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Foreign tourist arrivals halfway to target as of June

THE INCREASE of foreign tourist arrivals picked up and sustained a double-digit rate last semester, the government reported on Monday.

The Department of Tourism (DoT) said in a press release that 4,133,050 foreign tourists arrived in the Philippines last semester, 11.43% more than a year ago.

That compares to a goal of 8.2 million for this year set under the National Tourism Development Plan 2016-2022.

Preliminary DoT data for 2018’s first half bared a 10.4% hike.

“We have already breached the 4 million mark within the first six months of the year,” the statement quoted Tourism Secretary Bernadette R. Puyat as saying.

“Seven years ago, it took the entire year to reach 4 million tourists,” she added, citing “better and increased connectivity” with “new, rehabilitated and expanded airports” contributing “much to this growth.”

Ms. Puyat had described the six-month closure last year of Boracay Island, the Philippines’ top tourist attraction, as a blessing in disguise as it opened the eyes of both local and foreign tourists to the country’s other destinations.

“By expanding our portfolio of tourism products and by developing and promoting our lesser-known but emerging destinations, we have attracted a large yet diverse set of foreign travelers and have sustained our growth in the highly competitive Southeast Asian region,” she said.

June alone saw a 21.41% increase to 643,780 foreign tourist arrivals from 530,267 a year ago, which had recorded an 11.35% rise using preliminary data then.

South Korea, China, the United States, Japan and Taiwan were the top five sources of tourists.

There were 7.1 million foreign tourist arrivals last year, narrowly missing the government’s 7.4 million goal. — G. M. Cortez

Senators move anew to lift restrictions on foreign participation in public utilities

MEASURES amending the 82-year-old Commonwealth Act No. 146, or Public Service Act (PSA), to remove foreign ownership limits on sectors engaged in public services have been filed anew in the Senate.

Four bills have so far been filed in the chamber by Senate Majority Leader Juan Miguel F. Zubiri, Minority Leader Franklin M. Drilon, as well as Senators Grace S. Poe and Francis N. Pangilinan.

The proposed New Public Service Law of the Philippines almost made it out of the 17th Congress after hurdling the House of Representatives in September 2017, but failed to get third-reading approval in the Senate ahead of the June 3 adjournment.

Mr. Zubiri said the measure has a chance of making it out of the 18th Congress, provided the bill will put in place safeguards while opening up to foreign investments.

“We’re looking at amending the Public Service Act by removing these industries as a public utility; however, it still has to go to Congress for congressional approval of franchise,” Mr. Zubiri said in a July 31 interview.

“There’s a likelihood that we’ll pass it, but it needs all these safeguards.”

He explained that congressional approval will authorize the government to revoke the franchise in a national emergency.

’Yung Public Service Act, we want to remove telecommunications, transportation,” Mr. Zubiri said.

Pero ang safeguards na ilalagay natin, in times of emergency, national emergency, kung saan pwede bawiin sa kanila ang kapangyarihan na ’yan (But we will adopt safeguards that will enable the government to take over such public utilities in times of emergency).”

The bills seek to provide a clearer definition of “public utility,” which had been used interchangeably with “public services.”

Companies classified as “public utility” are subject to the 40% cap on foreign participation or ownership under the 1987 Constitution.

ALSO IN THE HOUSE
Three of the four bills proposed to narrow down the definition of “public utility” to the transmission and distribution of electricity, as well as waterworks and sewerage pipeline distribution system; while the bill which Mr. Zubiri filed specified besides that electric power generation and supply, crude oil and petroleum products, transportation, broadcasting and telecommunication are not considered “public utilities.”

Meanwhile, six bills have been filed and are now pending before the House committee on economic affairs, chaired by AAMBIS-OWA Rep. Sharon S. Garin.

Albay 2nd District Rep. Jose Ma. Clemente S. Salceda had said on Aug. 5 that the proposed PSA amendment is among the chamber’s priorities, as discussed during the Aug. 5 preparatory meeting for the Legislative-Executive Development Advisory Council. Another meeting has been set for Aug. 27 to finalize the 18th Congress’ legislative agenda.

Socioeconomic Planning Secretary Ernesto M. Pernia and Trade Secretary Ramon M. Lopez both pushed for the said measure during the pre-State of the Nation Address Economic and Infrastructure Forum on July 1.

The proposed PSA amendment also led the list of priority bills for the 18th Congress submitted on July 30 by 14 local and foreign business groups, along with other measures that will lift limits to foreign ownership such as amendments to Republic Act No. (RA) 7042, or the Foreign Investments Act of 1991; and to RA 8762, or the Retail Trade Liberalization Act of 2000.

Tale of cyberbullying wins top prize at Cinemalaya

JOHN DENVER TRENDING, a film about cyberbullying filmed in the Kinaray-a dialect of Antique, was the 2019 Cinemalaya Independent Film Festival top winner, bagging six awards including Best Film and Best Actor at the awards night held on Aug. 11 at the Cultural Center of the Philippines (CCP).

The film, directed by Arden Rod Condez, also won the Network for the Promotion of Asian Cinema (NETPAC) Award for Full-length Feature, Best Original Musical Score, Best Cinematography, and Best Editing.

“[John Denver Trending is awarded the Best Film] for its highly relevant subject matter, its highly convincing characters and effective ensemble acting by a cast of non-professional actors; for its nearly epic sweep of its masterful use of the resources of cinema to depict a boy’s entrapment and doom; and for its coruscating critique of the social media as an engine of lies, hate, and destruction,” the citation read.

The film follows the story of the titular character who is accused of stealing a classmate’s iPad, becomes embroiled in a brawl which is filmed and uploaded online in a form that portrays him as the villain, and the subsequent harassment he faces online and in real life.

Mr. Condez, talking to reporters backstage after receiving the awards, said that they never expected to win so many. “We never prepared for anything like this,” he said in a mix of Filipino and English.

“I feel we really underestimated the Filipino audience… but then they surprised us,” he added, before explaining that after the Cinemalaya run, they are meeting with film distributors for possible theatrical wide release and to bring the film to international festivals.

“We’re having meetings with distributors, they’re trying to get us for a theatrical release but we didn’t know how to respond because we never, never thought of [a commercial run]. We initially planned to show it in schools and micro cinemas and we never imagined it could have a chance for a theatrical film because it’s a regional film and the language isn’t familiar,” Mr. Condez said.

“Yes, it’s a regional film but its subject matter is very universal that even people from Vietnam or China can understand the story of John Denver,” he explained.

This is Mr. Condez’s first Cinemalaya entry.

The film also won the Best Actor for Jansen Magpusao. This is Mr. Magpusao’s first acting role.

VETERAN WINNERS
Meanwhile, the Best Director trophy was given, once again, to Cinemalaya veteran Eduardo Roy, Jr. who directed F#*@ Bois. Mr. Roy won the same award in 2016 for Pamilya Ordinaryo, a film which won the Best Picture in the same festival.

“I feel more emotional this time around because the competition this time is really tight,” Mr. Roy told reporters backstage after the win.

This is Mr. Roy’s fourth entry to the Cinemalaya — the first was Bahay Bata in 2011 followed by Quick Change in 2013.

F#*@ Bois also won the Best Supporting Actor trophy for veteran actor Ricky Davao who said that this is first time he has won an award after participating in the festival for almost all of its 15 years.

The Best Actress trophy was given to Ruby Ruiz who starred in Iska by Theodore Boborol, a story about a woman taking care of her profoundly autistic grandson.

EXTENDED RUN
More people filled the venues of this year’s Cinemalaya.

Chris B. Millado, Vice-President and Artistic Director of the CCP, announced during his speech at the awards night that the festival’s audience at the CCP had grown to 55,000 during the two-week run of the festival, but noted that these are unofficial figures — they are yet to get the numbers from other Cinemalaya venues in Metro Manila malls and in other cities including Iloilo, Naga, Davao, and Pampanga where the 15-year-old film fest was shown this year.

Mr. Millado also noted a “25% increase in box office” at the CCP, though he admitted that it may be because of the increase in ticket prices from P100 to P150.

In the same speech, he announced that the festival will be extended until Aug. 15 in Ayala Mall Cinemas and Vista Mall Cinemas. The festival was supposed to end on the 13th. — Zsarlene B. Chua

Cinemalaya 2019 winners

FEATURE LENGTH FILM 2019

• Best Film: John Denver Trending by Arden Rod Condez

• Special Jury Prize: Edward by Thop Nazareno

• Best Direction: Eduardo Roy, Jr. for F#*@BOIS

• Best Actress: Ruby Ruiz for Iska

• Best Actor: Jansen Magpusao for John Denver Trending

• Best Supporting Actress: Ella Cruz for Edward

• Best Supporting Actor: Ricky Davao for F#*@BOIS

• Best Screenplay: Mary Rose Colindres for Iska

• Best Cinematography: Rommel Sales for John Denver Trending

• Production Design: Alvin Francisco for Edward

• Best Editing: Benjo Ferrer III for John Denver Trending

• Best Original Music Score: Len Calvo for John Denver Trending

• Best Sound: Immanuel Verona for Iska

SHORTS 2019

• Best Short Film: ’Wag Mo Akong Kausapin by Josef Dielle Gacutan

• Special Jury Prize: Tembong by Shaira Advincula

• Best Direction: Don Madula Senoc for Sa Among Agwat

• Best Screenplay: Gilb Baldoza for Kontrolado ni Girly ang Buhay N’ya

• Special Mention for Subject Matter: Hele ng Maharlika by Norvin de los Santos

Disorder and early sorrow

By Menchu Aquino Sarmiento

Movie Review
John Denver Trending
Directed by Arden Rod Condez
Cinemalaya

(Spoilers ahead)

VETERAN teleserye writer Arden Rod Condez’s directorial debut John Denver Trending is remarkable for its confidently concise, yet sensitively nuanced treatment of timely issues such as bullying (both physical and cyber), adolescent depression, fake news and the marginalization of social misfits, especially when they are poor. Condez is a master, not only of the written word but also of cinematic language. He elicits amazingly natural, complex and credible performances from his ensemble of mostly untrained, regular folks (his family and townmates from Pandan, Antique) who all manage to convey their very real though flawed humanity. We know these people.

After just one brief acting workshop, 14-year-old Jansen Magpusao in the lead as John Denver gives an utterly convincing and moving performance. Until this movie’s premiere at the Cultural Center of the Philippines, young Magpusao had never even been inside any sort of theater. It was also his first time in Metro Manila. Magpusao is preternaturally intense and self-possessed as John Denver Cabungcal. His thoughtful and restrained delivery, seems anchored in his precocious and profoundly sorrowful resignation to life’s unfairness and to the realization of the prevalence of human cruelty, particularly that of the mob.

Central to the film is the deeply loving dynamic between John Denver and his widowed mother Marites Cabungcal (the luminous Meryll Soriano). She is still paying their well-off neighbor Sir Mando (the Antiqueño poet-playwright Glenn Sevilla Mas, one of only three trained actors in the cast) for his carabao, which had died after John Denver set off fireworks. Note that the carabao was not directly killed by those fireworks but Sir Mando claimed it contracted an infection as a result of their proximity, which eventually caused its death. That is an iffy proposition at best, but Sir Mando as the powerful landlord easily imposes his version of reality upon the weaker Cabungcal family. Nonetheless, Marites’ faith in her son’s intrinsic goodness never waivers, even as she stoically takes on this unjust debt to buy peace for her family.

Marites strives to bring whatever sweetness she can into her three children’s lives. After selling her hand-woven bags, she buys a single slice of chocolate cake to bring home to them. John Denver eats half. Marites scolds him for taking more than his share. Silently, he places the sugar rose from the icing between her lips. In this one intimate and thoughtful gesture, Condez captures the unspoken love and implicit understanding between mother and son: it’s her and him against this cruel world. They will not surrender their dignity. When John Denver gives up his life, it is not an act of surrender but of heroic transcendence. He would spare his dear mother from the trolls’ vicious attacks and this is the only way he knows to make them stop for good.

Condez builds up to this tragic end, with a harrowing scene of John Denver running home through the dried-up fields. He is a small figure all alone in the vastness. The camera judders with the violence of his emotions. Alone again in their small home, John Denver hears sirens in the distance. They may not be real, but Condez shows us that this is the reality the boy perceives. It is wonderful when a director respects his audience so much as to speak to them in his own language whether through images or speech. The film’s dialogue is in Kinaray-a, the filmmaker’s and his cast’s mother tongue which grounds it in authenticity. Nothing sounds memorized.

As the cyber-bullying against John Denver progresses, we see ants swarming over the precious chocolate cake, and the barrio sirujano (literally a surgeon, but actually a shaman or spiritual healer) Tay Bining (Renato Sagot) performing a ritual to out Dolores (Estella Patino), a suspected witch. Her inability to get along with the neighbors has made her an outcast and the object of community opprobrium. The Cabungcal family is also outcast to an extent: Marites is a poor migrant from Angeles, not quite fluent in the local language Kinaray-a. Her being a stranger, poverty, and the absence of a strong man to protect them, makes her family perpetually suspect of criminal intent.

Thus, John Denver is not given any leeway for being a mere child, but all his past misbehaviors are dug up, multiplied and magnified over social media as proof of his inherent delinquency, rather than as just foolish, youthful impulsivity — something our society is reluctant to grant the children of the poor. The disturbing sequence where the village policeman SPO1 Corpus (Sammy Rubido who manages to be both decent and terrifying) threatens John Denver with his gun, presents the sobering reality of what will likely happen to the mostly impoverished suspects caught in law enforcement’s net, should the age of criminal responsibility be brought back down to nine years old as those at the pinnacle of power would have it.

The juxtaposition of metaphors like the cake with the demonizing of the outcast Dolores amplifies John Denver’s plight. Earlier that fateful day, his classmate Makoy Pascual (Vince Philip Alegre) pulled down John Denver’s pants to expose his torn briefs. Makoy’s own father is an OFW who sends home costly gifts like the iPad which John Denver is later accused of stealing. The public humiliation of John Denver is Makoy’s cheap way of showing off his own superiority.

Through such disturbing scenes and striking images, Condez skillfully exposes the various aspects and levels of social rot and human awfulness in this microcosm of Philippine society, without being annoyingly preachy or condescendingly didactic. He dispassionately shows how the poor are made to pay full price, and then some: Makoy’s mother Evelina Pascual (Sunshine Teodoro quietly standing out in this supporting role) demands the full retail price for the missing, no longer brand new iPad; similarly, Sir Mando extracts his pound of flesh through Marites’ having to render unpaid back-breaking labor at his coprahan (where coconuts are turned into copra) for only P200 a day (to be offset against the P25,000 he claims his old carabao was worth), while her bag-making micro-enterprise suffers.

Fiction is said to be a precursor to reality. Condez’s first draft for John Denver was submitted in late 2017 to the QCinema International Film Festival but he deferred on that grant. It was also submitted in mid-2018 to the Palanca Awards and won 2nd prize. Then in December 2018, the Joaquin Montes bullying incident (Google “Ateneo Bully”) went viral. Condez slyly lifts choice bits from that serendipitous sort-of gift from the Universe to pointed effect in this final film version of John Denver Trending. A big difference between the real life cyber-bullying of Montes was that in his case, he was initially protected by his school’s authorities and even given a chance to air his side on national TV, whereas John Denver, despite his teachers’ (Shane Estoyes and Bert Briones) and the school principal’s (Luz Venus) well-meaning efforts, is essentially left to be ripped apart by the social media wolf pack. The internet also eats children.

Online gaming base expected in Ortigas and QC

By Vincent Mariel P. Galang, Reporter

ORTIGAS Center and Quezon City are seen to be the next hubs for Philippine Online Gaming Operators (POGOs) as vacancy in the bay area dips below 1% in the second quarter of 2019.

Joey Roi H. Bondoc, research manager of Colliers International Philippines, said vacancy in areas near Manila Bay is now at 0.61%, which is considered to be low even for an outsourcing company.

“What more for a POGO that in one go would occupy two, three floors. I think it is but natural for them to move outside of the bay area and look at areas where office space is still available,” he said.

In its property market report for the second quarter, Colliers noted that demand for offshore gaming companies had reached 274,000 square meters (sq.m.) in the first half. Deals in the second quarter were mostly closed in Alabang, bay area, Quezon City, Ortigas, and Makati central business district (CDB) and its fringes.

The firm also noted that the new supply in the bay area, Ortigas Center, and Quezon City would be tempered by demand from online gaming operators along with traditional or non-outsourcing firms.

“Currently, we have 274,000 [sq.m. of supply], so if we estimate another 250,000, easily 150,000 sq.m. could be split between Quezon City and Ortigas Center because that’s where the available space is, so easily pwedeng doon sila mag-locate (they can locate there),” Mr. Bondoc said.

As for residential units, he said it would be difficult to determine how many units, but he noted that for one firm, an average of 40-50 units are involved in one transaction.

“They are willing to locate the following day, and they pay in cash,” he said. “That’s how strong the demand is.”

For the rest of the year, Mr. Bondoc said that the online gaming operators are likely to remain the major driver.

“For 2019, definitely. In fact we might even breach 500,000 sq.m. for 2019 alone because in 2017 we had only 11,000 sq.m., in 2018 we had 303,000 sq.m. So initially we thought na (that) we might be able to breach 400[,000 sq.m.], but look at the first half transactions, [they’re] already 274,000 [sq.m.],” he noted.

He also said that buildings, which were not approved by the Philippine Economic Zone Authority because of Administrative Order (AO) No. 18, might now welcome POGO firms.

For instance, a building in Ortigas that was initially built for non-POGOs but failed to secure accreditation, will now cater to these firms.

AO No. 18, which took effect in June, called for interagency efforts to strengthen ecozones in the countryside and put a moratorium on the processing of application for ecozones in Metro Manila.

Mr. Bondoc said the policy is not a law but only an administrative order that can be reversed.

“I think that’s what the developers are really watching out for — that it can be reversed over time,” he said, adding that economic managers might recommend the move. “Otherwise it will really be difficult in terms of space absorption from BPO [business process outsourcing] companies.”

Netflix boosts bet on interactive TV with wave of new kids shows

NETFLIX INC. is turning three of its popular kids programs into interactive specials, increasing its bet on a choose-your-own-adventure approach to TV.

The company plans to make interactive episodes or specials out of Carmen Sandiego, Boss Baby, and Last Kids on Earth, according to people familiar with the company’s plans. They will all be movies or one-off specials rather than full series, said the people, who asked not to be identified because the plans haven’t been announced.

Those three programs bring the company’s overall slate of interactive series to at least a dozen, including a fourth series that couldn’t be identified. That’s far more than any other major TV network, a sign Netflix sees this burgeoning medium as a way to attract subscribers and keep them loyal.

The episodes are a hybrid of traditional narrative TV series — where the viewer just sits back and watches — and video games, where the viewer controls the protagonist. Each episode presents the viewer with choices to select what a character does, or where they go next.

KIDS AT FOREFRONT
Netflix released its first choose-your-own-adventure program in June 2017, Puss in Book, featuring a character from the world of Shrek. The company started off its first interactive experiments with kids programs because young people grow up with screens, and are already talking to them and swiping on them.

Early successes encouraged Netflix to try the approach with adults, starting with Black Mirror: Bandersnatch, a spin-off from the titular dystopian drama, and You vs. Wild, in which viewers made decisions to help adventurer Bear Grylls survive in the wild.

More than 90% of viewers of Bandersnatch made some kind of choice during the show, according to one of the people familiar with the matter, once again encouraging Netflix to experiment more. The company will now fund interactive specials in new genres, such as romance, comedy, or drama, said the person.

Netflix is also going to experiment with how often to prompt viewers to engage. The company has introduced a new choice every one to four minutes, but it will test prompts that are both more frequent — say, every 30 seconds — and less frequent — say, every five minutes.

YOUTUBE PUSH
Netflix’s investment in interactive series has helped bring more attention to a format once relegated to the fringes of entertainment. YouTube plans to fund choose-your-own-adventure original series, and Walmart Inc. has invested in Eko, a start-up that specializes in interactive programming.

Interactive series still constitute a small minority of Netflix’s overall programming output. The company will release hundreds of programs just this year. But Netflix is looking for shows that speak to a general audience and cross many genres.

All three of these new interactive series hail from the company’s kids-and-family pipeline, but Netflix’s next interactive release will be a finale to the adult comedy Unbreakable Kimmy Schmidt. —Bloomberg

Cavite expressway operator sets proposed link to Sangley base

By Denise A. Valdez, Reporter

THE operator of the Manila-Cavite Expressway (CAVITEx) aims to submit in the coming month a proposal that will connect the toll road to the Danilo Atienza (Sangley) Air Base.

Roberto V. Bontia, president of Cavitex Infrastructure Corp. (CIC), told BusinessWorld on Monday a joint proposal with the Philippine Reclamation Authority (PRA) is in the works for submission to the Toll Regulatory Board (TRB) by end August or early September.

“We are working together with PRA to submit a joint proposal of our alternative Segment 5 (which includes the Sangley spur) to TRB,” he said in a text message.

PRA is CIC’s joint venture partner in operating CAVITEx. Part of its concession is the construction of a CAVITEx Segment 5, which was originally an extension of the toll road from Kawit to Noveleta.

However, the Department of Public Works and Highways built a road on the supposed alignment of Segment 5 in 2015, pushing the operators to look for an alternative to it.

Mr. Bontia said earlier that CIC was looking at a 22-kilometer, three-part alignment for Segment 5. It will connect Kawit to Noveleta, Kawit to Sangley and Noveleta to Rosario, with a spur road to the Cavite Export Processing Zone.

The whole Segment 5 has an estimated cost of P21-22 billion, of which the link to Sangley is priced at approximately P10 billion.

Mr. Bontia said the government’s push for increased air activity at the Sangley air base is a motivator for the company in paving a road link to the gateway.

“Right now kasi wala talagang maayos na [there’s no decent] road network that will connect Sangley to any major road in Cavite. So that makes the road viable with the upgrade of Sangley,” he told reporters last month.

The government aims to open the Sangley air base for general aviation flights by the end of the year. It is aimed to improve operations at the Ninoy Aquino International Airport, which is operating beyond its capacity.

CIC is under Metro Pacific Tollways Corp., the tollways unit of Metro Pacific Investments Corp., which is one of three Philippine units of Hong Kong-based First Pacific Co. Ltd., others being PLDT, Inc. and Philex Mining Corp.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has interest in BusinessWorld through the Philippine Star Group, which it controls.

T-bond rates to decline on BSP’s dovish stance

THE GOVERNMENT will likely see lower yields for the reissued 10-year Treasury bonds (T-bond) to be auctioned off today following the central bank’s rate cut and amid dovish signals from the Bangko Sentral ng Pilipinas’ (BSP) chief.

The Bureau of the Treasury (BTr) is offering on Tuesday P20 billion worth of reissued 10-year bonds with a remaining life of nine years and five months.

Traders expect the bonds to fetch a lower rate versus the previous auction following dovish pronouncements from BSP Governor Benjamin E. Diokno.

“Looking at 4.15% to 4.30% range for 10-year reissue given the possibility of 100 bps (basis points) RRR cut before next MB (Monetary Board) meeting and another 25 bps policy cut on Sept. 26,” a bond trader said in a phone message on Sunday.

Robinsons Bank Corp. peso debt trader Kevin S. Palma said the BSP’s rate decision last Thursday will likely lead to lower rates for the bonds on offer, with the average yield expected to settle within 4.175%-4.275%.

“The central bank’s move did not disappoint bond market participants as Governor Diokno quickly pronounced a dovish rhetoric after he said that he still sees another 25-bp policy rate cut and a 100-bp cut in RRR within the year,” Mr. Palma said in a phone message on Sunday.

The government made a full award of the 10-year T-bonds when they were last offered on May 28, raising P20 billion as planned with total tenders amounting to P65.8 billion.

The bonds fetched an average rate of 5.644%, 31 basis points lower than the 5.954% quoted when the debt papers were issued in April. This was also well below the bonds’ 6.875% coupon.

At the secondary market on Friday, the 10-year bonds were quoted at 4.372% according to the PHP Bloomberg Valuation Service Reference Rates published on the Philippine Dealing System’s website.

At its fifth policy review for the year on Thursday, the BSP’s Monetary Board cut key policy rates by 25 basis points, bringing the overnight reverse repurchase rate to 4.25%, and the overnight deposit and lending rates to 3.75% and 4.75%, respectively.

This followed a “prudent pause” in June as well as a 25-bp cut last May that partially dialed back a cumulative 175-bp hike implemented through five meetings last year in order to arrest rising inflation that peaked at a nine-year-high 6.7% in September and October.

In a Bloomberg interview last Friday, Mr. Diokno said policy makers may slash key rates further in their next meeting in September or in the first few weeks of the fourth quarter.

In a separate interview with ABS-CBN News Channel, Mr. Diokno said banks’ RRR may be reduced by another 100 basis points before the Sept. 26 policy meeting.

Mr. Diokno said the already reduced RRR, which is currently at 16% for big banks after the phased 200-bp cut, “is still very high.”

The timing of RRR cut, he said, will still depend on liquidity, as the BSP watches if reductions earlier this year, which are estimated to have released more than P200 billion into the system, resulted in lending to productive economic activities.

Mr. Palma said developments abroad are also pushing investors to park their funds in local government securities.

“There are offshore factors that have been supporting demand for local bonds, such as lower US Treasury yields given the recent flare-up between the US-China trade tensions,” he said.

Last week, the People’s Bank of China devalued its own currency to 7 yuan against the dollar in retaliation against Washington’s plan to impose an additional 10% tariff on $300 billion worth of Chinese goods starting Sept 1.

Tensions between the two countries escalated further after the US called China a “currency manipulator.”

The government plans to borrow P230 billion from the domestic market this quarter through Treasury bills and T-bonds.

It is looking to raise P1.189 trillion this year from local and foreign sources to fund its budget deficit, which is expected to widen to as much as 3.2% of gross domestic product. — B.M. Laforga

Studio cancels The Hunt movie release after criticism

LOS ANGELES — Universal Pictures on Saturday canceled the release of The Hunt, a satirical thriller about a group of Americans who are captured to be hunted and killed for sport, following apparent criticism by President Donald Trump and a recent series of mass shootings.

The Comcast Corp. division had held back on marketing the film, slated for release on Sept. 27, after the shootings in El Paso, Texas, and Dayton, Ohio, last week.

It gave no reason for the cancellation. A Universal Pictures representative did not return an e-mail seeking comment.

“We stand by our filmmakers and will continue to distribute films in partnership with bold and visionary creators, like those associated with this satirical social thriller, but we understand that now is not the right time to release this film,” Universal said in a statement.

Trump, taking to Twitter on Friday, criticized “liberal Hollywood” and an unnamed film with a pending release.

“The movie coming out is made in order to inflame and cause chaos,” Trump tweeted.

Trailers released online for the film depicted a group of wealthy villains orchestrating the open-field hunting of several Americans held against their will.

The film came from Blumhouse Productions, which has produced a number of popular horror films such as The Purge and Get Out.

A Blumhouse representative did not immediately respond to calls on Saturday. — Reuters

Meralco prepares to showcase vehicle-to-grid project

MANILA Electric Co. (Meralco) expects to complete “soon” a study that will prove whether electric vehicles (EVs) can help power the grid and help ease energy demand during times when supply is deficient.

“It will happen soon,” said Anthony Agoncillo, Meralco’s EV charging station product manager, when asked about the status of the utility’s vehicle-to-grid project.

“It’s still in the test case,” he said, referring to the partnership with Mitsubishi Motors Philippines Corp. “They’re our partners. They’re the vehicle providers for that test.”

He said test would try to prove whether the vehicle-to-grid concept is feasible, and how it would affect the power distribution utility in terms of power quality, changes in frequencies, and how safely it can be integrated into system

“We saw that one of their units, Outlander model 2019, worked for vehicle-to-grid technology. So, yes, there’s a breakthrough in terms of us proving that it can power a small room in the house,” he said.

Mr. Agoncillo said it would be far-off to consider the project as helping to ease power demand similar to Meralco’s interruptible load program in which it enlist entities with their own power generators to run their systems when the grid’s reserve power reaches critical levels.

He said globally, similar studies are also conducted to answer whether power from vehicles or from utility-scale batteries can help energize the grid, or the interconnected network of power transmission lines and substations.

“But as of now, what we can only say is what we’ve tested and what we’ve seen from Meralco [is] Mistubishi Outlander powering a small room in the Meralco power lab using a V2G (vehicle-to-grid) charging pod. So it’s not only about the vehicle itself. There’s also a necessity to put up a charging facility, a charging pod, that can draw the energy from the battery,” he said.

He said the company has yet to demonstrate the project’s viability to the Department of Energy, although the agency is aware of Meralco’s EV power lab and the vehicle-to-grid project.

“For us, again we’re really doing this mostly to be able to test EV technologies,” he said. “We’re looked at as the expert not only in electricity but also in innovations related to electricity,” he said.

“So again, these technologies like vehicle-to-grid, even the vehicle itself, the chargers, AC charging, DC fast chargers, we really try to understand what it will do because we also need to understand what will be the impact to the grid afterwards,” he added. — Victor V. Saulon

Accor picks Makati for Pullman, Novotel apartments

The Pullman Living and Novotel Living serviced apartment brands will make their debut in Makati City. — COMPANY HANDOUT

MULTINATIONAL hospitality group Accor SA is developing the world’s first Pullman Living and Novotel Living standalone apartments in Makati City.

In a statement, Accor said it has teamed up with privately held PTC Holdings for the two apartment complexes, which will rise near Ayala Avenue and Greenbelt shopping mall. The exact location was not disclosed.

Pullman Living Manila will have 200 rooms, while the Novotel Living Manila will have 300 rooms. Both serviced apartments will cater to guests looking for long-term and short-term stays.

Accor unveiled the Pullman Living and Novotel Living brands earlier this year. Both will feature many of the services and design elements of the Pullman and Novotel hotel brands.

“Pullman Living provides a stylish and intelligent private sanctuary with re-imagined hospitality experiences including unique dining concepts, the Pullman Porter, seamless and intuitive technology and a bold, vibrant art-led design. Novotel Living brings a co-living experience to the serviced apartment category. Novotel Living is all about making everyday moments matter in a warm, relaxed and friendly environment,” Patrick Basset, Accor chief operating officer for Upper Southeast and Northeast Asia and the Maldives, said in a statement.

Guests at Novotel Living will have exclusive access to a Clubhouse, which will have a shared kitchen, library, and play area. It will also have retail outlets, an all-day dining restaurant and bar, a spa, fitness center, meeting rooms, business centers and a ballroom.

“We are very excited to introduce Pullman Living and Novotel Living to Asia… A highly innovative dining experience sets the Pullman Living brand apart, including pop-up restaurants and food trucks, while Novotel Living focuses on welcoming and relaxing social spaces where residents can meet, work, play and dine,” Jeff Tisdall, senior vice-president of development, residential and extended stays at Accor, said.

Pullman Living Manila and Novotel Living Manila are scheduled to open its doors in the fourth quarter of 2022.

Gerardo A. Borromeo, chief executive officer of PTC, said the company is excited to partner with Accor for the projects.

“Novotel Living Manila and Pullman Living Manila will offer distinct character, incorporating the local culture, heritage and architecture, while staying true to each brand’s personality,” Mr. Borromeo was quoted as saying.

PTC Holdings is described as a privately-held investment company with roots in the maritime industry. Aside from shipping, it has businesses in real estate development, energy and infrastructure, aviation, health and international professional placement.

Accor is the largest operator of extended stay and serviced apartment properties outside of the United States. It has around 300 extended stay properties, such as serviced apartments and apart-hotels under brands including Mondrian Living, Swissotel Living, Movenpick Living, Mercure Living, Hyde Living and more.

Accor currently operates eight hotels in the Philippines under the Raffles, Fairmont, Sofitel, Movenpick, Novotel and Mercure brands. It has a pipeline of 12 hotels and serviced apartments scheduled to open over the next five years. — Cathy Rose A. Garcia

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