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Export growth of 40% needed to meet targets set in PEDP

PHILIPPINE STAR/EDD GUMBAN

By Justine Irish D. Tabile, Reporter

EXPORTS will need to grow 40% this year to be able to hit the $143.4-billion target set for 2024 in the Philippine Export Development Plan (PEDP) 2023-2028, according to the Department of Trade and Industry (DTI).

“For us to be able to catch up with our PEDP targets, we need to grow by about 40% this year … because we did not meet the target for 2023,” according to Bianca Pearl R. Sykimte, director of the DTI-Export Marketing Bureau.

Ms. Sykimte said that the DTI is only projecting at least 10% export growth this year.

“Based on market projections … We expect about 10% growth (in 2024). So definitely, we will try to achieve more than 10% for export growth but to be able to catch up with the PEDP target of around $140 billion, we need to grow by 40%,” she added.

“It might be hard, but we really need to attract investment to build our domestic capacity. Again, 60% of our exports are electronics, and if you look at that sector it really is investment-driven,” she added.

Merchandise and services exports in 2023 under the PEDP were set a target of $126.8 billion. The Development Budget Coordination Committee (DBCC) projected goods exports to decline 4% in 2023.

For 2024, the DBCC projected goods exports to grow 5%, and then by 6% annually between 2025 and 2028.

Preliminary estimates by the Philippine Statistics Authority indicate that merchandise exports in the first 11 months of 2023 amounted to $67.03 billion, down 8.4% from a year earlier.

Preliminary estimates from the Bangko Sentral ng Pilipinas indicate that service exports grew 20.7% to $34.73 billion in the first nine months of 2023.

“So we are looking at, based on and consistent with DBCC projections, about a 4% decline for the export of goods (for 2023); for services, we are much more optimistic,” Ms. Sykimte said.

“And when we estimate the last three months or the last quarter of the year, we are still looking at 5% growth for total exports — both goods and services,” she added.

However, she said the 5% “is still higher in terms of growth rate in the previous PEDP wherein the average growth rate for exports was about 4%.”

The DTI’s strategy to catch up with the PEDP target is to address concerns about the ease of doing business (EoDB) and make it easier for manufacturers to export, Ms. Sykimte said.

“The priority is to address concerns of EoDB, which include the regulatory issues that make it more expensive for manufacturers to export,” she added.

She said Trade Secretary Alfredo E. Pascual has asked regulatory agencies to take a more developmental approach in their oversight of exporters.

“I would like to add that part of our strategy of increasing exports is really to bring in export-oriented foreign manufacturers to locate in the Philippines and for them to bring along their suppliers as well,” Mr. Pascual said.

Trade Undersecretary Ceferino S. Rodolfo said the focus of the department is to attract investment in manufacturing and exports.

“Just for context, our average nickel exports are $1 billion. Indonesia went from $1 billion in exports in 2015 to $20 billion because of nickel processing, and now they are at $30 billion,” said Mr. Rodolfo.

“That is the magnitude that we are looking for in terms of the value-add and it is quite substantial. So, generating investments is really key for value-add,” he added.

Indonesian recognition sought for PHL-certified halal products

THE Department of Trade and Industry (DTI) said it will seek Indonesian recognition of Philippine-certified halal products, citing accreditation as an opportunity to enhance bilateral trade and connectivity.

At the Joint Philippines-Indonesia Roundtable Meeting on Wednesday, Trade Secretary Alfredo E. Pascual said the trade potential between the Philippines and Indonesia can be unlocked by facilitating the flow of Philippine goods into Indonesian markets and vice versa.

“We can make this happen through deepened cooperation on halal based on a mutual recognition agreement (MRA) between our nations,” Mr. Pascual said.

“Such measures align with Indonesia’s goal to enhance regional connectivity, catalyzing the flow of goods and invigorating the trading routes between the Philippines and Indonesia,” he added.

Mr. Pascual said that Indonesia is the Philippines’ fifth-largest trading partner, and the 15th largest export destination.

The Philippine Statistics Authority estimates that Indonesia accounted for $1.01 billion or 9.3% of total imports in November.

