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US Republicans want billions for Taiwan military aid to counter China

REUTERS

WASHINGTON — US Republican lawmakers introduced legislation on Thursday seeking to provide $2 billion per year and other assistance to bolster Taiwan’s defenses as it faces rising pressure from China.  

The legislation, reviewed by Reuters, would authorize $2 billion a year in Foreign Military Financing — US grants and loans that enable countries to purchase weapons and defense equipment produced in the United States — through 2032 for the self-ruled island.  

While the bill is sponsored only by Republicans, the minority party in the Senate, it adds to pressure from Congress on Democratic President Joseph R. Biden, Jr., for bolder action to strengthen ties with diplomatically isolated Taiwan.  

The United States is the main military supplier for the democratic island nation.  

The bill’s lead sponsor is Senator Jim Risch, the top Republican on the Senate Foreign Relations Committee. Co-sponsors include Republican Senators Mike Crapo, John Cornyn, Bill Hagerty, Mitt Romney and Marco Rubio.  

It was not immediately clear how Democrats view the bill. Support for Taiwan is a rare issue that garners bipartisan backing in the deeply divided Senate.  

The funding would come with conditions, including Taiwan committing to match US spending, and whether Taipei and Washington agree to conduct joint long-range planning for capacity development.  

The United States has urged Taiwan to pursue defense reforms to focus on capabilities to make its military forces more mobile and harder to attack, as well as to ensure it maintains a strong reserve force.  

The “Taiwan Deterrence Act” also would amend the existing Arms Export Control Act, which governs foreign military sales, to make it easier for US firms to sell arms to Taiwan. It also would require an annual assessment of Taiwan’s efforts to advance defense strategy toward China.  

The bill also would improve military exchanges with Taiwan and expand professional military education and technical training opportunities in the United States for Taiwanese military personnel.  

“The defense of Taiwan is critical to retaining the credibility of the United States as a defender of the democratic values and free-market principles embodied by the people and government of Taiwan,” the bill’s text says.  

China recently has ramped up military pressure, including repeated missions by Chinese warplanes near democratic Taiwan, which Beijing claims as its own and has not ruled out taking by force.  

Mr. Biden has confirmed a “rock-solid” commitment to Taiwan and criticized China. Beijing blames Washington’s policies of supporting Taiwan with arms sales and sending warships through the Taiwan Strait for raising tensions.  

On Wednesday, the US Department of Defense in its annual report to Congress on China’s military reiterated concern about increasing pressure on Taiwan.  

The report renewed concerns about China’s development of options to take Taiwan, although a defense official declined to speculate to reporters about whether that scenario was likely or say if the department sees a near- or even medium-term risk of armed conflict. — Reuters 

Alagang AyalaLand shares the gift of green with social enterprises

Ornamental plants will flourish in Vermosa, Cavite with social enterprise partner, Luntian Plant Boutique, handling the operations of a plant nursery in the estate. The photo shows the Vermosa Estate and Ayala Land Property Management teams with the partners.

Every year, Ayala Land, Inc. (ALI) procures at least 500 new trees and 150,000 shrubs for its estates from commercial growers outside the capital. For its emerging estates, the developer estimates more than 8,000 new trees will be needed in the next five years.

To continue creating a green environment in its estates while promoting livelihood in the community, ALI works hand in hand with social enterprises through its Alagang AyalaLand program. These groups are allotted a space in the ALI development wherein they can propagate high-quality tree and plant specimens which ALI then purchases for its requirements.

“We wanted to expand the reach and support of the Alagang AyalaLand program to social enterprises that could supply some of our regular procurement needs in the company, and trees are among the most essential to our estates. Through such partnerships, we can provide the community long-term and sustainable livelihood opportunities,” said Manny Blas, head of the Alagang AyalaLand council.

Greenery fills Ayala Land Estates

Luntian is one of the social enterprises supported by the program. Located at Vermosa in Imus Cavite. It aims to produce around 6,000 pieces of commonly used plants for the estate. It will also ensure the maintenance of plants and the implementation of landscapes in some residential and commercial projects within Vermosa. For its nursery, Luntian plans to employ workers from nearby communities as the demand for landscaping supplies increases.

Flowering trees that will soon be planted in Ayala Land developments are cultivated at the tree nursery in Altaraza estate. These trees are cultivated by the company’s social enterprise partner, Earth Recovery Action, Inc.

Meanwhile at Altaraza in San Jose del Monte, Bulacan, Earth Recovery Action, Inc. (ERA, Inc.), a social enterprise focusing on native trees and biodiversity facilitates Alagang AyalaLand’s CommuniTREE project. This involves setting up a nursery for sustainable production of quality native trees for landscaping and reforestation needs. For ERA, Inc., it is the “big picture” or the higher purpose that motivates them to work on the project and it goes beyond building the tree nursery. “We are planting trees for the future resiliency of cities,” shared Alan Silayan, ERA, Inc. partner and co-founder.

