Home Blog Page 1513

Strong AI governance may drive value creation for PHL businesses

STOCK PHOTO | Image by DC Studio from Freepik/THIS RESOURCE WAS GENERATED WITH AI

By Beatriz Marie D. Cruz, Reporter

PHILIPPINE COMPANIES must prioritize crafting governance frameworks for artificial intelligence (AI) use to effectively reap these technologies’ benefits while managing potential risks, according to the country’s telecommunication giants.

“[AI] governance is often treated like a side dish. It’s an afterthought because we can’t attach revenue to governance,” Derick Ohmar Adil, senior director for AI Data Governance at Globe Telecom, Inc., said during a panel discussion at the BusinessWorld Economic Forum last week.

Mr. Adil said strong AI governance is like “good parenting” as it ensures that employees responsibly exercise the freedom to use AI in their work.

“Your governance [policies] will make sure that your AI is not a liability, but more of a force multiplier.”

Patricio S. Pineda III, PLDT Inc. senior vice-president and head of Enterprise Business Group, said an effective governance policy can help ensure that AI adds value to a company.

“The truth of the matter is, your employees are already using AI whether you’re paying for it or not,” Mr. Pineda said.

When coming up with AI use policies, firms must ensure that there is a balance of voices, he said. “You’ve got to have the business and innovation [sections] pushing for new products to market because that’s what customers demand, but at the same time, you’ve got to have knowledgeable people on the governance and risk side.”

The Philippines improved by nine places to 56th of out 188 countries in the 2024 Government AI Readiness Index published by Oxford Insights.

AI adoption remains varied across Philippine industries, with data-intensive sectors like telcos and banking leading the way.

Meanwhile, analysts have said there is massive untapped potential for AI in the agriculture, healthcare, and logistics sectors.

Mr. Adil said small and medium enterprises also remain unsure where or how to start their AI journey.

“I think that’s what’s lacking with Philippines right now. What we need to do is put together a national strategy to know where we’re heading [in terms of AI adoption],” he said. citing countries like Singapore and Vietnam that have invested heavily in AI talent and innovation.

Mr. Pineda added that the rise of AI and cloud computing technologies has pushed companies like PLDT to cater to the demand for data centers and internet connectivity with stronger capacity.

“A lot of the data that we will be working with will probably be coming from abroad, and a lot of our own data is being hosted with hyperscalers abroad,” he said.

PLDT’s construction of the Philippine link of the Asia Direct Cable aims to facilitate seamless data transfer to key hubs like Singapore, Hong Kong, Japan, Vietnam, Thailand and China. This is expected to increase PLDT’s international capacity by over 100 Terabits per second.

“It’s a lot of investment, but we believe we’re building ahead,” Mr. Pineda said.

Meanwhile, Mr. Adil also emphasized the need to embed security and privacy in companies’ AI adoption.

Around 85% of Philippine organizations reported AI-related security incidents last year, technology company Cisco said in its 2025 Cybersecurity Readiness Index report.

“AI [adoption] plus that ‘shift to the left’ mindset will make functions like security and privacy not a backend IT (information technology) function, but more of a design decision,” Mr. Adil said.

“I think with this AI era, trust is the new currency. Regardless of how good your AI solution is, if no one will trust it, no one will use it.”

Philippine companies should be more deliberate in their AI goals and consider their contribution to the broader economy, Mr. Adil added.

“We need to be able to invest in smarter, more grounded, local AI solutions that can help solve real issues like food security and education.”

Mr. Pineda said companies must work to understand AI to help unlock opportunities, drive productivity, and generate jobs.

“We can’t decide about what AI can do for companies or for the country if we don’t dig into it ourselves.”

Yields on term deposits go down on easing bets

BW FILE PHOTO

YIELDS on the Bangko Sentral ng Pilipinas’ (BSP) term deposits edged lower on Wednesday as the offer was oversubscribed amid expectations of further monetary easing.

Demand for the central bank’s term deposit facility (TDF) amounted to P154.854 billion on Wednesday, above the P110-billion offering as well as the P141.459 billion in bids for a P100-billion offer a week ago. This allowed the BSP to make a full award of its offer.

Broken down, tenders for the seven-day papers reached P78.28 billion, higher than the P60 billion placed on the auction block but below the P82.205 billion in bids for a P50-billion offering seen in the previous week. The central bank made a full P60-billion award of the tenor.

