Trudeau rejects Trump’s idea of forcing Canada to become a US state

January 8, 2025 | 11:32 am

OTTAWA – Canadian Prime Minister Justin Trudeau on Tuesday dismissed a suggestion by U.S. President-elect Donald Trump that he might use “economic force” to make Canada the 51st U.S. state.

“There isn’t a snowball’s chance in hell that Canada would become part of the United States,” he said in a post on X.

“Workers and communities in both our countries benefit from being each other’s biggest trading and security partner.”

Mr. Trump, speaking in Mar-a-Lago, was asked if he was considering using military force to acquire Canada.

“No, economic force,” he responded. “Because Canada and the United States, that would really be something.”

Mr. Trump, who has long complained about Canada’s trade surplus with the U.S., had earlier told reporters the border was an “artificially drawn line.”

Mr. Trump has threatened to impose a 25% tariff on imports from Canada, which sends 75% of all goods and services exports south of the border.

Earlier on Tuesday, Canadian Foreign Minister Melanie Joly said Mr. Trump’s comments “show a complete lack of understanding of what makes Canada a strong country … We will never back down in the face of threats.”

Mr. Trudeau announced on Monday that he would step down in the coming months, bowing to pressure from lawmakers alarmed by his Liberal Party’s unpopularity. The next election must be held by Oct. 20 and polls predict a crushing win for the official opposition Conservatives.

“Canada will never be the 51st state. Period. We are a great and independent country,” Conservative leader Pierre Poilievre said in a post on X.

Meta shelves fact-checking in policy reversal ahead of Trump administration

January 8, 2025 | 10:44 am

Social media company Meta Platforms on Tuesday scrapped its U.S. fact-checking program and reduced curbs on discussions around contentious topics such as immigration and gender identity, bowing to criticism from conservatives as President-elect Donald Trump prepares to take office for a second time.

The move is Meta’s biggest overhaul of its approach to managing political content on its services in recent memory and comes as CEO Mark Zuckerberg has been signaling a desire to mend fences with the incoming administration.

The changes will affect Facebook, Instagram and Threads, three of the world’s biggest social media platforms with more than 3 billion users globally.

Last week, Meta elevated Republican policy executive Joel Kaplan as global affairs head and on Monday announced it had elected Dana White, CEO of Ultimate Fighting Championship and a close friend of Trump, to its board.

“We’ve reached a point where it’s just too many mistakes and too much censorship. It’s time to get back to our roots around free expression,” Zuckerberg said in a video.

He acknowledged the role of the recent U.S. elections in his thinking, saying they “feel like a cultural tipping point, towards once again prioritizing speech.”

When asked about the changes at a press conference, Trump welcomed them. “They have come a long way – Meta. The man (Zuckerberg) was very impressive,” he said.

Asked if he thought Zuckerberg was responding to his threats, which have included a pledge to imprison the CEO, Trump said “probably.”

In place of a formal fact-checking program to address dubious claims posted on Meta’s platforms, Zuckerberg instead plans to implement a system of “community notes” similar to that used on Elon Musk-owned social media platform X.

Meta also will stop proactively scanning for hate speech and other types of rule-breaking, reviewing such posts only in response to user reports, Zuckerberg said. It will focus its automated systems on removing “high-severity violations” like terrorism, child exploitation, scams and drugs.

The company will move teams overseeing the writing and review of content policies out of California to Texas and other U.S. locations, he added.

Meta has been working on the shift away from fact-checking for more than a year, a source familiar with the discussions told Reuters.

It has not shared relocation plans with employees, however, prompting confused posts on the app Blind, which provides a space for employees to share information anonymously.

Most of Meta’s U.S. content moderation is already performed outside California, another source told Reuters.

Kaplan, who appeared on the “Fox & Friends” program on Tuesday morning to address the changes, offered Meta employees only a summary of his public statements in a post on the company’s internal forum Workplace, which was seen by Reuters.

A Meta spokesperson declined to comment on planning for the changes or say which specific teams would be leaving California. The spokesperson also declined to cite examples of mistakes or bias on the part of fact-checkers.

CAUGHT BY SURPRISE
The demise of the fact-checking program, started in 2016, caught partner organizations by surprise.

“We’ve learned the news as everyone has today. It’s a hard hit for the fact-checking community and journalism. We’re assessing the situation,” AFP said in a statement provided to Reuters.

The head of the International Fact-Checking Network, Angie Drobnic Holan, challenged Zuckerberg’s characterization of its members as biased or censorious.

“Fact-checking journalism has never censored or removed posts; it’s added information and context to controversial claims, and it’s debunked hoax content and conspiracies,” she said in a statement.

Kristin Roberts, Gannett Media’s chief content officer, said “truth and facts serve everyone — not the right or the left — and that’s what we will continue to deliver.”

Other partners did not immediately respond to requests for comment, while Reuters declined to comment. Meta’s independent Oversight Board welcomed the move.

Zuckerberg in recent months has expressed regret over certain content moderation actions on topics including COVID-19. Meta also donated $1 million to Trump’s inaugural fund, in a departure from its past practice.

“This is a major step back for content moderation at a time when disinformation and harmful content are evolving faster than ever,” said Ross Burley, co-founder of the nonprofit Centre for Information Resilience.

