that provides the skills and knowledge needed for future jobs,” she added.��

PBed is a non-profit organization founded and driven by the country’s top business leaders.��

Under the partnership, the Australian government and PBEd will work on four focus areas: senior high school curriculum improvement, industry involvement in skills development, improving teacher quality, and enhancing education data collection and assessments.��

“Australia’s support aims to help improve the quality of education and develop the skills of future workers,” it said. “This is a crucial effort at a time when the number of jobless Filipinos has increased amidst rapid changes to technology and types of future jobs available for young people.”��

Unemployment rose to a four-month high of 4.8% in January from the 4.3% in December as temporary holiday jobs were discontinued, the Philippine Statistics Authority said.��

This is equivalent to 2.37 million jobless Filipinos in January, against the 2.22 million in December.��

PBEd and the Assessment, Curriculum and Technology Research Centre will work together to support the plans of the Department of Education (DepEd) on reviewing and revising the K to 12 curriculum.��

With the support of Australia, PBEd also plans to establish more sector skills councils, which conduct labor market studies, to better align the skills of workers with the demands of industry.��

To improve teacher quality, the Australia-supported Research Centre for Teacher Quality will develop the competencies of teachers and school leaders in curriculum development and instruction, expand career progression for teachers, and strengthen the Teacher Education Council that looks into pre-service teacher education reforms.��

PBEd will also help DepEd improve the Australia-supported initiative, the Enhanced Basic Education Information System and Learner Information System, which serves as the primary source of Philippine education data on students, teachers, and schools.��

“Nation-building starts with quality education,” PBEd Executive Director Justine B. Raagas said.��

“An integrated approach to education reforms, starting from elementary school, is crucial for a seamless and foundational building block for a productive future workforce.” — Alyssa Nicole O. Tan

Senator flags ‘super profits’ in ‘smuggled’ Philippine sugar

��ý — Tue, 21 Mar 2023 12:14:13 +0000

By Alyssa Nicole O. Tan, Reporter

ONE of the traders handpicked by the government of Philippine President Ferdinand R. Marcos, Jr. in February to import sugar amid supply issues earned more than P10 billion amid overpricing, according to an opposition senator.

“This is not just a state-sponsored formation of a cartel,” Senator Ana Theresia “Risa” N. Hontiveros-Baraquel told a virtual news briefing on Tuesday. “It is a cartel that generates super profits, none of which will go to the national Treasury.”

All Asian Countertrade, Inc., one of the three traders chosen to import 440,000 metric tons of sugar ahead of a state go-signal, had an asking price of P85, P24 more than the price from a “trustworthy” importer, the senator said.

“The P85 asking price of All Asian imposed an additional P24 peso super profit for a total of P32 per kilo profit,” she said. “Multiplied by 440,000 metric tons, the profit goes beyond normal at P10.5 billion.”

“This is already huge since it’s only for three traders,” Ms. Hontiveros pointed out. “If normal profits are included, the total is P14 billion. With that kind of profit… it’s hard to imagine how much kickback there was.”

The lawmaker earlier filed Senate Resolution 497 seeking to probe the sugar imports.

On March 1, she questioned a Feb. 27 Agriculture department memo that cleared the release of 240,000 metric tons of imported sugar that she said entered the country without permits.

She called the imports “government-sponsored smuggling”.

In the memo, Agriculture Undersecretary Domingo F. Panganiban cleared for release imported sugar consigned to All Asian Countertrade.

The shipments entered the country without permits and before an import order was issued by the Sugar Regulatory Administration (SRA), Ms. Hontiveros said.

The release of the memo showed that authorities were aware that shipments of sugar arrived in the country way before March 1, the earliest date legally imported sugar could reach Philippine ports, she added.

Aside from All Asian, Sucden Philippines Inc., and Edison Lee Marketing Corp. were also handpicked to import the sugar. The imported sugar arrived in the country on Feb. 9.

‘HOLDING THE LINE’
Ms. Hontiveros noted that as of Friday, the Bureau of Customs (BoC) had yet to allow the release of the first shipment from Batangas port, and it continues to monitor the entry of incoming shipments.

“This means that the BoC still treats as illegal any shipments of sugar by All Asian Countertrade, Sucden Philippines and Edison Lee Marketing,” she said. “So far, they are holding the line.”

