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PHL seeking $300-M China loan for initial works of Laguna Lakeshore road project

PPP.GOV.PH

THE PHILIPPINES is seeking a $300-million loan from the Beijing-based Asian Infrastructure Investment Bank (AIIB) for the first phase of the Laguna Lakeshore Road Network (LLRN) project.

The project comprises about 37.4 kilometers of expressway from Lower Bicutan to Calamba, according to details uploaded on the AIIB website.

“The expressway will be an access-controlled road with eight interchanges, with an access road at each interchange to connect to the existing road networks,” it added.

It aims to “contribute to urban mobility improvement in the National Capital Region (NCR) and key areas along the Laguna de Bay.”

The project is co-financed by the Asian Development Bank. It is expected to be financed in three phases.

This tranche of financing will fund the first group of the civil works and consulting service contracts awarded under the program.

“The program will also finance capacity building activities to improve the government’s operation and maintenance (O&M) and administration and management capacities for LLRN and large-scale interchanges,” the AIIB said.

It also noted that an environmental and social impact assessment study is being prepared.

“The main expected environmental impacts are the following: dredging impacts specifically on water quality and biodiversity, potential impact on critical habitats, impacts on the lakeshore community during construction of access roads and slipways, climate change impacts related to extreme rainfall,” it said.

“As the proposed interchanges are in a highly built-up area, significant impacts to households involving relocation and/or loss of income are expected,” it added.

The program will also prepare a resettlement plan, livelihood restoration program, and environmental and social management plan. — Luisa Maria Jacinta C. Jocson

UK’s ASEAN trade envoy sees potential airport management, RE tie-ups

REUTERS

RICHARD GRAHAM, a UK trade envoy to the region, said the industries where he sees potential tie-ups in the Philippines include airport management, pharmaceuticals and renewable energy (RE).

“The great thing about the UK, is it’s effectively the fifth biggest country for GDP in the world is that we have a quite an important presence in pretty much every sector,” Mr. Graham, the Prime Mister’s trade envoy to the association of Southeast Asian Nations, said in a media roundtable on Thursday.

“If you look for example at aviation which is really important to the Philippines because of tourism … I think there are some areas where we can look at British expertise in running very efficient airports like Gatwick Airport, which is also a single runway airport,” he said.

“Pharmaceuticals would be another, GlaxoSmithKline (GSK) recently won an important contract with the Department of Health (DoH) of the Philippines to produce a new vaccine which should protect many people here in the country,” he added.

The vaccine that GSK will supply is a pneumococcal conjugate vaccine, which the DoH said protects against conditions caused by streptococcus pneumoniae, such as pneumonia, meningitis and sepsis.

Mr. Graham called the renewables market a large partnership opportunity. The UK increased the share of renewables in its energy mix to 43% from 7% in 2010.

“We see a huge opportunity here for the Philippines to benefit from offshore wind the same as we have. Also, both of us can probably do more on solar and you have more sun than we have so the opportunity is probably bigger for the Philippines,” he said.

“We just started producing marine energy from tidal streams. (The Philippines) has very strong tides, so I hope when tidal stream businesses are a bit more scalable there will be opportunities there as well,” he added.

Mr. Graham said the Philippine government itself is aggressively pursuing opportunities in offshore wind energy.

“We’ve had a delegation that came to the UK in February looking very closely at that,” he said.

“We’ve got to get all that structure right to provide an environment for businesses to invest in it. My guess is this won’t happen overnight but I suspect your President is impatient to see progress and we very much hope to help you in the journey,” he added.

He said discussions on offshore wind are still in their early stages.

“I think the Department of Energy of the Philippines is looking at different ways of structuring this new opportunity,” he said.

“So, my guess, I hope over the next two years, is that we’ll see real progress in terms of getting the structure and maybe looking at more detail particularly on the connectivity to the grid and how your grid system will be able accommodate this,” he added.

DEVELOPING COUNTRIES TRADING SCHEME (DCTS)
During the media roundtable, Mr. Graham said that the UK’s new trading scheme, Developing Countries Trading Scheme, will make it more attractive for Philippine companies to export to the UK.

“DCTS, which will go live this summer, is designed to reduce the costs of Philippine exports by a bunch, this might not be precise but by 10%, and we hope that in the countries we are making this available to, it would reduce import tariffs roughly by 20 million pounds on a total of 200 million pounds,” Mr. Graham said. 

