Facebook Instagram Linkedin X Youtube
Home Blog Page 13794

How PSEi member stocks performed — August 18, 2017

Here’s a quick glance at how PSEi stocks fared on Friday, August 18, 2017.

Hong Kong property investors go trophy hunting in London despite Brexit

LONDON — Chinese investment in London commercial property has more than trebled since before Britain voted to leave the European Union, most of it channelled through Hong Kong at a time of heightened political uncertainty in the former British colony.

While others have pulled back from British property following last year’s Brexit referendum, investors largely from Hong Kong are snapping up the British capital’s best-known skyscrapers including the “Cheesegrater” and “Walkie Talkie.”

In the first six months of 2017 Chinese investors spent £3.96 billion ($5.10 billion) on London commercial property according to data from the CBRE real estate group, the highest amount on record and outpacing the £2.69 billion spent in the whole of 2016.

Hong Kong accounted for 92% of the Chinese investment, according to the Knight Frank agency. Hong Kong food conglomerate Lee Kum Kee is set to pay £1.28 billion later this month for 20 Fenchurch Street — the 34 storey skyscraper known as the Walkie Talkie — a record for an office building in Britain.

With Beijing cracking down on foreign deals by mainland companies, investors there are instead using Hong Kong as a conduit for overseas deals. China’s state planner announced on Friday that the country will strengthen rules to defuse risks for domestic companies investing abroad and curb “irrational” overseas investment.

However, Hong Kong-based investors are more significant players.

“Deals from mainland China already make up a smaller proportion of the activity from the region, with Hong Kong investors most active,” said Anthony Duggan, head of capital markets research at Knight Frank. “We expect that Chinese investors will still look to make strategic real estate purchases that fit within their business plans.”

Hong Kong’s freedoms, including judicial independence, are constitutionally enshrined under a “one country, two systems” deal struck before Britain returned the territory to China in 1997. However, concerns have been rising in recent years and an appeals court jailed three leaders of Hong Kong’s democracy movement last week.

Tens of thousands protested in Hong Kong on Sunday against the jailing of the young activists, with many demonstrators questioning the independence of the judiciary.

Hong Kong’s legal chief has denied any “political motive” in seeking the prison terms.

TAKING CONTROL
“If you’re concerned that China is taking control of Hong Kong more and more and you need to take capital out of that jurisdiction, London is attractive,” said Chris Brett, head of international capital markets at CBRE.

Several factors are drawing the investment, including sterling’s 12% drop since the Brexit referendum against the US dollar — to which the Hong Kong dollar is pegged.

“Cheaper money, the rule of law, cultural familiarity and a need to diversify out of a home market is what’s driving Hong Kong demand in the UK,” said James Beckham, head of central London investment at property consultant Cushman & Wakefield, which advised the Walkie Talkie’s buyers and Cheesegrater’s sellers.

Record Hong Kong commercial and residential property prices, along with the political concerns are pushing investors to turn to overseas markets where rental yields are higher.

The illiquidity of a building compared with other investments is also an attraction, should Beijing demand that funds be repatriated to China, Jefferies analyst Mike Prew said.

The Brexit vote means some London-based financial jobs will shift to the continent or Ireland so that banks can continue selling to clients in the EU.

But this negative factor for the office market is offset by the pound’s fall, which makes property cheaper for foreign investors, and the fact that the buildings sold have come with tenants signed up to leases of around 10-15 years.

Real estate sources said other City of London landmarks, including 30 St. Mary Axe — known as the Gherkin — and the Heron Tower are also attracting interest from Hong Kong investors. These prime “trophy” assets, like the Cheesegrater and Walkie Talkie, have well-known tenants and are in limited supply.

Chinese pricing of UK commercial real estate has already established an “entry premium” of about 100 basis points on yields for platinum or top grade buildings, according to Mr. Prew.

Capital from China and Hong Kong has accounted for a third of all investment in London commercial real estate this year, up from less than 10% before the referendum, according to CBRE.

This stands in contrast to other investors. Money raised by UK property-focused private equity funds has fallen since the Brexit vote, with $2.9 billion raised in the first half of 2017 compared with $3.7 billion a year earlier, according to data from Prequin.