Accepted yields ranged from 5.49% to 5.5255%, a slightly lower band compared with the 5.5% to 5.5355% seen a week ago. With this, the average rate of the one-week term deposits inched down by 0.9 basis point (bp) to 5.5158% from 5.5248% previously.

Meanwhile, the 14-day papers fetched bids amounting to P76.574 billion, well above the P50-billion offer and the P59.254 billion in tenders for the same volume offer a week ago. The BSP awarded P50 billion in two-week papers as planned.

Banks asked for rates ranging from 5.5% to 5.545%, narrower than the 5.5% to 5.57% margin seen last week. This caused the average rate of the two-week papers to fall by 1.54 bps to 5.5299% from 5.5453% in the prior auction.

The BSP has not auctioned off 28-day term deposits since October 2020 to give way to its weekly offerings of securities with the same tenor.

The TDF and BSP bills are used by the central bank to mop up excess liquidity in the financial system and to guide market rates closer to the policy rate.

Term deposit yields were lower this week following fresh rate cut signals from the central bank governor, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“The peso exchange rate recently appreciated versus the US dollar to the best in nearly two years and global crude oil prices eased to among the lowest in more than four years or since April 2021, both of which would reduce importation costs and overall inflation that could support further monetary easing for the coming months,” Mr. Ricafort added.

BSP Governor Eli M. Remolona, Jr. last week signaled the possibility of two more rate cuts this year in “baby steps” or increments of 25 bps.

He added that a reduction will be on the table at the Monetary Board’s next policy meeting on June 19. After the June review, the policy-setting body’s remaining meetings are scheduled in August, October and December.

The BSP last month reduced benchmark interest rates by 25 bps to bring the policy rate to 5.5%.

The central bank has so far slashed borrowing costs by a total of 100 bps since it began its easing cycle in August last year.

Headline inflation slowed to an over five-year low to 1.4% in April, bringing the four-month average to 2%.

The peso last week hit near two-year highs as the dollar was under pressure after Moody’s Ratings cut the United States’ triple-A rating. It has since weakened anew as concerns over the US economy prompted bets that the Federal Reserve would prefer to stay cautious and deliver less rate cuts this year than initially expected.

Meanwhile, the world’s biggest oil exporter Saudi Arabia may cut its crude prices for Asian buyers in July to the lowest in six months, refiners said, tracking losses in benchmark prices driven by rising supply from OPEC+, Reuters reported.

The July official selling price for flagship Arab Light crude may drop by 40 cents to 50 cents to between 90 cents and $1 a barrel from the previous month, four Asian refining sources said in a Reuters survey.

Oil prices have tumbled since OPEC+ or the Organization of the Petroleum Exporting Countries and its allies such as Russia agreed to increase production by nearly 1 million barrels per day in April, May and June. — Luisa Maria Jacinta C. Jocson

Aboitiz targets to lift Bohol-Panglao airport capacity by 25%

ABOITIZ INFRACAPITAL,INC.

ABOITIZ InfraCapital, Inc., the infrastructure arm of the Aboitiz group, will take over Bohol-Panglao International Airport (BPIA) on June 16 and start a P4.53-billion expansion to raise capacity by 25%, from two million to 2.5 million passengers annually within two years.

“The modernization of BPIA is not just about upgrading infrastructure — it’s about enabling the continued rise of Bohol as a vibrant tourism and economic hub in the Visayas,” Aboitiz President and Chief Executive Officer Cosette V. Canilao said in a media release on Wednesday.

The company will implement a P4.53-billion investment plan, including the expansion of the passenger terminal building, installation of modern aviation systems, and enhancements to airside and landside facilities.

Aboitiz InfraCapital also targets increasing the airport’s capacity to 3.9 million passengers annually by 2030.

The concession agreement for the New Bohol-Panglao International Airport covers a 30-year period, encompassing upgrades, expansion, and maintenance from the start of turnover.

“This project reinforces our goal of elevating airport experiences while contributing to local economies,” Aboitiz InfraCapital President and Head of Airports Business Rafael M. Aboitiz said.

Aside from Bohol-Panglao, the group also manages Mactan-Cebu International Airport and Laguindingan International Airport.