Mel Ignacio, Altaraza Estate Development head, also shared: “The CommuniTREE project in Altaraza will ensure that our estate will have easy access to the trees that we definitely need for our estate development. More importantly, the residents in the neighboring areas will benefit from this project as they will be afforded job opportunities that they may need especially during this time of the pandemic.”

Sustainable livelihood for social enterprises

The MDC Greens plant nursery in Laguna is managed by Inang Kalikasan Agriculture Cooperative which has supported many families.

Another social enterprise contributing to a greener ALI is the Inang Kalikasan Agriculture Cooperative (IKAC), a duly registered cooperative organized by farmers in 2019. IKAC found its roots in 2014 when the Ayala Foundation and ALI’s construction arm Makati Development Corporation (MDC) started MDC Greens Ornamental Plant Nursery. IKAC initially provided livelihood for eight families which has grown over the years to 30 families during the peak of operations.

Through Alagang AyalaLand, local communities and small businesses affected by the pandemic are supported  through livelihood and job creation. The community engagement program also focuses on providing disaster relief to surrounding communities and promoting a sustainable environment.

 


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New funding for developing nations’ coal exit needs better planning for workers

UNSPLASH

GLASGOW/TORONTO — South Asian nations need to create more effective plans to be able to utilize new funding to help developing countries speed up their shift from polluting coal to greener energy, researchers said this week.  

At the UN COP26 summit in Glasgow on Monday, Prime Minister Justin Trudeau said Canada would provide up to $1 billion for a program backing a just transition from coal power to clean energy in emerging economies, run by the Climate Investment Funds (CIF).  

On Thursday, the CIF launched the “Accelerating Coal Transition” (ACT) investment program, backed by pledges from the United States, Britain, Germany, Canada, and Denmark totaling nearly $2.5 billion, saying it was the first of its kind.  

The first countries to benefit from the initiative will be South Africa, India, Indonesia and the Philippines, representing over 15% of coal-related emissions globally, with the aim of expanding it to more nations later.  

Mafalda Duarte, CEO of the CIF, said markets were starting to trend “in the right direction,” away from supporting planet-heating coal, but the transition was not happening fast enough.  

“This is especially true in developing countries, where the steep political, social and economic barriers remain. Overcoming these obstacles is what ACT is all about,” she added.  

But energy experts told the Thomson Reuters Foundation money alone cannot solve the challenges faced in the developing world, where coal-fired electricity still runs nearly half of power grids and some nations are building new coal power stations.  

“Just transition has huge financial needs in developing countries… But first, in India, we need to have just transition mechanisms, policies, plans in place,” said Srestha Banerjee, director of just transition at iFOREST, an Indian think-tank.  

A “just transition” means ensuring that the wholesale economic transformation needed to swap fossil fuels for clean energy and tackle climate change does not leave workers and poorer parts of society bearing an unfair share of the burden.  

“Unless there is [such] a plan … having money is not going to solve the challenge. In India, many local-level interventions fail because of lack of planning, capacity of implementation [and] issues of accountability, among others,” added Ms. Banerjee.  

India depends on coal for about 70% of its electricity, is the world’s second-largest importer, consumer and producer of the fossil fuel, and has its fourth largest reserves.  

Climate change activists say a failure to shift away from coal would go against Paris Agreement goals to limit planetary heating and would increase the risks of serious climate impacts.  

Under the 2015 Paris accord, nearly 200 countries agreed to slash emissions to keep global temperature increases “well below” 2 degrees Celsius above preindustrial times.  

But the planet has already warmed by just over 1°C, and is on track for about 2.7°C of heating as emissions continue to rise around the globe, scientists say.  

Developing nations, though, say they cannot shift to a low-carbon economy without financial support from richer countries that are historically more responsible for carbon emissions.  

Bangladesh, which earlier had plans to significantly increase its dependency on coal by building at least 18 coal-fired plants, decided to scrap ten of them in June this year.  

“We are in a mixed position regarding coal,” said Khondaker Golam Moazzem, research director at the Centre for Policy Dialogue, a Bangladesh-based think-tank.  

“We have to take a decision politically. How much coal do we want in our energy mix? If our government wants to depend more on renewable energy, in that case these funds [from donor governments] can help a lot,” he added.  

Although Bangladesh is not part of the ACT program for now, Mr. Moazzem said such funding could help shelve remaining plans for new coal plants by compensating investors.  

It could also be used to encourage private companies and the government to promote the use of renewable energy, he added.  

SOUTH AFRICA PARTNERSHIP  

On Tuesday, the United States, Britain, France, Germany and the European Union announced a separate partnership worth $8.5 billion to help South Africa, the world’s 12th biggest emitter of greenhouse gases, move away from coal and drastically reduce its emissions by 2030.  

