Nation at a Glance — (03/16/18)
News stories from across the nation. Visit www.bworldonline.com (section: The Nation) to read more national and regional news from the Philippines.
PSE index extends slide on US retail sales report
By Arra B. Francia, Reporter
THE Philippine Stock Exchange index (PSEi) took another beating on Thursday, falling by almost 10% from its latest record high logged in January, tracking regional markets as the United States saw weaker retail sales data.
The main index plunged 1.9% or 158.73 points to finish at 8,190.01 yesterday, while the broader all-shares index also dropped 1.37% or 69.41 points to 4,966.44.
Thursday’s close puts the index 9.58% below its all-time high record of 9,058.62 last Jan. 29.
“The main factor was that the US market was down substantially last night because of the unexpected retail sales, it was below the estimate,” Diversified Securities, Inc. equities trader Aniceto K. Pangan said in a phone interview on Thursday.
Regina Capital Development Corp. Managing Director Luis A. Limlingan noted the same, adding that trade war concerns also continued to weigh on investor sentiment.
“Philippine markets continued their slump as Wall Street posted sizable losses once more, with trade war concerns being at the center once again of attention. Much of the protectionist concern stemmed not only from the actions taken so far, but the prospect of further action, directed specifically at China,” Mr. Limlingan said in a mobile phone message.
US’ main indices were down on Wednesday, with the Dow Jones Industrial Average falling by a percentage point to 24,758.12. The S&P 500 index lost 0.57% to 2,749.48, while the Nasdaq Composite index also gave up 0.19% to 7,496.81.
In the local front, Diversified Securities’ Mr. Pangan said the faster inflation posted in February remained to be a factor for the PSEi’s slump.
“Also the inflationary pressures that were caused by tax reform, next week we’ll see if the BSP (Bangko Sentral ng Pilipinas) will adopt any change in the interest rate, considering inflation rate was beyond the range of 2-4%, based on 2006 base,” Mr. Pangan said, noting that inflation was still on the higher end of the government’s target despite adjusting the base to 2012.
The mining and oil sector was the lone sub-index that ended in positive territory, adding 0.06% to 11,403.05. The rest declined, led by property which shed 2.8% or 105.35 points to 3,654.56. Holding firms sunk 1.89% or 158.32 points to 8,202.05; industrials dipped 1.47% or 170.55 points to 11,420.04; financials slipped 1.21% to 2,144.48; while services were down 0.52% or 9.08 points to 1,724.19.
Some 8.14 billion issues valued at P7.59 billion switched hands, slightly up from the previous session’s turnover of P7.48 billion.
Decliners outpaced advancers, 118 to 92, as 47 issues remained unchanged.
Net foreign outflows persisted the 18th straight day at P1.40 billion, slightly lower than net sales of P1.43 billion on Wednesday.
More suggested changes to the Constitution
To its credit, the Consultative Committee to study the 1987 Constitution is focusedly going about its duties amidst varied political distractions. Knowing its frenzied pace of work, I hope the Committee won’t mind this unsolicited list of proposed changes to the Constitution (some contained in my July 2016 article “Suggested Changes to the Constitution”):
Supremacy Clause — Believe it or not, there’s no legal basis for actually saying that our Constitution is the supreme and fundamental law of the land. For some reason, the framers of the 1987 Constitution overlooked providing for a “supremacy clause,” like that of Article VI.2 of the US Constitution. Indirectly of course, there is Art. VIII.5 of the Constitution. But that is as far as the Supreme Court goes. Anyway, it wouldn’t hurt to put an express and clear “supremacy clause” in our Constitution.
A leaner more flexible Constitution — Delete Arts. XI to XV of the Constitution. They have no place being there and are better off left to the discretion of Congress. The “impeachment provisions” could be placed under the General Provisions.
Voter qualification: Raise voting age to 25 — As I wrote last week, scientific research indicates that the human brain attains full development at about 25 years of age. Such, at the same time, corresponds with other scientific findings suggesting that the youth today goes through an extended adolescence period, ending (again) around 25 years of age.
Voter qualification: Require all new voters to pass a civics exam — with the Philippines having a 99% literacy rate and considering one needs to pass various tests just to drive an automobile, it makes sense that voters prove knowledge (consequently, the desire to have knowledge) about the country whose officials and issues they’ll be voting upon.