This also meant that the Sugar Regulatory Administration had yet to give the go-signal despite claims that the imports had been cleared. She added.

The SRA did not immediately reply to a Viber message seeking comment.

Ms. Hontiveros earlier sought the preventive suspension of the Agriculture official pending investigation of an alleged sugar cartel.

“No less than the Office of the Executive Secretary expressed doubts about the legality of the DA’s actions of choosing importers and allocating quantities to be imported before a sugar order could be signed by the SRA,” Ms. Hontiveros said.

The presidential palace did not immediately respond to separate text and Viber messages seeking comment.

“I continue to strongly demand an investigation,” the senator said. “If our blue ribbon committee will not open the investigation, talk to the planters and processors. They know what’s going on.”

“Talk to the industrialists. You will find that even their global head offices have been scandalized by what is happening here,” she added.

The sugar, which arrived in 260 20-foot containers, came on the strength of a memo issued by the Office of the Executive Secretary, Mr. Panganiban said on Feb. 22.

He added that he had asked the three traders since they had a proven track record to import the sugar and given the need to urgently address supply and price issues.

“In response to the directive of the president to address inflation and create a buffer stock and given that sugar is one of the components of most of commodities that drives the consistently high inflation rate, I acted with haste and interpreted the memorandum issued by the Office of the Executive Secretary as an approval to proceed with the imports,” Mr. Panganiban said.

Senator says immigration officers’ inspection practices an abuse of power��

��ý — Tue, 21 Mar 2023 12:11:55 +0000

A SENATOR has called out the Bureau of Immigration (BI) for its prevailing inspection practices wherein frontline officers abuse their power over departing travelers.��

“Of the more than 30,000 that were offloaded and disturbed by the immigration, less than 4.2% had a semblance of a basis,” Senator Ramon B. Revilla, Jr. said in Filipino in a statement on Tuesday.��

“Over 95% were troubled and made to spend. This means that only one out of every twenty they offload has basis. Is that a joke?” he said.��

“This really says something about the accuracy and efficiency of their performance.”��

Citing data from the BI, the senator said only 472 of 32,404 departing Filipinos inspected in 2022 were related to human trafficking, while 873 allegedly misrepresented themselves and 10 were minors.��

With the current procedures, it was as if all Filipinos were being treated as human traffickers unless proven otherwise, Mr. Revilla said.��

“Why are you looking for a yearbook? Why are you looking for a graduation photo? I can’t think for what reason,” he said, referring to a recent incident that went viral on social media and for which the bureau has since apologized.��

The affected passenger, who posted a video narrative of what happened, said she had to spend for a new ticket after she missed her flight due to a lengthy interrogation by the immigration officer who went as far as asking for her school yearbook.��

Mr. Revilla called embarrassing the BI’s “brazen disregard” of a person’s guaranteed right to travel, saying that it may even be a transgression on the power of the courts to issue hold departure orders upon cause.��

“It’s like they are beyond the court,” the senator said.��

Based on the Department of Justice’ Memorandum Circular 036, only tourist passengers identified by the immigration officer to have doubtful purpose of travel, fraudulent travel documents or identified as a potentially trafficked person may be stopped from leaving the country and turned over to the Travel Control and Enforcement Unit.��

The memo also states that “as much as practicable, secondary inspection shall not exceed 10 minutes unless extraordinary circumstances require a longer period of inspection.”��

“This is obviously being abused. The latitude being given to these (immigration officers) is enormous,” Mr. Revilla said. — Alyssa Nicole O. Tan��

Senator says transparency, accountability must be key features of proposed Maharlika wealth fund��

��ý — Tue, 21 Mar 2023 12:09:13 +0000

A SENATOR on Tuesday said the proposed law that will set up the Maharlika Investments Fund (MIF) must have clear provisions that ensure transparency and accountability in managing the financial pool. ��

“The top consideration is transparency. People should know where the funds will go, and any mishandling of funds must lead to prison terms,” Senator Robinhood “Robin” C. Padilla said in a statement on Tuesday.��

“Apologies are not enough because we are talking about the people’s money,” he said, noting that recent Senate investigations on various questionable government contracts have resulted to admission but “no one gets jailed, no one resigns.”��

Similarly, Senator Ana Theresia “Risa” N. Hontiveros-Baraquel found the provision on penalties inadequate.��

“Imagine, from the bill to the committee report, the maximum penalty was only raised from P2 million to P5 million. In the crime of graft and corruption in billions of pesos, there are only penalties, no jail time, and there are still no guarantees against money laundering,” she told a media conference via Facebook.��

Ms. Hontiveros also maintained her stance that it is not the right time to push for the measure.��

“In fact, I am not even convinced that this is timely, that this will actually generate excess revenues for capital, nor is this an urgent issue that needs to be allocated with limited government funds,” she said.��

She vowed to place as many safeguards as possible as the bill goes through deliberations and amendments at the plenary.��

Meanwhile, the Department of Budget and Management (DBM) welcomed the Senate’s sponsorship of the measure, saying that the proposed Maharlika fund will help the country in increasing its fiscal space, catalyzing economic growth and achieving its development goals.��

“More importantly, present and future generations will reap these benefits afforded by the MIF Act,” the DBM said in a statement on Tuesday.��

The department vowed to continuously offer technical assistance to lawmakers to ensure the integrity of the fund, while upholding the rule of law and respecting the process of legislation. — Alyssa Nicole O. Tan

Korea donates rice to disaster-hit regions in Mindanao��

��ý — Tue, 21 Mar 2023 12:08:40 +0000

THE REPUBLIC of Korea has donated 10,000 bags of milled rice, equivalent to 400 metric tons (MT), to disaster-hit areas in the regions of Zamboanga Peninsula, Northern Mindanao, and Davao in southern Philippines.��

Beneficiaries are those affected by flooding and landslides caused by the shear line and low-pressure area in recent months.

“I am very much pleased to turn over the 400 MT of rice to the Philippines through the APTERR (ASEAN Plus Three Emergency Rice Reserve) program, and hope that these sacks of rice will give the affected people renewed hope and strength,” Korean Ambassador to the Philippines Kim Inchul said in a statement on Tuesday following the turnover ceremony held in El Salvador, Misamis Oriental.��

“This gift of generosity is essential and truly immeasurable as the affected people move forward towards recovery and rehabilitation,” National Food Authority Administrator Roderico R. Bioco said.��

Under the APTERR Tier 3 Program, Korea is the biggest contributor of rice, with a total donation of 19,000 MT, including 2,750 MT given to the Philippines since 2017.��

Korea will be hosting the 11^th Meeting of the APTERR Council from April 25 to 26 in Seoul. — Alyssa Nicole O. Tan

Senate panel elevates Maharlika bill to plenary

��ý — Mon, 20 Mar 2023 12:17:06 +0000

A SENATE committee sponsored a bill seeking to establish the Maharlika Investment Fund (MIF) out for plenary discussion, touting the fund’s potential for returning the Philippines to a track of long-term high growth.

“I would like to emphasize that the Maharlika Investment Fund has the potential to bring back the Philippines to its high growth trajectory through investments in the country’s developmental projects,” Senator Mark A.��Villar, who chairs the Senate Banks, Financial Institutions and Currencies Committee, said during his sponsorship speech.

“Not only will this promote the effective intergenerational management of the country’s financial resources, but more importantly, improve the welfare of future generations of Filipinos,” he added.

According to the committee report, initial capital will come from the Land Bank of Philippines and the Development Bank of the Philippines; dividends of the Bangko Sentral ng Pilipinas (BSP); the Philippine Amusement and Gaming Corp.; and proceeds from the privatization and transfer of government assets.

Other sources such as royalties and special assessments may also be tapped.

“The involvement of these GFIs (government financial institutions) as contributors of the initial seed fund is reasonable and will not crowd out the other lending obligations that they need to fulfill under their respective mandates,” Mr. Villar said.

“In fact, the expected return of Maharlika, which is expected to be around 8.6% on average, is much higher than the cost of capital and the return on their current investment placements,” he added.

During an earlier hearing on the measure, the central bank said its plan to build up capital to P200 billion could be delayed if legislation obliges it to supply seed capital to the proposed Maharlika fund.

If signed into law, the measure will require the BSP to contribute 100% of its dividends to the sovereign wealth fund in the fund’s first two years.

