PhilRice touts benefits of genetically modified Golden Rice in fighting Vitamin-A deficiency

August 30, 2017 | 12:01 am

THE Philippine Rice Research Institute (PhilRice) said it is counting on field trials for genetically modified Golden Rice to demonstrate the benefits of delivering Vitamin A through the staple grain.

“Our goal is to develop Golden Rice varieties suitable for Filipino farmers, help assess the safety of Golden Rice, evaluate whether consumption of Golden Rice improves Vitamin A status, and explore how Golden Rice could reach those most in need,” Roel Suralta, Golden Rice Project Leader at PhilRice, said in a statement.

Golden Rice is being developed as a potential solution to address Vitamin A deficiency (VAD).

The rice variety contains beta carotene, which is converted to Vitamin A as needed by the body.

The field trials will run for one crop season at a primary trial site at the PhilRice-Central Experiment Station in Barangay Maligaya, Science City of Muñoz, Nueva Ecija and a back-up site in PhilRice Isabela Station, Barangay Malasin, San Mateo, Isabela.

The trials will be conducted under the guidelines of the department circular jointly approved last year by the Department of Agriculture, Health, Environment and Natural Resources, Science and Technology, and Interior and Local Government.

“Our research so far indicates that Golden Rice is as safe and nutritious as ordinary rice. Analysis of its nutritional composition reveals that Golden Rice contains similar nutrients to that of ordinary rice, except for its beta carotene content as intended. Golden Rice is also free from any toxic or allergenic properties and is therefore safe. The beta carotene in Golden Rice is also safe as it is similar to what is found in orange-colored fruits and vegetables,” Mr. Suralta added.

“Golden Rice has a very great potential to help address the problem of Vitamin A deficiency since we Filipinos are rice lovers,” he added.

World Health Organization data show that 190 million preschool children and 19 million pregnant women are Vitamin A-deficient globally.

In the Philippines, VAD among preschool children has increased from 15.2% (1.7 million) in 2008 to 20.4% (2.1 million) in 2013 based on the latest survey by the Food and Nutrition Research Institute

However, various health and environment groups oppose Golden Rice, citing the negative impact and uncertainty of releasing genetically modified products into the field.

Mr. Suralta said that the government is conducting consultations to keep the public well-informed on the technology and arrive at a science-based decision. — Janina C. Lim

Thrift banks’ non-performing loans up

August 30, 2017 | 12:01 am

SOURED DEBTS held by thrift banks rose in June to outpace the growth in total loans, latest central bank data showed, even as the lenders saw profits surge by a fifth from a year ago.

Non-performing loans (NPLs) held by the thrift banks grew by 11% as of end-June to reach P40.153 billion, picking up from the P36.158 billion tallied during the same period in 2016, according to the Bangko Sentral ng Pilipinas (BSP).

NPLs refer to debts left unsettled at least 30 days beyond due date, and are considered as risky assets as these have high risk of default.

Thrift banks are focused on individual borrowers and lending for consumer-related activities such as car and home loans — a riskier segment compared to corporate clients.

The higher NPLs outpaced a 9.6% climb in total loans, which reached P802.118 billion from P731.832 billion previously.

Relative to total credit, the share of NPLs also climbed to 5.01%, inching higher from 4.94% logged in July 2016 but down from June’s 5.1% share.

Loans remained largely funded by deposits, which posted a 13.5% increase to P934.209 billion as of end-June. The loans-to-deposits ratio declined to 85.86% from P88.93% the previous year.

Meanwhile, non-performing assets held by banks which come in the form of foreclosed properties from defaulting borrowers dropped to P20.864 billion, 5.9% lower than the P22.166 billion which the thrift lenders held a year ago.

Banks have the option to seize assets of value such as homes and cars from defaulting clients should they fail to pay their mortgages if these properties were used as collateral for the loan.

With the bigger share of problem loans, the banks chose to raise allowances for potential credit losses to P27.751 billion, which is 8.3% higher than the P25.617 billion reserves allotted a year prior.

However, such reserves were not enough to fully cover the NPLs, as it only provided for 69.1% of the bad debts. Coverage even slipped from the 70.9% share tallied a year ago, data showed.

With the sustained growth in total loans, thrift banks saw cumulative profits jump to P8.174 billion for the first semester, spelling a 20.9% increase from P6.759 billion during the comparable year-ago period.