Presidential tandems — The president and vice-president should be voted together, with the choice of the vice-presidential candidate left to the presidential candidate. Whatever reasons given in the past for non-tandem voting, experience shows it does not work. By electing a team, the Philippines is assured of a more cohesive government, with the vice-president having better opportunity to be productive governance-wise.
Presidential run-off elections — Presidents should be constitutionally required to have a majority of votes cast, with a runoff election if need be.
Vice-Presidential work — The Vice-President (VP) currently has a monthly salary of P353,476 (plus other benefits), so it’s ridiculous for this public official to not have any specifically designated work. Constitutionally, the VP could preside over the Senate, with voting power available in case of ties. Or at least reserve a cabinet position, preferably Finance (as that would be a serious training ground for one who should be ready anytime to assume the presidency).
Supreme Court as constitutional court — Only purely constitutional questions should reach the Supreme Court, all other issues can stop at the Court of Appeals.
Removing Supreme Court retirement ages — Considering that the average life expectancy for Filipinos have steadily risen through the years (better nutrition, health care, available medicines, etc.), imposing retirement ages of 70 makes no sense. Consider further that a lawyer’s ability to be better at his job is commonsensically related to the experience he has gained from it.
Court of Appeals (CA) — The Congress can legislate that divisions of the CA be assigned jurisdictionally and physically to different regions or provinces.
The Senate — Apportionment for the Senate should constitutionally be converted to a regional or provincial (including autonomous regions) rather than national basis, thus ensuring greater equal representation. Furthermore, have Senate members be appointed by the respective Provincial Boards, not elected directly by citizens; it lessens cost and makes the senators more accountable to that region or province.
Local Government — Local government units (LGU) can be further strengthened by simply amending the Local Government Code (not necessarily through the Constitution). The power to make investment, trade, and customs regulations, and provide education, welfare, and health services should be devolved to, with primary responsibility in the hands of, the provinces. The national Departments for Trade, Education, Welfare, and Health shall now be relegated to mere coordinating agencies. The LGU shall be solely responsible for raising domestic revenue and developing export markets. The national government shall focus on merely addressing trade remedy and security issues. All LGU earnings shall remain with the LGU, with the consequence that no province is entitled to any more share from the national budget. This renders the need for a federal form of government less urgent, thus allowing time for further study on the matter.
Civil Service — The structure should be amended (and this can be done through revising the civil service code rather than constitutional amendment) so that only department secretaries are appointed by the president, with the rest (i.e., undersecretaries down) being permanent employees of the government. This has the advantage of a more stable, professional, and politically neutral civil service system with better institutional memory.
Jemy Gatdula is a Senior Fellow of the Philippine Council for Foreign Relations and a Philippine Judicial Academy law lecturer for constitutional philosophy and jurisprudence.
Twitter @jemygatdula
Blaming the victim
They said they weren’t pressured — nor, presumably, bought and paid-for, promised any favors or gifts, or intimidated — to make it. But the call by some judges, lawyers, and Supreme Court employees for Chief Justice Maria Lourdes Sereno to resign so obviously blames the victim for the decline of public respect for the Supreme Court rather than the desperadoes responsible for it that one can’t help but wonder how credible that claim is.
The call, made last Monday, March 12, also fits nicely in the Duterte regime’s agenda of forcing the Chief Justice to resign rather than be absolved by the Senate when it convenes as an impeachment court this May.
It was made public in the context of the appearance by several Supreme Court associate justices before the House of Representatives Justice Committee to testify against Sereno, and Solicitor General Jose Calida’s filing of a quo warranto writ before the Court demanding that it rescind her appointment because she’s supposedly not qualified.
The obvious conclusion is that the call is part of the by now desperate attempt to remove the Chief Justice through some means other than impeachment because the so-called case against her won’t stand in the Senate.
The groups that made the call for Sereno’s resignation include the Philippine Judges Association, the Supreme Court Employees Association, the Supreme Court Assembly of Lawyer Employees, the Philippine Association of Court Employees, and the Sandiganbayan Employees Association.
Their joint statement could not help noting that “the pending impeachment proceedings in recent months have put the entire judiciary in disrepute.” It admits that it is those proceedings that are “affecting the honor and integrity of its (the judiciary’s) justices, judges, and officials (who) have been pitted against each other, resulting in a distressing atmosphere.”
