Below-target growth likely this year

October 15, 2024 | 12:34 am

Public market-shoppers — People flock to Divisoria, Oct. 12, 2024. — PHILIPPINE STAR/RYAN BALDEMOR

THE PHILIPPINES’ gross domestic product (GDP) growth will likely settle below the 6-7% target range this year, analysts said.

“The economy is in need of further support. Looking forward, fiscal tightening and weak export demand should keep growth subdued,” Capital Economics said in a report.

Capital Economics expects GDP growth to average 5.1% this year, well below the government’s 6-7% target.

For its part, Nomura Global Markets Research said it forecasts GDP growth to average 5.6% this year.

“We maintain our forecast for GDP growth to improve only marginally to 5.6% year on year in 2024 from 5.5% last year, before picking up to 6.1% in 2025,” it said in a report by Nomura research analysts Euben Paracuelles and Nabila Amani.

The Philippine economy grew by 6% in the first half. In order to meet the lower end of the target, GDP expansion should average 6% for the remainder of the year.

Third-quarter economic data will be released on Nov. 7.

Nomura noted that second-quarter growth was “disappointing and showed weakening growth momentum, led by another sequential contraction in private consumption.”

In the second quarter, GDP expanded by 6.3%, faster than 5.8% a quarter earlier and 4.3% a year ago. However, household final consumption rose by 4.6%, slowing from 5.5% in the previous year.

“Public investment spending remains the main engine, as the government makes progress on infrastructure projects. The midterm elections in May 2025 will also likely provide an additional impetus into next year,” Nomura said.

Meanwhile, inflation is seen to remain well within the Bangko Sentral ng Pilipinas’ (BSP) 2-4% target band this year.

“Inflationary pressures are weak… our forecast is that a combination of weak economic growth and falling food price inflation will keep inflation low,” Capital Economics said.

Nomura expects headline inflation to average 3.1% this year, below the central bank’s 3.4% full-year forecast.

“Our forecast assumes headline inflation remains low at around 1.9% in the fourth quarter, partly reflecting the impact of the rice import tariff cuts,” it added.

Headline inflation sharply eased to an over four-year low of 1.9% in September from 3.3% in August. In the first nine months, inflation averaged 3.4%.

“After BSP’s 25-bp (basis point) cut to 6.25% in mid-August, the further decline in inflation reinforces our view that BSP will continue to cut rates,” it added.

The Monetary Board is expected to cut policy rates by 25 bps this week (Oct. 16).

“We expect another 25-bp cut in its scheduled meeting (on) Wednesday,” Capital Economics said.

“We reiterate our forecast for BSP to cut by 25 bps at each of the last two meetings of the year (i.e., in October and December),” Nomura said.

This is in line with a BusinessWorld poll conducted last week, which showed that 16 out of 19 analysts expect the BSP to reduce the target reverse repurchase (RRP) rate by 25 bps.

If realized, this would bring the target RRP rate to 6% from the current 6.25%.

“Looking beyond Wednesday’s meeting, we expect further cuts over the remainder of this year and in 2025. Our forecast that rates will finish next year at 4.75% makes us more dovish than the consensus,” Capital Economics said.

MORE CUTS IN 2025
Meanwhile, Nomura expects the Monetary Board to cut by 25 bps at each of its first three meetings next year before pausing.

“This would bring the RRP rate to 5% by May 2025 (i.e., a total of 150 bps in cuts in this cycle). The ongoing Fed cutting cycle also supports easing by BSP, but we still think BSP is unlikely to be more aggressive with 50-bp clips,” it said.

“The substantial RRR (reserve requirement ratio) cut is already providing additional easing and Governor Remolona said he prefers 25-bp cuts to the policy rate,” it added.

The BSP will reduce the RRR for universal and commercial banks and nonbank financial institutions with quasi-banking functions by 250 bps to 7% from 9.5%, effective on Oct. 25.

BSP Governor Eli M. Remolona, Jr. earlier said they are looking to bring the reserve requirement to as low as 0% by the end of his term.

Meanwhile, Nomura said the government will also struggle to meet its fiscal targets.

“We continue to forecast a fiscal deficit of 5.9% of GDP in 2024, above the revised medium-term fiscal framework (MTFF) target of 5.6%.”

“We think these MTFF targets will be challenging to meet due to spending priorities, such as the flagship infrastructure projects,” it added.

In the first eight months of the year, the budget deficit narrowed by 4.86% to P697 billion.

This year’s budget deficit ceiling is set at 5.6% of GDP. The government aims to reduce the deficit-to-GDP ratio to 3.7% by 2028.

“Expenditure disbursements tend to speed up towards yearend and revenue growth likely slows, in line with more modest GDP growth,” Nomura said.

