| Regional Affairs
Trump Lauds ‘Great Relationship’ With Duterte in Manila The New York Times 13th Nov 2017
President Trump said on Monday that he had a “great relationship” with President Rodrigo Duterte of the Philippines, making little mention of human rights at his first face-to-face meeting with an authoritarian leader accused of carrying out a campaign of extrajudicial killings in his nation’s war on drugs. In a stark break from past practice by American presidents, who have pressed foreign leaders publicly and privately about allegations of human rights abuses, Mr. Trump instead pursued his own transactional style of diplomacy, dwelling mostly on areas of common ground during his meeting with Mr. Duterte. On the sideline of the Association of Southeast Asian Nations summit meeting, Mr. Trump focused on combating the Islamic State and illegal drugs as well as on trade issues, the White House said. White House officials have said that Mr. Trump has a “warm rapport” with Mr. Duterte, with whom he has spoken and exchanged letters since taking office, and that he wants to mend the American-Philippine alliance after strains during the Obama administration.
Joint Statement between the United States of America and the Republic of the Philippines whitehouse.gov 13th Nov 2017
U.S. President Donald J. Trump and Philippine President Rodrigo Duterte met in Manila, Philippines on November 13, 2017, to discuss a broad range of shared interests and priorities. Both leaders praised the enduring United States-Philippines Alliance, built on a strong foundation of shared values, sacrifices, and history, and bolstered by common interests, people-to-people ties, and full respect for legal and diplomatic processes. They pledged to expand cooperation and reaffirmed their commitment to strengthening the bilateral alliance—a 70-year partnership that has stood the test of time and ensures both countries’ mutual security and contributes to regional peace, stability, and economic prosperity.
Trump complains of lopsided trade in first formal talks with Duterte Nikkei Asian Review 13th Nov 2017
U.S. President Donald Trump and Philippine President Rodrigo Duterte have agreed to enhance their countries' trade relations, but appear to have sidestepped human rights issues during their inaugural bilateral meeting on Monday on the sidelines of the Association of Southeast Asian Nations summit in Manila. Trump raised the issue of trade imbalances, one of the key issues on his agenda during his nearly two-week tour of Asia that has also taken him to Japan, China, South Korea and Vietnam. He focused on tariffs on U.S. cars imported into the Philippines. The Philippines exported $6.23 billion-worth of goods to the U.S. between January and August, while its imports from the U.S. amounted to $4.59 billion, resulting in a $1.64 billion surplus for the Southeast Asian nation, according to the Philippine Statistics Authority.
Duterte visit to Japan yields $6 billion in investment pledges BusinessMirror 31st Oct 2017
THE Philippines has secured $6 billion in investments following President Duterte’s official visit to Japan, according to chief of the Department of Trade and Industry. Trade Secretary Ramon M. Lopez told reporters on Monday that the investments from Japan, the country’s top trading partner, will benefit various economic sectors.
Senate minority to move for quick ratification of PHL-Efta free-trade pact BusinessMirror 23rd Oct 2017
Senate Minority Leader Franklin M. Drilon is batting for early ratification of a free-trade agreement (FTA) between the Philippines and the European Free Trade Association (Efta) soon, as Congress reconvenes regular sessions on November 13. Drilon conveyed his commitment to push for speedy ratification of the trade pact during a recent meeting with Svein Roald Hansen, head of the Efta Parliamentary Committee, whom Drilon met in Oslo, Norway, after participating in the 137th Inter-Parliamentary Union Assembly held in Saint Petersburg, Russia. The senator said he assured Hansen of his support once Malacañang sends the trade pact to the Senate for ratification.
‘Strong incentive’ for RCEP deal seen — DTI BusinessWorld 4th Sep 2017
THE COUNTRIES negotiating the Regional Comprehensive Economic Partnership (RCEP) have no choice but to resolve contentious issues relating to the creation of the economic bloc by year’s end, an official of the Department of Trade of Industry (DTI) said. “There is a strong incentive and motivation for everyone on the table to really reach something significant by the end of this year,” said Ceferino S. Rodolfo, Trade undersecretary and managing head of the department’s investment promotion arm Board of Investments. He made the statement ahead of an RCEP ministerial meeting on Sept. 10 in Manila in line with next week’s 49th ASEAN (Association of Southeast Asian Nations) Economic Ministers’ (AEM) meeting. Mr. Rodolfo said although he does not expect the RCEP signing by the end of the year, he said “at the very least, pave the way so that the most contentious issues are discussed and (there is an) agreement on how to move forward.”
National Affairs
We won’t back a revolutionary gov’t, Defense, AFP chiefs assure Robredo Inquirer 8th Nov 2017
Defense Secretary Delfin Lorenzana and Lt. Gen. Rey Leonardo Guerrero, chief of the Armed Forces of the Philippines (AFP), have assured Vice President Leni Robredo that the military will not support any move placing the country under a revolutionary government. On the request of the Vice President, the AFP official briefed Robredo on the ongoing rehabilitation efforts in Marawi, where the government has just ended a five-month siege by Islamic State-inspired terrorists. The security briefing was held at the Philippine Air Force headquarters at Villamor Air Base in Pasay City on Wednesday afternoon. Robredo said the military gave a “very comprehensive” briefing on the efforts to rebuild Marawi after being liberated from IS-inspired member of the Maute Group and the Abu Sayyaf. During the meeting, Robredo asked the AFP’s stand on declaring a revolutionary government, an idea recently floated by President Rodrigo Duterte.
‘Congress must fast-track passage of anti-red tape bill’ BusinessMirror 2nd Nov 2017
The Philippine Chamber of Commerce and Industry (PCCI) urged Congress to hasten the passage of a measure that seeks to cut red tape and make it easier for businessmen to set up shop in the Philippines. The PCCI made the statement after the World Bank released its “Ease of Doing Business Report 2018,” which showed that the country’s ranking fell to 113th, from 99th in the 2017 edition.
Martial law to stay in Mindanao – Rody philstar.com 20th Oct 2017
Despite the liberation of Marawi City, Mindanao will remain under martial law until the last terrorist is killed, President Duterte said last night. Duterte said the Islamic State-inspired Maute terrorists could still launch retaliatory attacks against government forces conducting clearing operations in the battle area. Isnilon Hapilon and Omar Maute, leaders of the terrorists who laid siege to Marawi last May 23, were killed in an early morning raid last Monday, a development seen as a major setback to extremists in the region. The siege, which officials said was funded by narcotics money, prompted the President to place Mindanao under martial law. A day after the death of Hapilon and Maute, Duterte declared that Marawi has been liberated from the influence of terrorists, allowing the government to shift its focus to rehabilitating the city. Some sectors have asked Duterte to lift martial law now that security forces have eliminated the leaders of the bandits. But the military said martial law is still needed to curb terrorist networks in other parts of Mindanao like Basilan and Sulu.
Duterte: PDEA now 'sole agency' in charge of drug war philstar.com 11th Oct 2017
President Rodrigo Duterte has designated the Philippine Drug Enforcement Agency as the “sole agency” in charge of the war on drugs amid simmering public outrage over alleged police abuse in the continuing crackdown. Duterte issued the order a few days after his latest net satisfaction score suffered from its biggest fall since he became president. Among the events in the news when the survey was conducted was the death of a minor in the hands of Caloocan City cops that triggered rare street protests. In a memorandum dated Oct. 10, Duterte ordered the Philippine National Police, the National Bureau of Investigation, the Armed Forces of the Philippines, the Bureau of Customs, the Philippine Postal Office and other “ad hoc anti-drug task force” to leave the implementation of the drug war to the PDEA.
Duterte sees 18-point drop in satisfaction rating philstar.com 8th Oct 2017
The latest survey of the Social Weather Stations revealed that the net satisfaction of President Rodrigo Duterte declined by 18 points, plunging to “good” from the previous “very good.” The third quarter 2017 SWS survey showed that 67 percent of Filipinos were satisfied with Duterte’s performance while 19 percent were dissatisfied and 14 percent were undecided. This resulted in a net satisfaction rating of +48 compared to his +66 rating in June 2017. The SWS survey also found that 73 percent of Filipinos have much trust in Duterte while only 12 percent and 15 percent have little trust and undecided, respectively. Duterte's net trust rating, although at “very good” with +60, went down by 15 points compared to the previous poll. In June, the president had a +75 net trust rating or “excellent.” The survey also showed that Duterte’s net satisfaction rating remained steady in Mindanao as it only increased by a point at +76 in September 2017 compared to June. His satisfaction rating for Visayas and Luzon, however, decreased by 30 points and 22 points, respectively.
House-approved budget in Senate BusinessWorld 28th Sep 2017
The Senate on Wednesday, Sept. 27, received from the House of Representatives House Bill No. 6215 or the 2018 General Appropriations Bill (GAB), Senator Loren B. Legarda said in a statement. Ms. Legarda, who heads the Senate committee on finance, said she is ready to sponsor next week the 2018 GAB proposing a P3.767-trillion national budget, following the submission of subcommittee reports this week. “Upon submission of the subcommittee reports of my vice chairpersons, we will file and sponsor the committee report next week and we will conduct marathon sessions so we can finish the budget interpellations of all agencies before session adjourns on October 12 for a one-month break,” Ms. Legarda said in her statement. The senator anticipates that the Senate will be able to approve the GAB on second and third reading upon resumption of session in November, to be followed by the bicameral conference committee. “We aim to submit the 2018 GAB to the President on the second week of December and, hopefully, enacted way ahead before Christmas. This way, agencies would have time to plan the execution of approved projects and programs before the holidays. Hopefully, this would help in the early disbursement of funds and a more efficient obligation,” Ms. Legarda said.