During the meeting, Mr. Pascual urged Indonesian business leaders to take advantage of Executive Order No. 18, which called for the streamlining of government processing of investment applications in strategic sectors like processing of critical minerals.

“Our nations are both rich in nickel and copper — vital for green technologies such as electric vehicles. By leveraging these resources and close collaboration, we can facilitate a transition towards a sustainable, low-carbon economy,” Mr. Pascual said. — Justine Irish D. Tabile

NCR wholesale building materials price growth flat at 1.7% in Dec.

PHILSTAR FILE PHOTO

WHOLESALE price growth of construction materials in the National Capital Region (NCR) was flat at 1.7% in December, the Philippine Statistics Authority (PSA) said on Wednesday.

Citing preliminary data, the PSA said the December construction materials wholesale price index (CMWPI) reading was much weaker than the year-earlier rate of 10.3%.

The 1.7% rise has been unchanged since October.

In 2023, CMWPI averaged 5.3%, down from 2022’s 8.3%.

Of the 17 categories of commodity, only six posted increased price growth: sand and gravel, 1.3% from 1.2%; hardware, 4.6% from 4.5%; lumber, 1.2% from 1.1%; doors, jambs, and steel casements, 2.1% from 2%; tileworks, 0.1% from -0.1%, and fuels and lubricants, 0.5% from -3.6%.

Slower price growth was seen in electrical works (4.5% from 4.8%), painting works (4.5% from 5.4%), plywood (3.4% from 3.5%), G.I. Sheets (3% from 3.4%), plumbing fixtures and accessories/waterworks (2.3% from 2.5%), and concrete products and cement (1.8% from 1.9%). — Lourdes O. Pilar

New year, new audit

As most readers may know, the start of a tax audit by the Bureau of Internal Revenue (BIR) is marked by the issuance of a Letter of Authority (LoA) which authorizes specific BIR officers/examiners (i.e., Revenue Officers and Group Supervisor) to examine the taxpayer’s books and accounting records.

After the BIR officers conduct their audit within a specified period of time, they will communicate their preliminary findings through a Notice of Discrepancy (NoD), and invite the taxpayer for a discussion within 30 days from receipt thereof.

If the tax findings remain unresolved, the BIR will then issue a Preliminary Assessment Notice (PAN). Upon receipt of the PAN, the taxpayer may reply in writing within 15 days.

Thereafter, the BIR will issue a Formal Letter of Demand (FLD) and Final Assessment Notice (FAN). The taxpayer must file a protest letter within 30 days from receipt of the FAN; otherwise, the assessment shall become final and executory. 

One may wonder, how does a taxpayer get selected for BIR audit?

As it undergoes digital transformation, the BIR electronically selects taxpayers that will be issued an LoA based on transactions identified as risk areas.

To notify the BIR officers and guide the taxpayers who received LoAs on the updated policies and audit process, and with the goal of improving the operational efficiency of audit activities, the BIR issued Revenue Memorandum Order (RMO) No. 6-2023. This RMO also clarifies that all taxpayers are possible candidates for audit.

Aside from selection based on the BIR system criteria, there are other instances where the BIR issues an LoA. For instance, taxpayers applying for tax clearance are subjected to audit to ensure that no unpaid taxes remain upon closure.

It is clear that only one LoA may be issued to a taxpayer for each taxable year, except when a specific tax type had been previously examined. So, if the BIR has issued a value-added tax (VAT) LoA for a taxable/period, this tax type should be excluded in the new LoA for all internal revenue taxes (i.e., LoA for all taxes except VAT) covering the same taxable period. There are also instances where a taxpayer who has an ongoing tax audit with the BIR, still receives a Discrepancy Notice (DN). The RMO confirms that this DN should be consolidated with the existing LoA.

What happens after the taxpayer has fully complied with the Checklist of Documentary Requirements attached to the LoA?

Once the BIR officers find the documents submitted by the taxpayer substantial, they will communicate their preliminary findings to the taxpayers through the issuance of the NoD.

