DOF nixes call to ban online gambling T
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HE Department of Finance (DOF) has warned against banning online gambling as this could lead to the proliferation of illegal gambling operations nationwide. On Tuesday, Finance Secretary Ralph G. Recto said he is advocating for increased regulation and higher taxation rather than banning online gambling. Recto said discussions are still ongoing on how to proceed with online gambling. This is the reason this was not included in the President’s State of
the Nation Address (Sona). “Pinag-aaralan pa [It’s still being studied], like I said. My personal opinion is stronger regulation and more revenues. Because if you ban it, the illegals will simply proliferate,” Recto said, partly in Filipino. “Today, my understanding is 60 percent is illegal and 40 percent is legal. If you ban it, 100 percent will become illegal,” he also said. Recto said additional regulation can be undertaken by the Philippine Amusement and Gaming Corp. (Pagcor) and such can create addi-
tional revenue for the government. Taxes from gambling could reach P200 billion this year— P100 billion in revenues each from brick and mortar, and from online gambling operations. Earlier, the Bangko Sentral ng Pilipinas (BSP), in a draft circular, proposed key measures to regulate online payment services in the hopes of curbing the appetite of Filipinos with a penchant for online gambling. The BSP’s proposed guidelines included payment service limita-
tions in terms of account ownership such as being 21 years old and above; currently not in school; and not a government official or a member of the military and police. The central bank also set a time limit of 6 hours per day, a transaction window within which these online gambling payment services can be offered. (See: https://businessmirror.com. ph/2025/07/14/bsp-lists-waysto-curb-pinoys-appetite-foronline-gambling/). See “DOF,” A2
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AUG RATE CUT SEEN AS TARIFF CHAOS CLEARS www.businessmirror.com.ph
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Wednesday, July 30, 2025 Vol. 20 No. 290
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By Cai U. Ordinario @caiordinario
RATE cut is on the table in August as the dust cloud created by the imposition of higher tariffs by the United States has begun to clear, according to the Bangko Sentral ng Pilipinas (BSP). BSP Governor Eli M. Remolona Jr. told reporters on Tuesday, however, that Monetary Authorities are still looking at a reduction of 50 basis points in interest rates in the second semester of 2025, believed to be delivered in two separate meetings of the Monetary Board. The country’s tariff negotiations with United States President Donald Trump resulted in only a 1-percentage-point reduction on the 20-percent duties on Philippines goods, which will take effect next month. (See: https://businessmirror.com. ph/2025/07/23/marcos-1-percent-reduction-on-tariffs-imposed-by-us-significant-in-real-terms/). “Globally, it’s much clearer now than before. Our issue is more the global spillover effects than the direct effects,” Remolona told reporters. Only a “very unlikely event” could merit a third cut that could
BSP Governor Eli M. Remolona Jr.
bring a 75-basis-point reduction in policy rates this year. Remolona said this “drastic decline” in economic growth is not only based on quarterly growth but also the country’s growth prospects. Despite this, the BSP Governor said, there is still no definite timetable for the completion of the easing cycle of the central bank. “That’’s a good question. It’s a See “Aug,” A2
REVENUE LOSS IN ZERO TARIFF SETUP COULD HIT P3B TO P6B By Cai U. Ordinario
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@caiordinario
HE Philippine government stands to lose P3 billion to as much as P6 billion annually in revenues due to the zero tariff imposed on select commodities coming from the United States. Department of Finance Secretary Ralph G. Recto told reporters on Tuesday, at the sidelines of the Post-State of the Nation Address (Sona) briefing of the President’s Cabinet, that this is only a preliminary estimate. Recto said the losses in revenues will be from the removal of duties imposed on commodities like automobiles, wheat, pharmaceuticals, and soybeans. “Remember there’s nothing final yet. Assuming ibigay mo [you give] what we discussed with them like cars, wheat, pharmaceuticals, soybeans, [the loss is] anywhere from P3-P6 billion pero wala pa final lahat ‘yan [but none of that is final yet],” Recto said. Recto added that the removal of tariffs on these commodities will make everyday
