PHL to fix weak spots in path to $500-B dream PHL to fix weak spots in path to $500-B dream ‘Give provinces priority in ODA-funded infra projects’ B S A B A C S A Bloomberg News A C By Cai U. Ordinario
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@caiordinario HILIPPINES’S incoming economic planning secretary HILIPPINES’S incoming Arecosenio Balisacan to bol-ArNFR ASTRUCTURE projects nomic planningplans secretary ster the economy’s weak spots financed through Official senio Balisacan plans to as bolhester targets least spots Dthe e vat eeconomy’s lo p me6-percent nt weak A s s iannual s t a ncas e growth throughout term of Preshe targets at least 6-percent annual (ODA) and thethe national budident-elect Ferdinand the Marcos growth throughout termJr. of Presget all be channeled to Theshould next Ferdinand administration ident-elect Marcosmust Jr. v a rTh iou s prov i nces to en able boost investment in agriculture and e next administration must them to take the in growmanufacturing and build infrastrucboost investment in lead agriculture and ture tothe grow the and economy between ing economy, especially the manufacturing build infrastruc6-8 percent annually toaccording 2028,between Bali-to ture to grow the economy agriculture sector, sacan in an interview Wednes6-8 said percent annually to 2028, Baliexperts. day. sacan said2022 in anmidyear interview WednesIn the economic Farm and industry output curday. briefing of theless Ateneo rently account than 40Center perFarm andfor industry output curfor Research and Development cent of gross domestic product, rently account for less than while 40 per(ACERD), National Ecocent of grossformer domestic product, while
services contributes the majority. “I wouldcontributes like to see those weakest services the majority. points“Ias the priority of the adminiswould like to see those weakest nomicsaid a ndtheDevelopment Autration,” 64-year-old, who’s points as the priority of the administhority (Neda) Cielito F. Habito currently of the nation’s tration,”chairman said the 64-year-old, who’s said projects fundedofthrough the antitrust commission. currently chairman the nation’s private sector by means of rate PubConsistently growing at the antitrust commission. oflic 6 percent sixgrowing years will make PrivateforPartnerships (PPPs) Consistently at the rate Philippines half-a-trillion dollar of 6 percent for sixundertaken years will make would be abetter in economy, according to Bloomberg Philippines a half-a-trillion dollar highly urbanized areas. calculations. economy, according toand Bloomberg provinces poorer ThGiving e nation’s first-quarter expancalculations. regions a chance to get ODA and sion of percentfiis already among Th8.3 e nation’s rst-quarter expanpublicly-f unded projects w il l Asia’s fastest, thanks to the reopension of 8.3 percent is already among ing fromin the pandemic. Still, Marhelp developing Asia’s fastest, thanks toagriculture the reopencos’s immediate in these areas, Habitochallengpointed ingteam fromfaces the pandemic. Still, Mares:out. inflation is at its fastest inchallengthree cos’s team faces immediate He said the country’s neighyears, budget hasIndonesia, widened es: infl ation isdefi at cit its fastest in three bors, Vietnam and and the global outlook hashas dimmed. years, budget defi cit widened have benefited from tapping loStill, said the and theBalisacan global outlook haseconomy dimmed. cal governments in agricultural can expand by at leastsaid 7 percent this Still, Balisacan the economy development. can expand by at least 7 percent this
year, within the official growth estimate, from the year,riding withinthe therecovery official growth estirecord contraction in 2020 from due tothe mate, riding the recovery “ I n t e r m s of m a k i n g ou r therecord pandemic. He saidinhe2020 will push contraction dueour to farmers more capable, let forthe more targeted He support measures pandemic. said he will push take the lead in dotoprovinces easemore inflation’s burden on the poor for targeted support measures ing that, a top down all poor the while ensuring “tight” government to ease inflnot ation’s burden on the finances are managed properly. way Diliman teaching our whilefrom ensuring “tight” government canare achieve with less,” fi“We nances managed properly. farmers down inmore Tawi-Tawi what hetosaid, a review and “We adding can achieve more less,” do. But youthat have to with scale up streamlining of benefi ciaries are he said, adding that a review and what we call a province-led agneeded. The nation cannot streamlining of also benefi ciaries af-are riculture and fisheries extenford removal certain needed. The of nation also taxes cannotonafsion system or PAFES for short,” goods as proposed by some sectors, ford removal of certain taxes on heHabito said. assaid. goods proposed by some sectors, on agriculture as a he Relying said.
