GCash Stories returns with a powerful new release featuring Turing Quinto, as the face of GCash’s “Werk With Pride” advocacy for Pride Month. Directed by Antoinette Jadaone, the film celebrates pride by putting a spotlight on GCash’s commitment to inclusivity and financial empowerment while telling the story of strength and persistence of Filipino drag performer, Turing.
Turing gained fame as a contestant on the debut season of Drag Race Philippines. The short film delves into Turing’s aspirations and determination to succeed in life while showing the challenges faced by breadwinners striving to make ends meet.
Just like anyone else chasing a brighter future, Turing works with pride, thanks to GCash. She reassures her mother, “Ako nang bahala sa pag tambling, Ma,” despite the struggles their family faces.
Overcoming tears, she performs in her living room, cheered on by her family and supported by GCash, enabling her to receive tips from fans all around the country.
“Sobrang proud ako sa film na ‘to, kasi it really showed how GCash was there during some of my most challenging times,” shares Turing. “Especially nung lockdown kasi virtual shows lang ang nagagawa naming drag performers kasi sarado lahat ng bars and clubs, ang laking tulong ng GCash para makatanggap kami ng tips in real time, and I got to continue doing what I love the most.”
The premiere of Turing’s GStories film took place at the GTalks: Werk With Pride event on June 22. GCash created GTalks as a space for meaningful discussions on topics that impact the everyday lives of Filipinos, such as providing access to financial services, diversity and inclusion, and climate action.
Sharing their own success stories with GCash, the Werk With Pride event also featured a panel discussion with LGBTQIA+ business owners and entrepreneurs Gabby Cantero, Butterboy founders Hilder Demeterio and Jayson So, and Chippy Day Abando & Nariese Giangan of Food for the Gays.
GCash: Enabling Dreams and Aspirations for All
Regardless of who you are or what you aspire to, GCash supports your dreams by providing accessible financial services – even beyond Pride Month. GCash remains an essential tool for Filipinos as they work to achieve financial independence.
GCash offers GLoan, instant cash loans for kickstarting your goals, and GInsure, a range of insurance products safeguarding the future of LGBTQIA+ individuals and their loved ones. Business owners can also enjoy seamless payment experiences with Scan-To-Pay, enabling easy QR code payments online and offline.
“We understand the needs of our customers and will continuously innovate to provide accessible financial services for Filipinos, regardless of gender, background, or preference,” says Neil Trinidad, Chief Marketing Officer of GCash. “Like Turing, there are many stories of hope that inspire us to continue to help uplift the lives of Filipinos.”
With GCash, you, too, can #WerkWithPride, just like Turing does with every performance, knowing she’s supported by a platform that leads Filipinos to a better tomorrow.
Watch Turing’s inspiring story in the full “Turing” short film on YouTube. Share your own story of hope and progress using the hashtags #GCashStories and #MyGCashStory, and tag @gcashofficial.
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INDIVIDUALS shop for food items inside a supermarket in Quezon City, Jan. 16, 2023. — PHILIPPINE STAR/ MIGUEL DE GUZMAN
Philippine annual inflation in June was expected to come in between 5.3% to 6.1%, with downward pressure coming from lower prices of meat, fruit, and liquefied petroleum gas, the central bank said on Friday.
Higher prices of key food items and an increase of domestic oil prices and electricity rates are the primary sources of upward price pressures, it added.
June inflation data is due to be released on July 5. Inflation eased for the fourth straight month in May, to 6.1%.
The Bangko Sentral ng Pilipinas (BSP) said it will continue to monitor developments affecting the outlook for inflation and growth as it formulates the monetary policy. Its next rate-setting meeting is on Aug. 17. — Reuters
The rumors are true. vivo’s newest smartphone in its Y Series portfolio, vivo Y36, is coming soon to the Philippines after it was launched in Thailand and Malaysia earlier in June 2023.
vivo’s growing Y Series lineup is known for fun and stylish smartphones with superb performance at affordable rates.
The hot-selling vivo Y36 in neighboring Southeast Asian countries will make its way to the Philippines in July.
What do we know so far? Filipino Gen Zs and young Millennials need to watch out as vivo will offer these top features that will meet their fast-paced, dynamic lifestyle at a mid-range price.
Turbo Memory Booster
vivo promises no lag with Y36 even though there are too many apps running in the background. The smartphone offers 8GB RAM and up to 8GB Extended RAM, a RAM Saver, and an Interface Preserver for a smooth and seamless multitasking experience.
Generous space for memories and essentials
No need to worry about having full storage with vivo Y36’s 256GB ROM with up to 1TB micro-SD card slot for expansion. With this large storage capacity, anyone can store up to 250,000 photos, more than 500 hours of HD videos, and 6.5 million documents.
