DigiPlus files for licenses in South Africa
DigiPlus Interactive Corp. has filed applications for three licenses in South Africa, marking its second international expansion following its entry into the Brazilian market.
The company submitted applications to the Western Cape Gambling and Racing Board for a national manufacturer license, a bookmaker license, and a bookmaker premises license, DigiPlus said in a disclosure on Wednesday.
“The filing of our online gaming license in South Africa marks another milestone in DigiPlus’ global growth journey, as we bring our proven track record of innovation, responsible gaming, and player protection, together with our strength in localizing games for diverse markets, to one of Africa’s most dynamic economies,” said DigiPlus Chairman Eusebio H. Tanco. — Alexandria Grace C. Magno
China to forego Special and Differential Treatment in future WTO negotiations
GENEVA – China announced on Tuesday it will forego asking for the benefits it gains from its developing country status at the World Trade Organization, state-run news agency Xinhua and the Director-General of the WTO stated.
Xinhua reported that China’s Premier Li Qiang announced his country will no longer seek access to Special and Differential Treatment in current and new WTO agreements during a meeting on the sidelines of the UN General Assembly in New York.
“This is a culmination of many years of hard work and I want to applaud China’s leadership on this issue,” WTO Director-General Ngozi Okonjo-Iweala said in a statement posted on X.
Previously, Washington had argued there could be no meaningful WTO reform until China and other major economies relinquish the SDT granted to developing countries, which the U.S. says give them an unfair advantage.
Some major economies, including China and Saudi Arabia, self-identify as developing countries, granting them access to SDT benefits such as setting higher tariffs and using subsidies.
The U.S. opposes countries picking and choosing SDT benefits, and had wanted China to completely renounce them.
China’s announcement comes after months of trade tension between the world’s two largest economies over sweeping tariffs imposed by the U.S. and retaliatory measures by China.
China previously told Reuters its developing country status was non-negotiable, but that it was open to discussing SDT, subsidies and industrial policy as part of broader discussions on WTO reform, ahead of a 2026 ministerial meeting in Cameroon. — Reuters
Fed’s Powell strikes middle path on inflation, jobs, as others take sides
WASHINGTON – US Federal Reserve Chair Jerome Powell said on Tuesday the central bank needed to continue balancing the competing risks of high inflation and a weakening job market in coming interest rate decisions, even as his colleagues staked out arguments on both sides of the policy divide.
“Near-term risks to inflation are tilted to the upside and risks to employment to the downside – a challenging situation,” Powell said in remarks that stuck close to language used last week when the central bank cut its benchmark rate a quarter of a percentage point. The current rate, in the range of 4% to 4.25%, is still considered high enough to lean against price pressures in the economy, but “leaves us well positioned to respond to potential economic developments. Our policy is not on a preset course,” Powell said.
While that phrase is something of a mantra for central bankers, it has taken on particular resonance now, with strong opinions emerging on both side of the policy divide.
In remarks before Powell spoke on Tuesday, Fed Vice Chair for Supervision Michelle Bowman said the Fed could downplay concerns about persistent inflation and needed to make a commitment to cut rates in support of a job market she worries may be about to rupture.
“It’s a lot easier to support the labor market by lowering the federal funds rate than it is to fix it after it’s broken,” Bowman said. While the jobless rate at 4.3% is around estimates of full employment, Bowman said the slowdown in hiring is such that “it is time for the Committee to act decisively and proactively to address decreasing labor market dynamism and emerging signs of fragility” with steady rate cuts.
“If demand conditions do not improve, businesses may need to begin to lay off workers,” she said.
By contrast, regional Fed Reserve Bank presidents who spoke this week recommended caution about further rate cuts while inflation remained nearly a percentage point above the central bank’s target and the impact of the administration’s tariffs and other policies is still being assessed.
“With inflation having been over the target for four and a half years in a row and rising, I think we need to be a little careful with getting overly upfront aggressive,” Chicago Fed President Austan Goolsbee said on CNBC on Tuesday.
The Fed next meets on October 28-29, with investors assigning a high probability that officials will cut interest rates again, consistent with projections issued after last week’s meeting showing quarter-point cuts anticipated in October and December.
But opinion remains divided, with Powell for now steering a noncommittal path with further data to come on jobs and inflation.
While job market concerns are now competing more with high inflation in the minds of Fed officials, Powell said there was no “risk-free path” for the Fed to follow at the moment.