Senate panel OKs TRAIN bill, Angara touts higher take-home pay for '99% of taxpayers' InterAksyon 21st Sep 2017
The government is expected to generate some P134 billion in revenues, and “99 percent of taxpayers will enjoy higher take-home pay” under the version of the tax reform bill approved by the Senate ways and means panel, according to its committee chairman. The committee has approved the Palace-endorsed Tax Reform for Acceleration and Inclusion (TRAIN) bill that the House of Representatives cleared earlier, with 21 senators giving their imprimatur to the committee report. Senate Bill 1592 now goes to the plenary for debates. Panel chairman Sen. Juan Edgardo Angara said in his sponsorship speech that genuine tax reforms were needed after two decades, and played up the Senate committee report’s focus on allowing “99 percent of taxpayers” to enjoy higher take-home pay.
Aquino to be charged over Mamasapano operation BusinessWorld 15th Sep 2017
OMBUDSMAN Conchita Carpio-Morales has affirmed the finding of probable cause to charge former president Benigno S.C. Aquino III before the Sandiganbayan for the Mamasapano operation of 2015, the Office of the Ombudsman said in a statement on Thursday, Sept. 14. Mr. Aquino, the statement said, will face trial for one count of violation of Section 3(a) of the Anti-Graft and Corrupt Practices Act (Republic Act No. 3019) and one count of Usurpation of Official Functions (Article 177 of the Revised Penal Code).
Duterte set to appoint 25-member Cha-cha body Manila Times 2nd Sep 2017
PRESIDENT Rodrigo Duterte has completed the list of 25 experts to be named to a Constitutional Commission (Con-Com), which will serve as the advisory body to Congress in drafting a new Charter for a federal government, a Palace official said on Friday. Palace spokesman Ernesto Abella however said the nominees have yet to accept the offer to be part of the body.
Babe Romualdez confirmed as Philippine envoy to U.S. Rappler 23rd Aug 2017
The Commission on Appointments (CA) on Wednesday, August 23, confirmed the appointment of Jose Manuel "Babe" Romualdez as Philippine ambassador to the United States. Romualdez, 69, was confirmed after hurdling the CA foreign affairs committee hearing on Wednesday. The hearing was led by CA foreign affairs committee chair Senator Panfilo Lacson. This comes less than a month after Malacañang on July 27 announced that President Rodrigo Duterte had nominated Romualdez as Philippine ambassador to the US. Romualdez is a Philippine Star newspaper columnist who, Lacson said in a nomination speech, started as a television newscaster for RPN-9 in the 1970s. Lacson pointed out that US Ambassador to the Philippines Sung Kim himself welcomes Romualdez's appointment. With Romualdez, Lacson said, "We guarantee strong diplomatic engagement with the United States." Senator Loren Legarda also pushed for Romualdez's nomination. Romualdez was Legarda's first boss, as the senator worked as an account executive under Romualdez when she was a fresh college graduate. Describing him as a friend for 3 decades, Legarda said, "Babe is a person who can deal and has great rapport with persons [from] all walks of life."
Death of Philippine Teenager Stokes Opposition to Duterte’s Drug Crackdown The New York Times 23rd Aug 2017
Kian Loyd delos Santos, 17, is just one of thousands of Filipinos shot and killed by the police since President Rodrigo Duterte began a sweeping crackdown on drugs last year. But the youth’s death last week in Caloocan City, outside Manila, has had an effect that no other police killing has: The Senate, though dominated by allies of the president, has opened an investigation. Mr. Duterte, known for his brazen promises of impunity for police officers who kill people suspected of using or selling drugs, has personally ordered that those responsible for Mr. delos Santos’s death be taken into custody. The developments have critics of Mr. Duterte’s drug war cautiously optimistic that the Philippine public, which has been broadly supportive of the crackdown, is starting to see it differently. Mr. delos Santos, a high school student, was among 96 people killed in the Manila area last week in what the police called a “one-time, big-time” crackdown on drug dealers and addicts in the capital and several sprawling suburbs. It was the bloodiest week of the antidrug campaign that Mr. Duterte started after taking office last summer, promising to rid the country of corruption and crime.
Customs
Customs Chief Lapeña abolishes Command Center, vows to institute reforms Philippine Bureau of Customs 4th Sep 2017
Customs Commissioner Isidro Lapeña signed on Thursday, August 31, the order abolishing the Command Center; he announced before the employees and officials of the Bureau of Customs in today’s flag raising ceremony held at the Port of Manila. Customs Memorandum Order No. 14-2017 has reverted to the deputy commissioners of the Intelligence Group, Enforcement Group, and all district collectors nationwide the authority to issue alert orders.
Immediate adoption of e-AWB in PH urged Asia Customs & Trade 9th Nov 2017
The Philippine air cargo industry should not wait for government to mandate the use of electronic messaging and electronic submission of air waybill and should already start implementing such processes, according to an official of the International Air Transport Association (IATA). IATA regional manager for Airport, Passenger, Cargo and Security-Asia Pacific Rodrigo Reyes, in an interview with PortCalls at the sidelines of the recent Philippine Aviation Day, admitted it is a challenge to get stakeholders, including the Bureau of Customs (BOC), to implement electronic air waybill (e-AWB) submission. “While we are waiting for them (BOC) to come to that level, it is incumbent upon all stakeholders to start doing their job, making themselves ready for that eventuality when the paper is removed,” he added. “It doesn’t make sense for us to wait for Customs to come on board and that’s the only time that we start.” The Philippines ratified the Montreal Convention 1999 or the Convention for the Unification of Certain Rules for International Carriage by Air in 2015. As such, it is legally bound to use electronic documentation for shipments, a process aimed at reducing costs and increasing efficiency.
Port of Manila pilots status verification system for entry documents Asia Customs & Trade 1st Nov 2017
Stakeholders of the Bureau of Customs (BOC) transacting with Port of Manila (POM) can now monitor the status of entry documents submitted to the Formal Entry Division (FED) using the Status Verification System (SVS). The BOC is introducing new systems at the POM such as a queuing and a status verification system in an attempt to improve operations and stop corruption at the agency. BOC-POM is currently testing a first-come-first-served-basis queuing system at its FED, designed to prevent examiners and customs brokers from colluding or resorting to bribery as a way to fast-track processing of shipments, Customs Commissioner Isidro Lapeña said in a press conference on October 30.
Taxmen hone focus on select goods amid anti-smuggling drive BusinessWorld 30th Oct 2017
THE GOVERNMENT has ordered taxmen “to train their sights” on certain commodities as it steps up its crackdown on big-time smugglers, the Department of Finance (DoF) said in a statement yesterday. The press release said Finance Secretary Carlos G. Dominguez III ordered Customs Commissioner Isidro S. Lapeña and Internal Revenue Commissioner Caesar R. Dulay to “focus on rice, fuel, steel, cigarettes and other food and agricultural product such as chicken, onions, and garlic in beefing up the governments’ efforts to combat smuggling.”
Customs chief sets five-day document processing deadline BusinessWorld 24th Oct 2017
OFFICERS of the Bureau of Customs (BoC) now have up to five days to process documents, according to Customs Commissioner Isidro S. Lapeña, who has just reshuffled a number of district collectors in a bid to clean up his agency. “I am issuing another CMO on the number of days by which an activity or a request should be acted upon, and I’m giving a five-day limit,” Mr. Lapeña said during the BoC’s flag raising ceremony yesterday morning, referring to a Customs Memorandum Order (CMO).
TradeNet to cover rice, 6 other goods The Manila Times 17th Oct 2017
The government’s online trade facilitation platform — expected to be rolled out this December — will initially cover seven goods that represent half of the Philippines’ total trade volume, the Finance department said. The TradeNet system will allow traders to apply for clearances covering rice, sugar, used motor vehicles, chemicals (toluene), frozen meat, medicines (for humans, animals or fish) and cured tobacco. TradeNet aims to minimize the costs of doing business and cut the processing time for import and export permits. It will also perform the functions of the country’s National Single Window (NSW). The NSW, which will be interconnected by December to the Association of Southeast Asian Nations (Asean) Single Window, is a regional initiative that aims to speed up cargo clearances and promote economic integration by enabling the electronic exchange of documents between the bloc’s 10 member-states. More goods will be added to the system once other agencies also link up with TradeNet, he said.
PH customs tweaks rules to speed up handling of alerted shipments Asia Customs & Trade 12th Oct 2017
The Philippine Bureau of Customs (BOC) has revised its rules on the issuance and lifting of alert orders in order to fast-track the process and mitigate corruption. Customs Commissioner Isidro Lapeña signed on October 9 Customs Memorandum Order (CMO) 20-2017, amending several sections of CMO 35-2015, which provides the revised rules on electronic/manual issuance and lifting of alert orders at all ports of entry. The order was issued following Lapeña’s earlier statement that stakeholders should no longer be afraid of receiving alert orders because processing the alerts will be fast-tracked to facilitate trade and avoid corruption. He had noted that customs stakeholders feared getting alert orders because “it will take an eternity before (order) is lifted.”
Lapeña reshuffles customs officials Bureau of Customs 9th Oct 2017
Eight district collectors and 30 section chiefs of the Bureau of Customs (BOC) have been relieved from their posts following the earlier pronouncement of Customs Commissioner Isidro Lapeña that he will be relieving any officer who will disregard his marching order to stop corruption and benchmarking in their respective ports.
WB designing $200M modernization plan for PH customs Asia Customs & Trade 30th Sep 2017
The World Bank (WB) is preparing a project that aims to support the Philippine Bureau of Customs (BOC) in enhancing its efficiency, effectiveness and transparency, and revenue collection. In its Project Information Document/Integrated Safeguards Data Sheet available on its website, the Washington-based lender said the Philippines Customs and Trade Facilitation Project (PCTFP) aims to support export-led economic growth by assisting BOC in reducing trade costs, improving transparency, and increasing revenue collection.
PH Customs orders strict enforcement of underguarding Asia Customs & Trade 26th Sep 2017
Philippine customs district collectors and office heads were reminded to stringently enforce underguarding of goods from the port of discharge to the destination customs bonded warehouses (CBWs). In a memorandum dated September 14, Bureau of Customs’ Assessment and Operations Coordinating Group (AOCG) deputy commissioner Atty. Edward James Dy Buco ordered all district collectors and chiefs of offices to strictly follow a customs memorandum order dated August 4, 1994 to underguard shipments consigned to CBWs. This, the customs executive said, is to protect the interest of the government as imported goods bound for CBWs are duty- and tax-free.