This stage can be a crucial part of the audit as this can sometimes be the best time to resolve cases. It presents an opportunity for the taxpayer to discuss the explanations with the examiners to facilitate resolution at the earliest possible time.

RMO No. 6-2023 requires the revenue officers to submit their report of investigation for cases covered by an LoA (other than replacement LoA) within 180 days for Regional cases, 240 days for Large Taxpayers (LT) cases, and 90 days for the Large Taxpayers VAT Audit Unit (LTVAU), VAT Audit Section (VATAS) and Office Audit Section (OAS), from the date of the LoA.

While the RMO specified the deadline of the examiner’s report of investigation, there appears to be different interpretations as to which report the BIR officer should complete within the deadline — is it the NoD or the PAN?

From my discussions with various BIR examiners in cases I’ve handled last year, there does not appear to be a clear consensus. When the RMO took effect on Jan. 1, 2023, most of the BIR examiners interpreted the deadlines as applying to the completion of their audit of the taxpayer’s books and submission of their preliminary findings for the issuance of the NoD. However, there are also some BIR officers who interpret the deadlines as applying to the submission of the case dockets to the reviewing offices for the issuance of the PAN.

The disparity in interpretation has led to challenges and missed opportunities for both taxpayers and BIR officers.

For one, there were missed opportunities to resolve issues and close cases at the early stage of the audit. Taxpayers, thus, incur additional interest due to the prolonged process. On the other hand, the BIR also loses out on earlier collections at the NoD stage.

In my view, the prescribed deadlines should apply to the submission of the BIR examiner’s report on the results of the investigation based on the documents submitted by the taxpayers during the LoA stage. This is to allow taxpayers reasonable time to retrieve and collate voluminous documents from two to three years ago, as most companies may not have enough personnel to focus on the retrieval of the necessary documents.

If we interpreted the prescribed deadline as submission of the report for issuance of the PAN, it would be unfortunate for the examiners as they may not have enough time to conduct a proper audit. As for the taxpayers, their explanations may not be given due consideration because of the tight timeline in issuing the PAN.

In recent years, I’ve noticed that some taxpayers receive up to two LoAs per year. Unfortunately, tax audits normally take a significant time to complete, which results in overlapping tax cases. Understandably, it becomes tedious for most taxpayers to deal with these cases at the same time. We should keep in mind that, in addition to boosting internal revenue collections, the goal of a tax audit is to improve the taxpayers’ compliance with tax laws and regulations.

In 2024, I hope the BIR can release more clarificatory rulings or circulars to address some contentious tax issues, including the audit report deadline mentioned in RMO No. 6-2023, so that taxpayers will be properly guided. That way, issues arising from multiple interpretations of rules can be avoided and perhaps allow the BIR to achieve the same collection target through voluntary tax compliance.

Clearer guidelines and a well-defined timeline for the BIR’s audit process are essential for taxpayers to plan effectively and facilitate the resolution of cases at the BIR level. A more transparent and consistent approach would benefit both the taxpayers and the BIR in achieving their respective goals — that is, for taxpayers to pay their dues and for BIR to meet their collection targets for the country’s economic well-being.

The views or opinions expressed in this article are solely those of the author and do not necessarily represent those of Isla Lipana & Co. The content is for general information purposes only, and should not be used as a substitute for specific advice.

 

Angelika Valmonte is an assistant manager at the Tax Services department of Isla Lipana & Co., the Philippine member firm of PricewaterhouseCoopers global network.

valmonte.angelika@pwc.com

Centeno seeded 6th in Predator Billiards Women’s Showdown

CHEZKA CENTENO — PREDATOR PRO BILLIARD SERIES FACEBOOK

FOR emerging the world women’s 10-Ball queen in Klagenfurt, Austria in October last year, Filipina pool star Chezka Centeno was given one of the eight spots and seeded players to the $100,000 Predator Billiards Series Women’s Showdown set Feb. 27 to March 1 in Las Vegas.

“Something to look forward to,” said the 24-year-old Zamboanga City native who joined the ranks that included her idol, mentor and friend Rubilen Amit as world champions after her magical Klagenfurt feat.

In Las Vegas, the 16-player field will also have reigning world 9-Ball titlist Chou Chieh-Yu of Chinese Taipei, Great Britain’s Kelly Fisher and Allison Fisher, Bulgaria’s Kristina Zlateva, Austria’s Jasmin Ouschan, Australia’s Bean Hung and Chinese Taipei’s Chen Chia Hua.

The other eight participants have yet to be determined.

The Women’s Showdown will begin with a round-robin group stage with each group having two seeded players and two invited players.

The top two players from each bracket advance to the single-round elimination stage.

The event, which stakes $35,000 to the champion, is said to be one of the greatest and strongest women’s fields as all eight are ranked in the WPA top eight, including Ms. Centeno at No. 6.

And Ms. Centeno hopes to wade into battle with one thing in mind — win it all.

“Promising to grind even harder, aim higher, and evolve into the player I’ve dreamed of becoming,” she said. — Joey Villar

Novak Djokovic poised to scale Grand Slam peak at favorite stomping ground

NOVAK DJOKOVIC — REUTERS

MELBOURNE — Novak Djokovic resumes his quest for Grand Slam supremacy at the Australian Open, where the seemingly invincible Serb will be the firm favorite to claim his 25th major singles title and eclipse a record that has stood for half a century.

The 36-year-old enjoyed one of the most dominant seasons of his career in 2023, winning a record-extending 10th crown at the Melbourne major before triumphs at the French and US Opens to go level with Margaret Court on 24 Grand Slam singles titles.

Australian Court won the last of those trophies in 1973 and Mr. Djokovic is poised to go past her on his happiest hunting ground, where 12 months ago he braved a political row involving his father and battled through a torn hamstring to prevail.

Barring a blip in a thrilling Wimbledon final against Carlos Alcaraz and a couple of late-season defeats by another youngster in Jannik Sinner, the world number one was virtually unbeatable last year with little to suggest he will slow down in 2024. “You’re not really meant to play tennis like that at 36,” Mr. Djokovic’s former coach Boris Becker said in a recent Eurosport podcast.

“When does the guy get tired, or when does he run out of motivation?”

Mr. Djokovic has not got off to the best of starts in the new season, suffering his first defeat in Australia in six years at the United Cup mixed team tournament after being hampered by a right wrist issue against Alex de Minaur.

“I think I’ll be okay,” Mr. Djokovic said. “It did have quite an impact, particularly on the forehand and serve. I have plenty of time, I think enough time to get myself in the right shape for the Australian Open.”

With his 43-match winning run in Australia ended, Mr. Djokovic will be fired up to get a head start in his quest for the Golden Slam — winning all four majors and the gold medal at the Olympic Games — to match Steffi Graf’s rare feat in 1988.

“I have always the highest ambitions and goals. That’s not going to be different (in 2024), that’s for sure,” Mr. Djokovic said after outclassing Mr. Alcaraz and Mr. Sinner in back-to-back matches to secure the year-end top spot at the ATP Finals in November.

“The drive that I have is still there. My body has been serving me well, listening to me well. I have a great team of people around me. The motivation, especially for the biggest tournaments in the sport, is still present.

“It still inspires me to keep going.” — Reuters

Williams will not be part of Strong Group in Dubai tourney

MIKEY WILLIAMS — PBA.PH

MIKEY WILLIAMS will not suit up for Strong Group anymore in the 33rd Dubai International Basketball Championships.

No less than head coach Charles Tiu confirmed the development as Strong Group moves on from one of its desired additions to the team set to fly the flag high on Jan. 19 to 28 at the Al Nasr Club in UAE.

Mr. Williams, who’s still in negotiations with PBA mother club Talk ‘N Text, expressed his interest in reinforcing Strong Group but he has yet to commit to the squad pending clearance with only more than a week to go before the competition.

“I don’t think Mikey (Williams) will be part of the team anymore, unfortunately. I think he still has some talks with TNT,” Mr. Tiu said in the team’s media availability after a full practice in Makati.

“We’ve been waiting for his answer, he said he’s still trying to get some clearance so I think it’s best that we decide to play it safe and make sure he doesn’t get in trouble. After all, his PBA is more important so we’ve decided to move on,” he added.

TNT holds Mr. Williams’ playing rights despite having a negotiation standoff late last year that led to the termination of his contract. He’s yet to play for TNT in the ongoing Commissioner’s Cup.

It’s still uncertain whether he would eventually sort out things with TNT and return to PBA action but for now, Mr. Williams strutting his stuff for Strong Group is already out of the picture.

And that was despite the possible solid impact he could contribute to the club owned by Frank and Jacob Lao, being a two-time PBA champion and two-time Finals MVP.

“Mr. Williams is my number one choice to be the point guard of this team but it is what it is. We’ll find ways to win without him. He would’ve been a great addition to our team,” Mr. Tiu added.

Without Mr. Williams, Strong Group braved on with a full practice featuring imports Dwight Howard, Andray Blatche, Andre Roberson and Mckenzie Moore with local aces Justine Baltazar, JD Cagulangan, Tony Ynot, Justine Sanchez, Allen Liwag, Francis Escandor and UAAP MVP Kevin Quiambao.

Jordan Heading, announced as the latest addition to the squad, has yet to arrive and join camp. — John Bryan Ulanday

Warriors’ Draymond Green vows to ‘remove the antics’

NBA.COM

BACK at practice Tuesday for the first time since his 12-game suspension, Golden State Warriors forward Draymond Green said he is confident he can alter his ways and help the team turn its season around.

Mr. Green, 33, was suspended indefinitely after taking a swing at Phoenix Suns center Jusuf Nurkic’s head last month. He had been suspended for five games in November for putting Minnesota Timberwolves center Rudy Goebert in a headlock.

“When I look back at these situations, it’s like, ‘Can I remove the antics?’ I am very confident I can remove the antics,” Mr. Green said. “And I am very confident if I do, no one is worried about how I play the game of basketball (or) how I carry myself in the game of basketball. It’s the antics. That’s the focus. It’s not changing who I am completely. You don’t change the spots on a leopard.

“I’m not going to set an unrealistic set of expectations. … Can I accept that my antics have been over the top? Of course. Can I remove them? Of course.”

Mr. Green will participate in all practices and scrimmages this week, though no date has been set for his return to game action. “They’re putting the plan together to ramp up. If it were up to me, I would love to come back and play right now,” Mr. Green said.

Teammate Brandin Podziemski started a round of applause as Warriors coach Steve Kerr welcomed Mr. Green back to practice, but the veteran forward felt he didn’t deserve it.

“I’ve cost my team enough. I’ve cost this organization enough,” Mr. Green said. “It’s not a time for me to just come back and be like, ‘Alright, I’m going to take my time and get back when I can.’ No, like, you caused this yourself. You don’t get the grace.”

Without Mr. Green, Mr. Kerr and the Warriors have dropped to 12th in the Western Conference at 17-19. While the coach is glad to have Mr. Green back, it doesn’t mean things will go back to normal right away. “I’m just open-minded,” Mr. Kerr said. “… He’s still obviously a huge part of this thing and a huge part of our leadership. He is going to reassume that mantle. But he needs the awareness that comes with what he’s just gone through and what he has put the team through, as well.”

Mr. Green, who in his 12th season has averaged 9.7 points, 5.8 assists and 5.5 rebounds in 15 games, said his self-reflection was a result of having time to devote to it, not because the league mandated it.

“Part of the indefinite return was about being in a better space, to allow my mind to process what it looks like to get in a better space,” he said. — Reuters

Middlesbrough shocks Chelsea in League Cup semis

MIDDLESBROUGH, England — Chelsea suffered a surprise 1-0 loss at second-tier Middlesbrough in the first leg of their League Cup semi-final on Tuesday with Hayden Hackney’s goal giving Mauricio Pochettino’s wasteful side plenty to do in the return.

The 21-year-old Hackney’s silky finish from an Isaiah Jones pass stunned the visitors in the 37th minute at the Riverside Stadium and the hosts defended superbly to take a slender advantage to Stamford Bridge.