That’s as the outlook for the London office market, as a whole, clouds before Britain’s EU exit in 2019. The amount of empty space has jumped since the referendum, with developers having to offer longer rent-free periods and lease breaks early into leases to secure tenants.

Central London office developer Derwent London, which has a portfolio worth £4.8 billion, forecast that 2017 rental values would be anything between down 3% to up 2%.

SKY HIGH
London’s skyscraper boom of the last decade reshaped the skyline, adorning it with unusually shaped silhouettes inspiring nicknames such as the Shard and the 24-storey Can of Ham, which is due to open next year.

The largest chunk of cross-border Chinese real estate investment continues to be poured into the United States, but that proportion declined in the first half of the year while increasing in Britain.

Buildings in London are cheaper per square foot than in Hong Kong, Tokyo, New York and San Francisco, but they offer higher rents than most other global centers of their stature, according to Knight Frank data.

“(Chinese investors) want stable and good returns and trophy buildings generally look part of that,” said Dan Norris, real estate head at Hogan Lovells, the second-largest law firm in China.

Mr. Norris helped Chinese buyers in May to buy 20 Gresham Street, a seven-floor building near St. Paul’s Cathedral, for around £300 million. Asian investors were choosing to avoid development deals as they remained wary of riskier projects and were most keen on London offices, he added.

Sales of trophy assets have been a prominent feature of the central London deal market for the past six months, resulting in 29 transactions of over £100 million completing, up from 19 a year ago, according to data from BNP Paribas Real Estate.

The most recently sold skyscrapers are also cheaper than the same calibre of building in Hong Kong: CBRE data show rental yields stand at about 3.4-3.5% for a top-tier London building versus 1% for a similar Hong Kong one. — Reuters

Filipinos among world’s most confident consumers

Life hacks for the little extra $$$

American football broadcaster and former player, coach, and executive Jimmy Johnson once said that “the difference between ordinary and extraordinary is that little extra.” That “little extra” comes when you don’t settle for conventions.

While it is conventional to work five days in a week, “The 4‑Hour Work Week” author Timothy Ferriss believes that it’s possible to gain much more by working much less. In the book, Ferriss shares that in order for you to truly achieve your goals and dreams, you have to be a lot more efficient with the use of your time and money, and this is possible through two interesting life hacks: a muse and a VA.

Art Samantha Gonzales

Muse

It is common for us to think that doing business is time-consuming, but Ferriss believes that businesses do not have to kill so much of your time and effort. This is possible through a muse. A muse is basically an online business, a money‑generating vehicle that will allow you to earn without having to spend as much time as an 8‑5 job. Having an online business will allow you to reach more people and gain more customers because the world is your market and you can earn in multiple currencies. You are not bound by a geographical location and you can work on the business remotely. Location and time freedom for you, automated income for your finances. Definitely a win‑win situation.

Virtual Assistant (a.k.a. VA)

Aside from a muse, Ferriss advocates for outsourcing your life by hiring a VA. The VA will work on the day-to-day while you work on the big picture of the business. Having a VA and delegating tasks will get you to save time and money, and will liberate you from the daily worries that someone else can do for you. Not only does this give you the freedom you need, but also disciplines you to work more efficiently and responsibly.

We actually took Ferriss’ advice and got ourselves VAs. Our VAs develop our website, maintain our social media accounts, create and manage our Facebook ads, write for us, design for us, and sometimes, even reply to emails for us. Because of this, we save a lot of our time and we then get to focus on the actual meat of our business. Talk about working smart, right?

Like many life hacks we often hear and see, Ferriss shares with us some tips that will get our businesses and lives rolling in the most efficient of ways. However, it is still important to note that while these hacks could work for him and for us, results and experiences will differ for each person. We recommend that you try these out and get to learn more of what works for your experiences and businesses to find your most efficient hacks. More than anything, Ferriss invites all of us to be as adventurous and brave as he, because who knows, that little life hack, that little extra might just be your key to becoming extraordinary.

Don’t look at the sun!

US President Donald Trump looks up at the partial solar eclipse from the balcony of the White House in Washington, DC, on August 21, 2017. — AFP

Trump
AFP

Solar eclipse

The “diamond ring effect” is seen during a total solar eclipse as seen from the Lowell Observatory Solar Eclipse Experience on August 21, 2017 in Madras, Oregon.

Millions will be able to witness the total eclipse that will touch land in Oregon on the west coast and continue through South Carolina on the east coast. — AFP

AFP

BSP official sees room for steady policy

FASTER economic growth last quarter leaves more room for the central bank to maintain interest rates for now and, coupled with slow inflation, should quell fears that the economy is close to overheating, a senior official of the Bangko Sentral ng Pilipinas (BSP) said last weekend.

“Although the second quarter real GDP growth stood at the lower end of the growth target for the whole year 2017, it clearly promises to be very sustainable,” BSP Deputy Governor Diwa C. Guinigundo told reporters in a mobile phone message.

“From a monetary policy perspective, that gives us greater flexibility to take advantage of our existing monetary space. Such growth of 6.5% in the context of price stability is very much consistent with our potential output and that should convince us that overheating is quite distant at this point.”

The Philippine Statistics Authority reported last week that gross domestic product (GDP) expanded by 6.5% in the second quarter, picking up from the preceding three months’ 6.4% but slower than April-June 2016’s 7.1% climb.

Government spending accelerated to 7.1% from a near-flat 0.1% posted in the first quarter, while household spending picked up to 5.9% from 5.8% previously and continued to account for two-thirds of total expenditures in the economy.

Growth averaged at 6.45% last semester, a tad short of the lower end of the government’s 6.5-7.5% growth goal for 2017. Analysts have said that there is strong potential for fast GDP expansion this semester, but said much would depend on the government’s implementation of its ambitious infrastructure development plans.

Mr. Guinigundo said sustained robustness of economic activity — which fueled the eighth consecutive quarter of above-six percent expansion — lies behind the Philippines’ strong importation, as the entry of capital goods supports the continued expansion of local industries. More imports, he explained, “in time translate into higher productivity, higher exports and still higher investments.”

Imports grew by 18.7% in the second quarter, picking up slightly from an 18.6% climb from January-March but slower than the 25.4% surge seen a year ago.

Coming alongside outbound investments and prepayment of foreign debt, “[t]he transitory impact, of course, is some current account shortfall and peso depreciation,” Mr. Guinigundo added.

“What is, therefore, important is that this sustained growth path should allow us to take a longer view of economic and financial developments.”

The peso has been trading around its weakest value against the dollar in 11 years over the past few weeks, with traders attributing the local currency’s depreciation to external developments and market concerns about the current account deficit.

BSP officials, however, said an external trade gap should not be a cause of alarm as heavy importations will support the ambitious infrastructure projects planned by the Duterte administration over the next five years, which will stoke further growth. Mr. Guinigundo particularly said that the Philippines remains well-positioned to sustain its upbeat growth momentum, adding that inflation has remained subdued despite booming domestic activity. Prices of widely used goods and services averaged 3.1% in the seven months, a tad below the BSP’s 3.2% forecast for the entire year but still within the official 2-4% target band.

The Monetary Board kept interest rates unchanged during its Aug. 10 policy review amid signals that the economy does not need fresh stimulus given manageable inflation and firm domestic demand. — Melissa Luz T. Lopez

Local banks open to foreigners, but await offers they can’t refuse

FOREIGN PARTIES wanting a piece of the action in one of Asia’s best growth stories have found the Philippines’ banking sector a tough nut to crack.

Penetrating the Philippine banking system remains a challenge for foreign entities despite the liberalization of the banking system, first under Republic Act No. (RA) 7721 in 1994 and later RA 10641 in 2014.

So far, foreigners have been settling for partnerships given the high cost of doing business here or securing minority interest, given entrenched family ownership of local banks that require a hefty premium for their shares.

“Marami laging tumitingin. Ang daming nagtatanong (Many parties are checking us out and many are asking about opportunities). It’s a question of price. The Sys are not interested unless it’s an offer you can’t refuse,” BDO Capital and Investment Corp. President Eduardo V. Francisco said.