The donor governments said they would support South Africa’s efforts to pursue a “just transition” that supports workers and vulnerable communities, especially coal miners, women and youth, as the South African economy goes green.  

Financing options will be sought for innovative technical developments and investments, including electric vehicles and green hydrogen, to create good jobs in clean energy, they said in a statement.  

Alok Sharma, Britain’s senior official presiding over the COP26 climate talks, told journalists on Wednesday that more such initiatives would be needed in the coming years.  

“It is about making sure that countries are supported to shift to clean energy, and no one is left behind as we consign coal to the history books,” he said.  

The World Resources Institute, an environmental think-tank, said the South Africa plan was a “historic opportunity” that could spur innovation across sectors and support the economy.  

iFOREST’s Ms. Banerjee said that while rapid improvements in green technology are often talked about, people overlook the corresponding health benefits, such as cleaner water and higher labour productivity.  

“If we take all these into account, a well-planned coal transition over the next 20–30 years can be an overall net-positive development,” she added. — Naimul Karim/Thomson Reuters Foundation

Are you looking for holiday deals? Enjoy an early holiday shopping at Wilcon

11.11 sale is here at Wilcon

Wilcon Depot, the Philippines’ leading home improvement and construction supply retailer, gives its valued customers more reasons to enjoy early shopping for all their home and holiday needs! Don’t miss out on an exciting shopping experience and get exclusive deals and discounts from Wilcon.

Make your holiday shopping more exciting and grab this chance to shop amazing home deals and enjoy big discounts with the WILCON 11.11 SALE! Homeowners and builders can get up to 50% off on a wide range of home products exclusively from Wilcon. The promo runs from November 11-13, 2021.

Wilcon rolls out biggest Black Friday sale

Wilcon also offers the biggest deals to its valued shoppers nationwide this month of November. You can shop fantastic home deals and enjoy big discounts with the WILCON BLACK FRIDAY SALE! With exciting and irresistible participating products, you can enjoy up to 50% off on a wide range of home products. The promo runs on November 26, 2021, only.

Customers can avail of the discount at all Wilcon Depot and Wilcon Home Essentials stores with over 70 store locations nationwide or shop online at Wilcon Online Store by visiting shop.wilcon.com.ph.

Discover the limitless product selections that Wilcon offers, ranging from Tiles, Sanitarywares, Plumbing, Furniture, Home Interior, Houseware, Outdoor Living, Building Materials, Hardware, Electrical, Appliances, Tools, Automotives, Paints & Sundries, and other DIY items.

To ensure a safe and convenient shopping environment in all Wilcon stores, the company continuously implements safety protocols for the health and well-being of both employees and valued customers.

To get promo updates, you can log on to www.wilcon.com.ph or follow their social media accounts on Facebook and Instagram. Subscribe and connect with them on Viber Community, LinkedIn, and YouTube.

 


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Britain approves Merck’s COVID-19 pill in world first

Britain on Thursday became the first country in the world to approve a potentially game-changing COVID-19 antiviral pill jointly developed by US-based Merck & Co. Inc. and Ridgeback Biotherapeutics, in a boost to the fight against the pandemic.  

Britain’s Medicines and Healthcare products Regulatory Agency (MHRA) recommended the drug, molnupiravir, for use in people with mild to moderate coronavirus disease 2019 (COVID-19) and at least one risk factor for developing severe illness, such as obesity, older age diabetes, and heart disease.  

It will be administered as soon as possible following a positive COVID-19 test and within five days of the onset of symptoms, the regulator said, citing clinical data.  

The green light is the first for an oral antiviral treatment for COVID-19 and the first for a COVID-19 drug that will be administered widely in the community.  

US advisers will meet on Nov. 30 to review the drug’s safety and efficacy data and vote on whether molnupiravir should be authorized.  

The pill, which will be branded as Lagevrio in Britain, is designed to introduce errors into the genetic code of the coronavirus that causes COVID-19 and is taken twice a day for five days.  

Drugs in the same class as molnupiravir have been linked to birth defects in animal studies. Merck, known as MSD outside of the United States and Canada, has said animal testing shows that molnupiravir is safe, but the data have not yet been made public.  

Treatments to tackle the pandemic, which has killed more than 5.2 million people worldwide, have so far focused mainly on vaccines. Other options, including Gilead’s infused antiviral remdesivir and generic steroid dexamethasone, are generally only given after a patient has been hospitalized.  

Merck’s Molnupiravir has been closely watched since data last month showed it could halve the chances of dying or being hospitalized for those most at risk of developing severe COVID-19 when given early in the illness.  

Professor Stephen Powis, national medical director for the National Health Service (NHS) in England, said the drug would be administered to patients at higher risk of complications as Britain heads into one of the most challenging winters ever.  

