Trade gap widest in 26 mos, hits $5.8B in Oct
T
ASIA’S STAR SHINES IN MANILA Miss Universe Asia 2024, Chelsea Manalo, returned to the Philippines on the evening of December 9, 2024, arriving at NAIA Terminal 1 aboard PAL Flight PR 113 from Los Angeles. The trailblazing beauty queen from Bulacan, who made history as the first-ever Miss Universe Asia, attributes her victory to her confident and authentic personality. NONIE REYES
HE country’s trade gap in October worsened to its widest level in 26 months, according to the latest data from the Philippine Statistics Authority (PSA). However, a World Bank economist signalled this was not a big concern, because the economy is growing and financing conditions “are not adverse.” On Tuesday, PSA said the country’s trade deficit reached $5.8 billion in October 2024. This was the largest trade gap since the $5.99 billion posted in August 2022. The trade deficit widened by
36.8 percent, larger than the 29.4 percent recorded in the trade deficit in October 2023 but smaller than the 43.7-percent expansion posted in September 2024. “In principle, a trade deficit that increases may be a source of concern if you have no way of financing it, and if it is coming because saving is falling, because consumption is booming, without the economy growing,” World Bank Lead Economist Gonzalo Varela said in a briefing on Tuesday. “But if the trade deficit is happening because investment is
growing, then you have a different story. So there are a number of things you need to look at,” he added.
Factors to consider
AMONG the factors that should be considered, Varela said, include whether countries are able to finance their trade gaps and what the financing conditions are. It is also important to consider the underlying reason for the trade deficit, on whether it is leading to an investment boom or if it is just being driven by consumption but
is not enough to boost growth. “So here [in the Philippines] what we have is an economy that is growing [and] financing conditions that are not adverse, so temporary changes in trade deficit are not [a concern],” Varela said. In October 2024, the country’s total export sales in October 2024 amounted to $6.16 billion, indicating an annual decrement of 5.5 percent from the $6.52 billion total export sales in the same month of the previous year. See “Trade gap,” A2
A broader look at today’s business www.businessmirror.com.ph
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SLOWDOWN, WARY MOOD SEEN IN 4-YEAR FDI LOW By Cai U. Ordinario @caiordinario
F
OREIGN direct investments (FDIs) received by the Philippines in September 2024 were the lowest since the height of the pandemic, according to the latest data released by the Bangko Sentral ng Pilipinas (BSP). Analysts cited, as possible reasons for such, the slowdown in growth and the wait-and-see attitude of investors as vital reforms were still hanging in Congress that time. T he data showed net FDIs amounted to $368 million in September 2024, the lowest since the $314 million posted in April 2020. In terms of year-on-year growth, net FDIs contracted 36.2 percent in September 2024, the steepest decline since the 76.1-percent contraction in December 2022. “The relatively lower FDI could be largely brought about by a waitand-see stance by some foreign investors/FDIs/locators while waiting for the CREATE MORE to be passed into law—already passed into law on November 11, 2024,” Rizal Commercial Banking Corporation Chief Economist Michael L. Ricafort said. Apart from this, Philippine Institute for Development Studies (PIDS) Senior Research Fellow John Paolo R. Rivera also told reporters that the slowdown in the country’s economic growth in the third quarter may have also “raised concerns among foreign investors.”
SPARKING AWARENESS Environmental NGO BAN Toxics launched its annual “Iwas Paputok”
campaign with an awareness activity attended by around 2,000 students and residents in Barangay Payatas, Quezon City. Held at Payatas B Elementary School on December 10, 2024, coinciding with Human Rights Day, the campaign highlighted the right to a healthy and safe environment as a fundamental human right for children. This advocacy aligns with efforts to reduce firecracker-related injuries and pollution during the holiday season, promoting safer and more sustainable celebrations. NONOY LACZA
See “FDI,” A2
VILLAR LANDS ON FORBES ASIA PHILANTHROPY LIST By VG Cabuag @Villygc
M
ANUEL B. VILLAR Jr., the Philippines r ichest man, has joined the list of Asians who have contributed to philanthropy in the region for the past year. Villar was the only Filipino in the unranked list that comprise 15 Asia-based individuals collated by Forbes Asia magazine for its 19th Heroes of Philanthropy list.
In citing Villar, chairman of the Villar group that includes Vista Land and Lifescapes Inc., Forbes Asia citd his donation in October to build a church and school inside Provence, a residential community about 40 kilometers north of Manila being developed by his company. “The tycoon’s gift to the local Catholic Church consisted of 1.2 hectares of land, valued at P613 million, and the rest See “Villar,” A2
Pagcor: Some banned Pogo operators going underground By Reine Juvierre S. Alberto @reine_alberto
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ITH Philippine of fshore gaming operat ions (Pogo) set to be eliminated in the country as early as December 15, the Philippine Amusement and Gaming Cor poration (Pagcor) war ned that some entities have started guerilla-style operations after the planned ban. At the Pogo forum organized by Stratbase ADR Institute and the United States Institute of Peace on Tuesday, Pagcor Chairman and Chief Executive Officer Alejandro H. Tengco said 17 Pogos remaining today will all seize operations by
December 15. “By the end of December, all of them will have all their licenses canceled,” Tengco said. From a peak of 298 licensed Pogos in 2019, the number has significantly declined to 48 operators this year, as 250 were declared illegal operators and Pagcor canceled or discontinued granting their licenses. Tengco said the ban will also close internet gaming licensees (IGLs), which have been renamed after Pogo, who are accredited and issued a license to operate and conduct legitimate business in the Philippines.
NOTICE OF FILING OF APPLICATION/S FOR ALIEN EMPLOYMENT PERMIT/S (AEP/S) Notice is hereby given that the following companies/Employers have filed with this Regional Office application/s for Alien Employment Permit/s: ESTABLISHMENT / ADDRESS NO.
NAME OF FOREIGN NATIONAL , POSITION AND BRIEF DESCRIPTION
QUALIFICATION AND SALARY RANGE
24 INCH GAUGE CONSTRUCTION INC. Lot 4519a-b Manalo Compound, 4th Estate Subdivision, San Antonio, City Of Parañaque CHEN, CHUIBING Marketing Specialist 1.
Brief Job Description: Responsible for coordinating with other marketing and sales professionals to implement innovative campaigns for branding or product launches.
Basic Qualification: Ability to work under pressure and motivation to succeed in a competitive environment. Should have a bachelor’s degree in journalism, marketing, communications or a related field. Salary Range: Php 30,000 - Php 59,999
See “dole ncr” on A6-A8 See “Pagcor,” A2
PESO EXCHANGE RATES n US 58.0370 n JAPAN 0.3839 n UK 74.0030 n HK 7.4654 n CHINA 7.9983 n SINGAPORE 43.2983 n AUSTRALIA 37.3584 n EU 61.2581 n KOREA 0.0406 n SAUDI ARABIA 15.4485 Source:
BSP (10 December 2024)