In comments prepared for delivery to Rhode Island’s Greater Providence Chamber of Commerce, Powell offered little indication of when he thinks the Fed might next cut interest rates, noting that there was danger to both cutting too fast and risking a new surge of inflation, or reducing rates too slowly and possibly causing unemployment to rise unnecessarily.
“If we ease too aggressively, we could leave the inflation job unfinished and need to reverse course later to fully restore two percent inflation. If we maintain restrictive policy too long, the labor market could soften unnecessarily,” Powell said.
Powell agreed there is reason to be concerned about the job market, with recent job growth averaging around 25,000 for the past three months “running below the ‘breakeven’ rate needed to hold the unemployment rate constant.”
But other job indicators were “broadly stable,” he said.
Inflation meanwhile remained “somewhat elevated,” with tariffs driving goods prices higher. While that impact will likely fade, he said, it will take time, and it was up to the Fed to “make sure that this one-time increase in prices does not become an ongoing inflation problem.”
Powell spoke at a time when the Fed is under intense pressure from the Trump administration to cut rates, with an effort by the president to fire Governor Lisa Cook pending before the Supreme Court, and administration officials challenging the wisdom of Fed emergency programs during the pandemic and during the 2007 to 2009 economic crisis.
Powell said those efforts, under extraordinary circumstances, likely helped the economy avoid far worse outcomes.
“These two back-to-back world historical crises have left behind scars that will be with us for a long time. In democracies around the world, public trust in economic and political institutions has been challenged. Those of us who are in public service at this time need to focus tightly on carrying out our critical missions to the best of our ability in the midst of stormy seas and powerful crosswinds,” said Powell, whose term as chair ends in May, with Trump already mulling his successor.
“Despite these two unique, extremely large shocks, the US economy has performed as well or better than other large, advanced economies around the world.” — Reuters
DPWH asks AMLC to freeze assets of contractors, personalities in flood control scandal
The Department of Public Works and Highways (DPWH) has asked the Anti-Money Laundering Council (AMLC) to freeze the assets of contractors and agency officials linked to anomalies in flood control projects.
Public Works and Highways Secretary Vivencio “Vince” B. Dizon said during a media briefing on Wednesday that the agency requested the AMLC to freeze the air assets tied to Rep. Elizaldy S. Co of the Ako Bicol party-list and Hi-Tone Construction and Development Corp., worth nearly P5 billion.
Hi-Tone Construction and Development Corp., founded by Rep. Co’s brother Christopher S. Co., was among 15 contractors identified as cornering more than P100 billion worth of flood control projects between July 2022 and May 2025.
Mr. Dizon added that the agency also requested the AMLC to freeze nearly P474.48 million worth of vehicles registered under the names of DPWH officials, employees, and private contractors.
The DPWH will also issue show-cause orders against 10 regional directors and engineers for reported lavish lifestyle, tampering of official documents, and involvement in substandard projects.
The move follows President Ferdinand R. Marcos, Jr.’s State of the Nation Address on July 28, in which he directed the DPWH to submit a full list of projects from the past three years and ordered an investigation into flood control projects.– Ashley Erika O. Jose
Trump tells UN that climate change is ‘greatest con job’ globally
President Donald Trump dismissed climate change as “the greatest con job” in the world during his address to the United Nations General Assembly on Tuesday, doubling down on his skepticism of global environmental initiatives and multilateral institutions.
Scientists say climate change is real, mostly caused by humans, and getting worse. They point to rising temperatures, stronger storms, and melting ice as clear signs. Groups like the UN have warned that waiting too long to act could cause serious damage to the planet and people.
Trump spoke for several minutes out of his near-hour speech on climate change during his address to the United Nations General Assembly, criticizing the European Union for reducing its carbon footprint, which he claimed has taken a toll on its economy, and warning countries that have invested heavily in renewable energy that their economies will suffer.
“It’s the greatest con job ever perpetrated on the world, in my opinion,” Trump told the General Assembly. “All of these predictions made by the United Nations and many others, often for bad reasons, were wrong.”
He added: “They were made by stupid people that have cost their country’s fortunes and given those same countries no chance for success.”
SECOND US WITHDRAWAL FROM CLIMATE PACT
Once Trump took office in January, the US submitted its withdrawal for a second time from the Paris Agreement, a 2015 pact agreed by 195 countries to strive to keep global temperatures from rising beyond 1.5 C, leaving it in the company of only Yemen, Iran and Libya.
