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Addressing teaching quality is first job in reforming education, says World Bank

PHILSTAR FILE PHOTO

THE GOVERNMENT needs to focus on improving teaching quality and make up for school days lost to weather disturbances as the immediate priorities in improving literacy and educational outcomes, the World Bank said.

“I would think that the low-hanging fruit (include) focusing on the quality of the teaching profession,” according to Zafer Mustafaoğlu, World Bank country director for the Philippines, Malaysia, and Brunei.

At a briefing on Wednesday, Mr. Mustafaoğlu was responding to a query by Secretary Arsenio M. Balisacan of the Department of Economy, Planning, and Development, who noted the “sad state” of literacy in the Philippines.

According to the 2024 Functional Literacy, Education, and Mass Media Survey, about 90% of Filipinos aged five years or older were found to have had a basic standard of literacy.

Mr. Mustafaoğlu said: “We have to look at the overall teaching system, teaching methods, and again, one important part is class size and the continuity of schooling days,” he said.

In November, the World Bank approved a $500-million package to finance the construction of climate-resilient schools in a program known as the Infrastructure for Safer and Resilient Schools Project.

Mr. Mustafaoğlu added that the government should also address the school days lost to excessive heat or flooding.

About 53 teaching days were lost in school year 2023-2024 as teachers performed non-teaching tasks and also due to climate-related disruptions, according to a preliminary finding from the Second Congressional Commission on Education and the Philippine Institute for Development Studies.

In a report last year, the World Bank said education systems in lowest-income countries remain the most vulnerable to the climate crisis with 18 school days lost annually on average, compared to 2.4 days in wealthier nations. — Aubrey Rose A. Inosante

NGCP notified of ERC decision on rate reset, still awaiting copy

THE National Grid Corp. of the Philippines (NGCP) said it is taking a “wait-and-see” approach to the fifth rate reset round as it has yet to receive a final copy of the regulator’s review of the fourth regulatory period (4RP).

“The fifth regulatory period is delayed. It has been filed with the ERC (Energy Regulatory Commission), and we await that,” NGCP Spokesperson Cynthia P. Alabanza said in a briefing on Wednesday.

“Then, perhaps after that regulatory period, for the sixth, perhaps we can start considering it as forward-looking. But we do plan to make the appropriate filings for the sixth regulatory period which will begin in 2028,” she added.

Last month, the ERC said that it has completed the deliberations on NGCP’s 4RP, covering the 2016 to 2022 period.

However, Ms. Alabanza said that the grid operator has only received a notice of the decision and not the official copy.

“We need to assess the issuance as a whole to be able to see whether that will be supportive of the infrastructure requirements of the country or not,” Ms. Alabanza said.

Hearings are ongoing for the 5RP, covering 2023-2027, she said.

Under the Electric Power Industry Reform Act, the ERC is tasked with establishing a methodology for setting transmission and distribution wheeling rates. The rates must be set in a way that allows the recovery of “just and reasonable costs and a reasonable return on rate base” to enable the entity to operate viably.

The rate reset process is usually a forward-looking exercise that requires the regulated entity to submit forecast expenditures and proposed projects over a five-year regulatory period. The ERC assesses the actual performance of the entity and adjusts rates as needed.

Julius Ryan D. Datingaling, head of business and regulatory development at NGCP, said average transmission rates declined 28.45% to P1.0904 per kilowatt-hour (kWh).

Ancillary services charges decreased 36.07% to P0.5175 per kWh, while transmission wheeling rates — what NGCP charges — fell 16.35% to P0.4605 per kWh.

“For the May 2025 electric bill of the end consumers, NGCP charges only 46 centavos per kWh for the delivery of its services,” Mr. Datingaling said. — Sheldeen Joy Talavera

John Hay Mile Hi property offered for redevelopment

FACEBOOK.COM/CAMPJOHNHAYPH

THE Bases Conversion and Development Authority (BCDA) said on Wednesday that it is auctioning a lease and redevelopment contract for the 6,647 square-meter Mile Hi commercial center in Camp John Hay.

“This strategic redevelopment of Mile Hi underscores our commitment to unlocking the full potential of Camp John Hay,” BCDA President and Chief Executive Officer Joshua M. Bingcang said. 

“By attracting private sector investment and creating new commercial opportunities, we are not only enhancing the camp’s appeal as a premier destination but also generating employment and stimulating economic activity,” he added.

The project covers the redevelopment of the property into an “eco-hostel with upscale retail and dining spaces.”

“The 25-year lease agreement allows for the restoration, renovation, and upgrading of the Mile Hi property into a modern commercial hub while preserving its historical essence and promoting environmental sustainability,” the BCDA said.

“This initiative is projected to attract a significant influx of tourists and further solidify Camp John Hay’s position as a leading leisure destination,” it added.

After issuing the terms of reference and bid documents on Wednesday, the BCDA said the pre-bid conference has been scheduled for May 19.

The deadline for submission of eligibility documents and financial proposals is June 19, and a Notice of Award is expected to be issued by July 28.

The signing of the lease contract is scheduled for 30 days after the issuance of the Notice of Award.

“The Mile Hi project builds on the BCDA’s strong track record in Camp John Hay, where over P1 billion in investments has been generated since the property’s recovery,” the BCDA said. — Justine Irish D. Tabile

Vietnam cracks down on IP theft, transshipment amid US tariff talks

REUTERS

HANOI — Vietnam’s Prime Minister Pham Minh Chinh on Wednesday urged the country’s anti-counterfeit task force to devise new ways to fight fake goods, trade fraud and smuggling, the government said in a statement.

The pledge came as Vietnam is in talks to avoid crippling US tariffs, offering Washington multiple measures to address longstanding concerns, including on intellectual property (IP) breaches and transshipment of Chinese goods through the country.

Internal documents reviewed by Reuters showed the government last month instructed officials to step up the fight against counterfeits, digital piracy, and the transshipment of Chinese goods to the US, which Vietnamese officials often refer to as trade fraud.

The government said fraud also was widespread and increasing on online platforms, noting recent cases of fake milk, food and supplement products had “seriously affected people’s health and social order.”

The government said 1,100 cases of counterfeit and intellectual property violations; 25,100 cases of trade and tax frauds and 8,200 cases of smuggling contraband and prohibited articles had been detected this year. There were no comparative figures in the statement.

“The situation of smuggling and illegal cross-border transportation of goods remains complicated,” the government said.

“Domestically, the production and trade of counterfeits, poor-quality goods and goods of unknown origin is openly widespread, and is on the rising trend on e-commerce environment on a large scale and for a long time, directly affecting people’s health,” the government said.

On Tuesday, the Ministry of Public Security said police arrested the former head of the Ministry of Health’s food safety department in a fake supplement production and trading case.

Nguyen Thanh Phong was accused by police of taking bribes since 2016 to issue quality certificates to nine companies that produced counterfeit supplements, the ministry said. — Reuters

Fil-Chinese biz chamber backs 99-year land leases

THE Federation of Filipino Chinese Chambers of Commerce and Industry, Inc. (FFCCCII) called on the incoming Congress to pass a measure that will extend foreign investors’ land leases to 99 years.

“This is not a mere policy change — it is a major strategic leap to position the Philippines as an exemplar of stability and innovation in ASEAN and Asia, an ideal investment haven,” FFCCCII President Victor Lim said.

“We urge Congress to act swiftly; our economic future hinges on this decision. It will be good for foreign investment,” he added.

According to Mr. Lim, the passage of the bill will align the country’s policies with the 95- to 99-year leases of Singapore, Malaysia, and Indonesia, and exceed Hong Kong’s and Shenzhen’s 50-year leases.

“Adopting 99-year leases aligns the Philippines with progressive regional leaders and signals long-term security and investor confidence — critical for attracting billion-dollar, multi-generational business ventures,” he said.

He said allowing a 99-year lease will remove barriers to financing large-scale projects, which will facilitate investments in semiconductor plants, electric vehicle factories, agro-export zones, renewable energy farms, smart cities, and global-scale food processing, among others.

“Existing investors will expand operations, while new entrants — attracted by terms rivaling Singapore and Shenzhen — will bring cutting-edge innovation and global supply chains,” he said. — Justine Irish D. Tabile

Soon taking effect: The 12% VAT on digital services

As the digital economy continues to expand, governments worldwide are adapting their tax systems to keep pace. The Philippines is no exception. Starting on June 2, digital services consumed within the country will be subject to a 12% Value-Added Tax (VAT), following the signing of Republic Act (RA) No. 12023 and its implementing rules. This landmark legislation targets non-resident digital service providers (NRDSPs), bringing previously untaxed online transactions into the formal tax system.

From streaming subscriptions and cloud storage to online advertising and software services, this VAT imposition will affect a wide range of services used by individuals and businesses alike. Consumers may have to pay higher prices; meanwhile, foreign digital service providers face new registration, reporting, and compliance obligations in the Philippines.

In this article, I will discuss the key features of RA No. 12023 and its implementing rules, and what this means for local consumers, businesses, and non-resident service providers.

UNDERSTANDING THE LEGAL FRAMEWORK
RA No. 12023 was introduced to impose VAT on digital services consumed within the Philippines. This forward-thinking measure aims to create a level playing field for both domestic and foreign digital service providers while harnessing the immense revenue potential of the growing digital economy.

The Bureau of Internal Revenue (BIR) issued Revenue Regulations (RR) No. 3-2025, RR 14-2025, and Revenue Memorandum Circular (RMC) No. 47-2025, outlining the implementing rules for the registration and compliance requirements for NRDSPs.

In a nutshell, “digital services,” as defined by RR 3-2025, are those supplied over the internet or other electronic networks, where the service is primarily automated. RMC No. 47-2025 further clarifies that only those specified digital services under the law are subject to VAT.

Digital services will start being subject to VAT on June 2. Those who do not register by June 1 may incur penalties and at worst, face potential suspension of their business activities, thus, serving as a crucial compliance deadline for NRDSPs.

REGISTRATION, INVOICING AND VAT REMITTANCE
For NRDSPs, this new VAT regime comes with crucial registration and reporting obligations. The BIR has introduced the VAT on Digital Services (VDS) Portal, which serves as the primary platform for NRDSPs to register, file VAT returns, and remit VAT on taxable digital transactions within the Philippines. Until the portal is fully operational, providers are required to use the Online Registration and Update System (ORUS) to register. Alternatively, those with a local representative can register manually with Revenue District Office No. 39 – South Quezon City.

RA 12023 also outlines the VAT treatment for different transaction types, with distinct responsibilities for Business-to-Business (B2B) and Business-to-Consumer (B2C) interactions. In B2B transactions, the Philippine-based business consumer or buyer is responsible for accounting and remitting the 12% VAT under a reverse charge mechanism using BIR Form No. 1600-VT. The VAT remitted using this form may then be applied as input VAT credit by the Philippine business consumer. Conversely, in B2C transactions, the NRDSP is directly liable for the VAT and must file and remit it through the VDS Portal. The BIR has not required a specific format for NRDSP invoices, but they must include key details: the date of the transaction, transaction reference number, identification of the buyer (including the TIN, if applicable), a brief description of the transaction, and the total amount, including VAT. In the RMC, however, the BIR introduced some flexibility on the invoice amount.  If the NRDSP cannot include the VAT amount on the invoice, it must include a note indicating that the local business buyer is responsible for accounting and remitting the VAT.

CHALLENGES AND PRACTICAL IMPLICATIONS
The implementation of VAT on digital services presents significant challenges for NRDSPs. These providers must review and possibly adjust their invoicing systems to comply with the new Philippine requirements. For B2B transactions, NRDSPs will need to clearly indicate on their invoices that the local buyer is responsible for VAT while for B2C transactions, they will need to ensure that VAT is either included as a separate line item or stated as part of the total amount.

Another challenging point is the requirement for NRDSPs to file tax returns with the BIR even if they are only engaging in B2B transactions, where the VAT remittance obligation already falls on the Philippine consumer. While I can appreciate that the goal is enable the BIR to collect information on the total digital services transactions in the Philippines to ensure accurate compliance and monitoring, this seems like something that can still be accomplished by imposing a less onerous reporting obligation on the NRDSPs. Something like a summary list of sales that local VAT taxpayers are filing may be considered.

On the other hand, Philippine business consumers face increased compliance burdens due to the VAT on digital services. These businesses must ensure accurate VAT calculations, proper documentation, and timely remittance of VAT to the BIR. Smaller enterprises, especially, may face difficulties in managing these added requirements, adding to their overall compliance costs. Furthermore, businesses unfamiliar with the reverse charge VAT system may be caught off guard by their obligation to self-assess and remit VAT on imported digital services, further complicating their operational and financial processes.

As a consumer, I’m already feeling the impact of recent price hikes announced by some well-known NRDSPs. While the VAT increase may seem small on a per-transaction basis, it accumulates over time, making subscriptions and online purchases noticeably more expensive. Consequently, I’ve become more discerning about the services I subscribe to and carefully consider what I can do without.

Amid the unofficial and partial results of the recent elections, there’s a prevailing sense of cautious optimism that the BIR will live up to its commitment, “Sa tamang buwis, pag-asenso’y mabilis.” The expectation is that as the government increases tax collection efforts, citizens will see tangible improvements in public services and infrastructure. While the immediate impact of VAT may be an added financial burden, there’s hope that these efforts will contribute to broader economic growth and, ultimately, help enhance our quality of life.

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.

 

Elinelle D. Saldaña is a senior associate at the Tax Services department of Isla Lipana & Co., the Philippine member firm of the PwC network.

elinelle.d.saldana@pwc.com

Stocks down on profit taking after two-day climb

BW FILE PHOTO

PHILIPPINE STOCKS slipped on Wednesday as investors booked profits from the market’s two-day climb and monitored the release of corporate results.

The Philippine Stock Exchange index (PSEi) inched down by 0.22% or 15.01 points to close at 6,551.81, while the broader all shares index declined by 0.16% or 6.45 points to 3,798.88.

“The PSEi closed in the negative this Wednesday. The local market declined as investors decided to take profits following a two-day rally,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message. “Investors are also trading cautiously while moving through the first-quarter corporate results.”

“Philippine shares declined as investors locked in gains from the previous session’s rally,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

The index opened Wednesday’s session at 6,558.56, slightly lower than Tuesday’s close of 6,566.82, which was an over four-month high. It climbed to a peak of 6,591.94 during the day but failed to hold on to its gains, closing near its intraday low of 6,550.06.

“The PSEi corrected slightly lower, considered healthy profit-taking, after gaining for most days over the past three weeks… after the dollar-peso exchange rate corrected for the second straight day…,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort added in a Viber message.

The peso closed at P55.855 against the dollar on Wednesday, down from Tuesday’s finish of P55.795, data from the Bankers Association of the Philippines’ website showed.

The majority of sectoral indices closed lower on Wednesday. Holding firms went down by 1.53% or 84.91 points to 5,449.32; financials decreased by 1.02% or 25.86 points to 2,495.62; industrials sank by 0.51% or 47.52 points to 9,190.62; and mining and oil declined by 0.47% or 44.04 points to 9,211.29.

Meanwhile, property rose by 2.89% or 65.47 points to 2,329.60 and services went up by 0.49% or 10.56 points to 2,139.87.

“Aboitiz Equity Ventures, Inc. was the day’s index leader, jumping 9.56% to P37.25. Monde Nissin Corp. was at the bottom, plunging 9.75% to P7.13,” Mr. Tantiangco said.

Value turnover increased to P9.5 billion on Wednesday with 1.56 billion shares traded from the P8.89 billion with 1.16 billion issues exchanged on Tuesday.

Decliners bested advancers, 114 versus 82, while 46 names were unchanged.

Net foreign buying surged to P356.25 million on Wednesday from P54.62 million on Tuesday.

Mr. Ricafort put the PSEi’s support at 6,275-6,385 and major resistance at 6,705-6,915.

Meanwhile, MSCI’s broadest index of Asia-Pacific shares outside Japan rose 1.4% on Wednesday, while Japan’s Nikkei 225 dipped 0.1%, Reuters reported.

US stock futures were flat after the S&P 500 moved into positive territory for the year on Tuesday. — R.M.D. Ochave with Reuters

Peso weakens as market sees June BSP cut

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THE PESO depreciated against the dollar on Wednesday amid expectations of another rate cut by the Bangko Sentral ng Pilipinas (BSP) next month.

The local unit closed at P55.855 per dollar on Wednesday, weakening by six centavos from its P55.795 finish on Tuesday, Bankers Association of the Philippines data showed.

The peso opened Wednesday’s session stronger at P55.75 against the dollar. It dropped to as low as P55.95, while its intraday best was at P55.63 versus the greenback.

Dollars exchanged increased to $1.92 billion on Wednesday from $1.89 billion on Tuesday.

“The peso weakened amid growing expectations of a potential BSP rate cut in June,” a trader said in an e-mail.

BSP Governor Eli M. Remolona, Jr. told Bloomberg last week that the central bank could cut borrowing costs by 75 basis points (bps) more this year as inflation continues to slow.

Last month, the Monetary Board slashed benchmark rates by 25 bps to bring the policy rate to 5.5%. Its next meeting is on June 19.

The peso dropped even as the US dollar was generally weaker against Asian currencies on Wednesday amid higher global crude oil prices and easing expectations of a recession after the US and China agreed to cut tariffs for 90 days, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

For Thursday, the trader said the peso could recover “as the likely contraction in US retail sales report might support further depreciation of the greenback.”

The trader expects the peso to move between P55.70 and P55.95 per dollar on Thursday, while Mr. Ricafort sees it ranging from P55.75 to P55.95. — A.M.C. Sy

Sara’s acquittal likely in new Senate

PHILSTAR FILE PHOTO

By Adrian H. Halili and Kenneth Christiane L. Basilio, Reporters

VICE-PRESIDENT Sara Duterte-Carpio may be cleared of her impeachment charges, with pro-Duterte Senators set to take office before her trial begins in July, an analyst said.

“Acquittal in the impeachment trial is likely. The VP is assured of getting nine senators to vote in her favor, possibly, there could be three more. This means she can get overwhelming support for her acquittal,” Michael Henry Ll. Yusingco, a fellow at the Ateneo de Manila University Policy Center, said in a Facebook Messenger chat.

A two-third vote is required to remove the VP from office and bar her from running in future elections. Ms. Duterte is among the top contenders for the 2028 Presidential elections.

But if all else fails, Mr. Yusingco said that House prosecutors could instead file a plunder case against the VP with the Office of the Ombudsman.

“This might not totally stop her from running and winning in 2028, but it can make the path to victory very hard,” he added. 

Manila Rep. Joel R. Chua, who is among the House prosecutors, said he remains optimistic that Ms. Duterte will be convicted.

“If we look at those who won, it’s very tough and very challenging,” Mr. Chua told reporters in a virtual media briefing on Wednesday. “[But] I believe that our esteemed senators will fulfill their duty based on the facts and not because of their political affiliations.”

Unofficial election tallies show that President Ferdinand R. Marcos, Jr.’s Senate candidates only secured six of the 12 contested seats in the May 12 elections, which analysts said could fall short of securing a conviction for Ms. Duterte’s ouster trial.

The evidence fueling the calls for Ms. Duterte’s ouster is “very overwhelming, obvious and blatant,” said Mr. Chua. “I don’t see any reason for them not to vote in favor. Otherwise, they will need to explain to the public why their vote will not go that way.”

The Office of the Vice-President did not immediately reply to an email seeking comment.

The election outcome has led to rumors that Mr. Marcos will pursue an impeachment case against Ms. Duterte, which Malacañang denied on Wednesday.

“There is no news regarding the President pursuing impeachment or the impeachment trial of VP Sara, so we oppose and deny [those allegations],” Palace Press Officer Clarissa A. Castro said in Filipino during a briefing.

“There is no mention of any confidence that the Vice President will be ousted or removed from office,” she added. 

TOO EARLY
Gary Ador Dionisio, dean of the De La Salle — College of Saint Benilde School of Diplomacy and Governance, said it is still too early to tell if Ms. Duterte will be acquitted of her charges as the trials have not yet started.

“But what is important in the impeachment trial is to discuss in public extensively the articles of impeachment filed against VP Sara as this will help all of us the basis of her impeachment,” Mr. Dionisio said in a Messenger chat.

The House impeached the Vice-President on Feb. 5, alleging secret fund misuse, unexplained wealth, acts of destabilization and plotting the assassination of Mr. Marcos, his family, and the Speaker of the House. Ms. Duterte has denied any wrongdoing.

The impeachment complaint was filed and signed by more than 200 congressmen, meeting more than the one-third legal requirement before it could be sent to the Senate.

She is expected to face the Senate as an impeachment court with her trial scheduled to commence next month.

Ateneo de Manila University, Political Science Lecturer Hansley A. Juliano said the Marcos administration must sway the senate through its policy priorities for them to support the impeachment proceedings.

“The Dutertes in turn must build on more consistent policy opposition to consider swaying the senate to their side instead,” Mr. Juliano said via Messenger chat.

He added that incumbent senators, who are expected to serve until 2028, may not be predictable on where their stance will be as they “have their own separate agendas.”

In addition, Maria Ela L. Atienza, a political scientist at the University of the Philippines, said the President could still increase his public trust ratings while he still controls the state’s resources.

“The President still controls the resources of the state, and his team can exert influence on the senators and the public. He can also work on implementing programs and pushing for legislation that are relevant and popular to the public to increase his public trust ratings,” she said via Viber.

She added that Senators may find it difficult to go against a popular president unless there is blatant abuse of power.

The President’s trust rating fell to 60% in April, according to an OCTA Research poll issued last month.

Jemy Gatdula, Dean of University of Asia and the Pacific School of Law, said changes in the Senate composition may not be substantial.

“I don’t think the election changed or made substantial differences in the numbers from before the election and after the election. It’s pretty much the same count,” he said in a messenger chat.

He added that the impeachment case against Ms. Duterte will not be beneficial for the country.

“It will essentially render the country distracted with several months of, I think, gross political theater. And it’s not something that I see will lead down to the benefit of the country,” Mr. Gatdula said.

NEW PROSECUTORS
Meanwhile, two of the 11-person House prosecution team are set to lose their congressional race, opening slots for new prosecutors ahead of Ms. Duterte’s impeachment trial.

“The House leadership has the authority to designate their replacements,” National Union of Peoples’ Lawyers President Ephraim B. Cortez said in a Viber message.    

“They should appoint any of these new congressmen as prosecutors, especially that Mr. Diokno and Ms. de Lima are seasoned lawyers, and their expertise and experience will contribute to the successful prosecution of the impeachment case,” said Mr. Cortez.

In a separate statement on Wednesday, Speaker Ferdinand Martin G. Romualdez confirmed the addition of Ms. De Lima and Mr. Diokno as into the House impeachment panel. — with Chloe Mari A. Hufana

PHL to build ‘foolproof’ arbitration case against China over sea dispute

PHILIPPINE STAR/ MICHAEL VARCAS

THE Philippine government is ensuring that a second international arbitration case against China over the South China Sea is “foolproof,” with a security official on Wednesday saying they are still gathering evidence to make the case airtight should it move forward.

“If ever we will file a case, whatever perspective it would be, we will make sure that it will be foolproof,” National Maritime Council (NMC) spokesman Alexander S. Lopez said in a media briefing in mixed English and Filipino. “We should not file a case unless we are fully prepared.”

“When the case is truly foolproof, then we will proceed with filing—whether it be an environmental case or another case,” he added.

The Philippines is eyeing to file another arbitration case against China stemming from alleged environmental damage done by China over maritime features within the country’s exclusive economic zone, Reuters reported in January.

The Chinese Embassy in Manila did not immediately reply to a Viber message seeking comment.

After gathering sufficient evidence, the Justice Department will come up with legal recommendations, submitting them to the NMC for final review before the Executive branch decides, said Mr. Lopez.

“Everything is still under study,” Fretti G. Ganchoon, senior state counsel at the Justice department, said in the same briefing.

The Philippines first took legal action against China in 2013, filing an arbitration case in a United Nations-backed court over the Scarborough Shoal dispute. In 2016, the tribunal ruled that China had interfered with Filipino fishermen’s rights to access the area.

Beijing has continued to deploy vessels around the maritime feature to assert its claim despite the ruling.

SECURITY FORUM
Meanwhile, senior military officials from the Philippines, US, Australia and Japan met in Hawaii on Monday for a strategic forum focused on strengthening regional security and boosting combined deterrence efforts in the Indo-Pacific region amid China’s continued assertiveness in the South China Sea.

In a statement on Wednesday, the US Army Pacific (USARPAC) said the top generals of the Philippine and US armies and Marine Corps, Japan’s Self-Defense Force and Australian Defense Force met for the triannual Land Forces Dialogue, where they talked about intelligence sharing and joint combat exercise coordination while deepening military capabilities integration.

“Unity, agility and trust are central to achieving a credible and effective deterrent posture in the Indo-Pacific,” it said. “Leaders acknowledged the urgency of moving faster, collaborating deeper and aligning strategic transformation efforts across partner forces.”

“USARPAC continues to lead multilateral military engagement across the Indo-Pacific region, bringing together allies and partners to address evolving threats and preserve security through combined strength,” it added.

The classified military forum followed Beijing’s release of a white paper on its national security doctrine, in which it emphasized the need for regional stability amid a “world of change and disorder” and highlighted the need to cooperate with neighboring countries to keep peace in the region.

China continues to assert its claim over more than 80% of the mineral-rich South China Sea, a vital global trade route, despite the 2016 ruling that declared its claim illegal.

Beijing’s expansive claims over the disputed waters have intensified regional security concerns as Southeast Asian nations grapple with China’s growing sea presence.

Tensions between Manila and Beijing recently escalated following an encounter between their naval vessels near the hotly contested Scarborough Shoal and after Chinese state media reported Beijing had asserted control over a disputed reef close to a Philippine military outpost.

The Philippines is seeking closer ties with countries that advocate for a rules-based order and recognize international law as China continues to deploy an armada of ships and sustain a presence on man-made islands west of its coastline.

Meanwhile, the Philippine Coast Guard (PCG) hosted top European Union (EU) officials in Manila on Tuesday, discussing efforts to deepen strategic ties between the Philippines and the European grouping.

PCG Commandant Admiral Ronnie Gil L. Gavan met with EU’s Head of Delegation to the Philippines Mariomassimo Santoro and First Secretary Frederic Grillet at the coast guard’s headquarters in the Philippine capital.

“The visit strengthened maritime cooperation and explored new avenues for deeper and more strategic collaboration between the Philippines and the European Union,” the PCG said in a statement. “Strengthening PH-EU ties in trade, security and development remains a priority to ensure sustainable and inclusive progress.” — Kenneth Christiane L. Basilio

Palace confident President Marcos still enjoys ‘great’ public support

PRESIDENT Ferdinand R. Marcos, Jr. spoke at the ceremonial signing at Malacañan Palace of a joint circular for the establishment of P1 billion worth of child development centers in low-income parts of the country. — PPA POOL/MARIANNE BERMUDEZ

THE Presidential Palace on Wednesday said President Ferdinand R. Marcos, Jr. believes that the Filipino people still trust the administration, despite the results of Monday’s polls.

“The President still believes that the people still have great support for the administration at this time,” Palace Press Officer Clarissa A. Castro said in Filipino during a briefing. “Let us remember that the latest survey shows a high trust rating for the President.”

Former President Rodrigo R. Duterte’s spokesman, Herminio “Harry” L. Roque, called Mr. Marcos a “lame duck” as his senatorial bets failed to secure an overwhelming majority in the midterm elections.

Mr. Roque posted on his social media on Tuesday night in Filipino: “Junior is not a candidate, but he still has lost his fangs! Here is the real lame duck president!”

He was referring to the recent midterm election results, where only six of the ten administration-backed candidates won. One of whom, however, was also endorsed by his ally-turned-rival, Vice-President Sara Duterte-Carpio.

The Palace rebutted Mr. Roque’s jabs, daring him to go home and face accusations against him. Mr. Roque, a former human rights lawyer, is currently seeking political asylum in the Netherlands.

He is facing charges for alleged human trafficking, among others, due to his connections in Philippine Offshore Gaming Operators (POGOs).

“If the president is a lame duck and the administration seems to be indifferent, he should come back here immediately,” Ms. Castro said.

Surveys conducted by major polling firms such as Pulse Asia and OCTA Research have shown that while his numbers have gradually declined from post-election highs, Mr. Marcos continues to enjoy majority support across key demographics and regions.

In the most recent nationwide survey conducted ahead of the 2025 midterm elections, Mr. Marcos registered a trust rating of 55% in April, according to OCTA.

This marked his lowest trust rating since the first quarter last year, but OCTA noted most adult Filipinos still trust Mr. Marcos, with only about 23% saying they did not trust the President. Around 18% of respondents said they were undecided.

Meanwhile, when asked how Mr. Marcos’ legislative agenda would fare in the 20th Congress, Ms. Castro said the President hopes all winners will respond to the needs of the people.

“Their work is for the people, not for the interests of a few. So, whatever color that may be, the President truly welcomes the unity of each of our leaders to address any problem and provide solutions to the needs of our countrymen,” she said in Filipino.

She noted the administration also expects the presence of a “legitimate oppositionists,” but will fight “obstructionists” who hide in the name of oppositionists.

“When we say legitimate oppositionists, what they are fighting for is the country, the interests of the people, not personal interests; obstructionists will do nothing but destroy, see nothing good in what the government is doing, and only want to advance their own interests,” she said.

Monday’s elections served as a crucial referendum on Mr. Marcos’ administration, analysts said. These elections determined half of the Senate’s 24 seats and positions in the House of Representatives and local government units.

Traditionally, midterms are viewed as a litmus test of public support for the incumbent administration.

This electoral outcome comes amid persistent political tension between Mr. Marcos and the Duterte family. — Chloe Mari A. Hufana

Lakas-CMD clinches political grip in Philippines’ midterm vote

House Speaker Ferdinand Martin G. Romualdez — PHILIPPINE STAR/KRIZ JOHN ROSALES

By Kenneth Christiane L. Basilio, Reporter

THE Philippines’ dominant political party has strengthened its grip after it secured key positions in the midterm elections, as tensions between two of the nation’s most influential political clans continue to play out, House Speaker Ferdinand Martin G. Romualdez said on Wednesday.

Lakas-Christian Muslim Democrats (Lakas-CMD) has secured a strong electoral showing on May 12 as it is poised to win a Senate seat, 104 seats in the House of Representatives alongside hundreds of local officials, party leader Mr. Romualdez said, citing internal election monitoring data.

The party is expected to secure 15 governorships, 22 vice-governorships, 24 city mayoral seats, 23 city vice-mayoral positions, and 385 municipal mayoral posts, solidifying its influence across local governments nationwide.

“This is not just a win for Lakas-CMD,” he said in a statement. “This is a strong signal from the Filipino people: they want steady hands, clear direction, and leadership that puts service above self.”

The political party, which holds a majority at the House, fielded more than 6,000 candidates across national and local levels for the May polls.

Mr. Romualdez’s claim that Lakas-CMD secured a win in the midterm elections could be political posturing, Arjan P. Aguirre, who teaches political science at the Ateneo de Manila University, said in a Facebook Messenger chat. “What this did not mention is that their numbers dropped.”

“They had 112 seats for 2022 to 2025 as a party, but 104 seats now,” Hansley A. Juliano, who also teaches political science at the Ateneo said via Facebook chat. “While it means they still have enough numbers for the majority coalition, this doesn’t actually look as solid as it does now.”

The Office of the Speaker did not immediately reply to a Viber message seeking comment.

Mr. Romualdez likely issued the statement to prevent groups opposing the Marcos administration from gaining traction in Congress, said Mr. Aguirre.

“This is something that we expect from the ruling coalition so as to preempt any attempts from some House members to switch their allegiances to the Duterte-aligned faction,” he said.

The political rivalry between the Marcos and Duterte families has escalated ahead of the midterm elections as both camps have been courting politicians to consolidate influence and bolster their respective support bases

“We may expect more horse-trading and concessions in the House especially during budget season,” Mr. Juliano said. “The Marcos administration now has the burgeoning risk of suffering the problems of a lame-duck administration even when it nominally still has the numbers.”

The number of government seats held by Lakas-CMD may not directly help shore up support for the Marcos administration ahead of the 2028 presidential polls, Anthony Lawrence A. Borja, an associate political science professor at the De La Salle University, said in a Facebook chat.

“There is a divide between local and national politics and by 2028, voters might end up with a misalignment between their choices for local and national leaders, especially if local leaders choose to stay away from the Marcos-Duterte feud,” he said.

Ms. Duterte had emerged as a frontrunner for the 2028 presidential election, setting the stage for a challenge against the Marcoses.

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