New Customs boss kicks off stint with warning BusinessWorld 31st Aug 2017
CUSTOMS Commissioner Isidro S. Lapeña lost no time in warning his men of a hard-line approach to corruption as he took over the bureau yesterday, announcing a one-strike policy as part of “internal cleansing.”The former director general of the Philippine Drug Enforcement Agency (PDEA) took the helm of the Bureau of Customs (BoC) from former Marine captain Nicanor E. Faeldon, who resigned earlier this month.
Defense & Security
China to broaden, deepen pragmatic cooperation with Philippines Encs 27th Oct 2017
CChang Wanquan, Chinese State Councilor and Defense Minister, said in his talks with Philippine President Rodrigo Duterte late on Wednesday that China is willing to broaden and deepen pragmatic cooperation with the Philippines. "China seeks to enhance strategic mutual trust with the Philippines, properly handle differences, and push for sustained and healthy relationships between our two countries, as we are neighbors," Chang said here at Malacanang, Philippine Presidential Palace, where he paid a visit to President Duterte. Duterte noted that the Philippines attaches great importance to developing relations with China and he expressed his thanks to China for providing precious support to the development of Philippines, especially in its efforts to fight against terrorism in Marawi in southern Philippines.
Fighting in Marawi City is over CNN 23rd Oct 2017
The Philippine government on Monday declared the end of five months of fighting in Marawi City and victory against Southeast Asia's "most serious threat of violent extremism." Defense Secretary Delfin Lorenzana announced the end to all combat operations against ISIS-inspired Maute terrorists after the military killed the last remaining local and foreign terrorists in the city. "After 154 days of the siege of Marawi by the Daesh-inspired Maute-ISIS group, or after a week since the Commander-In-Chief declared the liberation of Marawi, we now announce the termination of all combat operations in Marawi," he said at the ASEAN Defense Ministers meeting in this freeport zone north of Manila. "Daesh" is the Arabic acronym used to refer to the Islamic State of Iraq and Syria, but its use is considered an insult by the terrorists.
Duterte: Russia to donate firearms, military trucks to PH ABS-CBN News 11th Oct 2017
Russia is set to give the Philippines brand new firearms to boost the military arsenal, President Rodrigo Duterte bared Wednesday in yet another indication of warming ties between Manila and Moscow. Duterte said the Russian government had wanted to keep the donation under wraps, but he announced it nonetheless saying the public would eventually know about it.
Duterte on America: I'd rather be friendly with them now Rappler 28th Sep 2017
'Overall, I think the Americans also redeemed themselves a lot,' President Rodrigo Duterte says during the 116th Balangiga Encounter Day in Eastern Samar. There are so many factors involved but I'd rather be friendly to them now because aside from these episodes of, I said, sad incidents, overall, I think the Americans also redeemed themselves a lot," Duterte said during the 116th Balangiga Encounter Day in Balangiga, Eastern Samar. Duterte's speech on Thursday comes as the US assists the Philippines in ending clashes between government troops and Islamic State (ISIS)-linked Maute Group terrorists in Marawi City. Earlier this month, the US announced it was donating P730 million ($15 million) to help rebuild Marawi. Recently, the Philippines and the US held a drill that simulated a hijacking and hostage-taking incident to train their troops in fighting terrorism.
What’s in the New US-Philippines Military Exercise? The Diplomat 19th Sep 2017
Over the weekend, the armed forces of the United States and the Philippines conducted a joint civil assistance activity as part of preparations for a newly named bilateral military exercise that will take place soon. The drills, which are officially set to begin in early October, are part of an effort by the two treaty allies to continue their defense cooperation in spite of challenges faced under the leadership of Rodrigo Duterte.
Philippines, Russia sign defense agreements to cement military cooperation Xinhua 24th Oct 2017
The Philippines and Russia signed on Tuesday two defense agreements, officially cementing military and technical cooperation between Manila and Moscow. In a statement, the Philippine Department of National Defense (DND) said Philippine Defense Secretary Delfin Lorenzana and Russian Defense Minister Sergey Shoigu signed an Agreement for Military-Technical Cooperation between the two countries on the sidelines of the fourth Association of Southeast Asian Nations (ASEAN) Defense Ministers' Meeting (ADMM-Plus) in Clark city.
Duterte thanks 4 countries for help during Marawi terror war Rappler 24th Oct 2017
President Rodrigo Duterte cited the assistance provided by China, Russia, the US, and Australia in defeating terrorism in Marawi when he spoke to defense ministers from the Association of Southeast Asian Nations (ASEAN) on Tuesday, October 24. The defense ministers were in the country for the 11th ASEAN Defense Ministers Meeting (ADMM) and 4th ADMM-Plus in Clark. In his address, Duterte told the ministers all combat operations in Marawi City had been terminated as the remaining terrorists in the area had been neutralized. The President expressed gratitude to the countries which provided assistance to the Philippines in defeating the Maute terror group, namely China and Russia, which provided firearms; and the US and Australia for help with intelligence and military expertise. He also talked to the ministers about the country’s war against illegal drugs. Following his meeting with ASEAN Defense ministers, Duterte received General Sergei Shoigu, Russia's Defense Minister. United States Secretary of Defense James Mattis also paid a courtesy call to President Duterte.
Philippine, Australian forces stage sea drill as ties deepen ABC News 15th Oct 2017
Filipino and Australian naval forces darted across the sea and landed on a Philippine wharf in a disaster-response drill Sunday that reflects their deepening security ties in a region prone to calamities, piracy and territorial rifts. Lt. Col. Daniel Turner of the Australian Defence Force said the naval maneuvers in Subic Bay, northwest of Manila, will strengthen the two countries' ability to jointly respond to typhoons and other disasters when roads, bridges and ports are damaged or destroyed.
Where Is the Philippines Coast Guard in its Military Modernization? The Diplomat 25th Sep 2017
Not unlike some other neighboring Southeast Asian states, the Philippines has been placing an increasing emphasis on the development of its coast guard (See: “Assessing Malaysia’s Coast Guard in ASEAN Perspective”) as it seeks to boost its overall capabilities, which still remain quite limited to cover over 7,000 islands with a tenth of the world’s coastline. Under former President Benigno Aquino III, the Philippine Coast Guard (PCG) has seen boosts in its level of funding, personnel and equipment, as a result of both internal capacity-building as well as help from countries such as Japan and the United States.
New Philippines Radar System Spotlights US-ASEAN Maritime Security The Diplomat 29th Aug 2017
Last week, the United States formally transferred a new radar system to the Philippines. While the transfer is just the latest in a series of ongoing activities by the two sides that are continuing across the security realm, it also highlights Washington’s continuing efforts to strengthen maritime domain awareness among Southeast Asian states in spite of lingering challenges. As I have noted before, though the Philippines had long been belittled as one of Asia’s weakest militaries and Washington’s laggard alliance, under the Obama administration it had begun to cement its place not just as a valuable bilateral ally, but as a critical part of wider U.S. Asia policy as a key location for America’s military presence; an exemplar of bilateral and multilateral partnering; and an upholder of international principles. To be sure, some of the progress made has slowed and has been complicated by the rise of President Rodrigo Duterte, who is prone to anti-American outbursts and has tried to forge an unconventional “independent foreign policy” seeking to move the Philippines away from its traditional reliance on the United States and towards other major powers like China and Russia (See: “Recalibrating US-Philippine Alliance Under Duterte”). Despite all this, most day-to-day U.S.-Philippine defense cooperation has largely continued on some aspects like maritime security and in fact advanced in others such as counterterrorism, especially following the ongoing Marawi crisis that first erupted in May.
Duterte meets US Pacific Command chief at Palace Inquirer 23rd Aug 2017
President Rodrigo Duterte met Wednesday with US Pacific Command chief Admiral Harry Harris Jr. in Malacañang. Duterte and Harris discussed during their meeting security in the region, including the tensions in the Korean Peninsula. The President asked Harris if the United States was worried about the missiles tests of North Korea and its possible nuclear attacks.
Economics
BSP affirms rates, ups 2018 inflation view BusinessWorld 10th Nov 2017
THE BANGKO SENTRAL ng Pilipinas (BSP) kept interest rates steady yesterday with inflation in check and economic activity still upbeat, despite risks from higher oil prices, geopolitical tensions, and rising global yields.As widely expected, the Monetary Board maintained its policy stance for the 25th straight meeting. Policy rates were kept at 3.5% for the overnight lending, 3.0% for overnight reverse repurchase rate, and 2.5% for overnight deposit during monetary authorities’ seventh review this year.
IMF flags sources of domestic risk BusinessWorld 8th Nov 2017
THE CENTRAL BANK should be ready to deploy its tools to temper rapid credit growth in the Philippines, the International Monetary Fund (IMF) said, flagging potential overheating despite generally favorable economic conditions. “The combination of high credit growth, buoyant private investment, and fiscal expansion without tax reform could lead to overheating of the economy,” the IMF Executive Board said in a statement, although clarifying that there has been “no evidence” of credit booms so far.
PH, China to remain world’s fastest growing economies Philippine Canadian Inquirer 28th Oct 2017
The Philippines and China are projected to continue being the fastest growing countries in the world, bolstering trade links between the two countries in the next decades, said an economist. Prof. Federico Macaranas, former chairman of Asian Institute of Management’s Department of Economics, said the growth momentum of Philippine and Chinese economies has already picked up and is expected to continue. He said robust economic growths are expected to strengthen relations between the Philippines and China, particularly in the area of trade. “Agriculture definitely will be one because China needs our food, natural resources. But light manufacturing might move to ASEAN and therefore China will become more in need of high level where our Philippine engineers, technicians and scientists will help,” he noted during the dialogue. “We have a fresh look at our relations because of President (Rodrigo) Duterte’s more open policy,” added Macaranas.