His administration is carrying out an “energy dominance” agenda that focuses on producing and exporting oil, gas and coal, as well as nuclear, while sidelining renewable energy, which has become cost-competitive.
“We have the most oil of any nation anywhere, oil and gas in the world, and if you add coal, we have the most of any nation in the world,” he said.
His remarks come a day before UN Secretary-General Antonio Guterres hosts a climate summit at the UN that will focus on countries’ new climate action plans.
Guterres has tried to keep the world focused on continuing a global transition away from fossil fuels towards clean energy.
“Just follow the money,” Guterres said in June, adding that $2 trillion flowed into clean energy last year, $800 billion more than fossil fuels and up almost 70% in a decade. — Reuters
TikTok collected sensitive data on Canadian children, investigation finds
OTTAWA – TikTok has agreed to improve its measures to keep children off its website and app after a Canadian investigation found its efforts to block children and protect personal information were inadequate, Canadian privacy officials said on Tuesday.
The joint investigation into TikTok by Canada’s privacy commissioner Philippe Dufresne and privacy protection authorities in the provinces of Quebec, British Columbia, and Alberta found that hundreds of thousands of Canadian children accessed TikTok each year despite the company stating its platform is not intended for people under the age of 13.
The investigation also found that TikTok had collected sensitive personal information from “a large number” of Canadian children and used it for online marketing and content targeting.
“TikTok collects vast amounts of personal information about its users, including children. This data is being used to target the content and ads that users see, which can have harmful impacts, particularly on youth,” Dufresne said at a press conference announcing the investigation’s results.
In response to the investigation, TikTok agreed to enhance age-assurance methods to keep underage users off the platform and to improve its communications so that users, particularly younger ones, understand how their data could be used, Dufresne said.
The company also agreed to changes throughout the course of the investigation, according to the privacy commissioners. They include preventing advertisers from targeting users under 18, except based on general categories such as language and approximate location, and expanding the privacy information available to Canadian users.
A TikTok spokesperson said the company is pleased the commissioners agreed to a number of its proposals “to further strengthen” its platform for Canadians.
“While we disagree with some of the findings, we remain committed to maintaining strong transparency and privacy practices,” the spokesperson said in a statement.
The spokesperson did not specify which findings TikTok disagreed with.
Canada joins governments and regulators around the world that have been scrutinizing TikTok because of concerns China could use the app to harvest users’ data or advance its interests. TikTok is owned by Chinese company ByteDance Ltd, although U.S. President Donald Trump is working with China on a deal requiring TikTok’s American assets to be transferred to U.S. owners.
The European Union’s two biggest policy-making institutions have banned TikTok from staff phones, while the U.S. Senate in December passed a bill to bar federal employees from using the app on government-owned devices.
Ottawa began investigating TikTok’s plan to invest and expand its business in Canada in 2023. The review led to a government order that required the firm to end its Canadian operations because of national security concerns, which TikTok is challenging. — Reuters
Trump tells world leaders their countries are ‘going to hell’ in combative UN speech
UNITED NATIONS – US President Donald Trump argued for lower levels of global migration and urged a turn away from climate change policies on Tuesday in a combative, wide-ranging speech to the UN General Assembly that leveled scathing criticism of world leaders.
The 56-minute speech was a rebuke to the world body and a return to form for Trump, who routinely bashed the UN during his first term as president. Leaders gave him polite applause when he exited the chamber.
He rejected moves by allies to endorse a Palestinian state amid Israel’s latest Gaza offensive and urged European nations to adopt the same set of economic measures he is proposing against Russia to force an end to the war in Ukraine.
Much of his speech was dominated by two of his biggest grievances: immigration and climate change.
Trump offered his US immigration crackdown as a case study for what other world leaders should do to curb mass migration that he says is altering the fabric of nations. Human rights advocates argue the migrants are seeking better lives.
“I’m really good at this stuff,” Trump said. “Your countries are going to hell.”
Trump, who met last week with Britain’s environmentally conscious King Charles at Windsor Castle, called climate change a “con job” and urged a return to a greater reliance on fossil fuels. Scientists say climate change caused by humans is real.
“Immigration and their suicidal energy ideas will be the death of Western Europe,” Trump said.
Trump’s administration plans to call for sharply narrowing the right to asylum at the United Nations later this month, Reuters reported last week, as it seeks to undo the post-World War Two framework around humanitarian protection.