“In theory, we could partner, but nobody has come up with a really compelling story for us to partner. We’re doing well. We don’t need the money because we’re well-capitalized.”

Still, Mary Jade Roxas-Divinagracia, managing partner for deals and corporate finance at PwC Philippines, sees “several” inbound mergers and acquisitions (M&A) happening in financial services — particularly banks and financing companies — driven by growth aspirations and the regional integration.

“Compared to banks in other ASEAN countries, Philippine banks are still very small. To compete, they need to grow bigger so they are open to inviting equity/financial investors,” Ms. Divinagracia said.

The three biggest Philippine banks — the Sys’ BDO Unibank, Inc., the Tys’ Metropolitan Bank & Trust Co., and the Ayalas’ Bank of the Philippine Islands — combined are still smaller than many commercial banks in Southeast Asia.

For now, local lenders have been working to tighten their grip on the domestic market instead of venturing into unknown territory.

Rumors were rife in the market that Yuchengco-led Rizal Commercial Banking Corp. (RCBC) is up for sale and that Gotianun-led East West Banking Corp. is taking in a South Korean bank as a strategic investor. Both lenders have downplayed such speculations.

Appetite has been building up since foreigners were allowed to own 100% of Philippine domestic banks. In July 2014, then President Benigno S.C. Aquino III signed RA 10641, allowing the full entry of foreign lenders in the local banking industry.

“We’re looking at valuation, but it’s more than the money. We are looking at what they can bring to the table,” said former Ambassador Alfredo M. Yao, a key shareholder of Philippine Business Bank.

As the Philippine economy sustains its above-trend economic growth momentum, demand for new services and financial products will also increase, analysts said.

Forging strategic ties with foreign banks has started to make sense for local lenders looking to diversify their revenue stream.

“One of the more efficient ways of growing profit is through fee-based income. Foreign banks have greater expertise outside lending and we can take advantage of that experience,” said April Lynn L. Tan, vice-president and head of research at COL Financial Group, Inc.

Security Bank Corp., the country’s sixth largest lender in terms of assets, was the latest bank to take in a foreign investor after Taiwan’s Cathay Financial Holdings Co. secured a 20% interest in RCBC in 2014. Cathay has since increased its stake to 22.71%.

Since completing the sale of a 20% stake to Bank of Tokyo-Mitsubishi UFJ Ltd. (BTMU) at a huge premium in April last year, Security Bank has received accounts from clients of the Japanese bank and has engaged in a business-matching event for them.

With the capital partnership, Security Bank President and Chief Executive Officer Alfonso L. Salcedo, Jr. said it can leverage BTMU’s global network spanning close to 50 countries.

BTMU said on its Web site that the partnership will allow Security Bank to serve the cross-border requirements of customers through the Japanese bank’s global franchise and expertise. The local lender can also capitalize on its strength in project finance as the government ramps up infrastructure development.

“Economies are evolving, growth is broadening. There are new sectors and new geographical areas that require technological expertise, knowledge of more affluent client base,” BDO Nomura Senior Vice-President and Head of Research Dante R. Tinga said.

Global banks searching for new markets see the Philippines as a viable business site, given its strong economic growth, huge consumer market, and the government’s aggressive infrastructure drive that provide opportunities to expand their loan portfolios.

In May, Bangko Sentral ng Pilipinas Governor Nestor A. Espenilla, Jr. said there were eight Asian banks looking to enter the Philippines, which would add to nine others that set up in the country over the last two years.

“The market is changing for financial services. We need to shift with the market,” said Justino Juan R. Ocampo, executive vice-president and Investment Banking Group head at First Metro Investment Corp.

In a good year for Asia’s currencies, Philippine peso finds itself unloved

HONG KONG/MANILA/SINGAPORE — Asian emerging market currencies have been having their best year since before the 2013 taper tantrum, bolstered by pace-setting growth rates and attractive yields.

But the Philippine peso has been left out of the party — ironically after it held up better than peers, including Indonesia’s rupiah back in 2013.

Unless things change, it’ll be a fifth straight year of declines for the peso, which is down 3.4% so far in 2017 versus a 7.9% rise for Thailand’s baht.

