Facebook Instagram Linkedin X Youtube
Home Blog Page 1174

Smart says it is moving forward with network upgrade

STOCK PHOTO | Image by terimakasih0 from Pixabay

PLDT INC., through its wireless unit Smart Communications, Inc., said it had tested optical transport network disaggregation technology to enhance its network performance.

“PLDT and Smart have long been exploring open and disaggregated architectures to modernize their network infrastructure. This strategic direction also aligns with previous initiatives,” Smart said in a media release on Tuesday.

The telecommunications company described the test as key to transforming its network into a more open and flexible one, allowing it to upgrade its network performance and increase its operational efficiency.

Smart said network disaggregation allows telecommunications companies to choose vendors for software and hardware separately, resulting in interoperable hardware and software from multiple suppliers, whereas traditional and vertically integrated networks relied on a single vendor.

“It also ushers in a competitive ecosystem with more options that can reduce costs and accelerate service delivery,” the company said.

Radames Vittorio B. Zalameda, Smart vice-president and head of wireless network strategy and architecture, said this approach will improve service delivery and also set a foundation for long-term transformation.

“By virtualizing and decoupling transport functions from proprietary hardware, we are building a more agile, scalable backbone… Our lab tests confirm that disaggregated solutions are now reaching operational readiness,” Mr. Zalameda said.

At the local bourse on Tuesday, shares of PLDT closed unchanged at P1,290 apiece.

Smart is the wireless unit of PLDT Inc. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

Following the footsteps of Vietnam

STOCK PHOTO | Image by Quang Nguyen Vinh from Unsplash

(Part 2)

People who help transform society and specific sectors of society are usually classified as thinkers (the theorists) and doers (the implementors). Those of us who joined the agribusiness road show to Vietnam on June 24 to 27 were fortunate to have as one of our speakers someone who is both a thinker and very much a doer. Christian Eyde Moeller is someone who walks his talks. He is a professional who not only meticulously prepares a strategic plan and a playbook but also shows the way to those who work for him the actual steps needed to reach his goals.

In his presentation on Vietnam’s agricultural performance, he first outlined the “Four Pillars of Vietnam’s Success.”

The first pillar had to do with bold policy reforms implemented by the Socialist government from 1988 to 1997: in 1988, Resolution 101 involving land-use rights; in 1993, the Land Transfer Law that enabled transfers of land; and in 1997, the rice export quota was removed.

The second pillar was the encouragement of private investments within a market economy. This resulted in $3.31 billion in foreign direct investments (FDI) in agriculture in 1990. In 2022, there was an additional $68 million in FDI in agriculture, with Bayer and the TH group in joint ventures.

The third pillar was the heavy investments in countryside infrastructure — some 595,000 kilometers of roads, coupled with universal electrification which brought electricity costs to $0.073/kilowatt-hour (kWh) compared to $0.15/kWh in the Philippines.

The fourth pillar was the focus on worker productivity that reached $6,500 per worker, 70% mechanization, and an average monthly wage of $150. Today the average monthly wage in Vietnam is $697 compared to $790 in the Philippines.

The data provides the answer to why the factories leaving China are flocking to Vietnam and hardly come to the Philippines: it has better infrastructure, lower energy costs, and lower wages.  Hopefully, the Luzon Economic Corridor being planned by the US and Japan to significantly improve the infrastructure connecting Batangas to Manila to Bataan can shift some of the factory relocation from China to the Philippines away from Vietnam.

AGRICULTURAL SUCCESS
The success of Vietnam (as compared to the Philippines’ performance) is especially pronounced in agriculture. Mr. Moeller lists Vietnam’s winning crops (as of 2024) as coffee ($5.2 billion), durian ($3.2 billion), shrimp ($4 billion), and rice ($5.7 billion). The more worrying development is the so-called “coconut threat” posed by Vietnam. We have to keep in mind that there are some 3.6 million hectares planted to coconuts in the Philippines. At the moment, our coconut exports still outpace those of Vietnam: $2.4 billion vs. $1.1 billion. The annual growth of Vietnam’s coconut exports is, however, 13.6% compared to our 9.5%. Even more worrying is the much higher productivity of coconut farming in Vietnam which is 7.85 metric tons per hectare (MT/ha) compared to the Philippines’ 4.53 MT/ha.

At the micro level, Mr. Moeller can speak from personal experiences about how the Philippine Government suffers when compared to the socialist state of Vietnam. There is what he calls the “government support gap” in the Philippines. Vietnam adopted a policy in building comprehensive rural infrastructure while the Philippines’ local governments lack funding for critical farm-to-market roads. Vietnam achieved 51,000 kilometers of rural networks with universal electrification as compared with the Philippines’ patchy 36% road quality and 70% electrification rate. Constitutional land ownership limits deter foreign direct investment in the Philippines while Vietnam’s more flexible land-use policies attract international partnerships. The Philippines faces an average of $1 billion in typhoon damage annually while Vietnam has invested in climate-smart, resilient systems.

