IIP net liability position traced to bond issuances B C U. O @caiordinario
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INDONESIA’S TOP COURT BEGINS HEARING APPEALS OF 2 LOSING CANDIDATES ALLEGING ELECTION FRAUD
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HE national government’s recent bond issuances contributed to the net liability position of the country’s net international investment position (IIP), according to the Bangko Sentral ng Pilipinas (BSP). Preliminary data showed the country’s net liability position of $51.3 billion as of end-December 2023, higher by 8.1 percent than the $47.5 billion recorded in end-September 2023. BSP said total outstanding external financial liabilities reached $292.8 billion, while total outstanding external financial assets amounted to $241.4 billion. “This development was driven by the 4.9-percent expansion in the country’s external financial liabilities, outpacing the 4.3-percent growth in external financial assets,” BSP said.
BSP said the country’s total stock of external financial liabilities as of end of the fourth quarter of 2023 rose, as all components registered an increase, except for financial derivatives. The data showed that other investments in the form of foreign loans increased by 7.9 percent, from $72.5 billion to $67.2 billion. BSP explained that the national government had issued Sukuk Bonds amounting to $1 billion in December 2023. “Foreign portfolio investment [FPI] also increased by 5.7 percent to $85.8 billion from $81.1 billion on the back of strong investor interest in bond issuances by the National Government [NG],” BSP said. “Foreign direct investment [FDI] rose by 3.7 percent to $122.6 billion from $118.2 billion.” Meanwhile, BSP traced the increase in the stock of the country’s external financial assets as of end-December 2023 to higher reserve assets,
reaching $103.8 billion from $98.1 billion as of end-September 2023. The data also showed the residents’ net direct investments in foreign debt instruments rose 3.8 percent to $42.7 billion. BSP said net deposits of currency and deposC A
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Thursday-Friday, March 28-29, 2024 Vol. 19 No. 165
PHL GDP TO GROW 5.9% IN 2024—S&P FORECAST ■
P. | | 7 DAYS A WEEK
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@reine_alberto
HE Philippine economy is seen to grow at 5.9 percent for 2024 despite growing the fastest in the Asean region by 5.6 percent in 2023, according to international credit watcher S&P Global Ratings which kept its real GDP forecast unchanged. In a webinar on Wednesday, S&P Asia Pacific economist Vince Conti said Philippine growth will be a “tad under” this year at about 5.9 percent then at 6.2 percent for 2025. “Our outlook is for the Philippines to do relatively well compared to the region, but kind of a little bit under where growth has been in the recent few years, especially outside of the Covid years,” Conti said. There are two main headwinds that will keep the growth rate “relatively low,” Conti said: last year’s high inflation and C A
HOLY WEEK FASTING SCALES UP FISH PRICES A variety of fish are on display at Las Piñas Public Market, with prices noticeable higher than usual; they were expected to rise up to 20 percent due to increased demand during this solemn period. As a predominantly Catholic country, many observe fasting and abstain from meat, making fish and other seafoods a popular choice. NONIE REYES
ERC SUSPENDS RESERVE MARKET SETTLEMENT B L L @llectura
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HE Energy Regulatory Commission (ERC) has directed the Philippine Electricity Market Corp. (PEMC) and the Independent Electricity Market Operator of the Philippines Inc. (IEMOP) to suspend the settlement amounts in the reserve market. The suspension will cover the March billing period and will be in place until the ERC finalizes its evaluation of the Price Determination Methodology (PDM) used by IEMOP, likely in May this year.
It may be recalled that the ERC granted an interim relief in August 2023 for the implementation of the then proposed PDM. The ERC had highlighted the need to assess the outcome of the then-ongoing Trial Operations Program (TOP) for the reserve market, stressing the importance of the audit of the PDM, including findings and recommendations from PEMC and IEMOP for the final evaluation and eventual approval of the proposed software for running the co-optimized market. C A
PBBM hails India’s pitch of rules-based WPS regime B S P. M @sam_medenilla
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ITH the support of India and other countries, President Ferdinand R. Marcos Jr. is more confident in upholding international rules-based order in the West Philippine Sea (WPS). The chief executive made the remark during the courtesy call of Indian External Affairs Minister (EAM) Subrahmanyam Jaishankar in Malacañang on Tuesday. “We have many shared interests, primarily of, that is to maintain the peace in our areas and so this is a concern now, not only of India or of the Philippines alone, but the entire world,” Marcos said.
Jaishankar stressed the importance for India to support the Philippines in maintaining peace and order in the Indo-Pacific region. He said India continues to recognize the 2016 ruling of the United Nations Convention on the Law of the Sea (Unclos), which invalidated China’s claim in the WPS.
Non-traditional partner
MARCOS said New Delhi’s commitment to back the country in its territorial position against the claims of Beijing in the WPS is a significant development especially since the Philippines and India are “non-traditional partners on maritime issues.” C A
PESO EXCHANGE RATES US 56.2810 ■ JAPAN 0.3715 ■ UK 71.0998 ■ HK 7.1940 ■ SINGAPORE 41.8353 ■ AUSTRALIA 36.7627 ■ SAUDI ARABIA 15.0063 ■ EU 60.9748 ■ KOREA 0.0420 ■ CHINA 7.8005 Source: BSP (March 27, 2024)