A wider rollout will follow if it is clinically and cost effective in reducing hospitalizations and death, he added.  

“We are now working across government and the NHS to urgently get this treatment to patients initially through a national study so we can collect more data on how antivirals work in a mostly vaccinated population,” UK vaccines minister Maggie Throup told parliament.  

PRESSURES  

The speedy approval in Britain, which was also the first Western country to approve a COVID-19 vaccine, comes as it struggles to tame soaring infections.  

Britain has about 40,000 daily cases of COVID-19, according to the latest seven-day average. That is second only to the roughly 74,000 a day in the United States, which has five times more people, and has fueled criticism of the government’s decision to abandon most pandemic-related restrictions  

Data released on Wednesday night showed COVID-19 prevalence in England hit its highest level on record last month, led by a high number of cases in children and a surge in the south-west of the country.  

Pressure is growing on the government to implement its “Plan B” aimed at protecting the NHS from unsustainable demands, involving mask mandates, vaccine passes and work-from-home orders.  

Many other big economies, including Germany, France, and Israel, have either retained some basic COVID-19 measures like mask mandates or reintroduced them in response to rising cases.  

The UK government has said its focus remains on administering vaccine boosters and inoculating 12- to 15-year-olds.  

“With no compromises on quality, safety and effectiveness, the public can trust that the MHRA has conducted a robust and thorough assessment of the data [on molnupiravir],” MHRA chief June Raine said in a statement.  

Last month, Britain agreed a deal with Merck to secure 480,000 courses of molnupiravir.  

Professor Penny Ward, an independent pharmaceutical physician, welcomed the approval, but said the NHS needed to outline its plans for rollout and cautioned that supplies were likely to be tight given the strong global demand.  

“Comments made by Mr. Javid today suggest that it may be made available via a clinical trial, presumably to investigate its effectiveness in vaccinated patients with breakthrough infections, as the original study incorporated unvaccinated adults,” she said.  

If given to everyone becoming unwell, the nearly half a million courses would not last very long given the more than 40,000 current daily case rate, she said.  

TREATMENT RACE  

In a separate statement, Merck said it expected to produce 10 million courses of the treatment by the end of this year, with at least 20 million set to be manufactured in 2022.  

The US-based drugmaker’s shares rose 2.1% to close at $90.54 on Thursday.  

Pfizer and Roche are also racing to develop easy-to-administer antiviral pills for COVID-19.  

Both Merck and Pfizer are studying their drugs in late-stage trials for preventing coronavirus infection.  

Viral sequencing done so far has shown molnupiravir is effective against all variants of the coronavirus, Merck has said, including the more-infectious Delta, which is responsible for the worldwide surge in hospitalizations and deaths recently.  

While it is not yet clear when Merck will deliver doses to Britain, the company has said it is committed to providing timely access to its drug globally with plans for tiered pricing aligned with a country’s ability to pay.  

Merck has licensed the drug to generic drugmakers for supply to low-income countries.  

Antibody cocktails like those from Regeneron and Eli Lilly have also been approved for non-hospitalized COVID-19 patients, but have to be given intravenously. —  Pushkala Aripaka/Reuters

3 PHL start-ups qualify in JICA’s accelerator program

Financial credit company Plentina, micro-business capital service Packworks, and agricultural e-commerce platform Mayani are the three Philippine-based start-ups that recently qualified for the Japan International Cooperation Agency’s (JICA) Next Innovation with Japan (NINJA) accelerator program. 

 In support of entrepreneurs and as a way to promote business innovation in emerging countries, JICA will grant the winner of the competition $30,000 to scale up. 

 “The aim is to help Filipino entrepreneurs boost their edge in the global market through access to capital and mentorship. Further, this is an opportunity for them to also explore the Japanese market and meet potential investors from Japan,” said Ayumu Ohshima, JICA Philippines’ senior representative, in an official statement. 

 The three Philippine start-ups started competing in mid-October against 12 other start-ups from Indonesia, Malaysia, Thailand, and Bangladesh, and will continue to battle it out this November. They all qualified based on the following criteria: impact of the business on Sustainable Development Goals (SDGs), business maturity, startup maturity, and pitch. 

In addition to the prize grant, the program offers field mentorship with industry experts and exposure to the Japanese market via the upcoming Demo Day later this month. 

“All of the entries have fascinating stories. We believe Philippine enterprises can thrive globally when given the opportunity,” added Ms. Ohshima. 

HELPING HANDS 

Launched in 2020, Plentina offers store credits with the goal of accelerating access to credit in emerging markets. Their official website reads: “We enable consumers to build their credit history while making easier payments to their favorite merchants.” 

At a fintech roundtable held in mid-October, Plentina co-founder and chief business officer Earl Martin S. Valencia revealed that they plan to double their user base in the Philippines over the next six months via partnerships with more marketplaces. 

Meanwhile, business-to-business (B2B) platform Packworks focuses on empowering micro-entrepreneurs through connected commerce. Their growing network is now composed of 110,000 micro-retailers in the Philippines. 

“We want to provide small businesses the ability to grow — access to both truly helpful financial products and to cheaper sources for goods to sell. We need to provide them an opportunity to earn their keep by giving them a helping hand,” said Packworks’ chief executive officer Bing Tan, on how the pandemic affected sari-sari stores (small neighborhood stores that sell assorted common items in small quantities). 

Mayani, a farm-to-table agritech start-up, also has an objective of helping out smaller stakeholders. This time, it’s Filipino farmers that get to benefit via an online platform that connects them with markets and investors. As of the end-of-October count of over 60,000 farmers, Mayani chairman and co-founder Jeff Barreiro said: “There are just too many layers to get fresh produce from smallholder farms to our tables. And these layers are not exactly the most efficient, nor the most fair.” 

They plan to continue their partnership with the Department of Trade and Industry (DTI) in order to increase opportunities for farmers in various regions across the Philippines. — Bronte H. Lacsamana

SM Supermalls hits 5 million COVID-19 jabs, opens more vax sites for minors

SM Supermalls has yet again marked a back-to-back milestone in its pursuit to help end COVID-19 in the Philippines: surpassing the five-millionth mark of COVID-19 jabs and the opening of more SM malls as pediatric vaccination sites outside Metro Manila.

“Breaching the five-millionth mark is a testament to our commitment to providing our communities with accessible and convenient vaccination sites. We thank our partner LGUs for this partnership are happy to provide our malls as pediatric vaccination centers for minors belonging to the 12-17 age group.” said Steven Tan, president of SM Supermalls.

During the opening ceremony of Paranaque City LGU’s “Bida Rin ang Bata” vaccination center in SM City Sucat on November 3, a total of 588 youngsters were given their first dose of vaccines. To date, SM Supermalls has vaccinated over 6,000 pedriatric constituents in 15 pediatric mall vaccination sites.

Present during the launch were Sec. Carlito Galvez Jr., National Task Force (NTF) against Covid-19 Chief Implementer and Vaccine czar; Assistant Secretary Elmer Punzalan and Assistant Regional Director Aleli Sudiacial, Department of Health; Paranaque Mayor Edwin Olivarez; Paranaque 1st District Rep. Eric Olivarez; IATF Assistant Regional Director Paz Corrales; Dra. Evangeline Labines, CESO V, School Division Superintendent; and, Dra. Olga Virtusio, Head of Paranaque CHO.

Mayor Olivarez shared that they target to inoculate 70% of their pediatric constituents this November. “To win the war against COVID-19, we will be working hand-in-hand with our partners, including SM Supermalls, in getting to a pandemic free Paranaque.” he furthered.

The phased approach to vaccinating the A3 category began last October 15, prioritizing minors with comorbidities. DOH emphasized that the rollout of inoculation among children and minors was needed to help the country achieve herd immunity.

“We heal as one,” said Dr. Aleli Sudiacal, Assistant Regional Director DOH-MMCHD. “With the intensive rollout of the pediatric immunization in the country, we shall continue working together with the private sector and LGUs since we are now in the post-recovery stage.”

SM Supermalls is the only mall venue partner as the DOH rolled out the second phase of the A3 immunization, starting at SM Megamall last October 21 and at SM Sucat on November 3. Several other SM Malls are expected to become safe and convenient Pediatric Vaccination Centers in the next weeks.

With its long-standing commitment to ensuring the health and safety of the public, SM continues to provide not just a #SafeMalling experience to shoppers, but also a convenient and accessible venue where their communities can get vaccinated.

For more information and up-to-date news on vaccination schedules at the SM malls in your LGU, visit www.smsupermalls.com or follow @smsupermalls on all social media accounts.

 


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Security Bank empowers businesses through online cash management

Ensuring good cashflow is the lifeblood of any business. Companies, big or small, need to generate sufficient cash from its activities to pay for expenses and grow its operations. As businesses grow, it’s important to keep track of cash flow to efficiently provide stakeholders with a bird’s eye view into a company’s financial health.

Cash management is one of the most crucial components to running a business—ensuring the right amount is held to meet immediate and long-term needs. Without a systematic process of collecting and managing cash flows, companies can quickly fall behind in monthly operational expenses resulting in debt and insolvency due to failure in anticipating unforeseen liabilities.

With decades of expertise in empowering businesses, Security Bank has helped thousands of companies with DigiBanker. DigiBanker is a multi-award-winning digital cash management system that enables organizations to closely and easily monitor cash flows, settle obligations on time, properly disburse funds, maximize liquidity, and minimize the cost of doing business in the long run.

Entrepreneurs who performed manual bookkeeping and vendor handling, for example, need not be reliant on traditional means of cash management. Through DigiBanker, they now have an option to automate tedious and often time-consuming processes.

“Many businesses used to view cash management as a nice-to-have value-added service provided by banks. Today, it is viewed as a vital tool in helping them run their business. And as these businesses go through their own digital transformation, digital cash management services are now a critical and integral part of their end-to-end financial operations,” says John Cary Ong, EVP and Transaction Banking Group head at Security Bank.

Providing services to enrich Filipino businesses

DigiBanker is used by 5 of the top 10 corporations in the Philippines, helping them manage cashflow and payments.

Developing a robust cash management system to ensure that the financial control of businesses is seamless is one of Security Bank’s core strengths. With years of experience in transaction banking and cash management, the Bank regularly updates its technology stack and keeps a laser-sharp focus on optimizing its platforms to offer new capabilities that improve the overall customer experience. This commitment to customer-centricity has allowed Security Bank to help businesses such as the W Group thrive amid continuous disruptions.

A client since 2009, the W Group has leveraged Security Bank’s DigiBanker platform to help manage its finances, from payments to the Bureau of Customs through PAS5, settlement of government related dues through the eGov module, and efficient check-handling with the PDC manager.

The W Group started manually monitoring PDCs and conducting daily submissions to a branch for deposit. However, as their business and revenues grew, the need to streamline its financial operations became a priority.

“We at W Group are pleased to have a partner such as Security Bank. Through their effective collections, liquidity, and disbursements platform, we can automate multiple financial transactions, manage daily cash flows, minimize possibility of human error, and navigate the digital payments ecosystem with ease,” says John Stanislaus Wee, Chairman and President of W Hydrocolloids Inc.

The W Group is known in the real estate sector for developing some of Bonifacio Global City’s iconic office high rises such as the W City Center, W Fifth Avenue, and the Citibank Plaza.

“We appreciate that our Relationship Manager takes time to sit down with us to provide suggestions on how to simplify our processes so we can make the right financial decisions. We are given regular updates on market performance, economic outlook, with tips on how industry players like us could better navigate a disruption-filled business landscape,” adds Wee.

DigiBanker landing page

Adapting fast to the new normal, Security Bank rolled out new services that allowed companies, big and small, not only to open accounts digitally, but also to enroll in various cash management services. In addition, the Bank also introduced new self-service onboarding tools such as DigiBanker Assistant, online account opening for BusinessPlus accounts and a dedicated hotline for DigiBanker concerns.

“Since DigiBanker’s inception in 2002, we have helped over 30,000 small to medium enterprises and large corporations handle their finances and grow to where they are now. Through DigiBanker, our Cash Management Platform that comes coupled with our BusinessPlus Account, we’re able to deliver BetterBanking and service differentiation to our business clients. As Security Bank continues to invest in the latest technology, we aim to empower businesses to reach their full potential,” adds Ong.

70 years of empowering businesses

Over the years, Security Bank continues to be a strong and trusted financial partner by many businesses. Today, despite the pandemic, the Bank maintains its agility and responsiveness in anticipating customers’ changing needs and preferences.

“As we celebrate our 70th anniversary, we look back on the Bank’s successes over the last seven decades that have ultimately paved the way for us to innovate and create more customer-centric offerings tailor-fit to the needs of Filipinos,” says Security Bank President and CEO Sanjiv Vohra. “As we adapt to the new normal, we continue to commit to our promise of BetterBanking service while ensuring our clients’ and employees’ safety and security during this time.”

In the coming years, Security Bank will aggressively invest in digital transformation to ensure that Filipinos have access to innovative solutions through its award-winning products and services.

This year, Security Bank celebrates its 70th anniversary. To know more about its products and services, you may visit www.securitybank.com or Security Bank’s Facebook page at www.facebook.com/SecurityBank.

 


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Addressing insurance hesitancy

Within the Filipino culture lies the mañana habit, the act of putting aside some tasks for later. The word “mañana” means “tomorrow” or “specified future time” — somewhere along the lines of procrastination, closely resembling the “mamaya na” phrase.

This attitude is something we got from the Spaniards. This may be the reason why Filipinos are averse to applying for insurance plans. We think that since we’re young and healthy, those plans can wait. Or so we thought.

“The lack of in-depth understanding of how life insurance works and other misconceptions contribute to insurance hesitancy among Pinoys,” says Sun Life 2020 Platinum advisor Henry Lee-Chun.

Lee-Chun shares the reasons why Filipinos are averse to applying for an insurance plan:

“I don’t have enough money.”

This is the common reason or excuse a lot of financial advisers and insurance agents hear from their potential clients. And because of the pandemic, most of them try to hold on to their hard-earned money.

