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Xi meets Congress leaders, wraps up state visit

By Arjay L. Balinbin and
Camille A. Aguinaldo, Reporters
CHINESE President Xi Jinping on Wednesday wrapped up his two-day state visit to the Philippines, laying down to leaders of both chambers of the Philippine Congress his plans for the country, including creating more jobs for Filipinos, and a reaffirmation of stronger friendship between the Philippines and China.
President Rodrigo R. Duterte and Mr. Xi witnessed the exchange of 29 signed deals at Malacañang on Tuesday, most of which were memoranda of understanding (MoUs) covering a wide range of development initiatives on energy, infrastructure, agriculture, education, trade, monetary, and humanitarian assistance, among others.
‘EXPLORATORY DOCUMENTS’
Analysts sought for comment on Wednesday said these MoUs are mere “concepts” for now.
“The MoUs are just exploratory documents, but what is worth waiting for is how Congress will respond once these become agreements. We have to remember that all these agreements will not be binding unless Congress authorizes them. The role of Congress is to reaffirm whether all these agreements signed by the President are within the parameters of our Constitution,” University of Santo Tomas political science professor Marlon M. Villarin said in a phone interview.
For his part, international studies professor Renato C. de Castro of De La Salle University said these MoUs are similar to what were signed during Mr. Duterte’s first visit in Beijing in 2016 when he first “announced the country’s pivot to China.”
“Two years later, nothing much has been accomplished,” he said in a phone interview, adding that only a fraction of China’s loan pledges worth US$24 billion was released.
Ateneo Policy Center research fellow Michael Henry Ll. Yusingco said the “Chinese won’t even see the MoUs as merely a preliminary step.”
“I expect the signing of these MoUs will be packaged to them as essentially a done deal. And they will no longer be bothered to think otherwise,” he said in an email.
For his part, Union Bank of the Philippines chief economist Ruben Carlo O. Asuncion said the signing of the MoUs was “really tricky.”
“At least, there is some sort of paper that all parties can go back to. But, that’s really all there is to it. It’s very important that the Philippines be aware of what these supposed agreements really mean and how it can take advantage in the future,” he also said in an email.
Mr. Asuncion added that the visit actually “opens up economic opportunities for the country,” adding that “China is going to be the biggest economic power in the world in the next few years.”
“In terms of strategic sense, the Philippines is in the best position to be on the good side of the future’s biggest economy,” he also said.
Mr. de Castro said, “There is a degree of reluctance [on both sides] and there might be a bureaucratic inertia, and I think they are still having issues regarding the joint development on oil and gas. China wants the joint development but the administration is still wary, so they just settled for an MoU.”
For his part, Mr. Villarin said: “The signing of the MoUs [on oil and gas development] on the part of China is a clear admission and recognition of our sovereign rights or ownership over those contested islands and islets [in the West Philippine Sea].”
Presidential Spokesperson Salvador S. Panelo said that copies of the MoU on oil and gas development and other matters could not be released as of yesterday because the Department of Foreign Affairs (DFA), “which is the Office of Primary Responsibility during the state visit of Chinese President Xi Jinping to the country, [was] still preoccupied with activities on Day 2 of the Chinese leader’s visit.”
Mr. Yusingco for his part said, “Filipinos should not see these MoUs as the final product. We have to push the Duterte administration to be more transparent about their dealings with China, especially matters covered by the MoUs. I expect the DFA to show us the details of the proposed agreement, and listen to what we have to say…. Ramming these agreements on us will be a big mistake.”
The challenge now, Mr. Yusingco added, “is to bring this issue onto the campaign discourse.”
“We must take Senatorial and Congressional candidates to task about our country’s pivot to China; we must pressure them to reveal their stand on these MoUs and with the broader China policy,” he also said.
‘REFERENDUM’
Citing the latest Social Weather Stations (SWS) survey report that said 84% of Filipinos reject the government’s “inaction” on the South China Sea disputes, Mr. Villarin said this issue, which is “both political and economic,” can be a “referendum” whether it will have an impact on the 2019 midterm elections.
Mr. Xi’s visit, Mr. Villarin added, “was a show of economic strength through China’s strong political and economic relationship with the Philippines.”
“They were straight to the business. Their gesture was a show of force, how economically strong and how politically influential they are when it comes to their relations with their neighboring countries,” he said. “The visit shows a good indicator on the diplomacy of the Philippines; because regardless of our economic, political, and social differences, both heads of states are still open to political and economic dialogues.”
Senate President Vicente C. Sotto III said in his statement following his meeting with Mr. Xi that “there is certainly much more that binds the Philippines and China together than what may divide the two, and it is in the spirit of friendship that the Philippine delegation welcomed His Excellency Xi to the Philippines.”
The Senate leader also said in his statement that President Xi “laid down to the members of Congress his future plans for Filipinos, which include increasing job opportunities for Filipino teachers and nurses; multiplying mutual visits from 1 Million to 2 Million; and opening up free trade to the Philippines, among others.”
For her part, House Speaker Gloria M. Arroyo said: “On the part of the House of Representatives, to help maximize the benefits of increased joint activity with China, our legislative agenda is focused on areas that are essential to economic activity such as generating fiscal resources to improve our country’s infrastructures. Going forward, implementation will now be the key to maximizing the benefits of growing economic trade and investment relations between our two countries. In this area, the traditional oversight function of the legislative will be useful in encouraging our implementers from the Executive Branch so that they can maintain focus and strive for maximum results in the shortest possible time.”
In the joint statement of the Philippines and China, both sides “agreed that the milestone visit of President Xi Jinping has contributed to the advancement of friendship and cooperation” between the two countries.
“President Xi Jinping appreciated the warm and friendly hospitality accorded to him and his delegation by President Duterte and the Philippine government, and extended an invitation to President Duterte to attend the second Belt and Road Forum for International Cooperation to be held in Beijing, China in April 2019. President Duterte accepted the invitation with pleasure.”

Faeldon takes oath as BuCor chief

NEW Bureau of Corrections (BuCor) Director General Nicanor E. Faeldon took his oath Thursday before Justice Secretary Menardo I. Guevarra and will formally assume his post next week.
“He will make a number of announcements about what he plans to do with the Bureau of Corrections in due time after the formal turnover of responsibilities which would probably happen by early next week,” Department of Justice (DoJ) spokesperson Markk L. Perete told reporters after the BuCor’s chief oathtaking. He added that Mr. Faeldon will also inspect the New Bilibid Prison.
Mr. Guevarra disclosed Mr. Faeldon’s appointment on Oct. 12 and President Rodrigo R. Duterte signed his appointment papers on Nov. 20.
Mr. Perete also said the justice secretary has briefed Mr. Faeldon about the management of BuCor.
Mr. Guevarra also discussed with Mr. Faeldon the possibility of transferring the facility of BuCor, citing congestion and security concerns.
“(F)rom what I understand, maximum facility would not be transferred but the others may be transferred to a different location,” Mr. Perete said.
Mr. Perete said the New Bilibid Prison has a holding capacity of 10,072 inmates but currently holds 27,071 prisoners or 170% more than the capacity. Nationwide, the overcapacity of BuCor facilities is at 30%.
Mr. Faeldon resigned as Bureau of Customs chief last August 2017 following the controversy over the P6.4 billion-worth of illegal drugs that entered the country in May 2017.
He was then appointed in December last year as deputy administrator III of the Office of Civil Defense. Vann Marlo M. Villegas

Trillanes files motion seeking travel abroad

SEN. ANTONIO F. Trillanes IV has asked the Makati City Regional Trial Court (RTC) Branch 150 to partially lift his travel ban due to his rebellion case to attend to various meetings and activities abroad.
In the motion for leave of court to travel abroad, Mr. Trillanes said he will travel to Spain, the Netherlands, and the United Kingdom from Dec. 11, 2018 to Jan. 12, 2019 “to perform his official duties” in various capacities abroad including a lecture at the Universiteit van Amsterdam on “Democracy and the Rule of Law in the Philippines.”
Mr. Trillanes will also travel to the United States on Jan. 27 to Feb. 10, 2019 to meet with various groups and organizations in California, Washington D.C. and Maryland.
“As shown by his past actions, particularly by the fact that he voluntarily surrendered and posted bail in the instant case immediately upon the issuance of the warrant of arrest in the case, as well as by the fact that he has always returned to the country as committed in the instances he was permitted by the Courts to travel abroad despite of the filing and dependency of the cases against him, herein former Accused is not at flight risk,” he stated.
Also included in Mr. Trillanes’s motion is the official permission to travel granted by Senate President Vicente C. Sotto III.
The prosecution was given until Nov. 28 to comment on the senator’s motion before its resolution by the court on Dec. 3.
On Sept. 25, Judge Elmo M. Alameda of Makati RTC Branch 150 granted the prosecution’s motion to issue a warrant of arrest and hold-departure order against Mr. Trillanes in connection with his rebellion case. The senator posted P200,000 bail that same day.
The prosecution has moved to issue an arrest warrant against Mr. Trillanes following President Rodrigo R. Duterte’s Proclamation No. 572 which voided his amnesty over his coup d’etat and rebellion cases in connection with the 2003 Oakwood Mutiny and 2007 Manila Peninsula Siege. According to the proclamation, Mr. Trillanes did not avail himself of amnesty, which was granted by then president Benigno S.C. Aquino III in 2010. The cases against Mr. Trillanes were subsequently dismissed the next year. — VMMV

Peso climbs to six-month high

THE PESO strengthened to a six-month high on Wednesday even as the greenback strengthened in the morning session due to a risk-off mode among investors.
The local unit ended the session yesterday at P52.35 versus the greenback, four centavos stronger than its P52.39 finish the previous day.
This was the peso’s best showing in nearly six months or since it ended at P52.195 per dollar last May 22.
The peso continued to trade within a wide range, opening the session weaker at P52.49 versus the dollar. It logged an intraday high at P52.35, which was also yesterday’s closing rate, while the session’s trough stood at P52.61 against the greenback.
Dollars traded declined slightly to $727.65 million from the $763.81 million that switched hands the previous day.
Foreign exchange traders interviewed yesterday said the peso strengthened as it tracked the dollar’s movement.
“The peso still continued the trend of recovery against the dollar,” a trader said in a phone interview yesterday.
“Initially, we saw bids coming up as I think the dollar moved higher against major currencies, but eventually in the afternoon session we saw the dollar being pulled down again.”
Reuters reported that the dollar traded firm against major currencies yesterday as investors flocked to safe haven currencies due to escalating concerns on global growth and the trade war between China and the United States.
“Initially, the dollar traded higher due to risk-off tone overnight, but as the market put the dollar on track of the weaker dollar, it continued to trade lower so it’s more on the dovish comments from the Fed (US Federal Reserve),” another trader said.
Last week, Federal Reserve Vice Chairman Richard Clarida acknowledged signs of slowing global growth, which may affect the US economy. He added that the US central bank is “close to being neutral” and that future policy tightening may be fewer in number.
“The peso showed continued strength due to wavering dollar demand as investors look for policy cues amid prevailing uncertainty from the Fed,” a third trader said.
For today, the first trader said the peso may trade between P52.30 and P52.50 versus the dollar, while the other traders gave a P52.25-P52.45 forecast range. — K.A.N. Vidal with Reuters

Stocks snap rally on negative market sentiment

By Arra B. Francia, Reporter
THE MAIN INDEX snapped its five-day winning streak on Wednesday, weighed down by the negative sentiment in Wall Street overnight due to lingering concerns on the United States’ trade war with China.
The bellwether Philippine Stock Exchange index (PSEi) slumped 0.51% or 37.49 points to 7,265.45 by closing bell yesterday. The broader all-shares index likewise dropped 0.6% or 26.70 points to 4,371.64.
“Seems like index wasn’t able to gather enough strength today to counter the negative sentiment from US markets dropping once again last night (recall how the index was able to power through yesterday to recover from its lows and even close in the green),” P2P Trade Online Sales Associate Gabriel Jose F. Perez said in an e-mail on Wednesday.
Regina Capital Development Corp. Managing Director Luis A. Limlingan noted that there have been lingering concerns over the previous sessions.
“One has been the sustainability of the high growth rate and corporate earnings of the world’s largest economy. Next is the impending tariffs that will hurt both US and China. Next is the impact of the rate hike. Finally is the stumbling price of oil, as the US has now become self sufficient,” Mr. Limlingan said in a mobile phone message.
US officials on Tuesday accused China of not changing its “unfair, unreasonable, and market-distorting practices.” The statement is seen to put further tension on US President Donald J. Trump and Chinese President Xi Jinping’s meeting at the G20 Summit in Argentina at the end of the month.
With this, the Dow Jones Industrial Average plunged 2.21% or 551.80 points to 24,465.64. The S&P 500 index shed 1.82% or 48.84 points to 2,641.89, while the Nasdaq Composite index retreated 1.7% or 119.65 points to 6,908.82.
Locally, only the industrials counter managed to eke out gains, adding 0.27% or 28.72 points to 10,665.83. The rest dropped, led by mining and oil which plummeted 5.03% or 437.16 points to 8,242.48. PXP Energy Corp. and Semirara Mining and Power Corp. dragged down the sub-index after falling by 14.87% and 3.85%, respectively.
Holding firms slipped 0.98% or 71.32 points to 7,153.65; services went down 0.8% or 11.35 points to 1,391.49; property dipped 0.53% or 18.83 points to 3,493.10; while financials was lower by 0.35% or 6.01 points to 1,704.82.
Some 902.68 million issues valued at P7.06 billion switched hands, higher than the previous session’s P6.92 billion. Decliners were about double the advancers, 127 to 64, while 48 names were unchanged.
Foreign investors went back to selling their holdings, recording net foreign outflows of P70.26 million against Tuesday’s net purchases of P526.01 million.
P2P Trade’s Mr. Perez noted that the PSEi may see “some reprieve” in the next session, given that Dow futures were up by 100 points yesterday afternoon.

Defense chief says unveiling of missiles on Xi’s arrival ‘coincidental’

DEFENSE Secretary Delfin N. Lorenzana said yesterday’s unveiling of the country’s first missile system was not intentionally scheduled to coincide with the visit of Chinese President Xi Jinping.
“Coincidental lang ‘yan (Just coincidental),” Mr. Lorenza told reporters during the live test firing activity of the Philippine missiles at the waters off Lamao Point, Bataan on Wednesday, Nov. 21.
“Walang balak tungkol du’n (There’s no plan on that). In fact, this was scheduled with the President long time ago, pero laging napo-postpone (but it was repeatedly postponed),” he said, adding that they simply took advantage of the good weather condition.
The Chinese leader made his first state visit in the country on Nov. 20-21 amid warming relations pursued by President Rodrigo R. Duterte despite the dispute over claims on the West Philippine Sea.
Mr. Lorenzana said the unveiling of Spike Extended Range missiles, which were acquired from Israel, only aims to show the improvement of the Navy.
“[It only shows] that our navy is improving, we are now at par with what’s happening in the neighborhood… kung makikita natin sa mga kapitbahay natin, tayo na lang nahuhuli talaga (If we look at our neighboring countries, we are left behind),” said the Defense chief.
Philippine Navy Flag Officer-in-Command Robert A. Empedrad, for his part, said they cannot use the new missiles and other defense weapons at the disputed West Philippine Sea because the corresponding carrier vessels are not big enough.
“We need big ships to be able to patrol the West Philippine Sea. But internally, if there is a threat to our wellbeing as a nation, we can use these… (like) when a foreign ship comes in (illegally),” said Mr. Empedrad, speaking in mixed Filipino and English.
He added, “We have a doctrine when to fire the missile because it’s P10 million worth. We cannot target a small boat with a missile worth P10 million. That would be a waste.” — Vince Angelo C. Ferreras

Tropical depression Samuel moving out without trail of destruction

NO MAJOR destruction was reported as tropical depression Samuel, which made two landfalls in the Visayas on Nov. 20 and 21, started to move out of the Philippine area. Weather bureau PAGASA, in its 5 p.m., Nov. 21 bulletin, said Samuel, moving with maximum winds of up to 45 kilometers per hour (km/h) near the center and gustiness of up to 60 km/h, was expected to be out by Thursday evening or early Friday. Typhoon warning signal #1 remained up yesterday in the following areas: Romblon; southern Occidental Mindoro; southern Oriental Mindoro; Palawan, including Calamian and Cuyo groups of islands; Guimaras, Iloilo, Capiz, Aklan, and Antique.