Experienced economist major growth driver can lead to BALISACAN willeconomist draw from his exExperienced broad-based GDP growth. At-
perience in crafting a newfrom economic BALISACAN will draw his exeneo Department of Economics development plan. Before taking perience in crafting a new economic Chairperson Alvin P. he Ang said helm of the antitrust body, served development plan. Before taking in his presentation that among helm of the antitrust body, he served
as economic planning secretary of theas late president Benigno Aquino of economic planning secretary from 2012 to 2016. Benigno Aquino the late president production sectors,growth agriculture To sustain economic of at from 2012 to 2016. is present in many more regions least To 6 percent, next administrasustain the economic growth of at nationwide. tion must addressthe rednext tape administraand build least 6 percent, However, efforts to help aginfrastructure needed attract intion must address redtotape and build vestment in are manufacturing and agriculture needed as attract Ang said infrastructure needed to inriculture, said who holds vestment inBalisacan, manufacturing and aagthe structure of the country’s PhD in Economics from the Univerriculture, said Balisacan, who holdsina farm sector barely changed sity of Hawaii. PhD in Economics from the Univerover 20 years. Given a budget deficit inflated sity of Hawaii. “Only agriculture is spread by pandemic-era support Given a budget defiprograms, cit inflated all over, therefore the key is to companies and multilateral develby pandemic-era support programs, opment agencies beresources tappeddeveltoof harness productive companies and may multilateral finance roads, rail and heto agriculture to address opment agencies mayirrigation, be problems tapped said. Balisacan helped finance roads,inequality, rail andmanage irrigation, he of poverty, andthe unAquino administration’s flagshipthe said. Balisacan helped manage employment,” Ang said in his public-private partnership fl infraAquino administration’s agship presentation. public-private partnership infra-
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By Samuel P. Medenilla @sam_medenilla & Andrea E. San Juan
ABOVE THE FRAY Construction crew work above the congested Commonwealth Avenue area at the Manggahan Station of the 14-station, 22.8-km MRT Line 7 railway project in Quezon City on Thursday, August 25, 2022. NONOY LACZA
ILIPINO employers called on the government to take the lead in digital transformation, massive upskilling and reskilling of the Filipino workforce, and green jobs creation and preservation, among others.
A s the employers convened through the Employers Confederation of the Philippines (ECOP)’s 43rd National Conference of Employers (NCE) in Pasay City on August 24 and 25, they laid out the conference resolutions they will submit to President Ferdinand R. Marcos Jr. One of the resolutions focuses on enhancing productivity by implementing f lexible work arrangements. “To create an environment that will encourage more inflows of investments, remove red tape, allow ease and flexibility of doing busi-
ness, protect employers’ rights to manage their business and their workforce, and encourage productivity improvement by supporting alternative and flexible work arrangements,” read the Conference resolutions document released by ECOP on Thursday. The organization of employers also underscored the importance of taking a whole-of-nation approach in addressing jobs-skills mismatch, which they said will help the Filipino workforce be globally competitive. See “ECOP,” A2
‘Debt burden only a tenth, HOT MONEY IN NET OUTFLOW not a third, of 2023 budget’ TERRITORY OF $103M IN JULY