Rather than validate its call for Sereno’s resignation, that statement raises the question of why it is the Chief Justice who should be blamed for the judicial system’s “disrepute,” when it was the result of the conspiracy to remove her so she can be replaced by a regime appointee. It stands to reason that it’s those responsible who should be made to resign instead. But since reason is so rare a government commodity today, that thought is unlikely to have occurred even to some judges.
The president of the Philippine Judges Association in fact offered no earth-shaking insight into why he believes that, despite its being in violation of the rule of law to which judges are supposed to subscribe, a government official who can be removed only through impeachment should resign. He instead aired his complaint about Sereno’s supposedly not acting quickly enough on the pending health benefits of judges.
For his part, the head of the Supreme Court Employees’ Association justified the call by saying that Court employees are “demoralized” because of Sereno’s alleged slowness in approving their promotions and benefits.
Both organizations are saying that in addition to the “disrepute” into which the courts have fallen, their respective grievances are also sufficient grounds for Sereno to resign, despite the crystal clarity of the Constitutional mandate that a Supreme Court justice can be removed only through impeachment and for culpable violation of the Constitution, for treason, direct and/or indirect bribery, graft and corruption, and other high crimes or betrayal of public trust.
With the exception of the last, these impeachable offenses have been clearly defined by Philippine jurisprudence. Does Sereno’s supposed foot-dragging on such issues as health and other benefits or promotions for judges and Court employees qualify as a “high crime” or as a “betrayal of public trust?” And are these concerns so urgent that they eclipse the imperative of letting the law take its course?
Like the Duterte regime’s other minions, these worthies are in a brazen attempt to circumvent the Constitution and the rule of law, and to blame the victim for the misdeeds of the regime they serve. And Sereno is not the only victim of that process — she’s been vilified, insulted, and publicly humiliated by the minions of a de facto tyranny for whom civility and respect are totally alien concepts — but the entire judicial system as well, which in the first place hasn’t been noted for all of its judges’ fairness and incorruptibility.
Neither do its own acts speak well of the very same administration that started it all. In behalf of its hostility to judicial independence, free expression, press freedom, dissent, and the rule of law, it’s demonstrating that it will mobilize its Congressional cohort and the entire bureaucracy against anyone, whether high or low, who’s guilty of the same or similar “offenses.” (That alone should be enough for its partisans to rethink their irrational pro-regime biases — but it probably won’t.)
It wouldn’t be correct to say that the Supreme Court has fallen from a previous state of grace as a result of this veritable conspiracy against judicial independence. What has happened is that its already tarnished reputation has become even more tainted.
The Court hasn’t exactly been the bastion of human rights — or even historical awareness — since the Marcos terror regime.
During that dictatorship, not only was one of its justices photographed for posterity holding a parasol to shield Imelda Marcos from the harsh rays of the Philippine sun, in the first year of martial law a majority of its justices also refused to rule on the legality of the arrest of such leaders of the political opposition as Benigno Aquino, Jr. and Jose W. Diokno, and the detention without charges of labor, student, and peasant leaders, as well as journalists and even high school student activists. They instead declared that the legality of the arrests was a political question that was “non-justiciable.” They also justified the Marcos declaration of martial law by claiming that there was a rebellion to which the government had to respond through, among other foul means, suspending the Bill of Rights and arresting and detaining without charges the supposed culprits.
Neither did some of the Court’s high-profile decisions during the post-martial law years help correct the impression that its justices, despite their supposedly sterling qualifications and exemplary backgrounds, are still subject to the blandishments of the wealthy and powerful and far from immune to the call of petty partisanship and crass ambition.
Either out of ignorance, indifference, or, worse, willful pandering to the wishes of the powerful, during the present regime the majority of Court justices ruled in favor of the burial of Mr. Duterte’s idol and mentor Ferdinand Marcos at the Libingan ng mga Bayani and the declaration as well as extension of martial rule in Mindanao. They ignored in the first instance history’s own judgment of the Marcos kleptocracy, and in the second, the well-documented human rights abuses occurring on an almost daily basis in the South, as well as the Duterte regime’s own claims that it was in control of the situation there.
Chief Justice Sereno and her fellow minority justices’ dissenting opinions in these and other cases before the Court were in fact the only bright sparks of concern for human rights and the rule of law that kept alive hopes that it would somehow manage to vindicate itself.
But it was not to be. Instead, the regime plot to unseat Sereno through whatever means, triggered a display of vindictiveness, opportunism, and vaulting ambition among some of the Court’s justices that led to the disrepute its employees’ association and its allies described so well in their March 12th statement.
A Sereno resignation will undermine what little remains of the rule of law under a lawless regime, and tar the victim as the villain. It wasn’t Chief Justice Sereno who brought about this new low in public perception of the judicial system and the entire government. Rather is the culprit a shameless quasi-dictatorship with the Marcos-era capacity of bringing out the worst in judges and justices, government employees, lawyers, psychiatrists, and other people, and even entire institutions.
Luis V. Teodoro is on Facebook and Twitter (@luisteodoro). The views expressed in Vantage Point are his own and do not represent the views of the Center for Media Freedom and Responsibility.
Bills: cash and board
Bankers and businessmen refer to “dirty money” as funds that come from dubious sources and crime. These funds are transferred electronically to be laundered in countries wherein they can pass through almost unnoticed and be withdrawn or camouflaged through casinos and other businesses.
Due to recent major lapses in the system, the regulators have further tightened the rules and closed the loopholes to prevent and stop laundering. They have imposed big fines and hefty penalties for the violators. The legislators, however, have to amend the Bank Secrecy Law and allow the Anti-Money Laundering Act (AMLA) to scrutinize certain accounts.
To the general public, “dirty money” refers literally to the filthy, smelly, microbe-infested bills in circulation. Cashiers in the neighborhood supermarket, salon, drug store, and restaurants often complain that the branch bank tellers sometimes give old bills. The wet markets and fruit vendors use dilapidated bills that should be destroyed.
Most people want to have clean, crisp bills (in all denominations).
Despite the requests for new, clean bills, the bank branches continue to recirculate old bills.
The only time that there seems to be a supply of fresh, crisp bills is Christmas season. And that means having to call your friendly branch manager to reserve the bills a month in advance.
You would practically have to beg the cashier for decent-looking bills. If she’s in a good mood, you could get a limited supply.
Your other alternative would be the ATMs. The machine will not dispense old deteriorating bills. However, it is only good for a limited amount.
A regional study revealed that our local bills are very dirty. They have practically the highest number of bacteria and microbes per bill. Imagine how these germs pass from hand to hand every day.
Imagine the bacteria contaminating everything else you touch.
Imagine the germs invading your system through your eyes, nose and mouth.
It is frightening but true.
Try to withdraw some cash and count the bills — 20s, 50s and 100s. Even if you were not prone to allergies, you would sneeze from the awful suffocating smell of decay. Your hands would get red and itchy almost instantly. How often can you rub alcohol or use antiseptic hand gel after holding the old bills? Your hands would get raw from trying to sterilize them so frequently every day.
A few years ago, the public was informed that the banks have a covenant with the Bangko Sentral ng Pilipinas (BSP) to circulate only clean money. It seems that banks have surrendered the old type of bills according to the deadline. But the bills deposited in the banks seem to age quickly. Or these bills may have come from the rural areas. For our own health and as a public service, may we ask the banks to please live up to their commitment? We need clean money.
BILLBOARDS
The skyline of the city has altered radically over the past decade. The new buildings and stark skyscrapers overwhelm the historic churches and old, graceful landmarks.
We now drive through a billboard jungle. The giant ads clutter the main avenues. Skeletal steel structures sprout like wild mushrooms almost every week. In sheer size and number, they compete for visual attention and air space.
The close spacing of the ads is disorienting and distracting. The effect is claustrophobic.
Along EDSA, so many billboards on top of building rooftops assault the eye — from the bay area to the north. Some ads are lumped together to look like a confusing jigsaw puzzle.
The bridge area’s humongous billboards cover the entire slope of the hill overlooking the Pasig River.
Years ago, the route through the countryside used to be a sight for tired eyes. Driving through the expressway and skyway was a breeze. Looking at the verdant rice fields, rolling hills, a cloud-dappled sky, and the placid bay produced a calming effect.
The SCTEx, TPLEx, and CAVITEx are scenic drives that should not be invaded by billboards.
The city dweller used to have the luxury of viewing a priceless panorama. Now the landscape is being threatened by the unstoppable menace — billboard overload.
One gets dizzy and cross-eyed trying to avoid looking at the ads. It is better to take a nap. (Who really wants to look at all those chauvinistic ads?) Before the year is over, many more ads shall have been set up.
The giant ads vary in content and style to attract the passerby. The common denominator for all commercial ads is the same — “Buy this product, this lifestyle. Vote for this candidate.” Promises, promises.
The messages and images range from the decorative commercial to the political, suggestive, provocative, or controversial. (But that is another story. Taste is subjective.)
On the part of big advertisers, they should be aware that too many billboards so closely placed do not allow “breathing space” for the viewer. Therefore, they are paying for ad space that no one really sees at all.
On the part of the local governments, should there not be a limit to the number of commercial billboards erected in zones of heavy traffic and along the expressways? (There is Metropolitan Manila Development Authority Memorandum Circular No. 10, Series of 2011 which states in its Guidelines for the Evaluation of Applications for Locational Clearance, Section 4.4. Non obstruction of Landscape. No Regulated Sign shall be constructed as to unduly obstruct the natural view of the landscape, distract or obstruct the view of the public as to constitute a traffic hazard, or otherwise defile, debase or offend aesthetic and cultural values and traditions. But the MMDA does not have jurisdiction over the expressways. — Ed.)
It would be wonderful to see an avenue or a street that is free from the sight and shadow of those monstrosities.
Would it not be a relief to be able to gaze at the sky and see beyond the horizon without the spectral outline of a billboard?
Wishful thinking.
Maria Victoria Rufino is an artist, writer and businesswoman. She is president and executive producer of Maverick Productions.
Nothing wrong with being dull
Life is full of dull people. They make the interesting ones stand out from the crowd, as they make up the bulk of our demographic profile. Anyway, what’s wrong with being dull and boring?
Mr. D is not on the guest list for high-profile parties requiring medieval costumes or those of anime characters, featured in glossy magazines. He is overlooked in anybody’s VIP list. He becomes a problem for the host deciding who to put beside him at the table to keep him company. In training programs requiring presentations of interesting literary characters one wants to be, he is likely to mention Ernest Borgnine. (Of course, you haven’t heard of him, even if he won an Oscar for best actor for Marty.)
The unexciting person excels in careers where dullness commands a premium. Like the accountant in the IBM ad oblivious to the charms of Paris, he is offended by surges of exhilaration from a colleague entranced by the Champs Elysees. A dull accountant is considered discreet and dependable. His opposite, an exuberant bookkeeper with an exciting lifestyle comes across as flaky, if not the too bouncy with numbers.
A yearning for sobriety and discretion (often mistaken for dullness) is prized in lawyers who handle investment banking deals, speechwriters who mimic the speech patterns of their bosses and do not talk about their work, and spies who hope to be underestimated and ignored.
Boring people excel in staff work. The most famous staff assistant works for a very exciting and excitable boss, and even in a legislative hearing, his colorless replies save him from the tabloids.
Dull people are not distracted by social pressures since no one wants to go out with them. They do not long for glory and are content to have their boss pretend that the brilliant turns of phrase in their speeches and smart repartees in ambush interviews are a natural result of a throbbing intellect behind the superficial grin. They are seldom poached by competition because even their bio-data are boring.
In politics, the “amazing grays” work behind the scenes. They plot and scheme to have someone deemed more charismatic be nominated, content to be the power behind the throne. Even when expressing rage over some development, they spout trite remarks and give small snorts of incoherent explanations that oblige the interviewer to finish the sentences they start.
A boring person who is rich is just considered shy. He is acceptable as a party guest and date, because money by itself, especially having free access to it in large quantities, can make people take short breaths. It compensates for an absence of social graces, ignorance of films, inability to quote John Donne, and having a monotonous voice. There is no need for the rich man to be articulate, as his money does the talking for him. Accumulation of wealth presumes some interesting talents that need only to be unearthed.
There are now professionals who specialize in personality makeovers. While they may have cut their teeth with entertainers, like provincial lasses transformed into talent show winners, their transformational talents are applicable to any dull person, like an aspiring beauty contestant. (Even facial features can be altered.) A CEO who puts people to sleep can be given interesting hobbies (art collection) or causes (saving the tarsier) that make people sit up and take notice. The makeover consultant considers his job complete when his dull client makes it to a billboard.
Political packaging turns dull people into compelling icons. A social blogger or troll can be mentioned as a viable candidate for national office. Of course, she will beg off as being unworthy, and therefore available. True, this one does not look nerdy at all, just mean.
Can nerds who do not pay attention to their mall attire make it as newsmakers? The poster boy for the triumph of the nerd is among the richest people in the planet. While donating $10 billion to charity is bound to grab anybody’s attention, one may well wonder what can be duller than a tech guru? Tech billionaires anyway seem dull, and yet are often asked to give motivational speeches — You don’t have to be witty to be wealthy.
Bill Gates delivered this advice to elementary schoolchildren: “Be nice to the nerd beside you. You may be working for him one day.” Of course, bullies usually ignore this rule.
A. R. Samson is chairman and CEO of TOUCH DBB.
Smart leads in LTE speed, while Globe beats rival in availability — report
PLDT’s Smart Communications, Inc. provides faster long-term evolution (LTE) speeds than Globe Telecom Inc, a UK-based company said.
In its report titled “State of Mobile Networks: Philippines (March 2018)” covering November to January, OpenSignal showed that PLDT led in LTE speeds, clocking in at 12.48 megabits per second (Mbps) versus Globe’s 7.69 Mbps. It also led in overall download speed (5.78 versus 4.41 Mbps).
“LTE speeds on Smart have continued to ratchet up over the last year while those on Globe have been relatively stagnant, according to our test results. Our 4G download tests on Smart jumped from 9.8 Mbps in March 2017, to 10.6 Mbps just six months ago, to 12.5 Mbps in the most recent test period. Contrast that performance to Globe’s results over the same time period to see a marked difference: 7.4 Mbps a year ago, 7.2 Mbps six months ago and 7.7 Mbps in the current reporting period,” OpenSignal said.
Globe, on the other hand, outpaced its rival in LTE availability, according to the report.
“It was much easier to find a 4G signal on Globe’s network, according to our data. OpenSignal users were able to tap into Globe’s 4G service 67.5% of the time, which is still short of the 70% availability indicative of a maturing LTE rollout, but it’s getting close,” OpenSignal said.
The test was conducted on over 51,000 devices.
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. — Patrizia Paola C. Marcelo
Financial services firm Payoneer picks Philippines as its regional hub
Global financial services firm Payoneer has selected the Philippines as its hub for Southeast Asia, Pakistan, Sri Lanka and Bangladesh given the rise of outsourcing and freelance businesses in the country.
The New York-based company, which entered the country in 2016, designated the country as its hub starting this year. It said it has seen a 472% growth in the number of active monthly users, leading to a record 483% growth in monthly core payment volume and 663% year-over-year Billing Service payment volume growth since its start of its operations. This growth was primarily driven by freelancers and service providers.
Chief executive officer Scott Galit said that trends of cross-border working and online jobs with back-office functions bodes well for the Philippines as a market for Payoneer.
“We had to succeed in the Philippines, and the market is large here with the level and quality of English,” Mr. Galit said in a media roundtable.
He added that they are optimistic with the growing number of freelancing and small business process outsourcing (BPO) centers in the country. The company will open a customer center in addition to its head office.
Payoneer provides digital payment services and online transaction services. Its main clients are small and medium enterprises (SMEs) in the Philippines.
It has cited a study by Let’s Talk Payments LLC that its account users can save due to a low currency conversion fee, with the local transfer payments at the low rate 2%. — Patrizia Paola C. Marcelo
Peso inches higher amid continued geopolitical noise
THE PESO strengthened against the dollar on Thursday as investors stayed on the sidelines amid geopolitical noise from US President Donald J. Trump.
The local currency finished at P52.03 against the dollar yesterday, gaining four centavos from its P52.07 close on Wednesday.
The peso opened slightly weaker at P52.08 versus the dollar. Its intraday low stood at P52.12, while its best showing was at P52.025 against the greenback.
Dollars traded thinned to $465.5 million yesterday from the $500.35 million that changed hands in the previous session.
“The pair still traded within the range; volume was lower. The market is somehow dead these past few days,” a trader said, adding that other currencies were also trading within range as well.
“International currencies didn’t move as much as well… they’re also trading within the range because of the headlines lately, for example, Mr. Trump’s rhetoric.”
Another trader attributed the movement to the “heightened possibility of a trade war between the US and China over steel tariffs.”
For today, traders said the pair would still trade within the range of P51.90 and P52.20.
“The local currency is expected to move quite weaker ahead of softer Eurozone inflation data and release of US housing and industrial data Friday evening but may find strength should US-China apparent trade conflict intensifies and if the Eurozone fail to seek exemptions to the planned US tariffs,” the second trader said. — Karl Angelo N. Vidal
February vehicle sales decline on new excise tax regime
Automotive sales contracted in February, as the new tax regime that raised excise taxes on vehicles began to bite particularly the passenger car segment.
Sales of automobiles fell 3.2% to 26,176 units last month from 27,040 a year ago, according to the joint report from the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and Truck Manufacturers Association (TMA).
Vehicle sales were flat in the first two months of 2018, squeezing out a gain of 0.6% to 57,821 units from 57,465 units in the same period last year.
Another domestic auto industry group, the Association of Vehicle Importers and Distributors, reports its member companies’ sales separately.
“The slight decrease in February sales compared to the same period last year suggests that the market is still adjusting to the new excise tax regime. Sales prospects remain positive as demand continues to be strong,” Rommel R. Gutierrez, president of CAMPI and a first vice-president at Toyota Motor Philippines (TMP), was quoted in a statement as saying.
Signed into law by President Rodrigo R. Duterte in December, the Tax Reform for Acceleration and Inclusion — that increased taxes on automobiles, fuel, minerals, various investment products, and a host of other items, besides imposing new levies on sugar-sweetened drinks and others — took effect at the start of the year.
With the higher excise tax, vehicle sales in January have started to display signs of weakness, growing at a slower 4% pace following a spike in December when the industry sales surged 33.4% before the new taxes took effect.
In the first two months of 2018, Toyota Motor maintained its dominance in the Philippines with a market share of 39.84%. It was followed by Mitsubishi Motors Philippines Corp. with a share of 22.17%. Ford Motor Co. Philippines, Inc. came out third with a 7.95% share.
Honda Car Philippines Inc. and Nissan Philippines, Inc. round out the top five with a share of 7.16% and 6.5%, respectively. — Krista Angela M. Montealegre
Britain expels Russian diplomats over poisoning of a former spy
LONDON — Britain expelled 23 Russian diplomats over the nerve agent poisoning of a former spy, and suspended high-level contacts, including for the World Cup, as the US joined it in blasting Moscow at the UN on Wednesday.
British Prime Minister Theresa May told Britain’s parliament that Russia had failed to respond to her demand for an explanation on how a Soviet-designed chemical, Novichok, was used in the English city of Salisbury on March 4.
At an emergency meeting of the UN Security Council in New York, America sided firmly with Britain, rejecting Moscow’s claim that it was not involved in the attack on Sergei Skripal and his daughter.
“The United States believes that Russia is responsible for the attack on two people in the United Kingdom, using a military-grade nerve agent,” US Ambassador Nikki Haley told the meeting held at Britain’s request.
The White House also issued a statement that the US “stands in solidarity with its closest ally”.
It added the incident “fits into a pattern of behavior in which Russia disregards the international rules-based order, undermines the sovereignty and security of countries worldwide, and attempts to subvert and discredit Western democratic institutions and processes”.
NATO allies have expressed their support for Britain following the first use of a nerve agent in Europe since World War II.
“There is no alternative conclusion other than that the Russian state was culpable for the attempted murder of Mr Skripal and his daughter,” Ms. May told parliament.
“This represents an unlawful use of force by the Russian state against the United Kingdom.”
WORLD CUP BOYCOTT
Ms. May said 23 Russian diplomats believed to be intelligence officers must leave Britain within a week.
Britain also suspended all planned-high level contacts, including an invitation for Foreign Minister Sergei Lavrov to visit, but Ms. May said she did not want to break off relations entirely.
She vowed to clamp down on Russians suspected of “hostile state activity,” freezing assets for those in Britain and detaining those arriving at the border.