There are 57 thrift banks operating in the Philippines as of end-March.

Incomes generally went higher across the entire Philippine banking system to a cumulative bottom line of P81.924 billion, up 3.5% from P79.192 billion the previous year. The share of NPLs likewise declined to 1.94% from 2.19% of total loans, according to latest BSP data. The central bank monitors the NPL ratios of banks in order to keep track of asset quality and maintain the soundness of the financial system. — Melissa Luz T. Lopez

LTO rolls out drivers’ licenses valid for 5 years

August 30, 2017 | 12:00 am

THE Land Transportation Office (LTO) yesterday began issuing driver’s license cards with five-year validity.

The LTO head, Edgar C. Galvante, a Department of Transportation Assistant Secretary, said individuals applying for a new license as well as applicants for license renewal will be issued the new 5-year cards, to be initially implemented in the National Capital Region (NCR).

Mr. Galvante said applicants who filed in October will be getting their plastic cards starting next week.

Mr. Galvante said the new plastic license cards are “durable” and contain “several security features.”

He added that the old cards were made of PVC material, were thermally printed and had limited security features.

President Rodrigo R. Duterte earlier this month signed Republic Act (RA) No. 10930, which amends Section 23 of Republic Act No. 4136, otherwise known as the Land Transportation and Traffic Code.

The new law states that: “except for student permits, all drivers’ licenses shall be valid for five years reckoned from the birthdate of the licensee, unless sooner revoked or suspended.”

The law also provides that holders of professional and nonprofessional driver’s licenses who do not commit violations under the Land Transportation and Traffic Code or any other traffic laws during the five-year period are entitled to a renewal of driver’s license for 10 years, subject to the possible restrictions by the LTO. — Patrizia Paola C. Marcelo

How PSEi member stocks performed — August 29, 2017

August 30, 2017 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Tuesday, August 29, 2017.

Economic growth and stock market performance

August 30, 2017 | 12:00 am

China mixup shows risk of poor market communication

August 30, 2017 | 12:00 am

THE CAPACITY of China’s central bank to surprise markets is so great that, last week, it left investors chewing over whether a data error was a policy signal.

People's Bank of China -- AFP — An elderly man walks past the People’s Bank of China in Beijing on August 12, 2015. — AFP

A closely watched Chinese benchmark rate surged 55 basis points at the open on Wednesday. While the National Interbank Funding Center was cited as saying later that the outsized price move was a mistake, the confusion shows the downside to the monetary authority’s opaque use of interbank tools to adjust liquidity in the financial system.

Investors monitor gyrations in the one-week weighted average repo rate as it’s seen to be a weather vane for People’s Bank of China (PBoC) policy. While the central bank maintains a raft of more traditional benchmark interest rates, it’s focusing more on market-based measures these days, and traders are keenly aware they need to expect the unexpected.

“The tricky thing about what happened Wednesday was that the open prices were surprising, but at the same time not impossible, and this created the confusions,” said Zhou Hao, a senior emerging-markets economist at Commerzbank AG in Singapore. “Some participants tend to see a surprise move as a normal way for the authorities to deliver new policy steps.”

China’s central bank — among the least transparent in major Asian economies as ranked by Bloomberg Intelligence — is known to sometimes resort to surprise market moves to communicate policy. In June 2013, it made no change to its goal of “prudent” monetary policy even as it drove the overnight repo rate to a record in what was seen as a stress test for banks. It has spread its influence to Hong Kong’s overseas market as well, pushing offshore yuan borrowing costs to improbable levels to crush currency speculators.

Policy makers have since then taken steps to give more clarity on their thinking. The latest came earlier this month, with a statement urging investors not to focus too much on short-term concerns and saying a diverging pace of credit expansion doesn’t mean monetary policy is losing steam.

“The PBoC has made great progress in becoming more transparent and improving public communication,” said David Loevinger, managing director of emerging-markets sovereign research at TCW Group Inc. and a former China specialist at the US Treasury. “Still, while there’s a lot of statements coming from various PBoC officials, it’s sometimes hard to discern who’s speaking with authority. All central banks have struggled with market guidance; still, by almost any measure, the PB0C remains among the least transparent.”

The PBoC declined to comment on faxed questions on how it plans to improve communications with the market. The National Interbank Funding Center — a central bank arm that manages China’s money-market trading platform — doesn’t have a statement regarding the price changes, a media officer said in a text message.

The Aug. 23 spike in money rates saw the seven-day weighted average repo rate surging to 3.44%, which would have been the highest since April 2015. It came at an especially jumpy time for investors, with policy makers pushing rates higher as part of an effort to reduce leverage in the financial system. Last week, the central bank drained a net 330 billion yuan ($50 billion) in open-market operations, the most since June. It withdrew a further 100 billion yuan on Monday. The 20-day moving average of the overnight repurchase rate is at 2.82%, near the highest since April 2015. The seven-day weighted average repo rate was at 2.89% on Monday.

The central bank, in its first-quarter monetary policy report, said that it would mainly use seven-day loan tenors in its open-market operations. The measure’s first few prices tend to tumble in the mornings, before moving higher later in the day.

“Chinese authorities have made some progress in improving communications, but there is still a lot to be done,” said Carol Pang, fixed-income director at Zhongtai International Holdings Ltd. in Hong Kong. “A situation where investors have to ask each other to figure out what’s going on with policy isn’t ideal.” — Bloomberg

PSEi drops below 8,000 on geopolitical tensions

August 30, 2017 | 12:00 am

STOCKS dropped below the 8,000 line on Tuesday following concerns over North Korea’s recent launching of a missile over Japan earlier in the day.

The Philippine Stock Exchange index (PSEi) shed 0.83% or 66.75 points to 7,948.39 yesterday, as investors were cautious amid geopolitical tensions between North Korea, Japan, and the US. The all-shares index also dropped 0.59% or 28.38 points to 4,720.68.

“It looks like the market was negatively affected by the missile North Korea launched over Japan… We are expecting tensions to rise again between Japan, the US, North Korea and quite possibly China,” PNB Securities, Inc. President Manuel Antonio G. Lisbona said in a text message on Tuesday.

Pyongyang fired an intermediate-range missile over Japan on Tuesday, weeks after North Korean leader Kim Jong-un threatened to target Guam with the same missiles.

Japan Prime Minister Shinzo Abe called the launch an “unprecedented and grave threat” to their country’s security, then called for an emergency meeting alongside US President Donald J. Trump with the United Nations security council to discuss the incident.

“Today we saw another down day as geopolitical tensions rise with NoKor (North Korea)’s ICBM (intercontinental ballistic missile) launching over Hokkaido, Japan. We may expect traders to take an even more risk averse stance amid concerns on the nuclear threats,” Frank Gerard J. Barboza, equity trader at Angping & Associates Securities, Inc., said in a text message on Tuesday.

Most Asian stocks slipped on Tuesday following the missile launch, with the Japan Nikkei 225 dropping 0.45% or 87.35 points to 19,362.55 and South Korea’s KOSPI index losing 0.23% or 5.56 points to 2,364.74.

MSCI’s index of Asia-Pacific shares outside Japan also shed as much as 0.9%. In Southeast Asia, Malaysian shares led the decline, with the main stock index falling to a more than one-month low. Singapore shares fell as much as 0.7% before reversing losses to trade 0.2% down.

Back home, most sectoral counters moved to negative territory save for mining and oil, which ended with a gain of 0.47% or 61.85 points to 13,118.55.

The services sector led losers as it dropped 1.49% or 25.83 points to 1,698.1, followed by industrials, which lost 0.98% or 109.88 points to 11,018.85. Property slipped 0.86% or 32.66 points to 3,733.6; holding firms closed 41.76 points or 0.53% lower at 7,837.48; and financials dipped 0.18% or 3.7 points to close at 1,987.79.

The market saw a value turnover of P6.87 billion after 1.35 billion issues changed hands, rising slightly from the previous session’s P6.25 billion.

Decliners outpaced advancers, 103 to 84, while 51 issues were unchanged.

Foreigners took a selling position, with net outflows recorded at P19.37 million, reversing last Friday’s net foreign buying of P17.52 million. — Arra B. Francia with Reuters

City‑based surfers champion an online bus ticket booking platform

August 29, 2017 | 7:50 pm

What is the best way to travel to the best-surfing destinations in Luzon? By plane, obviously. But for those who want to save money, the next best option is to ride the bus. And it’s the next best option because it’s the only option left.

City‑based surfer girl Mirra Reyes co‑founded Biyaheroes with her friends after a lunch discussion on how difficult travel to the provinces could be, including her favorite surfing destination of La Union. “You could reserve movie seats and book restaurants online, why can’t you do that for bus travel? Public transportation in the Philippines is still very traditional,” Ms. Reyes told SparkUp.

“Biyaheroes is a centralized reservations platform inspired by the same process airlines use to reserve tickets,” she explains. “You can pick your destination, seats, schedule and then book your ticket with us online. You can also earn freebies and points if you sign up and make an account with us.”

This process saves the traveller a lot of time, effort and energy as normally this process involves going to the bus station a few days or a couple of hours earlier than your chosen schedule in hopes of getting the trip that you want. The platform accepts payment via Paypal, 7‑Eleven, bank deposit, and their payment partners (Cebuana Lhullier, Bayad Centre, LBC, SM). Biyaheroes charges a mere ₱50 peso booking fee (almost the same amount it costs if you personally went to the bus stations lined up in EDSA Cubao from within Quezon City, but without the hassle) for tickets that cost less ₱500 or less, or 10% of the ticket price for trips that exceed that amount.

It took Ms. Reyes and her friends two years to become operational, as a lot of work went into partnering up with existing bus companies. “We did a market study first,” she said. “We interviewed passengers, bus operators, and bus liner staff to ask why they continue to operate using their manual and traditional system. We had to make sure that they can mainstream their operations, and that they can handle what we had to offer.” During these two years Ms. Reyes left her office‑based job to work full-time at Biyaheroes, which she considers to be a more fulfilling occupation.

Art Samantha Gonzales

“We want to improve the public image of public transportation,” said Ms. Reyes, whose passion showed through with how enthusiastically she talked about their operations. She even wrote a position paper on the mess between the transport network vehicle services (ex. Grab, Uber) and the Land Transportation Franchising and Regulatory Board (LTFRB) and submitted it to the House Committee on Public Transportation for their consideration. “And the support has been overwhelming from both the public transportation and private sector. Our transportation partners are also glad to see that we offer this kind of system.” They eventually branched out to partnering with ro‑ro vessels for those island to island trips.

“We also handle dealing with specific concerns and complaints from passengers using Biyaheroes,” she added, not at all pikon like a certain indie movie director. “That way we get to address the issue immediately. We see this as an avenue to keep improving our services. Biyaheroes is a collaborative venture between us, our transportation partners and commuters. We merge all the feedback and suggestions to make our booking platforms one of the easiest and most convenient to use.”

Biyaheroes plans to expand their operation until they can make travel more convenient nationwide, Ms. Reyes said. “Our priority is local commute, even if we see the possibility to integrate with airline companies. It’s our priority to streamline public transportation and make sure that commuting in the Philippines is easy—something that can be done any time and anywhere with a few clicks of a button.”

Biyaheroes is currently partnered with the following transport operators for the following destinations:

Partas (Pasay, Cubao, Sampaloc, San Fernando La Union, Baguio, Vigan, Laoag, Abra, Pagudpud)
Jac Liner (Kamias, Buendia/LRT, Mauban, Marinduque)
Dagupan Bus Co. Inc. (Cubao, Bolinao, Manaoag, Lingayen, Agno)
LLi (Kamias, Buendia/LRT, Lucena)
Pangasinan Solid North Transport Inc. (Cubao, Dagupan, San Carlos)
Southwest Tours (Boracay), Inc. (Caticlan Airport, Caticlan Jetty, Port Cagban Port, D’Mall, as well as hotel drop-offs and pick ups)
Lexxus Shuttle (Airport/Hotel pick-up to El Nido, Sabang Port and Port Barton)
Silver Star Shuttle & Tours, Inc. (Cubao, Laguna, Samar, Leyte, Bohol)
Coda Lines (Cubao, Sagada, Banaue, Bontoc)
Davao Metro Shuttle (Abreeza Mall, Tagum City)
MSLI (Coron to El Nido, Palawan Fastcraft)
M/BCA Bunso Transportation (Mindoro, Coron, El Nido)

The secret lives in pet cafés

August 29, 2017 | 7:44 pm

When one man’s passion for his pets turns into a business venture, he makes sure that his “employees” are treated with care.

That’s why television show creator and co‑director Don Michael Perez brought Bengal Brew Cat Café to life at Manhattan Parkview in Araneta Center, a stone’s throw away from Cubao’s busiest malls and entertainment centers, and a convenient location for someone who has to be at a TV network’s studio for most of the day. An ample place for his Bengal cats to roam and be pampered by café guests, this was eventually followed up by Wolf & Bear Dog Café next door for his large dog breeds.

“I have too many pets,” Mr. Perez said during an interview with SparkUp in the middle of Bengal Brew, where his cats would casually walk past and rub against their master. We tried holding the interview at Wolf & Bear at first, but the dogs were more excited by the visit of their beloved owner. “Before my pets were either in our home in Antipolo or in our home in Batangas. I needed a place to go where I can visit them at once and it just happened to be that there was a pet café explosion two years ago.” That was when he decided to put up a cat café, which was inspired by his trips to similar establishments in Japan, knowing that the market was finally ready for it.

Initially a dog person, particularly of large breeds like the Alaskan Malamutes and sheepdogs that can be visited in Wolf & Bear, Mr. Perez eventually change alliances because of Bengal cats. The large domestic cat breed still has a lot in common with its wild ancestors, from its leopard-like fur to its sleek physique. Bengals are a highly intelligent breed that needs to keep active, and they have no shortage of places to roam in the café, which has walkways on the ceiling for them to climb and rest if they get too tired of socializing with café guests. Still, they’re not anti‑social. Dealing with them can be an exercise in patience, experience has taught this reporter that they’re more likely to come to you if you don’t chase after them, and then you’ll end up with a cat massage followed by hours of having a cat on your lap who doesn’t seem to want to leave any time soon. The cats in the café are named after royalty, such as Amir (Arabic/Hebrew for “prince”), Rasheed (Arabic for “counsellor”) and Hari (Filipino for “king”). They also have two Serval cats, a breed of African wildcat, named Lucas and Gabriel who grew up with the Bengals and have taken a Bengal kitten under their wing, letting it curl up in its bed with them and letting it follow them around the café like its one of them. (Interestingly enough, servals can breed with Bengals despite the size difference, which leads to the Savannah cat breed.)

“A visit to Bengal Brew is like taking a walk in the wild side. It’s like interacting with wild cats that you can pet,” Mr. Perez said with pride. On the other hand, Wolf & Bear has the exact opposite theme as the warm atmosphere of Bengal Brew. “A visit to Wolf & Bear is like a visit to the Arctic,” he added. “This is where you can interact with dogs that you can’t find in the streets of the Philippines.”

He joked that at least with the dog café, the dogs can at least help in paying for the electric bills that are definitely high when air conditioning is a must with their thick fur. “As far as dogs I really like arctic dogs like Alaskan Malamutes, huskies and Akita, dogs that you’d be foolish to keep in this country,” Mr. Perez said. “They’re cold weather dogs and because I’m a foolish hobbyist I’ve been keeping them in a place where you never turn off the air conditioning. At least now with the dog café I have help with paying the electric bills.” Initially he didn’t have small dogs in the pet café, but because smaller dogs are what customers are looking for he added dogs such as a teacup Pomeranian that loves getting picked up and will use you as leverage to pick fights against the other dogs, a frisky greyhound with surprising jump power, a lazy Pekinese that loves sleeping on laps, and a very excitable black poodle pup. The smaller dogs are on the second floor while the large dogs are on the first floor. The wolf‑like breeds, which can get territorial by nature, get their own respective pens until it’s time to take them out for a walk. (You might have seen them if you’re drinking outside Today x Future after midnight.) Or you can chill with the bear‑like breeds like the Newfoundlands, the St. Bernard and the sheepdog, in a more contemporary café‑like space, also in the first floor.

With that said, how does he keep his pets healthy? When cats and dogs need at least 16 hours of sleep a day, and with most of the serious pet care happening after store hours, it’s easy to judge that the sometimes unresponsive and lethargic nature of the pets, and their size compared to their location, means that they’re unhealthy. Mr. Perez stresses that they’re not and that they take great care in taking of them. “We have a resident vet that makes weekly visits, and I have strict orders to my stay‑in staff that I be alerted for any sign that something might be wrong with my pets,” the lifelong pet hobbyist explained. “We’re open eight hours a day, while the rest of the time is dedicated to grooming, feeding, and pet care.” For food, Mr. Perez is an advocate of natural raw food diet, so the cats (which are obligate carnivores) are on an all meat diet while the dogs are on a mostly meat, grain‑free diet and occasionally get root crops and saba banana as treats.

As for space concerns, Mr. Perez believes that its more important that the dogs get exercise. “The theory is that it’s not really the amount of space that you’re willing to provide that’s important, but the amount of exercise that they get. If you go to Alaska, these dogs spend most of the year hibernating and are kept in small kennels until summer, when it’s time for them to pull sleds.” And it’s not like the dogs are kept in the café all their lives. “I have a farm in Batangas where I keep the Alaskan malamutes, they’re rotated seasonally or when we feel that some of them become agitated in the café.” (His favorite dog is also in Batangas but I was told not to say who, in case the other dogs get jealous.)

He also urged café patrons to observe basic ground rules in the café, which are listed in a waiver that you have to sign every time you visit. This includes wearing café‑provided slippers instead of shoes to prevent the spread of disease, washing your hands before and after visiting the café, and his number one rule: “Let the pets come to you, don’t force contact with the pets.”

“Cats and dogs need 16 hours of sleep a day, and they’re nocturnal,” he explained. “That’s why sometimes when you enter the café they’re just sleeping.” It some café visitors do not let sleeping cats and dogs lie, waking them up in hopes of getting that perfect pet selfie, which is why the café felt the need to stress that pets, just like people, also need personal space.

“I opened this place for people who really love pets and who are willing to spend time with them, and not for people to take selfies,” Mr. Perez said. “I hope that within the year or maybe next year I’ll get to open a branch outside the city where the pets can get a lot of space. Then you can get to run and frolic with the dogs and the cats can get more sunlight and fresh air.”

Government keeps ‘very good’ satisfaction

August 29, 2017 | 12:32 am

By Rosemarie A. Zamora

THE PUBLIC’s satisfaction with the national government stayed “very good” last quarter under the administration of President Rodrigo R. Duterte, with noticeably better marks for providing jobs, defending the country’s territorial rights and fighting inflation, according to results of a June Social Weather Stations (SWS) survey.

The second-quarter 2017 Social Weather Survey — conducted on June 23-26 via face-to-face interviews with 1,200 adults nationwide and with sampling error margins of ±3 points for national percentages, as well as ±6 points each for Metro Manila, “Balance Luzon,” the Visayas and Mindanao — found 75% satisfied with the national government, 13% undecided and 11% dissatisfied.

That yielded a net satisfaction rating of +64 (% satisfied minus % dissatisfied), classified by the SWS as “very good” even as it was two points less than March’s “very good” +66.

The SWS classifies net satisfaction ratings of at least +70 as “excellent”; +50 to +69 as “very good; +30 to +49, “good”; +10 to +29, “moderate”; +9 to –9, “neutral”; -10 to –29, “poor”; -30 to –49, “bad”; -50 to –69, “very bad”; as well as –70 and below as “execrable.”

The June survey resulted in a net satisfaction rating of “very good” +64 in the first four quarters of the Duterte administration, SWS noted. That compares to four-quarter average scores of a “very good” +55 under Benigno S. C. Aquino III, Gloria M. Arroyo’s “moderate” +19, Joseph E. Estrada’s “moderate” +29 and Fidel V. Ramos’s “moderate” +29.

Sought for comment Presidential Spokesperson Ernesto C. Abella said in a mobile phone reply: “We believe that the significant gains of the Duterte administration are now being felt and given due recognition by our people as they rated the government ‘very good’ in the areas of helping the poor, protecting human rights, defending the country’s territorial rights and providing jobs.”

Ramon C. Casiple, executive director of the Institute for Political and Electoral Reform (IPER), noted in a separate text that “[t]his time, there is a palpable perception of positive impact of inclusiveness among the majority of the people,” while Antonio G.M. La Viña, former dean of the Ateneo School of Government, said “[i]t seems that people are feeling good results economically in their personal financial and job situation.”

Gov’t keeps ‘very good’ satisfaction

The national government got “very good” marks in four out of 15 issues, namely: helping the poor, protecting human rights, defending the country’s territorial rights and providing jobs.

It got “good” scores in fighting terrorism, foreign relations, fighting crime, eradicating graft and corruption, solving extrajudicial killings, reconciling with Moro rebels, ensuring that no family will ever go hungry and reconciling with communist rebels.

It got “moderate” grades in recovering the hidden wealth of the late former president Ferdinand E. Marcos and his cronies, resolving traffic and fighting inflation.

The government got markedly better scores for providing jobs (up eight points to +51), defending territorial rights (five points more at +51) and fighting inflation (up 11 points to +24).

Grouped by geographical location, responses stayed “excellent” in Mr. Duterte’s bailiwick, Mindanao, though down seven points at +72 from +79 in the March survey.

IPER’s Mr. Casiple said the declaration of martial law over all of Mindanao right after militants aligned with the Islamic State took over Marawi City on May 23, lack of progress in the proposed Bangsamoro basic law that is designed to lay the groundwork for lasting peace with the Moro Islamic Liberation Front and the Moro National Liberation Front — the country’s two main Moro rebel groups, and a “breakdown of peace talks” with communist rebels “have all affected the Mindanao ratings”.

Responses remained “very good” elsewhere, though down 11 points to +56 in the Visayas, five points more at +67 in Metro Manila and up three points at +63 elsewhere in Luzon.

Scores also remained “very good” across socioeconomic classes, though down six points to +55 among respondents in the “ABC” segment, two points less at +64 among those in “D” and a point less at +68 among those belonging to “E” class.

Executive, legislative leaders to fine-tune list of priorities

August 29, 2017 | 12:31 am

By Ian Nicolas P. Cigaral
Reporter

THE LEGISLATIVE-EXECUTIVE Development Advisory Council (LEDAC) will convene today for the second time under the current government to agree on priorities that President Rodrigo R. Duterte cited in his second State of the Nation Address (SONA) last month.

Duterte-LEDAC-2016 — President Rodrigo R. Duterte presides over a meeting of the Legislative-Executive Development Advisory Council (LEDAC) at the President’s Hall in Malacañan on November 14, 2016. — SIMEON CELI JR/Presidential Photo

The 20-member advisory body was established under Republic Act No. 7640 during the administration of former president Fidel V. Ramos.

It then held its first meeting on May 19, 1993, a year into Mr. Ramos’s term.

After a five-year hiatus, the young Duterte administration reconvened LEDAC on Jan. 30, setting the stage for close consultation between legislative and executive leaders on priority reforms. They had also agreed to include leaders of the judiciary whenever necessary.

Socioeconomic Planning Secretary Ernesto M. Pernia, who heads LEDAC’s secretariat, and Senate President Aquilino L. Pimentel III confirmed in separate mobile phone messages on Monday that the advisory body will convene today.

“LEDAC is confirmed tomorrow afternoon,” Mr. Pimentel said yesterday.

“Agenda would be what legislative measures Malacañang wants prioritized especially those mentioned in the SONA.”

Among the measures that Mr. Duterte underscored in his second SONA on July 24 were the proposed 2018 General Appropriations Act, revival of the death penalty, Bangsamoro basic law, shift to a federal form of government, national land use act, establishment of a department of national resilience, rightsizing the national government act, tax reforms, additional powers to address worsening traffic, review of Republic Act No. (RA) 7942 or the Philippine Mining Act of 1995, amendment of RA 9184 or the Government Procurement Reform Act to remove the “lowest bid” requirement that has led to quality being compromised, and a national broadband plan.

Rolando G. Tungpalan, National Economic and Development Authority undersecretary for Investment Programming, said 14 bills previously endorsed by LEDAC’s Executive Committee (LEDAC-ExCom) last July 13 will also be tabled for today’s meeting.

The LEDAC-ExCom — which is composed of the leaders of both chambers of Congress, the Executive Secretary, the Socioeconomic Planning Secretary and the Presidential Legislative Adviser — convenes whenever necessary.

“LEDAC-ExCom-approved Common Legislative Agenda (CLA) is included in the meeting tomorrow. The CLA has to be adopted and approved by the LEDAC Full Council,” Mr. Tungpalan said in a mobile phone reply.

Measures endorsed by the LEDAC-ExCom consist of proposals for a unified national identification system act, security of tenure bill that will further limit allowed contractualization, use of funds from a levy imposed on coconut farmers during the regime of the late former president Ferdinand E. Marcos, national transport act to address worsening traffic, budget reform act, national land use act, rightsizing of the national government, strengthening of RA 10175 or the Cybercrime Prevention Act of 2012, amendments to RA 8178 or the Agricultural Tariffication Act, changes to the National Irrigation Administration Charter to provide free irrigation, amendments to Commonwealth Act No. 146 or the Public Service Act in order to open public utilities to foreign ownership without having to amend the Constitution, an ease of doing business act/fast business permit act, Government Procurement Reform Act amendment and tax reform.

According to a statement issued by NEDA last month, the 14 bills form part of the 28 measures in the proposed CLA that was “reviewed and vetted” by the LEDAC Secretariat for final approval by the full council. The CLA consists of measures based on the President’s Legislative Agenda and the Common Legislative Priorities of Congress.

Mr. Pernia had earlier said adoption by both the executive and legislative branches of a joint list of priorities means “we would want them passed into law, possibly within the year.” Classifying specific bills as “urgent” removes the requirement of waiting for days after second-reading approval by the House of Representatives and the Senate, in plenary session, before approval in third and final reading.

Adoption by either chamber of the other’s version also removes the necessity of convening a bicameral conference committee to harmonize differences before submission to Malacañang for signing into law.

Business interest still ‘high’ but reality bites

August 29, 2017 | 12:30 am

By Melissa Luz T. Lopez
Senior Reporter

AN INITIAL SURGE of investor confidence in the current administration has started to ease more than a year after President Rodrigo R. Duterte assumed office, analysts from The Economist Intelligence Unit (EIU) said, as businessmen realize that his preoccupation with the war on drugs could divert attention from much-needed economic reforms.

The think tank said investors have begun to temper expectations with the Duterte government now that the dust of political noise that initially clouded their view has begun to clear.

“Mr. Duterte’s first year in office suggests that economic issues are likely to play second fiddle to his security and law-and-order agenda in the remaining five years,” EIU economists Pamela Qiu and Miguel Chanco said in an e-mailed reply to queries.

“The president’s effort so far has been primarily centered on his crackdown on drugs and crime, as well as on the conflict in Mindanao,” they noted last week.

“In contrast, there has been comparatively much less attention paid to policies on the economic front.”

While there remains a “high level” of investor interest in the economy — largely due to its rapid growth that has clocked above six percent for eight straight quarters — “the business community is starting to realize that their previous expectation that the heavy-handedness of Mr. Duterte would help to propel economic reform and infrastructure development was probably too optimistic.”

“Signs of investors’ waning confidence include the ongoing weakness of the peso (one of ASEAN’s worst-performing currencies this year); the current slowdown in real investment growth; teetering business confidence surveys and the outright year-on-year falls in approved foreign investments since Duterte came into office in mid-2016.”

The peso touched 11-year-lows this month as it traded around P51 to the dollar, with central bank officials saying they were prepared to step in to temper excessive foreign exchange swings while letting market forces dictate such movements.

Business confidence slipped to a three-year low this quarter, results of the central bank’s most recent survey showed, as concerns over the prolonged battle for Marawi city, a weaker peso and a seasonal slack in consumer demand weighed on sentiment.

On the other hand, the first of up to five tax reform packages proposed by the Executive remains under deliberation in the Senate, months after the House of Representatives approved its version of the bill on May 31.

Congress now has four months left to finalize the measure for submission to Mr. Duterte for enactment, as the Finance department hopes to enforce it starting January 2018.

Targeted bigger collections from tax reform are expected to finance bulk of the P8.44-trillion spending on infrastructure planned under the 2017-2022 “Build, Build, Build” program, besides development aid from China and Japan.

Despite these observations, the EIU expects the Philippine economy to grow by 6.5% this year, matching the low end of the government’s 6.5-7.5% growth goal.

Still, the economists said Mr. Duterte can do more to boost investor confidence and advance reforms on the economic front by “taking greater ownership and responsibility” of the ambitious infrastructure plans under the “Dutertenomics” agenda.

A “more forceful” push for the passage of tax reform, as well as further liberalization of foreign investment rules would also bode well in lifting investor interest, Ms. Qiu and Mr. Chanco added.