LESSONS TO LEARN
In summary, he listed lessons that the Philippines can learn from the agribusiness success story of Vietnam:

• Centralize infrastructure building. The Department of Agriculture (DA) must lead in the provision of farm-to-market roads to the small farmers. Mindanao should be linked to ports all over the country. There can be ADB partnership for rural connectivity. There needs to be climate-resilient bridge and port design.

• Lower the cost of electricity. Our energy officials should target the $0.073/kWh of Vietnam. They can scale geothermal from 10% to 25% of the energy mix. There must be reforms to EPIRA (the Electric Power Industry Reform Act of 2001) to cut pass-through charges.

• Adopt Vietnam’s system of foreign land leases.

• Focus on climate-resilient design. They should adopt one-in-50-year flood standards, typhoon-proof connectivity, and solar grid networks.

• Boost processing. They should attract Tetra Pak to Davao, develop local packaging supply, and cut the 70% dependency to 30%. They should build coconut milk export capacity.

• Fix the wage-productivity gap. There should be DA-led training programs for upskilling and reskilling farm and agribusiness workers. Mechanization should be supported, with local mechanization increasing from 30% to 70%. There should be digitalization of agriculture and 5G rural deployment. And we should align with our ASEAN peers (we should learn also applicable lessons from Malaysia, Thailand, and Indonesia.)

• Market diversification. We should develop mango and avocado value chains, join the EU organic certification program, and have a China market penetration strategy. Vietnam clearly has a geographic advantage vis-à-vis the China market. (I would add other products for Philippine agribusiness diversification: bamboo, durian, cashew, pili, coffee, and cacao.)

Mr. Moeller was emphatic about the indispensable role of the Nucleus Estates model developed by the Malaysians in the palm oil and rubber industries in the last century. The ideal size of a nucleus estate (whether for coconut, palm oil, coffee, bamboo, and other plantation crops) is 20,000 hectares, planting 208 palms per hectare, and it should be surrounded by small holder farming communities.

VIETNAM PERSPECTIVE
Up to this point we have been considering what the Philippines can learn from the Vietnamese economic development success from my point of view as a Filipino economist and from a European point of view — Mr. Moeller is from Denmark. Those who participated in the road show from both the Vietnamese and Philippine sides were thankful that a leading Vietnamese economist, Dr. Pham Van Dai from the Fulbright Institute, made a presentation entitled “Is Vietnam the Next Asian Tiger?” and answered that question for us.

He started his economic briefing by enumerating the key economic zones of his country: 1. North Mountainous (agriculture predominates, infrastructure is still poor, it is rich in natural minerals and low in human capital); 2. the Red River Delta (discussing the Mega City, Hanoi, FDIs, and electronics); 3. North Central (which has heavy industry such as steel, cement, and chemicals, and ports); 4. South Central (focusing on its tourism, its beach, manufacturing, heavy industry, particularly steel, and renewable energy); 5. Highland (heavy on agriculture with perennial plants such as coffee, pepper, cashew, and durian); 6. Southeast (which has a Mega City, a concentration of FDIs especially in light industries, is a university center, and has sea ports and airport); and, 7. the Mekong Delta (with a focus on rice, seafood and food processing).

Dr. Dai presented the latest macroeconomic data on Vietnam according to the World Bank: GDP at $433.7 billion; GDP per capita at $4,324; Agriculture value added accounts for 13%, Industry for 41.8% and Services for 45.2%; External Trade is at 185.7% of GDP; population is 100.4 million; the median age is 32.4 years.

During the last four decades, Vietnam has been the second-best performing economy in the Indo-Pacific region after China. Because of the focus on countryside and agribusiness development, it has done wonders in poverty alleviation — together with Malaysia and Thailand — bringing down poverty incidence to less than 5%. In the Indo-Pacific region, Vietnam stands out with two key comparative advantages, i.e., unparalleled natural conditions for diverse and productive agriculture (a tropical monsoon climate for year-round cultivation; fertile river deltas — the Mekong and Red deltas — and high-yield crops, and a diverse topography supporting specialized agriculture) and a productive workforce (abundant, cost-effective labor supply, generational farming expertise and an adaptable, skilled rural population).

It has to be pointed out, though, that the ultimate reason for its success is that the country has had the fortune of enlightened leadership who knew how to convert these competitive advantages for the common good of the Vietnamese society. The Philippines has been less lucky.

(To be continued.)

