Peso inches up before US PCE price index data

February 27, 2024 | 9:00 pm

THE PESO inched up against the dollar on Tuesday as the market awaited the release of US personal consumption expenditures (PCE) price index report, as it could affect the US Federal Reserve’s policy stance.

The local unit closed at P56.08 per dollar on Tuesday, strengthening by 1.5 centavos from its P56.095 finish on Monday, Bankers Association of the Philippines data showed.

The peso opened Tuesday’s session slightly weaker at P56.10 against the dollar. Its worst showing was at P56.175, while its intraday best was at P56.04 versus the greenback.

Dollars exchanged rose to $1.74 billion on Tuesday from $982.3 million on Monday.

The peso inched up against the dollar as the market looked ahead to the release of the US PCE price index report, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“The peso-dollar pair was in consolidation mood as market waits for further data later this week, chief of which is the PCE data from the US. Seems the bias is to trade the range for now prior to the data,” Security Bank Corp. Chief Economist Robert Dan J. Roces likewise said in a Viber message.

The dollar was also generally weaker against other currencies on Tuesday due after US President Joseph R. Biden, Jr. signaled a possible ceasefire between Israel and Hamas, Mr. Ricafort added.

The dollar traded on the back foot on Tuesday, as markets looked ahead to a week of US economic data that will provide fresh signals on how soon the Federal Reserve may begin cutting interest rates, Reuters reported.

The US dollar index, which measures the currency against a basket of peers including the yen, euro and sterling, traded flat at 103.77 in Asian time, following a 0.17% slide on Monday.

Markets have all but ruled out a cut at the Fed’s March meeting and have recently pushed back expectations for a cut to June from May, CME’s FedWatch Tool showed, following strong US consumer and producer price data.

US durable goods data is due later on Tuesday, while January’s US PCE price index, which is the Fed’s preferred measure of inflation, will be released on Thursday.

The dollar slipped 0.12% to 150.505 yen, with new figures showing consumer inflation stayed at the Bank of Japan’s 2% target in January, rather than dipping below it for the first time in nearly two years, as economists had predicted.

For Wednesday, Mr. Ricafort expects the peso to range from P55.95 to P56.15 per dollar, while Mr. Roces sees it moving between P55.70 and P56.20 for the whole week. — AMCS with Reuters

Marcos to seek Australia’s support vs China as he faces its parliament

February 27, 2024 | 8:57 pm

PBBM Marcos — PRESIDENT FERDINAND R. MARCOS, JR. — PHILIPPINE STAR/KJ ROSALES

PHILIPPINE President Ferdinand R. Marcos, Jr. will seek the support of Australia amid Chinese aggression at sea, the Foreign Affairs department said on Tuesday.

Mr. Marcos is expected to speak before the Australian Parliament during his state visit to Australia on Feb. 28, Foreign Affairs spokesperson Ma. Teresita C. Daza told a palace news briefing. “It will be the first time a Philippine President will be speaking before the Parliament of Australia.”

His engagement with the Parliament would “help us underscore both countries as maritime nations have actually committed to adherence to the rules-based order and international law,” she said.

World leaders who had spoken before the Australian Parliament include former US presidents George W. Bush and Barack Obama, Hu Jintao of the People’s Republic of China, ex-British Prime Minister Tony Blair, former Japanese Prime Minister Shinzo Abe, Indonesian President Joko Widodo and Chinese President Xi Jinping.

The Philippines and Australia in September agreed to enhance their partnerships by elevating their relations from a comprehensive into a strategic one.

Mr. Marcos, who has been visiting Philippine allies since becoming President in 2022, will return to Australia on March 4 to 6 for a dialogue summit between Canberra and the Association of Southeast Asian Nations (ASEAN), Foreign Affairs Assistant Secretary Daniel R. Espiritu said at the same briefing.

The summit in Australia, ASEAN’s oldest dialogue partner and one of the “most active” in economic and political fronts, is an opportunity for the Philippines to present its stance on international issues, he said.

It will also “set the tone for dialogue partner summits later in the year.”

Tensions in the South China Sea, which also worry Canberra, and ties in defense and security would also be discussed during Mr. Marcos’ visit to Australia, Ms. Daza said.

“We have very strong defense and security relations with Australia, and they’ve been partners with us for a long time, even before the official establishment of relations, because they were with us as partners during World War II,” she said.

Ms. Daza said the Philippines is expected to sign economic and security agreements with Australia during the President’s visit.

The Philippines has the fifth-largest immigrant community in Australia, with about 408,000 Filipinos living there, Ms. Daza said.

Most Filipinos there work as craft and trade workers and professional service and sales workers. Most of them work for Australian companies in agriculture, forestry and fishery.

Australia has also been a key destination for Filipino students seeking higher education, she said. The country had almost 18,000 international students from the Philippines in 2022.

The Philippines received more than 2,600 tourists from Australia last year. — Kyle Aristophere T. Atienza

Legalization of motorcycle taxis to be fast-tracked

February 27, 2024 | 8:55 pm

Motorcycle-lane---EG-philstar_3659 — PHILIPPINE STAR/EDD GUMBAN

THE HOUSE of Representatives aim to pass a measure seeking to legalize motorcycle taxis in the Philippines before the President’s state of the nation address (SONA), a congressman said on Tuesday.

The House transportation committee’s technical working group will hold its fourth meeting in the next few weeks to firm up changes to House Bill 3412, Party-list Rep. and bill author Ramon Rodrigo L. Gutierrez told a news briefing. “If priority is granted to this bill, hopefully before SONA this bill be done.”

At the weekend, Mr. Romualdez asked the chamber to fast-track the bill that would allow the operation of motorcycle taxis.

President Ferdinand R. Marcos, Jr. last week said his government is working with Singapore-based Grab Holdings Ltd. as it seeks to legalize motorcycle taxis and relax regulations on ride-hailing services.

He issued the statement after a meeting with officials of Grab, which the presidential palace said was seeking his support to increase its Philippine ridership to 500,000 from 300,000 daily.

Grab has generated more than 100,000 jobs locally, Mr. Marcos said during his meeting with company officials, the palace said in a statement on Feb. 21.

Grab, led by co-founder and chief executive officer Anthony Tan told the President its rides have risen to 300,000 daily from 8,000 a day after it acquired Move It, another ride-hailing brand, in 2022.

The company has been calling for the removal of the cap on ride-hailing units and the legalization of motorcycle taxis.

The law prohibits two-wheeled vehicles for public transport. Transport advocates have said legalizing motorcycle taxis could aid mobility and generate jobs. The bill is pending in the transportation committees of both the Senate and House.

Since 2019, the Department of Transportation has allowed the operation of motorcycle taxis under a pilot study of its reliability and safety. — B.M.D. Cruz

Marcos government allots P106 billion for ‘4Ps’ cash aid

February 27, 2024 | 8:55 pm

slum-area-poverty — PHILIPPINE STAR/ MIGUEL ANTONIO DE GUZMAN

THE DEPARTMENT of Budget and Management (DBM) has allotted P106.34 billion under this year’s national budget for the government’s so-called conditional cash transfer program.

In a statement, the agency said the amount had been earmarked for the Pantawid Pamilyang Pilipino Program (“4Ps”), which is expected to benefit about 4.4 million Filipino families.

The fund includes rice and health subsidies worth P600 and P750 a month. It also covers school subsidies worth P300-P700 a month for more than 7 million students.

This year’s allocation is 3.57% higher than a year earlier.

“This significant funding will greatly benefit millions of our countrymen who are in dire need,” Budget Secretary Amenah F. Pangandaman said in the statement.

“As directed by President Ferdinand R. Marcos, Jr., we will ensure that 4Ps under ‘Bagong Pilipinas’ will be provided with needed funding support as this program serves as a lifeline that bridges dreams to reality for many Filipinos,” she added.

The law provides cash transfers to poor households for as long as seven years to improve nutrition, health and education of children until they turn 18.

The Department of Social Welfare and Development (DSWD), which enforces the program, earlier said close to 800,000 families who graduated from the program had been reinstated as beneficiaries. About 200,000 households have been waitlisted.

DSWD with the help of the National Economic and Development Authority (NEDA) and Philippine Statistics Authority (PSA) is looking at a plan to index cash grants to inflation. — Beatriz Marie D. Cruz

Senate ratifies Global Green Growth Institute agreement to establish office in Philippines

February 27, 2024 | 8:54 pm

By John Victor D. Ordoñez, Reporter

THE SENATE ratified on Tuesday an agreement to establish the Global Green Growth Institute (GGGI) office in the Philippines as it pushes for climate change mitigation programs in the country.

Through a unanimous vote, 21 senators approved Senate Resolution 936 on the agreement between the GGGI and the Philippines to set up an office that would support green policies and investments in the country.

“Indeed, climate crisis, pandemics, regional conflicts as well economic crisis disrupt human societies,” GGGI Chairperson and former United Nations secretary general Ban Ki-Moon told the plenary.

“There has never been a more vital time in history to come together in cooperation, partnership and solidarity to redouble our efforts to achieve the sustainable development goals and implement the Paris Climate Change Agreement.”

The agreement is a legally binding treaty that calls on countries to mitigate the effects of climate change and to limit the global temperature increase to 1.5° Celsius. It was adopted by 196 countries in Paris on Dec. 12, 2015.

The GGGI, headquartered in South Korea, started as a think tank in 2010 but is now an intergovernmental organization promoting economic progress while considering environmental sustainability.

It provides technical support and stakeholder collaboration with developing countries on energy, water and land-use planning policies and has over 20 country programs around the world.

Mr. Moon met with President Ferdinand R. Marcos, Jr. on Monday to affirm the GGGI vow to cooperate with the Philippines on climate change mitigation initiatives, the Presidential Communications Office (PCO) said in a statement late Monday.

The GGGI has provided technical assistance and capacity-building programs amounting to $13 million (P729.64 million) since the Philippines joined the organization in 2012, according to the PCO.

“Climate change is exacerbating these challenges and impacting the livelihoods and well-being of countless Filipinos, especially those in vulnerable and marginalized communities,” Senator Ana Theresia N. Hontiveros-Baraquel told the Senate floor.

“Being part of the GGGI gives us the opportunity to lift our people out of poverty without sacrificing the natural world to do so. Together, we can protect our environment, reduce poverty, and build a more sustainable and equitable future for all Filipinos,” she added.

House panel OK’s 2 energy bills

February 27, 2024 | 8:54 pm

Congress-House-of-Reps-interiors-PHILSTAR-MICHAEL-VARCAS — PHILIPPINE STAR/MICHAEL VARCAS

THE ENERGY committee of the House of Representatives approved on Tuesday bills that aim to empower consumers in energy-related matters, including rate-setting, rule-making, and legal representation before various state agencies.

The committee tackled House Bill (HB) No. 2152, authored by Party-list Representatives Sergio C. Dagooc and Presley C. De Jesus. Their proposed measure seeks the establishment of the Energy Advocacy Counsel Office (EACO) to provide legal representation for energy end-users.

Similarly, HB 6237, introduced by Party-list Rep. Rudys Caesar G. Fariñas, aims to create the Energy Consumer Advocate Office (ECAO), which would represent all consumers in energy sector matters affecting the public interest.

Both bills seek to address the lack of representation for ordinary consumers in electricity-related proceedings, particularly in rate petitions and hearings before the Electric Regulatory Commission (ERC). Mr. Dagooc said the bills aim to safeguard consumers’ rights and balance their protection with the interests of electric cooperatives.

However, the Department of Budget and Management (DBM) expressed concerns that HB 6237’s automatic budget appropriation clause contradicts the function of the DBM.

“Earmarking limits the flexibility of the government in allocating resources. HB 6237 provides automatic appropriations which we also discourage because it undermines the mandate of the DBM to efficiently and effectively allocate government resources,” DBM Chief Budget and Management Specialist Nihal C. Abdulrauf-Pacalna said.

The energy committee’s deliberation of HB 2152 reflected concerns regarding potential redundancies with EACO’s functions.

“For the creation of the EACO, we deemed that there are existing agencies that perform the intended functions of the proposed office,” said Ms. Abdulrauf-Pacalna. “The ERC has a consumer affairs office. We suggest the committee to expand the existing agencies instead.” — Kenneth Christiane L. Basilio

Candaba viaduct on track — NLEX

February 27, 2024 | 8:53 pm

NLEX Corp., a unit of Metro Pacific Tollways Corp. (MPTC), is on track to complete the third Candaba viaduct by November after the project hits 50% progress.

“This remarkable achievement shows NLEX’s commitment to complete the project by November 2024. We are very glad that our chosen construction partner, Leighton Contractors (Asia) Ltd., is one with us in our objective to expedite work on the project, while prioritizing the safety of all workers and ensuring the structural soundness of the new bridge,” J. Luigi L. Bautista, NLEX president and general manager, said in a statement on Tuesday.

The company said the first girder for the viaduct project was installed marking the project’s halfway completion.

“The installation of the first girder marks the pivotal transition from groundwork-heavy construction to road-level work, minimizing the project’s dependence on ground access. This ensures that work can continue in all-weather conditions,” NLEX said.

Last year, the company said it is setting aside P15 billion for its capital expenditure to support existing projects and expansion plans including the Candaba viaduct project.

The P7.89-billion Candaba third viaduct project in Pampanga is initially expected to be operational by November this year.

The Candaba third viaduct project will feature a new road that will be constructed between the two existing viaducts, thereby increasing the capacity of the Candaba viaduct to three lanes with inner and outer shoulders in each direction.

MPTC is the tollways unit of Metro Pacific Investments Corp., one of three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT, Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

GCG urged to act on PAGCOR pay

February 27, 2024 | 8:53 pm

THE PHILIPPINE Amusement and Gaming Corp. (PAGCOR) asked the Governance Commission for GOCCs (GCG) on Tuesday to retain its employees’ previous benefits within the new salary scheme implemented last month.

The move seeks to correct distortions in the pay scale, particularly for employees whose salaries decreased since the new system did not consider their years of service.

“We hope that the GCG will positively respond to our appeal so that all tenured PAGCOR employees will not feel shortchanged and, instead, receive the compensation that they deserve under the bounds of the law,” PAGCOR Chairman and Chief Executive Officer Alejandro H. Tengco said.

PAGCOR revealed that 72.6% of its workforce, totaling 7,057 personnel, has served the agency for more than three years. However, the implementation of the Compensation and Position Classification System (CPCS) last month led to distortions in the pay scale, reverting many employees to pay step 1.

“This means that a new employee in a certain position gets the same salary as someone who has been in the same position for 15 years or more,” PAGCOR said in a statement.

Last Feb. 22, Mr. Tengco wrote a letter to GCG Chairman Marius P. Corpus, appealed for the GCG to approve PAGCOR’s implementation of salary step increments.

Under the CPCS guidelines, qualified personnel are entitled to a one-step increment for every three years of continuous satisfactory service in their present position, so the PAGCOR Board has already approved the implementation of pay increments for the welfare of employees.

This, however, is subject to the approval of the GCG. — Beatriz Marie D. Cruz

Cop gets 4 years for killing teen

February 27, 2024 | 8:52 pm

gun-1678989_1920 — STOCK PHOTO | Image by Rudy and Peter Skitterians from Pixabay

A POLICEMAN who shot and killed a 17-year-old boy in Navotas City in the Philippines last August was sentenced to anywhere between four and six years in jail by a local court on Tuesday.

Four other policemen accused of the crime, reported as a case of mistaken identity, were meted out a lighter sentence of four months imprisonment for illegal discharge of a firearm and released for time served.

Apart from the minimum sentence of four years in prison, Staff Sergeant Gerry Maliban was ordered by Judge Pedro T. Dabu, Jr. to pay P100,000 in civil and moral damages to the family of his victim, Jerhode “Jemboy” Baltazar.

Police Staff Sergeant Antonio Bugayong, the sixth accused in the case, was acquitted by the court.

In a press conference at the Department of Justice (DoJ), the slain teenager’s parents expressed their disappointment over the decision. “It hurts so much,” the victim’s mother, Rodaliza Baltazar, said in Filipino about the sentencing of her son’s killer. “Just four years in prison while my son is gone forever.”

Colonel Allan B. Umipig, chief of the Navotas police, had described the incident as a “lapse in judgment” on the part of his men. They shot the teenager, believing him to be the armed suspect they were chasing.

Assistant Justice Secretary Jose Dominic F. Clavano IV told reporters that Justice Secretary Jesus Crispin C. Remulla had ordered him to recheck the facts of the case and the arguments of the judge to see which can be pleaded to the Court of Appeals (CA).

“The next step of the case is to appeal to the CA using the Solicitor-General,” he said.

Senator Ana Theresia “Risa” Hontiveros released a statement criticizing the culture of impunity in the country and stressed that “the law does not clothe police officers with authority to kill indiscriminately.”

“When Jemboy was shot and fell in the water, he was made fun of by the police and they left him for three hours to drown,” said the senator. “Excessive use of force. Impunity. Inhumanity. That is the bloody legacy of the Duterte administration when we enforced tokhang [a reference to the previous administration’s war on drugs.” — Chloe Mari A. Hufana

16 irrigation works done in Bulacan

February 27, 2024 | 8:52 pm

Rice-field-irrigation — DEPARTMENT OF AGRICULTURE HANDOUT

THE NATIONAL Irrigation Administration (NIA) said on Tuesday that it has turned over 16 irrigation works to irrigators associations (IA) in Bulacan.

“About 15 IAs with 4,466 farmer-beneficiaries will benefit from 2023 completed projects of Bulacan (Irrigation Management Office),” the NIA statement said.

As of 2023, the NIA has completed 68% of its national irrigation development commitments, servicing an estimated 2.11 million hectares, with 1.1 million hectares still to be irrigated.

NIA Administrator Eduardo G. Guillen told BusinessWorld earlier that the agency is seeing a possible 2% increase in irrigated lands this year.

Additionally, the agency said that it would increase the operations and maintenance subsidy of irrigation projects to P500 per hectare per cropping area in accordance with NIA Memorandum Circular 147 of 2023.

NIA had said that the increase in the rate of operations subsidy would be to augment the higher cost of materials and labor. The previous subsidy was at P150 per hectare per planted area.

It added that 152 IAs from Bulacan are set to receive the new subsidy scheme. — Adrian H. Halili

Quarterly random drug tests for cops sought

February 27, 2024 | 8:51 pm

A SENATOR has urged the Philippine National Police (PNP) to carry out stricter quarterly random drug testing of police officers, particularly those involved in drug enforcement, to deter them from committing crimes.

At Tuesday’s Senate Public Order and Dangerous Drugs and Human Rights Committee hearing, Senator Rafael “Raffy” T. Tulfo floated the idea of using hair follicle drug tests instead of urine analysis to yield more accurate results.

He said police officers are more likely to keep using illegal drugs if the PNP only conducts annual drug tests which cops tend to skirt. Hair follicle drug tests would be able to trace drug use from months back, the senator added.

Senators are investigating a dismissed cop linked to the disappearance of a beauty queen from Batangas.

Mr. Tulfo, who also hosts a radio program, said that he had received videos of police officers ranked as high as colonels taking illegal drugs such as crystal methamphetamine, locally known as shabu.

“My suggestion is to have these done quarterly and properly supervised,” he said.

Senators last year called for a stricter screening process for police officers, saying neuropsychiatric exams for law enforcers do not effectively measure a person’s criminal tendencies.

President Ferdinand R. Marcos, Jr. accepted the resignation of 18 third-level police officers suspected to be involved in illegal drugs in 2023.

“Those police officers who are doing good deserve to work with other decent police officers,” Mr. Tulfo said. “Let us cleanse the force and let us cleanse the system.” — John Victor D. Ordoñez

Rights groups slam ‘abduction’ of activist’s brother

February 27, 2024 | 8:50 pm

Wanted terrorist — CRIMINAL INVESTIGATION AND DETECTION GROUP/FACEBOOK

A HUMAN rights group has accused the military of abducting an elder brother of a women’s rights group leader last Feb. 20 in Batangas.

In a statement on Tuesday, Karapatan said Jose Marie Estiller was allegedly snatched in the town of Sto. Tomas by elements of the Philippine Army’s 22nd Infantry Battalion, 59th Infantry Battalion, and the local police.

However, a statement from the Philippine National Police’s Criminal Investigation and Detection Group (PNP-CIDG) said Mr. Estiller is “one of the two most wanted terrorists” in the Southern Tagalog region and that he allegedly “surrendered” to the army’s 903rd Infantry Battalion.

The CIDG said Mr. Estiller is the subject of arrest warrants issued by separate courts in Manila and Sorsogon for multiple charges of murder and violation of the Comprehensive Firearms and Ammunition Regulation Act (RA 10591).

Casting doubt on the crimes imputed by the police, Karapatan identified Mr. Estiller as the brother of Jean Estiller, leader of the Sorsogon-based women’s peasant group Amihan, who was falsely accused of attempted homicide and murder in 2022.

Jailed in Sorsogon, Ms. Estiller was released in November 2023.

Karapatan claimed that closed-circuit television (CCTV) footage of Mr. Estiller’s supposed “surrender” would show that he was allegedly taken at gunpoint.

“The brazenness of state forces to abduct persons in broad daylight, despite the presence of CCTV cameras, witnesses, and a law against one of the worst human rights violations, only goes to show that enforced disappearance is a state-sanctioned act under this regime,” Karapatan secretary general Cristina E. Palabay said.

Youth group Anakbayan echoed the same sentiment on Tuesday, saying: “We condemn this brazen attack on an activist’s relative. It merely shows that the state will attack anyone with no regard for basic human rights.”

Both Anakbayan and Karapatan said there is no known evidence of Mr. Estiller’s connection with terrorist groups. — Chloe Mari A. Hufana