Chelsea only had themselves to blame though as they dominated possession but squandered a host of chances — the biggest culprit being Cole Palmer who failed to hit the target twice in the opening half with the goal gaping.

Boro, who won the trophy in 2004 but are currently 12th in the Championship, had chances on the counter-attack to increase their lead but will still head to London believing they can reach Wembley.

Chelsea’s players were booed by some of their own fans at the final whistle with Thiago Silva acting as peacemaker but they will be confident of making amends in the second leg on Jan. 23. Liverpool host Fulham in the first leg of the other semi-final on Wednesday.

Chelsea’s stuttering first season under Pochettino has been a case of one step forward and two back and Tuesday was a prime example of the problems they face as they were unable to beat Michael Carrick’s injury-ravaged Boro.

They had 18 goal attempts, the majority in the first half, but once again they lacked quality in front of goal and were often exposed in defence.

“We made some mistakes in the first half and gave them chances to score,” Pochettino told Sky Sports after his side’s ninth defeat of the season in all competitions.

“After that they were aggressive and played with a deep block and it was hard for us to break them down. But we have another 90 minutes and we need to be positive.”

For former Manchester United and England midfielder Carrick, and a raucous home crowd, it was a special night.

“I know it’s a two-legged affair and it’s still all to play for but with all we’ve had to go through with injuries and setbacks to beat a team with Chelsea’s quality is unbelievable,” Carrick said. “It was an exceptional effort.”

Boro began on the front foot but were forced into early changes with Emmanuel Latte Lath and Alex Bangura both hobbling off within the opening 20 minutes.

Palmer should have put Chelsea in front when he was gifted the ball by Jonny Howson but fired wastefully wide.

Minutes later Boro took the lead when the lively Jones did superbly to latch on to a long pass and bamboozle Chelsea left back Levi Colwill before squaring for Hackney to guide the ball past Djordje Petrovic from close range.

Palmer wasted an even better chance in first-half stoppage time as he sliced over from in front of goal after Boro keeper Tom Glover failed to gather a shot by Enzo Fernandez.

And Palmer was denied again before the halftime whistle, this time taking too long to shoot and then firing too close to Glover who had a superb game.

Chelsea monopolised the ball in the second half but lacked the guile to break down Boro’s red wall.

“That has happened this season and there has been a lot of games we have not won because we are not clinical enough,” Pochettino said. — Reuters

Fiorentina wins shootout against Serie A rival Bologna to reach Coppa Italia semifinals on penalties, 5-4

FLORENCE, Italy — Fiorentina beat Serie A rivals Bologna 5-4 on penalties to advance to the Coppa Italia semi-finals on Tuesday after their last-eight clash finished goalless after extra time.

Bologna defender Stefan Posch fired their fifth penalty over the bar before Fiorentina midfielder Maxime Lopez converted to send last year’s finalists through.

Bologna, who knocked out holders Inter Milan in the last 16, had more possession but were unable to break the deadlock.

The visitors went close in the 34th minute when striker Joshua Zirkzee hit the bar from close range before winger Riccardo Orsolini struck the post after the break.

But Fiorentina, fourth in the Serie A standings on 33 points, one point ahead of fifth-placed Bologna, held firm in defence before reaching the semi-finals for the third straight year for the first time.

They will next face the winner of Wednesday’s match between AC Milan and Atalanta, in a two-legged semi-final in April.

Lazio host AS Roma in a derby clash in the other quarter-final on Wednesday before Juventus play Frosinone at home on Thursday. — Reuters

Armed men storm TV studio in Ecuador as violence escalates

REUTERS

GUAYAQUIL/QUITO — Ecuador faced a string of violent incidents on Tuesday, including the on-air invasion of a TV station by gunmen, as President Daniel Noboa named 22 gangs as terrorist organizations and military targets.

Police arrested 13 gunmen who took over television station TC during a live broadcast, while elsewhere at least seven police officers were kidnapped and there were several explosions around the country.

