Home Blog Page 435

Foreign debt service bill falls to $6.72 billion

A worker counts US dollar bills inside a money changer in Metro Manila, Philippines, Feb. 7, 2018. — REUTERS

By Katherine K. Chan

THE Philippines’ external debt service burden dropped to $6.72 billion in the first half of the year as less foreign loans were due for repayment, preliminary data from the Bangko Sentral ng Pilipinas (BSP) showed.

Debt service on external borrowings went down by 6.2% to $6.72 billion as of June from $7.164 billion in the same period in 2024.

Broken down, principal payments declined by 13.1% year on year to $2.77 billion in the January-to-June period from $3.189 billion.

Meanwhile, interest payments dipped by 0.7% in the first six months to $3.949 billion as of end-June from $3.976 billion last year.

“The decline in the Philippines’ external debt service burden in the first half mainly reflects lower principal repayments as fewer foreign obligations matured, alongside liability management efforts and a borrowing mix favoring domestic sources,” Union Bank of the Philippines Chief Economist Ruben Carlo O. Asuncion said in a Viber message.

Mr. Asuncion also noted the decline in debt servicing shows the country’s foreign debts are manageable, giving the government more fiscal space and easing the strain on its dollar reserves.

Meanwhile, Michael L. Ricafort, chief economist at Rizal Commercial Banking Corp., said external debt servicing declined as foreign loans account for a smaller share in the National Government’s total borrowing mix.

“This could be attributed to the lower share of foreign borrowings in the total National Government borrowing mix in recent years to better manage (foreign exchange) risks entailed in foreign borrowings,” he said in a Viber message.

The debt service burden represents principal and interest payments after rescheduling, according to the BSP.

This includes principal and interest payments on fixed medium- and long-term credits, including International Monetary Fund credits, loans covered by the Paris Club and commercial bank rescheduling, and New Money Facilities. It also covers interest payments on fixed and revolving short-term liabilities of banks and nonbanks.

However, the debt service data exclude prepayments on future years’ maturities of foreign loans and principal payments on fixed and revolving short-term liabilities of banks and nonbanks.

In the first half, the debt service burden as a share of gross domestic product (GDP) fell to 2.8% from 3.2% in the comparable year-ago period.

Meanwhile, the country’s outstanding external debt reached $148.873 billion as of June, a 14.4% jump from $130.182 a year ago.

Of the total, $94.801 billion is public sector debt, while $54.072 billion is private sector debt.

This brought the external debt as a percentage of GDP to 31.2% in the first six months from 28.9% in the same period last year.

Mr. Asuncion said the government may see a slight uptick in its foreign debt service bill in the coming months as more foreign obligations will be due for repayment.

“For the second half, we expect a modest pickup as more amortizations fall due, but the debt service ratio should stay within a comfortable range given ample reserves and a still-favorable global rate environment,” he said.

The BSP’s external debt data cover borrowings of Philippine residents from nonresident creditors, regardless of sector, maturity, creditor type, debt instruments or currency denomination.

The central bank gathers data on external debt through reports submitted by borrowers, banks, and major foreign creditors.

Philippines declines a spot in economic freedom index

The Philippine flag is pictured with a rainbow in the background. — REUTERS/WILLY KURNIAWAN

By Justine Irish D. Tabile, Reporter

THE Philippines slipped one spot in a global index on economic freedom, despite improvements in some areas, according to the Canada-based think tank Fraser Institute.

The country ranked 62nd out of 165 economies in conservative think tank’s Economic Freedom of the World report, which uses 2023 data. In the previous year’s index, the Philippines ranked 61st place.

This was the Philippines’ lowest placement in the index in two years, or since it ranked 68th in 2021.

Philippines Slips in Economic Freedom Ranking

Despite the lower ranking, the country’s score inched up to 7.05 out of 10 in 2023 from 7.01 in 2022.

Among Asia-Pacific jurisdictions, the Philippines lagged behind Hong Kong (8.55), Singapore (8.50), New Zealand (8.33), Australia (8.03), Taiwan (8.03), Japan (7.83), Malaysia (7.56), South Korea (7.53), Thailand (7.10), and Brunei Darussalam (7.09).

However, the Philippines was ahead of Indonesia (6.96), Mongolia (6.83), Cambodia (6.79), Vietnam (6.21), China (6.13), Papua New Guinea (6.09), Fiji (6.08), Timor-Leste (5.97), Laos (5.65), and Myanmar (4.46).