Main business chamber identifies issues holding back progress BusinessWorld 20th Oct 2017
The Philippine Chamber of Commerce and Industry (PCCI) has identified issues encompassing a number of sectors including agriculture, energy and power that it wants the government to resolve through a list of initiatives that range from investment promotion to the passage of key legislative measures. The 10 resolutions were set for approval during last day yesterday of the 43rd Philippine Business Conference that was held at The Manila Hotel. PCCI has urged the House of Representatives and the Senate to approve the following proposed laws: Tax Reform for Acceleration and Inclusion Act; Public Service Act amendment; Act creating Regional Investment and Infrastructure Corporation of Central Luzon; Amendment of the Local Government Code; Expanded Anti-Red Tape Act; Customs Amnesty Act; Estate Tax Amnesty; Granting Amnesty on All Unpaid Internal Revenue Taxes Imposed by the National Government for Taxable Year 2015 and Prior Years.
Foreign direct investments in PH drop to one-year low in July Rappler 12th Oct 2017
The amount of foreign direct investments (FDIs) coming into the Philippines plunged to its lowest since President Rodrigo Duterte assumed office in July 2016, underscoring challenges to economic growth. In July 2017, the net inflow of FDIs into the country reached $307 million, latest data from the Bangko Sentral ng Pilipinas (BSP) showed. This is the country's lowest monthly level since it hit $238 million in FDIs in June 2016. This announcement comes amid an assurance from the National Economic and Development Authority (NEDA) that foreign investors remain confident to do business in the Philippines.
Final tax reform package to yield ‘enough revenues’ Malaya 9th Oct 2017
The country’s economic managers have expressed optimism that the final tax reform program that will be passed into law will yield enough revenues to support the government’s projects and programs.This despite preliminary estimates for the version passed by the Senate showed it will only generate P59.9 billion on the first year of implementation. In comparison, the Lower House’s revised version is seen to yield P119.4 billion. “We have every confidence that the legislature will come up with revenues that will be sufficient to fund all the various projects of the President including both the social side, the educational side, and the infrastructure. We have every confidence that it will happen,” Carlos Dominguez III, finance secretary, said. “We don’t have yet the final (net revenue of the Senate version) because they had some new ideas... and we’ll see what comes out,” he added.Dominguez said the tax reform measure is seen to undergo bicameral reconciliation by mid-November. Senate President Aquilino Pimentel III, meanwhile, assured Malacañang the Senate will not derail the Tax Reform for Acceleration and Inclusion (TRAIN) bill even as some sectors warned of its inflationary effects if it is approved into law. The TRAIN is expected to raise P130 billion to fund the massive infrastructure projects of the government under its “Build, Build, Build” program.
Growth seen slowing as infrastructure program drags BusinessMirror 4th Oct 2017
The slower-than-expected implementation of the government’s infrastructure projects has forced the World Bank to cut its growth forecast for the Philippines this year and in 2018, although the country’s GDP expansion is still seen to outpace regional average. In the East Asia Pacific Economic Update, the World Bank said it has tempered its growth forecast to 6.6 percent this year and 6.7 percent for 2018, from its April estimate of 6.9 percent for both years. The Washington-based lender also said the economy is on track to post a growth of around 6.7 percent in 2019. “Although the Philippines continues to grow most rapidly among these [Asean] countries, it is expected that growth in 2017 and 2018 will be slower than projected in April,” the World Bank said. “The delay in the planned government- infrastructure program has contributed to slower growth in investment spending, thus softening the growth prospect for the year,” it added. The Philippine economy grew 6.4 percent in the January-to-June period.
PH to add more sectors allowing 100% foreign ownership Rappler 2nd Oct 2017
The government is targeting to release a "shortened" list of investment areas or activities reserved solely for Filipinos by year-end, citing the need to liberalize more sectors and to be at par with its Association of Southeast Asian Nations (ASEAN) neighbors. To do this, Socioeconomic Planning Secretary Ernesto Pernia said the Philippines will allow more investment areas where foreigners can fully own a company. In the draft list, some areas were allowed foreign ownership of up to 60%, according to Pernia. "I said bring it up to 100% for certain areas." Although Pernia declined to enumerate the areas where 100% foreign ownership will be allowed, he said those that are being looked into are "retail, trade, professions, public utilities, and contractors." Former president Benigno Aquino III in 2015 issued Executive Order No. 184, or the 10th Regular Foreign Investment Negative List, which mainly kept intact the foreign ownership restrictions in the previous list. The government is mandated to release a new list every two years.
Investors’ Shifting Sentiments BusinessWorld 28th Sep 2017
When you are inside looking in, situations tend to be muted or amplified, depending on which side you are on. I was never entirely certain how the world viewed the Philippines given the violence and extrajudicial killings going on. I hoped that by some fluke, the ferocities of this administration had slipped under the radar and that people, especially the global business community, were somehow oblivious on the true state of this formerly peaceful and fun-loving country of ours. My involvement in various chambers of commerce and the Entrepreneurs Organization (EO) allows me to interact with numerous business owners from around the world. In the last two months, I had the opportunity to meet with entrepreneurs from Japan, Qatar, Spain, and Portugal. My interaction with them gave me first hand insights on what the world really thinks about the country. My worst fears were confirmed.
TRAIN expected to be signed into law by December Philstar 23rd Sep 2017
The Department of Finance (DOF) said yesterday it is expecting the tax reform bill to be signed into law by President Duterte by Dec. 15, allowing the government to implement the tax package measure by next year. In a statement, Finance Secretary Carlos Dominguez said he is hoping for the Senate to pass the Tax Reform for Acceleration and Inclusion Act (TRAIN) by mid-October, and for the bicameral conference committee to come up with the final version of the bill by November.
Philippines tops Asia on financial inclusion list BusinessWorld 19th Sep 2017
THE PHILIPPINES remains Asia’s leader in financial inclusion due to policies supportive of wider banking access, the Brookings Institution said in a report, even as the country slipped a rung from its rank a year ago. The Philippines is the world’s fourth best in terms of access to financial services, according to the 2017 Brookings Financial and Digital Inclusion Project Report published in August that evaluated the efforts of 27 countries in offering “affordable” and “secure” financial channels to the public.
DoF defers submission of 2nd tax reform package BusinessWorld 18th Sep 2017
THE DEPARTMENT of Finance (DoF) will defer submission to Congress of the second of up to five tax reform packages, as it focuses all its efforts on pushing the first tranche through the Senate and enactment in time for implementation as 2018 starts.
US execs still bullish on PH despite Duterte pivot to China Inquirer 14th Sep 2017
American senior executives polled in a recent survey expressed plans to expand their business operations in the Philippines this year as their “level of confidence” was considered among the highest in the Asean despite seeing a slight decline from a year ago. According to the Asean 50th anniversary edition of the 2018 Asean Business Outlook survey, 70 percent of respondents in the American Chamber of Commerce of the Philippines Inc. (AmCham) were planning business expansions this year, a slight decline from 74 percent a year ago. This was higher than the average for the whole Asean of 62 percent. “The survey results for the Philippines saw 70 percent of AmCham Philippines respondents planning to expand their operations in the Philippines. This level of confidence was among the highest in the 10 Asean economies and the same as Vietnam (72 percent) and Myanmar (71 percent),” AmCham Philippines Executive Director Ebb Hinchliffe said. Also, only a few US senior executives based in the Asean think of the Philippines as an attractive bilateral FTA partner as the country was overshadowed by the potential of other countries in the region.
Fiscal perks costing government P300 billion annually, but benefits not certain BusinessMirror 29th Aug 2017
The Department of Finance (DOF) revealed that the government is losing about P300 billion in income-tax holidays, value-added tax (VAT) exemptions and duties annually, based on its review of the data from the Tax Incentives and Management Transparency Act (Timta).
Solons hit backdoor attempt to liberalize public utilities BusinessMirror 29th Aug 2017
Members of the so-called Magnificent 7 in the House of Representatives on Tuesday vowed to challenge the constitutionality of House Bill (HB) 5828, which sets the statutory definition of public utilities, once the priority measure is enacted into law.
Energy
DOE awaits result of Rosatom study on what to do with Bataan nuke plant Business Mirror 4th Nov 2017
THE Department of Energy (DOE) eagerly awaits the result of a two-month assessment conducted by foreign experts on the mothballed Bataan Nuclear Power Plant (BNPP).Energy Secretary Alfonso G. Cusi said experts, mostly composed of representatives of the Rosatom State Atomic Energy Corp., the regulatory body of the Russian nuclear complex, and Slovania’s Gen Energija, are expected to conclude by end-October their preliminary assessment of the possibility and viability of rehabilitating the BNPP. There is no update yet on their assessment, Cusi said last week. On August 30 the DOE’s Nuclear Energy Program Implementing Organization headed by Energy Undersecretary Donato D. Marcos, together with representatives from the Philippine Nuclear Research Institute and National Power Corp. (NPC) met with representatives from Russia’s Rosatom, Slovenia’s Gen Enerjia and internationally known nuclear firm Worley Parsons at the NPC Nuclear Village in Bagac, Bataan.Seven working groups have been established to undertake the study, which started in September. The conduct of a study would take two months.The activity will define the scope of work for the prefeasibility study for the possible rehabilitation of the BNPP. According to the DOE, the study is being provided by Rosatom for free as part of the cooperation between the Philippines and Russia.“There are no options presented yet, no recommendations either. We will just have to wait,” Cusi added. If revival and rehabilitation are no longer options for the BNPP complex, then the next step that needs to be undertaken is to determine what to do with the property. The 620-megawatt (MW) BNPP is the country’s first and only attempt at nuclear-power development. It was supposed to be the first of two nuclear plants to be built in the northern province of Bataan. It was also the first nuclear power plant in Southeast Asia, and was identified as a solution to the 1973 oil crisis that had adversely affected the global economy, including the Philippines.
Energy Dept issues draft rules on PHL natural-gas industry development Business Mirror 3rd Nov 2017
The Department of Energy (DOE) released on Thursday a draft of the rules on the country’s natural-gas industry. The draft circular, which shall be known as the Philippine Natural Gas Regulation (PNGR), establishes the rules governing the supply, location, design, construction, expansion, rehabilitation, modification, operation, maintenance, safety and commercial arrangement of the value chain of the Philippine Natural Gas Industry (PNGI). “The state shall ensure that the PNGI, from its emerging state, will be developed into a matured market, enabling the country to achieve greater energy security and sustainability,” the draft circular stated. Among others, the PNGR involves the development and implementation of policies on the promotion, exploration, development, production of indigenous natural gas deposits and importation of liquefied natural gas (LNG) for local and foreign demand, including third-party access to LNG-related facilities and pipeline for the development of the Philippines as LNG trading and transshipment hub of the Asia-Pacific region.
EICC to fast-track approval of big-ticket energy projects BusinessMirror 26th Oct 2017
In a bid to fully implement a Malacañang-issued policy meant to fast-track the approval of energy projects, the Department of Energy (DOE) moved to designate agency officials to the Energy Investment Coordinating Council (EICC).
Cusi not keen on FIT extension philstar.com 26th Oct 2017
Energy Secretary Alfonso Cusi is not keen on extending the feed-in tariff (FIT) allocation for biomass and run-of-river technologies even as developers are asking for an extension. Cusi said providing FIT perks runs contrary to the department’s push to bring down power rates. “The Philippines, as a developing country…it’s difficult for us to be giving subsidy or FIT. Especially when we want to bring down our energy tariff,” he said. Subscription to the FIT installation target for biomass and run-of-river hydro is set to expire by yearend. Unlike solar and wind, the FIT allocation for biomass and run-of-river technologies remain undersubscribed three years after the program’s implementation. Originally, run-of-river hydro was approved a rate of P5.90 per kilowatt-hour (kWh) and biomass with a rate of P6.63 per kWh. Each technology was allotted an installation target of 250 MW each.
Power plant pipeline signals continued dominance of coal BusinessWorld 26th Oct 2017
COAL remains the dominant source of power for Luzon, Visayas and Mindanao during the first half and will continue to be a major contributor to new capacities in the coming years, the Department of Energy (DoE) said in its latest report on the country’s power supply and demand. “Capacities which will be coming in the pipeline are largely coal power projects with 4,465 MW (megawatts) committed and 9,903 MW indicative capacities,” the DoE said. The DoE report validates power sector projections that coal will remain the country’s main power source in the coming years. The department has been vocal about being “technology neutral.” It has also encouraged investors to be guided by a system that requires 70% baseload or continuous 24-hour power, 20% mid-merit power that can run when needed, and 10% peaking power that produces maximum capacity at around the same time that electricity demand for the day reaches its peak level. As of the first half, the DoE said the country’s total installed capacity had remained dominated by coal at 35% or 7,568 MW, followed by renewable energy at 32% or 7,038 MW, oil-based at 17% or 3,584 MW, and natural gas at 16% or 3,431 MW.
NREB set to present proposed rules on sourcing of renewable energy BusinessMirror 6th Oct 2017
THE National Renewable Energy Board (NREB) will endorse to the Department of Energy (DOE) the proposed rules on renewable portfolio standards (RPS), which requires distribution utilities (DUs) to source a portion of their power supply from eligible renewable-energy (RE) sources.
Supreme Court: PSALM sale of power plants not subject to VAT BusinessMirror 20th Sep 2017
THE Bureau of Internal Revenue (BIR) has lost a P3.81-billion tax case against the Power Sector Assets and Liabilities Management Corp. (PSALM) involving the sale of Pantabangan-Masiway Plant and Magat Hydroelectric Power Plant in 2006.
Power producers face tough times on oversupply, pricing BusinessMirror 18th Sep 2017
COMPANIES engaged in power generation may face tougher times ahead on account of a foreseen capacity oversupply and tough pricing condition. AC Energy Holdings Inc., which has installed around 1,000 megawatts (MW) last year, said oversupply is “obviously good for customers and more challenging for suppliers”.
House allocation of P1K budget could squeeze ERC dead InterAksyon 5th Sep 2017
In a move that could effectively dissolve the Energy Regulatory Commission, the House of Representatives gave the agency a measly budget of P1,000 for 2018. During plenary deliberation of the agency’s budget Tuesday, September 5, lawmakers supported a motion by Zamboanga City Representative Celso Lobregat to give ERC only P1,000. The proposed budget of ERC for 2018 is P350.9 million. The P1,000 budget is not yet final, though, as the 2018 budget bill will still go to the Senate for deliberation. “This is a strong message that the ERC should fixed its problems,” Lobregat said. The agency has been mired in controversy, including allegations of corruption and infighting. It chairman, Jose Vicente Salazar, remains suspended. In February this year, Speaker Pantaleon Alvarez filed a bill seeking to abolish the ERC following the suicide of a director over alleged pressures to award an anomalous contract. “The suspicions raised against the integrity of the ERC, which is primarily entrusted with regulating the country’s electric industry and promoting competition in the market, cannot be ignored,” Alvarez said in introducing House Bill No. 5020. The Speaker proposed to replace the ERC with the Board of Energy, which will be attached to the Department of Energy.
Ban on mineral ore export may backfire, mining stakeholders warn philstar.com 5th Sep 2017
A planned ban on the export of mineral ores may hit the country's economy and will likely risk its reputation in global markets, mining stakeholders warned. While the Chamber of Mines of the Philippines (COMP) is all for the domestic processing of minerals, it maintained that a total ban on exports will not work for the country. Citing Indonesia, which instituted an export ban in 2014, as an example, COMP executive director Ronald Recidoro said the move may not be applicable to the Philippines and may even backfire. "Indonesia saw that the experiment did not work and it is now creating havoc within their economy. And we do not want to go through that," Recidoro said during the opening day of the Mining Conference Philippines 2017 on Tuesday. "We want to see the country get more benefits from its minerals. If it means mineral processing domestically, then we are all for it. But it cannot stop at just banning raw ore exports. It simply won’t work," he added. Recidoro added the Philippines cannot really ban the export of raw nickel without running afoul of the country’s obligations under the General Agreement on Tariff and Trade and the World Trade Organization.
Mining industry backs Cimatu as Environment chief philstar.com 5th Sep 2017
Unlike with his predecessor, the country’s mining industry is in full support of the confirmation of Secretary Roy Cimatu, saying the sector is already seeing a slow positive change for the local mineral sector this year. The Chamber of Mines of the Philippines (COMP) said it is in favor of the confirmation of Cimatu, who is set to face the Commission on Appointments on Monday, September 11. "Yes, we would like to see him as DENR (Department of Environment and Natural Resources) secretary. We see him as a very sober, intelligent person who can appreciate what responsible mining can contribute," COMP executive director Ronald Recidoro said during the opening day of the Mining Conference Philippines 2017 on Tuesday. While the industry still has some doubt on where the sector will be taken, Recidoro admitted that the situation has "vastly improved" since Gina Lopez, whose appointment the commission rejected, helmed the DENR. Environmentalists and progressive groups criticized the commission for allegedly siding with business interests.
Financial Services
BSP Strengthens Liquidity Risk Management Guidelines Bangko Sentral ng Pilipinas 6th Nov 2017
The Monetary Board, in its meeting on 12 October 2017, approved the revision of the guidelines on liquidity risk management for banks and quasi-banks. This revision amends the liquidity risk management guidelines which were first issued in 2006. Since that time, significant local and international events and developments have highlighted the importance of banks’ effective management of liquidity risk in ensuring that they function smoothly not only during normal times but also under stress.
BSP eases credit limits to back development financing InterAksyon 29th Oct 2017
The Bangko Sentral ng Pilipinas (BSP) has eased credit limits imposed on banks in lending to their subsidiaries and affiliates, effectively freeing up more funds which they can hand out for infrastructure and project finance. In a statement on Friday, the Monetary Board said it has removed loans guaranteed by multilateral financial institutions (MFIs) in computing a bank’s exposure to its subsidiaries and affiliate firms. The World Bank’s International Finance Corp., the Asian Development Bank and the Credit Guarantee and Investment Facility are considered as MFIs where the Philippines is a member of shareholder.
BSP’s new rules on multilateral bank lending to subsidiaries to benefit PHL infra upgrade BusinessMirror 28th Oct 2017
The Bangko Sentral ng Pilipinas (BSP) relaxed its rules on intercountry bank lending to subsidiaries and affiliates—a move aimed to benefit big-ticket, high-priority projects in the country, such as in infrastructure development. On Friday the Monetary Board announced that it approved the exclusion of all loans guaranteed by multilateral financial institutions, where the Philippine government is a member or shareholder, from the regulatory limits on banks’ loans to their subsidiaries and affiliates.
Next forex liberalization wave readied Business World 26th Oct 2017
The Central Bank plans to lift by year end the requirement for banks and companies to register foreign exchange transactions, a move seen to improve ease of doing business in the Philippines. Bangko Sentral ng Pilipinas (BSP) Governor Nestor A. Espenilla, Jr. said monetary authorities plan to simplify the registration process for inbound investments and currency trading “as part of the further FX liberalization reforms,” adding that they are considering an electronic reporting scheme. “The BSP is, in fact, working on a new regulation in consultation with the banking industry. Basically, what we want to do is to do away with the registration process as a necessity to be able to access foreign exchange from the financial system,” Mr. Espenilla said yesterday during a luncheon meeting hosted by the European Chamber of Commerce of the Philippines.
BSP crafting higher antihacking standard for banks BusinessMirror 26th Oct 2017
The Bangko Sentral ng Pilipinas (BSP) said it would issue a circular significantly raising the standard for cybersecurity among financial institutions and encourage the industry to boost their respective cybersecurity measures. According to BSP Governor Nestor A. Espenilla Jr., the Central Bank expects to complete a legal review of the circular that calls for enhanced standards on cybersecurity as part of a due diligence process.
Clearing house for electronic fund transfers expected to be launched in Nov. BusinessWorld 24th Oct 2017
BANKS and nonbank players are set to launch next month a new clearinghouse that will allow electronic fund transfers across bank accounts and to electronic wallets, as part of an industry-wide push to boost digital payments. Bangko Sentral ng Pilipinas (BSP) Governor Nestor A. Espenilla, Jr. said industry players are looking to roll out a clearinghouse for electronic fund transfers called the PESO Net, which will authorize electronic fund transfers across banks and e-wallets.
PH, Asean working on disaster risk insurance The Manila Times 20th Oct 2017
The Philippines is working with fellow Association of Southeast Asian Nations (Asean) members on initiatives that will help communities recover faster from the impact of natural disasters and climate change, the Finance department said. In a statement on Thursday, Finance Secretary Carlos Dominguez 3rd said the country was also working on improving building standards to ensure that structures were climate-resilient and was expediting irrigation initiatives to mitigate the impact of erratic climate patterns resulting from global warming.
SEC seeks authority to access bank records Inquirer 16th Oct 2017
The Securities and Exchange Commission (SEC) has appealed to Congress for authority to access and scrutinize bank records as needed to boost investor protection, prevent scams and improve cross-border coordination on securities regulation. In a speech delivered during the Financial Executives Institute of the Philippines (Finex) conference last Friday, SEC Chair Teresita Herbosa said the existence of the local bank secrecy law and the Philippines’ status as a nonsignatory to the multilateral memorandum of understanding (MMOU) adopted by the International Organization of Securities Commissions (IOSCO) were preventing the country from joining a number of regional initiatives involving the capital markets in the region.
BSP prods local banks to expand into Asean philstar.com 16th Oct 2017
Philippine banks can start establishing presence in Southeast Asian countries over the next few years with the full rollout of the ASEAN Banking Integration Framework (ABIF) by 2020, the Bangko Sentral ng Pilipinas (BSP) said. In a speech during an annual conference organized by Financial Executives Institute of the Philippines (Finex), BSP Deputy Governor Chuchi Fonacier said local banks can expand in Singapore, Brunei, Cambodia, Laos, Myanmar and Vietnam.
Capital market reforms to be launched in November Inquirer 26th Sep 2017
The government will launch in November the peso debt market development roadmap aimed at establishing an integrated financial market in the country. “The capital market reform agenda will initially focus on benchmark markets. The reforms will be undertaken over an 18-month time frame from launch in November with specific targets for regulatory and institutional milestones. Deliberately, we sequenced and calibrated the roadmap to ensure that urgent and foundational issues are prioritized,” Bangko Sentral ng Pilipinas Governor Nestor A. Espenilla Jr. said in a speech at the joint general assembly of the Money Market Association of the Philippines, ACI Financial Markets Association Philippines, Trust Officers Association of the Philippines, Fund Managers Association of the Philippines, Investment House Association of the Philippines and National Association of Securities Broker Salesmen Inc.
Banks upgrading card security features philstar.com 19th Sep 2017
Security Banking Corp. and Rizal Commercial Banking Corp. (RCBC) are upgrading the security features of their debit cards to protect clients against fraud and cyber threats. Jopet Jocson, first vice president and Fraud Management Division head at Security Bank, said the bank strengthened its card security with the ATM card lock/unlock feature similar to an “on/off” switch. The enhanced feature conveniently allows customers to turn off and on their card functionality in just a few clicks. It provides additional protection against unauthorized transactions including withdrawals and other card-related fraud.
Food & Agriculture
Certification remains key hurdle to halal devevelopment Business World 26th Oct 2017
MUSLIMS in the Philippines, among the first traders and migrants in the country but now a minority, struggle to observe Islam’s halal principles when they travel to this day. Ms. Ampuan, president of Philippine Halal Trade and Tourism and one of the founders of the Mindanao Islamic Chamber of Commerce and Industry (MICCI), said information dissemination is still one major step that needs to be taken if the Philippines were to grab a slice of the global halal market, beginning with the local Muslim population of about 11 million.The global halal market is estimated to be worth $3.2 trillion and is projected to grow to as much as $10 trillion by 2030, according to the Department of Trade and Industry (DTI).
Duterte’s plan to abolish SRA worries sugar industry leaders Business World 13th Sep 2017
Agriculture Secretary Emmanuel Piñol on Sunday said he was under the impression that President Rodrigo Duterte was just floating an idea on the abolition of the Sugar Regulatory Administration (SRA). Last Thursday, Sen. Juan Miguel Zubiri said SRA Administrator Anna Rosario Paner had already resigned. Pinol and Zubiri, along with Finance Secretary Carlos Dominguez III, recommended as replacement Sugar Board member Hermenegildo Serafica of Ormoc, Leyte. Duterte’s announcement of his intention to abolish the SRA came as a surprise to the sugar industry, which had already been a a multitude of problems, according to its leaders.
PHL may import US dairy goats in 2019 BusinessMirror 7th Nov 2017
The Department of Agriculture (DA) is planning to import some 8,000 dairy goats from the United States in 2019 in line with its goal of increasing Philippine milk production. Agriculture Secretary Emmanuel F. Piñol said the DA will tap the remaining P1.5 billion in the US food-aid program under Washington’s Public Law (PL) 480 for the importation of dairy goats. “We will roll out a four-year dairy goat program starting 2019, and it will involve the importation of about 8,000 dairy goats with superior genes,” Piñol told reporters in an interview on Monday.
PHL to thumb down new WTO agri deal sans SSM BusinessMirror 30th Oct 2017
THE Philippines may reject any new agreement on agriculture at the 11th World Trade Organization (WTO) Ministerial Conference (MC11) if it would not include the special safeguard mechanism (SSM) that would allow developing countries to protect their farm sectors from import surges.
Tariffication to give rice sector P27-billion safety net BusinessMirror 16th Oct 2017
The rice sector may get at least P27 billion in government assistance, or nearly half of the Department of Agriculture’s (DA) P60.6-billion budget for 2018, once Congress approves the tariffication of the staple. Removing the quantitative restriction (QR) on rice by amending Republic Act (RA) 8178 would allow the government to generate P27 billion annually, according to a paper published by the Philippine Institute for Development Studies (Pids).
Solon calls for passage of urban agriculture act Philippine Canadian Inquirer 10th Oct 2017
A lawmaker in the House of Representatives is pushing for the swift passage of the proposed Integrated Urban Agriculture Act toward a more food-secure country. AGRI Partylist Rep. Orestes Salon made the call on Tuesday after the House Committee on Food Security consolidated four measures seeking to promote the use of urban agriculture in all urban areas in the Philippines. Salon, principal author of one of the bills, stressed the need for Congress to lay down a policy platform to achieve food security considering that the Philippines ranked 79th in the 2017 Global Food Security Index released by the Economist Intelligence Unit.
Meat processors see double-digit growth BusinessMirror 27th Sep 2017
The local meat-processing industry will continue to post double-digit growth as the hike in the income of Filipinos will allow them to buy more food items, according to the Philippine Association of Meat Processors Inc. (Pampi). Pampi Vice President Jerome D. Ong said the industry is growing steadily by at least 10 percent and may even expand by more than 12 percent as the Philippines’s per-capita GDP nears the $3,500 mark. “There is this so-called inflection point, or tipping point, recognized by most global economies. The figure is $3,500 per-capita GDP. At that point, many countries started to grow even more rapidly,” he added. Based on initial estimates, Ong said sales of the local meat-processing industry have already reached P300 billion. “There is a need to validate this figure because P300 billion in sales will mean that the daily consumption of processed meat by Filipinos amounts to only P8.20 per day, an unbelievably low amount,” he added. Ong noted that despite the growth in the country’s per-capita GDP, the Filipinos’ per-capita meat consumption remains relatively low compared to its Southeast Asian neighbors.
Amendments to food-safety law sought BusinessMirror 25th Sep 2017
The National Meat Inspection Service (NMIS) is urging Congress to amend Republic Act (RA) 10611 to revert the regulation of prepackaged food and processed-meat products to the Department of Agriculture (DA). NMIS Executive Director Ernesto S. Gonzalez said allowing the attached agency of the DA to again have supervision over all meat products would boost efforts of the government to ensure the safety of these food items. “It [reversing transfer of supervision of meat products] makes common sense. Monitoring of meat products would also improve,” Gonzalez told reporters in an interview on the sidelines of a forum held in Pasay City last Friday.
PHL eyes Japan ODA for farm mechanization BusinessMirror 18th Sep 2017
The Philippines is keen on tapping overseas development assistance (ODA) from Japan to finance a program of the Department of Agriculture (DA) which aims to provide Filipino farmers and fishermen with modern equipment and postharvest facilities.
5-year development plan for North Luzon’s agribusiness, industry BusinessMirror 18th Sep 2017
Northern Luzon is expected to continue its rapid growth in the near term, with the government outlining a five-year action plan to ensure the region’s full potentials are unleashed for sustainable development and job creation, according to a government executive.
Proposed new tax on SSBs seen to impact on investments – BIAP Manila Bulletin Business 30th Aug 2017
The planned additional taxes on sugar sweetened beverages (SSBs) will impact not just on the multinational firms’ investments but also the 35,000 direct industry workers as well as other downstream and upstream industries, including the livelihood of 1.3 million saris-sari stores nationwide which incomes rely largely from sale of SSBs.
Health & Life Sciences
PEZA okays P2.4-B medical tourism zone Manila Bulletin Business 23rd Oct 2017
The Philippine Economic Zone Authority (PEZA) has approved Centurial Medical Development Corp. for its P2.49 billion medical tourism facility, which houses 200 specialty clinics so far at Century City in Kalayaan, Makati. PEZA Director-General Charito B. Plaza said Centurial Medial Makati is the largest outpatient medical facility in the country. It had a soft opening in June and was inaugurated last month, September. Based on its website, Centuria Medical Makati is a one stop, outpatient medical-IT facility located at the heart of Century City, Makati, Philippines, which will house more than 700 clinics.
OICs named for DOH, DICT philstar.com 13th Oct 2017
President Duterte has named officers-in-charge for the departments of health and information and communications technology. Undersecretary Herminigildo Valle was designated officer-in-charge of the Department of Health after the Commission on Appointments rejected the appointment of DOH secretary Paulyn Ubial on Tuesday, according to presidential spokesman Ernesto Abella. Valle is head of the DOH Office for Field Implementation and Management. Abella said Undersecretary Eliseo Mijares Rio Jr. would oversee the Department of Information and Communications Technology (DICT) until a new secretary is appointed. Rio is the agency’s undersecretary for special concerns.
PDEA backs medical marijuana bill, sets conditions CNN Philippines 1st Oct 2017
The Philippine Drug Enforcement Agency (PDEA) said it is supporting the medical marijuana bill, under certain conditions.
Duque wants universal healthcare in PH by 2030 Rappler 8th Nov 2017
Secretary Francisco Duque III has set an ambitious goal for the Department of Health (DOH): Provide universal healthcare for all Filipinos within the next 13 years. Duque shared the “moving target” he wants the DOH to aim for in a Rappler Talk interview on Tuesday, November 7. (READ: Marawi rehab tops Duque’s agenda in DOH) “It’s a moving target. It’s a vision that we would like to realize. But the difference today is we’ve set for ourselves a timeline. It’s really DOH providing the pathway towards health for all by 2030,” said Duque, adding that he plans to suggest specific vision-based steps to DOH’s executive committee.
Marawi rehab tops Duque’s agenda in DOH Rappler 6th Nov 2017
Rehabilitating the health facilities and services in Marawi City after the war is the main priority of the Department of Heath (DOH), said its new chief Francisco Duque III. “The DOH has to do its best to help rehabilitate Marawi in general, and in particular, the health systems of Marawi. We need to bring it back to its pre-war functionality,” Duque told reporters after a formal turnover ceremony at the DOH in Manila on Monday, November 6. The DOH secretary, however, said the task is “not going to be easy.” Government forces clashed with homegrown terrorists led by the Maute Group in Marawi on May 23, sparking a months-long battle that destroyed the city. The national government estimates around P50 billion will be needed to restore the city, with P2.7 billion eyed for the comprehensive reconstruction of Marawi’s health facilities. Duque will be flying to Marawi later this week to assess the damage himself.
CA rejects Paulyn Ubial as health secretary Rappler 10th Oct 2017
The Commission on Appointments (CA) rejected the ad interim appointment of Paulyn Ubial as Department of Health (DOH) secretary on Tuesday, October 10. This was announced during the CA plenary session, after the CA health committee recommended to reject Ubial. Senator Gregorio Honasan II, CA health committee chair, said before the CA plenary that after 3 hearings, the panel reached a "difficult decision" to "withhold its consent to the ad interim appointment" of Ubial.
Philippines embraces efforts to step up cardiovascular disease care World Health Organization 28th Sep 2017
“My brother died from a stroke when he was 50, my mother suffered from hypertension, and I had a stroke and was overweight,” says Marissa, now 54. “I had to become healthier – not just for me but for my children and grandchildren.” Seeking out medical help, particularly to improve her diet and physical activity levels, has made a huge difference. In just over two years, Marissa has shed 30 kilograms, thanks to regular Zumba classes, eating more fruits and vegetables and cutting out junk food. She no longer suffers from hypertension or high blood sugar.
House passes bill giving all Filipinos health insurance Rappler 11th Sep 2017
By a vote of 222-7, the House of Representatives on Wednesday, September 6, passed on 3rd and final reading a bill seeking to give all Filipino citizens health care and insurance. The passage of House Bill Number 5784 or the Universal Health Coverage (UHC) bill is a “golden opportunity for change for a better health system,” said Kabayan Representative Harry Roque, deputy minority leader and sponsor of the measure.
ICT
DICT Philippines to launch digitalcitiesPH jointly with NICP and IBPAP to develop IT-BPM hubs outside Metro Manila OpenGov 25th Oct 2017
The Department of Information and Communications Technology (DICT) in the Philippines, the National ICT Confederation of the Philippines (NICP), and the Information Technology and Business Process Association of the Philippines (IBPAP) will jointly launch the digitalcitiesPH programme during the 9th NICP ICT Summit on November 16 to 17, 2017.
Duterte appoints new DOH, DICT OICs cnn 12th Oct 2017
Metro Manila (CNN Philippines, October 12) — President Rodrigo Duterte has appointed new officers-in-charge (OIC) for the health and communications technology departments, Malacañang announced.
GDG PH brings you GDG DevFest Philippines 2017 Inquirer.net 11th Oct 2017
Carrying this year’s mission of transforming the skills of every Filipino developer to a world-class talent, GDG Philippines invited experts in Android, Web, and Cloud technologies to impart knowledge to our participants in a series of workshops and sessions.
First submarine cable system to boost Davao’s internet connection Davao Today 23rd Sep 2017
The $250-million Southeast Asia-United States (SEA-US) submarine cable system will provide the city and the island of Mindanao the “best connectivity” with a capacity of 800 gigabits per second (gbps), Ernest L. Cu, president and chief executive officer of the Globe Telecom, said during the launch here on Friday.
Data-privacy law to boost PHL cybersecurity sector BusinessMirror 30th Oct 2017
THE Data Privacy Act of 2012 would generate increase in the demand for information security, information-technology (IT) security experts observed. These experts believe the law would open the door to the sector wider, as it requires private and public organizations in the country that collect and store personally identifiable information to safeguard these sensitive data.
BSP readies cybersecurity guidelines BusinessWorld 27th Oct 2017
THE BANGKO SENTRAL ng Pilipinas (BSP) will soon release enhanced guidelines on cybersecurity that will elevate such concerns to top management of banks and financial firms, even as its head assured that there has been no “serious” recent attack so far.
Banking on BPO sector not enough to cut poverty—experts BusinessMirror 23rd Oct 2017
While the country’s business- process outsourcing (BPO) sector has been known to provide good jobs to millions of Filipinos, economists said relying on the sector alone would not significantly reduce poverty. In a recent Philippine Institute and Development Studies forum, former University of the Philippines School of Economics Dean Ramon Clarete said the BPO sector is concentrated on the “low end” of the outsourcing industry. Clarete said this makes the jobs offered by the BPO sector in the Philippines especially vulnerable to automation, since low-end contact center operations can easily be replaced by artificial intelligence (AI). In the same forum, Hal Hill, professor emeritus of Southeast Asian Economies in the Arndt Corden Department of Economics, Crawford School of the Australian National University, said the country’s services sector has really made the Philippine economy unique relative to its neighbors. Hill said despite the higher wages paid to BPO workers relative to the minimum wage does not temper the interest of foreigners in outsourcing various services to the Philippines.
Competition body to pursue review of P70-billion telco deal BusinessMirror 23rd Oct 2017
POINTING out what it described as “slow, expensive and poor”state of the Internet in the Philippines, the Philippine Competition Commission (PCC) said it will continue to push for the review of the P70-billion deal among telco operators in the country, even with the unfavorable decision from the Court of Appeals (CA).
Smart transportation seen gaining ground The Manila Times 11th Oct 2017
Integrated mobility solutions are expected to compete with private car ownership and public transport, business consulting firm Frost & Sullivan said. “With a goal to offer more convenience in transportation in which people can choose the most logical means of transport, the idea of integrated mobility services is emerging. Integrated mobility business models will create a single proposition that is competitive to private car ownership and public,” said Frost & Sullivan analyst Albert Priya. “With OEMs (original equipment manufacturers) shifting to the car-as-a-service business model, mobility-as-a-service is expected to take off,” Priya said.
BPO growth slows down Malaya Business Insight 2nd Oct 2017
The Information Technology and Business Process Association of the Philippines (IBPAP) yesterday said the industry is projected to grow by single-digit levels yearly until 2022 as adoption to latest technology is expected to eliminate employment doing simple work. Benedict Hernandez, chairman of the Contact Center Association of the Philippines (CCAP), said the information technology-business process management (IT-BPM) industry last year posted $23 billion in revenues and 1.15 million direct employment. Those numbers would grow by about 9 percent every year to hit $40 billion revenues and 1.8 million workers by 2022. Rey Untal, IBPAP president and chief executive officer, the 8 to 9 percent projected growth is still higher compared to global industry growth of 5.7 percent. According to Hernandez, IBABP had factored in the 9 percent growth in its roadmap 2022 but that is coming from a double-digit growth annually. Hernandez clarified technology is not necessarily eliminating jobs but that it is making the job more efficient. Technologies like robotics, automation and artificial intelligent can use logic and algorithm to make decisions thus delivering work easier and much faster.
Infrastructure
PHL keen on infrastructure bonds to reduce ODA reliance BusinessMirror 26th Oct 2017
The National Economic and Development Authority (Neda) is looking into other mechanisms, such as the issuance of infrastructure bonds, to bankroll the Duterte administration’s massive infrastructure program and, in the process, reduce the country’s reliance on concessional loans.
Government vows to prioritize local contractors in infrastructure program BusinessMirror 25th Oct 2017
Despite the planned liberalization of the construction sector, the government will still prioritize Filipino contractors in its massive “Build, Build, Build” (BBB) program, which is seen to require an additional 2.5 million construction workers up to 2021.
Duterte shakes up composition of NEDA board Rappler 24th Oct 2017
To fast-track key government projects, President Rodrigo Duterte has replaced some members of the board of the National Economic and Development Authority (NEDA), which is tasked to review and approve national government and corporate deals costing at least P2.5 billion. Malacañang released Administrative Order No. 8 on Tuesday, October 24. Executive Secretary Salvador Medialdea signed it by the authority of the President on October 20. AO 8 reorganized the NEDA board, its executive committee, and the Investment Coordination Committee (ICC). Duterte added the cabinet secretary, energy secretary, transportation secretary, head of Mindanao Development Authority, and the deputy governor of the Bangko Sentral ng Pilipinas (BSP) in the newly reorganized NEDA board. He removed from the board the secretaries of agriculture, environment, labor, and the interior. The executive secretary, budget secretary, finance secretary, trade secretary, and public works secretary remain as members of the NEDA board.
Government seeks private partners to build Manila cruise terminal BusinessMirror 16th Oct 2017
GOVERNMENT tourism agencies are seeking private-sector investors to help construct a cruise port and terminal in Manila.This developed as the Tourism Infrastructure and Enterprise Zone Authority (Tieza), the Department of Tourism (DOT) and the Cultural Center of the Philippines (CCP) formally signed on October 10 a memorandum of agreement (MOA) to craft a feasibility study and master plan for the development and operation of a cruise port on CCP property. The Tieza is a government-owned and -controlled corporation under the DOT tasked with developing tourism infrastructure, as well as developing and managing tourism-enterprise zones and government-owned tourism properties. In an e-mail to the BusinessMirror,Tieza COO Pocholo Paragas said: “We will align with the ‘Build, Build, Build’ program of the Duterte administration and open ourselves to both local and foreign partnerships [in constructing the cruise port].” He said he envisions a state-of-the-art cruise port, which will feature a seafood market as well as various concessions.
Bye bye, Build Build Build? BusinessWorld 2nd Oct 2017
The Tax Reform for Acceleration and Inclusion (TRAIN) has been billed as the administration’s flagship legislation for achieving sustainable seven percent growth, generating investments and jobs,and reducing poverty. If TRAIN is derailed — kiss Build, Build, Build, bye bye.
Infrastructure remains weak link in Philippines' competitiveness Rappler 28th Sep 2017
Investors think the country's macroeconomic environment is among the most attractive in the world, but their interest in the Philippine economy is being dampened by slow infrastructure development. Even if the Philippines' macroeconomic environment ranked 22nd out of 137 nations in the World Economic Forum (WEF) Global Competitiveness Indexthis year, it scored low in overall infrastructure. The Philippines has underinvested in infrastructure – it was ranked 97th out of 137 nations in the WEF report for 2017-2018. Its score of 3.4 out of 7 is the same with Rwanda and even lower than that of Kenya, Cape Verde, and Albania. "Inadequate supply of infrastructure" is one of the top 3 reasons the Philippines' score slipped even if it climbed a notch in the rankings. In terms of overall competitiveness, the country climbed to the 56th spot out of 137 economies in this year's report, from 57th out of 138 in 2016, even as its score slipped to 4.35 out of 7.
PH, Japan affirm measures to speed up project approvals Manila Bulletin Business 27th Sep 2017
Top Philippine and Japanese officials agreed to further streamline respective approval processes and introduce new measures to put in the fast lane the implementation of big-ticket infrastructure projects presented by Manila to Tokyo for possible financing. Aside from infrastructure cooperation, the Department of Finance (DOF) said the two nations also exchanged views on the support for Mindanao and other areas of cooperation such as in power and energy, anti-illegal drug measures, public safety and counterterrorism. The two parties also discussed possible cooperation on information and communications technology, the Finance department said. In their discussion, both panels agreed to speed up their respective project approval processes and come up with additional measures for more efficient decision making, and swift execution, noting they already introduced improvements in their key processes in the past.
World Bank to aid PH infra push Business Inquirer 14th Sep 2017
The government and the World Bank may work together to accelerate the rollout of the Duterte administration’s ambitious infrastructure buildup program over the next five years, the Department of Finance said yesterday. Specifically, the multilateral lender will be tapped for its technical expertise for some 75 flagship big ticket projects that are seen to cost a total of P9 trillion—a massive scheme meant to alleviate vehicular traffic in major cities, improve mass transport systems and build new air and seaports nationwide.
Philippines approves $10b in infrastructure projects The Straits Times 14th Sep 2017
An inter-agency panel chaired by Philippine President Rodrigo Duterte has approved four major infrastructure projects worth 386.3 billion pesos (S$10.2 billion), including bridges, roads and the country's first subway. The Philippines, one of the world's fastest growing economies, is overhauling its ageing infrastructure to boost its competitiveness, create jobs and attract foreign firms hesitant about power costs, logistics headaches and supply chain challenges. The approval and eventual completion of these projects "will pave the way for us to achieve our mid- term and long-term goals" as a nation, Socioeconomic Planning Secretary Ernesto Pernia said. The latest bundle brings the total number of approved projects to 35 worth 1.2 trillion pesos since Mr Duterte took office in July last year.
Metro Manila subway project gets greenlight CNN 14th Sep 2017
The green light to begin construction early next year of a P355 billion (US$7.1 billion) subway running 25 kilometers throughout Metro Manila was given by the National Economic and Development Authority (NEDA), officials said. This, as the government's economic team led by NEDA Director General Ernesto Pernia and Finance Secretary Carlos Dominguez III head to Tokyo, Japan on September 25 for a third meeting with top-level Japanese officials, the Department of Finance said in a statement Thursday.
US provides P730-M aid for Marawi rehab philstar.com 5th Sep 2017
US Ambassador to the Philippines Sung Kim on Tuesday announced that Washington will provide P730 million (approximately $15 million) for ongoing relief operations and the eventual rehabilitation of Marawi City. Through the United States Agency for International Development (USAID), P153 million will be used for humanitarian assistance to deliver supplies such as drinking water, hygiene kits, shelter materials for evacuation centers and for programs to protect displaced women and children. Over P577 million will be allotted for the stabilization and rehabilitation of the city and surrounding areas. This includes restoring basic public services such as health care, water and electricity. The fund will also focus on jumpstarting livelihoods and promoting community reconciliation and alternatives to violent extremism, according to the US envoy. This is in addition to the 12,000 water containers, 100,000 chlorine tablets for safe drinking water and 6,500 desks for temporary schools that the USAID has already provided. Kim noted that military cooperation remains an important component of US assistance to the Philippines. The US is looking forward to providing additional intelligence, surveillance and reconnaissance support to the Armed Forces of the Philippines in Marawi City and anywhere else terrorists may attack.
PAL dusts off NAIA 2 dev’t pitch BusinessWorld 31st Aug 2017
PHILIPPINE AIRLINES (PAL) has revived its proposal to build a P20-billion ($400-million) annex to the Ninoy Aquino International Airport (NAIA) Terminal 2 to address congestion. “We propose to construct a Terminal 2 annex, essentially a whole new terminal connected to the current Terminal 2,” PAL President Jaime J. Bautista said yesterday in his speech at the Management Association of the Philippines (MAP) General Membership Meeting.
Duterte seeks Chinese construction firm’s help in ‘build, build, build’ The Manila Times 23rd Aug 2017
President Rodrigo Duterte is seeking China’s help to improve his country’s dilapidated infrastructure when he met with the officials of the China Communications Construction Company (CCCC) Ltd. on Wednesday. Duterte received the CCCC officials in a courtesy call in Malacanang, where he thanked the company for pursuing projects in the Philippines. “We’re happy that you have come to pass by to talk about anything and everything. So we’re hopeful that talks now could produce results for the good and our welfare also,” the President said.
Manufacturing
Philippies reclaims ASEAN PMI lead Business World 4th Nov 2017
THE PHILIPPINES in October wrested from Vietnam the lead in Southeast Asia manufacturing activity that the former lost back in February, as local businesses began 2017’s last quarter with anticipation of greater demand at home, according to monthly tracking done by IHS Markit for Nikkei, Inc. he seasonally adjusted Nikkei Philippines Manufacturing Purchasing Managers’ Index (PMI) increased to 53.7 in October from September’s 50.8, “signalling a marked pickup in the pace of improvement in operating conditions.”“The latest reading was also well above the third quarter average,” the Philippine report read.
Neda sees manufacturing output decline in Q4 BusinessMirror 10th Oct 2017
Higher prices and work disruptions, such as typhoons, could slowdown the country’s manufacturing output in the fourth quarter, according to the National Economic and Development Authority (Neda).In a news statement issued on Tuesday, Neda Officer in Charge (OIC) Undersecretary for Investment Programming Rolando G. Tungpalan said, however, that manufacturing output growth expectations remain positive in the October-to-December period.
Weaker peso giving PHL manufacturers headache these days BusinessMirror 2nd Oct 2017
The Philippine manufacturing sector has less reason to be optimistic these days, as the weakening of the peso not only failed to boost the export sector, but also made imported inputs more expensive. IHS Markit principal economist Bernard Aw said the weak peso, compounded by sluggish output growth, slowed the country’s manufacturing sector in September, with the Purchasing Managers’ Index (PMI) indicating a subdued growth during the month.
Moody’s: factory growth slowed in July BusinessWorld 11th Sep 2017
FACTORY OUTPUT likely kept growing in July, though at a milder pace, on the back of demand for capital goods and food products, Moody’s Analytics said.Robust domestic demand fueled a 7.3% annualized growth of the manufacturing sector, albeit slower than the 8.1% climb recorded in June, the unit of Moody’s Corp. said in a report e-mailed to journalists over the weekend, with steady increases from both business and consumer segments.
Manufacturing growth further slows in August philstar.com 5th Sep 2017
A slowdown in demand and input pressures further eased the growth of the domestic manufacturing sector in August, the latest reading of the Nikkei Philippines Manufacturing Purchasing Managers’ Index (PMI) showed. The Nikkei Manufacturing PMI registered a lower reading of 50.6 in August from 52.8 in July and 53.9 in June, the weakest since data collection for domestic factory activity started in January 2016. The local manufacturing sector is nearing contraction level as a reading above 50 still indicates expansion while a reading below this level indicates deteriorating business conditions. Purchasing managers surveyed during the month reported a marked easing in the growth of both new orders and output. Even firms with sufficient new orders were not spared from production slowdown as shortage of raw materials disrupted production schedules. Manufacturers who were able to get hold of raw materials faced cost inflation due to the weakening peso.
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