Some 150 items will benefit from the tariff change under DCTS, said Mr. Graham.

“Secretary Alfredo E. Pascual will have a session launching this with British Ambassador to the Philippines Laure Beaufils, and this will be happening at the end of the first week of June and then shortly after that the full details will be published and everyone will be able to ask lots of detailed questions about how individual companies and sectors in the Philippines will benefit,” he said.

“We’ve had some preliminary talks in fact just now with the Department of Agriculture, to explain to them that this is coming and to start the business of communicating the good news to our friends and partners in the Philippines,” he added.

Mr. Graham said that the DCTS will come into effect as a unilateral offering that requires no reciprocity from the Philippines.

“If you join the DCTS you’ll be automatically renewed unless there is a particular problem, so that’s good news,” he said.

Meanwhile, Mr. Graham said that the Philippines should also be aware of longer-term opportunities presented by the Trans-Pacific Partnership (TPP).

“We think that this offers lots of exciting opportunities for other Pacific countries. Obviously, Malaysia is a party to this and we very much hope that the Philippines will consider whether this is an attractive option going forward,” he said.

“Because if it did come to pass then we would effectively have the ingredients of a bilateral free trade agreement through the multilateral TPP. I see that as a longer-term opportunity and obviously the Philippines has to decide whether to pursue it but meanwhile the DCTS is a good step forward,” he added.

Mr. Graham visited the Philippines between April 24 and April 27. — Justine Irish D. Tabile

Amended VAT zero-rating rules seen easing exporter dealings with suppliers

BW FILE PHOTO

THE amendments to the value-added tax (VAT) zero-rating guidelines makes the process of obtaining the tax exemption easier for exporters, analysts said.

“Removing the requirement for suppliers to secure prior zero-rating approval from the Bureau of Internal Revenue (BIR) before the suppliers can treat the transaction as zero-rated will definitely make transactions between sellers and buyers faster and practical,” Eleanor L. Roque, tax principal of P&A Grant Thornton, said in a Viber message.

The BIR recently released Revenue Regulations (RR) No. 3-2023, which amended the VAT zero-rating guidelines.

Key exporters had urged the government to address the “conflicting provisions” in the VAT zero-rating guidelines, which stemmed from the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act.

The CREATE Act requires business enterprises to prove that the local purchases of goods and services are directly and exclusively used in their registered activities in order to avail themselves of the VAT zero-rating. Otherwise, they are subject to 12% VAT.

Under RR No. 3-2023, local suppliers of goods and services of registered export enterprises are no longer required to apply for approval of VAT zero-rating with the BIR.

Instead, the VAT zero-rating on local purchases of goods or services is to be availed of on the basis of a certification issued by the Investment Promotion Agency (IPA).

“In all instances, in issuing the VAT-zero rating certification, the concerned IPA will be guided by the rule that such local purchases of goods and services are directly attributable to the registered project or activity, i.e., without which the project or activity cannot be carried out,” it said.

It also defined these local purchases as “costs that are indispensable to the project or activity, i.e., without which the project or activity cannot proceed, and these include expenses that are necessary or required depending on the nature of the registered project or activity of the export enterprise.”

However, it noted that the BIR may conduct post-audit investigation or verification to check if the goods and services are directly and exclusively used in the registered project or activity.

The guidelines also specify the local purchases of goods or services that shall not be considered as directly and exclusively used in the registered project or activity of a registered export enterprise.

The regulations also further note that health maintenance organization plans acquired by registered export enterprises for employees who are directly and exclusively involved in the operations of their registered projects or activities and forming part of their compensation are considered directly and exclusively used in the registered project or activity.

“This means that they no longer need the prior approval of the BIR to be able to enjoy zero-rating on their purchases. The prior requirement delayed a lot of transactions as they had to wait for the BIR to issue the approval before the sale could be booked or closed,” Ms. Roque said.

“This has been pending for the longest time; it has impacted many Information Technology and Business Process Management (IT-BPM) industries and processing zones. It’s good news. If it’s finally resolved, that would be very beneficial to exporters and local suppliers,” Philippine Chamber of Commerce and Industry George T. Barcelon said by phone call.