After that period, the central bank’s contribution drops to 50% of its dividends, with the remaining 50% to be deposited into a special account holding the capital build-up funds.

However, the BSP did not see these provisions as “impinging” on its ability to achieve its mandate, noting that its balance sheet was “strong” and “improved.”

Mr. Villar said the fund will be established with “the highest standards of accountability, fiscal responsibility and good governance.”

The proposed fund will adhere to the Santiago principles to ensure the effective operation of sovereign wealth funds. It will also be governed by the relevant investment and risk management guidelines.

“In order to ensure accountability and proper governance of the fund, several layers of oversight will be put in place,” the senator said. “First, the board is required to appoint an internal auditor which shall be independent from the management of the MIC (Maharlika Investment Corp.)��and shall be under the direct control and supervision of the board of directors.”

“Second, an internationally recognized audit firm will serve as the external auditor for the fund to audit its financial statements,” he added. “Third, the books and accounts of the fund shall be subject to the strict examination by the Commission on Audit.”

A Joint Congressional Oversight Committee will also be constituted to oversee, monitor and evaluate the implementation of the Maharlika measure. It will be composed of five members each from both houses of Congress.

“Finally, as an additional measure for transparency, all documents of the fund and the Maharlika Investment Corp. shall be open, available and accessible to the public,” Mr. Villar said.

The Maharlika fund will also be subject to the provisions of the GOCC Governance Act of 2011, he said. — Alyssa Nicole O. Tan

More warnings issued against wage hike bills

��ý — Mon, 20 Mar 2023 12:15:51 +0000

By Alyssa Nicole O. Tan, Reporter

INCREASED unemployment and higher inflation could result if Congress resorts to legislated wage hikes, economists said.

“Raising minimum wages at this time is irresponsible,”��Ateneo de Manila Economics Professor��Leonardo��A.��Lanzona told ��ý in an e-mail.��“While workers working permanently and regularly in corporations may benefit, the number of unemployed will increase.”

“Corporations will be forced to lay off workers and not hire additional workers,” he added.

Senate President Juan Miguel F. Zubiri��has filed a bill seeking to increase the minimum wage for private sector workers by P150, pitching the bill as a relief measure in the face of the rising cost of goods and services.

If passed, Senate Bill 2002 or the Across-the-Board Wage Increase Act of 2023, will apply to the entire private sector, including agricultural workers, regardless of employer size and headcount.

“Senator Zubiri said that if the minimum wages are not raised, workers will be incentivized to leave the country,” Mr. Lanzona said. “In reality, even if the minimum wage is raised, more workers will be forced to work abroad and a greater number of workers will choose to work in informal and precarious jobs.”

Calixto V. Chikiamco, Foundation for Economic Freedom president, said in a Viber message that he expects legislated wage hikes to worsen inflation.

“It will most likely push consumer inflation further and erode the wage gains from the legislated wage increase,” he said.

“A legislated wage increase isn’t a good idea because it doesn’t account for the different unemployment rates across regions and the different productivity of various industries,” he added.

Unemployment rose to a four-month high of 4.8% in January��from the 4.3% in December following the disappearance of temporary holiday jobs,��the Philippine Statistics Authority said.��This is equivalent to 2.37 million jobless in January, against the 2.22 million in December.

Mr. Lanzona said legislation could be effective for other measures while still meeting the objective of providing relief from the high cost of living.

“There is room for legislation��but not in the form of wages,” he said. “Government should expand and improve social protection.”

“It is the government’s responsibility to ensure that workers’ welfare is not decreased in the face of economic challenges. The private sector must not carry this burden which in large measure is an outcome of poor state policies,” he added.

The three-person Makabayan Bloc at the House of Representatives has also proposed a wage increase of P750 for all private-sector workers, including those working in special economic zones, freeports, and in the agricultural sector.

Antonio A. Ligon, a law and business professor at De La Salle University, said in a Viber message to ��ý that��a legislated wage increase was “a positive approach,” though he warned of the need to consult with employers.

“The determination of what is reasonable must factor in the inputs of the business and entrepreneurial sector,” he said.

“Labor and capital as the foundation of the economy must maintain an equilibrium so both will benefit from any change,” he added.

Senate, House to hold closed-door meeting on proposed Constitutional change after May 7��

��ý — Mon, 20 Mar 2023 11:38:55 +0000

SENATORS and House representatives will hold a closed-door meeting after May 7 to discuss the proposed amendment of the 1987 Constitution as well as the method to be used, whether through a constitutional convention (con-con) or a constitutional assembly (con-ass).��

A scheduled public hearing on Monday on the matter was canceled by the Senate panel on constitutional amendments and revision of codes.��

Senator Robin C. Padilla, who chairs the committee, told the media that the cancellation was in consideration of “interparliamentary courtesy,” as explained to him by Senate President Juan Miguel F. Zubiri.��

The tradition disallows both chambers from intruding into each other’s affairs.��

“I was told to move my hearing with the congressmen, since there will be an executive session between the House of Representatives and the Senate first,” he said in Filipino.��

The senator, however, said he was disappointed as he prefers a public discussion with fellow lawmakers.��

“I really want the people to hear about this, but of course I am new to being a legislator. I have to follow things they call tradition and interparliamentary courtesy,” said the first-term senator.��

Cagayan De Oro Rep. Rufus Rodriguez, who chairs the counterpart committee in the House, also expressed disappointment over the public hearing’s cancellation.��

“I was already prepared go to the Senate today at 10 am to present to the senators the basis of our Resolution of Both Houses No. 6 and House Bill No. 7352 which were all data-driven, evidence-based and future-proof,” he said in a statement.��

The lower chamber on March 6 approved a resolution calling for a con-con, while its implementing measure, House Bill No. 7352, was approved last week.��

Mr. Padilla also filed Resolution of Both Houses 3, which seeks to amend the economic provisions of the Constitution through a constituent assembly.��

‘CEASEFIRE’
Mr. Zubiri, speaking at a separate media briefing on Monday, said they decided to follow the call of Cavite Rep. Elpidio F. Barzaga, Jr. “for a ceasefire on the heated discussions on charter change.”��

“This is the reason why I asked Sen. Robinhood Padilla to postpone his invitation to our representatives as resource persons,” the Senate leader said.��

“Being a neophyte senator, the chair of the committee may not yet be fully abreast with the traditions and practices of both chambers, but this tradition is to protect him and his committee as well, as we want to avoid a scenario in which conflicting opinions and heated arguments may take place,” he added.��

Mr. Zubiri assured that the results of the executive session will be made public.��

Congress will go on recess from March 25 to May 7. — Alyssa Nicole O. Tan and Beatriz Marie D. Cruz

National infrastructure master plan must be based on regional priorities, local land use��

��ý — Mon, 20 Mar 2023 11:38:24 +0000

A PROPOSED law that will serve as a blueprint for national infrastructure development must take into consideration the priorities of each Philippine region and local land use plans, national government officials said on Monday.��

National Economic and Development Authority Investment Programming Group Assistant Secretary Jonathan L. Uy pointed out that many of the national and regional development plans depend on land use ordinances set by local governments.��

“One of the considerations in this proposal will be the harmonization of legislation with regard particularly to land-use,” he said during a Senate economic affairs hearing.��

Mr. Uy said regional planning is done in a “bottom-up” process with coordination among local governments and local offices of the different national agencies.��

However, final approval of infrastructure projects “depends now on the national level what they will choose to prioritize.”��

Department of Energy (DoE) Assistant Director William G. Quinto said at the same hearing that power infrastructure projects must also be planned in coordination with other agencies to avoid conflicts in setting out locations.��

“DoE also recommends enhanced complementation of energy projects with other government agencies to avoid overlapping in terms of project sites,” he said.��

Senate bills 158 and 1987 seek the creation of a comprehensive infrastructure development master plan.��

The measures propose to increase the role of regional development councils and government-owned and -controlled corporations in the formulation of master plans to promote coherent projects at the national and local levels.��

“We also envision to consider the preparation of regionalized mapping of all key national projects identified in the infrastructure sector’s master plans,” Mr. Quinto said. “These help to address gaps in the project siting.”��

“We also want to consider the integration of infrastructure resilience in draft policy to safeguard government infrastructure development and investment,” he added.��

The proposed master plan will include priorities, schedules, and phases in the implementation of infrastructure projects and activities as well as the estimated funding requirements and financing modalities.��

The Philippines is divided into 17 regions. It has 81 provinces with over 1,500 cities and municipalities. — Alyssa Nicole O. Tan

Senate passes One Town, One Product program bill on final reading��

��ý — Mon, 20 Mar 2023 11:38:10 +0000

A BILL that seeks to develop indigenous raw materials, local skills and talents, and highlight local traditions and cultures has been passed on third and final reading at the Senate.��

With 22 affirmative votes, the upper chamber approved Senate Bill 1594, which will institutionalize the One Town, One Product (OTOP) Philippines program.��

The OTOP program was first launched in 2004 to promote distinct products from different localities. It has since been expanded to support micro, small and medium enterprises or MSMEs that produce these local goods.��

The bill specifies that official OTOP goods will be given a trustmark based on a set of criteria to be established by the Trade department.��

It will cover products and skill-based services known to an area or locality such as processed foods; agricultural products; arts and crafts; and home, fashion and creative artisanal products.��

Funding to support the program will be included in the annual national budget.��

Beneficiaries will be determined by the regional and provincial offices of the Trade department.��

OTOP Philippines offices and sales hubs will be established.��

The lower chamber’s version of the bill remains pending at the committee level. — Alyssa Nicole O. Tan

PCCI considers regional boards the right venue for setting wages

��ý — Sun, 19 Mar 2023 11:07:38 +0000

By Alyssa Nicole O. Tan

THE Philippine Chamber of Commerce and Industry (PCCI) said regional wage boards are the appropriate venue for setting the minimum wage compared to plans in Congress to legislate wage hikes.

“As to wage increases, it is better to have the tripartite of labor, government and management to discuss the matter and decide the amount of wage adjustment,” President George T. Barcelon said in a Viber message.

“They will tackle issues such as inflation, cost of living, reasonable adjustment of different sectors and regions,” he added, “considering job creation and possible retrenchment.”

Senate President Juan Miguel F. Zubiri��filed a bill seeking an increase of P150 nationwide, while the three-person Makabayan Bloc at the House of Representatives filed a bill seeking a hike of P750.

Antonio A. Ligon, a law and business professor at De La Salle University, in a text message to ��ý called the legislated proposals “laudable” but added that “the concerns and feasibility on the side of the business sector the entrepreneurs must be carefully weighed.”

“Labor and capital (should seek) a ‘win-win’ situation,” he added.

He concurred with National Economic and Development Authority Secretary Arsenio M. Balisacan that “forcing” wage increase via legislation would damage the Philippines’ competitiveness.

“Legislating or compelling businesses to raise wages will not be good if no corresponding productivity and reasonable investment return to business or entrepreneurs,” he said.

“To balance or avoid the harmful effect of legislated wages, there must be sufficient support mechanisms to the private business sector,” he added. “If we force businesses to increase wages, they might complain, and say it’s akin to confiscation — contrary to democratic free enterprise context.”

On the other hand, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort told ��ý via Viber that legislated wage increases affect all businesses, industries and institutions, regardless of their situation.

He noted the need to take into consideration “challenging business environments for some businesses and industries, especially those hit hard during the pandemic, competitiveness issues compared to other ASEAN (Association of Southeast Asian Nations) countries on operating costs, among others.”

According to the think tank Ibon Foundation, the gap between workers’ wages and the estimated family living wage continues to widen. As of January, the living wage for a family in the capital region was estimated at P1,161, more than double the region’s minimum wage.

Headline inflation slowed to 8.6% in February from 8.7% in January. This marked the 11^th consecutive month inflation was above the central bank’s 2-4% target.

Other than wage increases, Mr. Ligon proposed that the government make farm produce cheaper, provide more incentives and support businesses to help workers deal with the rising cost of goods and services.

He also noted the importance of making Philippine products and services available to the world market, as well as improving and developing the tourism industry.

“These may help reduce the economic hardships brought about by inflation,” Mr. Ligon said.

Senator proposes additional P418-M power subsidy for low-income households��

��ý — Sun, 19 Mar 2023 10:18:39 +0000

A SENATOR has asked the administration to provide an additional P418-million electricity supply subsidy for low-income households amid the continued high cost of goods.��

“We are glad that many of our countrymen are being helped by the electricity lifeline rate law that we have promoted,” Senator Sherwin T. Gatchalian said in Filipino in a statement on Sunday, “but we can help them even more if we increase the money they can save for their other bills while the inflation rate in the country continues to be high.”��

The senator was referring to Republic Act 11552, or an Act Extending and Enhancing the Implementation of the Lifeline Rate, which provided relief for 4.18 million households that are under the government’s conditional cash transfer program known as 4Ps (Pantawid Pamilyang Pilipino Program).��

With the proposed additional subsidy, “lifeline consumers can save an average of P296.67 per month,” he said. “This can buy a family 7.5 kilos of rice.”��

Funds for financial assistance will be sourced from the General Appropriations Fund.��

Headline inflation eased for the first time in six months as it slowed to 8.6% in February from 8.7% in January. It marked the 11^th consecutive month inflation exceeded the central bank’s 2-4% target. — Alyssa Nicole O. Tan

Philippines needs at least P100B yearly to close classroom gap

��ý — Thu, 16 Mar 2023 13:05:56 +0000

THE PHILIPPINES needs a yearly budget of P100 billion to resolve a classroom shortage by 2030 that threatens its worsening education quality, according to a Department of Education (DepEd) official.

The agency is looking for fund sources outside the national budget, Education Undersecretary Epimaco V. Densing III told reporters on the sidelines of a contract-signing for a P25.3-million grant from Japan on Thursday.

“As of the end of 2022, the shortage of new classrooms was around 165,000, and we’re already looking at a seven-year projection to address this gap by 2030,” he said.

“Based on our projections, we need at least P100 billion a year to be able to zero out the shortage of classrooms all over the country,” he added.

The DepEd has a P15.6-billion budget this year to build 6,421 classrooms.”But with an expected 2% net increment of enrollees, the yearly requirements should be around 13,000,” Mr. Densing said.

If the budget remains at this level in the coming years, “I’m quite sure it will take more than 20 years’’ to close the gap. “The appeal really is for everyone to help us.”

About five million students stand to benefit from closing the classroom backlog, Mr. Densing said.

Areas most in need of more classrooms include highly urbanized cities like Cebu and the National Capital Region, he said. These areas use as many as three class shifts given the lack of classrooms, he added.

Among the four beneficiaries of Japan’s P25.3-million grant was the municipality of Ilog, Negros Occidental, which was given P14.5 million to build a school building for Ilog Elementary School.

This is a two-story classroom facility for at least 240 students, Mr. Densing said.

“These are sources outside of the national budget where we can put up more classrooms, so this is our strategy right now,” he added.

The DepEd is also looking at civil society and business groups to help close the classroom gap.

“We’re also looking at the possibility of tapping loan programs or loan grants from our development partners,” he said.

The Japanese government has also allotted P3.6 million to the Pilipinas Shell Foundation, Inc. for the construction of a food processing training center in Bombon, Camarines Sur.

The project will ensure capacity building for farmers.

“This project will help enhance the livelihood skills of 1,200 farmer-households or over 4,000 individuals from 10 municipalities in the province of Camarines Sur — one of the poorest provinces in the Philippines,” Shell Executive Director Sebastian C. Quiniones, Jr. said in a speech at the event.

“Together, we will work on supporting our stakeholders gain skills in agri-business, food processing and sustainable farming, ultimately leading them towards becoming successful and self-sufficient members of society,” he added.

Meanwhile, P6.17 million will be given to the Golden Wheel Awards Foundation, Inc. so it can buy a water purification system in the village of Mabato in Rosario, Batangas, which will benefit both schools and homes there.

The remaining P971,429 will be given to the Sarnelli Center for Street Children Foundation, Inc. so it can buy vehicles for a street children center in Lipa City, Batangas.

“Japan continues to be the Philippines’ advocate in achieving sustainable and inclusive growth,” Japanese Ambassador to the Philippines Koshikawa Kazuhiko said in a speech. “We have forged strong ties as we actively work together to uplift the lives of Filipinos through our Official Development Assistance projects, particularly the Grant Assistance for Grass-Roots Human Security projects.”��

Japan has completed 553 similar projects since 1989. — Alyssa Nicole O. Tan

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