The index measures the degree to which citizens are allowed to make their own economic choices through five areas: size of government, legal system and property rights, sound money, freedom to trade internationally, and regulation.

The Philippines had its highest score in the sound money category with 9.01, ranking 34th out of the 165 countries, slightly lower than its previous score of 9.04.

The country’s score in size of government went up to 7.88 from 7.77 previously. Its current ranking was at 21st place from 26th previously.

Manila’s score in regulation also went up to 6.65 (64th) from 6.55 (67th) previously.

However, the country yet again performed worst in the legal system and property rights area with a score of 4.57, ranking 109th. Its score slightly improved from 4.55 previously.

Meanwhile, its score in freedom to trade internationally stood at 7.15, ranking 86th from 87th previously.

Foundation for Economic Freedom President Calixto V. Chikiamco said that the Philippines continues to underperform in the areas of legal system and property rights and trade freedom.

“Particularly in agricultural trade. We are still protecting our agricultural sector with quotas, high tariffs, and other forms of restrictions,” he said in a Viber message.

Meanwhile, Mr. Chikiamco said that the previous administration’s unilateral cancellation of the contracts with the private water concessionaires and refusal to abide by the decision of arbitration proceedings have impacted the country’s overall ranking.

“That and other instances where contracts aren’t honored cause low ratings of the country [in legal system and property rights],” he added.

However, Mr. Chikiamco said that the slight dip in the country’s ranking may also be attributed to improvements in other countries.

“The Philippines can fare better by dismantling agricultural protectionism, reforming an inefficient and corrupt judicial system, removing the Filipino First and Filipino Only provisions in the Constitution, and forging more free trade agreements with more economies,” he added.

Philippine Institute for Development Studies Senior Research Fellow John Paolo R. Rivera said that the results of the index suggest that the Philippines is making progress, but “other economies are reforming faster and more comprehensively.”

“We continue to lag in critical areas like rule of law, regulatory quality, judicial independence, and most especially corruption control, which weigh down its overall ranking,” he said in a Viber message.

To improve, he said that there is a need for the Philippines to strengthen its institutional frameworks.

“It must also enforce property rights, simplify regulations, and promote a more transparent and predictable policy environment to boost investor confidence and economic dynamism,” Mr. Rivera said.

According to the Fraser Institute, economic freedom has been declining since the pandemic.

“Global economic freedom peaked in 2019 but has declined in each of the four years since then, which hasn’t happened since we began measuring economic freedom more than 25 years ago,” Matthew Mitchell, a senior fellow at the Fraser Institute, said in the report.

Hong Kong topped the latest index, followed by Singapore, New Zealand, Switzerland, the United States, Ireland, Australia and Taiwan (tied for 7th), Denmark, and the Netherlands.

However, the Fraser Institute expects US President Donald J. Trump’s tariffs to further depress US economic freedom.

“When countries move to restrict trade freedom, other areas of economic freedom, such as size of government, sound money, and regulatory freedom, often soon follow,” it added.

Meanwhile, the lowest scoring economies on the index were Venezuela, Zimbabwe, Sudan, Algeria, Iran, Myanmar, Argentina, Syria, Libya, and Chad.

PHL needs to boost liquidity to join JPMorgan bond index

PHILSTAR FILE PHOTO

By Aaron Michael C. Sy, Reporter

THE Philippines should focus on boosting the liquidity and increasing the size of benchmark bonds to ensure the inclusion in JPMorgan Chase & Co.’s Government Bond Index-Emerging Markets (GBI-EM) by 2026, analysts said.

At the same time, National Treasurer Sharon P. Almanza said she is hopeful that the Philippines will be officially included in the bond index after the six- to nine-month assessment period.

“We will continue to deepen the secondary market liquidity through consolidation of our issuances and continue building benchmarks. We’ve also introduced the Primary Dealer System and this will help both our primary auction and the secondary market,” she said in a Viber message.

She said the Bureau of the Treasury (BTr) will continue to issue benchmark tenors that will be formulated “based on our debt management strategy while taking into account and assessing the demand of our investors.”

Earlier this month, JPMorgan tagged Philippine peso-denominated government bonds as “Index Watch Positive,” which is the final review phase for inclusion in its GBI-EM series.

JPMorgan said it will conduct its Index Watch assessment and provide updates by the first quarter of 2026.

