Puregold Price Club, Inc. reinforces its commitment to inclusive growth and sustainable development through its social responsibility initiative, Pusong Panalo. The multichannel retailer has extended support to Laiban Elementary School in Tanay, Rizal. This recent effort marks a pivotal step in Puregold’s ongoing mission to enhance lives and foster development in rural areas.
The Pusong Panalo program, known for its community-centered approach to giving back, brought significant changes to the Laiban Elementary School. Puregold installed solar panels in the school, ensuring a sustainable and reliable energy source that will benefit students and faculty in the coming years. The initiative also included the construction of a new playground and replenishment of the canteen, providing students with a more complete and enjoyable learning environment.
In addition, the retailer donated new laptops to the school’s teachers, addressing the growing need for technological tools in education. Both students and teachers also received grocery packs for their families.
“Puregold believes that education is a powerful tool that can transform lives,” said Ferdinand Vincent Co, President of Puregold Price Club, Inc. “It is a privilege to partner with these communities and help give tools that students and teachers need to thrive,” added Vincent.
Laiban Elementary School is located in the remote and mountainous region of Tanay, Rizal, and has limited access to resources and infrastructure. With Puregold’s support, the school is now better equipped to meet the needs of its students and staff.
Puregold’s Pusong Panalo program has been instrumental in bridging the gap between urban and rural communities, offering much-needed aid to areas that are often overlooked. The company’s continuous efforts, which include infrastructure improvements, technology donations, and essential goods distribution, demonstrate its steadfast dedication to creating lasting positive impacts on the communities it serves.
As part of its long-term vision, Puregold pledges to extend its support to 30 schools in remote areas by 2028. Puregold plans to help four more schools in 2024. To pay it forward, Laiban Elementary School has nominated another school in Tanay to get additional solar panels, a new learning center, and improved comfort rooms.
“Our goal is to unite our growing community and establish a referral network among the schools we’ve supported, inspired by the Filipino Bayanihan spirit,” said Vincent.
To help more schools in need, please reach out through one of the following channels: email at alingpuring@puregold.com.ph, send a message to Puregold’s official Facebook page at www.facebook.com/puregold.shopping, or write to Aling Puring at Puregold Price Club, Inc., Head Office-New Building, 900 D. Romualdez St., Paco, Manila, Philippines, 1007.
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NEW YORK – Federal Reserve Bank of St. Louis President Alberto Musalem said on Monday he supports more interest rate cuts as the economy moves forward, while noting that its performance will determine the path of monetary policy.
“Further gradual reductions in the policy rate will likely be appropriate over time,” the official said, noting that “patience” has served the Fed well.
“I will not prejudge the size or timing of future adjustments to policy.”
Musalem’s comments came from the text of his speech prepared for delivery before a meeting of the Money Marketeers of New York University, held in New York. The official, who took office earlier this year and who does not hold a vote on the rate-setting Federal Open Market Committee, was scheduled to speak as the interest rate outlook has once again been upended.
On Friday the government reported data showing unexpected and very vigorous strength in the job market, which called into question widespread concerns that the labor sector was weakening. Last month, the Fed cut its interest rate target by half a percentage point, to between 4.75% and 5%, because inflation pressures have waned considerably with ample signs the job market was growing softer.
The Fed had also penciled in half a percentage point’s worth of cuts into the close of the year. But the strength of hiring in September has now called into question how aggressive the Fed will need to be with rate cuts.
Musalem noted he supported the Fed’s latest rate decision and said his outlook for monetary policy is “slightly above the median” projected by his colleagues.
Musalem argued for a cautious pace of rate cuts, while noting that he expects inflation to move back to 2% on a 12-month basis over the next few quarters and sees the current state of the job market as consistent with a strong economy.
“Given where the economy is today, I view the costs of easing too much too soon as greater than the costs of easing too little too late,” Musalem said. “That is because sticky or higher inflation would pose a threat to the Fed’s credibility and to future employment and economic activity,” he said.
“It is possible that inflation will cease to converge” on the 2% target, Musalem added, “but I believe the risks that inflation becomes stuck above 2% or rises from here have diminished.”
In his remarks, Musalem also said financial conditions generally remain supportive of economic activity. He said he expects the expansion to continue but noted that uncertainty about the outcome of the Nov. 5 U.S. elections was causing some firms to hold back until they had more clarity. — Reuters
A U.S. judge on Monday ordered Alphabet’s Google to overhaul its mobile app business to give Android users more options to download apps and to pay for transactions within them, following a jury verdict last year for “Fortnite” maker Epic Games.
The injunction by U.S. District Judge James Donato in San Francisco outlined the changes Google must undertake to open up its lucrative app store, Play, to greater competition, including making Android apps available from rival sources.
Donato’s order said that for three years Google cannot prohibit the use of in-app payment methods and must allow users to download competing third-party Android app platforms or stores.
The order restricts Google from making payments to device makers to preinstall its app store and from sharing revenue generated from the Play store with other app distributors.
Google in a statement said it will appeal the verdict that led to the injunction to the San Francisco-based 9th U.S. Circuit Court of Appeals, and will ask the U.S. courts to pause Donato’s order pending appeal.
“Ultimately, while these changes presumably satisfy Epic, they will cause a range of unintended consequences that will harm American consumers, developers and device makers,” Google said.
Epic Chief Executive Tim Sweeney posted to the social media platform X on Monday that Donato’s order was “big news” and said his Epic Games Store and other app stores will come to Google Play in 2025.
Sweeney said app developers, store makers and others have three years “to build a vibrant and competitive Android ecosystem with such critical mass that Google can’t stop it.”
Alphabet shares closed 2.5% lower at $164.39 on Monday, following the ruling. Donato said Epic and Google must establish a three-person technical committee to implement and monitor the injunction. Epic and Google each get a pick, and those two members will select the third person.
Donato said his injunction would go into effect on Nov. 1, which he said will give Google time to “bring its current agreements and practices into compliance.”