Bernadette D. Nicolas of the budget next THE BRP Melchora Aquino, the second of two multi-role response vessels procured by the Philippine government from Japan,By is welcomed by the Philippine Coast Guard at the Port Areaproposed in Manila on Wednesday, June 1,year. 2022, completing its maiden voyage from Japan. Constructed by Mitsubishi Shipbuilding Co. in Japan, the ship, named By Bianca Cuaresma after Sora, the Grand Woman thevessels Spanish colonial is partcomofgovernment the Maritimefrom Safety Capability Improvement Project ofCoast the Coast DOMINGO ever, is an improvement @BNicolasBM “This much lower than THETandang BRP Melchora Aquino, the secondofofthe twoRevolution multi-roleduring response procured byperiod, the Philippine Japan, is welcomed by the Philippine GuardGuard. at theROY Port Area inisManila on Wednesday, June 1,the 2022, completing its maiden voyage from Japan. Constructed by Mitsubishi Shipbuilding Co. in Japan, the ship, named paredtheto the colonial $342-million P1.6-trillion after Tandang Sora,@BcuaresmaBM the Grand Woman of the Revolution during Spanish period, is partnet of the Maritime Safety Capability Improvement Project of the Coast Guard. ROY DOMINGO debt service—equivB C U. O @caiordinario outflows recorded in June 2022 HE Department of Finance alent to 29.8 percent of the proB investments C U. O and @caiordinario HORT-TERM the net outflow of $339.7 has clarified that debt burposed budget—cited in the article,
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million in Philippine July last year. HE performance of theare FPI known as “hot” or HE performance of thehalf Philippine economy in the second “speculative” money because the second half they are easily pulled in and ofeconomy the year in will rest squarely out of the local platforms in of the yearofwill squarely the slight change of global and on the shoulders therest incoming sentiment. on the shoulderseconomic of the local incoming administration’s team, July’s hot money numbers administration’s economic team, from the $784-million according to a local thinkresulted tank. grosstank. outflows and $681-milaccording to a local think made by foreign investors hit the net outflow territory for the third consecutive month in July, the Bangko Sentral ng Pilipinas (BSP) reported on Thursday. Data from the Central Bank showed that foreign portfolio investments (FPI) recorded a net outflow of $103 million in July this year. The country’s FPI has been in the net outflow territory since Call May 2021. In its latest Market report, First Metro outflow July, Investment Corp. and University ofin Asia and howthe In itsThe latestnet Market Call report, First Metro
l ion g ross inf lows for t he month.
cabinet can handle the emerging scenario,” the See “Hot,” A2 report stated. cabinet can handle the emerging scenario,” the One of the major risks that post the most Pacifi c (FMIC-UA&P) Capital Markets Research report stated. Investment Corp. and University of Asia and the uncertainty is the Russia-Ukraine saidPacifi thecgrowth momentum which gave rise to One to of the the economy major risks that post the most (FMIC-UA&P) Capital Markets Research waruncertainty which willtomark its first 100 days. The war thesaid 8.3-percent growth in the fiwhich rst quarter the economy is the Russia-Ukraine the growth momentum gave will rise to began 24 0.4099 this and will reach spillthe over to the second quarter. nFebruary japan ndays. UK The 66.2947 war in which will mark its fiyear rst 100 war 8.3-percent growth in the first quarternwillUS 56.2010 100began days on 3. FMIC-UA&P Capital However, of the economy in in June February 24 this year and Markets will reach spill over tothe theperformance second quarter. Research saidoncommodity prices, particularly oil the third and fourth quarters will of bethe determined 100 days June 3. FMIC-UA&P Capital Markets However, the performance economy in prices, could remain elevated until the particularly war in East- oil by the the third policies be implemented the new Research said commodity prices, andtofourth quarters will by be determined ernprices, Europecould is resolved. This uncertainty lead economic will greet remain elevated until the will war in Eastby the team. policiesMuch to beuncertainty implemented by thethenew to an ation of above 5 percent in economic managers as the pandemicwill continues ernaverage Europe infl is resolved. This uncertainty willthelead economic team. Much uncertainty greet the country year. inflation of above 5 percent in the andeconomic commodity prices remain to anthis average managers as theelevated. pandemic continues In April, “Thecommodity robustness in the economic country thisthe year.Philippine Statistics Authority and prices remain elevated.recovery, (PSA) reported ation nationwide increased founded“The heavily on employment gains, should In April,that theinflPhilippine Statistics Authority robustness in the economic recovery, to 4.9 percent in April Thenationwide average inflincreased ation spillfounded over intoheavily Q2 [theonsecond quarter].gains, And while (PSA) reported that 2022. inflation employment should for tothe4.9first four months of theThe yearaverage stood at a tighter fiscal andsecond inflation pose And serious percent in April 2022. infl3.7 ation spill over intospace Q2 [the quarter]. while headwinds anation economic for the first four months of the year stood at 3.7 a tighterinfiH2 scal[second space half], and infl poseteam serious S “H,” A of high-quality the new President’s headwinds intechnocrats H2 [secondinhalf], an economic team S “H,” A of high-quality technocrats in the new President’s
PESO exchange rates
T PANDEMIC PANDEMICCHALLENGE CHALLENGE
Sotto closes ‘productive’ Sotto closes ‘productive’ session; Zubiri next SP? MARKS 18TH CONGRESS session; Zubiri next SP? MARKS 18TH CONGRESS
den makes up only around which erroneously included the a tenth, not one third, of the proprincipal amortization of P1.020 posed 2023 national budget. trillion as part of expenditures,” Finance Secretary Benjamin Diokno said. E. Diokno said only 11.6 percent The finance chief explained Jbillion M N. orBP611 ofD the C proposed that principal our amortization and strengthened political andof P5.268-trillion national budget debt is not institutions. included as an and exgovernmental B J@joveemarie M N. D C and strengthened our political “Despite many for next year @joveemarie is allocated for debt pense itemthe under anychallenges accounting governmental institutions. HE House of Representatives that happened during tenure burden. standard, whether inmy the private “Despite the many challenges onHEcomprises Wednesday endedbillion the asor your Speaker, we have risen and is House of Representatives that happened during my this tenure This P582.3 public sector because 18th highlighting ourselves to One Conon Congress, Wednesday ended the proven as your Speaker, webe have and for interest payments and P28.7 “merely the settlement ofrisen debt obitsbillion 3-year achievements, including gress, ready to serveto our people,” 18th Congress, highlighting proven ourselves be One Confor net lending. ligations incurred from expenses laws to helpachievements, the country navigate histo colleagues. its Diokno 3-year including Velasco gress, told ready serve ourpast.” people,” issued the clarification already recorded in the through and emerge stronger from “One Congress, ready to scrutilaws to help the country navigate Velasco told his colleagues. after a media outfit reported that the Covid-19 pandemic. the national budget, pass through and emerge from nize “One Congress, ready the debt burden madestronger up one-third See “Debt,” A2 to scrutiIn Covid-19 his valedictory laws, conduct hearings, the pandemic. speech, nizetothe national budget,totopropass Speaker Velascospeech, said vide oversight on the implementaIn Lord his Allan valedictory laws, to conduct hearings, to prothe Congress was 8. a1951 key n and tion of40.3366 laws, and to generally make Speaker Lord Allan Velasco said vide oversight the implementan HK18th 7.1633 n CHINA singapore n on australia 38.8237 steady partner of President easier theand next the 18th Congress was aDuterte key and it tion offor laws, to Congress generally and make insteady passing lawsof that promoted to continue the legpartner President Duterte itsitleadership, easier for the next Congress and economic development, work for the sake of our in passing laws thatstrengthpromoted islative its leadership, to continue thekalegened the administration justice babayans,” he added. economic development,ofstrengthislative work for the sake of our kaand thethe ruleadministration of law, enhanced the He said the ened of justice babayans,” hepandemic added. forced the protection of labor andenhanced social welto be dynamic, and the rule of law, the House Heleadership said the pandemic forced the fare, improved of and and proactive. protection of the laborquality and social wel- innovative House leadership to be dynamic, increased access to “Despite the lingering threat fare, improved theeducation quality ofand and innovative and proactive. information, enhanced our health increased access to education and “Despite the lingering threat C A and emergencyenhanced response our system, information, health C A and emergency response system,