“It’s a significant improvement. As discussed with the Department of Trade and Industry (DTI), the industry hopes to simplify by just designating companies which export at least 70% to be granted zero VAT for its supply of products and services,” Semiconductor and Electronics Industries in the Philippines Foundation, Inc. President Danilo C. Lachica said in a Viber message.

Ms. Roque noted that the “burden is now shifted to the seller to prove that the transaction qualifies for zero-rating as this will be an issue during the post audit.”

“Normally, the supplier will not have the necessary information for him to judge whether his goods or services are ‘directly and exclusively used’ by the registered business enterprise,” she said.

“In this case, the suppliers should be able to rely on the certification issued by the registered business enterprise that the goods or services are ‘directly and exclusively used.’ If there is a misrepresentation, it should not be the liability of the supplier who merely relied on information supplied to him,” she added. — Luisa Maria Jacinta C. Jocson

Livestock program awaiting Marcos approval

REUTERS

THE National Livestock Program (NLP) is awaiting approval for its thee-year development plan from President Ferdinand R. Marcos, Jr., who is also the Secretary of Agriculture.

The plan covers the 2023 to 2025 period and is part of a broader effort to raise productivity in priority commodities like rice, corn, high-value crops, and fisheries.

NLP Director Ruth S. Miclat-Sonaco told reporters last week that among the program’s goals is to restore the hog population to the level it was before the outbreak of African Swine Fever (ASF).

“The original pre-ASF inventory was around 12 million head. It is currently 9.8 million head,” she said.

The Philippines first detected ASF in 2019.

Ms. Sonaco hoped the growth in production “would redound to increased income for farmers.”

The activities for the livestock sector include indemnification for ASF-hit hog farms, she said.

She said a budget proposal for indemnification of P10,000 per head will be submitted for inclusion in the General Appropriations Act of 2024.

The three-year program also includes the expansion of the repopulation program known as the Integrated National Swine Production Initiatives for Recovery and Expansion.

The Philippine Statistics Authority reported that hog production rose 2.4% year on year to 1.74 million metric tons liveweight.

Last year, meat imports increased 16.4% to 1.35 billion kilograms, according to the Bureau of Animal Industry.

Pork imports accounted for 710.36 million kilograms in 2022.

Jesus C. Cham, president of Meat Importers and Traders Association, said in a Viber message that retailers “still enjoy a good margin versus cost.”

“But I suppose some are raising prices to make up for lower sales volume,” he added.

“International (pork) prices have gone up so importers are reluctant and waiting for buying opportunities. Meanwhile, inventory is being depleted,” he said.

He also said demand for beef is still low as it is more expensive than pork and poultry. — Sheldeen Joy Talavera

Reshaping the social contract

Since before the pandemic, the social contract defining the interaction between employers and employees has been changing. Rapid advancements in automation as well as the increasing significance of commitments to environmental, social, and governance (ESG) and diversity, equity, and inclusion (DE&I) have all contributed to this shift. The pandemic only furthered the shift by elevating elements such as employee wellbeing and organizational purpose.

Employees today show a preference for companies that support their beliefs regarding social responsibility while providing flexibility and specialized opportunities for professional growth. They also want a fair compensation system that includes a transparent rewards and recognition program, which is understandable given the current economic landscape. According to the EY 2022 Work Reimagined Survey, the chance to increase their compensation is the main driver of job switching among employees.

Companies are becoming more aware of these expectations and the need to address them. Two-thirds of CEO respondents from the latest EY CEO Outlook Survey agree that pandemic-related working habits are becoming more important for lowering staff attrition and attracting new talent. However, according to the EY 2022 Work Reimagined Survey, only one-third of companies are actively changing how they handle these practices, particularly those involving technology, flexible working, and real estate.

The EY Center for Board Matters investigated how boards can help reshape the shifting social contract between employers and employees, sharing three ways that boards can support their organizations.

LISTENING TO THE RAPIDLY EVOLVING WORKFORCE
Organizations all across the world are aware that Gen Z workers are responsible for a significant portion of the fundamental shifts in employee expectations. Whereas a greater emphasis on sustainability may have been “nice to have” for millennials, it is non-negotiable for Gen Z. Furthermore, this generation embraces and integrates technology into their way of life. As true digital natives, Gen Z is leading the charge in creating the products, customer experiences, and ways of working that are revolutionizing how we live and work. By 2025, Gen Z will account for 27% of the workforce, and employers will depend heavily on Gen Z to actively contribute to the future success of their companies.

Boards can take steps to help their organizations realize this potential by collaborating with their Chief Human Resources Officer (CHRO) or a corresponding function to create a connection with younger workers. That entails encouraging relationships built on active listening, two-way dialogue, and a sense of purpose and value. This means finding ways to involve young professionals in decision-making instead of simply passively listening, and allow decision-making based on personal beliefs and preferences. In addition, the scope for collaboration and the resources available to support health and wellbeing must be emphasized. This group must be able to challenge the organization regarding transparency in its operations, its ESG and DE&I activities, and potential inconsistencies between the organization’s commitments and reality.

While talent transformation is crucial, CEOs and their boards may want to consider elevating CHRO support to accomplish these essential changes.

AN EMPLOYEE EXPERIENCE TAILORED FOR LONG-TERM SUCCESS
It is imperative to pay attention to the right signals and act upon them to make the changes necessary to successfully attract, engage, and retain talent. This requires boards to have a process for monitoring outside trends and their effects on talent. One approach to achieve this is to include external specialists on the board, such as behavioral psychologists or anthropologists.

Another crucial step is collaborating to create an employee value proposition that satisfies the needs and preferences of a multigenerational workforce. This should reflect diversity in the fullest sense, including demographic diversity and inclusion, opportunity, and skills application. 

In order to acknowledge that talent is both a long-term issue and a short-term challenge, boards can also broaden the scope of the compensation committee. In the current labor market, salary plays a major part in influencing decisions. The organization’s compensation strategy must be able to support employee financial wellness in the short term to attract top talent in the long term.

PRIORITIZING UPSKILLING
More CEOs are concentrating on talent retention strategies rather than managing talent acquisition costs as a result of recessionary pressures. Prioritizing the continued usage of technology and upskilling employees is one way they can respond. 

Boards can collaborate with management in retaining talent by viewing talent development as a process of progressing individuals. Employers can encourage continuous growth by offering employees new opportunities once they reach the peak of a developmental curve, such as pursuing further education or training, which would facilitate the mastery of a new job or skill. However, as change happens more quickly, these developmental curves get shorter, and skills will need to be renewed sooner. Employers must change the way their learning processes deliver skills and experience in order to do it in a more flexible, timely, and engaging manner.

RESHAPING SOCIAL CONTRACTS TO EFFECT POSITIVE CHANGE
Boards are poised to affect how quickly and urgently firms refresh and reshape their social contracts with employees. They must, however, push management and themselves to use diverse thinking if they are to have the greatest impact on their talent agenda. By doing so effectively, organizations will be able to effect positive change and evolve for the future.

On behalf of everyone at SGV, we would like to wish all those who work a Happy Labor Day!

This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. The views and opinions expressed above are those of the author and do not necessarily represent the views of SGV & Co.

 

Rossana A. Fajardo is the EY ASEAN business consulting leader and the consulting service line leader of SGV & Co.

DSLU vs UST, NU vs AdU in UAAP women’s volleyball Final Four

PHILSTAR FILE PHOTO

AND the stage is set.

Far Eastern University (FEU)caught the last bus in the men’s stepladder Final Four as Adamson University (AdU)and University of Santo Tomas (UST) sealed their respective seedings in the women’s tilt at the close of the UAAP Season 85 volleyball tournament elimination round yesterday at the Filoil EcoOil Center in San Juan.

The Tamaraws drubbed Adamson, 25-22, 25-14, 26-24, to book the last semifinal slot while the Lady Falcons scored a 25-22, 26-28, 25-15, 25-17 win over the Lady Tamaraws to secure the No. 3 seed in the women’s division.

Mark Calado uncorked 25 points on 23 kills and two blocks as FEU (8-6), albeit the last squad to get in, overtook De La Salle University (8-6) for the third seed due to a higher point differential.

The Tamaraws’ win also eliminated No. 5 Ateneo de Manila University (7-7) and nevertheless arranged a knockout duel with the Green Spikers in the first phase of the men’s stepladder semis.

The winner then faces No. 2 Santo Tomas in another do-or-die battle with the survivor gaining a shot at unbeaten and back-to-back champion National University (NU), which swept the two-round elims at 14-0 for an outright finals slot.

In the women’s play, the quartet of Kate Santiago (21), Trisha Tubu (18), Lorence Toring (13) and Lucille Almonte (10) led the way as the Lady Falcons set up a battle against second-ranked and reigning champion National University (11-3) with a twice-to-beat bonus.

“It’s an opportunity for greatness” said Mr. Yee, whose wards stood tall in a five-setter defeat against NU in the first round.

De La Salle University (DLSU) is the No. 1 seed with a 13-1 record and will face the fourth-seeded Santo Tomas, which was the only squad to beat this season.

FEU (6-8) and Adamson (2-12) finished their campaigns on low notes in the women’s and men’s divisions, respectively. — John Bryan Ulanday

Filipinas eye soccer gold in Cambodia SEA Games

THE ALEN Stajcic-coached Filipinas kick off their campaign in Group A against old foe Myanmar, the team they defeated for the bronze in the previous SEAG in Vietnam. — PHILIPPPINE FOOTBALL FEDERATION

THE FILIPINAS are bringing back the core of their AFF Women’s Championship-winning team as they hunt for a historic gold medal in the 32nd Southeast Asian Games (SEAG) in Cambodia.

Goalkeepers Olivia McDaniel and Kiara Fontanilla, forwards Sarina Bolden, Quinley Quezada and Isabella Flanigan, defenders Hali Long and Eva Madarang and midfielders Sara Eggesvik and Carleigh Frilles lead the 20-member side assembled for this mission.

The squad, which made history last year by qualifying for the 2023 FIFA Women’s World Cup and ruling the Asean championship at home, left for Phnom Penh yesterday ahead of the women’s football opener on Wednesday.

The Alen Stajcic-coached Filipinas kick off their campaign in Group A against old foe Myanmar, the team they defeated for the bronze in the previous SEAG in Vietnam.

After Myanmar, the Pinay booters go up against Malaysia on May 6 and defending champion Vietnam three days later.

The Filipinas need to finish in the Top 2 of this group to advance to the semifinals.

“We’re hoping to improve on our bronze last time,” said Ms. Fontanilla. — Olmin Leyba

Gilas eyeing camp and quality tune-up matches overseas

GILAS Pilipinas coach Chot Reyes — FIBA.BASKETBALL

THE BATTLEFIELD in the 2023 FIBA Basketball World Cup now defined, Gilas Pilipinas’ next task is to formulate a program specifically designed to make the Nationals competitive against their group opposition.

And Gilas coach Chot Reyes is looking at the highly-productive 2014 WC buildup as a model.

The 40th-ranked Pinoy cagers are ranged against No. 10 Italy, No. 23 the Dominican Republic and No. 41 Angola — familiar faces who defeated them in previous tournaments — in Group A of the Aug 25 to Sept. 10 global hoopfest.

“The best way to describe it is: It’s not ideal but it could have been better,” said Gilas coach Chot Reyes after determining their foes Saturday night.

Mr. Reyes admitted he hoped to have drawn Ivory Coast, which he felt was a better matchup for Gilas, instead of Angola, which got the better of their group matchup in the 2019 World Cup in China, 84-81 in overtime.

“It is what it is. The good thing is now, we have some clarity on who we’re playing and what kind of preparation is necessary to be at our best come August,” he said.

“Obviously, now, the next phase is to take a look at the teams we’re playing and to build a team that we think can compete with the players we know will be in the other teams,” he added.

Italy, which routed Gilas by 46 points in the 2019 world meet, may bring in NBA players like Simone Fontecchio, Danilo Gallinari and Paolo Banchero. The Dominican Republic, which beat the Philippines in the Olympic Qualifying Tournament last year, 94-67, also has troops from the NBA like Al Horford and Karl-Anthony Towns they may tap.

“Italy is ranked 10th in the world so we know that will be a very tough game. The Dominican Republic game will be difficult especially if Karl Anthony Towns is able to play. Angola will be doable but even that game will be a challenge,” noted Meralco coach Norman Black.

“If our best players are available and we are able to have an intense training program, you couple that with home court advantage and we should have a fighting chance to advance to the second round,” he added.

Mr. Reyes said the Philippine quintet is eyeing camp and quality tune-up matches overseas by June similar to the preparations for the 2014 World Cup (WC) campaign, which greatly helped Gilas give tough opponents a run for their money. “At the end of the day, it’s going to be determined by how well we can prepare, how well we get to gather the players together and how many quality tune-up games we can get before the actual World Cup,” he said.

“That’s what we’re able to do in 2014, right? I thought we’re able to put in a very good tune-up preparation schedule that when the World Cup came, we’re playing at a very high level. So hopefully, we can get to that level as well this time,” he added.

PBA commissioner Willie Marcial, meanwhile, is upbeat Gilas can get the job done. — Olmin Leyba

PHL cricket team assured of at least a silver in Cambodia SEAG

THE DEBUTING cricket team passed its first major test in flying colors and in doing so, assured the Philippines of at least a silver medal in the 32nd Southeast Asian Games (SEAG) in Cambodia.

In action days before the biennial meet’s opening, the Philippine Blue Caps delivered a thrilling 45-44 win over host Cambodia in Group B of the women’s T10 event Saturday night at the AZ Group Cricket Oval in Phnom Penh.

With this victory, the Blue Caps topped the two-team group and booked the first ticket to the championship match set for May 16. They will face whichever nation among Malaysia, Thailand and Singapore will emerge as No. 1 in Group A.

The Malaysians defeated Singapore in the competition opener, 38-37.

“It’s the first time for our women’s team to participate in an international event. It’s a young team and the girls learned their cricket and started playing only a few years ago. And to win (at least) a silver in their first SEA Games appearance is a big achievement,” Philippine Cricket Association CEO Faisal Khan told The STAR.

Batting first, the host Cambodians scored 44 runs in 10 overs. But the Philippines ably beat their score, reaching the target in just six overs en route to the milestone victory.

The lady cricketers’ triumphant debut soothed the defeats in men’s football and ouk chaktrang chess in the Games’ initial competitions ahead of the May 5 opening ceremonies.

The Azkals U-22 suffered a 0-3 setback to Indonesia in a Group A opener while Edmundo Gatus and Angelo Young bombed out of the semis race in the men’s singles 5-minute event. Messrs. Gatus and Young finished their respective groups at No. 5 with identical one-point cards.

Meanwhile, the cricket contingent launches its bid in the women’s T20i event today against Thailand in a Group A tussle.

Pinoy bets in ouk chaktrang’s men’s triples 60-minute also get going over at the Royal University of Phnom Penh. — Olmin Leyba

Qatar’s Sheikh Jassim submits final bid for Manchester United

SHEIKH Jassim Bin Hamad Al Thani, the son of Qatar’s former prime minister, submitted his final bid for the entirety of Manchester United just before Friday’s deadline, a person familiar with the matter told Reuters.

In addition to offering a figure to buy the English Premier League soccer club, Sheikh Jassim’s proposal also includes a plan for a further significant amount of additional capital and infrastructure investment, the source told Reuters, requesting anonymity because the matter is confidential.

The source added that the bid is for 100% of the club and would remove all debt.

Manchester United and Raine Group, the investment bank running the bidding process, did not immediately respond to a Reuters request for comment.

No financial details of the final bid have been officially revealed.

Sheikh Jassim’s offer falls short of the £6 billion ($7.54 billion) asking price set by current owners, the Glazer family, The Guardian reported earlier in the day adding that the bid was understood to be worth around £5 billion.

Manchester United’s American owners launched a formal sale process late last year and have received several bids, including from British billionaire Jim Ratcliffe, founder of chemicals producer INEOS, and Finnish businessman Thomas Zilliacus.

Sky Sports News reported that Mr. Ratcliffe’s bid for a majority stake in Manchester United has also been submitted.

INEOS did not respond to a request for comment.

Any sale of Manchester United would likely exceed the biggest sports deal so far, the $5.2 billion including debt and investments paid for Chelsea, sources told Reuters previously.

United are the fourth richest soccer club in the world, according to analysis by Deloitte. They are widely seen as one of the most prized assets in all of sport. — Reuters

Murray’s huge 2nd half helps Nuggets past Suns in Game 1

JAMAL Murray scored 20 of his game-high 34 points in the second half and added nine assists, Nikola Jokic had 24 points and 19 rebounds, and the host Denver Nuggets beat the Phoenix Suns 125-107 in Game 1 of the Western Conference semifinals on Saturday night.

Aaron Gordon scored 23 points, Bruce Brown finished with 14 points off the bench, Michael Porter, Jr. added 11 points and Kentavious Caldwell-Pope scored 10 for the Nuggets in taking the 1-0 series lead.

Game 2 is Monday night in Denver, where the Nuggets have yet to lose in this year’s playoffs.

Kevin Durant had 29 points, 14 rebounds and seven turnovers, Devin Booker scored 27 points and had eight assists, Deandre Ayton had 14 points and seven rebounds and Chris Paul added 11 for the Suns. Phoenix trailed by 15 early in the fourth quarter but cut it to 10 with Mr. Durant getting a rare rest. Mr. Gordon and Mr. Murray hit layups to extend the lead to 106-92 with 8:21 remaining.

Mr. Booker converted a three-point play but Mr. Murray answered with two from deep to restore Denver’s 17-point lead and force a Suns timeout.

Mr. Paul missed a corner 3-pointer out of the timeout and the Nuggets began to pull away. Mr. Jokic scored on a finger roll, fed Mr. Brown for a dunk, and then Mr. Brown stole the ball from Mr. Durant and dunked again to put Denver ahead 118-95 with 5:09 left.

The teams emptied the benches for the final minutes.

The Suns led 32-31 after the first quarter behind 15 points from Mr. Durant but he was held to just four in the second quarter.

Mr. Booker’s layup with 9:46 left in the period put Phoenix ahead 39-38 but the Nuggets went on a 13-2 run to lead by 10. After the Suns cut the lead to six, Mr. Caldwell-Pope hit two from deep and Mr. Gordon made one from behind the arc to spark a 17-6 run to end the half and give Denver a 68-51 lead.

Phoenix got within 11 early in the third but a pair of 3-pointers from Murray made it 83-66, and the Nuggets took a 94-81 lead into the fourth. — Reuters

Defense

Ball Arena was rocking, and with reason. With a past-capacity crowd of 19,762 taking on the inspired play of the Nuggets, yesterday was far more than just the Nuggets making a statement as the National Basketball Association’s best kept secret. As they wound up taking the measure of the supposedly superior Suns, they proved their worth as top seeds in the Western Conference. For all the narratives that conventional wisdom has been putting out about their seeming lack of pedigree, they are most certainly not the same bunch that the blue and orange swept en route to the 2022 Finals.

Indeed, the current-version Nuggets are much, much better — and not simply because they have starting guard Jamal Murray healthy and in peak form. Their improved standing starts with the confidence of top dog Nikola Jokic, borne of two Most Valuable Player trophies and increased familiarity with those around him. To argue that he has become the league’s preeminent puppet master would be to understate the obvious. He plays at his own pace, bends defenses with his excellent court vision and decision making, and anchors an attack that begins with his power off the boards. Yesterday, he had 14 rebounds at the half, a mere one off the tally produced by all the Suns put together.

True, Murray was the difference maker in Game One of the West semifinal round series. As had been in full display throughout the Nuggets’ run to the conference finals in 2020, when he last graced the postseason, he went to a higher gear yesterday, his final line of 34 (on 24 shots), five, and nine justifying head coach Mike Malone’s reference to him as “Playoff Jamal.” That said, the manner in which the blue and yellow took control of the match — against opposition that boasted of proven marquee names in Kevin Durant, Chris Paul, and Devin Booker — highlighted their capacity to be greater the sum of their parts.

And, yes, the Nuggets do hang their hats on defense, the prevailing notion that Jokic has typically been less than adequate on that end of the court notwithstanding. The recipient of the last two Maurice Podoloff Trophies may not be fleet of foot, but he makes up for whatever deficiencies he has with uncanny intelligence, a willingness to bang bodies, and a keen understanding of the ebbs and flows of competition. If nothing else, the Suns know well enough not to underestimate him at their peril.

Tomorrow, the Nuggets will not be parading something new. They will continue to hit the notes they are best at trumpeting. And the bottom line is clear: The dance they know is the dance no one else can better with the same tune.

 

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