“This move seems more about political appeasement than smart policy.”

For now, Meta is planning the changes only for the U.S. market, with no immediate plans to end its fact-checking program in places like the European Union which take a more active approach to regulation of tech companies, a spokesperson said.

Musk’s X is already under European Commission investigation over issues including the “Community Notes” system.

The Commission began its probe in December 2023, several months after X launched the feature. A Commission spokesperson said it had taken note of Meta’s announcement and was continuing to monitor the company’s compliance in the EU.

The EU’s Digital Services Act, which came into force in 2023, requires very large online platforms like X and Facebook to tackle illegal content and risks to public security.

Any firm found in breach faces a fine worth up to 6% of its global revenue.

Meta said it would start phasing in Community Notes in the U.S. over the next couple of months and improve the model over the year. — Reuters

December inflation rises to 2.9%

January 8, 2025 | 12:34 am

Tomatoes-wc — Prices of tomatoes surged to P150-P160 per kilo in markets in Metro Manila. — PHILIPPINE STAR/RYAN BALDEMOR

By Luisa Maria Jacinta C. Jocson, Reporter

INFLATION accelerated for a third straight month in December amid a faster rise in food, utility and transport prices, the Philippine Statistics Authority (PSA) said.

Preliminary data from the PSA showed the consumer price index (CPI) rose to 2.9% year on year in December from 2.5% in November but was slower than 3.9% a year earlier.

It also settled within the 2.3%-3.1% forecast for the month given by the Bangko Sentral ng Pilipinas (BSP).

The latest inflation print is slightly higher than the 2.7% median estimate in a BusinessWorld poll of 13 analysts.

The December print brought 2024 inflation to 3.2%, in line with the BSP’s forecast. This was the first time that full-year inflation fell within the central bank’s 2-4% target since 2021, when inflation averaged 3.9%. It was also the slowest since 2.4% in 2020.

“On balance, the within-target inflation outlook and well-anchored inflation expectations continue to support the BSP’s shift toward a less restrictive monetary policy. Nonetheless, the monetary authority will continue to closely monitor the emerging upside risks to inflation, notably geopolitical factors,” the central bank said in a statement.

PSA data showed core inflation, which discounts volatile prices of food and fuel, stood at 2.8% in December — faster than the previous month’s 2.5% but slower than the 4.4% a year ago.

For the entire year, core inflation averaged 3%, easing from 6.6% in 2023.

National Statistician Claire Dennis S. Mapa said December inflation was mainly due to the housing, water, electricity, gas and other fuels index, which accelerated to 2.9% from 1.9% a month earlier and 1.5% in the previous year.

The index accounted for more than half or a 52.9% share of the uptrend in inflation during the month.

One of the main drivers was electricity, which jumped to 1.6% in December from the 2.5% contraction in November and 7.8% decline a year ago.

In December, Manila Electric Co. (Meralco) raised the overall rate by P0.1048 per kilowatt-hour (kWh) to P11.9617 per kWh from P11.8569 in November.

The PSA also cited faster inflation in rentals at 2.4% from 2.2% a month ago and liquefied petroleum gas or LPG at 7.8% from 6.7%.

The PSA also cited transport as a main source of faster December inflation.

Transport inflation picked up to 0.9%, a reversal of the 1.2% drop in November and faster than the 0.4% clip a year earlier.

Mr. Mapa said the rise in transport inflation was due to the slower deceleration of prices of gasoline (-2.4% from -8%) and diesel (-2.9% from -9.4%).

In December, pump price adjustments stood at a net increase of P1.40 a liter for gasoline and P1.45 a liter for diesel, while kerosene prices had a net decrease of P0.80 a liter.

Passenger sea transport jumped to 71.9% in December from 17.1% in November. Mr. Mapa said this was due to seasonal factors amid the holidays.

RICE PRICES
Meanwhile, the heavily weighted food and nonalcoholic beverage index remained steady at 3.4% during the month. Food inflation was likewise steady at 3.5%.

“The good news is that the inflation rate of rice is easing. In fact, there’s even an expectation that inflation for rice will turn negative this January,” Mr. Mapa added.

Rice inflation slowed to 0.8% from 5.1% in November and 19.6% a year prior. Rice is typically the biggest contributor to overall inflation but has recently been on a downtrend since the government slashed tariffs on rice imports in July.

However, faster increases were recorded for vegetables, tubers, plantains, cooking bananas and pulses, which climbed to 14.2% from 5.9% a month ago.

Mr. Mapa said the price increase of tomatoes soared to 120.8% in December from 31.3% in November. It also accounted for 0.3 percentage point (ppt) of overall inflation.

The average price of tomatoes stood at P147.23 per kilo in December, rising from P84.64 per kilo year ago.

Mr. Mapa said higher vegetable prices could be partly attributed to storm damage in the past few months.

“That of course has an effect. It is not unique to this December, every time there’s a typhoon, it’s the prices of vegetables that really spike. Add to that the high demand (for vegetables) over the holidays,” he added.

Data from the PSA showed inflation for the bottom 30% of income households eased to 2.5% from 2.9% a month prior and 5% in the previous year. Year to date, inflation for the bottom 30% averaged 4.2%.