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UTGOING Senate PresiDrilon moved to elect Majority dent Vicente Senate Sotto PresiIII Leader Juanmoved MigueltoZubiri as the UTGOING Drilon elect Majority declared at 7:41 Sotto pm ofIII acting Senate Pro Temdent Vicente Leader Juan President Miguel Zubiri as the Wednesday as adjourned sinepm dieof pore fromSenate noon President of June 30 declared at 7:41 acting Prountil Temthe third regular session of thedie July 25,from when the of 19th Congress Wednesday as adjourned sine pore noon June 30 until 18th on thesession part ofofthe convenes. the Congress third regular the first July 25, when the 19th Congress Senate, capping on what Minority in the day, colleagues 18th Congress the part of the fiEarlier rst convenes. Leader Franklin Drilon thatinZubiri had colleagues secured Senate, capping whatdescribed Minority signaled Earlier the day, asLeader “one of Franklin the most Drilon productive sesthe “votes” that of majority senators described signaled Zubiri of had secured sions” of the chamber, a feat made sit in 19th Senate, a as “one of the most productive ses- who thewill “votes” ofthe majority of senators remarkable by chamber, the fact that much confisit rmed by Drilon. sions” of the a feat made matter who will in the 19th Senate, a ofremarkable it was in a pandemic. Zubiri confi appears to be the by the fact that much matter rmednow by Drilon. peers heaped praise on only Zubiri likely candidate to stand ofHis it was in a pandemic. appears now to befor the n Sotto EU 56.0324 nleadership, KOREA 0.0419 n SAUDI 14.9570 Source: (August 25, 2022) for his and laudelection as the next BSP Senate PresiHis peers heaped praise on arabia only likely candidate to stand for edSotto and thanked as well theand seven after as Sen. Cynthia Villar, earfor his leadership, laud- dent, election the next Senate Presiother “graduating” members of seven the lier touted a strong contender, ed and thanked as well the dent, afterasSen. Cynthia Villar, earchamber, including two other of pilwithdrawing other “graduating” members the announced lier toutedshe as awas strong contender, lars—Drilon and Senate the race. she was withdrawing chamber, including twoPresident other pil- from announced Pro Tempore Ralph “Walathe nang [There is no] SP race,” lars—Drilon and Recto. Senate President from race. As Tempore his “last Ralph officialRecto. act,” Drilon she told reporters, Pro “Wala nang [Thadding, ere is no]“ISPwant race,” introduced resolution meant to a she simple and explained As his a“last official act,” Drilon told life” reporters, adding, “I she want prevent a month-long leadership to “take of my adintroduced a resolution meant to just a wanted simple life” andcare explained she gap in the aSenate, as the terms of vocacy, agriculture,” heradprevent month-long leadership just wanted to “takesignaling care of my Sotto and endasatthenoon ofof desire to keep her chairmanship gap in theRecto Senate, terms vocacy, agriculture,” signaling of her Butch Fernandez June 30. and Recto end at noon of that committee. Sotto desire to keep her chairmanship of June 30. that committee. Butch Fernandez
PESO EXCHANGE RATES ■ US 52.4120 ■ JAPAN 0.4073 ■ UK 66.0496 ■ HK 6.6799 ■ SINGAPORE 38.2625 ■ AUSTRALIA 37.6004 ■ SAUDI ARABIA 13.9750 ■ EU 56.2643 ■ CHINA 7.8555 Source: BSP (June 1, 2022) PESO EXCHANGE RATES ■ US 52.4120 ■ JAPAN 0.4073 ■ UK 66.0496 ■ HK 6.6799 ■ SINGAPORE 38.2625 ■ AUSTRALIA 37.6004 ■ SAUDI ARABIA 13.9750 ■ EU 56.2643 ■ CHINA 7.8555 Source: BSP (June 1, 2022)