items such as the lowly pan de sal, a favorite breakfast and snack item for Filipinos, cheaper. “Hindi lahat naman ibababa, not all imports will go down. Pinili lang natin especially those that do not compete with local industries and are beneficial to consumers,” Recto said. “For example, wheat. Don’t we want pandesal to be cheaper? That favors us. Pharma, gamot, pag binawasan mo ang taripa, mumura gamot, eh di pabor sa atin yun [Pharma, medicine, if you slash their tariff, the drugs will be cheaper. Doesn’t that favor the Filipino?],” he added. Recto added that despite Philippine goods being slapped with a 19-percent tariff when they enter the US market, the trade deal remains favorable for the Philippines. He noted that the US government announced that average tariffs for all goods entering the American market will be slapped an average of 15 percent. Given that the country’s tariff rate is at 19 percent, this still places the country in good stead. See “Revenue,” A2
ALIGNED ON GREEN, DIGITAL, AND SOCIAL GOALS Department of Economy, Planning and Development (DEPDev) Secretary Arsenio Balisacan (second from left), keynote speaker, joins
fellow officials onstage at the opening of the 46th National Conference on Triple Transition for a Sustainable Future at the Manila Hotel. The event, organized by the Employers Confederation of the Philippines (Ecop), gathered leaders to discuss strategies to navigate the green, digital, and social transitions essential for building a sustainable future. Also in photo are Ecop President Sergio Ortiz-Luis Jr. (left), Ecop Chairman Edgardo Lacson (third from left), and 46th National Employers Conference Organizing Committee Chairman Cesar Mario Mamon (right). ROY DOMINGO
Ecop to solons: Don’t toss ball to President By Justine Xyrah Garcia
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EVERAL labor groups on Tuesday expressed frustration that President Ferdinand Marcos Jr. made no mention of the proposed across-the-board wage hike in his fourth State of the Nation Address (Sona). This, as employers urged lawmakers to stop tossing the ball to the President via a legislated wage hike, which could paint him in a corner Employers Confederation of the Philippines (Ecop) President Sergio Ortiz-Luis Jr. said, “If they force it, they are just passing the ball to the president. That’s political. The President will veto it.”
The proposal for a legislated wage increase—which seeks a P200 hike in the House of Representatives and a P100 hike in the Senate— had gained significant traction, with both chambers passing their versions on final reading. However, the 19th Congress adjourned last month without reconciling the two. In a statement, Federation of Free Workers (FFW) President Sonny Matula called the Sona a major letdown for workers who have yet to feel the benefits of economic growth. “The President missed it. He admitted that there has been growth the past three years but it has not trickled down to ordinary Filipi-
nos. For growth to impact workers we need a wage increase towards living wages—this he failed to mention,” Matula said. Partido Manggagawa shared the same disappointment, saying workers have long pushed for both the legislated wage hike and the security of tenure bill, but have been met with silence. “Katulad sa baha at bagyo, kailangan ang Presidente sa pagharap sa krisis na ito. [As with the storms and floods, the President is needed in facing this crisis],” the group said. Meanwhile, Sentro Secretary General Josua Mata pointed out that while Marcos promised to uplift workers, he failed to back it
with concrete policy. “We heard a lot of populist promises, but what we didn’t hear was deafening—without structural reforms, without political will, all these promises will just be empty talk,” he said. Beyond wages, Mata also criticized the President for abandoning labor reforms he vowed in 2022. “No plan to end contractualization. No public employment program. No serious industrial policy,” he said. Back in April, Malacañang already made clear that it had no intention of certifying the wage hike bill as urgent, insisting that wagesetting should remain under the See “Ecop,” A2
PESO EXCHANGE RATES n US 57.1100 n JAPAN 0.3845 n UK 76.3218 n HK 7.2760 n CHINA 7.9555 n SINGAPORE 44.4124 n AUSTRALIA 37.2471 n EU 66.1962 n KOREA 0.0411 n SAUDI ARABIA 15.2261 Source: BSP (July 28, 2025)