Inflation in the National Capital Region (NCR) accelerated to 3.1% in December from the 2.2% print in November and 3.5% a year ago. For 2024, inflation in NCR averaged 2.6%.

Outside NCR, consumer prices quickened to 2.9% from 2.6% a month earlier and 4% in the year prior, bringing the average to 3.4% in 2024.

“We are seeing the fruit of our efforts in bringing down inflation within the government’s target range of 2-4%,” BSP Governor Eli M. Remolona, Jr. said in a statement.

National Economic and Development Authority (NEDA) Secretary Arsenio M. Balisacan said the full-year average inflation in 2024 is a “significant improvement” from 2023.

“Despite the risks we encountered throughout the year, our combined efforts to temper inflation have largely been successful. We will build upon this momentum as we commit to keep the inflation rate within our target range in 2025,” he added.

In a separate statement, the BSP said the latest inflation outturn is “consistent with the BSP’s assessment that inflation will remain anchored to the target range over the policy horizon.”

The BSP expects inflation to average 3.3% this year and 3.5% in 2026, both within the 2-4% target.

However, it said the balance of risks to the inflation outlook continues to lean to the upside, citing “potential upward adjustments in transport fares and electricity rates.”

“The impact of lower import tariffs on rice remains the main downside risk to inflation. Domestic demand is likely to remain firm but subdued. Private domestic spending is expected to be supported by easing inflation and improving labor market conditions,” the BSP said.

“However, downside risks in the external environment could materialize and temper economic activity and market sentiment,” it added.

Amid these risks, the BSP said “complacency is not an option.”

“Prices of certain commodities may rise due to supply-side factors like geopolitical tensions and adverse weather conditions,” it added.

WITHIN TARGET
Analysts still see inflation settling firmly within the 2-4% range.

“For now, we’re sticking to our below-consensus forecast for average annual inflation to fall further this year to 2.4% from 3.2% in 2024, though the risks to this projection are skewed to the upside,” Pantheon Macroeconomics Chief Emerging Asia Economist Miguel Chanco said.

Chinabank Research in a note said bad weather poses a risk to food prices amid the expected La Niña this quarter.

“Still, barring unexpected shocks, we project inflation will remain within target going forward,” it added.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said a “relatively benign” inflation print might still be seen up to early 2025, which would justify further policy easing.

Last year, the central bank delivered a total of 75 basis points (bps) worth of rate cuts, bringing the benchmark rate to 5.75% by yearend.

“Still, the BSP will likely continue to be vigilant of upside risks to prices. However, with inflation still expected to settle within target this year, we think the BSP has room to continue with its gradual pace of monetary policy easing,” Chinabank said.

It expects the BSP to deliver 75 bps of cuts this year to bring the policy rate to 5%.

The Monetary Board’s first policy review for the year is on Feb. 20.

Outstanding debt hits fresh high of P16.09T

January 8, 2025 | 12:33 am

By Aubrey Rose A. Inosante, Reporter

THE NATIONAL Government’s (NG) outstanding debt rose to a fresh high of P16.09 trillion as of end-November, partly reflecting the impact of the peso depreciation on the value of foreign obligations, the Bureau of the Treasury (BTr) said.

Data from the BTr on Tuesday showed that outstanding debt inched up by 0.4% or P70.7 billion to P16.09 trillion as of end-November from P16.02 trillion as of end-October.

Year on year, debt jumped by 10.9% from P14.51 trillion.

The BTr attributed the higher debt level to “net financing and the impact of local currency depreciation on the valuation of foreign currency-denominated debt.”

The bulk or 67.87% of the total debt stock came from domestic sources.

As of end-November, outstanding domestic debt inched up by 0.3% to P10.92 trillion from P10.89 trillion at the end of October.

“The increment resulted from the P30.67-billion net issuance of domestic securities and P1.15-billion effect of peso depreciation on US dollar-denominated domestic debt,” the BTr said.

Government securities accounted for nearly all of domestic debt.

Year on year, domestic debt increased by 9% from P10.02 trillion.

Meanwhile, external debt went up by 0.8% to P5.17 trillion at end-November from P5.13 trillion a month earlier.

“The significant depreciation of the peso led to a P35.61-billion escalation in the local valuation of US dollar-denominated debt while net foreign loan availments added P8.33 billion,” the BTr said.

The Treasury added that the “favorable third-currency movements” against the greenback had shrunk the external debt by P5.06 billion.

Based on the data, the Treasury used a foreign exchange rate of P58.602 a dollar in November, against P58.198 in October and P54.77 in November 2023.

Year on year, external debt jumped by 15.3% from P4.48 trillion a year earlier.

Government securities consisted of P2.34 trillion in US dollar bonds, P213.72 billion in euro bonds, P59.32 billion in Japanese yen bonds, P58.6 billion in Islamic certificates and P54.77 billion in peso global bonds.

Meanwhile, NG-guaranteed obligations rose by 2.5% to P422.04 billion at end-November from P411.76 billion in October.

“This resulted from P8.95 billion in new domestic guarantees, as well as P1.85 billion in upward adjustments brought about by unfavorable foreign currency movements,” the BTr said.

Year on year, NG-guaranteed obligations jumped by 19.51% from P353.14 billion.

