BPI considers $300-million bond issuance

November 14, 2023 | 12:01 am

BANK of the Philippine Islands (BPI) is looking to raise at least $300 million in dollar-denominated bonds around the second quarter of next year to refinance debt worth the same amount maturing in September.

The Ayala-led bank hopes to issue the bonds ahead of the maturing debt to avoid geopolitical risks, BPI Treasurer and Global Markets Head Dino R. Gasmen told reporters on Monday.

He added that the offer could be upsized if necessary.

Mr. Gasmen cited tensions stemming from elections in the US next year and in other jurisdictions, as well as monetary policy.

He noted the US Federal Reserve last year was expected to begin cutting rates by this time, “but the exact reverse is happening.”

“There’s still a possibility that the Fed might raise rates,” he added.

BPI is likely to issue dollar-denominated bonds before peso-denominated bonds next year due to the higher-than-expected amount recently raised in the second tranche of its P100-billion bond program, Mr. Gasmen said.

“It’s the biggest bond we have issued so far. So if you ask me, it’s more probable [if] we’re going to issue a dollar bond next year,” he said.

BPI on Monday listed peso fixed-rate bonds due 2025 on the Philippine Dealings and Exchange Corp. after raising P36.66 billion with a 6.425% interest rate per annum, payable quarterly.

The final issue size of the bonds was oversubscribed by over seven times the initial P5 billion target due to strong investor demand, which was fueled by the low amount of bond issuances this year, BPI Chief Finance Officer and Chief Sustainability Officer Eric Roberto M. Luchangco said.

“The net proceeds of the offer will be used for general corporate purposes, including funding source diversification,” BPI said in a statement.

Mr. Luchangco added BPI is not likely to issue any more bonds in 2023 since investors are no longer active as the year is about to end.

But he added that there is room for another issuance under the P100-billion bond program next year and that the target amount could be upsized as it nears the P100-billion mark.

BPI could also issue more bonds in 2024 if the Bangko Sentral ng Pilipinas (BSP) begins its easing cycle, Mr. Gasmen noted.

“If we feel the BSP will pivot, meaning they will reduce policy rates soon, then it’s more logical if we delay or hold off any issuances until rates fall a little lower so it will be cheaper for us as an issuer. If it’s tighter and we feel there is demand for bond issuers, then we’ll probably think seriously about issuing,” he said.

“If we feel that we have strong demand and we have a strong pipeline of loans, then we will likely issue more,” he added.

BPI saw its net income grow year on year by 33.3% in the third quarter to P13.5 billion due to higher revenues.

The bank’s financial statement was unavailable as of press time.

Its shares dipped by P1.10 or 1.06% to close at P103 apiece on Monday. — Aaron Michael C. Sy

Cebu Air records reversal with P1.28-B net income

November 14, 2023 | 12:01 am

By Ashley Erika O. Jose, Reporter

CEBU Air, Inc., operator of budget carrier Cebu Pacific, recorded a third-quarter attributable net income of P1.28 billion, reversing a net loss of P2.54 billion last year driven by higher travel demand.

In a stock exchange disclosure, the company reported total revenues of P23.34 billion for the period, a 38.5% increase from the P16.85 billion previously.

Passenger revenues accounted for the bulk of its gross revenue for the three months to September, amounting to P16.01 billion of its total bottom line.

Cargo revenues amounted to P971.95 million, while ancillary revenues accounted for P6.37 billion.

For the quarter, the company reported transporting a total of 5.3 million passengers over 35,000 flights, higher by 27% and 18%, respectively.

The company said its international operations remain robust, having flown more than a million international passengers for the period, while it flew four million domestic passengers in the third quarter.

“CEB continued its financial recovery in the third quarter, and we remain optimistic about its future growth,” Mark Julius V. Cezar, chief financial officer, and compliance officer of Cebu Air, said in a media release.

The budget carrier’s strong performance for the period may continue due to the growing demand for both domestic and international travel, according to an analyst.