If a prospective client worries about his/her financial capability of paying the premium, it’s best to give him/her options. “At Sun Life, we have a 5 Year Renewable Convertible Term plan, which is one of the lowest-cost insurance plans available in the market,” shares Lee-Chun. “Later, when they’re more financially stable, they can convert the plan into a permanent plan according to his/her needs.”

“I have lots of time for this” mindset.

Filipinos, especially the millennials, feel that they still have years ahead of them before worrying about their retirement. “But slowly, these millennials are opening up to the idea of getting one,” Lee-Chun says. “We still need to work hard in educating the younger generation on how the different insurance products can help solve their present and future needs.

“It’s not considered an investment.” 

Financially-savvy Pinoys are so into investing. Sadly, they don’t consider getting a life insurance plan as an investment. Well, if you have a hierarchy of investment, protection and security should be at the base. Consider this scenario: You may have millions of pesos in savings, but you don’t have an insurance policy. If you happen to be hospitalized, say for COVID-19, your bills will drain all your savings. “In this case, your health insurance coverage will be your first line of defense,” notes Lee-Chun.

Relying on government-mandated benefits

Most of us think that government-run insurance plans offer enough coverage. Well, the COVID-19 pandemic proved they don’t. “Our needs and priorities change over the years,” said Lee-Chun, addressing insurance hesitancy.

Henry Lee-Chun is an IQA certified Sun Life Financial Advisor.

For more information and inquiries, visit the Sun Life website at https://www.sunlife.com.ph/en/

 


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Philippines further eases restrictions in Metro Manila

PHILSTAR/MICHAEL VARCAS

THE PHILIPPINE capital and nearby cities, will be placed under a more relaxed alert level starting Nov. 5, according to the presidential palace.

Metro Manila will be downgraded to Alert Level 2 from Nov. 5 to 21, Palace Spokesman Herminio L. Roque, Jr. said in a statement on Thursday night.

An inter-agency task force made the decision a day after the Philippines recorded its lowest single-day tally since Feb. 24. 

Meanwhile, the task force has also approved a recommendation to “base the alert level assignments on data that is nearest to the implementation date,” Mr. Roque said.   

Starting Dec. 1, alert level assignments per region or locality shall be determined every 15th and 30th of the month, he said. 

“Escalations, on the other hand, may be done at any time in the middle of the implementation period as warranted while de-escalations can only be done at the end of the two-week assessment period,” he added. — Kyle Aristophere T. Atienza

Jobless rate soars to 8.9% in Sept.

PHILIPPINE STAR/ MICHAEL VARCAS
Joblessness remained elevated in the Philippines in September. — PHILIPPINE STAR/ MICHAEL VARCAS

THE UNEMPLOYMENT RATE rose to 8.9% in September, as bad weather left nearly 900,000 without work in the farm sector and strict lockdowns claimed over 340,000 factory jobs, the Philippine Statistics Authority (PSA) reported on Thursday.

Based on the preliminary report of the September round of the labor force survey (LFS), the jobless rate increased to 8.9%, compared with the 8.1% in August. This was the highest this year, matching the revised 8.9% jobless rate in February.

This translated to 4.25 million unemployed Filipinos in September, up from 3.88 million in August.

Philippine labor force situation (Sept. 2021)

At an online press conference on Thursday, National Statistician and PSA chief Dennis S. Mapa said 862,000 jobs in agriculture and forestry were lost in September due to several storms and the end of the harvest season.

Severe Tropical Storm Jolina (Conson) and Tropical Storm Kiko (Chanthu) hit parts of the country in September.

The manufacturing sector also lost 343,000 jobs, as Metro Manila remained under the second-strictest lockdown until Sept. 15.

Other sectors that shed jobs included information and communications (126,000), mining (75,000) and real estate (69,000).

“These results were expected as many parts of the country remained under stringent and blanket quarantines for most of the survey period,” Socioeconomic Planning Secretary Karl Kendrick T. Chua said in a statement.

“Overall, the economy has generated 1.1 million employment above the pre-pandemic level. This signals the Philippines’ continuing recovery.”

Employment rose by 414,000 in the services sector in September, thanks to wholesale and retail trade which accounted for 353,000 jobs.

Other subsectors that increased workers included public administration and defense and compulsory social security (118,000), education (115,000) and construction (105,000).

Overall, the quality of jobs slightly improved as the underemployment rate went down to 14.2% in September from 14.7% in August — the second lowest this year after the 12.3% in May. This represents those in the labor force who are already working but are looking for more work or looking to work for longer hours.

The underemployment rate represented 6.18 million, down from 6.48 million in August.

The month’s labor force participation rate (LFPR) dipped to 63.3% in September, from 63.6% in August.

The size of the working-age population was approximately 47.85 million in September, slightly lower than the 48.12 million in the previous month.

OUTLOOK
Mr. Chua expressed confidence the labor market would show improvements in October, since it would reflect the full impact of the granular lockdowns in the Philippine capital.

“We look forward to the expansion of the alert level and granular lockdown system to the whole country to recover more jobs and livelihoods,” he said in a statement.

However, the lackluster labor market may have weighed on the economy’s growth in the third quarter.

“Lack of access to income and accelerating inflation likely tag teamed to keep a lid on household spending. Meanwhile, fear of the more transmissible Delta variant kept Filipinos indoors for longer, also limiting their options to online shopping,” ING Bank NV Manila Senior Economist Nicholas Antonio T. Mapa said.

Mr. Mapa said further easing of mobility curbs and a pickup in the pace of vaccinations will help drive consumption.

“However, until households are secure in their ability to access income and rebuild their savings, we may have to be content with only modest gains in consumption and in turn, overall economic growth. Where consumption goes, the Philippine economy will likely follow,” he added.

In a Viber message, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the recent typhoons in October could lead to another temporary reduction in agricultural jobs until the next planting season.

Despite the higher unemployment rate, Mr. Ricafort said markets may “look beyond that and well into the Christmas holiday season and also the preparations for the May 2022 elections.”

He said there will be more job opportunities as the national elections approach as the government ramps up infrastructure spending. — B.A.D.Añago

BSP to keep accommodative policy to aid recovery

BW FILE PHOTO

THE PHILIPPINE central bank will continue to keep its accommodative policy to support the economy’s recovery, Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno said on Thursday.

“Given the manageable inflation outlook, and with non-monetary government measures helping to ease some of the supply-side pressures, the priority for monetary policy remains in keeping stimulus in place to aid the recovery,” he said at a briefing.

The BSP has maintained policy rates at record lows in its September review, even as it raised inflation outlook further beyond target to 4.4% for 2021.

Inflation in September eased to 4.8%, although still above the 2-4% BSP target. October inflation data will be released by the Philippine Statistics Authority on Friday.

“Nevertheless, the BSP stands ready to respond to potential second-round effects from supply-side factors as well as to more broad-based inflation pressures as the economy makes a full recovery,” Mr. Diokno said.

Third-quarter gross domestic product data will be released on Nov. 9, while the BSP will have its next policy review on Nov. 18.

At the same time, Mr. Diokno said the central bank will monitor the near-term impact of the US Federal Reserve’s move to unwind its massive stimulus program.

“With a gradual shift of major central banks toward normalization, including the recent US Fed announcement on the tapering of asset purchases, monetary authorities will be closely monitoring the near-term impact on financial conditions,” he said.

“The BSP is of the view that the Philippine economy will continue to recover in an environment of tighter global financial conditions,” he added.

The central bank chief stressed the flexible exchange rate system “serves as the country’s first line of defense against global shocks supported by robust external payments position.”

Mr. Diokno added the country’s huge gross international reserves (GIR) will also serve its purpose as a buffer against potential external shocks. 

The country’s GIR stood at $106.6 billion as of end-September, 1.3% lower than the $107.96 billion as of end-August.

Still, this level is enough to cover 7.7 times the country’s short-term external debt based on original maturity and 5.3 times based on residual maturity. It is also equivalent to 10.7 months’ worth of imports of goods and payments of services and primary income.

Meanwhile, analysts believe the Fed’s tapering asset purchases may put more pressure on the peso.

“A sustained decline in portfolio inflows specially in fixed income will likely exert further pressure on the peso and make inflationary expectations even more de-anchored,” Bank of the Philippine Islands Lead Economist Emilio S. Neri, Jr. said in a Viber message.

“This could mean stronger dollar. Definitely, Asian currencies are going to be affected, including the peso, could depreciate,” UnionBank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion said in a phone call.

The peso has been depreciating in the previous months. At its close of P50.595 per dollar on Thursday, the local unit has weakened by P2.572 or 5.36% from its P48.023 finish on Dec. 29, 2020.

Still, analysts said another taper tantrum similar to the one in 2013 is unlikely. In 2013, the taper tantrum resulted in panic over rising credit costs which led to sharp outflows from emerging markets and pushed central banks to hike interest rates.   

“The problem before [in 2013] was the communication of the policy. This time, there’s much talk about it and the Fed has been more transparent so I think the market has adjusted carefully,” Mr. Asuncion said.

Mr. Asuncion said the market has already gradually priced in the taper as the Fed has hinted about it in the previous months. He noted this was reflected in the uptick in yields as seen through the PHP Bloomberg Valuation Service Reference Rates in previous weeks.

“Tantrum is unlikely in the short term as the Federal Open Market Committee announced a mild taper and absence of an immediate rate hike,” Mr. Neri said.

“We foresee the possibility of a tantrum later as a more aggressive policy action may be necessary for most central banks to tame what is likely to be a more persistent rise in prices caused, in large part, by their delayed normalization,” he added. — Luz Wendy T. Noble