Mr. Noboa, who took office in November promising to stem drug trade-related violence, declared a 60-day state of emergency on Monday in response to prison violence — including hostage-takings of guards by inmates — and the apparent escape of Los Choneros gang leader Adolfo Macias over the weekend.

In a revised decree on Tuesday, Mr. Noboa recognized an “internal armed conflict” and identified nearly two dozen gangs as terrorist groups, including Los Choneros.

The government has said the violence is a reaction to Mr. Noboa’s plan to build a new high security prison and transfer jailed gang leaders.

“Today’s events show that the actions and decisions taken by the national government are gravely affecting criminal structures, and as an answer they have created a wave of violence to frighten the populace,” Admiral Jaime Vela, head of the joint command of the armed forces, said after a security meeting with Mr. Noboa and other officials.

All the groups mentioned in Mr. Noboa’s decree are now military targets, Mr. Vela added.

Prison transfers of major leaders have historically led to violence. Hundreds of inmates have been killed in recent years.

The unrest in Ecuador led Peru’s government to declare an emergency along its border with Ecuador, while Brazil, Colombia and Chile expressed their support for the Ecuadorean government.

LIVE INVASION
The take-over of TC’s studio in Guayaquil was broadcast live for about 20 minutes, as people wearing balaclavas and mostly dressed in black wielded guns and accosted staffers huddling on the floor.

Gunshots and yelling were heard on the live feed, and some of the invaders gestured at the camera. Someone could be heard yelling “no police.”

TC, which broadcasts nationally, shares a site with another public broadcaster, Gamavision, and several radio stations.

The attackers entered through Gamavision’s reception, assaulting staff there and leaving dynamite behind, TC news coordinator and reporter Leonardo Flores Moreno told Reuters earlier on Tuesday, when the operation to retake the site was still ongoing. “We were in a meeting and they alerted us and we were able to hide,” said Mr. Flores Moreno.

Police said their operation resulted in the confiscation of explosives and guns, and police social media posts showed young men with their hands zip-tied behind their backs kneeling on the floor.

“All hostages were freed … the perpetrators will confront justice and be sentenced for terrorist acts,” the police said on X.

The channel was back on-air for its evening news broadcast, with anchors saying the attorney general’s office was on site collecting evidence. Two employees were injured, the channel said.

In the southern city of Machala, Quito and Los Rios province seven police officers were kidnapped in three separate incidents, police said earlier.

The three officers taken in Machala were freed late on Tuesday, the police said, and ten arrests were made.

The police confirmed explosions in Esmeraldas and Los Rios, while mayor’s offices in Cuenca and Quito confirmed others, and the attorney general’s office said it was investigating one in Guayaquil. Local media reported additional explosions in Loja and Machala.

Authorities have not given a cause for any of the explosions, and no one has claimed responsibility.

Prisons agency SNAI said earlier on Tuesday a group of prisoners escaped from a penitentiary in Riobamba, including accused gang member Fabricio Colon Pico, who was allegedly involved in an attack plot against the attorney general. Seventeen of the 39 escapees have been recaptured, the prosecutor’s office said.

Eleven prison guards who had been taken hostage over the past two days have been released, SNAI added, but 139 guards and other staff are still being held.

Local authorities in Guayaquil said there were “take-over” incidents at five hospitals in the country’s largest city, but that police and soldiers had restored order. It was unclear exactly what the incidents entailed.

Some Ecuadoreans are already questioning Mr. Noboa’s efforts to control violence, which stymied his predecessor. Mr. Noboa plans to hold a plebiscite this year focused on security efforts.

Violent deaths nationally rose to 8,008 in 2023, the government has said, nearly double the 2022 figure of over 4,500.

The University of Guayaquil said reports of criminals entering its facilities were false, despite social media reports.

Ecuadorean sovereign bonds fell as concern over the violence spread to financial markets. — Reuters

Macron sends out France’s youngest prime minister Attal to fend off far right

GABRIEL ATTAL — EN.WIKIPEDIA.ORG

PARIS — By naming young political prodigy Gabriel Attal as prime minister, French President Emmanuel Macron is showing what he hopes is a winning hand to beat the far right, which is leading in opinion polls ahead of June’s European parliamentary elections.