Epic’s lawsuit, filed in 2020, accused Google of monopolizing how consumers access apps on Android devices and how they pay for in-app transactions.
The Cary, North Carolina-based company persuaded a jury in December 2023 that Google unlawfully stifled competition through its controls over app distribution and payments, paving the way for Donato’s injunction.
Google had urged Donato to reject Epic’s proposed reforms, arguing they were costly, overly restrictive and could harm consumer privacy and security. The judge mostly dismissed those arguments during an August hearing.
“You’re going to end up paying something to make the world right after having been found to be a monopolist,” he told Google’s lawyers.
In a separate antitrust case in Washington, U.S. District Judge Amit Mehta on Aug. 5 ruled for the U.S. Justice Department and said Google had illegally monopolized Web search, spending billions to become the internet’s default search engine.
Google also began a trial in September in Virginia federal court in a Justice Department lawsuit over its dominance in the market for advertising technology.
Google has denied the claims in all three cases. — Reuters
Board of Directors (left to right): Gene A. Gangan, AlexanderM. Genil, Hernan C. Saringan, Regina Zulueta-Perlas, Jeanette B. Zulueta
More than the service or product it provides, the core of a company is its people, embodied in the value they bring to the community and the vision they strive to cultivate. Even as time changes every part of a business, that fundamental core determines a company’s success.
This is the principle that ZMG Ward Howell and the other member companies of the ZMG Group are founded on.
In 1979, Jesus M. Zulueta Jr. established ZMG Ward Howell as a management consulting firm, initially operating as the Philippines practice of the Australian firm WD Scott. The company began working with prominent Philippine institutions, including Central Bank of the Philippines, Philippine National Bank, Land Bank of the Philippines, and the Government Service Insurance System.
At the time, Mr. Zulueta was approached by Citibank New York for guidance on who to lead the bank’s first retail banking branch in the Philippines. As someone who wanted to champion Filipino talent, believing it to be globally competitive, he took up the challenge, and successfully revectored the business to focus on executive search. ZMG Asia was later incorporated, and served as the precursor to what would later become ZMG Ward Howell.
For over 45 years now, ZMG Ward Howell has been continuing the legacy of its founder and showcasing the best of Filipino talent all over the globe. It continues to be a trusted partner of long-standing local and multinational companies in the Philippines, as well as companies in emerging industries in meeting their human capital requirements.
Jeanette B. Zulueta, Chairman and Co-Founder of the ZMG Group
Jeanette B. Zulueta, co-founder and chairman of the ZMG Group, attributes much of the company’s success to this solid foundation: “[Mr. Zulueta] naturally showed everybody his commitment , his way of work and that his intention was unstintingly to elevate the lives of Filipinos and showcase their talents in the workplace. This is the core of our business.”
Future-proofing
What once started as a small company of less than 30 employees, the ZMG Group has now grown to a headcount of 200, with another 1,500 more staff deployed to client sites. The group’s current portfolio spans about 700 clients across the business units, with an average of 1,500 searches closed per year.
One of the companies included in the ZMG Group today is Asia Select, Inc., which delivers executive and contingency search, recruitment process outsourcing, HR consultancy, and learning & development services. Another company, AsiaPeople Search covers mid-level and volume hiring, while Asia PeopleWorks provides outsourced manpower services. Across Southeast Asia, ZMG Ward Howell has a presence in Indonesia and Myanmar. Wynn Ward Howell Myanmar provides learning & development services, while Asia Select Indonesia handles executive and mid-level searches.
Alexander M. Genil, Vice-Chairman of the ZMG Group
Alexander M. Genil, vice-chairman of the ZMG Group, noted that they have managed to grow a good reputation in the industry both from the strength of the group’s foundational values and from key strategic investments in people and technology.
“We are not very big in terms of traditional marketing investments, but we’re able to grow our business by word of mouth because of the positive experience of our candidates,” he said.
“At the same time, having understood what’s happening in the industries and across businesses, we also invested in people, bringing in added value in terms of new expertise and competencies alongside new technologies.”
One such investment is in its Research and Talent Intelligence (RTI) service that offers innovative research solutions across sectors and geographies. Through a rigorous four-step research process, along with the proprietary techniques to assess the hiring landscape, RTI provides detailed reports on attrition, hiring difficulty, salary analysis, and talent movement, among others—the first of its kind in the Philippine job market.
These insights are designed to support strategic workforce planning and improve recruitment efficiency while allowing companies to proactively adapt to the ever-evolving needs of the market.
Gene A. Gangan, Executive Director of the ZMG Group, Practice Head for IT
“The market has really shifted a lot since the pandemic. It’s a very dynamic talent market right now where a lot of change happens in a very short amount of time,” Gene Gangan, executive director of the ZMG Ward Howell, and head of its IT practice, said.
“So, you need to be responsive to all of those changes. And we need to constantly be able to advise our clients on what’s happening, be it a shift in the compensation or in the behavior of the talent pool. We should be able to provide that advice to our clients so that they can think about how to better respond to those changes.”
Future-proofing is a crucial aspect of the ZMG Group’s business, and the company has launched similar initiatives across its roster to achieve this. For instance, the Group, launched Vincere (ATS CRM), a recruitment platform which helps the company streamline its recruitment workflow, from job postings to candidate management. They also partnered with Darwinbox, a cloud-based HRIS software solution, to create a more efficient and effective HR management system.
Towards a hundred-year legacy
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ZMG Group is given the Engagement Champion award by DarwinBox (August 13, 2024)
Tatak ZMG Group – 2023 Christmas Party at The Fifth Rockwell
Amid the many shifts in the talent market are the increasingly discerning criteria that qualified candidates have when evaluating companies. Mr. Genil noted that today’s candidates value factors beyond just financial compensation, such as company culture, organizational purpose, leadership style, and flexibility, before deciding to join.
Culture, he stressed, is an integral aspect of a successful organization, and more important than the technological investments that the ZMG Group has made throughout its operation is the value it has placed in understanding the ‘human’ element that both its clients and candidates demand.
“We provide that human factor. We can sense what makes a good fit, we can look at talent in the eye and tell which ones are just playing or buttering us up. To be able to tell whether a person is genuine or authentic. That is the value of the recruiter,” Mr. Genil said, adding that this will hold true no matter how sophisticated technology becomes.
Hernan C. Saringan, President and CEO of Asia PeopleWorks, CFO of the ZMG Group
Conversely, the ZMG Group also understands the expectations that new talents have when searching for a company to work for and leaders to follow. One of the things that Hernan Saringan, CFO of the ZMG Group and president & CEO of Asia PeopleWorks, learned about leading a team is to respect and put more trust in their capabilities to achieve results.
“You give them directions and you ask them what to do. Make their jobs easier if you can. And then just wait for them to get results without directly helping them. That’s how they can respect you and follow you as a leader,” he said. Alongside financial considerations, professional opportunities, fairness in administering feedback, all these factors help in cultivating talent loyalty.
“It’s also about having understanding. Empathy. It’s important that you have the emotional intelligence to pick up the needs of your employees, give them support so that they know you are with them as you collectively reach for a goal.”
Regina Zulueta-Perlas, President and CEO of Asia Select, EVP of the ZMG Group
“You’re trying to have that balance between the needs of the business and your compassion for your people,” Regina Zulueta-Perlas, executive vice-president of the ZMG Group and president & CEO of Asia Select Inc., added.
The vast differences between the distinct generations in the workforce today make this easier said than done, as the needs vary from generation to generation. Younger employees, especially those in their late 20s for instance, have different priorities compared to older generations like their preference for the flexibility of hybrid work set-ups over compensation packages.
Ms. Zulueta-Perlas noted the difficulties that many companies have in managing a multigenerational workforce, saying that different management styles are required for different generations. The culture of an organization, however, always emanates from the top. Harmony and alignment with the leader’s values is crucial for successful adaptation.
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Naisa J. Santos, Director and Practice Head for Banking and Financial Services
Cristina C. Vivas, Director and Practice Head for FMCG and Healthcare
Chris Ann Pilapil, Business Unit Head for APW Tech
“One of the requirements for companies today is that understanding of the nuances of all of these different generations and being able to balance all of those preferences,” Mr. Gangan pointed out. “We at the ZMG Group come from different generations as well. So that puts us in a really good position to be able to help our clients fill those requirements that they have in their organizations.”
“One of the biggest factors as to why we have reached this 45th milestone – and why we are going to reach the next 55 years – is because aside from investing in technology, we are investing in the right people,” Ms. Zulueta-Perlas continued.
“The investment we put into the relationships we have with our clients and candidates… that’s really the best way to future-proof our business.”
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ZMG Ward Howell Photo – Research, Talent and Intelligence launch at the Manila Polo Club, 2022
ZMG Ward Howell’s 40th Anniversary at The Fifth Rockwell, 2019
ASIA Best Exec Search award from Vincere, The Vinny Awards 2022
ZMG Ward Howell’s brand today reflects the core values championed by Mr. Jesus M. Zulueta Jr. 45 years ago: delivering service excellence, a commitment to continuous learning, and fostering deep, long-lasting relationships with clients and candidates.
Ms. Jeanette B. Zulueta hopes in the next 55 years, the companies under the ZMG Group can strengthen that legacy even further.
“Thanks to the efforts of my colleagues, we have really moved forward. ZMG Ward Howell now rings a stronger bell in the industry; and there’s a picture of our legacy, of harmony, collaboration and the interest to grow even stronger alongside all our clients and candidates.”
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A bank employee counts US dollar notes in this file photo, May 16, 2016. — REUTERS
By Luisa Maria Jacinta C. Jocson, Reporter
THE PHILIPPINES’ gross international reserves (GIR) rose to a record high at end-September, the Bangko Sentral ng Pilipinas (BSP) said on Monday.
Central bank data showed dollar reserves increased by 3.8% to $112 billion at the end of September from $107.9 billion at the end of August.
“The month-on-month increase in the GIR level reflected mainly the National Government’s (NG) net foreign currency deposits with the BSP, which include proceeds from the NG issuance of Republic of the Philippines global bonds,” the BSP said in a statement.
In August, the NG raised $2.5 billion from its sale of triple-tranche US dollar-denominated global bonds. This was the government’s second global bond offering this year.
Year on year, gross international reserves jumped by 14.2% from $98.1 billion.
BSP data showed the level of dollar reserves was enough to cover about 6.3 times the country’s short-term external debt based on original maturity and 4.4 times based on residual maturity.
It was also equivalent to 8.1 months’ worth of imports of goods and payments of services and primary income.
Ample foreign exchange buffers protect an economy from market volatility and ensure that a country can pay its debts in the event of an economic downturn.
VALUATION OF GOLD RESERVES RISE The central bank also attributed the rise in dollar reserves to “upward valuation adjustments in the BSP’s gold holdings due to the increase in the price of gold in the international market, and net income from the BSP’s investments abroad.”
The central bank’s foreign investments went up by 2.4% to $94.5 billion as of September from $92.3 billion in the previous month. Year on year, foreign investments climbed by 13.9% from $83 billion.
Reserves in the form of gold were valued at $10.9 billion as of end-September, up by 6.9% from $10.2 billion as of end-August. It was also higher by 11.2% from $9.8 billion a year ago.
The BSP earlier defended its sale of gold holdings in the first half, saying that it took advantage of favorable prices as part of its active management strategy.
The sale of gold had “generated additional income without compromising the primary objectives for holding gold, which are insurance and safety,” it added.
Data from the central bank showed foreign currency deposits soared by 157% to $2.03 billion in September from $789.5 million a month earlier. It likewise surged from $834.4 million in the previous year.
Net international reserves increased to $112 billion at end-September from $107.8 billion at end-August, the BSP said.
Net international reserves are the difference between the BSP’s reserve assets or GIR and reserve liabilities, such as short-term foreign debt and credit and loans from the International Monetary Fund (IMF).
The country’s reserve position in the IMF inched up by 0.7% to $731.1 million as of September from $725.9 million in the prior month but declined by 6% from $778.1 million a year ago.
Special drawing rights — the amount the country can tap from the IMF — was unchanged at $3.85 billion for the second straight month.
“It’s very possible the BSP proactively built up its GIR. If not for some healthy FX (foreign exchange) market intervention, the peso would have overshot (strengthened) too quickly,” Bank of the Philippine Islands (BPI) Lead Economist Emilio S. Neri, Jr. said in a Viber message.
Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said international reserves increased due to proceeds from the NG’s dollar bond issuance, as well as continued growth in remittances, foreign tourism receipts, and foreign direct investments.
“The country’s strong external position would also support the country’s favorable credit ratings of one to three notches above the minimum investment grade,” he added.
John Paolo R. Rivera, a senior research fellow at the Philippine Institute for Development Studies, likewise said this was mainly due to the surge in remittances.
“It’s that time of the year again when remittances surge as the holiday season enters, the enrollment period comes in. Also, returns and dividends to foreign investments are being collected,” he said via Viber message.
“The sale of gold may have also contributed when the BSP did asset reclassification from gold to US dollars. In short, there have been inflows recently,” he added.
In the January-July period, cash remittances went up by 2.9% year on year to $19.332 billion.
Mr. Neri noted that the start of the US Federal Reserve’seasing cycle also supported the GIR.
“The space to build import cover and debt coverage usually opens up whenever the Federal Reserve pivots to policy easing,” he said.
The US central bank reduced its benchmark policy rate by 50 basis points (bps) to the 4.75%-5% range in September, its first rate cut in four years.
“The import cover is more than double the international standard of 3-4 months that would continue to provide buffer support for the peso exchange rate,” Mr. Ricafort added.
Mr. Neri said the current $112-billion GIR level is just around $20 billion less than the country’s external debt.
Outstanding external debt hit a record $130.182 billion at the end of June, separate data from the BSP showed.
“With more US rate cuts expected, the BSP can accumulate further as long as it doesn’t cut the reverse repurchase rate much more aggressively than the Fed,” Mr. Neri added.
BSP chief Eli M. Remolona, Jr. has said the Monetary Board can possibly deliver 25-bp rate cuts at its remaining two meetings this year on Oct. 16 and Dec. 19.
The BSP expects the country’s GIR to hit $106 billion by end-2024.
PRESIDENT Ferdinand R. Marcos, Jr. (right)meets Republic of Korea President Yoon Suk Yeol in Malacañang, Oct. 7, 2024. — REVOLI S. CORTEZ/PPA POOL
By Kyle Aristophere T. Atienza, Reporter
THE PHILIPPINES and South Korea on Monday signed six agreements, including one that calls for a feasibility study on the rehabilitation of the mothballed Bataan Nuclear Power Plant (BNPP), as they upgraded bilateral ties to a strategic partnership.
At the center of this development is the effort by the two nations to boost bilateral trade, especially after the Philippine Senate last month ratified the free trade agreement (FTA) with South Korea.
“The time has come for us to elevate the ties between the Philippines and the Republic of Korea to a strategic relationship,” President Ferdinand R. Marcos, Jr. told South Korean President Yoon Suk Yeol during a bilateral meeting at the Presidential Palace in Manila.
“As the geopolitical environment is only becoming more complex, we must work together to achieve prosperity for our peoples and to promote a rules-based order governed by international law,” he said, citing the 1982United Nations Convention on the Law of the Sea (UNCLOS) and the 2016 arbitration ruling that invalidated China’s expansive claims in the South China Sea.
Mr. Yoon arrived on Sunday for a two-day visit to the Philippines, the first leg of his three-nation Southeast Asian trip. He and his wife Kim Keon Hee visited the Korean War Memorial Hall at the Libingan Ng Mga Bayani to pay tribute to Filipino soldiers who died during the 1950-53 Korean War. Around 7,400 Philippine troops were deployed to Korea during the war, 112 of whom were killed.
Mr. Yoon said his visit was an “opportunity to not only further enhance our trade and economic cooperation, but also widen the scope of our partnership to include future-oriented sectors such as security, digital technology, and energy.”
During their meeting, Mr. Marcos and Mr. Yoon signed several memoranda of understanding(MoU), including one for the conduct of a feasibility study of the Bataan Nuclear Power Plant, which was completed in 1985 but was never used due to safety concerns.
The Department of Energy said the two-phase feasibility study that will commence in January is designed to generate critical information to guide the Philippine government’s decision-making process not only on the BNPP but also in “exploring other nuclear technologies and potential alternative sites for nuclear energy development.”
“This study will play a key role in assessing the feasibility, safety, and sustainability of various nuclear energy options, helping the government make well-informed choices that align with the country’s long-term energy goals,” the DoE said in a statement.
All costs associated with the feasibility study will be shouldered by the Korea Hydro & Nuclear Power Co., Ltd. (KHNP) while the Philippine government is “under no legal obligation to proceed with the rehabilitation of the BNPP or to engage KHNP based on the study’s findings,” it added.
“The study is exploratory in nature, and any subsequent actions will be subject to further evaluation and decision by the government,” it said.
The DoE said the first phase of the study will involve an assessment of the BNPP’s condition, while the second phase will involve an evaluation on whether or not the plant can be refurbished using the most optimal model.
SECURITY Following their bilateral meeting, Mr. Yoon said the two nations agreed to “strengthen strategic partnershipon the security front,” with Seoul vowing to take an active part in the third phase of the modernization program for the Armed Forces of the Philippines.
“Also based on the maritime cooperation MoU signed today, our two countries will reinforce maritime security partnership in such areas as tackling transnational crime, information sharing and conducting search and rescue missions,” he added.
Mr. Yoon said he and his Philippine counterpart also agreed to “work together in order to deliver tangible benefits to the citizens of both countries by stepping up economic cooperation.”
Bilateral trade between the two nations hit $17.5 billion in 2022, $12.3 billion of which were exports and $5.2 billion were imports, according to data from South Korea’s foreign ministry.
The Philippine Senate in September ratified the FTA between the Philippines and South Korea. South Korea’s National Assembly has yet to ratify the deal.
Mr. Yoon said he and Mr. Marcos agreed to make sure the FTA enters into force “at the earliest date possible.”
Manila and Seoul also signed MoUs on an economic innovation partnership program, which seeks to advance national, regional, and urban development in the Philippines, and for strategic cooperation on critical raw material supply chains.
They also signed a loan agreement for the Samar Coastal Road II Project, as well as MoUs for the Laguna Lakeshore Road Network Project Phase I (Stage I) and the Panay-Guimaras-Negros Island Bridges Project.
The Philippines and South Korea also signed an MoU to boost maritime cooperation between their coast guards.
The Philippine Coast Guard (PCG) has been at the receiving end of China’s aggression into Manila’s exclusive economic zone in the South China Sea, which Beijing claims almost in its entirety based on a 1940s map that a 2016 arbitration award said had no basis.
Joshua Bernard B. Espeña, vice-president at the Manila-based International Development and Security Cooperation, said helping boost the PCG is strategic for Seoul since it’s known for shipbuilding and as it has a growing concern over China’s aggression at sea.
“The Republic of Korea, like others, realizes that China frames its creeping invasion of the waters as a matter of law enforcement. So, anything that can counter such a feat is needed, like in the case of boosting PCG capabilities, whose principal surface combatants are limited,” he said in a Facebook Messenger chart.
Mr. Espeña said the strategic partnership between the Philippines and South Korea is timely “given how the two states have been diversifying their relations with other regional states.”
The Philippines and South Korea are also US allies which share common concerns over China, “a revisionist power against the rules-based order,” Mr. Espeña said.
Aside from Mr. Yoon’s visit, Seoul had initiated 10 high-level engagements with Manila since 2010, most of which were in 2015, according to its foreign ministry.
“Seoul and Manila are not treaty allies, but since they are co-US allies confronted by a revisionist power, a more flexible yet proactive approach is needed,” Mr. Espeña said, noting that the six deals signed between the countries were largely addressing development issues.
The Philippines under Mr. Marcos has been active in condemning nuclear threats from North Korea, saying in July that its ballistic missile test provoked “tensions” and undermined “economic progress, peace, and stability in the Korean Peninsula and the lndo-Pacific region.”
“South Korea is becoming a more strategic economic and security partner given the geopolitical issues in the South China Sea and also in East Asia,” said Philip Arnold P. Tuaño, dean of the Ateneo School of Government.
Mr. Tuaño said via Messenger chat that it is important for the Philippines to strengthen its alliance with partners to ensure security issues are adddressed.
“South Korea has been seen to be an important supplier of maritime and aeronautical defensive capabilities and an important technological partner to strengthen our manufacturing capacities,” he said.
Mr. Marcos, speaking at a business forum organized by the Philippine Chamber of Commerce and Industry and the Federation of Korean Industries, touted that the Philippine Congress was already at the last stages of the legislative process to enact a bill that seeks to further lower corporate income tax.
“Anchored on the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act of 2021, it will further strengthen our fiscal and non-fiscal incentives in strategic industries,” he said in a speech.
The bill seeks to simplify the approval process for tax deductions, streamline the value-added tax refund system, and align tax incentives with global standards.
“We aim to make the Philippines a top destination for sustainability, and to be sustainable in our strategic investments,” he said.
Traffic is seen along EDSA in this file photo. — PHILIPPINE STAR/RYAN BALDEMOR
THE DEVELOPMENT Budget Coordination Committee (DBCC) may raise the gross domestic product (GDP) growth target for this year amid slowing inflation and improved government spending, Budget Secretary Amenah F. Pangandaman said on Monday.
This comes after inflation slowed to below 2% in September as food and transport costs declined.
“Given this new development, I actually asked the team already, maybe we can have a special DBCC (meeting) again and we’ll try to look at the numbers,” Ms. Pangandaman, who chairs the DBCC, told reporters on the sidelines of an event.
She noted the DBCC can hold a special, off-cycle meeting within the fourth quarter.
“Maybe we can do it this quarter, especially that the budget is going to be passed soon,” she said in mixed English and Filipino.
The House of Representatives on Sept. 25 approved on final reading the P6.352-trillion national budget for 2025. The Senate plans to approve its version of the General Appropriations Bill by the second week of December.
Asked if economic managers will likely raise this year’s growth target, Ms. Pangandaman said: “Maybe we can revise upward. Let’s see.”
At its last meeting in June, the DBCC retained the 6-7% GDP growth target.
The original target of 6.5-7.5% growth was lowered at the DBCC’s meeting in April, as economic managers took into account ongoing trade and geopolitical tensions and the 5.6% GDP expansion in 2023.
“So, maybe we can review our targets again and hopefully, we will catch up on all the targets that we have,” Ms. Pangandaman said.
The DBCC also targets 6.5-7.5% GDP growth for 2025, and 6.5-8% from 2026 to 2028.
The Budget chief said the September inflation print may prompt the DBCC to revisit its macroeconomic assumptions and targets.
“We’re very happy. So, I think all our reforms are taking place now,” Ms. Pangandaman said, citing the lower import tariffs on rice.
Headline inflation slowed to 1.9% year on year in September from 3.3% in August and 6.1% a year ago. The September print was the slowest in over four years (52 months) or since the 1.6% print in May 2020.
In the first nine months, headline inflation averaged 3.4%, which is also the central bank’s full-year forecast.
The DBCC expects inflation to settle at 3-4% by end-2024 and return to the 2-4% target range from 2025 to 2028.
The slowing inflation print also gives the Bangko Sentral ng Pilipinas “more room to be aggressive” in its policy easing cycle to help the economy grow at a faster rate, Finance Secretary Ralph G. Recto said last week, citing September inflation data.
BSP Governor Eli M. Remolona, Jr. earlier said the Monetary Board can deliver a 25-basis-point cut at its Oct. 16 meeting, followed by another cut at its Dec. 19 meeting.
Ms. Pangandaman also said she expects better state spending to drive economic growth.
“On the part of the DBM (Department of Budget and Management) and the National Government agencies, we are looking at their expenses and (budget) utilization,” she said in mixed English and Filipino.
“Hopefully the agencies were able to unload all their budgets, procure by this time, and are in their implementation stages. So, I hope that contributes to our growth.”
The latest data from the Budget department showed that state agencies posted a cash utilization rate of 95%, using P2.96 trillion of the P3.12-trillion worth of notices of cash allocation released as of end-August. — B.M.D.Cruz
The EY Entrepreneur Of The Year 2024 Philippines has concluded its search for the country’s most visionary leaders shaping opportunities and transforming industries. It is a program of the SGV Foundation, Inc., with co-presenters: the Asian Institute of Management, the Department of Trade and Industry, the Philippine Business for Social Progress, and the Philippine Stock Exchange.
Macario S. Fojas Co-founder and President Seven Seven Global Services, Inc.
IN THE DOMAIN of information technology – business process management (IT-BPM), Macario S. Fojas has emerged as a distinguished figure. He co-founded Seven Seven Global Services, Inc., which highlights the ingenuity and dedication of Filipino talent.
From its strategic bases in New Jersey and Manila, Mr. Fojas has elevated Seven Seven to a leading position in the IT-BPM industry, providing a wide array of IT solutions (such as Project Management, Business Analysis, Quality Assurance and Testing, Application Development, and AI technology).
Mr. Fojas’ academic journey, from the University of the Philippines to an MBA at Fordham University, laid a robust foundation for his career. His early work in Wall Street equipped him with technical skills and business acumen. These were pivotal when he and his wife, Delle, founded Seven Seven Softwares, Inc., which later grew into a top IT-BPM provider.
His entrepreneurial spirit was tested in the wake of the Sept. 11 attacks when disrupted revenue streams posed challenges for many businesses. Mr. Fojas’ decision to prioritize training and development over immediate profit laid the groundwork for Seven Seven’s business process outsourcing (BPO) operations.
Seven Seven’s commitment to social responsibility is shown through initiatives like Seven Seven Charities, Inc. and their “Green Sustain” campaign, which focuses on educational programs, conservation efforts, and community engagement.
Looking ahead, Mr. Fojas is intent on guiding the company towards a sustainable and technologically advanced future. The company’s Career Development Program (CDP) illustrates this forward-thinking approach, equipping Filipino IT professionals with the necessary skills to navigate and excel in the rapidly evolving tech landscape.
Seven Seven’s international expansion into Singapore, Japan, Hong Kong, and Australia aligns with Mr. Fojas’ belief in creating value and positive impact globally. The company’s inclusive culture and diverse talent pool foster innovation and solutions for complex global market demands.
Artificial intelligence (AI) is central to Seven Seven’s strategy, not just as a trendy tool but as a revolutionary transformation that would meet these evolving challenges. By integrating AI, Seven Seven can deliver automation, innovative solutions, and enhanced productivity across industries.
At the same time, Mr. Fojas’ important objective of upskilling Filipino IT professionals ensures they are equipped with the skills needed to thrive in an AI-driven world. This demonstration of his visionary leadership earned him recognition as a finalist in the Asia CEO Awards 2024 for Entrepreneur of the Year.
Mr. Fojas’ personal motto encapsulates his approach to leadership and life: “When you know you are right, speak up and act. When you know you don’t know, ask and listen. When you know you are wrong, admit and learn.”
This philosophy, coupled with his advice to business owners to focus on one profitable cycle at a time, has been pivotal in Seven Seven’s rise to prominence. Moreover, it garnered him the esteemed Entrepreneur of the Year award from his alma mater, the University of the Philippines – College of Engineering.
Mr. Fojas’ leadership extends beyond business strategy; he is a mentor and role model to his employees. His commitment to nurturing the next generation of IT professionals is evident in the company’s investment in training programs and professional development opportunities.
By empowering his team to achieve their full potential, Mr. Fojas ensures that Seven Seven remains a competitive force in the industry. With a focus on quality and customer satisfaction, Seven Seven has built a reputation for excellence, delivering projects that consistently exceed client expectations.
Under Mr. Fojas’ leadership, Seven Seven has rapidly expanded, driven technological advancements, and created community development initiatives. With each project and expansion, Seven Seven reaffirms its commitment to building a skilled workforce dedicated to technological progress and societal betterment.
Media sponsors are BusinessWorld and the ABS-CBN News Channel. Gold sponsors are SteelAsia Manufacturing Corp., Uratex, and Converge ICT Solutions, Inc. Silver sponsor is International Container Terminal Services, Inc. Bronze sponsor is Lausgroup Holdings, Inc. Banquet sponsors are Robert Blancaflor & Groups, Inc., Bounty Fresh Group Holdings, Inc., and Vista Land & Lifescapes, Inc.
The winners will be announced on Oct. 23, 2024. The EY Entrepreneur Of The Year 2024 Philippines will represent the country in the World Entrepreneur Of The Year 2025 in Monte Carlo, Monaco in June 2025. The EY Entrepreneur Of The Year program is produced globally by Ernst & Young (EY).
CEBU PACIFIC’S (CEB) P1.75-billion acquisition of AirSWIFT from ALI Capital Corp., formalized on Monday, is expected to boost its domestic market reach and revenue potential by catering to a premium customer segment, according to analysts.
“This fits Cebu Pacific’s expansion plans as the acquisition will enable the company to gain a bigger share of the promising leisure travel market,” Chinabank Capital Corp. Managing Director Juan Paolo E. Colet said in a Viber message on Monday.
“Cebu Pacific is now going beyond the budget travel market by adding a boutique airline that caters to a premium customer segment,” he added.
According to both parties, their respective boards of directors approved the share purchase agreement, allowing Cebu Pacific to fully acquire AirSWIFT for P1.75 billion, comprising 9.15 million AirSWIFT shares priced at P13.10 each.
The boutique airline currently offers flights from Manila and Clark to El Nido, Palawan; and from El Nido to other major tourist destinations like Cebu, Boracay, Coron, and Bohol.
“This strategic decision allows both organizations to focus on their respective core businesses, enhancing operational focus and efficiency, and marks an exciting new chapter for both AirSwift and CEB,” Cebu Air, Inc., the listed operator of the budget carrier, told the stock exchange on Monday.
The Gokongwei-led company said no changes will be made in AirSWIFT’s flight schedules and services.
“Our investment in AirSWIFT has been a key enabler in the growth of El Nido as a world-class tourist destination. With this transaction, we are hopeful that the expertise of Cebu Pacific will bring lower cost options and greater accessibility to El Nido,” ALI Capital President Alfonso Javier D. Reyes said in a media release.
Globalinks Securities and Stocks, Inc. Head of Sales Trading Toby Allan C. Arce said that the addition of AirSWIFT to Cebu Pacific’s expanding network will allow the budget airline to access underserved but high-potential tourist destinations.
“Cebu Pacific’s acquisition of AirSWIFT is a strategic move that… expands its reach to popular tourist destinations,” Jayniel Carl S. Manuel, an equity trader at Seedbox Securities, Inc., likewise said in an e-mail.
Cebu Pacific said it is also working to leverage its “operational expertise” to integrate AirSWIFT into its network and offer more cost-effective options to customers.
Once realized, Cebu Pacific will add El Nido to its routes.
“Cebu Pacific continues to undertake measures to boost connectivity to various Philippine destinations while offering low fares, thus contributing to economic growth and tourism development goals,” Cebu Pacific President and Chief Commercial Officer Alexander G. Lao said.
Last week, Cebu Pacific finalized its aircraft order of 152 aircraft worth P1.4 trillion ($24 billion) with Airbus SE, making it the largest aircraft order in Philippine history.
To date, Cebu Pacific offers flights to 35 domestic routes and 26 international destinations.
At the stock exchange on Monday, shares in Cebu Air ended 75 centavos or 2.14% higher at P35.80 apiece; while shares in Ayala Land gained P1.25 or 3.38% to close at P38.25 each.
LISTED property developer Megaworld Corp. has appointed Kevin Andrew L. Tan as executive director.
The company named him executive director after his election to the board, the property developer told the stock exchange on Monday.
Mr. Tan replaced his mother, Katherine L. Tan, the wife of tycoon Andrew L. Tan.
She relinquished her position as a member of the board due to “personal reasons.”
Prior to his appointment, Mr. Tan was Megaworld’s executive vice-president and served as chief strategy officer.
Mr. Tan is the vice-chairman, president, and chief executive officer (CEO) of the listed holding company Alliance Global Group, Inc., which has interests in travel and leisure, spirits manufacturing, property development, and quick-service restaurants.
He is also the director, president, and CEO of Megaworld’s real estate investment trust, MREIT, Inc.
Mr. Tan earned his bachelor’s degree in business administration, majoring in management, from the University of Asia and the Pacific.
For the first half, Megaworld’s attributable net income grew by 8.6% to P8.55 billion from P7.88 billion in 2023.
From January to June, consolidated revenue increased by 22% to P39.1 billion from P32.04 billion last year, led by higher real estate sales.
On Monday, Megaworld shares were unchanged at P2.21 per share. — Revin Mikhael D. Ochave
THE GOVERNMENT made a full award of the Treasury bills (T-bills) it offered on Monday at higher rates due to dampened expectations of a larger cuts by the US Federal Reserve following strong jobs data out of the world’s largest economy.
The Bureau of the Treasury (BTr) raised P20 billion as planned from the T-bills it auctioned off on Monday as total bids reached P38.5 billion, nearly twice as much as the amount on offer but lower than the P76.445 billion in tenders seen the previous week.
Broken down, the Treasury borrowed P6.5 billion as programmed from the 91-day T-bills as tenders for the tenor reached P12.22 billion. The three-month paper was quoted at an average rate of 5.414%, 21.8 basis points (bps) higher than the 5.196% recorded last week, with bids ranging from 5.2% to 5.7%.
The government also made a full P6.5-billion award of the 183-day securities, with bids for the tenor reaching P12.42 billion. The average rate of the six-month T-bill stood at 5.474%, up by 46.9 bps from the 5.48% fetched last week and with accepted bid yields at 5.244% to 5.749%
Lastly, the Treasury raised P7 billion as planned via the 364-day debt papers as demand totaled P13.86 billion. The average rate of the one-year debt went up by 5.3 bps to 5.54% from the 5.487% quoted last week, with accepted rates ranging from 5.4% to 5.64%.
At the secondary market before the auction, the 91-, 182-, and 364-day T-bills were quoted at 5.1153%, 5.2922%, and 5.5086%, respectively, based on PHP Bloomberg Valuation Service Reference Rates data provided by the Treasury.
T-bill yields climbed to track the increase in US Treasury rates as the strong nonfarm payrolls report had investors “trimming bets of sizeable Fed cuts,” a trader said in a text message.
“T-bill rates rose due to some risk-off sentiment from the geopolitical risks in the Middle East and higher US nonfarm payrolls last Friday, so buying pressure eased,” another trader said by phone.
On Friday, US Treasury yields rose to their highest level since early August as traders ditched bets that the Fed will cut rates by half a percentage point next month after the stronger-than-expected jobs report, Reuters reported.
Traders now see a roughly 97% probability the Fed will cut rates by only a quarter percentage point in November, up from roughly 68% on Thursday, CME Group’s FedWatch tool showed.
The yield on benchmark US 10-year notes rose 12.5 bps to 3.975% from 3.85% late on Thursday while the 30-year bond yield rose 7.9 bps to 4.259%.
The 2-year note yield, which typically moves in step with interest rate expectations, rose 21.8 bps to 3.9321% from 3.714% late on Thursday.
US job gains increased by the most in six months in September and the unemployment rate fell to 4.1%, pointing to a resilient economy that likely does not need the Fed to deliver large interest rate cuts for the rest of this year.
In addition to the bigger-than-expected increase in nonfarm payrolls reported by the Labor department on Friday, wages rose at a solid pace last month. The closely watched employment report also showed the economy added 72,000 more jobs in July and August than previously estimated.
The report followed on the heels of annual benchmark revisions to national accounts data last week that showed the economy is in much better shape than previously estimated, with upgrades to growth, income, savings and corporate profits.
This improved economic backdrop was acknowledged by Fed Chair Jerome H. Powell last week when he pushed back against traders’ expectations for another half-percentage-point rate cut in November, saying “this is not a (policy-setting) committee that feels like it is in a hurry to cut rates quickly.”
Nonfarm payrolls increased by 254,000 jobs last month, the most since March, the Labor department’s Bureau of Labor Statistics said. Economists polled by Reuters had forecast payrolls would rise by 140,000 positions after advancing by a previously reported 142,000 in August.
Estimates for September’s job gain ranged from 70,000 to 220,000. The three-month average of monthly job growth increased to 186,000 from 140,000 in August.
The flow of strong data, including consumer spending, since the US central bank kicked off its policy easing cycle with an unusually large 50-bp reduction last month, had some economists wondering if policy makers had panicked.
The Fed cut its policy rate by 50 bps last month to the 4.75%-5% range, its first rate reduction since 2020. It hiked rates by 525 bps in 2022 and 2023.
Details of the household survey from which the unemployment rate is derived were equally upbeat, though 121,000 more people were working multiple jobs. The drop in the unemployment rate from 4.2% in August reflected an increase of 430,000 jobs in household employment, which more than absorbed the 150,000 people who entered the labor force.
The jobless rate has jumped from 3.4% in April 2023, in part boosted by those aged 16 to 24 and a rise in temporary layoffs during the annual automobile plant shutdowns in July.
It has now declined for two straight months. The employment-to-population ratio, viewed as a measure of an economy’s ability to create employment, rose to 60.2% from 60% in August. Fewer people worked part-time for economic reasons.
Meanwhile, Hezbollah rockets hit Israel’s third-largest city of Haifa, police said early on Monday, and Israeli media reported 10 injured in the country’s north on the first anniversary of the Gaza war, which has spread in the Middle East.
Iran-backed Hezbollah, an ally of Hamas, the Palestinian militants group fighting Israel in Gaza, said it targeted a military base south of Haifa with a salvo of “Fadi 1” missiles.
On Monday, Israelis marked the first anniversary of the devastating Hamas attack that triggered a war which has sparked protest worldwide and risks igniting a far wider conflict in the Middle East.
Security forces were on high alert across Israel on Monday, the military and police said, anticipating possible Palestinian attacks planned for the anniversary of Oct. 7, 2023, when the worst bloodletting in the decades-old Israeli-Palestinian conflict began.
The BTr plans to borrow P145 billion from the domestic market this month, or P100 billion via T-bills and P45 billion through Treasury bonds.
The government borrows from local and foreign sources to help fund its budget deficit, which is capped at P1.48 trillion or 5.6% of economic output this year. — A.M.C. Sy with Reuters
THE SUBSIDIARY of Alternergy Holdings Corp. is seeking the approval of the Energy Regulatory Commission (ERC) to develop and operate a transmission facility to connect its wind power project in Quezon province to the Luzon grid.
Alabat Wind Power Corp. (AWPC) aims to construct dedicated point-to-point limited transmission facilities with a total estimated cost of P1.85 billion, the company said in its filing with the ERC.
The interconnection project will be undertaken by GEDI Construction Development Corp., the company said.
AWPC intends to negotiate with the National Grid Corp. of the Philippines (NGCP) regarding the operation and maintenance of the interconnection facility.
Based on the application, the company is proposing to build the Alabat Wind Power Project (AWPP) in Quezon province, which has a generating capacity of 49.9 megawatts (MW).
“The total generation output of the wind project will be limited to 49.9 MW so as not to overload the 69-kilovolt (kV) transmission line.”
The wind farm has an estimated project cost of P7 billion and is targeted for completion by November 2025.
In May, Alternergy announced the start of the construction of the AWPP with an installed capacity of 64 MW.
AWPC is proposing to connect the interconnection facility to the Luzon grid through a tapping point or switching station along the NGCP’s Gumaca-Lopez-Tagkawayan 69-kV transmission line.
“The construction of the Interconnection Project is a prerequisite for the testing and commissioning, and ultimately, the commercial operations of the AWPP. A provisional authority is, thus, urgently needed to enable AWPP to achieve the target COD (commercial operations date) and avoid adverse consequences to AWPC,” the company said.
Alternergy is targeting to increase its renewable energy capacity to 500 MW by 2026.
At the local bourse on Monday, shares in the company rose by 2.3% to close at P0.89 apiece. — Sheldeen Joy Talavera
In addition, the retailer donated new laptops to the school’s teachers, addressing the growing need for technological tools in education. Both students and teachers also received grocery packs for their families.
As part of its long-term vision, Puregold pledges to extend its support to 30 schools in remote areas by 2028. Puregold plans to help four more schools in 2024. To pay it forward, Laiban Elementary School has nominated another school in Tanay to get additional solar panels, a new learning center, and improved comfort rooms.
“Thanks to the efforts of my colleagues, we have really moved forward. ZMG Ward Howell now rings a stronger bell in the industry; and there’s a picture of our legacy, of harmony, collaboration and the interest to grow even stronger alongside all our clients and candidates.”
IN THE DOMAIN of information technology – business process management (IT-BPM), Macario S. Fojas has emerged as a distinguished figure. He co-founded Seven Seven Global Services, Inc., which highlights the ingenuity and dedication of Filipino talent. 
