Home Blog Page 2828

National Football League sets meetings with private equity groups

THE NATIONAL Football League (NFL) will meet with private equity firms this week as it considers changing its policy about institutional funds being able to own teams, Sportico reported Monday.

The league will conduct one meeting with Arctos Partners and another with a group featuring Blackstone, Carlyle, CVC and Dynasty Equity, the report said. The list of firms also reportedly interested in NFL ownership includes Apollo, Ares and Sixth Street.

The NFL is the only major North American sports league that prohibits private equity ownership in a franchise. The NBA, NHL, Major League Baseball and Major League Soccer all limit their teams to selling no more than 30 percent of equity to a fund. Sportico reported that the NFL is looking at 10 percent as a potential cap. The most recent NFL team to be sold was the Washington Commanders, a record-breaking $6.05-billion transaction. With team valuations on the rise, private equity could be an alternative avenue for franchise sales in the future.

The NFL formed a committee last year to explore changing its rules governing ownership, with Clark Hunt (Kansas City Chiefs), Jimmy Haslam (Cleveland Browns), Arthur Blank (Atlanta Falcons), Greg Penner (Denver Broncos) and Robert Kraft (New England Patriots) serving on the committee. — Reuters

Golden thriller

In retrospect, perhaps the women’s basketball championship set-to in the Paris Olympics was supposed to go the way it did — with the United States on one side and France on the other. Much was certainly at stake. Heading into the encounter, one team (of red, white, and blue) carried with it a 60-match, seven-Gold streak. Meanwhile, the other squad (also of red, white, and blue) was buoyed by both host-nation pride and a desire to reverse the outcome in the final of the Tokyo Games. Even the big picture — as to which country would emerge on top of the medal tally — depended on the outcome.

To be sure, not a few observers found themselves reeling from the low-scoring affair. Although 24 of the world’s best players were on tap, making baskets appeared to be a challenge. On one hand, the defense was admittedly stellar; as had been the case in other FIBA tournaments outside of the 20,300-strong Bercy Arena over the last fortnight, the referees saw fit to hold loose whistles. On the other, it seemed as if the moment proved too big even for supposed stalwarts; poor execution, uncharacteristic misfires, and sloppy turnovers led to a depressed (and, yes, depressing) 25-25 score at the half.

Fortunately, the contest picked up in the last two periods. The best of the best finally got to separate themselves from the rest. For the US, A’ja Wilson, Napheesa Collier, and Kahleah Copper got going. For France, Gabby Williams, Valeriane Ayayi, and Marieme Badiane aimed to keep pace. And back and forth the momentum went, leading to a spirited fourth quarter that had four ties, two lead changes, and an advantage that did not go higher than five points either way.

Considering how close the battle was, it’s fair to argue that breaks decided the victor. As the clock ticked to zero, the US celebrated with relief, preserving its reign at the top of the sport via the slimmest of margins. It narrowly avoided overtime, with Williams literally a foot away from having her buzzer-beating heave counted as a three instead of a two. That said, France may not have needed to rely on heroics to stay alive had previous offensive forays not been wasted on ill-advised trey attempts — five consecutive, to be precise, that could have been used on closer tries instead.

The middling manner in which the title tiff unfolded precludes its replay value, but there can be no denying the effort and desire to win of all those who burned rubber. Through all the poor coaching choices by both the US and France, the players managed to lay everything on the line. And, in the final analysis, fans have no right to ask for more.

 

Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is a consultant on strategic planning, operations and human resources management, corporate communications, and business development.

War is not in anyone’s interest, UK PM tells Iran

Israeli and Iranian flags are seen in this illustration taken, April 24, 2024. — REUTERS/DADO RUVIC/ILLUSTRATION

LONDON — British Prime Minister (PM) Keir Starmer held a call with Iranian President Masoud Pezeshkian on Monday, asking him to refrain from attacking Israel and saying that war was not in anyone’s interest, the prime minister’s office said.

Mr. Starmer spoke with Mr. Pezeshkian as part of de-escalation efforts to ease tensions in the Middle East. Recent killings of Hamas leader Ismail Haniyeh in Iran and Hezbollah military commander Fuad Shukr in Beirut have drawn threats of retaliation against Israel.

According to Sky News, which first reported the story, the phone call lasted for 30 minutes and took place after the British premier spoke with US President Joseph R. Biden and other European allies earlier on Monday.

Mr. Starmer told Mr. Pezeshkian he was deeply concerned by the situation in the Middle East and called on all parties to de-escalate to avoid further regional confrontation. “There was a serious risk of miscalculation and now was the time for calm and careful consideration,” 10 Downing Street cited Mr. Starmer as saying, adding he underlined his commitment to an immediate ceasefire, the release of all hostages and increasing humanitarian aid to Gaza.

The focus should be on diplomatic negotiations, Mr. Starmer said.

The leaders agreed that a constructive dialogue between the two nations was in both countries’ interests.

But Mr. Starmer told Mr. Pezeshkian that a dialogue between the two could only be furthered if Iran ceased its “destabilizing actions,” including threats against individuals in Britain and if it stopped aiding Russia’s invasion of Ukraine. — Reuters

Polish billionaire plans to sue Meta over fake advertisements

BYCGZR-FREEPIK AND RAWPIXEL.COM-FREEPIK

WARSAW — Polish billionaire Rafal Brzoska and his wife plan to sue Meta over fake advertisements on Facebook and Instagram that feature his face and false information regarding her circulating on the social media platforms.

Mr. Brzoska said they have not yet decided on a jurisdiction to file the planned lawsuit, which would be another in a series of attempts globally to hold the internet giant accountable for ads that keep appearing even after users inform the company about problems.

A Meta spokesperson said the company removes false ads from its platforms when it learns about them, and works with local authorities to battle scammers.

Mr. Brzoska, creator of Polish parcel locker company InPost, said he notified Meta of the problem beginning of July, but it failed to find a solution.

“We plan to file a private lawsuit against Meta… We have not yet determined in which jurisdictions we will sue Meta. We will decide in the next few weeks,” Mr. Brzoska told Reuters.

“…we are considering absolutely all scenarios, including a lawsuit in the United States if there is inaction in Europe,” he added.

Mr. Brzoska said he and his wife would demand that Meta stop benefiting from the promotion of content that violates their rights and a large compensation donated to a charity, adequate to the level of advertising revenues from spreading this type of disinformation.

Last week the President of the Personal Data Protection Office obliged Meta Platforms Ireland Limited to stop the display of false advertisements using real data and the images of Mr. Brzoska and his wife on Facebook and Instagram in Poland for three months.

“Scammers use every platform available to them to defraud people and constantly adapt to evade getting caught. Scam content breaks our rules and we remove it when we find it,” a Meta spokesperson said in an e-mailed statement, adding the company was assessing the office’s decision.

“We also partner with businesses, local administrations and law enforcement to defeat these committed criminals.” — Reuters

Cull or caution: Australia weighs tactics to thin crocodile numbers

EN.WIKIPEDIA.ORG

DARWIN/SYDNEY — A mottled yellow-green and brown saltwater crocodile lies mostly submerged in the muddy waters of an Australian river, only its ochre eyes visible above a triangular snout as it scans for prey.

When just such a reptile killed Charlene O’Sullivan’s daughter 15 years ago, her first thought was that every one of the predators should be killed or caught around her home city of Darwin, to spare others from similar heartbreak.

Now she prefers a less drastic safety measure: education.

“I initially probably supported removing every crocodile,” said Ms. O’Sullivan, whose daughter Briony was 11 when she was taken while swimming with friends at a waterhole in 2009.

“But you remove one crocodile from a creek or a waterway, another one’s just going to move in,” the former real estate agent said.

“We need to respect the environment we’re in, know they are there, and think smart about what sort of situation you put yourself in.”

Ms. O’Sullivan’s change of heart is emblematic of a growing debate in Australia’s tropical north, where unrestricted hunting nearly eradicated “salties” by about 1970, only to have strict conservation rules drive up their numbers ever since.

Now authorities are making tentative efforts — from more proactive messaging to physical removal of animals — to reduce the frequency of attacks, after 18 nationwide since the start of 2023, five of them fatal, database CrocAttack shows.

But they need to do that without threatening the survival of a species enmeshed with the economy and identity of the Top End, becoming a key part of the Northern Territory’s A$1.5-billion ($980-million) tourism industry.

In the past two months, crocodiles have killed an Aboriginal girl in the Northern Territory and a doctor in the neighboring state of Queensland.

But even a modest culling quota, unveiled in April, has rattled conservationists, Aboriginal elders and owners of tourism businesses.

The government wants to rid the territory of 1,200 reptiles each year from an estimated population of 100,000, to keep numbers where they were before a free-for-all by hunters drove them below 3,000 in the period from World War II to the 1970s.

Queensland, estimated to be home to 30,000, raised the stakes this year by saying it would try to keep the animals away by shooting them with non-fatal rubber bullets.

It demurred from a recommendation by its chief scientist three years earlier to consider catching or killing larger animals.

Allowing crocodiles free rein would lead to deaths, said Hugh Possingham, the former Queensland chief scientist, whose 2021 study targeted animals longer than 2.4 m (8 ft).

“Wiping all the crocodiles out is ridiculous as well,” he added. “You’re between a rock and a hard place.”

Conservation authorities in Western Australia, home to several thousand saltwater crocodiles, ruled out culling, said a spokesperson, adding there was no scientific evidence that it reduced the risk of attacks.

BITING BACK
But for the Northern Territory, the setting of Australia’s top-grossing movie,  Crocodile Dundee, and with the world’s highest ratio of saltwater crocodiles to people, awareness campaigns alone no longer suffice, the government says.

The 250,000 people who live there could soon be outnumbered by the animals, whose numbers have exploded by 3,000% in 50 years, it says.

That rankles those who work and live near crocodiles.

“The new Northern Territory plan is entirely unnecessary, wasteful and potentially dangerous,” said Brandon Sideleau of Charles Darwin University, who started the CrocAttack database.

It could even bring increased attacks, if it led the public to believe that areas previously off-limits were safe, he added.

“If it hasn’t got tiles on the bottom of it, don’t swim in it,” is the advice Tony Blums, owner of the Original Adelaide River Jumping Crocodile Cruises, gives to visitors, adding that better public education would save more lives than culls.

Tibby Quall, an Aboriginal elder of the Dungalaba, or saltwater crocodile, clan, also opposed culling.

“It’s something you live with, something that’s cemented to your culture, who you are and what you are,” he said.

Ms. O’Sullivan, who with her partner now runs a crocodile farm that breeds thousands of the animals for meat and skins, says the venture has helped her to better understand and respect the predator that took her daughter’s life.

“I don’t for a moment blame the animal for what happened,” she said. “It’s an animal, Briony was in the waterway, the animal did what the animal does.” — Reuters

AIA Philippines launches product to serve retirees and senior citizens

AIA Philippines, formerly Philam Life and one of the country’s largest life insurance companies, recently launched a new product ideal for those who are starting to save for their retirement later in life. Whether their goal is to secure oneself or to have a guaranteed sum passed down to their loved ones, the life insurer’s new offering provides protection as one gets older. 

“There is a commonly held notion that, beyond a certain age, it’s too late to get insurance,” shares Melissa Henson, Chief Marketing Officer at AIA Philippines. “We want to change that mindset. It’s never too late to start prioritizing yourself and your family, especially with a product like AIA A-Life Prime.”

Financial security for today and tomorrow

AIA A-Life Prime, a product payable in just two years, benefits for both plan holders and their families, standing as a valuable solution to aid the country’s growing number of nearly 10 million senior citizens. At the end of the second year, policy owners will start receiving cash payouts equal to 10% of their policy’s face amount, especially advantageous for those in retirement. These will be given out every other year, providing assurance of regular disbursements to cover expenses or act as savings. AIA A-Life Prime can be purchased by individuals up to age 70, and provides coverage until the Insured reaches the age of 100.

On top of the payouts, there is opportunity to receive more cash benefits through potential bonus dividends, which, while not guaranteed, can serve as additional funds when available. There is also a death benefit amounting to 200% of the plan’s face amount, or the total premiums paid less the cash payouts released (whichever is higher at the time of claim). For  policyholders who reach age 100, a lump sum maturity benefit of 200% of the face amount will be given.

“The need for protection is constant, so it is important for us to ensure that we make our products accessible to customers at any life stage,” adds Ms. Henson. “We aim to be with our customers wherever life goes, so they can have the peace of mind needed to live healthier, longer, better lives.”

Those interested in availing an AIA A-Life Prime plan can contact an AIA Life Planner or visit the AIA Philippines website for more information.

 


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

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

Public transportation projects focus on providing commuter convenience – DOTr

Commuters ride the Light Rail Transit (LRT) Line 1 in Manila in this photo taken on July 30, 2023. — PHILIPPINE STAR/MIGUEL DE GUZMAN

Convenience of commuters is one of the main goals of public transportation and infrastructure projects, Transportation Secretary Jaime J. Bautista said. 

“Much of our focus is ordinary commuters who rely on public transport,” Mr. Bautista said on August 9. 

He added that the Department of Transportation (DOTr) focuses on managing the construction of transport projects from railways, airports, seaports, and road infrastructures.  

The Ninoy Aquino International Airport (NAIA) rehabilitation, the North-South Commuter Railway (NSCR), and the Metro Manila Subway were some of the ongoing projects of the DOTr. 

Light Rail Transit Line 1 (LRT-1) Cavite Extension, the Metro Rail Transit Line 7 (MRT-7), and the rehabilitation and maintenance of the MRT-3 are also in progress.  

“With these various public transport infrastructures and projects, passengers will enjoy a comfortable, accessible, safe, sustainable, and affordable commuting experience,” the DOTr said in a press release. 

 

North-South Commuter Railway 

Clark depot of the North-South Commuter Railway (NSCR) Extension Project has substantial progress, the DOTr said. 

The Clark depot is part of the 35-station NSCR system that will operate from Clark International Airport to Calamba, Laguna.  

Involved in the developments was the ongoing construction of buildings and facilities, including the Operations Control Center (OCC) and Workshop Building for major train maintenance. 

The mega-railway project consists of three phases: the Malolos to Tutuban portion, the North extension from Malolos to Clark, and the South Commuter Railway from Bluementritt to Calamba. 

“The northern part of the NSCR project is more than 60% complete, the stations are about 90% complete and we expect partial operations in maybe less than two and a half years from now,” Philippine National Railway (PNR) Chairman Michael Ted R. Macapagal told BusinessWorld in an interview last July 31. 

The NSCR project aims to serve 800,000 passengers in its first year of operations and lessen the travel hours from Pampanga to Laguna by two hours. Almira Louise S. Martinez

 

Southwest Monsoon to intensify even as Ampil heads to Japan

source: PAGASA

The tropical storm that exited the Philippine Area of Responsibility (PAR) on Monday, now with international name called “Ampil,” is expected to intensify the Southwest Monsoon (Habagat), causing rainfall in western section of Luzon and Visayas region, according to the state weather bureau. 

“So malayo siya eh outside of PAR, kaya lang ‘pag may ganito tayong system ang nangyayari nahahatak yung Soutwest Monsoon, so itong Western section maulan, [It is far from the PAR, but when we have a system like this, it pulls the Southwest Monsoon that will cause rain fall in the Western section],” Rosalie Pagulayan, weather specialist of the Philippine Atmospheric Geophysical and Astronomical Services Administration (PAGASA) said in an interview.  

In a weather forecast by PAGASA, areas in Luzon, primarily the western section including the Ilocos Region, Zambales, Batanes, and Babuyan Islands are expected to experience cloudy skies with scattered rain and thunderstorms. 

Meanwhile, Metro Manila, the rest of Luzon, Western Visayas, and the Negros Island Region are expected to have partly cloudy to cloudy skies with isolated rain showers or thunderstorms. 

According to a report from PAGASA on Tuesday, the tropical storm is situated 1,570 km East-Northeast of extreme Northern Luzon (23.5°N, 136.8°E) and is expected to move further towards Japan. 

“Mukang hindi na (papasok sa PAR) kasi ang kanyang movement ay northeast eh, so kung nandon na siya outside PAR tapos northeast pa siya so parang away siya from the country [It seems like it will not enter the PAR anymore because its movement is toward the northeast. So, if it’s already outside the PAR and moving toward northeast, it is moving away from the country],” Ms. Pagulayan said.  

Ms. Pagulayan urges the public not to be complacent, as rain showers and thunderstorms will continue to affect the country until the Southwest Monsoon ends in October and transitions to the Northeast Monsoon (Amihan). – Edg Adrian A. Eva

Extreme heat poses new challenge for aid agencies in Gaza

PALESTINIANS wait to receive food cooked by a charity kitchen amid shortages of food supplies in Rafah in the southern Gaza Strip, Jan. 16, 2024. — REUTERS

 – In Gaza, the sky is full of menace. As well as the missiles that rain down on schools and shelters, the brutal rays of the sun have made the summer unbearable for those struggling to survive in a ravaged landscape of ruins and rubble.

Samaher al-Daour sometimes wishes she had been killed in the early days of the Israel-Hamas war rather than have to watch her son, who lost a leg during the conflict, endure the unbearable heat.

“The situation is horrible,” said Ms. Daour, 42, as she sat beside her 20-year-old son Haitham in their sweltering tent in the southern city of Khan Younis in June.

“During the day, it is incredibly hot inside and outside the tent,” she said in a telephone interview. “We go to the sea but it is still very difficult.”

Haitham lost his leg in February during an Israeli airstrike on a school run by the United Nations Relief and Works Agency for Palestinian Refugees (UNWRAin the Maghazi refugee camp in the central Gaza Strip.

Now the stifling heat is denying him the rest he needs to recover his strength. He sweats all the time and this is irritating his leg and making it swell.

“He is suffering because of this,” said Ms. Daour.

After 10 months of war, almost all of Gaza’s 2.3 million people are displaced. They live in tents or overcrowded shelters, and there is almost no electricity and little clean water.

Hungry and weak, they cannot shower and struggle to sleep in their boiling shelters. In the heat, food is rotting, drawing insects and flies to crowded camps where people, who have been forced to flee again and again, now risk heatstroke and other heat-related diseases.

Since April, Gaza has experienced several periods of extreme heat, with temperatures reaching around 40 degrees Celsius (104 degrees Fahrenheit) during that month. Temperatures throughout August reached an average high of 34 C (93 F), according to US private forecaster AccuWeather.

In late June, the World Health Organization said scorching heat could exacerbate health problems for the millions of displaced, warning that a public health crisis was looming due to the lack of clean water, food and medical supplies.

The heat is also making things more difficult for aid agencies, already hamstrung in their work by the airstrikes, fighting and ravaged infrastructure.

“It would be fair to say that the majority of humanitarian responders, including donors … have not really considered the threats of heat and extreme heat,” said Paul Knox Clarke, principal at ADAPT, a climate and humanitarian initiative.

“The horrors” humanitarian organizations address in crises, he said, often take up too much bandwidth and prevent them from tackling additional challenges, like adapting to the effects of climate change during relief operations.

“It is not unprecedented, but it’s not part of the normal playbook,” he said.

“It has been complicating everything,” said Prabu Selvam, medical officer for the Americares relief agency, adding that the transport of medicines that need to be kept cool was proving particularly challenging.

Because of Israeli restrictions, aid trucks often spend hours under the sun, waiting for clearance.

“Of course, it is going to impact the communities, because often the cold chain medicines are the ones that are most critically in need,” Mr. Selvam said.

 

NEW CHALLENGE FOR AID AGENCIES

Nearly 40,000 people have been killed and around 92,000 wounded since the Israeli army began its assault on Gaza, according to the Palestinian health ministry.

Israel launched its offensive after Hamas-led militants stormed into Israel on Oct. 7, killing around 1,200 people and taking around 250 hostages, according to Israeli figures.

The offensive has laid waste to homes, schools and vital infrastructure such as hospitals and clinics.

Israel has severely restricted the flow of food and aid into the Strip and humanitarian agencies have been warning of the risk of famine.

Now, the summer’s extreme heat has added another layer to the suffering. Recent years have seen a series of lethal heatwaves strike the Mediterranean region and scientists say climate change is driving these dangerous heatwaves.

Save the Children is already adapting its operations in Gaza, said Fadi Dweik, a climate resilience expert at the charity.

Usually, the agency would focus on delivering mental health services and educational support as a first response, Mr. Dweik told the Thomson Reuters Foundation.

But now, it has prioritized delivering water and sanitation services and nutrition and health support.

“The conflict made us think of details and apply alternatives we had not thought of before,” Mr. Dweik said. “For the first time the environmental factors are a priority because we cannot ignore them despite the war and destruction that exists.”

The heat is not something Sabah Khames can ignore either.

The 62-year-old fled her home in Rafah close to the Egyptian border in May and now lives in a tent with 18 other relatives.

“The tent is a cramped caravan constructed entirely of sheet metal. It is like a sauna inside,” she said in a phone interview.

“Sometimes, I can barely catch my breath.” – Reuters

Overseas investors turn bearish on Japanese equities after brutal sell-off

PEOPLE walk on Shibuya crossing in Tokyo, Japan on April 23, 2021, in this photo taken by Kyodo. — KYODO/VIA REUTERS

 – Global investors are turning bearish on once-favored Japanese stocks following last week’s turbulence as they reassess economic prospects and the viability of yen-funded trades.

Using cheap yen to buy stocks on the Nikkei was a hot trade until this month. The Nikkei index had doubled since the start of 2023, and a tumbling yen had boosted returns for investors and companies.

That trade is being turned on its head by sudden volatility in the Japanese yen, Bank of Japan (BOJ) rate rises, doubts around Japan Inc.’s earnings and worries the US economy is stalling.

The CSOP Nikkei 225 Daily Double Inverse exchange-traded fund – the only ETF outside Japan that allows bearish bets against the Nikkei index – saw a surge in its trading volume during the week ended Aug. 9.

Average daily turnover on the Hong Kong-listed product reached nearly HK$20 million ($2.57 million), a 20-fold increase from previous week’s roughly HK$1 million per day and the highest since its launch in May this year.

Investors are also exiting direct exposure to Japan.

Global hedge funds dumped Japanese equities at the fastest pace in more than five years during the Aug. 2 to Aug. 8 week, Goldman Sachs said, and even some long-term investors have started cutting exposure.

The BOJ’s quantitative tightening and a strong yen will be headwinds for Japanese stocks, said Ben Bennett, head of investment strategy for Asia at LGIM, a London-based asset management giant.

The firm’s multi-asset funds had turned underweight Japanese equities before last week, he said, adding they maintained that weighting after the volatile week.

Japanese stocks had their worst one-day sell-off since 1987 last Monday. Fears of a US recession and a surprise rate hike in Japan triggered a massive unwinding of billions of dollars of a popular yen carry trade that was financing the purchase of risk assets, including Japanese equities.

While the actual size of the unwinding remains uncertain, some analysts warn it has room to go, given expectations of yen appreciation and a spike in the CBOE Volatility Index.

The yen has surged from around 162 per dollar in mid-July to roughly 142 per dollar last Monday, its strongest level in seven months.

“One of the drivers of upside in Japanese equities is going to phase out,” said Carlos Casanova, senior economist for Asia at Swiss asset manager UBP, referring to yen carry trades.

“Now we need to see an improvement in fundamentals, meaning that you need to see upward revisions in earnings. And that’s not going to happen unless we see a recovery in the domestic economy,” he said.

UBP has recently exited some positions in Japanese equities and now holds a neutral view.

Zuhair Khan, Tokyo-based senior portfolio manager at UBP, said it was getting tougher to trade the Japanese market as the US interest rate cut path and the yen had both become harder to predict.

Markets, meanwhile, are waiting for data due this week on Japanese second-quarter economic growth and US inflation.

“No one wants to act rashly now,” said Steven Leung, a Hong Kong-based executive director at UOB-Kay Hian. “Investors need to wait for important figures this week to draw a more informed conclusion about whether the sell-off in Japanese stocks is over.” – Reuters

US, Japan keen on $15B Philippine projects as ties grow

FREDERICK GO — CECILIA YAP/BLOOMBERG

The US and Japan are very interested to help fund at least $15 billion worth of projects on the Philippines’ main island, in signs that enhanced security ties are leading to greater economic benefits, according to President Ferdinand Marcos Jr.’s investment czar.

The three nations will prioritize five major projects in the Luzon Economic Corridor plan which may well turn out to be Marcos’ flagship investment program, said Secretary Frederick Go who advises the president on the economy. The list includes a cargo rail linking Luzon’s major ports estimated at $11 billion and a renewable energy project, he said.

“We are reaping the benefits of closer defense ties with the US and other allies in terms of promoting investments,” Mr. Go said in an interview Monday. The UK is also interested in helping fund projects in the corridor, he added.

The Philippines, which lags neighbors in attracting overseas investments due to infrastructure gaps and friction costs, is seeking to leverage stronger ties with the US and its allies under Mr. Marcos to help unlock economic benefits. The push comes as competition in the region intensifies, with Washington and other Western nations aiming to diversify supply chain sources and reduce their exposure to China.

The plan to reinvigorate Luzon, the country’s main economic engine where the capital sits, was unveiled after US President Joe Biden met with leaders from Japan and the Philippines in April. The three allies are bolstering economic ties as their defense relations grow in the face of Beijing’s assertiveness in the region.

The Philippines’ alliance with the US is expected to remain strong whoever wins the presidential race in November, Mr. Go said. The goal is to start the five Luzon corridor projects during Mr. Marcos’ term which ends in 2028, he added.

Faster gross domestic product growth, possibly exceeding 7% annually is achievable in the next four years, said Mr. Go, as Mr. Marcos aspires to shift the economy from being consumption-led to one that’s driven by investment.

Catching up with neighbors in terms of investments has eluded many Philippine presidents. What’s different this time around, according to Mr. Go, is that the administration is capitalizing on Mr. Marcos’ foreign policy agenda to benefit the economy. Part of Mr. Go’s task is to provide the follow-through that’s needed to ensure that investment pledges actually materialize.

“This is why I’m focusing on improving ease of doing business and reducing the cost of doing business because they are the key pillars to realizing an investment-led growth,” said Mr. Go, who was president of Robinsons Land Corp. before taking on the government post.

Some early signs are promising. There’s $1 billion in investment commitments from American businesses during a Biden-initiated trade mission in March. The nation also recently opened up more sectors for foreigners, including renewable energy. GDP expanded 6.3% last quarter, among the highest in Southeast Asia, as investments grew by double digits.

Yet other growth drivers have been shaky, with consumption posting the slowest post-pandemic growth in the first two quarters and government spending hampered by limited fiscal space. Signs of strain in the economy are putting the onus on Mr. Marcos to lure more investments. 

One bright spot for investments is the “Create MORE” bill which seeks to reduce corporate income taxes and put policies including incentives at par with neighbors. 

Mr. Go is paying special attention to the electronics and semiconductor sector as it accounts for the country’s biggest goods exports. He’s hoping that “Create MORE” will usher in more investments in that area.

“We have to play in a field where we are good at,” he said. “At the same time, we should benchmark ourselves with the best in the world to become more competitive,” he said. — Bloomberg 

Philippines calls Chinese air force actions over Scarborough Shoal ‘coercive, aggressive, deceptive’

PHILIPPINE STAR/EDD GUMBAN

 – The Philippine Navy said on Tuesday last week’s actions by the Chinese air force over the disputed Scarborough Shoal in the South China Sea were “coercive, aggressive and deceptive”.

The Philippines has been incensed by what it saw as a dangerous maneuver by two Chinese aircraft, which it said dropped flares in the path of its military aircraft while conducting a routine patrol over the contested shoal on Thursday.

The actions had no place in the international arena, which is governed by international law, Rear Admiral Roy Vincent Trinidad told a briefing, adding China’s conduct raised the risk of untoward incidents.

China, which also claims sovereignty over the shoal, has disputed that saying it acted in a professional and legal manner.

The Scarborough Shoal, a prime fishing patch with a lagoon that provides shelter for vessels during storms, is one of Asia’s most contested sites, located inside the Philippines‘ exclusive economic zone but occupied by China for more than a decade.

The incident is the latest flare-up between the Philippines and China after more than a year of heated rows over disputed areas of the South China Sea, as U.S. ally Manila infuriates Beijing by stepping up its efforts to assert itself.

In a separate briefing, the Philippine foreign ministry said a provisional agreement on resupply missions for its troops at the Second Thomas Shoal was subject to review, but did not provide a reason for the review.

The two countries came to an arrangement last month after multiple standoffs at the shoal, where the Philippines in 1999 intentionally grounded a navy vessel and maintains a small contingent of troops to prop up its claim to sovereignty. – Reuters