‘Close borders, cut Omicron risk’ BSP: June FDI inflows plunge byexposure 51.5% to $471M Bianca Cuaresma By Cai By U. Ordinario
investments in while debt instruwith net their loved ones, forments of their local affiliates eigners living in temperate regions duewant to higher repayments durusually to relax in tropical HE Bangko Sentral ng Piliing the month. LOSING the country’s borders countries like the Philippines. This (BSP) reported on year’s influx “Thisofmuted the increase is one ofpinas the most immediate OFWs is expected toin Monday that foreign direct their net investments in eqcourses of action the governbe heavier since many of them were investments (FDI) to the country uity capital and reinvestment ment must take to prevent the latunable to come home for the holidays declined by more than 50 percent in December of earnings,” est Covid-19 variant, Omicron, from 2020. the BSP said in a in June this year. statement. reaching Philippine shores, accord“My recommendation is to protect from the Central Bank the borders. FDI Do arenot investments that ing to localData economists. allow people withare showed invest- a history madeof by foreign players with to the T he new varthat iant long-term is a threat, travel to countries ments made by foreign invesPhilippines in the hopes of longe s p e c i a l l y w it h t he hol id ay s positive cases to enter,” Oplas said. tors hit $471 million in June term return. coming up and more foreigners “We should be more restrictive. [We year,tolower by 51.5 percent have to be] Since these are in in the counbeing athis llowed travel to the more protective terms from the June 2021 level of $971 try for a longer term compared Philippines, De La Sa lle Univerof our measures.” million. Mar ia Ella Oplas to their counterpart, sit y economist Oplas saidshort-term that while this will be The BSP attributed the drop the foreign portfolio investments told BusinessMirror. a setback to some industries, this in FDI inflows during thein month is a fair (FPI), FDI usually create jobs The holidays usually bring measure considering thatfor the drop in non-residents’ Filipinos haveplacing a multiplier OverseastoFilipino Workers (OFWs) this could helpand prevent the who are eager to spend Christmas country in another strict lockdown, @BcuaresmaBM @caiordinario
CT THE WORLD ›› A13
ENERGY PROBLEMS IN UKRAINE AND EUROPE TAKE CENTER STAGE
effectshe onsaid, the economy. which, the economy can no Broken longer afford.down, equity capital placements during theprotective month “It is better that we do were sourced mostly from preventive measures than Japan, get exthe again. UnitedWe States, posed have aSingapore, lot to lose,” and said. Switzerland. Investments Oplas “We should do it now so were channeled mainly the that we can open just beforeto Christmanufacturing; real estate; and mas. If it gets contained, we can open information and communication it again.” industries. Ateneo Center for Economic ReDespite the decline, the cumusearch and Development (ACERD) lative value of FDIs for the first Associate Director Ser Percival six months of the year still K. Peña-Reyes said closingrose the slightly compared to its January country’s borders would be effecto but Juneshould level instill 2021. tive adhere to the On a year-to-date basis, FDI standards set by the World Health net inflows for the first half of the Organization (WHO). year reached $4.6 billion, higher What is needed, Peña-Reyes told bynewspaper, 3.1 percentisthan the $4.5 bilthis for travel restrictions to be put in place swiftly and
lion inflows recorded in the in for net government to be proactive comparable period in 2021. imposing them. “The cumulative growth was the Previous instances when due to the expansion in noncountry had the opportunity to imresidents’ investments inprepose travelnet restrictions did not debt instruments, which more vent the spread of Covid-19. That was than offset the decrease in their mainly because the decision was not net placements of equity capital made immediately, he said. [other thanpapatay reinvestment “Kung patayof earn[If we’re ings],” the BSP said. slow] and we get caught flat-footCommercial Banking ed,Rizal [that’s risky] We were too reCorporation (RCBC) said active instead of proactive the before. June FDI inflows to thethat,” county We should learn from Peñawas partly weighed by higher inReyes said. “It’s a delicate balancing flation andneed interest rates globally, act. We to push testing and along with some wait-and-see tracing to be properly informed stance waiting for the new of ourwhile decisions. Blanket/shotgun administration to assume office approaches could have dire conseon June 30, quences on2022. the economy.” See “Omicron,” A2
7-MOGOVT PHL IMPORT BILL UP NATL BORROWINGS 25.9% FUEL FOR 10ON MOS DIPSHIPMENTS TO P2.75T ST w w
Tuesday,November September 2022Vol.Vol. No. 340 Monday, 29,13,2021 17 17 No.52
nn
P25.00 P25.00 nationwide nationwide || 32 sections sections 28 20 pages pages ||
By Cai U. Ordinario By Bernadette D. Nicolas @caiordinario
PBBM torisk Omicron extend state spurs revival of quarantine calamity, rulesPalace in PHL says
@BNicolasBM
HIPMENTS HE national of fuel from government’s abroad gross borrowings caused theas of end-October shrank country’s import by almost 6 percent bill to jump 25.9 year-on-year to percent in the P2.75 trillion. January to July period, according Latest data from the Bureau of the Treasury showed that the governto the Philippine ment’s gross borrowings during the 10-month period fell by 5.99 percent Statistics from P2.92 trillion a year ago. With only two months left for Authority (PSA). this year, the latest figure is already equivalent to 89.6 percent of its P3.07-trillion borrowing program. PSA said the country’s import Broken down, gross domestic borpayments amounted to $80.49 rowings from January to October billion July settled between at P2.23 January trillion, and down by in 2022, higher than the $63.92 5.08 percent from P2.35 trillion billion in 2020.posted in the same period in 2021. The bulk of the amount was Triple-digit growth wasTreasury recordsourced from Fixed Rate ed by Mineral Lubricants Bonds (P1.19Fuels, trillion), followedand by Related Materials with an increase short-term borrowings from Bangof to $14.31 ko111.9 Sentralpercent ng Pilipinas or BSPbillion (P540 in the January to July period in billion), Retail Treasury Bonds/Pre2022 from $6.75 billion in 2021. myo Bonds (P463.3 billion), Retail Apart from this, the import of Onshore Dollar Bonds (P80.84 bilOffice and Electronic data processlion). In the same period, there was ing Machines also surged also(EDP) a net redemption of Treasury 209.3 percent to to $19.75 million in Bills amounting P43.94 billion. 2022 from the redemption same period inmeans 2021. Net debt Other imports that recorded the there were more debts repaid comhighest increases in 2022 included pared to the amount borrowed durcorn which posted a growth of 98.3 ing the period. percent to $19.27 million; manuMeanwhile, gross foreign borfactured fertilizers, 57.5 percent to rowings in the same period also $656.49 million; and other crude contracted by 9.7 percent to P518.7 materials, percent to $771.97 billion from53.4 last year’s P574.4 billion. million the January to July peThis in was raised through global riod in 2022. bonds (P146.17 billion), program However, semiconductors reloans (P139.98 billion), euro-demained the country’s top import nominated bonds (P121.97 billion), with shipments amounting to a project loan (P86.41 billion), and $13.72 billion in 2022, a 13.8-peryen-denominated samurai bonds cent growth from $12.059 billion (P24.19 billion). in January to July 2021.A2 See “Borrowings,” Meanwhile, data for July 2022 alone showed imports amounted to $12.14 billion, a growth of 21.5 percent from the $9.99 billion in July 2021. The country’s top import for July was electronic products which accounted for 22.8 percent of total imports. Electronic product shipments amounted to $2.77 billion, a contraction of 1.5 percent from the $2.81 billion in July 2021.
PESO EXCHANGE RATES
By Samuel P. Medenilla By Samuel P. Medenilla @sam_medenilla
I P
PEOPLE walk past the mural of Gat Andres Bonifacio at Manila City Hall Underpass. The country will celebrate the 158th birth anniversary of Filipino revolutionary hero Gat Andres Bonifacio on Tuesday, November 30. ROY DOMINGO
OVER 3-M FARMERS LISTED FOR P75-B COCO LEVY FUND By Jasper Emmanuel Y. Arcalas
dating its registry following the
them. This allows everyone to see
programs as President Duterte
OPTIONAL MASKS Travelers at NAIA Terminal 1 inenactment Parañaque wear mask inside the premises of are the airport September on Monday @jearcalas of their the face Coconut Farmwho listedon inMonday, the registry and12, if 2022. Malacañang is expected to signissued the Executive industry
Order No. 3, allowing the voluntary wearing of face masks as long asTrust these areas arelaw. not crowded and have adequate The Department of Transportationplan still encourages public ersoutdoors, and Industry Fund farmer doesn’t seeventilation. his name then he development in early the 2022. NONIE REYES to wear facemasksORE inside than public transportation vehicles, though. 3 million Rosales explained that about shall coordinate with the PCA imRosales said the PCA will not
M PHL SHARE IN ASIAN BANANA EXPORTS DOWN TO 60%
coconut farmers and 500,000 coconut farmers and mediately,” he explained at a recent workers are now regisworkers were added to the PCA’s dialogue with coconut farmers. tered with the government’s reg2018 list that had about 2.5 million “On the other hand, if people istry, which serves as the basis coconut farmers and farm workers. would see names on the list and for the number of people to be The PCA’s next step is to conthey think they are not coconut By Jasper Y. Arcalas Thean FAO added that the Philoffarmers Panamaor disease. Furthermore, covered byEmmanuel the utilization of the duct exclusion-inclusion protheir details are incor@jearcalas ippines exports year the FAO explained that producP75-billion coconut levy fund. cedurebanana by making thelast updated rect, they can report it to the PCA plunged 37 percent year-ontion in the Philippines Philippine Coconut Authority farmers’byregistry public, providforwoes immediate action,” hewere added. share in Asian banana year to 2.4 million metric tonsto worsened by hurricane damage (PCA) HE Deputy Administrator Roel ing everyone the opportunity The PCA official noted that exports the Philippines, (MMT) from 3.8 MMT. and costs of planting inputs.list M. Rosales saidofabout 3.11 million check the veracity of the list, Rothehigh completion of the initial thefarmers world’s and second-largest “In added. previous years, some 90 reportedly had a parcoconut farm worksales of“This coconut farmers registry would banana exporter, continued to percent of Asian banana exports ticularly detrimental effect on ers have been registered with the “The list will be posted in public be just in time for the expected shrink as it plunged to just 60 originated in the Philippines, small scale banana producers in government since it started upspaces where people can easily see rollout of coconut levy-funded percent last year from 90 perwhich ranks as the second leading the country, who struggled to cent amid growing competition global banana exporter behind procure the necessary agriculfrom neighboring producing Ecuador, but this share fell to tural inputs to meet the quality n UScountries. 50.4600 n JAPAN 0.4374 n UK 67.2329 6.4722 in n2021,” CHINAFAO 7.9013 nrequirements SINGAPOREof36.8968 n AUSTRALIA somen60HKpercent export markets,” The United Nations’ Food said in its final Banana Market it said. and Agriculture Organization Review 2021 report published “Importers from China and Ja(FAO) said the Philippines’s recently. pan, the two major destinations stature as Asia’s key banana FAO explained that Philippine for bananas from the Philippines, exporter is now being rocked banana production continues to reportedly reduced their orders by persisting production woes suffer from “severe” production from smaller producers substanworsened by stiff competition difficulties brought about by the tially due to quality concerns,” it against growing banana suppli“combined impact” of the Coadded. ers in the region. vid-19 pandemic and the spread See “PHL,” A2
T
stop updating its list of coconut farmers and enjoined them to register in order to reap the benefits of the decades-long idled coconut levy fund. “We will not stop at 3.1 million. We hope that more individuals will register in our coconut farmers registry,” he said. The updating of the coconut farmers registry is mandated by Republic Act (RA) 11524 or the Coconut Industry Trust Fund Act. See “3-M farmers,” A2
@sam_medenilla
NTER NATIONA L concerns RESIDENT Ferdinand Marcos over the possible spread of the Jr. will be extending the State of more infectious Omicron CoNational Calamity to help “previd-19 the govserve itsvariant benefits”prompted to the health sector. ernment to conference reimpose on mandatory In a press Monday, facility-based quarantine all Press Secretary Beatrix “Trixie”for CruzAngeles Marcos could possiarrivingdisclosed passengers in the country. bly Acting extend the status by another three Presidential spokespermonths. only for the purpose son Karlo“But B. Nograles announced of thethe benefits under it, onpreserving Sunday that Inter-Agency such as but not limited to the indemTask Force for the Management nification...emergency procurement, of Emerging Infectious Diseases special risk allowance for health care (IATF) suspended the implemenworkers,” Angeles said. tation its time, Resolution No. 150As ofof press Malacañang has A (s.2021), effectively imposing yet to come out with an official issustricter protocols for all inbound ance for the said extension. Under Proclamation No. 1218 issued travelers. by former President R. Duterte, To note, IATF Rodrigo Resolution 150the State of National Calamity should A had allowed fully vaccinated have expired on September 12, 2022. non-visa travelers from Green List The Department of Health (DOH) areas to enter the country withhas been pushing for the extension of outState the of need for facility-based the Calamity to give the govquarantine as long they Repubsecure ernment more time toas amend negative Reverse Transcriptionlic Act 11525 or the Covid-19 VaccinaPolymerase Chain Reaction (RTtion Program Act of 2021, particularly its provisions for procurement. PCR) test within 72 hours prior extension, Angeles said to After their the departure. the“Except government will studyclassified the liftfor countries ing of thethe state of calamity. “We will as ‘Red,’ testing and quarantine transition out of the state of calamity protocols for all inbound internaafter further review,” Angeles said. tional travelers in all ports of entry shall comply with the testing and quarantine protocols for ‘Yellow’ list countries,” Nograles said, citing the provision of IATF Resolution No. 151-A. He noted Hong Kong, which has confirmed a case of the Omicron variant, will also fall under the Yellow list countries. The suspension of the rules for “Green List” countries will be in effect from November 28, 2021 to December 15, 2021. Continued on A2
36.2807 n EU 56.5758 n SAUDI ARABIA 13.4531
Source: BSP (November 26, 2021)
See “Import bill,” A2
PESO EXCHANGE RATES n US 56.9180
n JAPAN 0.3997 n UK 66.2184 n HK 7.2518 n CHINA 8.1822 n SINGAPORE 40.7197 n AUSTRALIA 38.9148 n EU 57.4416 n KOREA 0.0413 n SAUDI ARABIA 15.1499 Source: BSP (September 12, 2022)