The company said in April that it remains keen on taking over the operations and maintenance of other regional airports in the Philippines. — Ashley Erika O. Jose

RFM Corp. to hold 2025 Annual Meeting of the Stockholders virtually on June 25

 


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

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

One World Deli goes to Alabang

OFFICIAL PHOTO OF ONE WORLD DELI ALABANG

PYC FOODS Corp. has expanded One World Deli’s world by opening its latest branch in Alabang on May 20. Located in a spacious, stand-alone building in Alabang West, which is actually in Las Piñas City, the deli-café-fresh market concept aims to bring the eat-healthy ethos to the south of the metropolis.

One World Deli features goods from around the world: award-winning French cheeses, fresh produce sourced locally from the likes of Silang-based Pedro Farms, and antibiotic- and hormone-free Angus and Wagyu beef from Jack’s Creek in Australia, to name a few.

The deli is a high-end supermarket, with items that can either be taken home or cooked on the spot and served in their dine-in area. Its menu features chef-crafted dishes like Truffle Adobo Garlic Fried Rice, which uses clean pork sourced from family farms in Bicol.

Of course, a fan favorite is the steak, care of Braveheart Foods, known for their premium small-batch Black Angus beef.

Founded in 2022, One World Deli developed not just a loyal following in Makati, but drew in residents from the south, according to PYC Foods Corp. President and founder Julio “Jun” Sy.

“This is for the southern community of Las Piñas and Muntinlupa residents that have been clamoring to be served,” he said at the opening. “Our mission is to provide the freshest, healthiest, and most delicious food that can bring genuine happiness.”

With its clean lines, warm lighting, and colorful shelves, One World Deli’s new Alabang outpost aims to be “a haven for Filipino shoppers in the middle class.”

“Beyond that, we aim to help farmers and small producers, some of whom actually live here in Las Piñas and Muntinlupa, and showcase them alongside world-class manufacturers whose excellent products we’ve brought here,” Mr. Sy said.

More branches are set to open within the next two years: in Timog Ave. in Quezon City, Bonifacio Global City in Taguig, and Tagaytay in Cavite.

“In this journey, we want to engage our customers with a continuous conversation to find ways to innovate, and fulfill our promise in making healthier and more joyful food experiences,” he said.

One World Deli Alabang is located at Alabang West, Daang Hari Road, Almanza Dos, Las Piñas City. — Brontë H. Lacsamana

Keep up the pressure

WIKIMEDIA.ORG

With dust from the elections settled and a state executive revamp down to bureau/agency level under way, newly seated officials will hopefully lose no time turning their attention to development tasks at hand.

One nagging imperative that bedevils the bureaucracy at all levels is corruption — everyone’s favorite punching bag but against which we seem to be making little headway. So much has been said about this problem (I look forward to Pablo Virgilio S. Cardinal David’s keynote and exchange with businessmen on this issue at the Aug. 13 general membership meeting of the Management Association of the Philippines, or MAP), and yet months that pass add new dimensions and new perspectives to discussions.

Among others: casual conversations with members of various business groups on this matter bare one common observation: bribery that they personally have encountered has worsened over the past few years.

Chances are that many of us have been inured to not just the sight of but also to inconvenience caused by this disease, from substandard roads to poorly delivered public services.

In a way, I am glad that younger generations seem less resigned to grin and bear it whenever they encounter government inefficiency and/or petty corruption, not least due to the wider perspective (i.e., comparison with neighbors) they have gained from social media and other internet platforms they frequent. The apparent activism displayed by the youth in the recent mid-term polls may signal what could be a hopeful shift towards more discerning voter choices. Putting more qualified folks in office is key to improving our competitiveness as a country in terms of governance, compared to peers like Indonesia and Vietnam.

NOT ENOUGH
It will take quite some time before better choices of officials yield better policies and improved implementation/enforcement, but the fact that multilateral lenders and private sector groups at home have long flagged corruption — which gnaws at governance — as a key concern means there can never be enough improvements on this front… and the sooner, the better.

The International Monetary Fund, in its last annual health check on the Philippines (Article IV Staff Report), published in December last year, had cited the need to prioritize “efforts to reduce corruption” in order to close the country’s gaps with its Southeast Asian peers in terms of governance. This focus — coupled with “comprehensive reforms,” as well as better energy, transport and digital infrastructure — can be expected to “support higher investment and productivity,” and “significantly boost real GDP growth,” according to that report.

Groups like the Philippine Chamber of Commerce and Industry and the MAP have consistently flagged corruption as a key hurdle for doing business in the country, despite laws like Republic Act No. 3019, or the Anti-Graft and Corrupt Practices Act, and RA 6713, and the Code of Conduct and Ethical Standards for Public Officials and Employees, among others.