Regulated whale shark-watching policy put on hold

THE implementation of the new rules and regulations for whale shark-watching in Oslob, Cebu has been put on hold after local tourism workers and operators complained that the policy favors city-based tour guides. Cebu Vice Governor Agnes A. Magpale told reporters on Tuesday that she found the complaints “valid” and so she ordered that a “status quo” be maintained until further discussions are undertaken. In early Oct., following a consultative meeting, Oslob town stakeholders agreed to reduce the number of daily tourists who can go whale shark-watching to 800 from 1,000 as part of efforts to balance environmental protection with economic gains. Last week, however, Oslob Mayor Jose C. Tumulak, Jr. informed Cebu Governor Hilario P. Davide III that the new scheme has proven disadvantageous to local operators. — The Freeman

Cebu’s 10-year provincial waste management plan gets NSWMC nod

THE NATIONAL Solid Waste Management Commission (NSWMC) has recently approved the Solid Waste Management (SWM) Plan of the Cebu provincial government, which would be in effect until 2027. In a statement, the provincial government said the SWM Plan includes the establishment of a material recovery facility in every barangay and city level, composting of biodegradable waste to be used as organic fertilizers, recycling of non-biodegradable waste, wastes segregation and construction of sanitary landfill. Cebu Provincial Environment and Natural Resources Office Chief Jason P. Lozano said the plan serves as a guide for all localities in helping mitigate “the cruel effects of unregulated garbage that was among the causes of flooding in urban areas.” The provincial government provides assistance for planning and implementation, but Mr. Lozano stressed that people in the communities are the main stakeholders to a successful waste management program. “We are urging the public to cooperate with barangay officials regarding the garbage collection, because no one else can help them best but the people,” he said.

GenSan’s P35-M waste facility open for lessons to LGUs

GENERAL SANTOS City’s Central Materials Recovery Facility (CMRF), which can process up to 40 tons of waste per day, is open for visits by representatives of other local government units (LGUs), where they can pick up lessons on waste management. Mayor Ronnel C. Rivera, in a post on his Facebook page, said he wants to make GenSan City “a model for environmental and waste management for other LGUs.” The P35 million CMRF, located at the sanitary landfill in Barangay Sinawal, was built through a grant from the United Nations Industrial Development Organization (UNIDO) through the UN Development Programme-Global Environmental Finance (UNDP-GEF). UNIDO officials visited the site on Nov. 19. Environmental Management Bureau Region 12 Director Ma. Socorro C. Lanto said they are ready to assist LGUs that want to visit the GenSan CMRF, considered as the country’s first large-scale mechanized MRF. It can convert plastics into materials for concrete pavers and other by-products, bio-waste into organic fertilizer, and other sorted waste into materials with economic values. Mr. Rivera said the CMRF was designed by Filipino inventor and engineer, Bernabe M. Archeta.

Medical tourism, education seen key to Davao-Manado route reopening

DAVAO CITY — Medical tourism and nursing education in Davao City could spur the reopening of direct flights to and from Manado, the capital of Indonesian province North Sulawesi, officials said.
Indonesian Attaché Ely Syafitri Handayani, in a media forum, said Philippine Airlines (PAL) has already conducted a feasibility study on the route and is considering flights through its subsidiary PAL Express.
Endah R. Yuliarti Farry, consul for information and socio cultural affairs of the Consulate General of the Republic of Indonesia in Davao City, said one of the potential markets for the flights are Indonesian students who want to study nursing in the city.
“… (The) Philippines has a high quality in terms of education, in terms of nursing program. Or maybe they (Indonesian students) want to conduct international community service or on-the-job training in Davao City,” Ms. Farry said.
Davao City Chamber of Commerce and Industry Inc. (DCCCII) President Arturo M. Milan, in a separate interview, said the reopening of the Davao-Manado flights could also bring in Indonesian medical tourists.
“We need to be very strategic, for example Manado or North Sulawesi is nearer to Davao in terms of medical tourism rather than… Jakarta. That is the one that we should do on the medical tourism because we have more facilities in Davao than in Manado,” Mr. Milan said.
For passengers from the Davao side, Mr. Milan said tourism to Manado and onwards to other destinations such as Bali and Palau could be developed.
“I hope they (PAL) will also consider not only Manado but other destinations which are more attractive, because this is a missionary route, meaning it has to be developed. It will take some time. For me, they have to connect to Bali because it is a tourist destination in Indonesia… Tourists who want to go to Palau, they can pass via Manado-Davao route,” he said.
“On the business side, it is a long shot for me because we have common products. If ever there is one potential, it is tourism. It’s not really on trading but purely tourism,” he added.
The Davao-Manado route was previously served by several Indonesian airlines, including Wings Air, and two defunct operators, Bouraq Indonesia Airlines and Merpati Airlines. — Maya M. Padillo

Nation at a Glance — (11/22/18)

News stories from across the nation. Visit www.bworldonline.com (section: The Nation) to read more national and regional news from the Philippines.