“There are a few factors that suggest that the company is well-positioned for growth. The Philippines has a growing population and a young middle class, which is driving demand for both domestic and international travel,” Globalinks Securities and Stocks, Inc. Head of Sales Trading Toby Allan C. Arce said in a Viber message to BusinessWorld on Monday.

For the nine months to September, Cebu Air recorded an attributable net income of P5.03 billion, reversing its net loss of P12.05 billion last year.

Consolidated revenue for the period climbed 78.3% to P66.90 billion from P37.53 billion.

Passenger revenues for the first nine months went up to P46.13 billion, more than double the P22.48 billion previously.

Ancillary revenues also increased to P17.79 billion, up 88.7% from the P9.43 billion last year.

Revenues from cargo, however, declined to P2.97 billion, down by 47.1% from the P5.61 billion previously.

“The airline industry would benefit from the further recovery of the foreign and local tourism businesses and other related industries,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

Mr. Ricafort said that the airline industry, in general, would benefit from the downward trend of global crude oil and jet prices.

To recall, the Energy department said that lower oil prices may likely continue until yearend due to lower demand and increasing production.

At the local bourse on Monday, shares in the company closed 40 centavos higher or 1.24% at P32.75 apiece.

SMC posts P31.2-billion net income for nine months

November 14, 2023 | 12:01 am

SAN MIGUEL Corp. (SMC) on Monday reported a nine-month net income of P31.2 billion, boosted by higher earnings from subsidiaries.

In a press release, the company said it recorded consolidated revenues of P1.1 trillion, a 5% decline from the corresponding period last year, mainly due to lower selling prices from its oil company Petron Corp. and lower sales volume of San Miguel Foods.

However, higher sales from its other businesses managed to temper the decline, the listed conglomerate said.

The company recorded a consolidated operating income of P110.2 billion, 29% higher a year ago, thanks to strong performance across all its business segments.

“SMC’s resilient performance in the face of economic challenges is very encouraging,” SMC President and Chief Executive Officer Ramon S. Ang said in a statement.

For the second quarter, SMC saw its net loss widen to P8.08 billion from P7.68 billion a year ago; while it recorded a gross revenue of P338.50 billion, down by 14.2% from the P394.65 billion.

San Miguel Food and Beverage, Inc. reported a 6% climb in consolidated revenues to P276.7 billion for the first nine months, which it attributed to “improved selling prices across its beer, spirits, and food divisions.”

San Miguel Brewery recorded a nine-month bottom line of P108.3 billion, which it said is 9% higher year-on-year, while Ginebra San Miguel saw its revenues go up by 13% to P38.9 billion.

Further, San Miguel Global Power Holdings Corp. — SMC’s power arm, recorded a P9.1 billion consolidated net income, reversing a P2.6 billion loss last year due to lower coal prices and overall power purchases.

Its oil company, Petron, however recorded lower revenues for the first nine months at P587.3 billion, SMC said.

Meanwhile, SMC’s infrastructure unit recorded higher consolidated revenues at P25.1 billion, while its cement businesses, which are Eagle Cement Corp., Northern Cement Corp., and Southern Concrete Industries, Inc., recorded combined revenues of P28.9 billion.

At the local bourse on Monday, shares in the company climbed by 10 centavos or 0.10% to end at P103 each. — Ashley Erika O. Jose

How PSEi member stocks performed — November 13, 2023

November 14, 2023 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Monday, November 13, 2023.

How minimum wages compared across regions in October

November 14, 2023 | 12:00 am

(After accounting for inflation)

In October, inflation-adjusted wages were 15.3% to 22.8% lower than the current daily minimum wages across the regions in the country. In peso terms, real wages were lower by around P60.92 to P108.46 from the current daily minimum wages set by the Regional Tripartite Wages and Productivity Board.