There are several government and private sector initiatives to imbue strategically placed officials with proper values, but many who take part in such undertakings easily slide back to old habits as soon as they resume the daily grind. Faced with their relapse, it’s almost instinctive to roll one’s eyes at the mere mention of “values formation.”

But perhaps the problem lies more in the general lack of a system that will both encourage perseverance in values needed to govern well as well as stop backsliding. Which is why the likes of Baguio City Mayor Benjamin “Benjie” B. Magalong and Pasig City Mayor Victor Ma. Regis “Vico” N. Sotto have focused on fixing procurement and other governance systems in their localities. In a television interview, Mr. Sotto cited the need for a system that would make it more attractive to do right and automatically distasteful (or costly) to engage in bribery.

Local reformers like these gentlemen are on to something, because it will take both carrot and stick to hammer governance principles into officials and to make these stick.

IN PLAIN SIGHT
Take Vietnam for example, which has been besting the Philippines in investment and various development metrics: it has been waging an unrelenting anti-corruption drive that has seen top/key personalities fall, including a president, some ministers, vice-ministers, and businessmen.

While that communist-run country lacks the civic space to allow the public to call erring officials to account, Vietnam outdid the Philippines in the 2024 Corruption Perceptions Index that placed the former 88th out of 180 countries and the latter at 114th. That index ranks countries yearly in terms of levels of public sector corruption as perceived by experts and businesspeople. To be sure, both the Philippines’ and Vietnam’s scores of 33 and 40, respectively, on a scale of 0 (very corrupt) to 100 (very clean) fall short of averages of 43 for the world and 44 for Asia and the Pacific. But the Philippines has shown a gradual — if erratic — decline in its score since 2014, when the country posted an all-time-high 38 points and placed 85th out of 175 countries ranked then.

There are enough studies directly linking corruption perception to foreign direct investment levels*, hence the need for us to match, if not beat, our competitors on this count.

Signs of corruption abound — from jeepneys plying roads at night with busted headlights, to smoke-belching public transport vehicles, to drivers who do not seem to know basic traffic rules (and killing pedestrians, bystanders, commuters, or other motorists at times), to substandard/poorly maintained roads and bridges, to simple road repairs inexplicably left unattended for weeks/months, to duplicate/redundant street signs, to primary suspects eluding arrest during raids on scam hubs, etc. Any one of these symptoms is like that lone cockroach or termite one finds on the kitchen counter at night: where there’s one in plain sight, there are hundreds of others scurrying in the dark.

Take the unending reports of birth certificates, drivers licenses, passports, and other official documents issued illegally to foreign criminals. Nearly a year since the revelation that over 1,000 birth certificates were issued to foreigners in 2018-2019 in the Davao region, news reports since last week told of at least two other foreigners who were arrested with Philippine driver’s licenses, birth certificates and other government documents.

Gosh, how many more of these people are out there?

This problem not only undermines our citizenship system but also erodes the integrity of government documents both domestically and abroad to the detriment of Philippine nationals, and could pose national security risks besides. Has anyone been charged here?

MAKE IT TOO COSTLY
Why not make an example of government personnel and officials who signed off on these illegally issued documents? Their signatures are all over the paperwork leading to the final certificates, so why not trace how deep/high the rot goes?

One need not name them publicly until they are dismissed from service and face cases in court. But isn’t it high time to force these bureaucrats to do their jobs properly (the image of a lazy corrupt clerk or supervisor waiting for his/her take for the day comes to mind) instead of mechanically and unmindfully (or worse) signing such documents?

Make it just too risky/costly for anyone to take part in such schemes, even if inadvertently (innocent but inept ones will be cleared by investigations eventually anyway).

This step may sound simple, even insignificant, compared to the whole gamut of graft and corruption across the country. But it is a good way to step up anti-corruption efforts and, at the same time, benefit the transacting public.

The question is: why don’t we hear more of this sort of simple clampdown happening? Are state managers blind, plain lazy, are they looking for dragons to slay in the corners of their offices, or are some of them actually involved themselves?

Do such small steps work? Of course they do! I recall conversations decades ago at a bribery-ridden bureau whose officials and agents held off acquisition of new properties (a new car here, a new house there) due to a stepped-up lifestyle check ordered by the top boss that time. A genuine no-nonsense drive against petty graft and corruption will produce the desired change in behavior if sustained.

But there’s the rub: the top boss has to set the tone and secure management buy-in. Otherwise, such campaigns won’t be credible, not only to the public but to government rank and file as well.

How high can such crackdowns go?

It turns out that there is an obscure executive order (EO) that defines “command responsibility.” Executive Order No. 226, issued by the late former president Fidel V. Ramos in February 1995, imposed this accountability system on “all government offices, particularly… all levels of command” in the police and other law enforcement agencies (the first time the doctrine of “command responsibility” was codified in this country, unless I am mistaken).

“Any government official or supervisor, or officer of the Philippine National Police (PNP) or that of any other law enforcement agency shall be held accountable for ‘neglect of duty’ under the doctrine of ‘command responsibility’ if he has knowledge that a crime or offense shall be committed, is being committed, or has been committed by his subordinates, or by others within his area of responsibility and, despite such knowledge, he did not take preventive or corrective action either before, during, or immediately after its commission,” that order reads in part.

The same order provides that “[a] government official or supervisor, or PNP commander, is presumed to have knowledge of the commission of irregularities or criminal offenses… when the irregularities or illegal acts are widespread in his area of jurisdiction… have been repeatedly or regularly committed within his area of responsibility, or… when members of his immediate staff or office personnel are involved.”

The Civil Service Commission was supposed to have come out with its rules and regulations implementing this EO in all government offices. At the same time, a few measures that sought to clearly apply the coverage of this order to other government offices failed to make it out of Congress.

This is like many other problems in this country: there probably are laws already in place to address them… it’s just that enforcement sucks or is plain non-existent. And that omission speaks volumes about the administrators in place.

Small steps like this one may not be headline-grabbing, but they do strike fear where governance values meet resistance.

And, provided these efforts are not ningas kugon (a flash in the pan), they should improve public services.

* Check out, for instance: Agnes Bénassy-Quéré, Maylis Coupet & Thierry Mayer, “Institutional Determinants of Foreign Direct Investment,” Centre for Prospective Studies and International Information, April 5, 2005; Mohsin Habib & Leon Zurawicki, “Corruption and Foreign Direct Investment,” Journal of International Business Studies, June 1, 2002; and Shang-Jin Wei, “How Taxing is Corruption on International Investors?” The Review of Economics and Statistics, Vol. 82, No. 1, The MIT Press, February 2000.

 

Wilfredo G. Reyes was editor-in-chief of BusinessWorld from 2020 through 2023.

Teachmint’s AI-powered digital board aims to boost classroom engagement

FREEPIK

USING artificial intelligence (AI)-powered platforms can help students focus and stay engaged in class, according to classroom technology company Teachmint.

Teachmint Philippines Country Head Masako Tawara Arevalo said the company’s AI-powered digital board called Teachmint X is the first of its kind in the world and is designed to improve interactions between teachers and students.

“Most of our learners nowadays, when they sit in the classroom, their attention isn’t really on the instructor… Most of their time is spent copying what’s on the board, which divides the students’ attention,” Ms. Masako said in a mix of English and Filipino. 

“So, that’s the gap we want to fill — to help our learners focus more on the instructor.”

With Teachmint X, taking notes is optional as whatever is written on the board by instructors is automatically synced to the included smart classroom system, she said. Students can access materials and notes related to lessons through the Teachmint app or website.

“So, it should be more engaging and interactive. Projectors, blackboards, and smart TVs are just one-way tools — they only project information. They don’t really engage our learners. With the AI digital board, what we do is mostly simulations and virtual experiments. We provide different kinds of information,” Ms. Masako said.

Teachmint X is also ideal for remote learning, especially amid the country’s extreme weather conditions, she added.

The platform is powered by Teachmint’s proprietary EduAI, an AI assistant tool.

“It’s similar to ChatGPT, but EduAI is specifically focused on educators, learners, and instructional needs,” Ms. Masako said, adding that the assistant provides age-appropriate and relevant information aligned with lessons.

She added that adopting new technologies is crucial for the education sector as these can help address some of the country’s pressing challenges, such as functional literacy.

“It’s time for us to truly embrace technology. Different industries are already doing it, and education should be the first. After all, every profession begins with education.” — Edg Adrian A. Eva

FWD Life Philippines appoints new president and chief executive officer

FWD Life Insurance Corp. (FWD Life Philippines) has appointed Lau Soon Liang as its new president and chief executive officer starting June.

The appointment is subject to the relevant regulatory approvals, the insurer said in a statement on Wednesday. Mr. Lau will succeed Antonio G. De Rosas who has held the post since March 2023.

“Soon Liang brings extensive experience in driving growth and fostering strategic partnerships across Southeast Asia. His strong leadership will be invaluable in steering the next phase of growth in changing the way Filipinos feel about insurance,” FWD Group Holdings Limited Senior Managing Director, Southeast Asia & Group Chief Business Operations Officer Binayak Dutta said.

“I’d like to thank Antonio “Jumbing” De Rosas for his key contributions to FWD Philippines as he transitions to an advisory role. Under his leadership, the business has grown into the number one player in the industry,” Mr. Dutta said.

Mr. Lau joined the FWD Group in 2016 and is currently the company’s Southeast Asia chief growth officer.

He is a qualified actuary and a fellow of the Institute and Faculty of Actuaries in the United Kingdom.

“I am honored to take on this role and excited to build on the strong foundation that has been established at FWD Philippines. I look forward to working with our talented team to continue delivering customer-led innovations and financial solutions that empower Filipinos to celebrate living,” Mr. Lau said.

FWD Philippines booked a premium income of P39.85 billion last year, based on the latest data from the Insurance Commission. Its net income stood at P848.5 million. — A.M.C. Sy

Tender offer for Keppel Philippines shares extended to June 11

KEPPELPH.COM

INVESTMENT holding company Keppel Philippines Holdings, Inc. (KPHI) has extended the tender offer period for its shares until 3 p.m. on June 11 as part of its voluntary delisting from the Philippine Stock Exchange (PSE).

Kepwealth, Inc., which is conducting the tender offer for KPHI, extended the offer period from April 28–May 28 to June 11 to give minority shareholders more time to tender their shares, KPHI said in a regulatory filing on Wednesday.

“This extension will provide the minority shareholders an extended opportunity to exit from KPHI in view of the intended delisting of KPHI, subject to the relevant regulatory approvals,” it added.

The new cross date for tendered shares is June 18, with settlement scheduled for June 20.

KPHI aims to complete its voluntary delisting by June 24.

The Securities and Exchange Commission approved the extension on May 26.

In February, KPHI announced its voluntary delisting plan, with Kepwealth offering to buy up to 5.81 million outstanding common shares at P27.40 each.

As of May 26, Kepwealth has received tenders for 2.11 million shares, representing 3.69% of KPHI’s issued and outstanding shares. Kepwealth currently holds 89.86% of the company’s capital stock.

The PSE requires acquiring at least 95% of issued and outstanding shares before approving delisting.

Established in July 1975 for ship repair and shipbuilding, KPHI listed on the Makati and Manila Stock Exchanges in 1987 and transitioned to an investment holding company in 1993. — Revin Mikhael D. Ochave

National Reinsurance Corporation of the Philippines to hold Annual Meeting of Stockholders on June 25

NOTICE OF ANNUAL MEETING OF STOCKHOLDERS
JUNE 25, 2025 / 2:00 P.M.

Please be advised that the Annual Meeting of Stockholders of NATIONAL REINSURANCE CORPORATION OF THE PHILIPPINES (the “Company”) will be held on June 25, 2025, Wednesday, at 2:00 p.m., at the Kawayan Ballroom, 4F The City Club, Alphaland Makati Place,7232 Ayala Avenue Extension, Makati City, with the following agenda:

  1. Call to Order 
  2. Proof of Notice of Meeting and Certification of Quorum 
  3. Approval of Minutes of Previous Stockholders’ Meeting held on June 26, 2024 
  4. Management Report for the Year Ended December 31, 2024 
  5. Ratification of All Acts of the Board of Directors and Officers during the Preceding Year 
  6. Election of Directors 
  7. Re-election of Mr. Medel T. Nera as Independent Director 
  8. Other Matters 
  9. Adjournment

Only stockholders of record at the close of business on May 13, 2025 are entitled to notice of, to attend, and to participate in this year’s Annual Meeting. Stockholders who are unable to attend the Annual Meeting in person may execute a proxy or vote in absentia.

Proxy

Proxies must be submitted and addressed to the attention of the Corporate Secretary at the 31st Floor BPI-Philam Life Makati, 6811 Ayala Avenue, Makati City, Philippines or via email at asm@nat-re.com not later than 3:00 p.m. on or before June 15, 2025.

A proxy executed by a corporation shall be in the form of a board resolution duly certified by the Corporate Secretary or in a proxy form executed by a duly authorized corporate officer accompanied by a Corporate Secretary’s Certificate quoting the board resolution authorizing the said corporate officer to execute the proxy. Validation of proxies shall be held on June 20, 2025, at 2:00 p.m. at the principal office of the Corporation.

Voting in Absentia

Stockholders who intend to vote in absentia must submit the requirements by email at asm@nat-re.com or at the registration portal.  Please refer to this link for the list of requirements – https://www.nat-re.com/investor-relations/annual-stockholders-meeting/#rvj.

The link for the online voting facility will be emailed to the concerned stockholders after the Company has validated the submitted requirements. Stockholders may cast their votes in absentia from May 28, 2025, until 11:00 a.m. of June 25, 2025.

On-site Registration

To avoid any inconvenience in registering your attendance at the meeting, you or your duly designated proxy, are required to bring this Notice, and any identification documents containing a photograph and signature, such as a passport, driver’s license, or any government-issued identification. Registration starts at exactly 1:00 p.m. and will close at 2:00 p.m. on June 25, 2025.

Copies of the Notice of the Meeting, Definitive Information Statement, and other related documents in connection with the annual meeting may be accessed through the company’s website and through the PSE Edge portal at https://edge.pse.com.ph.

For any concerns, please reach us through asm@nat-re.com.

For complete information on the Company’s annual meeting, please visit www.nat-re.com/investor-relations/annual-stockholders-meeting.

May 22, 2025, Makati City, Metro Manila.

Access to Notice of Meeting, Agenda Items and Explanation of Agenda Items, Proxy Form, Sample Secretary Certificate, Definitive Information Statement, Management

Report, Financial Statements, SEC Form 17A and Minutes of Stockholders’ Meeting dated June 26, 2024 can be downloaded by scanning the QR code provided herewith.

Likewise, you may also download it from the Company’s website by clicking this link https://www.nat-re.com/investor-relations/annual-stockholders-meeting/#files.

Electronic copies of the same documents are also available at the PSE Edge.

For the Board of Directors,

(Original Signed)
NOEL A. LAMAN
Corporate Secretary

 


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

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

Thailand cuisine can still surprise

KHAO SOI GAI YANG

A one-night-only dinner at The Pen features unfamiliar dishes

ONE MIGHT THINK that because of the proximity of this country to Bangkok (it’s just a three-hour flight), Bangkok probably holds no more secrets for Manila’s citizens. However, The Peninsula Bangkok’s Thiptara Thai Restaurant Chef de Cuisine Monnipa “Ying” Rungthong still has a few tricks up her sleeve.

On May 30, for one night only, Ms. Rungthong will present her signature four-course menu at Spices at The Peninsula Manila.

BusinessWorld and a few other guests got a taste of the May 30 spread, and then some: some dishes were made just for the preview on May 23. Any dishes of sufficient acclaim might be included in the Spices menu in the future, according to the hotel. Guests can expect delicacies such as Pla Tod Yum Mamuang (crispy seabass and green mango salad), Tom Yum Goong Maenam (traditional tom yum goong), Nua Yang Jim Jeaw (grilled beef tenderloin), and the Khao Niew Mamuang (mango sticky rice).

For our own spread, we got Yum Nua Yang (grilled striploin beef salad with tomatoes, mint, and chili lime dressing), Khao Soi Gai Yang (yellow curry with crispy egg noodles, grilled chicken, lime, and pickle), and Khao Niew Mamuang (mango sticky rice, a classic).

We hadn’t had anything quite like the beef salad before: the meat was definitely hefty but the taste was very delicate; it almost tasted like it was plucked in a garden along with the vegetables. The curry noodles, meanwhile: well, what a treat. The guests at the table sipped and nibbled then chewed with enthusiasm, because the rich curry — made fresh by Ms. Rungthong with a paste of galangal, lemongrass, turmeric, shallots, among others — had just the right amount of heat, a delightful amount of the exotic, but approachable familiarity; so much so that a guest ordered rice to go with it (me). While we refused the mango sticky rice due to an aversion to fruit, we did hear what other guests had to say about it: it had a smoky flavor they haven’t encountered before.

In an interview with BusinessWorld, Ms. Rungthong cited a lit beeswax candle dabbed onto the sticky rice during one of the steps in the cooking process. “That is a secret from Thailand,” Ms. Rungthong said.

She said that she planned the menu so less-known Thai dishes can be highlighted (no pad thais and such here). “I chose something people don’t know much (about)… except for the sticky rice. Everyone wants that.” For example, asked what her favorite Thai dish is, she says it’s a papaya salad — not just one, but different varieties of it.

Ms. Rungthong has a very simple motivation for the way she cooks: “When they’re happy, I’m happy also.”

A selection of cocktails and beverages infused with Thai-inspired flavors crafted by The Peninsula’s skilled mixologists will be available to complement Ms. Rungthong’s Thiptara-inspired menu.

The Spices dinner will be on May 30, at 6 p.m., at P3,500 per person. For inquiries, call 8887-2888, ext. 6694 or e-mail diningPMN@peninsula.com for Restaurant Reservations, or visit peninsula.com. — Joseph L. Garcia

We can’t afford to rush the march of AI agents

FREEPIK

By Catherine Thorbecke

IF THERE WAS a singular buzzword to emerge at Asia’s largest tech conference last week, it was “agents.”

I jotted it down more than a dozen times from various executive talks and seminars at Taiwan’s Computex. Nvidia Corp. Chief Executive Officer Jensen Huang described them as future “digital employees.” An executive at a semiconductor firm referred to agentic AI as “the next paradigm shift.” I watched countless demo videos featuring bots taking on increasingly complex tasks in users’ work and personal lives — from putting together a marketing presentation to turning off the lights in your child’s bedroom after they’ve fallen asleep.

The industry push behind agents, tools that go beyond chatbots to being able to execute a range of actions on their own, isn’t new. The sector has spent the better part of the last six months promising that this is the year of AI agents. But the hype train seemed to kick into overdrive last week, with a spate of global headlines from Alphabet, Inc.’s Google, OpenAI, as well as Tokyo-based Sakana AI and Chinese startup Manus.

Still, there remain foundational cracks that will hold them back in the near term. And that’s a good thing.

For decades, the idea of giving computer systems too much autonomy was mostly presented as a science fiction-esque scenario that usually doesn’t end well for humans. In the earlier days of the current boom, business leaders focused on how the technology will not replace workers, but rather assist them as copilots. So it’s worth unpacking why the rush for agentic AI has evolved into a full-steam ahead race when concerning patterns continue to emerge

The simple answer is that these companies are trying to make money. Nearly every discussion of AI agents at the conference was followed by a thinly veiled pitch to enterprises on optimizing business performance.

The pressure is on for tech companies to start proving there is a valid path to profitability following all that investment and infrastructure spending. And it isn’t consumers who will pick up the tab, but enterprises.

Yet the public’s faith in the technology is falling. A global report from KPMG found the perceived trustworthiness of AI systems fell to 56% in 2024 from 63% in 2022.

Without building a foundation of trust and a basic framework of accountability, these agents will never be able to replace human workers or take on sophisticated tasks on any kind of scale. The researchers found that organizations can build confidence by investing in responsible governance mechanisms that adhere to international standards.

This also means policymakers must keep pace. Apart from Europe, many regions have been slow to roll out regulations for fear of stifling progress. But there needs to be some guardrails in place.

There are other technical kinks to be worked out as well. A key concern is how to give these tools permission to access various websites that have worked tirelessly to keep non-human users out. Granting a bot entry to anything that requires a password or human authentication to access, such as payment information or sensitive data, while maintaining security has proven difficult. It will require a whole-of-industry rewiring, not to mention the resource strain. The evolution from “simple chatbots to reasoning models to agentic AI will require several orders of magnitude more processing capacity,” research firm IDC said in March.

When I recently tried a demo of the viral Manus AI agent, I was impressed by much of what it was able to do, but it easily got tripped up over tasks that would be very simple for a human — such as filling out an online form to make a restaurant reservation that required my credit card number. At the same time, I didn’t feel comfortable sharing this sort of information with a bot and then letting it run free on the internet.

Giving software programs new autonomy opens the door for an enormous amount of risk. One-too-many viral examples of agents going rogue or messing up will further erode trust and slow widespread adoption. A cautious approach is also imperative as this transition impacts peoples’ livelihoods.

For this next phase of AI to be successful, it must unfold as a marathon and not a sprint.

BLOOMBERG OPINION

ADVERTISEMENT
ADVERTISEMENT