The peso closed at P58.62 a dollar at the end of November, weakening by 52 centavos from the P58.1 finish at end-October. It also hit a record low P59-a-dollar level on Nov. 21 and 26.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the government had to borrow more to fund persistent budget deficits.

The National Government’s budget deficit widened to P1.18 trillion in the first 11 months from P1.11 trillion a year earlier.

“Tax and fiscal reform measures would be realistically needed to bring down the country’s debt-to-GDP ratio to below the 60% international threshold to help sustain the country’s relatively favorable credit ratings of one to three notches above the minimum investment grade as consistently maintained since the pandemic,” Mr. Ricafort said.

At the end of September, the NG debt as a share of GDP stood at 61.3%, higher than 60.2% a year earlier and 60.1% at end-2023.

Mr. Ricafort said rate cuts by the Bangko Sentral ng Pilipinas and US Federal Reserve might help reduce debt service in the coming months.

Philippine Institute for Development Studies Senior Research Fellow John Paolo R. Rivera said the P16.09-trillion debt remains “manageable” but has to be coupled with “prudent” fiscal management, more efficient tax collection and a broader the tax base.

“For December 2024, the year-end budgetary requirements and adjustments might have pushed debt levels slightly higher. However, seasonal remittances and higher government revenues in December 2024 could have helped cushion the deficit,” Mr. Rivera said.

For 2025, he said the NG is expected to balance its fiscal needs with “careful borrowing strategies,” such as leveraging concessional loans and managing foreign exchange exposure.

The NG’s debt stock is expected to have hit P16.06 trillion at the end of 2024 and P17.35 trillion for 2025.

PHL end-December dollar reserves drop to $106.8B

January 8, 2025 | 12:32 am

US Dollar-currency — US dollar notes are seen in this picture illustration. — REUTERS

THE PHILIPPINES’ gross international reserves (GIR) inched lower at end-December, falling short of the central bank’s full-year projection.

Preliminary data released by the Bangko Sentral ng Pilipinas (BSP) on Tuesday showed reserves stood at $106.84 billion, down by 1.5% from $108.49 billion at end-November.

Year on year, dollar reserves rose by 3% from $103.75 billion a year earlier.

The GIR was below the BSP’s end-2024 projection of $109 billion.

“The month-on-month decrease in the GIR level reflected mainly the BSP’s net foreign exchange operations,” the central bank said.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the peso volatility in the fourth quarter might have weighed on the GIR level due to the “need to smoothen or manage the volatility.”

In 2024, the peso closed at its record low of P59 thrice — on Nov. 21, Nov. 26 and Dec. 19.

At its end-December level, the GIR was enough to cover 7.5 months’ worth of imports of goods and payments of services and primary income.

“By convention, GIR is viewed to be adequate if it can finance at least three-months’ worth of the country’s imports of goods and payments of services and primary income,” the BSP said.

The dollar reserves were also equivalent to about 3.8 times the country’s short-term external debt based on residual maturity.

Having an ample level of foreign exchange buffers safeguards an economy from market volatility and is an assurance of the country’s capability for debt repayment in the event of an economic downturn.

The central bank said the lower GIR level was due to the “drawdown on the National Government’s (NG) deposits with the BSP to pay off its foreign currency debt obligations.”

Foreign currency deposits slumped by 20.6% to $1.37 billion as of end-December from $1.73 billion the month prior. It increased by 78.2% from $770.7 million as of end-2023.

The BSP also cited the downward valuation adjustments in its gold holdings due to the “decrease in the price of gold in the international market.”

The country’s gold reserves were valued at $11 billion as of end-2024, down by 0.2% from $11.03 billion at end-November. However, it was higher by 4.2% from $10.56 billion a year ago.

Central bank data showed reserves in the form of foreign investments declined by 1.4% to $90 billion as of December from $91.3 billion a month earlier. It rose by 2.5% from $87.85 billion at end-December 2023.

Net international reserves dropped by 1.5% to $106.83 billion from $108.46 billion a month ago.

Net international reserves are the difference between the BSP’s reserve assets (GIR) and reserve liabilities such as short-term foreign debt, and credit and loans from the International Monetary Fund (IMF).

The Philippines’ reserve position in the IMF went up by 1.1% month on month to $675.6 million from $668.2 million. Year on year, it decreased by 11.2% from $760.9 million.

Special drawing rights held by the Philippines — the amount the country can tap from the IMF — was steady at $3.76 billion at end-December. However, it slipped by 1.3% from $3.81 billion a year ago.

Mr. Ricafort said the dip in dollar reserves was due to lower foreign investments amid “global market volatility on possible Trump protectionist measures” and its impact on US inflation and interest rates.

Markets are pricing in US President-elect Donald J. Trump’s policies on the Philippine economy, which relies heavily on the US for trade, remittances and other key economic inflows.

He also cited the government’s payment of foreign debts and other foreign obligations towards the end of the year.

“For the coming months, continued growth in overseas Filipino worker (OFW) remittances, business process outsourcing revenues, foreign tourism receipts, and foreign investments would still support balance of payments and GIR data,” Mr. Ricafort added.

The BSP expects to have $110 billion in dollar reserves by end-2025. — Luisa Maria Jacinta C. Jocson

SSS sees no need for future contribution rate hikes

January 8, 2025 | 12:31 am

A man is seen at a Social Security System (SSS) Diliman branch along East Avenue in Quezon City, Jan. 3, 2025. — PHILIPPINE STAR/MIGUEL DE GUZMAN

THE SOCIAL Security System (SSS) does not see the need for further increases in its contribution rate as the last tranche of hikes would double the fund life to 28 years.

SSS President and Chief Executive Officer (CEO) Robert Joseph M. de Claro defended the scheduled 1% increase in the contribution rate to 15%, which takes effect this month.

“With this last tranche of contribution rate and MSC (monthly salary credit) increases, the SSS fund is projected to last until 2053 — doubling the fund life to 28 years (vs 2032 or 14 years when an actuarial valuation study was performed in 2018). This will allow us to fulfill our social security obligations to current and future members during times of contingencies,” he said in a statement.

Under Republic Act (RA) No. 11199 or the Social Security Act of 2018, the SSS implemented incremental contribution rate hikes of one percentage point every two years starting in 2019 from the original contribution rate of 11%.

Of the 15% contribution rate, employers will shoulder 10% of the contribution, while employees will pay the rest.

The SSS also raised the monthly salary credits to P5,000 from P4,000, and the maximum credits to P35,000 from the previous P30,000.

Mr. de Claro said the contribution rate and MSC increases would result in additional collections of about P51.5 billion in 2025. Of this, 35% or P18.3 billion will go to the Mandatory Provident Fund accounts of SSS members.

He also reassured SSS members that there will be no more increases in the contribution rate.

“It also doesn’t make sense when you have to pay more than 15% from your salary considering that you have to pay your income tax which is around 25 to 30%. The take home amount will really shrink,” Mr. de Claro said at a briefing in Malacañang on Monday.

In response to calls to delay the hike in the contribution rate, Mr. De Claro said the SSS might not be able to provide members with short-term benefits in case of emergencies.

“During the last administration, the president mandated a P1,000 increase in benefits. This resulted in the SSS fund life only reaching up to 2032 or for 14 years. I’m happy to report that as of the moment, we have already doubled the fund life,” he said.

However, this is substantially below the ideal fund life of 68 years, Mr. de Claro said.

“I think 68 years is a dream unless we get subsidies from the government. Today, I’m happy to report that we are self-sustaining… I don’t think it’s practical also to target 68 years,” he said.

Instead, the SSS will study how to shift to a variable or hybrid model from a defined benefit model, Mr. de Claro said.

“Actually, that is utopia for the actuarial people, 68 years. The reality is once we are able to shift from a defined benefit to a variable or hybrid model, then that fund life of 68 years doesn’t come into play much because of the corresponding impact with regard to the unfunded liability,” he said.

A variable-benefit plan offers members a non-constant income stream after retirement, while the defined benefits plan guarantees beneficiaries a fixed-income stream after retirement. — AMCS

Making air travel an exciting experience for families

January 8, 2025 | 12:30 am

Traveling with children can be a mix of excitement and challenge, especially at 30,000 feet. Emirates understands this deeply and has made family travel a priority by focusing on creating a memorable, stress-free experience for its youngest passengers. The airline’s thoughtful approach ensures kids feel cared for and entertained while giving parents peace of mind.

A Commitment to Comfort and Joy

Emirates offers an array of specially curated travel kits designed for children, transforming flights into magical adventures. These kits reflect Emirates’ dedication to making every journey as delightful for families as their destination.

Personalized Comfort: Each child receives a collectible travel kit filled with age-appropriate goodies. From “blanket buddies” — adorable plush characters paired with soft blankets — to keepsakes like mini pilots and cabin crew toys, Emirates goes above and beyond to ensure children feel special and cared for during the flight.
Entertainment and Education: The kits include interactive activities like puzzles, coloring pages, and world maps that stimulate creativity and learning. These features keep children happily occupied while fostering a sense of curiosity about the world around them.

Eco-Friendly and Culturally Enriching Designs

Emirates’ commitment to sustainability is woven into its family offerings. The travel kits are eco-friendly and feature vibrant, hand-drawn designs showcasing global cultures, iconic Dubai landmarks, and the warm hospitality of Emirates’ crew. These thoughtful touches make every kit a celebration of diversity and adventure, leaving young travelers inspired.

Additional Travel Essentials for Kids:

To further highlight Emirates’ care for families, here are some must-have travel items offered onboard:

Puzzles for Creativity: Compact and engaging, puzzles are perfect for sparking creativity and keeping kids entertained. Emirates’ puzzles are designed to encourage problem-solving while offering hours of quiet fun.
Plush Companions for Comfort: Soft toys are more than just playthings — they’re emotional anchors for children during new experiences. Emirates ensures each child has a plush buddy to bring a sense of security and warmth.
Cozy Blankets for Restful Sleep: Long flights can be tiring, but Emirates’ cozy blankets provide the perfect solution for restful sleep. By helping children feel snug and relaxed, Emirates ensures both kids and parents enjoy a smoother journey.

Creating Cherished Memories in the Sky

Emirates’ commitment to family travel goes beyond the basics. By prioritizing the needs of children, the airline creates a journey that’s enjoyable for everyone. Parents can relax knowing their little ones are entertained, engaged, and comfortable.

With Emirates, every family flight transforms into an adventure — complete with learning, laughter, and lasting memories. Whether it’s through thoughtfully designed travel kits or exceptional in-flight service, Emirates ensures families feel valued and cared for at every step of their journey.

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House receives new bill for ABS-CBN franchise

January 8, 2025 | 12:07 am

ABS-CBN-wc — ABS-CBN was forced to stop its broadcast operations in May 2020 after former President Rodrigo R. Duterte’s allies in Congress denied its franchise renewal application. — PHILIPPINE STAR/MIGUEL DE GUZMAN

A BILL seeking to provide media company ABS-CBN Corp. with a fresh 25-year franchise was filed at the House of Representatives on Tuesday, more than four years since lawmakers denied its initial franchise renewal application.

Albay Rep. Jose Ma. Clemente S. Salceda said he filed House Bill (HB) No. 11252 to promote a “free market of ideas.”

“We need a free market of ideas in the reporting of events and regarding what is happening in our country,” Mr. Salceda, who heads the House ways and means committee, told reporters in Filipino. “In my view, this will benefit our country.”

ABS-CBN was forced to stop its broadcast operations in May 2020 after former President Rodrigo R. Duterte’s allies in Congress denied its franchise renewal application.

Alleged violations, including tax issues and violations of its original franchise’s terms, that caused ABS-CBN’s franchise to not be renewed are being “cured” in the bill, according to Mr. Salceda.

“The SEC (Securities and Exchange Commission) and BIR (Bureau of Internal Revenue) have cleared ABS-CBN of the allegations against them,” Mr. Salceda said in a separate statement.

ABS-CBN would be allowed, once again, to construct, install, operate, and maintain radio and television broadcasting stations for commercial purposes and public good, according to the proposed measure.

The media company would need to secure permits from the National Telecommunications Commission (NTC) to legally operate on the airwaves, with the telco authority mandated to not “unreasonably withhold or delay” the granting of licenses to ABS-CBN, the bill added.

“The grantee shall provide adequate public service time to enable the government, through said broadcasting stations or facilities, to reach the population on important public issues,” it said.

ABS-CBN is required to practice “self-regulation” by not giving screen time to any “speech, play, act, or scene” inciting Filipinos to rebel against the government.

The media company is not allowed to merge with other companies or transfer its controlling interest to any “person, company, or corporation” without congressional approval. The government also has the power to revoke ABS-CBN’s franchise if it fails to continuously operate for two years.

It would also be subject to a fine of P500 per day if it fails to submit an annual operations report to lawmakers.

The media network will be allowed to operate beyond its original franchise terms if pending measures seeking its extension are being deliberated in Congress.

“[The] said provision authority to continue its operations shall only be valid until its franchise is renewed, rejected, or until the term of Congress when the bill for renewal was filed ends,” the proposal measure said.

While Mr. Salceda has not talked with House Speaker Ferdinand Martin G. Romualdez about his proposal, he is optimistic the bill will gain approval and become law. “I rarely file something that doesn’t become a law.”

Four bills seeking to provide ABS-CBN a new franchise have been filed since 2022, with the proposals pending at the House legislative franchises committee.

“This development is likely to generate optimism among investors, as it signals potential restoration of the company’s core broadcasting operations,” Globalinks Securities and Stocks, Inc. Head of Sales Trading Toby Allan C. Arce said in a Viber message.

Providing ABS-CBN with a fresh franchise could help improve its viewership, thereby generating advertising revenues, said April Lynn Lee-Tan, chief equity strategist at COL Financial Group, Inc., via Viber.

The media company could regain its position as one of the “leading” media networks in the Philippines, she added, citing that other television networks could face increased competition.

“ABS-CBN’s return to free-to-air broadcasting would likely lead to an intense rivalry for ratings, compelling competitors to innovate or adjust strategies to retain their audience shares,” said Mr. Arce.

ABS-CBN shares jumped by 23.41% or P0.96 to P5.06 apiece on Tuesday. — Kenneth Christiane L. Basilio with Ashley Erika O. Jose

Nickel Asia in talks to sell Coral Bay stake to Sumitomo Metal

January 8, 2025 | 12:06 am

NICKEL ASIA Corp. (NAC) is in talks with its Japanese partner Sumitomo Metal Mining Co., Ltd. (SMM) to sell its stake in Coral Bay Nickel Corp. (CBNC), which operates a hydrometallurgical processing plant in Palawan.

NAC is in “discussions and negotiations with SMM for the proposed sale of all of NAC’s shareholding in CBNC equivalent to 15.625% of the total outstanding and issued capital stock of CBNC,” the mining company said in a disclosure on Monday.

SMM, the majority shareholder of CBNC, currently owns the remaining stake in the company.

“As a condition precedent for the proposed sale, (Nickel Asia) will engage a third party to conduct a valuation of the CBNC shares,” it added.

The company said it has reclassified its investments in CBNC shares as available for sale and will no longer recognize equity gains or losses from its investment in Coral Bay.

CBNC operates the Coral Bay high-pressure acid leach or HPAL processing plant in Rio Tuba, Palawan which processes metals from lateritic nickel ore. The metals are converted into nickel and cobalt mixed sulfide.

The processed products are refined in Japan to become components in the electronics, chemical engineering, and aerospace industries. Refined products are also used as battery components for electric vehicles.

Nickel Asia supplies the ore for processing to the Coral Bay plant from its mining operations.

The company owns five mines: Rio Tuba in Palawan, Taganito and Tagana-an in Surigao del Norte, the Cagdianao mine in Dinagat Islands, and the Dinapigue mine in Isabela.

As of the third quarter of 2024, Nickel Asia’s attributable net income declined by 24.2% to P1.44 billion. Its revenues fell by 8.01% year on year to P7.69 billion amid lower nickel and limestone sales.

Nickel Asia shares went up 0.63% or two centavos to close at P3.21 apiece on Tuesday. — Adrian H. Halili

Arthaland to redeem initial ASEAN green bonds on Feb. 6

January 8, 2025 | 12:05 am

SOM-Arthaland-Century-Pacific-Tower — ARTHALAND CENTURY PACIFIC TOWER — ARTHALAND.COM

ARTHALAND Corp. will redeem the first tranche of its ASEAN green bonds, which were issued in 2020, on Feb. 6, the real estate developer said on Tuesday.

“Holders of the first tranche of the ASEAN green bonds of Arthaland Corp. equivalent to P2 billion are hereby notified of the redemption thereof on Feb. 6,” Arthaland said in a regulatory filing.

“Payment of the redemption amount and any interest accruing thereon will be made through the Philippine Depository and Trust Corp. to bondholders recorded as of Feb. 4, 2025, or two banking days prior to the maturity date,” it added.

Green bonds are a type of loan specifically allocated for funding environmental projects.

Arthaland issued the first tranche of its ASEAN green bonds in January 2020. The offer consisted of a P2-billion base offer and a P1-billion oversubscription option, which was “exercised in full.”

The first tranche, which had an interest rate of 6.3517% per annum, was part of Arthaland’s total shelf registration of P6 billion in ASEAN green bonds.

“The listing of the bonds with the Philippine Dealing and Exchange Corp. shall cease upon their redemption on the maturity date,” Arthaland said.

Arthaland is a boutique real estate developer that has business interests in the development of residential, commercial, and leisure properties. Some of its projects include the Arya Residences, Arthaland Century Pacific Tower, Cebu Exchange, Savya Financial Center, Sevina Park, and Lucima.

On Tuesday, Arthaland shares rose by 2.74% or P0.01 to P0.375 apiece. — Revin Mikhael D. Ochave

The demographic dividend of the Philippines: The lessons from Japan

January 8, 2025 | 12:04 am

happy-grandparent-grandchild-scene-celebration-grandparent-s-day — FREEPIK

(Part 6)

The case of Japan presents an even bleaker picture of a country that is grappling with the problem of population decline. In fact, as reported by Reuters, the richest man in the world and now a close economic adviser of US President-elect Donald Trump —Elon Musk — recently provoked public anger when he tweeted that Japan would eventually cease to exist without a higher birthrate.

He actually said the obvious: “At risk of stating the obvious, unless something changes to cause the birth rate to exceed the death rate, Japan will eventually cease to exist. This would be a great loss to the world.” The truth hurts but it should serve as a warning to other countries that are still toying with birth or population control policies for the usual shallow reason of fighting poverty. There are a myriad of ways to fight poverty other than controlling the number of babies being born.

It is, of course, an exaggeration to say that Japan will cease to exist. The real problem has to do with the profound social dislocations that are occurring as a result of the decline to a lower population level. What are the facts about this population decline? As reported by Leo Lewis in The Financial Times, the native population of Japan is falling at a rate of nearly 100 people an hour, despite desperate efforts of the government to raise the fertility rate. The number of Japanese nationals dropped by the most since comparable records began in 1950 — a fall of 837,000 — in the 12 months to October 2023. That decline represented a daily drop of 2,293 people or about 96 per hour. Japan’s overall population in 2023 was 124.3 million, down 595,000 from the previous year, when adjusted for rising levels of migrant workers, overseas students, and foreign permanent residents.

The latest data reinforced the image of an inverted pyramid used to represent the age distribution of the Japanese population. The number of babies born in 2023 was 758,632, a record low and down 5.1% from the year before. The number of under-15s in Japan is at a record low of 11.5% of the overall population, while the number of over-65 is at a record high of 29.1%.

Another alarm signal that Filipinos should take seriously is the disappearance of the family unit — the greatest source of human happiness in our culture. In Japan, families are becoming smaller and the population of unmarried elderly people is ballooning. Forecasts noted that Japan’s average household consisted of 2.21 people in 2020 and was on track to below two in 2033 as living alone increasingly became the norm. This trend is sadly correlated with the high rate of suicide among these “loners.”

This bleak outlook facing the Japanese population presents an opportunity for countries like the Philippines with a still young and growing population. Already, there are manpower recruiting companies in the Philippines being actively approached by hospitals, homes for the aged, hotels and other hospitality enterprises who want to employ Filipino workers in Japan. These Japanese employers are so pro-active that they are even sending instructors to organize language “boot camps” to teach Japanese to Filipino nurses and caregivers so that they can be made employable in Japan. In a reversal of previous policies of limiting guest workers, the Japanese Government has relaxed visa requirements for selected foreign workers. The number of foreign residents has risen to a record of nearly 3 million. A group of Tokyo-based public think tanks reported that Japan needed about four times as many foreign workers by 2040 to achieve the government’s economic growth forecasts.

If the Philippines is to be able to benefit from this trend, we must make sure that we keep our fertility rate as close as possible to the replacement level of 2.1 babies per fertile woman. This great demand for Filipino workers, not only from Japan, but the other countries like South Korea, Taiwan, and Singapore — not to mention countries in Europe — is sure to frustrate any attempt of our government to stop sending OFWs abroad. Even if we attain economic progress in the coming decades (and we will become a high-income economy by the decade of 2040 to 2050), what other countries can offer to our workers and professionals will always be many times more what they will be earning in the Philippines, even if much above subsistence. This means we have to do our best to keep our fertility rate as close as possible to the 2.1 babies per fertile woman so that we can have workers for both our needs and the needs of those countries that have committed demographic suicide.

We may be able to learn some lessons from the Japanese case so that we can avoid some of their problems related to declining fertility rate. In a paper written by Shinji Yamashige of Hitotshubashi University entitled “Population crisis and family policies in Japan,” empirical evidence was presented to support the hypothesis of economist Gunnar Myrdal as early as 1941 that the “population crisis is only the external aspect of what is really a crisis in the family as an institution.” Many modern states discarded the important basic principle that the family is the foundation of any society. Especially in Japan, the family is no longer the primary welfare unit. Responsibility for caring for the aged has been taken over by society as a whole, in violation of the sacrosanct principle of subsidiarity, i.e., that what can be accomplished by a lower unit should not be taken over by a higher body. In Japan, responsibility for medical care has been taken over by the State and the employers. The family, greatly shrunken in size and function, has been rendered incapable of carrying out many welfare activities. The State, greatly expanded in size and function, has taken over most welfare functions.

The expansion of social security had an undesired impact on Japanese families. Marriage and fertility rates entered the phase of continuing decline after 1974, just after the government’s declaration of the welfare state in 1973. The expectation of depending on children for old-age security continued to decline in the process of the expansion of social security. The development of the market economy and the expansion of social security replaced the roles of children, and the fertility rate declined. The norm of children taking care of aged parents changed drastically. More and more of the elderly started to live independently. The risk of the elderly falling into poverty became greater, particularly when the number of children became smaller.

There are at least two family welfare policies that the paper recommended to address the demographic crisis of Japan from which we can learn. The first is to expand social expenditures to support families with children in order to encourage higher levels of fertility. Such a family policy is shown to be necessary to prevent inefficiency in child-rearing under the Pay As You Go (PAYG) pension system. Under the PAYG system, one can receive the pension after retirement regardless of whether or not one has children. This means that one can “free ride” on the children of others in the sense that they can obtain a pension without paying the cost of raising children. This naturally leads to low fertility rates.

Another practical suggestion of the paper is for the Government to expand the number of daycare centers to support working mothers. There is no way an industrializing economy can prevent higher labor participation of women. This is especially true in the Philippines where women have higher levels of educational achievement than men. To avoid the precipitous decline in fertility rates, it is necessary to create circumstances in which being mothers, and parents in general, can be made more enjoyable. And most recently, as CNN reported on Dec. 6, 2024, Tokyo is set to introduce a four-day week for government employees, in its latest push to help working mothers and boost record-low fertility rates.

These policy measures may or may not be relevant to our own demographic future. An ounce of prevention, however, is better than a pound of cure. It would be wiser for us today not to listen to continuing proposals among some of our legislators to equate reproductive health with birth control. It would be wiser for us to look for ways and means to make it easier for working mothers to raise children.

(To be continued.)

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

bernardo.villegas@uap.asia

GCash partners with Ria for global remittances

January 8, 2025 | 12:04 am

ELECTRONIC wallet giant GCash has partnered with Ria Money Transfer for international remittance services for Filipinos abroad.

“We’re continuing to strengthen partnerships around key corridors so we can help Filipinos wherever they may be. We are also strengthening our presence in Ria money,” GCash International General Manager Paul Albano said in a media release on Tuesday.

Ria Money Transfer is a global cross-border money transfer platform, serving 160 countries. It is a subsidiary of Euronet Worldwide, Inc.

With this partnership, customers using the Ria Money Transfer platform in the US, Australia, Europe, and Singapore can directly remit funds to GCash digital wallets even without a GCash overseas account.

“Some benefits of sending money to GCash via Ria include real-time receiving anytime and anywhere, low service fees, and competitive and transparent exchange rates,” it said.

GCash has been pushing to expand its presence overseas by also seeking to boost the country’s remittances.

“With a stronger economy through remittances, we empower both Filipinos here and abroad. This is in line with our commitment towards Finance For All — making it easier for Filipinos, wherever they may be, to access financial services conveniently,” the company said.

GCash services are currently available in 16 markets, including the US, United Kingdom, United Arab Emirates, Australia, Canada, Germany, Hong Kong, Italy, Japan, Saudi Arabia, Kuwait, Qatar, Singapore, South Korea, Spain, and Taiwan. — Ashley Erika O. Jose

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