Neither members of the royal family nor ministers will attend the football World Cup in Russia later this year.
Alexei Sorokin, the chief of the World Cup organizing committee, said the boycott would have “no impact on the quality of the tournament.”
“It is every fan’s choice whether to come or not.”
Analysts said it was a softer response than initially expected, but allowed for further retaliation if necessary.
Jonathan Eyal, of London’s RUSI military think tank, said it was a “first step” in Britain confronting Moscow, given Ms. May chose not to expel the Russian ambassador to London, nor initiate a complete cut-off in relations.
“So in many respects the prime minister was keeping some ammunition dry for a future confrontation,” he added.
‘CHOICE FOR CONFRONTATION’
Britain’s Defense Secretary Gavin Williamson will call for additional military spending in a speech Thursday, according to the Daily Telegraph.
“In the face of intensifying threats, we must prioritize investment in military capabilities,” the paper reported he will say.
“We cannot sit back and let events overtake us.”
On Monday Ms. May said it was “highly likely” that Russia was behind the attack, which left Mr. Skripal and his daughter in a critical condition and a policeman also in hospital.
She said Moscow could be directly responsible or may have “lost control” of the nerve agent, and gave it until midnight Tuesday to disclose details of the Novichok program to the international Organization for the Prohibition of Chemical Weapons (OPCW).
On Wednesday, she said Russia had responded with “sarcasm, contempt and defiance.”
Moscow has said it is willing to cooperate but has accused Britain of failing to follow its own obligations for the investigation under OPCW rules, complaining that its request for samples of the nerve agent have been rejected.
“The British government made a choice for confrontation with Russia,” the foreign ministry said, accusing London of pursuing a political agenda.
At the United Nations, Russian Ambassador Vassily Nebenzia repeated Moscow’s denials and suggested the attack was a provocation aimed at tarnishing Russia’s image ahead of the World Cup and elections.
“Russia had nothing to do with this incident,” Mr. Nebenzia told the council and again demanded proof of a link to Russia. “We have nothing to fear. We have nothing to hide,” he said.
ALLIED SUPPORT
Ms. May has spoken to US President Donald J. Trump, French President Emmanuel Macron and German Chancellor Angela Merkel in recent days to rally international support.
“France’s solidarity with the UK is unquestionable,” the French Embassy in London said Wednesday, noting two country’s leaders “will discuss the matter yet again this Thursday”.
In a joint statement by its 29 member states, the US-led NATO alliance said the attack was a “clear breach of international norms and agreements” and called on Russia to fully disclose details of the Novichok program.
EU Council President Donald Tusk offered his “full solidarity” and indicated the issue would be on the agenda of next week’s summit in Brussels.
British experts say Mr. Skripal, 66, and his 33-year-old daughter were poisoned with a nerve agent from a broad category known as Novichok, which was developed by the Soviet Union during the Cold War.
The case has drawn parallels with the 2006 death by radiation poisoning of former Russian agent and Kremlin critic Alexander Litvinenko, which Britain blamed on Moscow. — AFP
Moscow says will retaliate soon to Britain’s move
MOSCOW — Moscow on Wednesday called Britain’s decision to expel 23 Russian diplomats over the poisoning of an ex-spy a sign that London was choosing confrontation with Russia, adding that retaliation would follow shortly.
“The British government made a choice for confrontation with Russia,” the Russian foreign ministry said in a statement.
British Prime Minister Theresa May on Wednesday expelled the diplomats and suspended high-level contacts with Russia after Moscow did not respond to her demand for an explanation on how a Soviet-designed nerve agent came to be used to attack former spy Sergei Skripal on British soil.
Ms. May said there was “no alternative conclusion other than that the Russian state was culpable” for the attack on Mr. Skripal and his daughter, who fell ill from exposure to a substance called Novichok in the city of Salisbury on March 4 and are currently in hospital.
The Russian ministry said Ms. May’s statement was an “unprecedentedly rude provocation which undermines the foundations of normal bilateral dialogue between our countries.”
It accused London of pursuing a political agenda and choosing to “aggravate relations,” calling the announced measures “hostile.”
Ms. May also confirmed that neither members of the royal family nor ministers would attend the football World Cup in Russia this year.
“Our response measures will not be tardy,” the Russian foreign ministry said. — AFP