PHL sees economic gains as EU ‘derisking’ goes on By Samuel P. Medenilla @sam_medenilla
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HE Philippines is now set to receive millions of euros worth of economic packages and relaunch its negotiations for a free trade agreement (FTA) with the European Union (EU) as the regional bloc continues to “derisk” its supply chains. On Monday, President Ferdinand R. Marcos Jr. and European Commission (EC) President Ursula von der Leyen witnessed the ceremonial signing of the Joint Declaration on Green Economy Program following their successful bilateral meeting in Malacañang. Under the agreement, Marcos said the EU has committed to provide a 60-million-euro grant to the
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government for its green economy program, which includes promoting a circular economy, renewable energy, and climate change mitigation measures. On top of the grant, EU will also provide technical support to the country through its “Eyes in the Sky” initiative, wherein the data from its Copernicus satellites will be shared with the Philippine Space Agency through a “mirror site.” “This is very important for early warning, for example, for extreme weather phenomena and to improve climate resilience. This is the first in-space cooperation in Asia,” Von der Leyen said in her joint statement with the President.
Digital, mining packages
THE EC official said they will also
launch a digital economy package for the Philippines later this year, to provide the country access to fast and reliable internet connectivity and cybersecurity training. She also disclosed their plans to extend the submarine cable that the EU plans to build via the Arctic to Japan to reach Southeast Asia through the Philippines, which will make it a digital hub in the region. As part of its efforts to develop new sources of “critical raw materials,” the EU is also currently eyeing projects that aim to develop the local mining industry. “Our existing partnerships on critical raw materials do not only invest in extraction, but across the whole value chain. We share technology and knowledge. We train the
local workforce and we empower local communities and of course, we abide by the highest and environmental standards,” Von der Leyen said.
Relaunched FTA talks
BOTH Marcos and Von der Leyen also formally announced the relaunching of the negotiations for a Philippine-EU FTA. “I welcome the conduct this year of scoping exercises between the European Commission and the Philippines towards negotiations for a Philippines-EU free trade agreement,” Marcos said. (See related story in Second Front Page, PHL-EU FTA nego resume in ’24 after Sept ’23 scoping talks-DTI) See “PHL,” A2
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‘CHEAPER FOOD, POWER COOLED JULY INFLATION’ w
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Tuesday, August 1, 2023 Vol. 18 No. 288
P25.00 nationwide | 2 sections 22 pages |
EUROPEAN Commission President Ursula von der Leyen signs the guest book beside Philippine President Ferdinand Marcos Jr. at the Malacañang Presidential Palace in Manila, Philippines, on Monday, July 31, 2023. Von der Leyen warned Monday that Europe would not tolerate aggression in Ukraine or the Indo-Pacific, as she renewed in a speech the EU’s recognition of a 2016 arbitration decision that invalidated China’s expansive claims in the disputed South China Sea. Von der Leyen spoke in a joint news conference with Marcos after holding talks in Manila that aimed to bolster trade, economic and security relations. The leaders announced the 27-nation bloc would resume negotiations with the Philippines for a free-trade agreement that stalled in 2017 under Marcos’s predecessor, Rodrigo Duterte. Story in A1, above, PHL sees economic gains as EU ‘derisking’ goes on. AP PHOTO/AARON FAVILA, POOL
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By Cai U. Ordinario
@caiordinario
HEAPER food items, electricity prices, and the appreciation of the peso may have helped cool down inflation to below 5 percent in July, according to the Bangko Sentral ng Pilipinas (BSP). The BSP projects July 2023 inflation to have settled within the range of 4.1 to 4.9 percent. This is the lowest inflation rate since April 2022 when inflation was at 4.9 percent or March 2022 when inflation was at 4 percent. Inflation has been trending downward since it peaked at 8.7 percent in January 2023. The in-
crease in commodity prices slowed to 5.4 percent in June 2023. “Lower electricity rates, declines in the prices of meat, fruits, and fish items, the rollback in LPG prices, and the peso appreciation could contribute to downward price pressures during the month,” BSP said. See “Cheaper food,” A2
TRAVEL EXPO TO PUSH ‘HIDDEN GEMS, EMERGING DESTINATIONS’ By Ma. Stella F. Arnaldo
@akosistellaBM Special to the BusinessMirror
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MERGING destinations in Mindanao, Eastern Visayas, and Northern Luzon will be among those promoted by the Philippine Tour Operators Association (Philtoa) at its travel expo this September. In a recent news conference, Philtoa president Fe Abling-Yu said, apart from continuing to promote less-known destinations in Mindanao, the 34th Philippine Travel Mart is “going
to promote Borongan, Samar… as Philippine Airlines will now be flying there via Cebu. So we can sell Borongan and we can sell also the outlying destinations in Cebu, not necessarily Cebu City, as well as other parts of Samar.” While there are no available flights there yet, Marinduque is also on Philtoa’s list of emerging destinations, she said, as well as Romblon, Quirino province, Isabela in Basilan province, Masbate, and Samal Island in Davao. See “Travel,” A2
Mindanao bizmen, chambers upbeat after Marcos lifts ‘state of lawlessness’ proclamation By Manuel T. Cayon @awimailbox Mindanao Bureau Chief
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AVAO CITY—Leaders of business organizations in Mindanao and foreign chambers described as timely and significant the lifting last week of a “national state of lawless violence” in Mindanao. They said the lifting of the Presidential proclamation issued in 2016 would downgrade many international advisories against travel to Mindanao. The Mindanao Development
Authority (MinDA) announced on Monday that Malacañang has lifted Proclamation No. 55, which former President Rodrigo R. Duterte issued on September 3, 2016, to declare a “National Emergency on Account of Lawless Violence in Mindanao.” Secretary Maria Belen S. Acosta, chief of MinDA, said President Ferdinand R. Marcos Jr. signed Proclamation 298 lifting Proclamation No. 55 on July 25. Antonio Peralta, chairman of the European Chamber of Commerce in the Philippines-Southern Mindanao, said the move should See “Mindanao,” A2
PESO EXCHANGE RATES n US 54.8470 n JAPAN 0.3888 n UK 70.5223 n HK 7.0350 n CHINA 7.6712 n SINGAPORE 41.1857 n AUSTRALIA 36.4513 n EU 60.4578 n KOREA 0.0431 n SAUDI ARABIA 14.6239 Source: BSP (July 31, 2023)