For now, that slide may be set to deepen as traders test the tolerance levels of Philippine policy makers, who have so far refrained from actions to prop up the exchange rate.

“The market appears to have turned to the view the Philippine authorities do not care about the PHP,” said Callum Henderson, managing director of global markets-APAC at Eurasia Group UL Limited in Singapore.

“In my view that is wrong, but recent statements may not be enough and the central bank may have to match words with deeds.”

LOCAL WHIPPING BOY
It’s hard to make a concise case for why the peso is so forlorn, given the country’s growth trending above six percent the past half decade.

Currency analysts list a series of reasons.

The current-account deficit is set to widen because of ambitious infrastructure plans, and there is uncertainty over the passage of tax reforms that are winding their way through the legislature.

Political upheavals such as President Rodrigo R. Duterte’s war on drugs are harming sentiment.

Battles between government troops and Islamic State-linked militants in the southern city of Marawi have prompted additional caution among investors, and the cost of the military activity is putting pressure on the budget deficit.

“When you’re looking at other currencies in the region, it’s less appealing from that perspective,” said Stephen Innes, head of trading for Asia Pacific with Oanda, in an interview in Hong Kong on Aug. 17.

“You have the current account increasing, the waves of instability in the political landscape, and it just becomes the local whipping boy.”

NatWest Markets, ANZ Banking Group and Goldman Sachs Group Inc. are among those who are bearish on the currency.

Philippine Finance Secretary Carlos G. Dominguez III said last week that the peso’s slump is mainly due to a deteriorating trade outlook because of rising imports of capital goods, which is “normal for a country that is growing very fast.”

On Thursday, GMA News reported that Economic Planning Secretary Ernesto M. Pernia had said an exchange rate of 52 to the dollar would be acceptable.

Bangko Sentral ng Pilipinas Governor Nestor A. Espenilla, Jr. said on Friday that there will be no free fall for the currency as the economic fundamentals are strong.

The peso has become an obvious target for selling as tensions have risen, Mr. Innes said — not only domestically but more widely with international concerns such as North Korea’s nuclear saber-rattling. — Bloomberg

Cardinal Tagle: Act together on drug issue

By Kristine Joy V. Patag
Reporter

MANILA ARCHBISHOP Luis Cardinal Antonio Tagle on Sunday, Aug. 20, urged a “multi-sectoral dialogue” on the drug problem, amid controversy over the Duterte government’s drug war following the murder Thursday night of an adolescent in what appeared to be a police rubout.

Cardinal Tagle: Act together on drug issue
Vice-President Maria Leonor G. Robredo speaks with the father of Kian Lloyd delos Santos at the vigil of the slain teenager. — OVP_INTERKASYON

Also yesterday, Vice-President Maria Leonor G. Robredo paid a visit to the wake of slain 17-year-old student Kian Lloyd delos Santos, whose death has become a rallying point against the government’s intensified war against illegal drugs.

‘SOLIDARITY WITHOUT TEARS’
In a letter addressed to the Filipino Catholics and scheduled to be read on yesterday’s masses, Mr. Tagle said: “The illegal drug problem should not be reduced to a political or criminal issue. It is a humanitarian concern that affects all of us.”

He added: “Words of solidarity without tears and acts of compassion are cheap.”

“First, all Filipinos agree that the menace of illegal drugs is real and destructive. We must face and act upon together, as one people. Unfortunately, it has divided us. Given the complexity of the issues, no single individual, group or institution could claim to have the only right response. We need one another. We cannot disregard each other,” the Archbishop’s letter also read.

He added: “We knock on the consciences of those who kill even the helpless, especially those who cover their faces with bonnets, to stop wasting human lives.”

In what has turned out to be the bloodiest week in President Rodrigo R. Duterte’s campaign against illegal drugs, the killing of Mr. Delos Santos sparked widespread condemnation and has even prompted known supporters of Mr. Duterte in Congress to express their outrage.

Authorities claimed the Grade 11 student fired back at them, prompting them to retaliate. But a recorded closed-circuit television (CCTV) footage showed the student being dragged by cops, and witnesses recounted him pleading for his life and even mentioning at the point of death a scheduled class exam he had to take the next day.