Trump sprinkled into his speech a litany of false and misleading statements, such as that London Mayor Sadiq Khan wants to impose “sharia law” on London and that “inflation has been defeated” in the United States six days after the Federal Reserve said inflation has gone up.
CRITICISM FOR ALLIES, POSSIBLE TARIFFS ON RUSSIA
European powers have spent months trying to stabilize their relationship with the US leader with a focus on winning US support to end the war in Ukraine. At a NATO summit in June, Trump and European leaders lavished each other with praise.
But in Tuesday’s speech, Trump mocked NATO allies for not shutting down purchases of Russian oil and said he would impose strong economic measures against Moscow.
“They’re funding the war against themselves. Who the hell ever heard of that one? In the event that Russia is not ready to make a deal to end the war, then the United States is fully prepared to impose a very strong round of powerful tariffs,” he said.
“But for those tariffs to be effective, European nations, all of you are gathered here right now, would have to join us in adopting the exact same measures.”
He did not detail the measures, but he has been considering a package that includes sanctions against countries that do business with Russia, like India and China. The main buyers of Russian oil in Europe are Hungary, Slovakia and Turkey.
Trump later held talks with Ukrainian President Volodymyr Zelenskiy, who pressed for more US support to resist Russian advances. Trump, asked by reporters if NATO countries should shoot down Russian aircraft if they enter their airspace, said, “Yes, I do.”
On the Israel-Palestinian conflict, Trump rejected efforts by world leaders to embrace a Palestinian state, a move that faces fierce resistance from Israel.
“The rewards would be too great for Hamas terrorists, for their atrocities,” he said, repeating his call for the return of hostages taken by the Palestinian militant group.
Trump said the United States wants a ceasefire-for-hostages deal that would see the return of all remaining hostages, alive and dead.
“We have to stop the war in Gaza immediately. We have to immediately negotiate peace,” he said.
He was to discuss the future of Gaza during afternoon talks with several Gulf leaders.
Trump, who has cast himself as a peacemaker in a bid to win the Nobel Peace Prize, complained that the United Nations did not support his efforts to end conflicts around the world.
He added to his complaints with personal grievances about the UN infrastructure, saying he and first lady Melania Trump were briefly marooned on a malfunctioning UN escalator and that his teleprompter was not initially working.
“These are the two things I got from the United Nations – a bad escalator and a bad teleprompter,” Trump said, noting that Melania Trump nearly fell when the escalator stopped abruptly. — Reuters
Engineering for impact: Artelia’s role in shaping the Philippine industry and energy sectors
Artelia Philippines is redefining engineering excellence across industries, emerging as the trusted partner for transformative infrastructure solutions in the country. With a proven track record of delivering high-impact projects, Artelia is actively participating in shaping the future of industry, retail, renewable energy and infrastructure in the Philippines.
As a subsidiary of the global Artelia Group headquartered in France, Artelia Philippines brings international expertise and innovation to local projects, reinforcing its commitment to sustainable and impactful engineering solutions.
Driving Sustainability in Retail
Artelia Philippines is a key strategic partner for Shell Philippines, delivering multi-year facilities management and EPCM services across more than 500 sites nationwide. The partnership supports Shell’s sustainability agenda through initiatives like the rollout of electric vehicle (EV) charging stations and green infrastructure upgrades, demonstrating Artelia’s commitment to sustainable engineering solutions in the retail sector.
Powering Renewable Energy Initiatives
Furthering its dedication to clean energy, Artelia is the Owner’s Engineer and detailed design lead for a 4.6-MW Mini Hydropower Plant in Nueva Ecija. Once operational, this plant will provide clean, renewable energy to the province, helping drive the Philippines’ transition to sustainable power solutions and solidifying Artelia’s role in the renewable energy landscape.
Setting the Benchmark in Environmental Impact and Sustainability
Artelia is committed to advancing sustainable infrastructure through comprehensive environmental initiatives. A prime example is the successful acquisition of the Environmental Compliance Certificate (ECC) for the 440-MWp/337-MWac Ground Mounted Solar PV Project in the province of Isabela. From conducting in-depth Environmental Impact Assessments to Human Rights Assessment Reports, Artelia is not only ensuring regulatory compliance but also fostering sustainable development practices that protect local ecosystems and communities.