Effortless victories with some gaming solutions
vivo Y36 is believed to sport a 240Hz Gaming Touch Sampling Rate + 90Hz Refresh Rate for more accurate touch responsiveness when playing favorite games that require high frames per second, like Mobile Legends and Call of Duty. With the slightest finger movement, effortlessly control and win every game.
Bigger battery, faster charging
vivo offers longer fun, providing more battery capacity at 5000mAh and fast charging technology at 44W. One of the finest technological advancements of the current era is fast charging, and vivo appears to be a step forward in this area. The brand claims to get 70% battery life in just 34 minutes.
Smooth cell-ing with a powerful chip
The device is expected to be launched with Snapdragon 680, which has a 6nm processor capable of increasing speed but reducing unnecessary energy consumption. Expect longer battery life with this powerful chip at hand.
Brighter and clearer than ever photos at night
vivo Y36 is rumored to have 50MP Super Night Algorithm technology that can bring nighttime photography to the next level. It is believed to enhance the brightness, vividness, and clarity of photos taken in low-light conditions.
What more to expect?
vivo is also set to announce its new brand ambassador and a partnership with an international sports organization that will blow away every fan’s mind.
Be the first to know about vivo Y36 and exclusive announcements by following vivo’s official channels on Facebook, Instagram, YouTube, Twitter, and TikTok.
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The 2023 Outstanding Filipino Retailers (OFR) Awards Night, held last June 8 at Okada Manila in Pasay City, celebrated the remarkable resilience, commitment, and dedication of Filipino retailers during challenging times. Themed “TIBAY: Gabi ng Pagpupugay,” the event recognized retailers’ outstanding efforts, which served as an inspiration to their organizations and communities, making a significant impact amidst adversity.
The OFR Awards is an annual event that recognizes Filipino retailers who have exhibited exemplary performance, innovation, and best practices within the retail industry. Started in 1997, the OFR Awards is a collaboration between the Philippine Retailers Association (PRA) and the Department of Trade and Industry (DTI). Through the OFR Awards, outstanding retailers are acknowledged for their contributions to the industry and their communities.
For this year’s special edition, the OFR Awards sought to recognize retailers in the country who continued to operate and was able to respond effectively during the time of pandemic.
The categories and criteria for this year were focused and centered on environmental, social, and governance (ESG) standards. These non-financial factors identified this year’s OFR winners along with the impact that the Filipino retailers brought not only to the retail industry but to the entire community and all of its stakeholders.
The prestigious 2023 PRA President’s Award was presented to Jose Ma. “Joey” A. Concepcion III, founder of Go Negosyo and Presidential Adviser for Entrepreneurship. This distinguished honor acknowledged Mr. Concepcion’s unwavering drive and devotion in uplifting Filipino businesses, particularly micro, small, and medium enterprises (MSMEs). His initiatives in mitigating the negative impact of business closures have fostered resiliency and recovery, positively influencing the MSMEs, retail industry, and the overall economy.
“The PRA was kind enough to acknowledge my efforts during the pandemic, when we tried and worked with national and local governments, with the health officials and pandemic experts to mitigate the effects of the pandemic lockdowns on our MSMEs,” Mr. Concepcion wrote in a recent column in The Philippine STAR.
“Throughout this time, we worked closely with the PRA, which has been a steadfast partner of Go Negosyo for many years. Their membership comprises not just the big retailers, but also the smaller ones,” he added.
The 2023 PRA Special Awards were bestowed upon malls and shopping centers that demonstrated unwavering commitment in supporting retailers during the pandemic.
Ayala Malls, Robinsons Malls, and SM Supermalls received these accolades, acknowledging their exceptional dedication and efforts in providing a safe and conducive environment for retailers to operate amidst unprecedented circumstances. Their leadership, innovation, and compassion played a vital role in navigating the challenges of the pandemic and emerging stronger than ever before.
In a statement, SM Supermalls regards the special award given by PRA as “a testament to its exceptional dedication and efforts in providing a safe and conducive environment for its retailers.”
From L-R: PRA Chairman Emeritus and Blims Lifestyle Group Chairman Samie Lim; PRA Chairman and Picture City Int’l, Inc. President Paul A. Santos; Department of Trade and Industry Secretary Alfredo E. Pascual; PRA Vice-Chairman and Central Books Director Ma. Alegria S. Limjoco; and PRA Vice-Chairman and Sportshouse Int’l. Leisure, Inc. President Mars C. Chua
“During the COVID-19 crisis, SM made sure that its tenant partners would continue operating and serving their customers amidst the unprecedented circumstances through rental relief, retraining, and employee testing and vaccination as a first step towards normalcy,” the statement added.
Moreover, the OFR Awards recognized outstanding retailers in various categories, highlighting their exceptional achievements.
The Pandemic Resiliency Award recognized retailers who continued to operate and were able to sustain, contain, and maintain their business during the time of the pandemic. It also recognized retailers who initiated remarkable projects that centered on corporate social responsibility, which brought about positive impact to the organization, society, and retail industry.
This award was granted to jewelry brands Silverworks (Small Category), Karat World (Medium Category), and fast food chain McDonald’s Philippines (Large Category).
Felix Gorriceta III, president of Karat World, expressed the company’s heartfelt appreciation to PRA for honoring them with the said recognition.
“We are truly grateful for the recognition bestowed upon us, and it serves as a testament to our unwavering commitment to excellence in the jewelry retail industry,” Mr. Gorriceta said in a LinkedIn post.
“This is the story of our people and the communities who struggled during those challenging times. This is a story of hope that made us work harder for each other and for others. This award is a testament to the Filipino spirit of Bayanihan, that together we can overcome,” Margot Torres, managing director of McDonald’s Philippines, said in another LinkedIn post about their award.
Meanwhile, the Sustainability Award recognized retail companies that focus on sustainability and integrate it as part of its core business and operations. In particular, this award appreciates the sustainable efforts of retailers and their approaches on future-proofing their organization in terms of implementing ethical and environmentally-friendly practices within their own organizations.
Under this category, the 2023 OFR Awards recognized Silverworks (Small Category), fashion brand BAYO (Medium Category), and home improvement & construction supply retailer Wilcon Depot (Large Category).
For Wilcon Depot, the award signifies its continuous commitment and tremendous efforts toward environmental sustainability, as indicated by its comprehensive and innovative sustainable practices across its corporate operations.
“As an industry leader, we will continually enhance the customer experience by innovating to offer sustainable products… and taking care of our people and communities. Let’s build a greener, cleaner, and more sustainable future for all,” Grace Tiong, Wilcon Depot’s senior vice-president for human resources, said in a statement.
BAYO, in a statement on its official Facebook page, shared that the company is “filled with immense pride” in receiving the award “as it reflects our unwavering commitment to leading the way in sustainability and making a positive impact on our planet and our people.”
“As a forward-thinking brand, we’re proud to set new benchmarks for sustainable retailing. This award also best recognizes our pioneering and continuing efforts in achieving zero waste and zero carbon emissions while working with local communities,” the statement added.
Having won the two aforementioned awards this year, Silverworks also expressed its gratitude for being honored among Outstanding Filipino Retailers for its resiliency and sustainability.
“[With] 33 years of resiliency and sustainability, our team is excited to grow our brand for more years to come,” Silverworks said in a statement published on several Facebook pages of its branches.
Lastly, the Pandemic Retail Innovation Award recognized retail companies that implemented innovative programs since 2020 that have demonstrably improved the organization’s overall performance and business strategy. It particularly sought to recognize companies that have specific retail industry-moving program that have a huge and transformative impact to the local retail industry.
The awardees under this category are bags and luggage brand TUMI (Small Category), outdoor and sporting good company R.O.X. (Medium Category), and casual wear retail brand Penshoppe (Large Category).
For Primer Group of Companies, which owns both TUMI and R.O.X. brands, the respective wins of these brands demonstrate resilience, creativity, and dedication to exceptional retail experiences amid challenging circumstances.
“These brands’ exceptional pandemic retail innovation distinguishes them as true industry leaders, embodying Primer Group’s vision of bringing the world closer to their customers, even in the face of adversity,” Primer Group said in a statement published on its LinkedIn page.
Meanwhile, Golden ABC, Inc. (GABC), the enterprise that owns Penshoppe, shared in a statement also published on LinkedIn that despite the past years that were made tough by lockdowns and mobility restrictions, GABC was able to hold its foresight “to grow its digital retail space while also preparing for the eventual return of the physical stores.”
“At the height of the pandemic, Golden ABC fearlessly implemented several innovation projects, and valiantly ramped up its digitalization journey by providing solutions tailored-fit to different shopping preferences, never neglecting those who did not have the means to visit our physical stores,” the company said.
Overall, the recipients of this year’s OFR Awards exemplified resilience, adaptability, sustainability, and innovation, showcasing their ability to overcome challenges and thrive amidst adversity.
“The 2023 OFR Awards Night was a remarkable celebration of the indomitable spirit of Filipino retailers,” said Rosemarie B. Ong, president of the PRA. “We commend the winners and all the nominees for their outstanding contributions to the retail industry and their unwavering commitment to serving their communities. They have inspired us all with their resilience and dedication.”
PRA hopes that all the awards’ finalists and winners continue to serve as beacons of excellence for their customers, the industry, and the country.
“Let us celebrate the extraordinary achievements and unwavering dedication as we continue to inspire and shape the future of the retail industry!” the association said.
PRA Vice-Chairman Ma. Alegria S. Limjoco (left) and PRA President Rosemarie B. Ong (right) with Richard Buxani (center), the metal sculptor behind the trophies received by the 2023 OFR awardees
The 2023 OFR Awardees received a trophy specially sculpted by prolific Filipino metal sculptor Richard Buxani; while the PRA President’s Award was crafted by glass sculpture artist Marge Organo. The trophies symbolize the strength of character, burning passion, and unwavering commitment of the awardees.
The success of the 2023 OFR Awards Night was made possible with the support of its sponsors. The PRA extends its heartfelt appreciation to the sponsors for their valuable contributions: platinum sponsors The SM Store, Wilcon Depot, CMG Retail, and Ayala Malls; gold sponsors Primer Group of Companies and Robinsons Malls; silver sponsor Penshoppe; and media partners BusinessWorld, The Manila Times, and Manila Bulletin.
A PICTURE illustration of US dollar, Swiss franc, British pound and Euro bank notes taken in Warsaw, Jan. 26, 2011. — REUTERS
MORE FOREIGN CAPITAL left the Philippines for a fourth straight month in May, although significantly lower than a year ago as investor sentiment improved.
Data from the Bangko Sentral ng Pilipinas (BSP) showed transactions on foreign portfolio investments registered with the central bank through authorized agent banks posted a net outflow of $124.49 million in May.
This is a 54% drop from the $270.42-million net outflow in the same month last year. Month on month, it was 64.6% lower than the $351.87-million net outflow in April.
Foreign portfolio investments are commonly referred to as “hot money” due to the ease by which these funds enter or leave the economy.
The lower hot money outflows in May were likely due to the better economic landscape, China Banking Corp. Chief Economist Domini S. Velasquez said in a Viber message.
“The US debt ceiling impasse was resolved and at that time the Fed was expected to pause in its hiking cycle. The slightly depreciated peso could have also helped,” she said.
Meanwhile, the peso depreciated by 77 centavos or 1.37% to P56.15 on May 31 from its April 28 close of P55.38 against the dollar.
“The narrower net foreign selling could have been attributed to the easing inflation trend in recent months amid the decline in global crude oil prices,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.
Philippine inflation cooled to 6.1% in May — its slowest level in a year — from 6.6% in April. Still, this is the 14th straight month inflation breached the BSP’s 2-4% target. To date, inflation has averaged 7.5%.
BSP data showed gross inflows of hot money stood at $844.72 million in May, down by 12.5% from the $965.62 million a year earlier. Month on month, gross inflows increased by 18.5% from $712.83 million in April.
The bulk or 69.7% of investments went into Philippine Stock Exchange (PSE)-listed securities, mainly in banks, food, beverage and tobacco, holding firms, property, and transportation services.
The remaining investments went to peso government securities and in other instruments.
The top five investor countries are the United Kingdom, the United States, Singapore, Luxembourg, and Hong Kong, which accounted for 86.6% of foreign portfolio investment inflows.
Meanwhile, gross outflows dropped 21.6% to $969.21 million in May from $1.24 billion in the same month a year earlier. It also slipped 9% from the $1.06-billion outflows in April.
The BSP said that 66.2% of total outward remittances went to the United States.
For the first five months, hot money yielded a net outflow of $805 million, a reversal from the $1.1-billion net inflow in the same period in 2022.
“Lingering concerns about the pace of Fed tightening continued to entice foreign outflows. Direction of flows will likely be informed by the outlook for Fed policy in the rest of the year,” ING Bank N.V. Manila Senior Economist Nicholas Antonio T. Mapa said in a Viber message.
The US Fed, which has raised borrowing costs by 500 basis points (bps) since March 2022 to tame inflation, has paused its policy tightening earlier this month. However, it may hike by two more 25 bps at its next meetings this year.
“Moving forward, we expect hot money to remain weak as central banks expect to continue to tighten (in advanced economies) and hold rates at a relatively high level,” Ms. Velasquez said, adding this would make fixed-income investments more attractive.
Stock markets in advanced economies such as the US and Japan also continue outperform developing markets like the Philippines.
The central bank expects foreign portfolio investments to end the year at a $2.5-billion net inflow. — Keisha B. Ta-asan
President Ferdinand R. Marcos, Jr. speaks at an event with the Filipino community in Washington, D.C., May 1, 2023. — KRIZ JOHN ROSALES/PPA POOL
By Kyle Aristophere T. Atienza, Reporter
PHILIPPINE President Ferdinand R. Marcos, Jr. failed to exploit his overwhelming mandate to pursue game-changing economic reforms during his first year in office, having used band-aid solutions to deal with persistent food shortages and spiraling prices, economists said on Thursday.
Mr. Marcos is unlikely to undo decades of neglect in the agriculture sector with unsustainable policies such as food caravans for the poor and easing import restrictions, while the country faces a widening funding gap, they added.
“We have more challenges coming than solutions as of now. We have headlines and promises, no clear results or even a direction how we’d get there,” Emy Ruth D. Gianan, an economics professor at the Polytechnic University of the Philippines, said via Messenger chat.
“We could say it’s just his first year, that is true. But even then, we need results because he has an overwhelming mandate from the elections,” she added.
Mr. Marcos told reporters his government continues to ensure sound macroeconomic fundamentals and remains focused on fighting inflation, which he said is one of the Philippines’ biggest economic problems.
Since peaking at 8.7% in January, inflation has eased to 6.1% in May. Inflation has averaged 7.5% this year, still above the Bangko Sentral ng Pilipinas’ (BSP) 5.4% forecast.
“Persistent food shortages — food has the biggest weight in the inflation basket — have yet to be decisively addressed,” Filomeno Sta. Ana III, coordinator of Action for Economic Reforms, said in an e-mail.
“The government has resorted to band-aid solutions like temporarily relaxing import restrictions on food, which, however, benefit only a few importers, thus retaining cartelization.”
Mr. Marcos, who is also the agriculture secretary, has pushed for food self-sufficiency in a decidedly populist direction.
“We have to undo almost 40 years of neglect when it comes to the agricultural sector,” Mr. Marcos said when asked to assess his first year in office, adding that “there is still a long way to go.”
To tame inflation, the BSP has delivered 425 basis points of hikes since May 2022, bringing the key rate to a near 16-year high of 6.25%.
The BSP was good in trying to rein in inflation via interest rate hikes, “but it has limited success as the main problem lies in the supply of agricultural commodities, which is the direct responsibility of the President,” said Enrico P. Villanueva, who teaches economics at the University of the Philippines Los Baños, via Messenger chat.
Economists also lamented that the Agriculture department has been focused on temporary solutions to food security issues, citing the Kadiwa program, which provides a farm-to-consumer food supply chain by removing middlemen.
“We’re promised lower food prices, what we get are caravans that are not guaranteed to be sustainable,” Ms. Gianan said, referring to the Kadiwa stores.
Leonardo A. Lanzona, who teaches economics at the Ateneo de Manila University, said the revival of the Kadiwa program and other policies that were implemented during his late father’s regime is an indication that the government has “taken the stance of a central planner of the economy.”
“However, it has not consulted much with the market, especially the consumers and workers,” he said. “In the process, the economy is now being controlled by elite groups and monopolies.”
LUKEWARM Mr. Marcos marks his first year in office today (June 30), after promising to make the Philippines less dependent on imports and revitalize key domestic sectors, including the manufacturing industry.
Ms. Gianan said his economic policies during his first year in office are “lukewarm” — “it’s not necessarily a failure, but neither were they successful.”
“In a way, they’re hyped, but we have yet to see genuine results,” she said, noting that Mr. Marcos, who won by landslide in last year’s elections, has failed to utilize his “overwhelming mandate” to pursue new economic reforms.
For Mr. Sta. Ana, the Marcos administration “spent its political capital on nonessential, even questionable interventions, like the passage of the Maharlika bill.”
Mr. Sta. Ana said that despite the country’s limited fiscal space and the funding gaps for critical sectors like health and agriculture, Mr. Marcos has not actively pushed for new taxes or sought other sources of revenues.
“New taxes are necessary, but the government has not been decisive on this front,” he said.
The Finance department earlier this month proposed new taxes on junk food and higher taxes on sugar sweetened beverages. This is in addition to pending tax measures such as the Real Property Valuation and Assessment Reform, Passive Income and Financial Intermediaries Taxation Act, value-added tax (VAT) on digital services, tax on single-use plastics, motor vehicle user’s charge, and the rationalization of the mining regime.
Sonny A. Africa, executive director of think tank Ibon Foundation, said the Marcos administration “predictably” resorted to fiscal austerity since it refuses to increase revenues with a more progressive tax system and has continued the “same decades-old approach of relying on foreign investment as if this is a magic bullet for national progress.”
Mr. Africa said economic scarring from the excessive lockdowns and the slowing global economy should have prompted bolder government action to spur domestic-driven development.
PASSING GRADE Meanwhile, Paulo Duarte, European Chamber of Commerce of the Philippines (ECCP) president, said in an e-mailed statement the Marcos administration should take advantage of the opportunities presented by the Regional Comprehensive Economic Partnership (RCEP).
“There should be enhancing initiatives to further strengthen the agri-food supply chain, i.e., promote innovation and the use of digital technology in the agriculture sector, further liberalization of rice and corn industries, increase investment in sustainable agriculture infrastructure, etc.,” he said via e-mail.
Mr. Duarte also urged the government to improve the Philippines’ global competitiveness and ease of doing business.
“This can be done by strengthening the role of the Anti-Red Tape Authority (ARTA) in addressing red tape and inefficiencies; further easing restrictions to foreign ownership; and ensuring a level playing field by strengthening market competition and reducing barriers to entry,” he said.
Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI) President Danilo C. Lachica gave Mr. Marcos a passing grade for his first year in office.
“We need to review the effectiveness of the (Corporate Recovery and Tax Incentives for Enterprises) law’s incentives rationalization in attracting foreign direct investments in the electronics industry,” Mr. Lachica said.
Rosemarie B. Ong, Philippine Retailers Association (PRA) president, said the government should increase investments in infrastructure to “enhance the efficiency of the retail supply chain and benefit consumers.”
“Enacting the proposed VAT refund for nonresident tourists would boost retail revenue by encouraging tourist spending,” Ms. Ong said via mobile phone.
Mr. Marcos in January approved the VAT refund program for tourists for implementation by 2024.
Philippine Amalgamated Supermarkets Association President Steven T. Cua said the Marcos administration should address the supply problems for basic commodities which have driven up prices.
“After a year of trying out new executives and teams in the different government departments, bureaus and agencies, it is high time that the Marcos administration gets its act together, clearly define its roadmaps and lead this country into the economy we all deserve,” Mr. Cua said. — withRevin Mikhael D. Ochave
THE ASIAN Development Bank (ADB) on Thursday approved a $1-billion loan to modernize the public transportation system in Davao City through the procurement of over a thousand electric buses.
“The Davao Public Transport Modernization Project, ADB’s largest road-based public transport project in the Philippines, is expected to serve as a pilot for overhauling the country’s public road transport system,” the ADB said in a media release.
The multilateral institution said this would be the first project in the Philippines to deploy electric buses at scale, which would drastically cut greenhouse gas emissions.
“It will support the procurement of a modern fleet of about 1,100 buses with operations managed by the private sector under performance-based contracts. The new fleet is expected to reduce 60% of annual greenhouse gas emissions from public transport in Davao City, the country’s third-largest city by population,” the ADB said.
The modern bus transport system is expected to service about 800,000 passengers per day.
The project will also include the construction of around 1,000 bus stops with shelters, five bus depots, and three bus terminals.
Data on the ADB’s website showed that the transport system will also rationalize about 670 kilometers of bus routes to 30 routes from more than 120 public utility jeepney routes.
“The project is set to transform the quality of Davao City’s public transport and support the city’s rapid economic growth with a low-carbon and climate-resilient bus system,” ADB Senior Transport Specialist for Southeast Asia Shuji Kimura said in the statement.
“Not only will this support the Philippines’ climate goals, but it will help to improve the lives of vulnerable populations especially women and the young who use public transport daily,” he added.
The project will also establish an “intelligent transport system,” which includes a bus location system, automatic fare collection systems, and Wi-Fi connection.
The multilateral lender also noted that there will be a social development program to mitigate any risks or impacts from the project.
“The assistance will include livelihood opportunities for affected public utility jeepney drivers, operators, and allied workers and their families, among others,” it added.
Training for bus drivers, operators, and staff will also be provided under the program.
The ADB said it has been providing technical assistance to Davao City since 2015 for the development of its new public transport system.
The loan will also be co-financed by the Association of Southeast Asian Nations Infrastructure Fund ($10 million) and the Green Climate Fund ($50 million). Both facilities are administered by the ADB.
Technical assistance of $1 million will be given to support the efforts of the Department of Transportation and the Davao City local government to train staff in overseeing the new bus system.
In 2022, the ADB extended $2.995 billion in financial assistance to the Philippines, including $2.55 billion in low-interest loans.
This year, the ADB’s lending program to the Philippines is set at $4 billion. — Luisa Maria Jacinta C. Jocson
A woman shops for snacks at a supermarket in Quezon City, Jan. 16, 2023.
— PHILIPPINE STAR/MIGUEL DE GUZMAN
THE JOINT Foreign Chambers (JFC) urged the Philippine government to reconsider its plan to impose new taxes on “junk food” and higher taxes on sweetened beverages, saying this is “not the right time.”
“We believe it is not the right time to introduce additional taxes on products primarily consumed by middle and lower middle-class households because the country is still recovering from the pandemic and a prolonged period of high inflation,” the JFC said in a joint statement on Thursday.
Finance Secretary Benjamin E. Diokno earlier this month said the government is pushing for taxes on junk food and sweetened beverage tax to address “diabetes, obesity, and non-communicable diseases related to poor diet,” as well as raise P76 billion in additional revenues in the first year of implementation.
While acknowledging the need to boost revenues and improve the health of Filipinos, the JFC said the government should carefully reassess proposals for new taxes “that will be inflationary for Filipino consumers and discriminatory to certain businesses.”
“The proposal would also affect micro and small enterprises that rely on selling these products as a source of income,” the foreign chambers said.
The Finance department is proposing a P10 tax per 100 grams or a P10 tax per 100 milliliters on “pre-packaged foods lacking nutritional value” including confectioneries, snacks, and desserts that exceed the Health department’s thresholds for fat, salt, and sugar content.
The JFC, which includes the American and European chambers of commerce, said the new tax may also reduce market competition to the detriment of Filipino consumers.
“Imposing additional taxes will only strain the capacity of businesses in affected sectors to continue operations and grow their businesses, especially when issues related to the supply of certain raw materials remain unresolved,” the JFC said.
Before imposing higher taxes on sugary drinks, the JFC said the government should study the impact of the existing tax on sugar sweetened beverages under the Tax Reform for Acceleration and Inclusion (TRAIN) Law.
The TRAIN Law introduced an excise tax of P6 per liter for drinks containing caloric or non-caloric sweetener, and P12 per liter for drinks containing high-fructose corn syrup or such sweeteners in combination.
Under the Department of Finance’s new proposal, the sweetened beverage tax would be raised to P12 per liter for any kind of sweetener used.
“We also strongly recommend the prioritization of improvements to tax administration — such as in the proposed Ease of Paying Taxes Act — and nontax interventions as alternative, noninflationary measures to raise government revenues and improve health outcomes of Filipinos,” the JFC said.
Other signatories to the JFC statement include the Australian-New Zealand Chamber of Commerce of the Philippines, Japanese Chamber of Commerce and Industry of the Philippines, Inc., Korean Chamber of Commerce Philippines, and the Philippine Association of Multinational Companies Regional Headquarters, Inc. — Revin Mikhael D. Ochave
HOLCIM Philippines, Inc. said on Thursday that its major shareholder plans to buy out minority investors in the company via a tender offer that could lead to its delisting from the stock exchange.
In a regulatory filing, the company said Dutch firm Holderfin B.V. bought shares held by Sumitomo Osaka Cement Co., Ltd., bringing Holcim’s public float below the market requirement.
The listed cement manufacturer said Holderfin “is prepared to make a tender offer for all outstanding common shares” if Holcim is unable to issue additional shares to raise its public float, “with the aim of subsequently conducting a voluntary delisting” from the main board of the Philippine Stock Exchange (PSE).
Before the disclosure, Holderfin already owns 18.11% of Holcim’s outstanding capital stock. With the acquisition of the 594.95 million common shares or 9.22% stake held by Sumitomo, the foreign firm’s holdings reached 27.33%.
The shares sold by Sumitomo were considered part of those held by the public.
The transaction resulted in Holcim’s minimum public float decreasing to 5.05% from the 14.27% reported as of March 31, which was below the 20% minimum requirement of the bourse.
In a separate disclosure, Holcim said that it had received a notice from Holderfin on June 29 of the latter’s intention to conduct a tender offer to purchase all shares from stockholders of record ahead of delisting.
Holcim said it would not be able to raise the required minimum public float “within a reasonable period due to prevailing market conditions.”
The company would need the approval of two-thirds of its board of directors including the majority, but not less than two of all its independent directors.
It would also need the approval of shareholders owning at least two-thirds of the total outstanding and listed shares of the company and the number of votes cast against the delisting proposal to not more than 10%.
“We will continue to update the PSE and make the necessary disclosures of any material developments regarding this matter,” Holcim said.
Meanwhile, the market operator suspended Holcim’s trading after the decrease in its minimum public float and subsequent developments.
“The Exchange will inform the trading participants and the investing public of further developments on the matter,” the PSE said. — Adrian H. Halili
REPOWER Energy Development Corp. said its upcoming initial public offering (IPO) has attracted Japan-based listed company TOKAI Holdings Corp. to participate.
“We are pleased on TOKAI’s commitment to participate in our IPO as this is a testament to the market’s growing interest in our company,” Eric Peter Y. Roxas, president and chief executive officer of Repower Energy, said in a media release on Thursday.
TOKAI will take about a 32.5% stake, Repower Energy said, adding that the development will earn the foreign firm a board seat but only on an observer status.
The Japanese conglomerate has businesses in electric power, gas, and renewable energy. On its website, it describes itself as a “comprehensive energy” provider, optimizing energy services for its customers.
“We look forward to taking advantage of the synergies available to us as a result of our partnership with TOKAI, such as our expansion into the Japanese renewable energy market, specifically run-of-the-river hydropower projects where our expertise and TOKAI’s reach in Japan will prove invaluable,” Mr. Roxas said.
Repower Energy, a subsidiary of Pure Energy Holdings Corp., targets to raise P1.15 billion from its IPO to fund the expansion of the company’s projects as well as the development of its other renewable energy plans.
It is set to offer 200 million primary common shares at a maximum offer price of P5 apiece, with an over-allotment option of up to 30 million shares.
Repower Energy said it would start its offer period on June 30 with the settlement date scheduled on July 14, the company plans to list on the Philippine Stock Exchange tentatively on July 24. — Ashley Erika O. Jose
LISTED mining firm Global Ferronickel Holdings, Inc. or FNI plans to pursue value-added processing of nickel to meet growing demand amid the transition to cleaner energy and electric mobility.
“These processing capabilities enable the company to enhance the value of its nickel products by transforming them into higher grade materials that cater to specific industry needs,” FNI President Dante R. Bravo said during the company’s virtual annual stockholders meeting on Thursday.
In his presentation to shareholders, Mr. Bravo also said the company seeks to expand its logistics business under its unit Mariveles Harbor Corp. (MHC) by developing warehousing facilities and container terminal services, among others.
In February, the nickel ore producer acquired an additional 24% stake in MHC, bringing its ownership to 88% and gaining greater control over the operations of the port.
“By enhancing its logistic capabilities, the company aims to improve efficiency, reduce costs and strengthen its position as a reliable provider of integrated services throughout the supply chain,” Mr. Bravo said.
FNI also plans to “diversify its operations” by venturing into cement manufacturing and producing limestone, clinker, and other key materials used in the industry.
“This enables the company to tap into the construction and infrastructure sectors, which offers significant growth potential,” he said.
In 2022, FNI saw its net income surge 9% to P2.16 billion from P1.98 billion in the previous year. The increase came despite revenues dropping 12.7% to P6.73 billion, which it attributed to “adverse weather.”
“As we move forward, we will leverage the opportunities by Ipilan Nickel Corp. and optimize our operations ensuring a prosperous future for our country,” Mr. Bravo said.
In April, FNI announced that its subsidiary Platinum Group Metals Corp. (PGMC) in Cagdianao, Surigao del Norte had commenced its nickel ore shipments in China with 55,300 wet metric tons.
Mr. Bravo said the outlook for the nickel industry “remains compelling” amid demand for the mineral in the clean energy transition.
“On the demand side, we see tremendous opportunities from megatrends that will shape the world. These are fundamental drivers particularly urbanization for megacities and energy transition,” he said.
Global Ferronickel is a holding company with principal business interests in mineral resource exploration, mining, and exporting of nickel ore. Its subsidiaries include PGMC, MHC, FNI Steel Corp., and FNI Steel Landholdings Corp.
On Thursday, FNI shares remained at P2.46 apiece. — Sheldeen Joy Talavera
BASIC ENERGY Corp. is set to assess wind resources for its wind energy service contract in the Visayas after securing regulatory approval for the development of the renewable energy project.
In a stock market disclosure, Basic Energy said the Department of Energy (DoE) clearance for its onshore wind farm would expand its renewables portfolio.
With this development, the company will now start deploying resources to identify the wind capacity in the contract area. It said the predevelopment stage is expected to be completed within five years.
Basic Energy said the proposed wind power plant will be located in San Joaquin and Miag-ao in Iloilo and Hamtic in Antique. The plant has a total land area of about 13,932 hectares covering 172 blocks.
The proposed project has a combined generation capacity of 155 megawatts based on a preliminary study conducted by an independent body, Basic Energy said.
Incorporated in 1968, Basic Energy has business interests in various fields of renewable energy and alternative fuels, and oil and gas exploration and development.
At the stock exchange on Thursday, shares in Basic Energy closed 8.8% higher at P0.24 apiece. — Ashley Erika O. Jose
Having won the two aforementioned awards this year, Silverworks also expressed its gratitude for being honored among Outstanding Filipino Retailers for its resiliency and sustainability.