Peso weakens on central bank bets

November 13, 2023 | 9:00 pm

THE PESO depreciated against the dollar on Monday amid hawkish signals from the US Federal Reserve and expectations that the Bangko Sentral ng Pilipinas (BSP) will keep its key rate steady at its meeting on Thursday.

The local unit closed at P56.06 per dollar on Monday, weakening by 10 centavos from its P55.96 finish on Friday, based on Bankers Association of the Philippines data.

The peso opened Monday’s session at P55.94 against the dollar, which was also its intraday best. Its weakest showing was at P56.13 versus the greenback.

Dollars exchanged went up to $1.18 billion on Monday from $951.7 million on Friday.

The peso depreciated against the dollar on Monday due to hawkish signals from Fed Chair Jerome H. Powell late last week, said Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort in a Viber message.

He added that Mr. Powell’s comments resulted in a generally stronger US dollar against other global currencies.

The Fed kept its benchmark interest rate steady at the 5.25%-5.5% range for a second straight time during its Oct. 31-Nov. 1 meeting.

It has hiked rates by a cumulative 525 basis points (bps) since it began its tightening cycle in March last year.

The US central bank will next meet on Dec. 12-13 to review policy.

“The peso weakened amid expectations that the BSP will maintain its policy rates this week,” a trader added in an e-mail.

A BusinessWorld poll of 18 analysts held last week showed that 15 analysts expect the Monetary Board to maintain the target reverse repurchase (RRP) rate at 6.5%, the highest in 16 years.

Meanwhile, the three remaining economists said the Monetary Board might hike policy rates by 25 bps to 6.75% at the Nov. 16 meeting.

The Monetary Board implemented an off-cycle 25-bp rate hike on Oct. 26, ahead of its scheduled meeting.

Since May 2022, it has raised interest rates by a cumulative 450 bps.

For Tuesday, the trader said the peso could strengthen due to a likely softer US consumer inflation report.

The trader sees the peso moving between P55.90 and P56.15 per dollar on Tuesday, while Mr. Ricafort sees it ranging from P55.95 to P56.15. — Aaron Michael C. Sy

Stocks dip as cautious investors await key events

November 13, 2023 | 9:00 pm

PHILIPPINE SHARES closed lower on Monday on negative market sentiment amid concerns overseas including Moody’s Investors Service’s downgrade of its outlook on the United States’ credit rating.

The benchmark Philippine Stock Exchange index (PSEi) went down by 45.75 points or 0.74% to close at 6,116.14 on Monday, while the broader all shares index lost 21.34 points or 0.64% to end at 3,295.52.

“Stocks experienced a modest decline after testing a critical resistance point at the 6,200 level. The latter was marked by the resistance of a downward trend line and the 50-day simple moving average,” AB Capital Securities, Inc. Vice-President Jovis L. Vistan said in a Viber message.

“The market sentiment was further influenced by global concerns, triggered by Moody’s Investors Service’s decision to downgrade its outlook on the credit rating of the US,” Mr. Vistan added.

China Bank Securities Corp. Research Director Rastine Mackie D. Mercado said the index’s drop was likely due to continued profit taking after last week’s surge and while investors stay cautious ahead of the scheduled Morgan Stanley Capital International index review results on Tuesday.

“Despite today’s move, prospects of a follow-through rally remain in play, especially as today’s downtick was accompanied by the lowest value turnover for the year,” Mr. Mercado said in an e-mail.

Meanwhile, Philstocks Financial, Inc. Research Analyst Claire T. Alviar said that investors were in “a wait-and-see mode” anticipating key events such as the US inflation data, the key rate meeting of the Bangko Sentral ng Pilipinas, and the upcoming meeting between US President Joseph Biden and Chinese President Xi Jinping.

“Market participation was notably subdued, with a net market value turnover of only P1.29 [billion]. At least for this year, this was the lowest recorded net value turnover,” Ms. Alviar said.

Value turnover went down to P1.37 billion on Monday with 285.31 million shares changing hands from the P2.76 billion with 311.90 million issues seen on Friday.

All sectoral indices dropped on Monday. Mining and oil went down by 137.09 points or 1.41% to 9,556.04; services sank by 19.13 points or 1.27% to 1,476.87; property decreased by 23.53 points or 0.89% to 2,604.58; financials lost 13.01 points or 0.73% to 1,751.38; industrials shed 34.49 points or 0.39% to 8,608.23; and holdings firms dipped by 22.98 points or 0.39% to 5,855.02.

Decliners outnumbered advancers, 106 versus 57, while 52 shares closed unchanged.

Net foreign selling went up to P270.92 million on Monday from P62.12 million recorded on Friday.

“If the market posts an uptick tomorrow, then we may see the index push higher towards the 6,300 level,” Mr. Mercado said.

Mr. Vistan placed the PSEi’s support at 6,000 and resistance at 6,200. — Sheldeen Joy Talavera

Duterte critic De Lima gets bail after 6 years in jail

November 13, 2023 | 8:46 pm

DeLima-PHILSTAR-FILE — PHILSTAR FILE PHOTO

A PHILIPPINE trial court on Monday ordered the release on bail of a former senator who was jailed in 2017 on drug trafficking charges that she said were fabricated to muzzle her investigation of then-President Rodrigo R. Duterte’s deadly war on drugs.

In a 69-page order, a copy of which was given to reporters by the defense, Muntinlupa Judge Gener M. Gito reversed an earlier decision and granted ex-Senator Leila M. De Lima’s request for bail while being tried in a final drug case.

Ms. De Lima “should be allowed to post bail as the prosecution was not able to discharge its burden of establishing that the guilt of the said accused is strong,” the judge said in the order dated Nov. 10.

“Finally, I will be freed,” Ms. De Lima, 64, told reporters in Filipino as police led her out of a Muntinlupa courtroom where the judge had ordered her release. “For years, my whole being has been crying out for justice and freedom.”

She said it was very painful for her to be wrongfully jailed and that she does not want that to happen to anyone else. “This is a moment of triumphant thanksgiving.”

Ms. De Lima faced various charges in 2017 within months of launching a Senate inquiry into Mr. Duterte’s anti-illegal drug campaign, in which thousands of drug users and dealers were killed in police drug raids.

She incurred Mr. Duterte’s ire when, as chairwoman of the Commission on Human Rights, she started a probe in 2009 into extrajudicial killings by the so-called Davao Death Squad in the tough-talking leader’s hometown, where he was the long-time mayor. Mr. Duterte later vowed to “destroy” her.

Mr. Duterte’s drug war is now being investigated by the International Criminal Court for possible “crimes against humanity.”

Mr. Duterte, whose term ended in 2022, accused her of colluding with drug syndicates while she was Justice secretary, which led to charges of conspiracy to trade narcotics.

Two of the three cases against Ms. De Lima have been dismissed and she had sought bail in the one pending case on health grounds.

Ms. De Lima has insisted the charges against her were baseless and politically motivated.

The former senator was expected to walk out of prison later on Monday after paying bail of P300,000.

Human rights groups have accused Mr. Duterte of inciting deadly violence and said police murdered unarmed drug suspects and staged crime scenes on a massive scale during the campaign against illegal drugs.

Police always denied that, and Mr. Duterte had said police were under orders to kill only in self-defense.

Ms. De Lima is being tried in a third and last drug trafficking case. Her first drug case was dismissed in 2021 and the Ombudsman cleared her of bribery charges for lack of evidence last year.

‘ECHOES OF JUSTICE’
Another Muntinlupa trial court in May acquitted Ms. De Lima and her former aide in the second drug trafficking case. The court said the recantation by a former prison director who had testified against her created reasonable doubt.

European Union Ambassador to the Philippines Luc Veron said Ms. De Lima’s release is a “significant step for rule of law in the Philippines.” It’s a “positive turn in the pursuit of justice. I hope that resolution of the remaining charges will be accelerated,” he posted on X.

The European Union Parliament, some US lawmakers and United Nations human rights experts have long demanded the release of Ms. De Lima, who was detained as an opposition senator in February 2017 in what they say was political persecution by Mr. Duterte and his allies.

Former Vice-President Maria Leonor “Leni” G. Robredo said the court decision showed the drug allegations against Ms. De Lima have no basis.

Akbayan President Rafaela David said the ex-senator’s anticipated release “is not merely the unlocking of a prison cell but the opening of a gateway to renewed hope, where the echoes of justice resonate beyond the confines of imprisonment, reverberating through our country’s collective conscience.”

While justice has prevailed, “the pursuit of truth, justice and accountability continues,” she said, adding that Mr. Duterte and his minions “must face the consequences of their actions” for jailing Ms. De Lima.

Human Rights Watch welcomed the bail ruling.

“She never should have been unjustly prosecuted and detained by former President Rodrigo Duterte,” deputy Asia director Bryony Lau said in a statement.

She said the Duterte government had “concocted evidence and used the machinery of an abusive state to punish her for performing her duties as a senator and speaking out against the war on drugs.”

Senator Ana Theresia “Risa” N. Hontiveros-Baraquel said Mr. Duterte had targeted Ms. De Lima to serve as a warning to his critics. “That is evidence of the impunity that prevailed in the past years and even up to today,” she told a news briefing in Filipino.

Senator Mary Grace S. Poe-Llamanzares said seven years of being in jail is long and arduous. “Rich or poor, it is unjust to remain in prison for a long time due to the slow process of the law,” she said in a statement in mixed English and Filipino.

Political experts have said Ms. De Lima’s detention showed how the government had abused the justice system.

At least 6,117 suspected drug dealers were killed in police operations, according to data released by the Philippine government in June 2021. Human rights groups estimate that as many as 30,000 suspects died. — Norman P. Aquino and Jomel R. Paguian with Reuters

Philippines votes in favor of UN resolution berating illegal Israeli settlements

November 13, 2023 | 8:46 pm

By Kyle Aristophere T. Atienza, Reporter

THE PHILIPPINES has joined 144 nations in favoring a United Nations (UN) General Assembly resolution condemning Israeli settlements in the Occupied Palestinian Territory including East Jerusalem and the Syrian Golan.

The resolution, passed on Nov. 9, came after a UN committee held a hearing on “Israeli practices and settlement activities affecting the rights of the Palestinian people and other Arabs of the occupied territories.”

The US, a major security ally of the Philippines, along with six other countries including Israel, Canada, and Hungary rejected the resolution. Eighteen countries abstained.

“The Philippine vote represents a position that is consistent with our efforts of forwarding people-centric solutions in the face of critical humanitarian atrocities,” Don Mclain Gill, an international studies lecturer at De La Salle University in Manila, said in a Facebook Messenger chat.

The UN resolution cited an International Court of Justice decision saying that Israeli settlements in the Occupied Palestinian Territory have been “established in breach of international law.”

Israeli settlement activities involved the transfer of its nationals “into the occupied territories, the confiscation of land, the forced transfer of Palestinian civilians including Bedouin families,” according to the resolution.

The settlements also involved “the exploitation of natural resources, the fragmentation of territory and other actions against the Palestinian civilian population.”

There were Israeli actions against the civilian population in the occupied Syrian Golan that violated international law, it added.

The resolution urged UN bodies to take necessary measures regarding Israeli settlements and asked UN Secretary General Antonio Guterres to issue a report on the resolution at the next session.

The Philippines abstained from voting in an earlier General Assembly resolution that called for a humanitarian pause in Gaza, which has been bombarded by Israel after a surprise attack by Hamas militants that killed 1,400 Israelis on Oct. 7.

The Gaza Strip is one of the two territories occupied by Palestinians, the other being the West Bank. The two areas, along with East Jerusalem, came under Israeli occupation after the 1967 Arab-Israeli war.

The UN resolution is a “strong statement” that aims to advance the immediate cessation and further escalation of violence in the region and pushes for a “two-state” resolution, said Arjan P. Aguirre, who teaches political science at the Ateneo de Manila University.

“The only challenge here is that this international instrumentality has always been ignored and defied by powerful stakeholders and state actors who are for the status quo,” he said via Messenger chat. “This is not the first time that the UN and other Intergovernmental organizations have called for a peaceful and just resolution to the ongoing occupation and conflict in the region.”

Chester B. Cabalza, founder of Manila-based International Development and Security Cooperation, said the Philippines “should think well on how to play its card.” He urged the government of President Ferdinand R. Marcos, Jr. to “vote based on its strategic interests.”

House body approves bill regulating single-use plastics

November 13, 2023 | 8:45 pm

close-up-hand-holding-food-container-styrofoam — FREEPIK

By Beatriz Marie D. Cruz, Reporter

A HOUSE of Representatives committee on Monday approved a measure that seeks to regulate single-use plastics, identifying which plastics should be phased out in four years.

The House ecology committee approved the proposed Single-Use Plastic Packaging Regulation Act, which bans plastic products such as straws, stirrers and bags to reduce waste.

“These measures among other provisions basically identify some plastic products for regulation or phase-out,” said Santa Rosa City Rep. Dan S. Fernandez, who presided over the committee hearing. “These are aimed to provide an upstream solution to the problem of plastic waste.”

He said congressmen initially wanted to ban all plastic products but decided to just regulate plastic use because the ban would affect local industries.

Surigao del Norte Rep. Robert Ace S. Barbers reiterated his call to ban plastics. “We must take drastic measures to stop these plastics from being scattered all over our waterways,” he told the body.

The bill seeks to phase out in four years plastic plates and saucers, oxo-degradable plastics and film wraps less than 50 microns thick.

It also seeks to discontinue in one year the use of flexible drinking straws, stirrers, sticks for candy, balloons or cotton buds, buntings, confetti and packaging less than 10 microns thick.

Under the bill, the Environment department will determine which single-use plastics will be phased out every two years. It will also create a plan for phasing out plastic products.

The measure also requires commercial establishments to charge P5 for every single plastic bag used. They must also promote recyclable products and encourage customers to return used plastic products.

Henry Gaw, president of the Polystyrene Packaging Council of the Philippines, proposed not to phase out plastic plates and saucers because they can be recycled. He said the law requires companies to recycle plastic packaging waste.

“We regard this item highly recyclable and in fact, regarded as a value for money recyclables for the junk shop,” he told congressmen. The committee did not accept his proposal.

Mr. Barbers asked if plastic manufacturing groups could retrofit their machines to use recyclable plastic.

Philippine Plastic Industry Association, Inc. President Aaron Timothy Lao answered no, but said it is not “closing its doors” to biodegradable materials.

He also said plastic recycling companies help provide jobs.

Congressmen last year approved a separate measure that seeks to impose an excise tax of P100 per kilo on single-use plastic bags. It is still pending at the Senate ways and means committee.

Total solid waste creation in the Philippines is expected to balloon to 19.76 million metric tons by 2030 and to 24.5 million tons by 2045, the Commission on Audit said in a 2023 report on the country’s Solid Waste Management program.

Judiciary’s P57.79-B budget OK’d with pay upgrades, new positions

November 13, 2023 | 8:45 pm

By John Victor D. Ordoñez, Reporter

THE SENATE ended on Monday plenary debates on the proposed P57.79-billion budget of the Judiciary for next year, approving it along with the additional P2.25 billion for salary upgrades and the creation of new positions.

As the judiciary’s allocation from next year’s proposed P5.768-trillion national budget was settled, Senator Aquilino “Koko” D. Pimentel, III underscored the need for local courts to raise their case disposal targets and resolve aging lawsuits.

During the plenary session, Senator Juan Edgardo “Sonny” M. Angara, who chairs the Senate Finance Committee, said that based on Supreme Court (SC) data, Philippine trial courts resolved 98% of their case load or 235,000 cases out of 238,000 last year.

But Mr. Pimentel said: “Maybe it is about time that we increase the target figures for the other courts because we need to include different metrics since we still have a lot of pending cases.”

Driving his point, Mr. Pimentel cited as an example the prolonged illegal drugs case of detained former senator Leila M. de Lima who has been detained since February 2017. He also urged the SC to address instances when judges recuse themselves from politically charged cases.

“The Supreme Court should also look into the phenomenon of judges inhibiting from cases. This rule should be strictly enforced, and judges need to be able to handle politically loaded cases,” said Mr. Pimentel.

Last June, Muntinlupa Regional Trial Court Branch 256 Judge Romeo S. Buenaventura inhibited himself from trying Ms. De Lima’s last drug case, a decision he voluntarily made because it turned out that his lawyer-brother, Emmanuel S. Buenaventura, had previously assisted the ex-senator’s co-accused and former driver, Ronnie Dayan, in executing his affidavits against her.

For his part, Mr. Angara noted that the SC has been closely monitoring cases in which judges are deciding to stop handling cases.

“There’s clearly an effort on the part of the Judiciary to dispose of their cases,” he said, adding that the SC had ordered lower courts to fast-track the resolution of aging cases.

Colombian envoy visits camp

November 13, 2023 | 8:45 pm

Marcela-F.-Ordoñez — COLOMBIAN Ambassador to the Philippines Marcela F. Ordoñez gets a rousing welcome from soldiers, businessmen and local government officials as she visited former Moro rebel stronghold, Camp Iranun, in Barira, Maguindanao del Norte last Nov. 9, giving the Mindanao peace process an extra boost. — JOHN FELIX M. UNSON/CORRESPONDENT

COTABATO CITY – Business blocs struggling to make Maguindanao del Norte attractive to foreign investors said on Monday that Colombian Ambassador Marcela F. Ordoñez’s visit to Camp Iranun — once known as the Moro Islamic Liberation Front’s stronghold Camp Abubakar — has sparked enthusiasm.

They said her visit last Thursday to the camp, now under state control, symbolizes the Bangsamoro region’s shift from conflict to governance and sends a message to investors abroad that it is now safe to put up agricultural projects in the surrounding hinterlands.

During her visit, Ms. Ordoñez engaged in dialogues with the Philippine Navy’s 1^st Marine Brigade on cooperation for integrating former Moro combatants into mainstream society. The collaborative project with the Embassy of Colombia, tagged as “Strengthening Institutional Capacities in Reincorporation and Normalization,” draws from Colombia’s successful experience in resolving decades-long rebellions.

The visit’s impact on Maguindanao del Norte’s business climate was hailed by regional officials, including Local Government Minister Naguib G. Sinarimbo and Bangsamoro Regional Board of Investments Chairman Mohammad O. Pasigan, who expressed optimism for positive outcomes in line with the Mindanao peace process.

“We are thankful to Colombian Ambassador Marcela Ordoñez for visiting Cotabato City and the brigade headquarters of the Marines for an activity good for the Mindanao peace process,” Minister Sinarimbo, also Bangsamoro regional government spokesman, told BusinessWorld on Monday.

Meanwhile, lawyer-entrepreneur Ronald Hallid D. Torres, who heads the Bangsamoro Business Council, said the ambassador’s visit can highlight the investment potential in Iranun-dominated areas.

He also stressed the camp’s historical significance, noting that Ahod B. Ebrahim, once an MILF rebel leader at Camp Abubakar, now serves as the appointed chief minister of the Bangsamoro

Autonomous Region in Muslim Mindanao. — John Felix M. Unson