Pioneering Industry Solutions
In the industry sector, Artelia offers flexible, client-centric solutions that go beyond sustainability. Artelia Philippines completed a fire protection system and mixer equipment upgrade for a multinational manufacturer, ensuring enhanced safety and compliance with international standards. This project not only supports the client’s operational needs but also demonstrates Artelia’s ability to tailor its engineering solutions to various industries and challenges, delivering results that scale operations sustainably.
Infrastructure isn’t just about buildings and roads — it’s about the future of the Philippines. It’s the airports that open doors, the bridges that connect, and the public transit systems that move millions. Artelia Philippines is shaping that future through projects that prioritize sustainability, innovation, and transformative impact across critical sectors.
Learn more about how Artelia is engineering for impact in the Philippines. Visit us at www.ph.arteliagroup.com. For inquiries, contact us at contact.philippines@arteliagroup.com.
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Indonesia, EU seal trade deal, hope to offset Trump tariffs
NUSA DUA, Indonesia – Indonesia and the European Union concluded a free trade agreement on Tuesday after nine years of talks, with both aiming to boost exports and investment and to offset the impact of US President Donald Trump’s tariffs.
Both sides will remove import duties on more than 90% of products, most of them as soon as the deal enters force, with the rest, including Indonesia’s 50% duty on EU cars, phased out over five years.
Indonesia says it expects bilateral trade, worth $30.1 billion for goods in 2024, to double in the first five years.
TRUMP PROVIDES SPUR TO TRADE DEAL
Since Trump’s re-election last November, the EU has gone into overdrive to forge new trade alliances, including with the South American bloc Mercosur and Mexico and also accelerating negotiations with India.
The 27-nation EU hopes these alliances will offset the impact of Trump’s tariffs, as well as reducing dependency on China, particularly for minerals required for its green transition.
Indonesian exports are also subject to a broad 19% U.S. tariff.
The EU says its exporters will be spared 600 million euros ($707.4 million) of Indonesian duties and envisages selling more chemicals, machinery, automobiles and food products, notably milk powder and cheeses.
Indonesia expects a boost to its exports of palm oil, coffee, textile and clothing and other products, and aims for the pact to enter force by January 1, 2027.
At that juncture Indonesia, a vast archipelago with more than 284 million people, is set to become an upper-middle-income country and so lose access to the preferential duties the EU grants to developing countries.
The agreement in the coming months will need to undergo legal checks and be translated into the EU’s official languages. EU governments and the European Parliament will then need to give their formal consent to the deal.
Indonesia’s Coordinating Minister for Economic Affairs Airlangga Hartarto said he looked forward to closer supply chains, including for critical minerals, renewable energies, innovation and investment.
Indonesia is in talks with EU automakers on partnerships in battery and electric vehicle production in the Southeast Asian country, he told reporters.
EU EYES IMPROVED ACCESS TO KEY MINERALS
EU Trade Commissioner Maros Sefcovic, speaking in Bali, said the agreement would bolster investment into Indonesia by European companies and improve the bloc’s access to minerals critical for the bloc’s clean tech and steel industries. These include nickel, copper, bauxite and tin.
The Chairman of the Indonesian Palm Oil Association (GAPKI), Eddy Martono, said the deal would remove tariffs on his sector’s exports to the EU, a major buyer of palm oil.
However, non-tariff barriers, including the EU Deforestation Regulation (EUDR), remain a hurdle for the industry, he said in a text message to Reuters.
Indonesia is the world’s biggest palm oil producer and the EUDR, which the EU is set to delay by another year, requires its growers to provide documentation proving shipments did not come from areas deforested after 2020.
“There is still homework to be done, namely the EUDR, which must also be resolved immediately because it will be implemented later this year,” he said, adding this risked reducing the effectiveness of the trade agreement. — Reuters
IT-BPM industry still bullish on growth
THE PHILIPPINE information technology and business process management (IT-BPM) industry is still bullish on growth, as it expects to generate $42 billion in export revenues and increase headcount to 1.97 million in 2026, an industry group said.
The Philippines is also aiming to become the next hub for global capability centers (GCC), as it has seen an uptick in interest from multinational companies, the group added.
IT & Business Process Outsourcing Association of the Philippines (IBPAP) President and Chief Executive Officer Jonathan R. Madrid said the industry has so far created 450,000 new jobs and $10.5 billion in revenue since the creation of the industry roadmap in 2022.
“Now, for 2025, that includes 80,000 new jobs and $2 billion in incremental revenue. That is a growth of 4% and 5.3%, respectively,” he said at the International IT-BPM Summit on Tuesday. “By 2026, we project to reach $42 billion in revenue and close to a total of two million jobs for Filipinos.”
The expected jobs and revenues for 2026 are aligned with the baseline projections indicated in the IT-BPM Roadmap 2028.
Mr. Madrid said the industry’s growth will still be driven by core segments — banking, financial services, and healthcare.
While the Philippines remains strong in contact centers, he noted faster growth coming from GCCs. “(There’s) a slightly higher growth rate from GCCs. Coming from a lower base, you tend to see more growth from that sector,” he said.
GCCs are offshore units established by multinational corporations to provide specialized services such as finance, IT and customer support to their global operations.
Mr. Madrid said he sees increased interest in setting up GCCs in the Philippines from prospective clients in the US, Australia and Europe.
Globally, GCCs are reshaping the IT-BPM industry, with its market expected to grow to $155 billion by 2027.
To date, there are 170 GCCs in the Philippines, growing by around 10 each year, but India continues to dominate with its 2,000 GCCs.
“We know that India dominates as the world’s GCC hub, showing how GCCs have evolved. They are no longer cost centers but strategic engines of innovation and transformation,” Mr. Madrid said.
“I think the Philippines should aspire to do the same. We have the talent, we have the scale, the cost efficiency, and the ecosystem maturity to become the next global GCC hub,” he added.
LEGISLATION NEEDED
IBPAP Chief Operating Officer Celeste B. Ilagan said more needs to be done on the policy front to support the growth of GCCs in the Philippines.
“GCCs have different needs compared with the traditional BPM providers,” she said, adding that the group wants Congress to pass legislation to help attract more GCCs into the country.
In particular, she said that the industry needs a law that is similar to the Regional Operating Headquarters (ROHQ) law. However, this move was “abandoned” in favor of the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act, she added.
“We know that other countries have this international business services law that they are already implementing so that they can get more GCCs to their country. So, we are trying to work along those lines as well,” she added.
The ROHQ Law, or Republic Act No. 8756, provides incentives to multinational companies establishing ROHQs and area headquarters in the country.
Under the law, companies that do not derive income from the country are not subject to income tax, while ROHQs and area headquarters are exempt from value-added tax, local taxes, and import tax on training materials, equipment, and motor vehicles.
“We are not looking at reforming the CREATE Act. It is possibly a new piece of legislation that will be similar to the previous ROHQ law. It really was targeted to attract GCCs to the country,” she said.
“GCCs are more ‘cost-plus.’ They are cost centers, and therefore, a different set of incentives will be more important to them. That is what we are looking to do in the next few months,” she added.
TOO BIG TO FAIL
Meanwhile, Mr. Madrid said the IT-BPM industry, which makes up at least 8% of the economy, faces the challenge of remaining “indispensable.”
“The Philippine IT-BPM industry is too big to fail. But just as important, it is too important not to evolve. We cannot afford complacency. We cannot allow the sunset industry narrative to take root. Because we’re growing faster than the global market,” he said.
“And the world continues to see the Philippines as a trusted, indispensable partner. So, our challenge is not survival. Our challenge is to remain indispensable by strengthening our value,” he added.
Mr. Madrid said only 12% of Philippine companies report a high level of maturity, while 70% are expected to reach a high level of maturity by 2028.
“So, the winners will not be those companies chasing AI (artificial intelligence) demos. The winners will be those who rewire workflow, integrate with AI, but with a human at the core, and close the skills gaps in cloud, cybersecurity, and automation,” he said.
“Now, this is the reason why IBPAP is calling for a national AI strategy, a strategy that ensures that AI adoption is not fragmented and is not left to chance. But it is guided by a coherent national agenda,” he added.
The AI strategy, he said, should build digital and AI skills at scale, establish governance and trust frameworks, and enable industry-wide transformation. — Justine Irish D. Tabile
House opens plenary debates on P6.79-trillion budget bill
CONGRESSMEN on Tuesday kicked off plenary debates on the proposed P6.793-trillion national budget for 2026, against the backdrop of ongoing investigations into anomalous flood control projects and anti-corruption protests.
The House Committee on Appropriations approved House Bill No. 4058 or the General Appropriations bill, with 54 voting in favor and six against. Four lawmakers abstained.
“When citizens witness budgets that do not match their realities, when funds fail to reach those who need them most, confidence in government collapses,” Appropriations Committee chairperson and Nueva Ecija Rep. Mikaela Angela B. Suansing said during her sponsorship speech.
The budget bill reached the House floor after 37 days of committee hearings, with deliberations marked by reforms aimed at enhancing transparency and restoring public trust in the budget process.
Ms. Suansing has abolished the opaque “small committee” consisting of select congressmen that previously consolidated budget amendments, replacing it with a sub-committee.
The House sub-committee on Budget Amendments Review (BARC) had reallocated about P255-billion flood control funds meant for the Department of Public Works and Highways (DPWH) to the Education, Health and Social Welfare departments.
“That P255 billion has been redirected to urgent needs — education, healthcare, agriculture and food security,” said Ms. Suansing.
The budget panel added P26.5 billion to the Education department’s budget, with P22.5 billion earmarked for classroom construction and P1.88 billion for school feeding programs, among others.
Ms. Suansing said the higher budget could fund the construction of 20,000 classrooms nationwide.
“Education stands as the single-largest priority in the fiscal year 2026 budget, with over P1.17 trillion, or 17.22% of the national budget,” she said, noting the proposed spending level is “the clearest sign that we are investing in the future of our children.”
Lawmakers also hiked the Health department’s budget by P29.28 billion, with P26.73 billion going towards the agency’s medical assistance program for poor patients and P2.4 billion to fund the construction of key government hospitals nationwide.
Around 1.27 million Filipinos could benefit from the increased budget for the Health department’s medical assistance for indigent patients, Ms. Suansing said.
About P60 billion was also channeled to the Philippine Health Insurance Corp. (PhilHealth), serving as the government’s subsidy for the state health insurer.
Ms. Suansing said the additional funds could expand the government’s zero-balance billing policy in public hospitals but warned the health insurer to not use these funds for “income-generating initiatives.”
Congressmen added P35.91 billion to the budget of the Social Welfare department. Broken down, P32.06 billion will go to the emergency cash aid program for indigent Filipinos and P3 billion for its sustainable livelihood program.
Lawmakers also rechanneled P39.36 billion to the Agriculture department’s proposed budget, including P8.89 billion for farm-to-market roads, P8.69 billion for post-harvest facilities and P7 billion for P7,000 cash aid to farmers and fisherfolk.
The decision to reallocate the entire P255 billion originally earmarked for flood control projects is a “knee-jerk reaction” that could delay the implementation of critical flood infrastructure in Metro Manila, Senior Deputy Minority Leader and Caloocan Rep. Edgar R. Erice told lawmakers, explaining his vote against the budget bill at the committee level.
“The removal of the P255 billion from the Public Works department is a knee-jerk reaction that will forego well-studied projects that have been awaited by our people,” he said.
Meanwhile, civil society groups on Tuesday accused the House sub-committee of budget maneuvering, alleging it convened without prior notice to reallocate billions of pesos in public funds in the budget.
“What happened yesterday (on Monday) is not an oversight. It is betrayal,” a joint statement by civil organizations, including IBON Foundation GoodGovPH and FOI Youth Initiative stated.
The reallocation of DPWH funds follows allegations of irregularities in flood control projects, including substandard, incomplete or nonexistent infrastructure.
“The BARC, meant to scrutinize realignments, has become a rubber stamp,” the civic groups said. “Amendments are texted to Congress members at the last minute, realignments are rushed and the committee proceeds to plenary deliberations without giving anyone adequate time to study the full picture.”
Ms. Suansing said lawmakers have been “very, very transparent in every step of the way.”
Lawmakers are expected to approve the budget bill on second reading in October, and by final reading after sessions resume in November.
The House plans to deliberate on the proposed national budget until Oct. 1, with the remaining session days until Oct. 10 reserved for finalizing amendments, according to a copy of the chamber’s schedule shared with reporters. — Kenneth Christiane L. Basilio
Converge aims to play key role in PHL’s digital transformation
CONVERGE ICT Solutions, Inc. is positioning itself at the forefront of the Philippines’ digital transformation, as it seeks to drive nationwide connectivity to address the surging demand for reliable internet.
“It is about building the digital infrastructure and bringing connectivity. We see Converge playing a role in that endeavor… We’ve been investing heavily in our nationwide backbone in bringing connectivity to the different islands across the Philippines,” Converge Chief Operations Officer Benjamin B. Azada told BusinessWorld Editor-in-Chief Cathy Rose A. Garcia during an episode of BusinessWorld One-on-One online interview series.
Converge, a leading fiber internet provider, saw a surge in demand during the pandemic driven by the shift to remote work, online learning, and digital services.
“Everyone realized that they had to get the business done… that really drove a boom in broadband connectivity. I think since then, there’s been a fundamental shift in how people perceive broadband. It’s no longer a luxury, it’s a utility,” he said.
The Philippines is accelerating efforts to expand internet access by strengthening digital infrastructure, as part of efforts to promote digital inclusion.
Without connectivity, there would be no digital transformation, Mr. Azada said.
He said Converge is heavily investing in a fiber backbone to bring connectivity to other islands in the country.
“We started off, not in Metro Manila, but in Pampanga and progressively we expanded our network to the whole of Luzon and then a few years ago to Visayas and Mindanao and we’re continuing to invest in that,” he said.
“I think that’s going to be a fundamental enabler not just for homes… but also for businesses as they seek to [digitalize] their operations.”
GEOGRAPHICAL CHALLENGES
The Philippines has 97.5 million individuals using the internet at the start of 2025, representing online penetration at 83.8% of the total population, according to a report by DataReportal.
In the August report by Ookla, a global network intelligence and connectivity insights firm, the Philippines ranked 66th globally from 70th last year for mobile speeds and 54th for fixed broadband speeds.
Although there is an improvement in the overall connectivity in the Philippines, the country’s geographical layout hinders the rollout of digital infrastructure, Mr. Azada said.
“We are an archipelago. [It is] not as easy to roll out broadband, to roll out fiber across the country than it would be in a country in the mainland Southeast Asia like Thailand, Malaysia, or Vietnam because we need to lay undersea cables,” he said.
The company has accelerated the rollout of both its terrestrial backbone and submarine cable networks, allowing it to connect different towns and cities.
“Once we were able to light up those segments, we were able to start selling internet to all those communities,” Mr. Azada said, referring to Converge’s Bifrost Cable system.
In August, the company announced that its Bifrost Cable System officially landed in the Philippines via Davao. This Trans-Pacific cable system connects Singapore, Indonesia, the Philippines, and the United States. It enables ultra-low latency and high-capacity bandwidth amid the growing digital economy.
Once the 20,000-kilometer (km) Bifrost Cable System is fully operational, Converge will be the exclusive Philippine partner operating the international cable landing station in Davao and will help position the country as a digital hub in Asia.
“We have, I think, a plan to roll out another 500,000 ports very soon, mostly in Visayas and Mindanao because this is the area where I think it’s still under-penetrated,” Mr. Azada said.
He said Converge hopes to achieve this sooner, while also expanding its network in the northern and southern part of the Philippines.
‘TECHCO’
Converge is also making a bold move to transition from a telco to a “techco” or technology company amid an ever-changing digital landscape. In line with this, the company unveiled a new corporate identity and redesigned logo to reflect its transformation and forward trajectory.
“It is also signaling to the world, to the market that we’re here, not just to provide connectivity, but to help even more going up the value chain in helping companies to digitize and to bring human-centric solutions to families and to homes,” Mr. Azada said.
“We want to be the foremost technology leader that empowers, that powers digital journeys of tomorrow, uplifting the human spirit and moving the country forward.”
Competition is expected to heat up in the telecommunications industry with the Konektadong Pinoy Act, or the Open Access in Data Transmission Act, which lapsed into law last month.
“I think Konektadong Pinoy is very noble in its aims because it’s about the customer. It’s about the Filipinos. And hopefully, if it’s implemented right, it will expand the reach of our infrastructure and the infrastructure of all the players,” Mr. Azada said.
The Converge executive said the law may encourage more investments in the sector, enabling the company to expand its network and reach geographically isolated and disadvantaged areas.
“The one thing I like about Konektadong Pinoy is that it encourages sharing of infrastructure. That will help us avoid duplicate investments… We see it more as an opportunity. We are hoping that the rules of the game are clear and fair,” he said. — Ashley Erika O. Jose
Catch BusinessWorld One-on-One online interview series “Reconfiguring Business Amid Megatrends” on BusinessWorld’s Facebook page and YouTube channel. The interview with Converge Chief Operations Officer Benjamin B. Azada will be streamed at 11 a.m., Sept. 24 (Wednesday).