The Archbishop had earlier criticized the illegal drug trade in March, saying it can “destroy my neighbor.”

On Maundy Thursday, April 13, he made the gesture of washing the feet of people who were affected by the drug war.

In his letter read on yesterday’s masses, he proposed a multi-sectoral dialogue to be hosted by the Archdiocese of Manila and called for parishes under the Archdiocese of Manila to “mark the nine days from Aug. 21 (Memorial of St. Pope Pius X) to Aug. 29 (Beheading of St. John the Baptist) as time to offer prayers at all masses for the repose of those who have died in this war, for the strength of their families, for the perseverance of those recovering from addiction and the conversion of killers.”

‘POLITICAL ENDS’
For political analyst Edmund S. Tayao, Mr. Tagle’s call for the faithful is to “be objective in approaching the issue.”

In a phone call, he explained that “while clearly, there is a flaw in the campaign against drug, (in) how the government handled it, we can’t deny that it is also being used for political ends of the other group.”

He also said: “Clearly the government has lapses, at kailangan talagang tingnan seriously ng gobyerno kung anong mangyayari dito para (the government has to seriously look into this so) you know it’s not just the government will simply turn a blind eye, at the same time it should not be used as you know, political mileage.”

For his part, Lingayen-Dagupan Archbishop and Catholic Bishops’ Conference of the Philippines (CBCP) President Socrates B. Villegas has ordered the tolling of church bells nightly for three months in honor of Mr. Delos Santos.

The Archbishop of Lingayen-Dagupan ordered the ringing of the bells for 15 minutes from 8:00 p.m. nightly from Aug. 22 to Nov. 27, for those who are “numb and blind” to be awakened.

“Ang bagting ng kampana ay tawag ng paggising sa bayang hindi na marunong makiramay sa ulila, nakalimutan nang makiramay, at duwag na magalit sa kasamaan. Ang tunog ng kampana ay tawag na ihinto ang pagsang-ayon sa patayan,” Archbishop Villegas said.

(The tolling of the bell is a call to rouse a nation that no longer condoles with the bereaved, that has forgotten to empathize, and has grown afraid to rage against evil. The sound of the bell is a call to stop the support for the killings.)

“Pumapalakpak ang kababayan at sumisigaw nang may ngiti, ‘Dapat lang!’ habang binibilang ang bangkay sa dilim, habang bumabaybay sa kaliwa’t kanang lamay sa patay,” he added.

(Our countrymen are applauding and cheering with glee, ‘Serves them right!’ while corpses are tallied in the dark, while one commiserates left and right.)

‘NOW IT HAS A FACE’
Ms. Robredo, for her part, went straight to the vigil in Caloocan early morning of Sunday from her flight from Naga, her office said in a statement.

In her weekly radio program aired Sunday morning on RMN radio, she expressed grief and sympathy for the death of Mr. Delos Santos, who, she said, is of the same age as her youngest daughter.

Ms. Robredo called for an “independent” investigation on Mr. Delos Santos’s death.

“[I]yong atin lang ninanais. Sana magkaroon naman ng independent na imbestigasyon, kasi lalong…alam mo iyon? Kapag hindi kampante iyong magulang sa klase ng imbestigasyon, hindi nabibigyan ng parang closure iyong kaso, at baka patuloy na nangyayari iyong ganitong nangyari kay Kian,” Ms. Robredo said.

(That’s what we wish for. We hope there will be an independent investigation, because all the more…you know that? If the parents are not confident about the conduct of the investigation, as if the case will not be given closure, what happened to Mr. Delos Santos may continue.)

“Nakakalungkot ito. Ngayon, may mukha ito, itong si Kian. Parang sumasagi sa isip natin, ilan na ba iyong Kian na dumaan. Ilan pa ba iyong Kian na mangyayari?” Ms. Robredo also said.(This is saddening. Now it has face, it’s Kian. This makes us think and ask how many have suffered the fate similar to that of Kian. How many more Kians would there be?)

“Kaya tayo naman, kapag ganito, tingin ko obligasyon natin ipahayag iyong ating pagkamuhi sa ganitong klaseng pangyayari,” she added. (That’s why if it’s like this, I think it’s our obligation to express our hate of this kind of incident.)