“The passage of the bill implementing a VAT (value-added tax) on imported digital services is encouraging but will have a small revenue impact of 0.1% of GDP next year. We think political risks could rise in the run-up to the midterms and prove a distraction to enacting larger fiscal reform measures.” — Luisa Maria Jacinta C. Jocson

Delays in VAT rebates dampen net inflows of FDI to the Philippines

October 15, 2024 | 12:33 am

PHL-flag — A Philippine flag is seen along Aguinaldo Highway in Imus City. — PHILIPPINE STAR/EDD GUMBAN

THE PHILIPPINES posted the fourth-highest net inflows of foreign direct investments (FDIs) in Southeast Asia, although this may have been dampened by delays in value-added tax (VAT) rebates, according to the Association of Southeast Asian Nations (ASEAN) Investment Report 2024.

The Philippines saw FDI net inflows decline by 7% to $8.9 billion in 2023 from $9.5 billion in 2022.

Despite the drop, FDI net inflows into the Philippines were the fourth highest in terms of value among ASEAN member countries in 2023. It was behind Singapore, which posted net inflows of $160 billion, Indonesia with $21.6 billion and Vietnam with $18.5 billion

However, the Philippines surpassed Malaysia ($8.8 billion), Thailand ($4.5 billion), Cambodia ($4 billion), Myanmar ($2.2 billion) and Lao PDR ($1.8 billion). Brunei Darussalam posted a net outflow of $57 million in 2023.

Net FDI inflows in the ASEAN region reached a record $230 billion last year, up 0.3% from $229 billion in 2022.

According to the report, the Philippines saw a drop in investments in most of the industries, except for manufacturing and renewable energy (RE).

“Large wind power projects involving companies from Europe sustained investment in RE,” the report said.

Investments in RE projects increased after the Philippine government allowed full foreign ownership in the sector, which was previously capped at 40%.

However, issues related to the delays in the Philippine government’s repayment of VAT refunds affected investor sentiment.

“Divestment or scaling down of operations by some multinational enterprises in the face of challenges related to a VAT rebate also contributed to the declining situation,” the report said.

The Philippines, under Section 12 of the Tax Code, allows VAT-registered entities whose sales are zero-rated to apply for the issuance of a tax credit certificate or refund of creditable input tax.

Under the law, the Bureau of Internal Revenue (BIR) commissioner shall grant a refund for creditable input taxes within 90 days.

However, there was confusion over VAT exemptions and VAT zero-rating of local purchases of registered business entities due to inconsistencies between the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act and its implementing rules and regulations.

The Philippine government hopes to address this issue with the proposed CREATE MORE (Maximize Opportunities for Reinvigorating the Economy), which was ratified by the Congress last month.

Under CREATE MORE, the government plans to establish an enhanced VAT refund system that grants refunds of creditable input taxes within 90 days from the filing of the applications.

The measure also mandates the Department of Finance to establish a VAT refund center in the BIR and the Bureau of Customs to handle the electronic processing and granting of refunds of creditable input taxes.

The Bangko Sentral ng Pilipinas expects FDI net inflows to hit $10 billion at end-2024.

INVESTMENT TRENDS
Within ASEAN, the number of megadeals or international project finance deals exceeding $500 million fell to 38 last year from 60 in 2022, the report said. The Philippines and Indonesia received three-quarters of these mega-deals last year.

“Half (19) were in activities related to RE, such as electricity generation, battery production, and critical minerals mining and processing,” it said.

From 2020 to 2023, RE-related industries attracted an average of $27 billion in investments annually. These include critical minerals extraction and processing, renewables manufacturing, and renewable power generation.

“The five largest deals during this period were in solar and wind power generation. Most of the top 20 projects were in Vietnam, Indonesia, and the Philippines, in that order,” the report said.

The largest international project finance during the period was BlueFloat Energy’s Philippine Offshore Wind Portfolio, which has an estimated cost of $38 billion.

OUTLOOK
Meanwhile, net FDI inflows in the ASEAN region are projected to exceed an annual average of $300 billion from 2024 to 2030, the report said.

“The FDI outlook for the region is promising, with robust growth in announced greenfield investment in 2023, ongoing regional integration, and growing favorable investment sentiment,” said the report.

The stabilization of interest rates could also lead to a recovery in global international project finance, which may boost investments in the region.

Multinational enterprises in the region have continued to report higher profits and are optimistic about growth, the report said.

“Many reported plans to further invest in the region over the next few years because of the improving investment environment and expanding investment opportunities,” it added.

However, greater competition, concern over global economic growth and fracturing, financial tightening, inflationary pressures, and geopolitical tensions are among headwinds that could hamper FDI inflows into the region, the report said.

At the same time, internal challenges, including limitations on absorptive capacity, lack of skills development, will continue to pose concerns.

“Although these are longer-term structural challenges, actions to address them need to begin now to facilitate deeper integration and a post-ASEAN Economic Community 2025 era more conducive to investment,” it said.

The ASEAN Investment report was prepared by the ASEAN Secretariat and the United Nations Trade and Development. — Justine Irish D. Tabile

PSE seen to miss IPO target

October 15, 2024 | 12:32 am

By Revin Mikhael D. Ochave, Reporter

THE PHILIPPINE Stock Exchange (PSE) will likely miss its target of six initial public offerings (IPOs) this year, as analysts expect better market conditions in 2025.

“This year, definitely there’s not enough time remaining for the PSE to reach its target of 6 IPOs,” AP Securities, Inc. Research Head Alfred Benjamin R. Garcia told BusinessWorld in a Viber message.

So far this year, there have only been three IPOs, namely, gold and copper mining company OceanaGold (Philippines), Inc., renewable energy companies Citicore Renewable Energy Corp., and NexGen Energy Corp.

The Securities and Exchange Commission has cleared the P2.87-billion IPO of Top Line Business Development Corp. The Cebu-based fuel retailer is planning to go public in November.

“Given the trend so far, it appears unlikely that any major IPO will occur before the end of 2024. However, this cannot be completely ruled out, as smaller-scale listings may still emerge unexpectedly,” Globalinks Securities and Stocks, Inc. Trader Mark V. Santarina said in a Viber message.

Mr. Santarina said the window for companies to prepare and launch an IPO this year is shrinking.

China Bank Capital Corp. Managing Director Juan Paolo E. Colet said more equity deals are expected in 2025 amid the current bullishness in the stock market.

“If we sustain the momentum into 2025, then we should anticipate more equity deals — IPOs, follow-on offerings, and stock rights offerings — next year,” Mr. Colet said in a Viber message.

Mr. Colet said there could be six IPOs in 2025, with candidates coming from the gaming, renewable energy, infrastructure, consumer, and real estate investment trust (REIT) sectors.

“If the stock market stays strong till next year, and economic conditions really improve next year, conditions will be more conducive for IPOs,” COL Financial Group, Inc. Chief Equity Strategist April Lynn C. Lee-Tan said in a Viber message.

The PSE index surged past the 7,500 level on Oct. 7, posting its best finish since January 2020. Investor sentiment has been improving amid expectations of further easing by the Philippine central bank.

The Bangko Sentral ng Pilipinas (BSP) began its easing cycle with a 25-basis-point cut at its Aug. 15 meeting, bringing the key rate to 6.25% from a 17-year high of 6.5%.

Meanwhile, Mr. Garcia said he expects a minimum of four IPOs next year, but his optimistic forecast is six to seven IPOs.

“For next year, we’re hoping that Razon’s Prime Infrastructure Capital, Inc. (Prime Infra) will finally push through with its massive IPO. Other than that, we’re seeing more consumer-centric IPOs like restaurants, retail and gaming,” he said.

Mr. Santarina said the outlook for IPOs is more promising next year amid the improving macroeconomic environment.

“With the PSE looking into new rules for Global Philippine Depositary Receipts (GPDR) and an improving macroeconomic environment, 2025 could see a return of IPO activity. This would be in line with broader market recovery expectations and companies waiting for a more favorable investment climate,” he said.

The PSE recently issued the draft guidelines for the GPDR, which refers to peso-denominated instruments representing economic interest in an underlying security listed on an overseas stock exchange.

The market operator said that GPDR’s introduction to the local bourse will allow for cross-border trading in the PSE and will enable investors to diversify their portfolio and hold foreign securities without having to directly trade in overseas markets.

Mr. Santarina said he expects several big names to go public next year.

“In 2025, GCash, Prime Infra, and SM Prime Holdings, Inc.’s REIT could lead major IPOs in the Philippines. GCash may go public, leveraging its large user base and financial tech services. Prime Infra might list to support its sustainable infrastructure projects, while SM Prime could offer another REIT, capitalizing on its extensive real estate assets for income-seeking investors,” he said.

SM Prime has deferred its planned REIT IPO, while Razon-led Prime Infra also postponed its first share sale, citing lackluster market conditions.

GCash is still waiting for the right market conditions to conduct an IPO at the local bourse but has floated the possibility of an overseas listing as well.

Philippines is least exposed to China’s economy — Nomura

October 15, 2024 | 12:31 am

China-financial district — A view of the financial district of Pudong is seen through a hole on a bridge in Shanghai, China, Sept. 27, 2024. — REUTERS

THE PHILIPPINES is the least exposed to China’s economy, potentially limiting the impact of the latter’s stimulus measures, Nomura Global Markets Research said.

“Among the various uncertainties surrounding Asia’s economic outlook — US economic strength, US elections, the speed of Fed rate cuts and geopolitical tensions — China’s recent stimulus blitz is the latest addition,” it said in a report.

The report said that the Philippines and India are the least exposed within the region amid its “weak trade and investment linkages with China.”

Based on Nomura’s exposure scorecard, the Philippines has the least exposure to China’s economy with a score of 19. The scorecard assesses the potential transmission of exposure to exports, commodities, investment, and financial markets.

This is compared with India (35), Japan (54), Indonesia (79), South Korea (85), Thailand (108), Hong Kong (117) and Singapore (179). Meanwhile, Australia was seen to have the most exposure to China with a score of 190.

“The Philippines has the lowest exposure, more so in recent years, in part because, in our view, geopolitical tensions have limited foreign direct investment (FDI) inflows from China and supply chain re-orientation benefits,” it added.

Tensions between the Philippines and China have worsened in the past year as Beijing continues to block resupply missions at Second Thomas Shoal, where Manila has a handful of soldiers stationed at a World War II-era ship that it grounded in 1999 to bolster its sea claim.

In terms of monetary policy, Nomura said China’s growth outlook will weigh the most on Singapore.

“For Bank Indonesia and Bangko Sentral ng Pilipinas, which have already started their easing cycles, we expect they will remain measured in their approach and will weigh other external factors that impact FX (foreign exchange) stability, such as the Fed and geopolitical risks, more heavily than China’s growth prospects,” it said.

In August, the central bank began its easing cycle with a 25-basis-point cut. The Monetary Board is set to meet on Wednesday (Oct. 16) for its next policy review.

Nomura noted ties between China and the rest of the region have weakened in the last few years.

“China matters, but the spillovers from China to the rest of Asia have weakened over the last decade, due to a fall in Asia’s export share to China,” it said, adding that tourist arrivals from China have also dropped across Asia.

Since Sept. 24, China has announced monetary policy easing and liquidity support for equity markets. China on Saturday pledged to “significantly increase” debt to boost economic activity but lacked details on the size and timing.

Nomura sees China’s gross domestic product (GDP) growth at 4.6% this year, before slowing to 4% in 2025.

The proposed stimulus measures by China will not necessarily lead to inflationary pressures for the region, it said.

“Any China stimulus is typically seen as inflationary for Asia. However, if China stimulus is aimed more at the supply side, such as more incentives or loan support for manufacturing, this can exacerbate existing overcapacity issues over time,” Nomura said.

Nomura noted Asia’s exports to China are most sensitive to China’s property construction investment, followed by China’s retail consumption.

“If Beijing announces faster construction of infrastructure projects, then Asia may benefit less, but if fiscal stimulus is announced for property and this propels property investment higher, it could broaden Asia’s exports recovery and lift commodity prices,” it said.

Nomura said it is unclear if China’s current stimulus measures will lead to a sustained economic recovery, but noted there will be market and currency spillovers.

“In the short term, our equity strategists note that there is a possibility of further rotation, as investors fund their reallocations to China to more neutral weightings by cutting back on India, ASEAN (Association of Southeast Asian Nations) and even Korea,” it said.

The report was authored by Nomura research analysts Euben Paracuelles, Sonal Varma, Andrew Ticehurst, Jeong Woo Park, Si Ying Toh, Aurodeep Nandi, Charnon Boonnuch, Nabila Amani and Yiru Chen. — Luisa Maria Jacinta C. Jocson

Megaworld earmarks P15B for 84-hectare Ilocandia Coastown

October 15, 2024 | 12:09 am

Ilocos-Norte-Saud-Beach — INVEST.ILOCOSNORTE.GOV.PH

LISTED property developer Megaworld Corp. is allotting P15 billion to develop a township in Laoag City, Ilocos Norte, over the next 10 years, marking the company’s first property development in Northern Luzon.

The company is developing the 84-hectare Ilocandia Coastown mixed-use beachfront township, its 34^th township development overall, Megaworld said in a statement to the stock exchange on Monday.

Ilocandia Coastown will have upscale residential developments, a shophouse district, a commercial district, and a town center.

It will also feature a 1.4-kilometer beach line that includes an area for sand dunes.

“We are already present in Central and Western Visayas, the two fastest-growing regions in the country when it comes to the local economy. Now it’s time to be in Ilocos to complete our presence in the three fastest-growing regions in the country today. We are very excited to showcase our signature township lifestyle in Ilocandia,” Megaworld President Lourdes T. Gutierrez-Alfonso said.

Ilocandia Coastown will be adjacent to the Fort Ilocandia Hotel and is only around 15 minutes away from Laoag International Airport.

It is likewise less than 30 minutes away from Paoay Church.

The property’s architectural inspiration will be drawn from Filipino and Spanish heritage designs.

“This is a wonderful start for our group’s investment in the Ilocos Region, particularly in the capital city of Laoag. We see a lot of opportunities in this part of the country, especially in tourism, and we hope to unlock these opportunities through this development,” said Kevin Andrew L. Tan, president of Megaworld’s parent company Alliance Global Group, Inc.

The Department of Information and Communications Technology has named Laoag as one of the 25 cities for its Digital Cities 2025 program, describing the city as a “viable business center capable of strengthening the countryside’s economic development.”

In April, the Philippine Statistics Authority cited Ilocos Region as the third fastest-growing economy in the Philippines, trailing only Central Visayas and Western Visayas.

Megaworld announced in August that it was developing a P12-billion “wellness township” in Lipa City, Batangas, marking the 33^rd township development in its portfolio.

On Monday, Megaworld shares rose 1.38% or three centavos to P2.20 per share. — Revin Mikhael D. Ochave

Meralco, Samsung C&T partner for nuclear energy initiative

October 15, 2024 | 12:08 am

MANILA Electric Co. (Meralco) and South Korea’s Samsung C&T Corporation Engineering & Construction Group have entered into a partnership to advance the adoption of nuclear energy projects in the Philippines, supporting the government’s long-term goals for energy security.

Under the memorandum of understanding (MoU), the two companies will discuss the technical design and capabilities of nuclear technology, as well as the prevailing regulatory framework, energy landscape, and necessary grid infrastructure, Meralco said in a statement on Monday.

“Through this MoU, Meralco stands to gain a comprehensive understanding of the critical aspects of nuclear energy development that will ensure that our future decisions are well-informed and aligned with international best practices,” said Ronnie L. Aperocho, Meralco’s executive vice-president and chief operating officer.

“This aligns well with Meralco’s continuous efforts to work with global knowledge and technology partners to help us in our transition towards more diversified and sustainable energy sources,” he added.

With the execution of the agreement, Samsung C&T plans to actively engage in the construction of large nuclear power plant projects and small modular reactor projects in the Philippines, Meralco said.

Manuel V. Pangilinan, chairman and chief executive officer of Meralco, said that the company’s collaboration with Samsung C&T is a “strategic move that cements its commitment” to contributing to the government’s efforts to integrate nuclear energy into the power supply mix.

“As we collectively work on the safe and secure adoption of this next-generation technology, we remain focused on our ultimate goal of ensuring energy security and achieving sustainable and inclusive growth in the Philippines,” Mr. Pangilinan said.

The government aims to have commercially operational nuclear power plants with a capacity of at least 1,200 megawatts (MW) by 2032 and 2,400 MW by 2040.

Meralco’s partnership with Samsung C&T follows the recent announcement of collaboration between the Philippines and South Korea to conduct a feasibility study on the revival of the mothballed Bataan Nuclear Power Plant (BNPP).

Last week, the company said it has also inked an MoU with Doosan Enerbility Co., Ltd., another South Korean firm, to explore collaborations on developing low-carbon energy projects in the Philippines, including the rehabilitation of the BNPP.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT, Inc.

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

Pinoy music goes global on Spotify

October 15, 2024 | 12:07 am

The-first-ever-Spotify-Lounge-in-the-Philippines — THE SPOTIFY LOUNGE

Spotify Philippines reveals growth at 10^th anniversary celebration

THIS YEAR, Filipino music is set to continue making waves across the globe with the refreshed Pinoy Music Hub on Spotify which contains playlists that span genres, moods, and moments that highlight local artists. This was announced in time for the platform’s 10^th anniversary in the country.

The amount of Pinoy music on the site has “quadrupled over the past five years,” according to Spotify Asia’s head for music Kossy Ng, in a press briefing held on Oct. 8.

The briefing was followed by the Spotify Lounge concert at the Samsung Hall in SM Aura, Taguig, that celebrated Pinoy music. Trending artists like Ben&Ben, Illest Morena, and Maki performed.

Spotify Philippines’ 10^th year has been seeing an increase in the number of streams of Filipino music from all over the world. “P-pop girl group BINI is a notable example, boasting a listenership growth of 500% since 2022. The top four countries contributing to streams are the USA, Canada, and Indonesia,” said Ms. Ng.

The entire genre of P-Pop recorded a 138% year-on-year growth in the number of streams in the past year alone.

“Everything that is happening here — Filipino fans sharing and streaming — is actually making ripple effects across the world,” she added.

Gustav Back, Spotify’s managing director for Southeast Asia, told BusinessWorld separately that Spotify’s hub of playlists and programs promoting local artists are “curated by a music team that is data-informed.”

He explained that Metro Manila tends to be “a trigger city” that determines if an artist will do well all over the world.

“When something takes off in Manila, that’s a great predictor of how it’s going to do in other parts of the world,” he said at the Oct. 9 roundtable. “We have a lot of examples where a global artist has seen their success here first and that has then translated to other markets globally.”

Within the Philippines, Pinoy hip-hop is a genre that has seen a 600% increase in global daily streams in the past five years. This led to Spotify starting the nationwide concert tour Kalye X which brought Pinoy hip-hop acts to different stages around the country. The tour is still ongoing.

Ms. Ng said that when Spotify began in the country, it mainly saw foreign acts in its top 50 chart. The turning point was 2017, with the likes of Ben&Ben and Moira Dela Torre leading the charge in increasing local music’s streams.

Now, the majority or 75% of the tracks on Spotify Philippines’ Top 50 chart are local music, she revealed.

During the Spotify Lounge concert, awards were given to Filipino musicians whose songs have been streamed 200 million times on the platform. These include “Tadhana” by Up Dharma Down, “Kathang Isip” by Ben&Ben, and “Pano” by Zack Tabudlo.

“We remain dedicated to empowering Filipino talents and continuing to elevate Pinoy music on the global stage,” Ms. Ng said.

The Pinoy Music Hub’s playlists on Spotify include: Tatak Pinoy, Kalye, P-Pop on the Rise, and timeless favorites like OPM Hits of the 1980s, ’90s, and 2000s. Playlists catering to specific moods include Kilig Pa More, Hugot, and Panalo. — Brontë H. Lacsamana

Ayala Greenfield Interchange project breaks ground

October 15, 2024 | 12:07 am

SAN MIGUEL Corp. (SMC) and Ayala Land, Inc., through Ayala Greenfield Development Corp., will commence construction of the Ayala Greenfield Interchange next month.

“We are not simply breaking ground on a new infrastructure project; we are laying the foundation for enhanced connectivity and growth, enriching the lives of the communities that we serve,” Ayala Land Chairman Jaime Augusto Zobel de Ayala said in a media release on Monday.

The two companies initiated the groundbreaking for the project on Monday.

The project is considered a critical infrastructure development aimed at enhancing connectivity and driving economic growth in Southern Luzon, according to Ayala Land.

Ayala Greenfield Development is a joint venture between Ayala Land and the Greenfield Group, the developer of the 550-hectare premier residential Greenfield Estates in Laguna.

Once completed, the Ayala Greenfield Interchange will connect South Luzon Expressway (SLEx) Toll Road 3 (TR3) to local roads while enhancing access to both SLEx and the STAR Tollway.

The interchange will also reduce travel time for travelers from Ayala Greenfield Estates, as it aims to provide direct access to AyalaLand Premier’s residential community, Ayala Land said.

The improved full-directional facility will enable seamless movement between SLEx and Sto. Tomas, Batangas, the company said, adding that it is also banking on the completion of SLEx Toll Road 4, which will cut travel time between Sto. Tomas, Batangas, and Lucena to 45 minutes from the usual three hours.

“We are proud to partner with Ayala on this project. This is part of SMC Infrastructure’s larger initiative to improve and expand our southern tollways network, particularly the South Luzon Expressway. By the end of the year, we expect to turn it into a 6×6-lane expressway. With this, we can better support and sustain the long-term growth of the Calabarzon region,” SMC President and Chief Executive Officer Ramon S. Ang said in a statement.

SMC is currently conducting the expansion of SLEx, which hit 70% completion as of August and is expected to be finished by the end of the year.

At the local bourse on Monday, shares in SMC ended 45 centavos, or 0.51% higher, at P88.95 apiece, while shares in Ayala Land gained 65 centavos, or 1.84%, to end at P36 each. — Ashley Erika O. Jose

Cine Europa adds Slovenia, Lithuania to film lineup

October 15, 2024 | 12:06 am

Cine-Europa-2024-films-from-Poland-Ukraine-Slovena-Lithuania — POSTERS of Cine Europa 2024’s films from Poland, Ukraine, Slovenia, and Lithuania

Guest country Ukraine to present two films

CINE EUROPA opens its 27^th edition on Oct. 18 in Metro Manila, Baguio, Iloilo, Cebu, and Bacolod. It will screen European films for free until Oct. 27.

This year, the festival showcases 20 films presented by Alliance Française de Manille, the Goethe Institut, the Instituto Cervantes, the Philippine Italian Association, and various European Union (EU) member states.

“There are many Overseas Filipino Workers living in the EU, so a lot of Filipinos have family there or have visited European cities. I think sometimes they have this image of Europe being either wealthy or in war. These movies can show the many issues in Europe,” said Ana Isabel Sanchez-Ruiz, deputy head of the EU Delegation, at the press launch on Oct. 10.

“There are unemployed people, places where public services don’t work, people who feel they are not free or respected. Europe is diverse and there are all kinds of situations the Filipino public can learn about,” she added.

First-time participants in the festival are Slovenia and Lithuania, while Ukraine is the guest country with two films in the lineup.

Dragan Barbutovski, Chargé d’Affaires of the newly established Slovenian Embassy to the Philippines, said that “it was honor to join the festival and share cultures through film.

“We might be thousands of miles apart but, at the end of the day, we have the same passion for certain things, the same emotions. Those are what bring us together,” he said at the press launch.

Cine Europa’s five screening locations are the Shangri-La Plaza mall cinema in Metro Manila, the University of the Cordilleras in Baguio, the University of San Agustin in Iloilo, the University of the Philippines in Cebu, and the University of St. La Salle in Bacolod.

Moviegoers can expect films of all genres, according to. Ms. Sanchez-Ruiz. “There is no particular theme, but we brought together a dynamic collection that offers unique stories reflecting the rich cultural tapestry of Europe.”

THE FILMS TO BE SHOWN ARE:
• Austria’s Mermaids Don’t Cry (2022), directed by Franziska Pflaum, is a fantasy dramedy that follows supermarket saleswoman Annika who dreams of acquiring a glamorous mermaid fin amid her chaotic life.

• Belgium’s Souvenir (2016), directed by Bavo Defurne, is a dramedy about a once-famous singer who returns to the stage after a young boxer encourages her to.

• Cyprus’ The Man with the Answers (2021), directed by Stelios Kammitsis, is a road-trip drama that follows two men’s journey in the Italian countryside as one of them heads to Germany to find his estranged mother.

• Czech Republic’s She Came at Night (2023), directed by Jan Vejnar and Tomáš Pavlíček, is a horror film tinged with black humor that follows a couple whose lives are turned upside down when one of their mothers takes over their home.

• Denmark’s Long Story Short (2015), directed by May el-Toukhy and Maren Louise Käehne, is a dramedy about the tangled love lives of a group of friends told over the course of eight parties.

• Finland’s The Other Side of Hope (2017), directed by Aki Kaurismäki, is a drama about a Syrian refugee and a middle-aged Finnish salesman who discover humanity and kindness amidst adversity.

• France’s The Strange Case of Jacky Caillou (2022), directed by Lucas Delangle, is a French Alps-set drama where a young man who lives with his traditional healer grandmother hopes to perform a miracle of his own.

• Germany’s Sun and Concrete (2020), directed by David Wnendt, is a coming-of-age crime drama that follows a group of teens in Berlin who devise a high-stakes plan to escape poverty.

• Hungary’s Paw (2015), directed by Robert-Adrian Pejo, is a children’s film and family drama that follows the heartwarming journey of Zoli and his rescue dog Paw as they overcome various challenges.

• Ireland’s That They May Face the Rising Sun (2023), directed by Pat Collins, is a drama adapted from a novel by John McGahern which portrays a year in the life of a small Irish lakeside community in the 1970s.

• Italy’s Diabolik (2021), directed by Antonio and Marco Manetti, is a crime romance that follows the enigmatic superhero Diabolik and the alluring Eva Kant in 1960s Clerville, with Inspector Ginko as their foe.

• Lithuania’s Remember to Blink (2022), directed by Austėja Urbaitė, is a drama about a French couple that adopts Lithuanian children and hires a bilingual student to help them adapt, and the ensuing cultural tensions.

• Luxembourg’s Icarus (2022), directed by Carlo Vogele, is an animated film that intertwines Greek fables with Icarus at the center, as he encounters friends like the Minotaur and foes like King Minos.

• Poland’s Dangerous Gentlemen (2022), directed by Maciej Kawalski, is a crime comedy that follows four men in a mountain retreat as they wake up after a wild night of partying to find a dead man on their couch.

• Romania’s This World is My Arena (2023), directed by Tedy Necula, a biopic that follows the inspiring story of George Baltă, a paralyzed rugby player-turned-marathoner and motivational speaker.

• Slovenia’s The Man Without Guilt (2022), directed by Ivan Gergolet, a slowburn revenge drama about a widow whose husband died from asbestos exposure working as a caregiver for his former employer.

• Spain’s La Flota de Indias (2021), directed by Antonio Perez Molero, a documentary exploring the historical impact of the Spanish fleets that transformed the New World and fueled globalization over two centuries.

Sweden’s Tigers (2021), directed by Ronnie Sandahl, a drama that delves into the harsh world of professional soccer, where a young talent’s dreams turn into a nightmare of obsession and pressure.

• Ukraine’s Taste of Freedom (2024), directed by Alexander Berezan, a drama set in the vibrant streets of Lviv where a young cook pursues her dream of becoming a chef at a prestigious restaurant.

• Ukraine’s Another Franko (2021), directed by Igor Visnevsky, a historical drama centered on Peter Franko, the son of a renowned Ukrainian writer, whose life unfolds amid the events of World War II.

For more information and screening schedules, visit Cine Europa’s social media pages. — Brontë H. Lacsamana

FEU’s first-quarter net loss widens to P99.76M

October 15, 2024 | 12:06 am

FEU — FAR EASTERN UNIVERSITY FACEBOOK PAGE

LISTED educational institution Far Eastern University, Inc. (FEU) reported an attributable net loss of P99.76 million for the first quarter of its fiscal year ending May, widening from P73.09 million last year.

First-quarter revenue increased 6% to P616.1 million from P581.25 million as educational revenue surged on better enrollment during the midyear term, FEU said in a stock exchange disclosure on Monday.

However, operating expenses increased by 15% to P753.54 million due to accruals and the earlier timing of certain costs.

Operating loss rose by 80% to P137.44 million.

“First-quarter operations usually result in an operating loss due to the seasonality of tuition revenue recognition. This starts to normalize the following quarter at the onset of first-semester classes in the month of August,” FEU said.

FEU remains optimistic about maintaining a healthy financial position and sound academic operations for the 2024-2025 school year.

“Operationally, student enrollment grew 2%, with greater growth in basic education than in tertiary due to demographic dynamics. Efficiency through effective cost monitoring will remain to be the norm, yet all academic excellence and core student service initiatives are of high priority,” it said.

“Management continues to take a conservative outlook of the economy and a prudent stance in the implementation of investment and overall operational plans,” FEU added.

The company operates Far Eastern University in Manila and is the majority shareholder of East Asia Computer Center, Inc., FEU Alabang, Inc., Far Eastern College Silang, Inc., FEU High School, Inc., and Roosevelt College, Inc.

On Monday, FEU shares dropped 8.4% or P66 to P720 per share. — Revin Mikhael D. Ochave

Film Emilia Perez helped Selena Gomez and Zoe Saldana ‘feel’ and ‘reconnect’

October 15, 2024 | 12:05 am

Zoe-Saldana-in-Emilia-Pérez-(2024) — IMDB

LONDON — Superstars Selena Gomez and Zoe Saldana say making the genre-bending movie Emilia Perez allowed them to tap into their emotions and talents.

Directed by French auteur Jacques Audiard, Emilia Perez merges the diverse genres of musicals, crime and comedy to tell the story of a Mexican cartel leader, played by Karla Sofia Gascon, who transitions from male to female and starts a non-profit dedicated to finding the bodies of disappeared people.

Ms. Gascon, a transgender actress, portrays both the male and female identities of Emilia Perez. Ms. Saldana takes on the role of the lawyer aiding Ms. Perez in her transition journey, while Ms. Gomez depicts the mother of Ms. Perez’s children.

Texas-born Ms. Gomez described the project as a “gift of patience and audaciousness.”

“I should be happy in my life. I should be passionate. I should be frustrated when it’s my time to feel frustrated. It allowed me to feel,” she said at the movie’s London Film Festival premiere on Friday.

Emilia Perez is presented in melodious Spanish and showcases the singing and dancing skills of its cast.

“It gave me an opportunity to reconnect with a part of me that I had so long ago said good-bye to,” said Ms. Saldana.

“As I made my introduction into acting, I sort of shed that skin of dancing, even though I was able to utilize the skills to sort of enhance a career in action genre-driven films. But I miss it. I will always be a dancer at heart,” the Avatar and Guardians of the Galaxy star said.

The film debuted at Cannes in May, where it was doubly honored, winning the festival’s jury prize and Saldana, Gascon, Gomez, and Adriana Paz sharing the best actress award. Oscar buzz has ensued.

“I’m grateful if this takes me all the way there. It would be a dream come true,” said Ms. Saldana, adding: “but I was raised by a woman that always compelled me to be proud of other women. And if I’m going to be cheering on another woman in my category, if I even make it to these categories, I’m going to be just as happy and just as proud.”

Emilia Perez streams on Netflix from Nov. 13. — Reuters

URC, Holcim partner with Obando gov’t for waste management

October 15, 2024 | 12:05 am

UNIVERSAL ROBINA Corp. (URC) and cement producer Holcim Philippines, Inc. have partnered with the local government of Obando town in Bulacan for a waste management initiative.

URC, Holcim, and Obando officials recently signed a tripartite agreement to provide incentives for workers at the town’s material recovery facility (MRF) based on the volume of waste diverted.

“This new agreement, with Obando as a key partner, aims to further drive community-based waste diversion efforts. We hope to replicate it in other towns and cities to amplify the impact of what we set out to do three years ago,” URC President and Chief Executive Officer Irwin C. Lee said in an e-mailed statement on Monday.

As of writing, the MRF in Obando has collected and sorted 785 metric tons of plastic waste for co-processing.

The town’s MRF workers received rice sacks during the agreement’s signing ceremony in recognition of their role in the program.

For the past three years, URC and Holcim, through waste management unit Geocycle, have been processing waste plastic from URC’s operations for proper and secured treatment through cement kiln co-processing.

Nonrecyclable plastics are converted into alternative fuels for the cement kiln used to produce cement at Holcim’s plant in Misamis Oriental.

Meanwhile, Holcim Chief Sustainability Officer Samuel O. Manlosa, Jr. said the waste management agreement supports Holcim’s sustainability plans.

“This supports our goals to accelerate decarbonization and circularity of operations by reducing reliance on conventional fuels and virgin raw materials and make a positive impact on communities,” he said. — Revin Mikhael D. Ochave

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