 

Bernardo M. Villegas has a Ph.D. in Economics from Harvard, is professor emeritus at the University of Asia and the Pacific, and a visiting professor at the IESE Business School in Barcelona, Spain. He was a member of the 1986 Constitutional Commission.

bernardo.villegas@uap.asia

Arts & Culture (07/30/25)

Hamlet, A Streetcar Named Desire onscreen

THE Cultural Center of the Philippines (CCP), through its groundbreaking program CCP National Theatre Live, traverses the complex human mind in classics Hamlet and A Streetcar Named Desire. Shot live from the National Theatres in London, Hamlet will be screened on July 29, 6 p.m., at Glorietta 4 Cinema 4 in Makati City, while A Streetcar Named Desire will be shown at the Ayala Malls Vertis North and Ayala Malls Central Bloc, Cebu on the same date and time. Academy Award-winning actor Benedict Cumberbatch plays the titular character in William Shakespeare’s most famous play, Hamlet. Meanwhile, Gillian Anderson, Vanessa Kirby, and Ben Foster lead the cast in Tennessee Williams’ timeless masterpiece, A Streetcar Named Desire. Regular ticket prices are P300 in Makati and Cebu, and P350 in Vertis North, with special ticket price for students at P150 upon presentation of valid ID. Visit the cinema ticket booth or book online via www.sureseats.com.

Rep, BP present Peter and the Wolf

BALLET meets drama meets orchestral music as Ballet Philippines (BP), Repertory Philippines (Rep), and the Manila Symphony Orchestra (MSO) collaborate for a kid-friendly season opener: Peter and the Wolf, a symphonic tale for children, and Little Red Riding Hood, a full-length ballet. Throughout the performance, live orchestral music will be provided by the MSO, with the full orchestra remaining onstage for the entire show. Peter and the Wolf and Little Red Riding Hood will run for five performances from Aug. 1 to 3 at The Theatre at Solaire in Parañaque City. Tickets are available via TicketWorld and at the Solaire Box Office.

Side Show: The Musical ongoing at Power Mac

ONGOING until Aug. 17 at Circuit Makati’s Power Mac Center Spotlight is the Sandbox Collective’s production of Side Show: The Musical, which revolves around the life of conjoined twins and their fellow “freaks” who live in a carnival in 1930s America. The cast features Jon Santos, Tanya Manalang, Molly Langley, and Marvin Ong. Tickets are available through Ticket2me.

New group presents Sopranong Kalbo

A NEW theater company, Teatro Meron, presents Rolando Tinio’s translation of Eugene Ionesco’s Sopranong Kalbo (The Bald Soprano), a classic of the Theater of the Absurd. Directed by Ron Capinding, it will have performances on Aug. 8 to 10 at the Rizal Minitheater of the Ateneo de Manila University in Quezon City. It stars Joel Macabenta, Miren Alvarez-Fabregas, Joseph dela Cruz, Pickles Leonidas, Goldie Soon, and Yam Yuzon. Tickets come in different categories, priced from P700 to P800 and are available at Ticket2Me.

New translation of Joaquin’s Portrait of the Artist

ARETÉ ATENEO is producing a Filipino translation of Nick Joaquin’s classic A Portrait of the Artist as Filipino, entitled Quomodo Desolata Es? The translation was written by Jerry Respeto and Guelan Varela-Luarca who is also the director. The play is set in Intramuros just before World War II and follows two sisters as they see the world change around them. It stars Gan Pangilinan, Dephine Buencamino, Omar Uddin, Vino Mabalat, and John Sanchez. There will be performances from Aug. 8 to 17 at the Hyundai Hall, Areté, Ateneo de Manila University in Quezon City. Tickets range in price from P999 to P1,499 and are available via Helixpay.

Raco Ruiz mounts 4th exhibit at Secret Fresh

VISUAL ARTIST Raco Ruiz has his fourth solo exhibit, NO WORRYS, running until Aug. 8 at Secret Fresh Gallery, Ronac Art Center, Ortigas Ave., San Juan City. Known for his signature blend of pop culture and personal storytelling, Mr. Raco is introducing a new series anchored by his original character, Razzl the Clown, now joined by a dopamine-dependent dalmatian named Dopa.

Saturday Group opens 57th anniversary exhibit

ARTISTS collective Saturday Group has marked their 57th anniversary with a major exhibit, 57, at Gallery Big at Shangri-La Plaza mall in Mandaluyong City. It is running until Aug. 9. The Saturday Group members who are part of the show include Ronnie Bercero, Franklin Caña, Daisy Carlos, Salvador Ching, Buds Convocar, Nida Cranbourne, Jonathan Dangue, Anna De Leon, Robert Deniega, Ysa Gernale, Maryrose Gisbert, Amado Hidalgo, Celeste Lecaroz, Francis Nacion, Roel Obemio, Carlo Ongchangco, Anthony Palo, Tessie Picaña, Omi Reyes, Joy Rojas, Eman Santos, Aner Sebastian, Sheila Tiangco, Magoo Valencia, Lydia Velasco, Joseph Villamar, Jik Villanueva, Migs Villanueva, Gene Artango-Villasper, Inna Nanep-Vitasa, Chewy Yap, and Melissa Yeung Yap.

Fintech Salmon’s rural bank books higher net profit

FINANCIAL TECHNOLOGY company Salmon Group Ltd.’s subsidiary Rural Bank of Sta. Rosa (Laguna), Inc.’s net profit nearly doubled in the first half of the year.

The bank posted a net income of P151.1 million in the January-June period, higher than the P82.5 million recorded a year ago, it said in a media roundtable on Tuesday.

“This comes from the profitable loans that we have and also our business model, which is very efficient,” Salmon Co-founder and Director and Rural Bank of Sta. Rosa (Laguna) Chairman Raffy Montemayor said.

Salmon operates the Rural Bank of Sta. Rosa (Laguna) and financing company Sunprime Finance, Inc. in the Philippines.

The bank’s consumer lending portfolio grew by 33.8% to P1.2 billion at end-June from P909 million as of end-2024.

“Our core banking system is cloud-based, so we don’t invest in data centers that are very costly to maintain. We also have two branches, so we’re lean,” he said.

Salmon’s mobile app also helps the bank service its customers’ needs without them needing to go to their physical branch, he added. “So, we have less fixed costs, and we’re able to pass these savings to our customers through higher interest rates on their deposit.”

Deposits also jumped by 66.7% to P952 million in the first half from end-2024.

“One main reason for this is our very attractive 8.88% interest rate on our time deposit, which we’ve been improving,” Mr. Montemayor said. “Before it was only for one year, and now we’re providing it for up to five years. And customers have the flexibility to choose whether their interest rate is paid to their checking account with us, or it compounds with the time deposit, so they can earn a bit more.”

The bank’s return on equity stood at 58.9% as of the first half, while its return on assets was at 24.9% and its capital adequacy ratio at 32.7%.

“This is one of the highest return on equity rates for banks,” he said. “We are well positioned for any unexpected shocks in the system or in the economy, so we’re able to ensure that we’re keeping customers’ money safe.”

Last month, Salmon announced that it raised $88 million from its latest funding round to expand its operations in the Philippines and across Southeast Asia.

“That will be primarily used to inject capital into the bank to support further growth since we do have to ensure we maintain adequate capital in the bank to fund our loan portfolio,” Mr. Montemayor said.

“So, we’ll keep injecting capital as needed by the bank.” — Luisa Maria Jacinta C. Jocson

Robinsons Retail Q2 profit drops on higher interest expenses

JGSUMMIT.COM.PH

GOKONGWEI-LED Robinsons Retail Holdings, Inc. (RRHI) said its attributable net income for the second quarter fell by 13.2% to P1.5 billion from P1.72 billion a year earlier due to higher interest expenses and losses from minority investments.

“Net income attributable to equity holders of the parent company was lower by 13.2% to P1.5 billion in the second quarter, driven by higher equitized losses from minority investments, and an uptick in interest expenses given increased borrowings,” RRHI said in a statement on Tuesday.

Consolidated net sales for April to June rose by 5.9% to P50.66 billion from P47.82 billion in the same period last year, due to election- and back-to-school-related spending as well as slower inflation. Blended same store sales growth (SSSG) reached 4.8%.

“Notable business drivers for the quarter were the food, drugstore, and department store formats,” RRHI said.

Core earnings grew by 3.9% to P1.52 billion, led by higher revenue growth and improved operating efficiencies.

For the first half, RRHI said its attributable net income fell by 66.9% to P2.25 billion from P6.8 billion in the previous year due to a one-time gain from the merger between Bank of the Philippine Islands and Robinsons Bank Corp., which was booked in early 2024.

Consolidated net sales rose by 5.1% to P98.48 billion, as blended SSSG reached 3.9%. Core earnings likewise improved by 4.3% to P2.76 billion.

“The sustained recovery in basket sizes, along with our continued focus on improving assortment has enabled us to accelerate growth and exceed our full-year SSSG target in the second quarter,” RRHI President and Chief Executive Officer Stanley C. Co said.

“We intend to build on this momentum by further expanding our store network and driving operational efficiencies in the coming months,” Mr. Co added.

As of end-June, RRHI had 2,471 stores, consisting of 763 food stores, 1,145 drugstores, 51 department stores, 228 DIY stores, and 284 specialty stores. The company also had 2,116 franchised TGP stores.

RRHI, through its subsidiary Robinsons Supermarket Corp., recently announced that it is entering the motorcycle dealership business through the acquisition of Premiumbikes Corp. from Lance Y. Gokongwei for P146.4 million.

Premiumbikes, which had 214 stores nationwide as of end-June, sells motorcycle brands such as Honda, Yamaha, Suzuki, Kawasaki, Kymco, and TVS.

RRHI shares fell by 1.52% or 60 centavos to P39 apiece on Tuesday. — Revin Mikhael D. Ochave

Signals and substance: Connecting promises, performance, and public expectation

PHILIPPINE STAR/NOEL B. PABALATE

Once a year, a sitting president addresses the people to report these three things: initiatives begun in the past, results being reaped in the present, and a roadmap that would guide future actions. This is what exactly transpired during President Ferdinand Marcos, Jr.’s State of the Nation Address (SONA) on Monday.

He went into it knowing full well what the people were expecting — demanding — to hear. A Pulse Asia survey from late June revealed that 61% of Filipinos considered controlling inflation as their top concern, followed by increasing wages (51%), and expanding employment opportunities (25%). It was clear that despite the political noise, economic issues, specifically those pertinent to their everyday lives, were the most important ones to be addressed. We wanted the President to relate his administration’s efforts to attract foreign and local investments, streamline business processes, and develop infrastructure according to the people’s need for more and better-quality jobs that would enable them to improve their lives.

The people have also acknowledged the administration’s efforts to lower rice prices and support farmers. In fact, in the June survey, 33% of Filipinos believe that the administration has been successful in addressing the problem of involuntary hunger. This was a seven-percentage-point jump from June 2024.

And so President Marcos Jr. began with a humble acknowledgment of the need to do better, and the need to cascade nominal economic gains to the lived experiences of Filipinos. “People are frustrated and disappointed with the government, especially in terms of basic services. The lesson for us is simple: we need to do better — and we need to move faster. If we only look at the data, the economy looks good. Business confidence has increased, inflation has gone down, and jobs have grown. But all of that is just decoration. It means nothing if our fellow Filipinos continue to struggle and feel burdened in their daily lives.”

Just as expected, economic issues were the first tackled in his speech. The President assured the people that as they were looking for good jobs, the administration is also finding ways and opportunities to make this happen. He made a shoutout to foreign investors — “The Philippines is ready. Invest in the Philippines,” he said. He talked about being able to manage the prices of goods by addressing issues facing the items in the consumer basket that are driving prices upwards — specifically, food and energy.

And yet, while economics is an important concern for Filipinos, so is transparency and accountability in the pursuit of an honest government that works only for the people. A significant 24% of our people still consider graft and corruption in government as a key concern.

To be sure, approval ratings for the administration’s performance in combating corruption have improved to 28% in June 2025 from 24% in June 2024. People must be seeing something being done right. And yet, there remains a lot to do.

The President invoked Filipinos’ fresh experience of flooding after the string of typhoons — the “new normal,” he previously said. But during the SONA he made sure that this was accompanied by a challenge to do away with corrupt practices that took much away from the people they were supposed to serve.

“Mahiya naman kayo (You should be ashamed),” he uttered numerous times, and emphatically. “To those conspiring to siphon public funds and steal the future of our people: have some shame. Have shame for your fellow Filipinos whose homes were washed away or submerged in floods. Have shame especially for our children, who will inherit the debts you created when you pocketed that money,” he said in Filipino as he warned that all flood control projects will be evaluated and that anomalies will be investigated.

Further, President Marcos Jr. warned that he would rather have a reenacted budget for 2026 than have items that are not aligned with the National Expenditure Plan.

This year’s SONA was given mostly in Filipino and touched on the details of the people’s everyday lives — education, health, transportation. The effort to reach out and be more accessible to the common citizen is apparent. We hope that in these next three years, these will not be just in form. Ultimately, the test of the power of the speech is in the operationalization of mechanisms that would help attain targets and objectives in the remaining years of his term, and beyond.

At the very least, the SONA assured the people that the President is listening and is not just aware but mindful of whether his actions and decisions align with what the people want and need. As he moves toward the remaining years of his administration, the President must also bear in mind that the legacy he will leave will depend on how he hewed close to the utterances and promises he made to the people during these annual addresses. He will be judged by history depending on whether he used his own words to guide his actions, or just to gain popular support during a trying juncture in the life of our nation.

 

Victor Andres “Dindo” C. Manhit is the president of the Stratbase ADR Institute.

Mount Elizabeth Hospital’s Dr. Zhao Yi Jing discusses progressive care for dementia

The malfunctioning of the brain’s cognitive function can lead to memory loss and start disrupting one’s daily life. Nonetheless, medical advancements and lifestyle modifications can help slow down the progression of dementia, neurologist Dr. Zhao Yi Jing of Mount Elizabeth Hospital emphasized. From diagnosis to treatments, the approach to dementia has geared further towards making life easier for patients.

For inquiries, please contact Mount Elizabeth Hospital’s patient assistance center, IHH Healthcare Singapore – Philippine Office, located at G/F-B, Marco Polo Hotel, Meralco Avenue and Sapphire Street, Ortigas Center, Pasig City 1600, e-mail manila.ph@ihhhealthcare.com or call 0917-526-7576. Follow them at facebook.com/MountElizabethHospitalsSGPhilippinesOffice.

 

Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by publishing their stories on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber at https://bit.ly/3hv6bLA to get more updates and subscribe to BusinessWorld’s titles and get exclusive content through www.bworld-x.com.

London’s Kew Gardens opens carbon garden to highlight climate crisis

THE NEW Carbon Garden at Kew Gardens. — KEW.ORG

LONDON — London’s Kew Gardens will open a new garden focused on carbon that will showcase its importance in sustaining life, but also explore the role of carbon dioxide in the climate crisis and how plants can combat it.

The Carbon Garden will feature 6,500 plants, 35 new trees, as well as a central pavilion structure inspired by fungi and will be a permanent fixture at the botanical gardens, which were first opened in 1759 and today are a UNESCO World Heritage Site.

“The garden aims to show how crucial carbon is, while warning of the damage being caused by increasing carbon dioxide emissions,” said manager of garden design at Royal Botanic Gardens, Kew, Richard Wilford.

The year 2024 was the hottest on record, with global carbon dioxide emissions from the energy sector hitting a record high.

As well as signs explaining concepts such as photosynthesis, the process by which plants turn carbon dioxide into organic matter, the area will feature a so-called dry garden filled with hardy plants such as lavender that are able to cope with heat.

The garden, which took Mr. Wilford and his team over four years to build, includes new trees selected for their resilience to future projected climate conditions and their ability to absorb carbon dioxide.

Amanda Cooper, a doctoral researcher who consulted on the garden, said planting more such trees would be part of the solution to tackling climate change.

“By reestablishing woodlands, by stopping our deforestation, we can hopefully make a dent in what is being emitted to the atmosphere,” Ms. Cooper said.

“It’s not a complete dent because we’re still emitting fossil fuel emissions from our cars and factories. But it’s a start.” — Reuters

DTI eyes higher MSME funding after Marcos push in SONA

A vendor sits in a stall selling products in sachet packaging at a public market in Manila, Philippines, Aug. 1, 2019. — REUTERS

THE Department of Trade and Industry (DTI) is seeking more funding for micro, small and medium enterprises (MSMEs) after President Ferdinand R. Marcos, Jr.’s renewed call for stronger MSME support in his fourth State of the Nation Address (SONA).

“We are really trying to make sure that we give funding for microenterprises because they need to grow,” Trade Secretary Ma. Cristina A. Roque said at a post-SONA discussion on Tuesday. “They cannot be left behind.”

She noted that the agency through the Small Business Corp. (SB Corp.), could lend P10 billion to MSMEs.

“But we can go higher because first, the President mentioned that there’s really a push for puhunan (capital),” she said. “So, he can definitely give more funding… over and above what the SB Corp. has. And there will be an upcoming budget hearing, so of course we will ask for additional budget.”

In his address on Monday, Mr. Marcos reaffirmed his administration’s commitment to funding small entrepreneurs with low-interest, no-collateral loans.

“We continue to provide free training and capital so they can start their own businesses,” he said in Filipino. “We will not stop until almost two-and-a-half million poor families are helped to establish their own small businesses.”

Ms. Roque said DTI would prioritize sectors with high potential, including the creative industry and halal.

“We feel that that’s one of our aces,” she said, citing South Korea as an example of how the creative industry could boost both tourism and trade.

“Another one is halal. That’s also a sector that we need to push because of the potential $4.5 trillion globally,” she said. “We are ready because all we need is the certification, and we already have some funding for certification.”

Ms. Roque said DTI is preparing to launch multiple halal-certifying bodies to give businesses more options.

On trade, she said the government is optimistic about concluding a framework for the Philippines-US reciprocal trade agreement by Aug. 1.

“There are no more talks unless something comes up,” she said. “They’re just polishing it… But again, it is beyond our control. The ball is in the US court.”

She described the 19% tariff as a positive outcome for the Philippines, given that the country only opened the automotive, pharmaceutical and medical equipment sectors.

She doesn’t think the deal could affect imports from countries like Japan and India “because cars are still dependent on consumers’ preference.” “At least, we give the consumers a choice of which kind of medicine that they want,” she added.

As for a broader free trade agreement, Ms. Roque said discussions are not yet under way. “For now, there are no talks. But maybe after we finish this negotiation, after we finish the tariff, then we can see where it goes.” — Justine Irish D. Tabile

Ex-Finance chief Dominguez joins RCBC as independent director

FINANCE SECRETARY Carlos G. Dominguez III — PRESIDENTIAL PHOTO/ TOTO LOZANO

RIZAL COMMERCIAL Banking Corp. (RCBC) has appointed former Finance Secretary Carlos G. Dominguez as independent director.

“Mr. Dominguez is filling the vacancy from the end of Mr. Gabriel S. Claudio’s term, to take effect at the close of business on July 28, 2025,” the bank said in a disclosure to the stock exchange on Tuesday.

He was also appointed as chairperson of the bank’s Related Party Transaction and Anti-Money Laundering committees and member of its Corporate Governance and Nominations committee.

Mr. Dominguez has over 40 years of experience in the government and in the private sector, RCBC said. He served as Finance chief during the Duterte administration, during which he was also the government’s representative in the Bangko Sentral ng Pilipinas’ policy-setting Monetary Board.

In the private sector, he held leadership roles at BPI Agricultural Development Bank and Philippine Airlines.

Meanwhile, RCBC also appointed Yasunori Takahashi as a member of its Advisory Board.

“Mr. Takahashi serves on the Supervisory Board of the Vietnam Prosperity Joint Stock Commercial Bank in Hanoi (Non-Resident) and an Advisor of Asia Business Development Division. He has over 35 years of experience with SMBC, formerly known as Sumitomo Bank Ltd. and graduated with a Bachelor of Law Degree from the Keio University in 1980,” it said. — A.M.C. Sy

AI adoption boosting growth in PHL IT-BPM sector — Concentrix

CONCENTRIX OFFICIALS address the media during a roundtable held at Bridgetowne, Quezon City on July 29. — CONCENTRIX

THE PHILIPPINE information technology-business process management (IT-BPM) sector continues to grow, supported by increased adoption of artificial intelligence (AI) to help workers adapt to evolving job roles, according to Concentrix Philippines.

“With all the other use cases — like revenue generation and reducing churn — we are continuously transforming our contact centers into profit centers rather than cost centers, and that is driving significant growth for the industry,” Amit Jagga, executive vice-president and chief business officer of Concentrix Philippines, said during a media roundtable on Tuesday.

Mr. Jagga said this aligns with the roadmaps of the IT & Business Process Association of the Philippines and the Contact Center Association of the Philippines, which expect at least 5% in revenue growth this year.

“One thing that’s for sure is a lot of simple work is moving away, and new complex work is coming in, which means there is a lot of reskilling and upskilling that is required for the workforce,” Mr. Jagga added.

On Tuesday, Concentrix unveiled iX Hero, an AI-powered application that automates advisor performance to ensure better customer experience (CX) delivery.

Its AI-driven features include automatic conversation transcription, knowledge apps that find and surface ready-to-use answers to customer inquiries, noise cancellation, and speech harmonization.

The company also cited its Harmony feature, which fine-tunes employees’ pronunciation while maintaining a natural and authentic voice. This has been piloted in the language assessment portion of Concentrix Philippines.

“Having the Harmony feature in iX Hero is a perfect example of how AI helps provide access to employment and greater job inclusivity for many Filipinos,” Mr. Jagga added.

Based on pilot tests, iX Hero also ensures a 22% reduction in average handling time, and boosts customer satisfaction score by 13.5%, Concentrix said.

Users also saw a 30% improvement in communication, particularly in advisor speech clarity, language proficiency, and non-verbal skills.

iX Hero would benefit workers who struggle to progress through hiring processes due to language barriers, said Larah Diaz-Sta. Maria, Concentrix vice-president for transformation and delivery shared services.

“The way that iX Hero is designed, it’s meant to put together everything that the agents or advisors need — from performance coaching, analytics to understanding how the call went, and support with practice and improving their skills,” she told the briefing.

“All of that is meant to help them become even more confident that they are able to complete resolutions faster, and they’re able to execute their jobs with a lot less stress.” — Beatriz Marie D. Cruz

AI, blockchain, and cybersecurity: The triple shield for the Philippine financial system

STOCK PHOTO | Image by Macrovector from Freepik

As the Philippines accelerates on its journey toward a fully digital economy, the financial sector finds itself at the center of both opportunity and risk. Consumers and businesses increasingly rely on digital banking, e-wallets, fintech apps, and online lending platforms. At the same time, the volume of transactional data, identity information, and financial activity has grown exponentially. To ensure trust, efficiency, and safety, the financial system requires a robust “triple shield” composed of artificial intelligence (AI), blockchain, and cybersecurity.

Artificial intelligence enables real-time risk scoring, optimized customer service, and fraud detection at scale. Smart algorithms can monitor behavior, flag anomalous transactions, and even detect synthetic identities before they become systemic threats.

AI-driven chatbots and virtual assistants reduce friction during onboarding and help underserved customers navigate financial products, especially for micro-, small-, and medium-sized enterprises (MSMEs) and low-income users. Under the open finance architecture of the Bangko Sentral ng Pilipinas (BSP), financial institutions will be sharing customer data — upon consent — through secure Application Programming Interfaces or APIs. AI can transform this shared data into actionable insights, from creditworthiness assessments to early warnings of financial distress. By automating compliance checks and credit scoring, institutions can onboard customers faster and more inclusively.

Blockchain, on the other hand, brings transparency, immutability, and auditability to identity and transaction records. A blockchain-enabled electronic Know Your Customer (eKYC) registry can provide a tamper-evident ledger that documents when and how an identity was verified. This does not only reduce identity fraud, it also ensures that institutions avoid redundant verification steps, cutting down operational costs and improving customer experience. Anchoring this registry to PhilSys, the national ID system, allows for each Filipino’s identity to be cryptographically validated once, with future verifications referenced via the blockchain. Customers could even retain ownership of their credentials using self-sovereign identity principles, eliminating the need to re-submit sensitive documents repeatedly.

Integrating a blockchain-based registry into the BSP’s open finance system enables seamless and secure onboarding. Banks and fintech firms can validate identity instantly, pull consented data, and provide services faster. It’s a foundation that builds interoperability across financial institutions while significantly lowering risks. Moreover, this architecture lends itself to broader innovation — from microloans and government subsidy distribution to health tech and cross-border financial inclusion.

The digital transition must be reinforced by strong cybersecurity measures. The financial sector is a prime target for sophisticated cyber threats, often powered by AI itself. Financial institutions must shift to zero-trust security models, implement multi-factor authentication, and deploy AI-powered threat modeling and monitoring systems. Blockchain’s decentralized nature also reduces single points of failure, strengthening resilience against coordinated attacks.

It is within this context that the proposed Open Finance-Enabled eKYC Registry Law becomes critical. The law aims to establish a unified, interoperable digital identity infrastructure anchored on PhilSys and fully integrated into BSP’s open finance framework. The benefits are far-reaching: frictionless customer onboarding, elimination of duplicate or fake identities, reduced fraud, and operational efficiency. When designed with blockchain, the registry can also uphold privacy and auditability, ensuring trust while enabling seamless digital engagement.

But legal frameworks alone are not enough. This national eKYC system must be built using the best available technologies, guided by global standards and local context. Blockchain provides the audit trail and cryptographic assurance necessary to secure identity records. AI provides the intelligence layer to detect fraud in real-time. Cybersecurity protects the entire infrastructure, ensuring continuity and compliance.

Public-private collaboration will be essential in operationalizing this system. Regulators including BSP, Department of Information and Communications Technology (DICT), Philippine Statistics Authority (PSA), and National Privacy Commission (NPC) must coordinate closely to establish standards for data sharing, consent management, API access, and system audits. Financial institutions must invest in their own AI, blockchain, and cyber capabilities — not only to comply, but to lead. Industry consortia can help smaller banks and fintech firms implement interoperable models. Cloud service providers and cybersecurity firms must be part of the effort, offering infrastructure and protection at scale.

Equally urgent is the need for talent. The Philippines is facing a shortfall of AI engineers, blockchain developers, and cybersecurity analysts. Universities, training institutions, and Technical Education and Skills Development Authority’s (TESDA) forward-looking EVET (Enterprise-Based Virtual Education and Training) program must be mobilized to close the gap. This is also a call to upskill displaced business process outsourcing or BPO workers — many of whom are already tech-savvy — into roles in data annotation, prompt engineering, digital trust management, and cyber operations.

The Philippines can also look outward. Countries like Nigeria have launched blockchain-based eKYC initiatives led by the private sector. India’s Aadhaar-backed stack allows financial subsidies and banking services to reach the unbanked. Estonia’s e-governance model ensures secure cross-agency data exchange while giving citizens control over their information. The Philippines can learn from these efforts and avoid common pitfalls through multi-stakeholder pilots, open-source frameworks, and robust policy dialogue.

The potential upside is national in scale. A unified, blockchain-secured eKYC infrastructure will lower barriers to financial services, unlock credit for millions, and streamline government service delivery. Fintech innovation will accelerate as the friction of customer onboarding is eliminated. Foreign investors will see a country with a resilient, transparent, and digitally mature financial system — open to innovation but grounded in trust.

The Blockchain Council of the Philippines has long advocated for the convergence of AI, blockchain, and cybersecurity as a strategic asset — not just for the financial sector, but for national development. The passage and effective implementation of the Open Finance-Enabled eKYC Registry Law is a cornerstone step in building that future.

There is urgency. Trust in the financial system must be earned and protected — especially as more Filipinos engage with digital platforms and as new threats emerge. This triple shield of AI, blockchain, and cybersecurity isn’t just technological — it is foundational. It’s the infrastructure of trust in a world where trust is increasingly digital.

We must build it together.

 

Dr. Donald Lim is the founding president of the Global AI Council Philippines and the Blockchain Council of the Philippines, and the founding chair of the Cybersecurity Council, whose mission is to advocate the right use of emerging technologies to propel business organizations forward. He is currently the president and COO of DITO CME Holdings Corp.

1...1,1731,1741,175...14,189Page 1,174 of 14,189
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube