P90 million worth of shabu

February 12, 2019 | 8:40 pm

The Bureau of Customs–Port of NAIA (Ninoy Aquino International Airport) turn over on Feb. 12 to the Philippine Drug Enforcement Agency (PDEA) a shipment of the illegal substance shabu estimated to be worth P90 million. The intercepted shipment was declared as muffler parts sent from West Covina, California, USA. PDEA is now preparing to file charges against the consignee and his cohorts.

Kennon Road to be opened for light vehicles going up to Baguio City

February 12, 2019 | 8:40 pm

KENNON ROAD, which has been under rehabilitation and repairs, will be temporarily opened on Feb. 14-18 and Feb. 22-March 4, but only for lights vehicles and just for the direction going up to Baguio City, the Department of Public Works and Highways (DPWH) announced yesterday. Light vehicles covered are those with a maximum weight of five tons, as recommended by the Kennon Road Task Force. The temporary opening of the road is intended to help ease the expected traffic congestion as people flock to the mountain city for the Philippine Military Academy (PMA) Alumni Homecoming and Panagbenga Festival. “The DPWH-CAR (Cordillera Administrative Region) and other members of Kennon Road Task Force have agreed to open Kennon Road just for motorists going to Baguio. Those leaving Baguio can then utilize Marcos Highway, Naguilian Road or the Asin-Nangalisan-San Pascual-Tubao Road,” DPWH Secretary Mark A. Villar said in a statement. Residents could be granted access to Kennon Road if they have submitted their vehicles’ plate numbers, to be included in the list of exemptions endorsed by their respective barangay chairman to Mayor Ignacio R. Rivera of the town of Tuba in Benguet province.

2 indicted in Trece Martires VM’s murder

February 12, 2019 | 8:40 pm

THE DEPARTMENT of Justice (DoJ) indicted two individuals, including the alleged gunman, in the slay of Trece Martires Vice Mayor Alexander Lubigan, according to DoJ spokesperson and Undersecretary Markk L. Perete. In a text message to reporters, Mr. Perete said the complaint over Mr. Lubigan’s death was resolved last week, citing the National Prosecution Service. Indicted were alleged gunman Ariel F. Paiton for two counts of murder and Councilor Lawrence “Umbe” Arca of Maragondon as accessory to the crime. Accessories are those who have knowledge of the crime without participating in the commission of the crime itself. Mr. Perete, however, said the complaint against Luis V. Abad, Jr., Mayor Melandres de Sagun, and Rhonel Bersamina were dismissed. Mr. Lubigan, together with his driver Romulo Guillemer, were shot inside his vehicle on July 7, 2018. — Vann Marlo M. Villegas

Another Abu Sayyaf member surrenders in Sulu

February 12, 2019 | 8:39 pm

A MEMBER of the Abu Sayyaf, described by the military as a follower of the militant group’s top leader Radulan Sahiron, surrendered and turned over his weapon on Feb. 10, the Western Mindanao Command (WestMinCom) reported on Tuesday. Sixty year-old Basari Sali surrendered to the troops of the Philippine Marine Ready Force Sulu and gave them his Grand rifle. “The intensive efforts and dedication of the government troops, particularly the Fleet-Marine forces in Sulu, led to the surrender of Sali and the recovery of a loose firearm,” said Rear Admiral Rene V. Medina, commander of the Naval Forces Western Mindanao. Government forces have been pursuing the Abu Sayyaf in the jungles of Sulu, with operations intensified in the aftermath of the church bombing in Jolo, Sulu’s capital, last Jan. 27. The Abu Sayyaf has pledged allegiance to the Islamic State, which claimed responsibility for the twin bombings. Lieutenant General Arnel B. Dela Vega, WestMinCom commander, said, “With the escalated offensives and the pursuit of remaining terrorists, we anticipate that more Abu Sayyaf militants will be convinced to abandon the group and surrender to the troops in Sulu.” He added, “Nevertheless, our heightened operations will continue to crush the militants and suppress terrorism in the province.”

Final tally on plebiscite for new Bangsamoro areas postponed anew

February 12, 2019 | 8:38 pm

THE NATIONAL Plebiscite Board of Canvassers (NPBOC) postponed yet again its session in the final tabulation and proclamation of results on the Feb. 6 North Cotabato and Lanao Del Norte plebiscite. During its session on Tuesday, Commission on Elections (Comelec) Chairman Sheriff A. Abas said the session will be resumed on Wednesday. “With reports from the working group, it is clear we cannot finish the tabulation and the audit today. We will declare a recess and reconvene tomorrow at 2 p.m.,” he said. Six municipalities in Lanao Del Norte and 67 villages in seven municipalities of North Cotabato were involved in the Feb. 6 plebiscite for inclusion to the Bangsamoro Autonomous Region in Muslim Mindanao. The seven North Cotabato Municipalities are Aleosan, Carmen, Kabacan, Midsayap, Pigkawayan, Tulunan, and Pikit. As of this reporting, the certificate of canvass of votes (COCVs) for the municipality of Cabacan, Pigkawayan, and Midsayap are pending with the audit group. Only Pikit was already set for tabulation. Aleosan, Carmen, and Tulunan are the only municipalities so far whose votes have already been declared canvassed by the NPBOC with no corrections in their COCVs. The COCVs of Lanao Del Norte have also been deemed canvassed but a “formal error” was detected in the number of registered voters stated in the COCVs and the number of registered voters listed in the summary of statement of votes (SOV). NPBOC said this error does not affect the outcome of the canvassed votes. — Gillian M. Cortez

Construction of controversial P1.3B Cebu Capitol Resource Center set to start

February 12, 2019 | 8:37 pm

CEBU GOVERNOR Hilario P. Davide III has confirmed that the controversial 20-story Capitol Resource Center, which would cost the provincial government nearly P1.3 billion, will break ground on Feb. 18. The center is touted as the “flagship” project of Mr. Davide’s administration. The project, to be built inside the provincial complex, faced criticisms from heritage advocates and interruptions during the proposal stage. However, Jone Siegfred Sepe, provincial general services officer, said the provincial government is pushing on with the building construction, starting with the ceremonial groundbreaking. He said the contractor already posted a P38 million performance bond last Feb. 8. Mr. Sepe also said that the authentication of the contract signed by Mr. Davide and WT Construction executives is being finalized, after which the provincial government will serve the Notice to Proceed within this week. All the documents will be endorsed to the engineering office, which will supervise the construction phase, including the demolition of the abandoned building at the site and the excavation works. The engineering department will hold a pre-construction conference to discuss the timeline and the specific works during the construction. Project completion is targeted in two years. — The Freeman

Nation at a Glance — (02/13/19)

February 12, 2019 | 8:35 pm

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

December external trade in goods weakest in three years as exports, imports contract

February 12, 2019 | 11:17 am

Trade activity in December marked its weakest in three years, as exports and imports both declined.
Preliminary results from the Philippine Statistics Authority showed merchandise exports declining 12.3% to $4.720 billion in December, slower than the 0.3% dip in November and a reversal of the 8.4% growth in December 2017.
The export decline in December was the biggest in 11 quarters when it registered a 13% decline in March 2016.
Likewise, imports contracted by 9.4% year on year to $8.473 billion during the month, a turnaround from the 6.8% growth in November and 25.9% growth in the same month in 2017.
The import decline was the first since July 2017’s 0.3% and was the largest in 3 years, or since December 2015’s -26%.
This brought the country’s trade deficit for December to $3.752 billion, narrowing from $3.972 billion a year ago.
Meanwhile, the country’s total external trade in goods – or the sum of export and import goods – shrank 10.5% to $13.194 billion. The December trade activity was the weakest in three years, or since the 15.15% plunge in December 2015.
To date, exports were down 1.8% to $67.488 billion, way off the two-percent target of the Development Budget Coordination Committee (DBCC) for full-year 2018.
On the other hand, imports grew 13.4% to $108.928 billion versus the DBCC’s nine percent projection for the year.
Cumulatively, the country’s trade balance posted a record-high $41.440 billion deficit in 2018 versus the $27.380 billion and $26.702 billion shortfalls in 2017 and 2016, respectively.
The United States is the Philippines’ top export market in December with a 16.4% share at $774.37 million followed by Japan’s 14.5% ($684.75 million) and Hong Kong’s 14% ($662.77 million).
Meanwhile, China was the country’s top source of imports with an 22.1% share ($1.87 billion) followed by Japan’s 9.7% ($826.05 million) and South Korea’s 9.2% ($775.56 million). — Marissa Mae M. Ramos

Nov. FDI net inflow down for 4th month

February 12, 2019 | 12:33 am

By Melissa Luz T. Lopez
Senior Reporter
FOREIGN DIRECT INVESTMENT (FDI) net inflow into the country slid for the fourth straight month in November, the central bank reported on Monday, bringing 2018’s running tally lower than a year ago.
Appetite among foreign investors waned that month, sending net inflow down 45.9% to $531 million from the $982-million net investments received in November 2017. The latest figure improved from the $491 million net inflow tallied in October, according to latest data from the Bangko Sentral ng Pilipinas (BSP).
In a statement, the central bank attributed the lower FDI net inflow to lower placements in equity and debt instruments, which posted double-digit declines year-on-year.
Net equity investments slid 31.9% to $137 million from $202 million the previous year. November saw lower gross placements at $149 million which were partly offset by $11-million withdrawals. That compared to $228 million capital received in November 2017 against $26 million plucked out of the country.
Bulk of the equity placements went to financial and insurance; electricity, gas, steam and air-conditioning supply; manufacturing; and real estate.
Most of the capital came from investors in Taiwan, the United States, Thailand, Luxembourg and the Netherlands, the BSP said.
Investments in debt instruments, involving infusions by offshore parents in their Philippine subsidiaries, were halved to just $333 million from $724 million.
Only reinvested earnings grew — by nearly a tenth to $61 million from $56 million the prior year — but that was not enough to lift the month’s FDI tally.
FDIs are a source of capital for the Philippine economy, funding business expansion, generating jobs and, in turn, spurring domestic activity that fuels overall economic growth.
November’s inflows brought 11-month FDI net inflows to $9.061 billion, 3.2% lower than the $9.358 billion investments received during the comparable period in 2017. This casts doubt on the central bank’s expectation of a fresh FDI banner year with a projected $10.4 billion.
Ruben Carlo O. Asuncion, chief economist at Union Bank of the Philippines, Inc., attributed tempered foreign investment appetite to global jitters amid continuing Sino-US trade tensions.
“Overall, it may have been the lingering negative sentiment about the US-China trade issues,” Mr. Asuncion said when sought for comment.
“There has been a lot of uncertainty in the external environment that has dampened general investment appetite especially among emerging economies.”
Plans to revamp the fiscal incentives granted to companies investing in the Philippines may have also added to investor worries.
“Domestically, this decline, specifically, may have been brought by planned structural reforms such as the rationalization of investment incentives that current beneficiaries/firms view as a disincentive in general,” Mr. Asuncion said.
“Thus, future and potential investors are on wait-and-see mode before moving forward with their investment plans.”
He said 2018’s FDI net inflows were unlikely to top 2017’s $10.049 billion.
The BSP expects FDI net inflows to hit $10.2 billion this year, spurred by investor confidence on the back of easing inflation, as well as sustained state spending and domestic consumption.

BoI investment pledges nearly double in January

February 12, 2019 | 12:32 am

THE BOARD of Investments (BoI) — the government’s lead investment promotion agency — kick-started 2019 with nearly double January 2018’s approved committed investments in terms of value, as it targets these pledges to pierce the trillion-peso mark this year.
Committed investments the BoI approved in January totaled some P97.9 billion, about 91% more than the P51.3 billion recorded in the same month last year, the agency said in a press release on Monday.
The same comparative months saw foreign investments, which made up a tenth of the total, surge to P10.6 billion from just P33 million and domestic investments, which made up 89%, increase by 70% to P87.2 billion from P51 billion.
The biggest contributors were a P48.4-billion 603-megawatt renewable energy project of Rizal Wind Energy Corp.; Metroworks ICT Construction Inc.’s P33.1-billion broadband infrastructure; Solid Cement Corp.’s P12.5-billion project in Antipolo; and Allied Care Experts’ P849-million hospital in Dumaguete City.
Netherlands, with the Solid Cement project, was the top source of foreign investments last month, followed by Japan with P202.1 million and South Korea with P102.4 million.
“We are definitely off to a positive start in 2019 and it augurs well for the rest of the year as we aim to cross the uncharted trillion-peso mark in investment approval for the whole year,” the press release quoted Trade Secretary and BoI Chairman Ramon M. Lopez as saying.

BoI registered P915-billion committed investments last year, 48% more than 2017’s P616.8 billion and surpassing the 10% year-on-year growth target.
Trade Undersecretary Ceferino S. Rodolfo noted in the same statement that investments outside the National Capital Region accounted for nearly all of investments registered last month, “further boosting the dispersal of investments” as Metro Manila accounted for just P4 million.
Calabarzon (Cavite-Laguna-Batangas-Rizal-Quezon), the region immediately southeast of Metro Manila that hosts a number of industrial parks, topped all regions with P60.9 billion in new pledges that were three times the year-ago P19.4 billion, due mainly to a wind power project.
Davao Region, Mimaropa (Mindoro, Marinduque, Romblon and Palawan) and Cagayan Valley completed the top five regions, with approved investments surpassing P500 million each. — J. C. Lim

Philippines’ talent edge slips in index

February 12, 2019 | 12:31 am

By Christine J. S. Castañeda
Senior Researcher
THE PHILIPPINES led lower-middle-income economies in a 2019 talent competitiveness survey, in which the country nevertheless posted a lower score and rank compared to the previous year.
The 2019 edition of the Global Talent Competitiveness Index (GTCI) showed the Philippines with a score of 40.94 out of 100, lower than 44.17 in the 2018 edition. The score puts the Philippines at 58^th place among 125 economies in terms of talent competitiveness. This compares with its previous rank of 54^th out of 119 economies.
The Philippines was ninth among 15 economies in the “Eastern, Southeastern Asia and Oceania” group and fourth among nine Southeast Asian economies.
Nevertheless, the emerging economy leads the group of 27 lower-middle-income economies and is only among the two that is in the third quartile (those ranked 32^nd-63^rd), the other being Ukraine (63^rd).
“The leading position of the Philippines among lower-middle-income countries reflects improvements in literacy and overall educational standards that are catching with global standards… in view of productivity gains brought about by technological advancements,” said Michael L. Ricafort, economist at the Rizal Commercial Banking Corp. (RCBC).
Mr. Ricafort added that the ranking reflects the Philippines’ leading position as the second biggest process outsourcing destination in the world after India as well as the top site for call center operations that cater to the biggest global companies, especially those in the US.
The report defined talent competitiveness in terms of the “set of policies and practices that enable a country to develop, attract, and empower the human capital that contributes to productivity and prosperity.”
The annual index — published by Adecco Group, INSEAD business school and Tata Communications — measures economies’ ability to enable (e.g., regulatory and business landscapes), attract (i.e., how open an economy is to “outside” talent and the “underprivileged”), grow (how well an economy develops its people, e.g. education) and retain (sustainability e.g., quality of life) skilled workers. These four pillars make up the index’s “input” variables.
The index also takes into account two “output” variables — the economy’s availability of workers with mid-level “Vocational and Technical Skills” and high-level “Global Knowledge Skills” such as those in managerial and professional positions.
“The Philippines has a good pool of Global Knowledge Skills (34^th), scoring quite well in both High-Level Skills (37^th) and Talent Impact (30^th). It is also relatively adept in growing talent (41^st), where its strengths in Lifelong Learning (27^th) and Access to Growth Opportunities (42^nd) offset a sub-standard Formal Education (85^th),” said the report, which nevertheless noted that “[m]ore discouragingly, the country’s weak Sustainability (88^th) and Lifestyle (91^st) subpillars result in a low ability to Retain (92^nd) talent.”
Meanwhile, the Philippines placed in the middle for the other categories such as those in the enable (64^th), attract (62^nd), and vocational and technical skills (73^rd) pillars.
“The slight decline of the Philippines’ ranking in the GTCI Index may partly have to do with some local talent being exported to more developed countries due to higher pay and better employment opportunities,” RCBC’s Mr. Ricafort said.
“Some highly-skilled workforce are being attracted as immigrants in some developed countries, some of which have aging populations and facing some shortage of workers. This reflects the fact that the Philippines is the third biggest country in terms of inward remittances from overseas workers after India and China,” Mr. Ricafort said, noting that the Philippines already overtook Mexico and Nigeria in remittances.
Switzerland occupied the top spot in the 2019 ranking, followed by Singapore, the US, Norway and Denmark rounding the top five.
Finland, Sweden, the Netherlands, United Kingdom and Luxembourg took the sixth to 10^th spots, respectively.
Meanwhile, the Global Cities Talent Competitiveness Index had Manila at 98^th place out of 114 cities with a score of 26.4.
Compared to other Southeast Asian cities, it fell behind Singapore (17^th), Bangkok (65^th) and Kuala Lumpur (76^th).
On the other hand, the Philippine capital city placed ahead of Jakarta (100^th) and Hanoi (110^th).
The top 10 cities in the index were Washington DC, Copenhagen, Oslo, Vienna, Zurich, Boston, Helsinki, New York, Paris and Seoul.
In a press release, Adecco Group said the index was designed to provide decision-makers in business and government with tools “to drive talent competitiveness.”
“It suggests that in today’s knowledge economy, nurturing entrepreneurship is not only key to economic growth but also attracting and retaining talent,” it said.

How competitive is the Philippines in acquiring, growing and retaining talent?

February 12, 2019 | 12:31 am

THE PHILIPPINES led lower-middle-income economies in a 2019 talent competitiveness survey, in which the country nevertheless posted a lower score and rank compared to the previous year. Read the full story.