Like elsewhere in Europe, France’s far right has benefited from a cost-of-living crisis, untamed immigration and resentment towards a political class that Mr. Macron has failed to bring closer to common folk despite promising to shake up politics in 2017.

But Marine Le Pen also got a head start in the race by placing her own rising star, 28-year old Jordan Bardella, at the helm of her European campaign team, as her Rassemblement National (RN) is running up to 10 points ahead of Mr. Macron’s centrist Renaissance in opinion polls.

Mr. Macron’s strategists have become increasingly worried about Mr. Bardella’s popularity in recent weeks.

A video of the young MEP receiving rock star treatment at a food market by a crowd of adoring fans requesting selfies at the end of November got alarm bells ringing in Mr. Macron’s camp, a source with knowledge of the president’s thinking told Reuters.

“The president said we urgently needed someone to take on Bardella,” the source said.

Mr. Attal, 34, France’s youngest-ever prime minister, is of the same caliber — he is a smooth communicator, a skilled debater in parliament and on radio shows, and has shown an ability to seize political opportunities and win over the conservatives voters Mr. Macron is after.

“It was the best card the president had up his sleeve,” IFOP pollster Jerome Fourquet said on BFM TV. “He wants to counter Bardella’s rise, especially in view of the major political event later this year, the European elections.”

As education minister, his first move was to ban the Muslim abaya dress in schools, drawing rave reviews in the increasingly influent right-wing media empire built by Vincent Bollore, the French Rupert Murdoch.

FRENCH INFLUENCE IN EUROPE
Doing well in European elections is crucial if Mr. Macron wants to remain as influential in Brussels as he has been over the past six years.

In the last elections in 2019, his party came within a whisker of RN, giving the two camps the same number of seats and Mr. Macron’s fledgling party enough troops to weigh on the choice of the EU’s top jobs.

Should RN do massively better than Macron’s party, it would not only be symbolically painful, but it would also reduce Mr. Macron’s influence on European Union (EU) policies, since his Renew grouping is also bound to lose many Spanish and Dutch lawmakers.

France’s influence in Europe has grown under Mr. Macron, with Britain’s departure and former German Chancellor Angela Merkel’s retirement leaving way for more statist French ideas to influence EU policymaking.

But this election comes against a backdrop of populist gains from Slovakia to the Netherlands, testing the ability of Mr. Macron’s European family to maintain an influential role inside parliament.

Some think Mr. Macron should be more focused on problems at home.

“Emmanuel Macron is very busy on the international stage, but he must come back to the domestic arena and take care of people’s problems like education and housing, which are real ticking bombs,” Patrick Vignal, an MP in Mr. Macron’s party, said.

RESTORING AUTHORITY
It remains to be seen whether Mr. Attal can do as well as prime minister as he did in previous roles.

Beyond his long-stated goal of bringing France back to full employment, Mr. Macron said in his New Year address he wanted a “Civic Re-Armament” — a restoration of authority to counter what he sees as a collapse in civility and a fragmentation of society. 

“With his main reforms passed, Macron will push for policies that will be more societal and atmospheric and probably less divisive,” Mujtaba Rahman, an analyst at Eurasia, said in a note. “They will try to respond to popular anxieties about French democracy, crime and anti-social behavior.”

The anxieties follow riots in city suburbs which shocked France last summer and a series of grim murders and Islamist attacks. It is not clear what Attal could do to start reversing what is a long-term development with complex causes.

Managing ministers years his senior will also require authority and strong will. The role of prime minister also has the reputation of a poisoned chalice – usually the fall guy whenever the president is getting unpopular.

That was Mr. Bardella’s ominous message to Mr. Attal on Tuesday.

“By naming Gabriel Attal, Emmanuel Macron wants to get on his popularity bandwagon and soften the pain of this never-ending fin de regne,” he said on the social media messaging platform X.

“He rather risks dragging the short-lived education minister down in his fall.” — Reuters