Besides Ms. Robredo, Akbayan Senator Ana Theresia Hontiveros-Baraquel also went to the vigil for Mr. Delos Santos a day earlier. On Sunday, she said her office had taken custody of witnesses in Mr. Delos Santos’s murder.

“The protection provided to the family will be extended to the key witnesses who will help in bringing to justice the perpetrators of the extrajudicial killing of Kian Lloyd delos Santos,” Ms. Hontiveros said.

For his part, Senate Minority Leader Franklin M. Drilon has urged Justice Secretary Vitaliano N. Aguirre II to relieve Caloocan City Prosecutor Darwin Cañete after news reports quoted him as expressing doubts on Mr. Delos Santos’s innocence.

“Secretary Aguirre publicly said that he has ordered the NBI to probe into the death of Delos Santos and file the appropriate charges against those responsible. This would be nothing but lip service if he, in his capacity as Justice Secretary, does not properly respond to Cañete’s public pronouncements,” Mr. Drilon said.

SENATE CAUCUS
Meanwhile, on Sunday night, the Senate majority held a caucus upon the request of Senate President Aquilino Martin L. Pimentel III.

Senate resolution had been prepared for Sunday’s caucus to tackle as of press time. Senator Joel Villanueva, when sought for comment, said the resolution expresses “condemnation against the recent spate of abuses by the police resulting in excessive and unnecessary deaths in the conduct of the campaign against illegal drugs.”

“The PNP Internal Affairs Service (IAS) has moved sluggishly in investigating cases and has found mitigating circumstances even where not seemingly justified,” noted the draft sent by Mr. Villanueva.

Furthermore, it will direct “the appropriate Senate committee to inquire and review the conduct of anti-drug operations by the PNP as well as capacitating the PNP as an institution, to hold erring officials within their ranks liable for the commission of any crime or offense.”

There were also proposed amendments to R.A. No. 8551 otherwise known as the Philippine National Police Reform and Reorganization Act of 1998. “The IAS shall investigate, on its own or upon complaint, all police operations which result in deaths, physical injuries, alleged human rights and rules of engagement violations, within five days from the time of the incident…” Mr. Villanueva said.

For his part, Senator Antonio F. Trillanes IV has called for a caucus by the entire body this Tuesday, when the Senate is also expected to open a new inquiry on the drug war. — with reports by Mario M. Banzon and interaksyon.com

Grab says it needs around 8,000 to 10,000 more vehicles to meet demand

By Patrizia Paola C. Marcelo

GRAB PHILIPPINES (MyTAXI.PH, Inc.) said it needs around 8,000-10,000 more vehicles to operate on its platform to meet high demand.

Grab Philippines country head Brian Cu told reporters yesterday during the TNVS Expo event that they have been trying to entice accredited transport network vehicle service (TNVS) who have been dormant to re-operate, aside from processing the applications of Uber Philippines (Uber Systems, Inc.) partners who are applying to operate under Grab.

The Land Transportation Franchising and Regulatory Board (LTFRB) allowed on Thursday Uber operators accredited by the company to transfer to the two other transport network companies (TNCs), Grab Philippines and UHOP during the month-long suspension of Uber.

Mr. Cu said the past week had been “difficult” for the company, as they were suddenly met with increased demand with no increase in supply.

“The LTFRB made a good move to allow Uber drivers to get accredited in other platforms,” Mr. Cu also said.

Grab set up booths during the Expo for Uber drivers to sign up on the Grab platform. The TNVS Expo was organized to facilitate dialogue between Grab, the government, and drivers as well as provide an avenue for drivers to air their concerns such as matters related to processing of their certificates of public convenience (CPCs) and provisional authorities (PAs).

Leo Gonzales, Public Affairs Manager of Grab, said drivers from Uber “go through the regular process” of accreditation.

Mr. Cu said that in light of numerous reports of cancellations by drivers, they have already banned nine drivers who had cancellation rates of more than 80%, and that they will provide incentives for drivers with low cancellation rates.