Reyes Tacandong & Co. Senior Adviser Jonathan L. Ravelas said inclusion in JPMorgan’s watchlist means “big investors” are keeping a close eye on the Philippines.

“To get in, the government needs to make our bonds easier to buy and sell, especially for foreigners. If we succeed, more money could flow into the country, helping lower interest rates and fund public projects more cheaply,” he said in a Viber message.

Mr. Ravelas said the Treasury should focus on offering three-year, five-year and 10-year bonds next year since these are “the most attractive to global investors.”

“BTr should focus on increasing the liquidity and size of benchmark bonds (especially five-, seven-, and 10-year tenors), adopt global settlement systems, and sustain macroeconomic stability,” Philippine Institute for Development Studies Senior Research Fellow John Paolo R. Rivera said in a Viber message.

Mr. Rivera said these efforts will attract more foreign investments as well as boost demand and lower yields.

“Next year’s issuances should prioritize long-dated, high-volume benchmark bonds and possibly include ESG (environmental, social and governance)-linked securities to diversify the investor base and meet index inclusion criteria,” he said.

Meanwhile, Bangko Sentral ng Pilipinas Governor Eli M. Remolona, Jr. said the Philippines’ inclusion in the index will help the government borrow abroad more easily.

“In general, it means the cost of borrowing for our investments will be lower. That should be good for growth. And we’re hoping the growth will spread to the lowest level,” he said in an interview on Thought Leaders with Cathy Yang on One News.

First Gen seeks longer deal for 1,000-MW gas plant

FIRSTGEN.COM.PH

LOPEZ-LED First Gen Corp. is in talks for a further extension of the power purchase agreement (PPA) for its 1,000-megawatt (MW) Sta. Rita gas-fired power plant in Batangas, even after the Energy Regulatory Commission (ERC) approved its renewal until Jan. 31, 2026.

“While [the PPA] for Sta. Rita was already extended, we’re hoping that will also be extended beyond, and that’s currently in negotiation,” First Gen President and Chief Operating Officer Francis Giles B. Puno told reporters on Sept. 18.

In an order dated Aug. 27, the ERC approved the request of First Gas Power Corp. (FGPC), a subsidiary of First Gen, and Manila Electric Co. (Meralco), to extend its PPA until early 2026.

The Sta. Rita plant, which began full commercial operations on Aug. 17, 2000, supplies electricity to Meralco under a 25-year agreement that was originally set to expire at the end of August.

First Gen owns and operates four gas-fired power plants in Batangas with a combined capacity of 2,017 MW.

In its ruling, the ERC said the extension was warranted despite possible effects on Meralco’s generation charge, citing “equally compelling and urgent reasons” such as the rate impact if the Sta. Rita plant were to operate as a merchant facility.

Mr. Puno said long-term gas supply contracts for imported liquefied natural gas (LNG) are needed to ensure cost efficiency compared with short-term arrangements.

“The cheapest is for us to work with government on how we can contract gas supply long-term,” he said.

Meralco earlier estimated an increase of P0.32 per kilowatt-hour in its September generation charge following the ERC’s approval of its extended PPA with FGPC.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera

Berde Renewables eyes 500-MW portfolio by 2028

BERDE RENEWABLES PRESIDENT and Co-founder Patrick Zhu

By Sheldeen Joy Talavera, Reporter

RENEWABLE ENERGY solutions provider Berde Renewables, Inc. is aiming to deliver at least 500 megawatts (MW) of capacity from its project pipeline within the next three years, contributing to the Philippines’ clean energy goals.

“Our main target is to build new solar facilities on time, enhancing operations efficiency to integrate renewable technologies and maintain sustainable growth momentum,” Berde Renewables President and Co-founder Patrick Zhu said in an interview with BusinessWorld.

Mr. Zhu said the company seeks to support the Philippines’ target of increasing the share of renewable energy in the national power mix to 35% by 2030.

Berde Renewables is the portfolio company of global infrastructure investor I Squared Capital, which focuses on solar and other clean energy technologies.

At present, the company has built 50 MW of solar projects in the Philippines, with 31 MW under construction and a 150-MW development pipeline.

Mr. Zhu said the company expects to reach 100 MW in capacity by the end of 2026, supported by a combination of rooftop and ground-mounted solar projects nationwide.

Aside from solar, Berde Renewables is also exploring other clean energy technologies such as energy storage, microgrids, and wind projects.

“Our goal is to basically grow both organically and through partnerships, unlocking new opportunities while delivering impact at scale,” Mr. Zhu said.

He added that demand for renewable energy, particularly rooftop solar systems, is on the rise as more businesses seek to maximize the potential of their roofs for power generation.

“Now, I think the timing is right. Most of these businesses are actually aware of the existence of renewable energy, especially solar. So I think the demand is definitely there,” he said.

In March, Berde Renewables announced a joint venture with Thailand-based Power Systems and Solutions Co. Ltd. (PSS) to develop 300 MW of renewable energy projects in Thailand over the next three years.

The partnership aims to roll out solar photovoltaic, battery storage, and hybrid energy projects to meet rising demand for sustainable power in industrial, commercial, and grid-scale applications.

PSS is a Thailand-based renewable energy developer and engineering, procurement, and construction contractor that has delivered over 198 MW of sustainable energy projects across the region.

The joint venture combines Berde Renewables’ clean energy technologies with PSS Group’s expertise in engineering, oil and gas, power, renewables, and industrial services.

“The partnership is backed by Berde’s capital strengths and PSS’s capability. They have done multiple projects in Thailand, so that basically enabled us to scale quickly and strategically,” Mr. Zhu said.

After establishing its entry in Thailand, Mr. Zhu said Berde Renewables is exploring other Southeast Asian markets such as Vietnam, Indonesia, and Malaysia.

“Our Thailand joint venture is the first step in building a larger Asia-Pacific green energy platform. We will try active explorations in other Southeast Asian market which we are doing right now. So hopefully before the end of the year we can expand it to one more market within Southeast Asia,” he said.

Maynilad’s P1.6-B Muntinlupa wastewater facility starts operations

CUPANG WATER RECLAMATION FACILITY in Muntinlupa City. — MAYNILAD WATER SERVICES, INC.

WEST ZONE concessionaire Maynilad Water Services, Inc. has started treating up to 46 million liters of wastewater daily at its newly commissioned P1.6-billion Cupang Water Reclamation Facility (WRF) in Muntinlupa City.

The facility is intended to expand sewerage coverage and treat wastewater to meet environmental standards, Maynilad said in a statement on Monday.

It is designed to serve about 33,000 customers in Sucat, Buli, Cupang, and Bayanan in Muntinlupa, Maynilad said.

At the same time, the company said it has started upgrading the facility to comply with stricter effluent standards under Department Administrative Order (DAO) 2016-08, as amended by DAO 2021-19 of the Department of Environment and Natural Resources.

“We are not only expanding our wastewater treatment capacity — we’re also future-proofing our facilities to comply with the latest environmental standards,” Maynilad President and Chief Executive Officer Ramoncito S. Fernandez said.

The Cupang WRF is one of two major wastewater treatment facilities recently completed in Muntinlupa, along with the nearby Tunasan WRF.

The company’s service area covers most of Manila, except portions of San Andres and Sta. Ana, as well as Quezon City, Makati, Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas, and Malabon.

It also supplies water to the Cavite cities of Bacoor and Imus, and the towns of Kawit, Noveleta, and Rosario.

IPO DELAY
Maynilad earlier said it was moving its initial public offering (IPO) to no later than Nov. 7 to give cornerstone investors more time to evaluate the company.

This marks the second postponement of its listing.

The company originally planned to conduct its IPO on July 17 but later rescheduled to Oct. 30, citing potential demand from cornerstone investors.

Metro Pacific Investments Corp., which holds a majority stake in Maynilad, is one of three 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 an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera

T-bill yields go down on strong demand for safe-haven assets

BW FILE PHOTO

THE GOVERNMENT made a full award of the Treasury bills (T-bills) it offered on Monday at lower rates on strong demand for safe-haven assets amid broad market volatility.

The Bureau of the Treasury (BTr) raised P22 billion as planned from the T-bills it auctioned off as the offering was almost four times oversubscribed, with total bids reaching P80.475 billion. However, this was lower than the P117.84 billion in tenders recorded on Sept. 22.

The Auction Committee made a full award of its offer as all T-bill tenors fetched average rates that were lower than those seen at last week’s auction and prevailing secondary market yields, the BTr said in a statement.

Broken down, the Treasury borrowed P7.5 billion as planned via the 89-day T-bills as total tenders for the tenor reached P21.93 billion. The three-month paper was quoted at an average rate of 4.828%, down by 5.5 basis points (bps) from the 4.883% recorded in the previous auction. Yields accepted were from 4.71% to 4.9%.

The government also raised P7.5 billion as programmed from the 182-day securities as tenders amounted to P31.2 billion. The average rate of the six-month T-bill was at 5.075%, easing 0.6 bp from the 5.081% fetched last week, with accepted rates spanning from 4.94% to 5.117%.

Lastly, the Treasury sold the planned P7 billion in 364-day debt as demand for the tenor totaled P27.345 billion. The average rate of the one-year T-bill dropped by 2.4 bps to 5.171% from 5.195% previously. Bids awarded carried yields from 5.027% to 5.215%.

At the secondary market before Monday’s auction, the 91-, 182-, and 364-day T-bills were quoted at 4.9354%, 5.1635%, and 5.2607%, respectively, based on PHP Bloomberg Valuation Service Reference Rates data provided by the Treasury.

“T-bill average auction yields declined after the recent volatility in the stock market partly led to some fund shifts to Treasury bills, other local fixed-income investments, and other safer havens,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

The Philippine Stock Exchange index fell below the 6,000 line on Monday, closing at a near six-month low of 5,997.60.

“Lower rates are likely due to the bonds being more attractive at the moment, as their yields have gotten higher recently. As for the demand, I presume it is simply following the trend of declining demand for the past three weeks,” a trader said in a text message.

Mr. Ricafort added that T-bills continue to benefit from improved sentiment after JPMorgan Chase & Co. placed the Philippines in the positive watchlist for its emerging market government bond index earlier this month, as this could help attract more foreign investments, increase liquidity, and lowering borrowing costs.

Being part of the positive watchlist is the final review phase for inclusion in the global bank’s Government Bond Index for Emerging Markets (GBI-EM) series. The Philippines would have a weight of about 1% of the GBI-EM Global Diversified Index if included, JPMorgan said.

T-bill yields declined amid expectations of further easing from both the Bangko Sentral ng Pilipinas (BSP) and the US Federal Reserve, he said, although the magnitude and timing of additional cuts remain uncertain as policymakers monitor emerging economic data.

“The series of BSP rate cuts in recent months and possible BSP and Fed rate cuts in the coming months led more investors to lock in yields before they go down further,” Mr. Ricafort said, also noting that the three-month T-bill’s average awarded yield has been below the BSP’s target reverse repurchase rate of 5% since mid-September.

Last week, BSP Governor Eli M. Remolona, Jr. said they could lower benchmark rates further as early as next month if the economy shows signs of slowing.

The Monetary Board last month slashed borrowing costs by 25 bps for a third straight meeting to bring the policy rate to 5%. This brought cumulative cuts since August 2024 to 150 bps.

Meanwhile, the Fed this month lowered its target rate by 25 bps to the 4%-4.25% range, which was its first cut since December. This brought its total reductions since September 2024 to 125 bps. Its “dot plot” showed projections of two more rate cuts this year.

Mr. Powell said last week that the central bank needed to continue balancing the competing risks of high inflation and a weakening job market in coming interest rate decisions, Reuters reported.

The BTr is looking to raise P180 billion from the domestic market this month, or P110 billion via T-bills and P70 billion through Treasury bonds.

The government borrows from local and foreign sources to help fund its budget deficit, which is capped at P1.56 trillion or 5.5% of gross domestic product this year. — Aaron Michael C. Sy

ePLDT launches Pilipinas AI, first locally hosted AI platform

VITRODC.COM

ePLDT, Inc., a unit of PLDT Inc., has launched Pilipinas AI, described as the country’s first “sovereign” artificial intelligence (AI) platform, which allows enterprises to build and deploy AI models within the Philippines using locally hosted infrastructure and data.

The platform was developed in partnership with Dell Technologies, Inc. and Katonic AI. It will be hosted at VITRO Sta. Rosa, ePLDT’s newest data center in Laguna with a 50-megawatt (MW) capacity.

Sovereign AI refers to the capability of developing and running AI systems within a country, supported by domestic infrastructure and data storage, to ensure that information remains under local jurisdiction.

ePLDT President and Chief Executive Officer Victor S. Genuino said Pilipinas AI would provide enterprises with access to computing power and AI tools without requiring them to invest in their own infrastructure.

“This way, enterprises can start building and deploying AI models right away without worrying about setup, integration, or compliance. And because it is hosted here, your data never leaves home, ensuring the highest level of data sovereignty,” Mr. Genuino said during the launch on Monday.

The initiative expands ePLDT’s GPU-as-a-Service offering, which uses NVIDIA-powered servers at VITRO Sta. Rosa. This on-demand computing model allows businesses to access advanced graphics processing units (GPUs) for AI applications.

According to ePLDT, Pilipinas AI is expected to support industries such as banking and finance, business process outsourcing, healthcare, public services, and academia. Potential uses include fraud detection, AI-driven weather forecasting, customer service tools, and AI-assisted medical diagnostics.

At the local bourse on Monday, shares in PLDT gained P5, or 0.46%, to close at P1,099 apiece.

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

BPI, GCash adopt InstaPay for cash-ins

BANK of the Philippine Islands (BPI) and GCash said all cash-in transactions will now be coursed through the InstaPay payment gateway by October.

“In line with the Bangko Sentral ng Pilipinas (BSP) directive to enhance interoperability and transparency in digital financial services, the Bank of the Philippine Islands is adopting InstaPay for all inter-institution cash-in transactions,” it said in a statement on Monday.

As a result, starting next month, BPI will charge a standard P15 service fee for all cash-in transactions made via InstaPay, including those to GCash.

“The fee covers additional expenses, including clearing costs from BancNet, the designated clearing switch operator for InstaPay,” it said.

“This follows earlier implementations for ShopeePay and SeaBank in August, and will similarly apply to other apps as they comply with the BSP directive.”

BPI said its clients can opt for alternative options to save on transaction fees, such as using its app to transfer funds to GCash via InstaPay, which will continue to have a P10 fee.

“Select customer segments and merchant payments continue to enjoy free transfers,” it added.

Users can also open a BPI #MySaveUp account via the GCash app, as they can transfer funds from the BPI app to GSave without fees, which can then be used to top-up their GCash wallet.

For its part, GCash said it will not charge direct cash-in fees under the new InstaPay model. “However, partner banks may adjust their own service fees depending on their policies related to this shift.”

BPI’s net income was up 7.02% to P16.44 billion in the second quarter, bringing its six-month profit to P32.96 billion, up by 7.83% year on year.

Its shares went down by P1 or 0.89% to close at P111 apiece on Monday. — A.M.C. Sy

A salute to Filipina ‘agripreneurs’

DA-AFID; DEPARTMENT OF AGRICULTURE – PHILIPPINES FACEBOOK ACCOUNT

The life of a farmer is never easy. In the Philippines, where agriculture contributes 7.5% to GDP, farmers remain one of the most under-appreciated and marginalized groups.

The struggle is even more difficult for women in agriculture as they are some of the hardest workers but also the most underpaid and unrecognized. Gender biases and discrimination contribute to their lack of representation and recognition, both in the social sphere and when it comes to their rights as workers. However, not all hope is lost. Women, much like the crops they grow, are capable of flourishing in spite of the challenges that they face. They continue to make advances in agriculture and in agricultural entrepreneurship.

According to the Philippine Statistics Authority (PSA), as of 2022, women represent 24.6% of the agriculture industry. The harsh reality is that this number is most likely not accurate, owing to gender norms that consider women’s work in agriculture as an extension of their household tasks. Thus, just from participation alone, women are already under-represented and overworked. Gender-specific obstacles, such as a gender wage gap, discrimination, lack of bargaining power, unsecure employment, lack of land rights, and unpaid work, are just some of the many reasons that women seem to not have as much success.

OUTSTANDING FILIPINA ‘AGRIPRENEURS’
In the face of bleak statistics for women in agriculture, Filipina “agripreneurs” — entrepreneurs in agriculture — continue to make progress and set new benchmarks. Women’s participation in the agricultural sector is not solely based on the income they generate and their contribution to the economy, but also in the meaningful way their representation can effect change among their fellow women and communities.

I had the privilege of being a member of the Judging Committee of the Department of Agriculture’s (DA) 2024 Search for Outstanding Rural Women (SORW), which sought to honor women who remained steadfast as stewards of agricultural production.

Sonia Soriao Padilla from Catanduanes was hailed the winner of the 2024 SORW. Ms. Padilla considers herself a farmer-leader; her philosophy is that the work does not stop at farming. She is a leader in her community, occupying several positions in farmers’ associations and committees. These positions are not just accolades on paper, but a representation of how her work in farming and her thriving business have led the way for the creation of jobs, loans for farmers, and the adoption of innovative farming practices. She exemplifies what a Filipina “agripreneur” is — innovative, forward-looking, and a force of change in her community.

The first runner-up of the 2024 SORW, Dauphine Alviar of Cagayan, is another exemplar of the invaluable contributions that women make in the agricultural sector. Typhoons and natural disasters inspired Ms. Alviar to advocate for sustainable and climate-resilient agriculture practices. These practices are taught in her farming school, the Grandeza Integrated Farm and Tourism School, which is a TESDA (Technical Education and Skills Development Authority) and Department of Tourism-accredited institution that caters to farmers, fisherfolk, and women to provide them with certified learning and hands-on training. The school is also DA-accredited for Good Agricultural Practices (GAP), confirming that when women lead, great things can happen.

The second runner-up of the 2024 SORW is the founder and president of BAbae Livelihood AcceleratiNG Kasaba OpportunitY (BALANGKOY), Wilma Alvester. Her primary crop is cassava and through BALANGKOY, she researches and develops the processing of different cassava products. Her participation in government programs and initiatives has led to the creation of a solar-powered facility, the innovation of a cassava soil conditioner, and the acquisition of machinery that minimizes production costs.

Recognizing women “agripreneurs” should not be merely lip-service but a means of showing respect for their craft, dedication, and hard work. The work they do translates to policies that benefit farming communities. The representation of women “agripreneurs” on a larger scale boosts the community, and signals to other women that they too can succeed as farmers.

EMPOWERING FILIPINA ‘AGRIPRENEURS’
In March this year, a Social Weather Station survey revealed that 27.2% of Filipino families experienced involuntary hunger. Food insecurity is a pervasive issue that the Philippines has long aspired to solve. As food security is put at the forefront of Philippine priorities, the ways our current food insecurity can be addressed is through strategic policies, securing food reserves, and mitigating risks and disasters, among other things.

Above all, farmers should be empowered and supported, especially women who continue to face constraints and challenges. Some recommendations for consideration:

1. Mainstreaming and creating awareness of gender perspectives in education to address gender norms, and conscious and unconscious bias that prevent women from their full economic participation;

2. Making technical assistance and funding sources easily accessible, especially to women in rural areas;

3. Training on product development, capacity and network-building, resource mobilization, and marketing;

4. Integrating gender perspectives in climate and risk and disaster mitigation as these affect women and men disproportionately; and,

5. Participating at a national level in decision-making, especially when crafting policies that affect women “agripreneurs.”

The ways to uplift and empower women are endless, but we have to start somewhere. Initiatives of the DA, such as the 2024 SORW and capacity-building programs are notable but the current situation of our climate and food insecurity demand more drastic measures. Women in agriculture must be prioritized. Despite the limited support they receive, they are able to elevate their communities and make lasting changes. With the right tools, inclusive policies, and national support, the country can optimize women’s potential and their contribution to food security.

Together, let us pay tribute to Filipina “agripreneurs” and unearth the strides that they have made.

 

Ma. Aurora “Boots” D. Geotina-Garcia is a member of the Management Association of the Philippines (MAP) Diversity, Equity & Inclusion Committee and the MAP Education Committee. She was the first female chair of the Bases Conversion & Development Authority (BCDA) and is the founding chair and president of the Philippine Women’s Economic Network or PhilWEN). She is president of Mageo Consulting, Inc., a company providing corporate finance advisory services.

map@map.org.ph

magg@mageo.net

Pure Energy, two firms to acquire 71.68% stake in Coal Asia for P220.9M

Pure Water Corp. (PWC), through its subsidiary Tubig Pilipinas Group, Inc. (TPGI), is a complete bulk water supply and distribution company.—PUREENERGY.COM.PH

PURE ENERGY Holdings Corp. (PEHC), a holding firm with interests in water and renewable energy, and two other companies — water utility subsidiary Pure Water Corp. (Pure) and unaffiliated firm Quadwater Corp. (Quad) — have signed a deal to acquire a 71.68% stake in listed Coal Asia Holdings, Inc. for P220.9 million.

In a regulatory filing on Monday, Coal Asia said its stockholders executed a share purchase agreement with PEHC, Pure, and Quad for the sale and purchase of 28.67 billion common shares of the company.

Under the deal, PEHC purchased 4.99 billion shares, representing 12.48% of the company’s issued and outstanding capital stock.

Pure and Quad bought 11.84 billion shares each, equivalent to a combined 59.2% stake.

“The transaction provides the buyers with the opportunity to acquire a significant interest in the company,” PEHC President Eric Peter Y. Roxas said in a Viber message.

“It also facilitates the reallocation of shareholdings among the parties in a manner that supports their respective investment objectives.”

The selling shareholders — Dexter Y. Tiu, Eric Peter Y. Roxas, Gertim G. Chuahiong, Alexander Y. Tiu, and John L. Capinpin — expect to finalize the transaction before the end of the year.

PEHC was founded by Mr. Tiu, who also established Coal Asia and Titan Mining & Energy Corp. Mr. Roxas is a director in both companies.

PEHC, Pure, and Quad Water have interests in Tubig Pilipinas Group, Inc., a water utilities and distribution company. — Sheldeen Joy Talavera

Mike Hanopol brings back 2003 album Lagablab

MIKE HANOPOL at Backspacer Records (above) for the launch of the vinyl version of his album Lagablab. — BACKSPACER RECORDS

Vinyl edition out via Backspacer Records

THE vinyl edition of Filipino rock legend Mike Hanopol’s album, Lagablab, is now available at indie vinyl record shop Backspacer Records in Pasig City.

First released in 2003 under Warner Music Philippines, the 10-track, guitar-heavy album is ultimately a message to younger generations of Filipinos who have yet to learn life’s lessons. It boasts different genres, like jazz, hip-hop, ballad, and fusion, but at the end of the day, “falls under Pinoy rock,” according to Mr. Hanopol.

“What are the ingredients for a sound to be considered Pinoy rock?” he asked at the launch on Sept. 28 at Backspacer Records.

“It’s the melody, the lyrics, and the timing — kung kailan pumapasok at tumatalakay ito sa panahon natin (when it comes in and dwells on the times we live in),” he explained.

Mr. Hanopol recalled how the album was inspired by Filipinos whom he saw lining up outdoors in Luneta to apply to go abroad.

Habang pinanonood ko sila, pumapasok sa akin ’yung mga letra. ’Yung mga taong ito, maraming mangiiwan at maraming maiiwanan. (While I was observing them, the words were coming to me. These people, many of whom will leave people behind, and many who will be left behind),” he said.

For the OPM icon who has been active since the 1970s, his motivation for making music has always been “ang masa (the people).”

Lagablab also boasts collaborations with many Filipino music icons: the late Francis Magalona, Hannah Romawac, and Aia De Leon, to name a few. Even the session musicians changed every track.

“I see to it that, in every song, there are two or three musicians who are different. I tried to give them opportunities to be named,” he said.

The vinyl edition features newly remastered audio by Shinji Tanaka and original artwork by contemporary painter Lynyrd Paras.

Among the standout tracks that Mr. Hanopol discussed at the launch were “Ang Magulang Mo,” “Sa Aking Pag-Uwi,” and “Namamasyal.”

Mr. Hanopol cited these tracks as examples of his songwriting that focused more on simple lyrics that could be understood by all. “Nahihirapan ang mga tao kapag lalaliman mo. Kailangan maintindihan nila (People will have a hard time if the words are too deep. They have to understand),” he said.

Meanwhile, “Namamasyal” was a track that showcased the brilliance of iconic Filipino rapper Francis Magalona, who he recalled took only 10 minutes to pen and record the rap verse for the song.

WHAT’S NEXT
At the launch, Mr. Hanopol welcomed fans who participated in the discussion and reiterated the album’s intentions.

He described his work as “rock na malungkot (rock that is sad),” keeping in mind younger generations who have forgotten how to be Filipino.

“They are just Filipino because they have a birth certificate, but they listen to, use, and wear everything foreign,” he lamented.

He feels his own music and lyrics deeply, telling the press, “Tinatamaan ako ng sarili kong gawa. Napakahirap. Madalas mangyari sa akin (I’m hit by my own works. It’s very difficult. It happens very often to me).”

He ended the session with a listen of Lagablab’s final track, “Talamak,” pointing out certain lyrics which he invited the audience to discuss amongst themselves before the album signing began:

Paiiralin ba natin ang masamang damo? / Ganito ba tayo habang-buhay? (Will we let the bad weeds grow? / Will we remain like this for as long as we live?)”

The vinyl record of Mike Hanopol’s Lagablab can be purchased exclusively via Backspacer Records’ official website and its physical store, located at the 2nd floor of D’Ace Plaza in Kapitolyo, Pasig City. — Brontë H. Lacsamana