TAXI APP
For its part, transport group Philippine National Taxi Operators Association (PNTOA) will launch in September Micab, a taxi ride-hailing app in Metro Manila, in a bid to adapt to the wave of ride-sharing platforms and technology-based riding services.

Lawyer Bong Suntay, president of PNTOA, said the app allows commuters to book taxi rides via Micab, which already began operations in Cebu and Iloilo.

“We sought to look for a provider which will be exclusive for taxis,” Mr. Suntay told BusinessWorld via phone interview.

Mr. Suntay said they spoke with the person who started app, a local entrepreneur, for PNTOA to be able to use the platform.

“Even before Uber was here, even before GrabCar became popular, [taxi drivers used] GrabTaxi….Sadly, when [Grab Philippines] saw that private cars were popular, they shifted their concentration to GrabCar,” Mr. Suntay said in a mix of English and Filipino.

Mr. Suntay said he first saw a similar app for taxis operating in Japan.

He said Micab will use “presumptive pricing” which will also be based on algorithms, similar to the pricing scheme of ride-sharing platforms Uber and Grab.

Taxi drivers who use the platform but are hailed on the street will be using the regular taxi meter, while taxis booked using the platform can apply the “presumptive pricing” scheme, he explained.

“That’s the convenience passengers look for…I saw comments that passengers like knowing how much to pay even before they take rides,” Mr. Suntay said.

The app to be launched in September, however, will not yet apply the “presumptive pricing” scheme and will only be for booking taxi rides which will then use the regular taxi meter, Mr. Suntay said, as they are still seeking permission from the Land Transportation Franchising and Regulatory Board (LTFRB) to use the upfront pricing scheme.

“The last time [we talked to the LTFRB], I mentioned it to Chair Delgra and Board Member Lizada at the Senate hearing,” Mr. Suntay said, referring to the Aug. 3 hearing.

“They said, ‘That’s okay’, show us, we’ll sit through it and let’s see,” Mr. Suntay said in a mix of English and Filipino.

Makati judge on Sunvar case short-listed to Sandiganbayan

THE JUDGE who issued the Rufino-Prieto-owned Sunvar Realty a Notice to Vacate the Mile Long property has been named in the short list on the next Associate Justice in the anti-graft court.

The Judicial and Bar Council (JBC) has announced over the weekend that Makati City Regional Trial Court (RTC) Branch 141 Judge Maryann E. Corpus-Mañalac is included in the short list of applicants to take over the seat of former Sandiganbayan Associate Justice Samuel R. Martires.

Mr. Martires is President Rodrigo R. Duterte’s first appointee to the Supreme Court (SC). He graduated from San Beda College of Law where Mr. Duterte also received his law degree.

The Rufino-Prieto clan also owns the daily broadsheet Philippine Daily Inquirer which has earned the ire of Mr. Duterte for supposedly “attacking” his administration. Businessman Ramon S. Ang, a known friend of Mr. Duterte, is poised to take over the Inquirer Group of Company which includes the broadsheet.

Sunvar Realty was ordered by Ms. Corpus-Mañalac to vacate the disputed Mile Long property in Makati City. Solicitor-General Jose C. Calida personally accompanied Sheriff Robert T. Bautista to deliver the order.

Others named in the shortlist to the anti-graft court are:

• Antipolo RTC Judge Kevin Narce B. Vivero

• Lawyer Josephine Capio Caranzo

• Malolos RTC Judge Olivia V. Escubio-Samar

• Quezon City RTC Judge Rosanna Fe A. Romero-Maglaya

The JBC also released the shortlist of applicants for the Court of Appeals (CA) seat vacated by now-SC Associate Justice Noel G. Tijam.

Named in the list to be submitted to Mr. Duterte are:

• Lawyer Walter S. Ong

• Manila RTC Judge Ma. Celestina C. Cruz-Mangrobang

• Quezon City RTC Judge Angelene Mary W. Quimpo-Sale

• Lawyer Merianthe Pacita M. Zuraek

The two short lists will be submitted to Mr. Duterte who holds the authority to appoint new members of the courts. — Kristine Joy V. Patag

1...13,79313,79413,795...14,244Page 13,794 of 14,244
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube