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Systems failure

malacanang failure final

Sara Duterte is running for Vice-President in partnership with Ferdinand Marcos, Jr., who has had his eye on the Presidency for decades. She substituted for the candidate of Gloria Macapagal-Arroyo’s Lakas-CMD for that post on Nov. 13. The party Marcos Junior is running under at the same time said it will ally with Lakas-CMD to support a Marcos-Sara Duterte team.

Both developments followed weeks of confusion over who the Arroyo-Marcos Axis would field for President and Vice-President; whether Christopher “Bong” Go will still be the PDP-Laban standard bearer; and Presi-dent Rodrigo Duterte’s cohorts’ triggering speculations over the possibility that while he had (again) announced his retirement from politics, he could still run for Vice-President or senator (whichever is convenient and fits his agenda). Mr. Duterte will indeed run in 2022 but for senator, not for VP.

This country’s power-mad politicians mock this country’s electoral process. The law allowing candidate substitutions is also one of the many anomalies that make a mess of it. And it is also another indicator of the rapid descent into systems failure of the Philippine State. That decline has visibly worsened during the rule of the Duterte clique — and it is happening not only during the country’s worst public health emergency in over a century, but also during its worst crisis in governance since the Marcos kleptocracy.

A plurality of voters elected to national office in 2016 what had hitherto been a limited provincial tyranny. Once in Malacañang, it brought with it not only the unrestrained use of State violence against the poor and govern-ment critics and dissenters, but also an army of ineffectual officials.

Past administrations have hardly been exemplars of competence, vision, or dedication to public interest. But the Duterte regime’s record of mismanagement has made it abundantly clear that it is exceptional in the gross in-capacity of its officials to do their jobs — and, in some cases, to even understand what their tasks and responsibilities are.

Unlike his hero, model and mentor Ferdinand Marcos, Mr. Duterte has never considered the fitness for a particular office of the officials he names. Martial law did not prevent Marcos Senior from recognizing the competent and appointing them to key government agencies. But Mr. Duterte did Marcos’ martial rule one better by naming most of his leading officials on the basis of either their police and military backgrounds, or their unflinching de-votion to him and his family.

Because of the sheer number of retired military and police personnel in the regime, his is the most militarized since the country regained its independence in 1946. But he has also kept in their posts officials who, for some reason, have earned and kept his confidence despite the scandals that hound them, or their demonstrated incapacity to effectively respond to the problems raised by the pandemic.

The country’s government institutions, among them those agencies most crucial to the provision of social services such as health, education, and social welfare, have only erratically provided the citizenry the medical care, social amelioration, and access to education that it needs for the country to progress or to just stay in place. But they and other government agencies have been failing even before Mr. Duterte’s troubled watch.

Every year the country has faced shortages in the number of doctors, nurses, and the other medical personnel it needs, as droves of graduates of medical and nursing schools leave for abroad in search of living wages. During the pandemic the regime could have raised salaries and allowances to keep medical workers home but did not — hence the shortage of doctors and nurses in the severely strained healthcare system.

The deterioration of education has also been ongoing, because of the corruption that, among others, consists of the approval for use in the country’s primary and secondary education levels of error-filled textbooks, and the shortfall in teachers and classrooms. At the tertiary level, some Congressmen have added to the lengthening list of State universities and colleges institutions of dubious credentials.

The economy has always been vulnerable to the vagaries of the export and import markets, and to fluctuations in the international rate of currency exchange — all of which make the employment of the millions in the coun-try’s huge labor reserves insecure and uncertain. The Philippines’ pre-industrial enterprises and the workers’ community are dependent on each other, with the former’s reliance on the continued availability of labor, and workers’ being dependent on the continued operations of the enterprises that employ them. As a huge number of small- and medium-sized enterprises went bankrupt or were forced to shut down, more than four million workers in addition to the usual legions of unemployed and underemployed lost their means of livelihood.

The number of COVID-19 infections has meanwhile risen to nearly three million, and made the full reopening of the economy problematic, with all its consequences on the deepening poverty and hunger of the poorest sec-tors of the population.

The pandemic has aggravated the long simmering crises of Philippine society, and despite regime efforts to make it appear that everything is approaching normalcy, the perennial problems in public health, education, and the economy have worsened. A more competent and less corrupt dispensation could have prevented or at least mitigated the extent of the present crisis. It would have acted quickly enough to shut down the country’s borders in 2020 and, as vaccines were developed in a number of countries, to arrange for their purchase from whatever source.

The present regime instead hemmed and hawed before it did either, and in the process lost months of precious response time. And even when visitors from China were supposedly barred from travel to the Philippines, a racket at the Bureau of Immigration and preferential treatment enabled a number to nevertheless enter the country, while the government’s preference for China-sourced vaccines prevented early on their purchase from other countries.

The resulting crisis in health thus led to the decline of the already frail economy, while it compelled the conduct of education via distance learning — which, among other problems, is hampered by limited citizen ca-pacity to access electronic devices and the country’s notoriously erratic and slow-as-molasses wi-fi connectivity.

While all this was going on and compromising the country’s future, the use of lawless State violence even against violators of health protocols never abated. Neither did the extrajudicial killings, the rampant human rights vi-olations, and the systematic erosion of the Republican principle of checks and balances.

The regime never crafted a national plan to address the pandemic, and left it to LGUs to do what they thought could contain the contagion in their jurisdictions. A futile debate over whether the wearing of face shields should still be mandatory is continuing. The holding of face-to-face classes is being pilot-tested. Restrictions in international and domestic tourism are being lifted, cinemas being reopened, and public vehicle occupancy in-creased to almost 100% despite the understandable reservations of the medical community. Chaos rather than order rules Philippine society.

It should be more than evident by now that only the election of a halfway decent, competent, and honest alternative to the present regime can at least begin the process of halting the country’s descent into failed State sta-tus. But that can happen only if the mass of the electorate has learned enough from the experience of the last six years to elect the officials the country so desperately and so urgently needs.

 

LUIS V. TEODORO is on Facebook and Twitter (@luisteodoro).
www.luisteodoro.com

Filipina e-commerce pioneer to pay it forward as a mentor for small businesses

By Patricia Mirasol

As Kimstore, the Philippines’s first online gadget store, celebrates its 15th anniversary, founder Kim Y. Lato wishes her next act to be as a mentor of micro, small, and medium enterprises (MSMEs) who need support in the digital space.

“My store’s anniversary is one of my top three business milestones,” said Ms. Lato at a Nov. 18 event celebrating the milestone. “I could finally say that I found my ikigai, which is empowering women and teaching them how to do business in e-commerce.”

Ikigai is a Japanese concept that refers to that which gives your life worth, meaning, or purpose.

“We are piloting an e-commerce academy with [Ms. Lato],” said Francisco “Jay” M. Bernardo III, chair and president of Bayan Academy, which offers entrepreneurship, management, and education training programs as a social development organization.

“She is going to be part of the She Means Business program we’ll be running with Facebook,” he told the event audience. “We at Bayan Academy found that what was needed by MSMEs is guidance on how to be successful in the digital economy.”

Ms. Lato started her business on Nov. 19, 2006, when she was a marketing undergraduate at De La Salle University. Back then, selling involved utilizing the now-defunct social media platform Multiply, as well as meeting up with buyers at the McDonald’s branch adjacent to the university to exchange orders for cash.

Her initial capital was from ampaos, which are cash-filled red envelopes that are given by godparents during special occasions.

“I never imagined this would last 15 years,” she said.

To differentiate itself from the competition, Kimstore makes it a point to focus on customer service and be an early technology adopter. Advancements in CRM (customer relationship management) and NPI (new product introduction), for example, are quickly adopted to improve how the store addresses customer needs.

“I attend forums to make sure I’m an adopter of new technologies,” Ms. Lato said. “You always have to be 10 steps ahead.”

Kimstore moreover prioritizes making its customer service a human one.

“People crave the human touch,” added Ms. Lato.

Living-in before marriage is a bad idea

couple

I once came across an online chat group where one of the members asked for advice on how to best prepare for marriage. The overwhelmingly popular suggestion from the youngish crowd: live together first.

Now, with thinking like that, no wonder more and more marriages are breaking up and more and more children are born or growing up outside wedlock.

Follow the science.

Stanford’s Michael J. Rosenfeld and Katharina Roesler (“Cohabitation Experience and Cohabitation’s Association with Marital Dissolution,” 2018) reaffirms that premarital cohabitation is still a risk factor for divorce: “The results show that in the first year of marriages, couples who cohabited before marriage have a lower marital dissolution rate than couples who did not cohabit before marriage, a difference that may be due to the practical experience of cohabitation, as couples who have cohabited learned to adapt to each other. We find that the association between marital dissolution and premarital cohabitation has not changed over time or across marriage cohorts. The benefits of cohabitation experience in the first year of marriage has misled scholars into thinking that the most recent marriage cohorts will not experience heightened marital dissolution due to pre-marital cohabitation.”

In other words, although couples that lived together before marrying may have a lower divorce rate in their first year of marriage, nevertheless, the chances of them divorcing go exponentially higher after five years and this bol-sters earlier research linking premarital cohabitation to increased divorce (e.g., see the 1988 study by Bennett, Blanc, & Bloom).

Ergo: premarital cohabitation is still a decisive risk factor substantially increasing the chances of a marriage breaking up.

Doubtless, there are experts that attempt to defend cohabitation before marriage (e.g., the critique by Manning, Smock, and Kuperberg) but in the end such do not hold water when ranged against decade af-ter decade of studies showing the adverse effect of “live-in” arrangements to marriages.

Rosenfeld and Roesler adequately defend their work against Manning, Smock, and Kuperberg, and “stand by their conclusion that the average increased risk for divorce associated with premarital cohabitation is mostly unchanged over the last 40 years” (“Is Cohabitation Still Linked to Greater Odds of Divorce?,” Institute for Family Studies, 2021).

In fact, to those arguing that for the poor cohabitation might be a better alternative to marriage, a 2011 Pew Research Analysis showed the opposite — cohabitation actually works against them: “less-educated adults are less likely to realize the economic benefits associated with cohabitation… a cohabiter without a college degree typically is worse off than a comparably educated married adult and no better off economically than an adult without an opposite-sex partner.”

And more crucially, Pew found that “a voluminous body of social science research shows that marriage is associated with a variety of benefits for adults. In the words of one researcher: ‘For well over a century, researchers have known that married people are generally better off than their unmarried counterparts’ (Nock, 2005)” (“Living Together: The Economics of Cohabitation,” Pew Research Center, 2011).

The foregoing has to be read closely with numerous studies linking premarital sex to eventual breakup of marriages. In other words, despite the supposed rise of the “hook-up culture” and media’s normalization of premari-tal sex, recent data still show that marriages where the bride is a virgin leads to more stable marriages and far lesser chances of divorce or marital breakup. Conversely, the more sexual partners a woman has had before mar-riage sees greater risk of marital deterioration (see “Counterintuitive Trends in the Link Between Premarital Sex and Marital Stability,” 2016, and “Does Sexual History Affect Marital Happiness?,” 2018, Institute for Family Stud-ies).

What’s disconcerting for the Philippines is that despite the clear negative effect of cohabitation, more and more young Filipinos are deciding to do it anyway: “Data from the Philippine National Demographic and Health Survey (NDHS) show that the proportion of Filipino women of age 15 to 49 who are legally married dropped from 54% in 1993 to 42% in 2017, while the corresponding proportions who are living together more than tripled from 5% to 18%,” while “the share of Filipinos who agreed that ‘it is all right for a couple to live together without intending to get married’ increased from 18% in 1994 to 35% in 2012” (“Do Filipinos still say ‘I do’? The rise of non-marriage and cohabitation in the Philip-pines,” Jeofrey Abalos, 2021).

So, if cohabitation and premarital sex provide greater risk for marriage instability and the breakup of marriages, this then leads us to the fully documented negative consequences for children of broken marriages or single parenthood (see, for example, “Divorce and its damaging effect on children. And on society,” 2017, and “Divorce is a deadly killer!,” 2018, BusinessWorld).

Bottomline: people can certainly give far better advice to young couples (e.g., better courtships, emphasis on family stability and values compatibility) than blithely telling them to “live together first.”

 

JEMY GATDULA is a senior fellow of the Philippine Council for Foreign Relations and a Philippine Judicial Academy law lecturer for constitutional philosophy and jurisprudence
https://www.facebook.com/jigatdula
Twitter @jemygatdula

Meralco energizes COVID-19 treatment and quarantine facility in Quezon City

In its continuing support to the Government and Private Sector’s fight against COVID-19, Meralco installed a new primary metering facility connecting the privately-owned Quirino Memorial Medical Center to the utility’s distribution line. This project also involved the retirement of three (3) 75-kVA Distribution Transformers which were earlier used as a temporary facility for the said hospital.

This COVID-19 treatment and quarantine facility, located along Katipunan Street, Barangay Blue Ridge A., Quezon City, is one of the many vital COVID-19 facilities in the Meralco franchise area that are given the highest priority in terms of providing safe, adequate, and reliable supply of electricity, in line with the company’s thrust to assist the government during the pandemic. To date, more than 140 vital COVID-19 facilities have already been energized by Meralco which include government offices, hospitals, testing laboratories, quarantine and vaccination centers, and vaccine storage facilities.

 


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Strengthening partnerships and capacities is key in the journey to peace

By Patricia Mirasol

Strengthening partnerships and capacities is key in the non-linear journey to peace, according to Steve Muncy, an American humanitarian worker and this year’s awardee of the Ramon Magsaysay Award Foundation, which celebrates greatness of spirit and transformative leadership in Asia through its annual awards.

“The journey from conflict to development and peace is seldom linear,” he said at a Nov. 17 virtual lecture, as he noted the importance of local stakeholders. “It will succeed if those who live in the area that are adversely affected… also play active roles [in it.]”

Mr. Muncy, who is also the Executive Director of humanitarian organization Community and Family Services International (CFSI), said his takeaway from partnership discussions can be summarized in three words: We. Listen. Learn.

“The next nexus calls us to listen, and listen well, to those affected. It’s essential for trust-building.”

CSFI’s Philippine projects focus on people affected by natural disaster and armed conflict in Visayas and Mindanao, such as the 2017 Marawi siege.

PEACE AGREEMENTS

Ariel “Ayi” C. Hernandez, whose Balay Mindanaw Foundation Inc. (BMFI) has been involved in Mindanao peace-building and development work for 15 years, acknowledged the complexity of implementing peace agreements.

“Establishing trust with MILF leaders is not easy,” BMFI’s corporate treasurer said at the Nov. 17 event. “You have to respect boundaries, perspectives, mechanisms. Steve’s group was able to handle this very well.”

The Moro Islamic Liberation Front (MILF) is the largest militant organization in the country and seeks autonomy for Filipino Muslims.

A peace agreement is only a piece of paper if it can’t be implemented, added Amina Rasul-Bernardo, former chair of the Ramon Magsaysay Award Foundation and president of the Philippine Center for Islam and Democracy (PCID), which was founded on the idea that addressing the problems of Muslim Mindanao “should include and occur within the context of democracy.”

“This can only be implemented if you have partners like CSFI and Balay Mindanaw… [and if you have] trust given by the national government and the local community,” she told the audience of the virtual lecture. “In this case, it’s the MILF. With trust comes credibility, and then you can have implementation of that important piece of paper.”

LONG-TERM INTERVENTIONS

Development, according to Nobel prize-winning economist Amartya Sen, must be judged by its impact on people – not only by changes in their income, but by the more general terms of their choices, capabilities, and freedoms.

Given its long-term goal of lasting change, development work tends to transcend changes of administration.

“The environment may become complicated and partners may change, but the needs remain the same,” Mr. Muncy said. “The interventions need to continue over a long period of time.”

The determining factor are partnerships that are continually strengthened, added Mr. Hernandez, noting that Mr. Muncy might be already thinking of second-liners – individuals who are next in line to sustain CSFI’s passion and dream.

“As they say, the dream will outlive the dreamer,” he said.

McDonald’s leads in environmentally sustainable restaurants, opens its second in Mandaluyong

Charging pods for e-scooters and e-bikes powered by Meralco reduces 18,400 kg of C02 emission annually.

In time for Environmental Awareness Month, McDonald’s Philippines reinforces its commitment towards using environment-conscious and climate-friendly restaurant solutions as it opens its newest Green & Good store in Shaw Boulevard Wack Wack, Mandaluyong City. McDonald’s Green & Good stores allows the QSR giant to test and learn sustainable practices with its green building construction and utility efficient solutions. The first Green & Good store was launched in UN Del Pilar Avenue in Manila City in April 2021.

The Green & Good store in Shaw Boulevard Wack Wack is the first McDonald’s store in the country to adapt a modular system with its prefabricated pre-finished building construction. Compared to a traditional brick-and-block approach, each module is produced off-site and installed together with other modules on-site. This enables faster work in a controlled environment and promotes sustainability through reduced waste and impact of on-site construction activities.

High performance glass film on windows helps reduce internal building temperature through high heat rejection and reflective properties for glass panels.

The store was also built with repurposed and recycled material such as reclaimed wood, eco- pavers, and eco-bricks. Concrete fiber was used as an alternative material to steel rebars on slabs, pavements, and driveways. Even smaller details such as paint used made with low volatile organic compounds were prioritized with less environmental impact.

Aesthetic plant walls that act as natural air filters and noise barriers.

The Green & Good store also includes solar lampposts and photo and motion sensors as part of its utility efficiency solutions, as well as eco-friendly air conditioning for less energy consumption. Rainwater is also collected in a harvesting tank to be used for cleaning the store’s exterior.

Solar-powered lampposts that produce its own power operate on electricity from batteries charged by photovoltaic panels. They can sustain 3,100 kw-hr of LED lighting annually without direct power supply equivalent to decreased 722kg of CO2 emissions.

“We are committed to provide a better and more environmentally sustainable McDonald’s for our customers and the communities we are a part of. We recognize that there is a lot more to be done but through our Green and Good platform, we are a step closer towards finding innovative ways to keep waste out of nature and drive climate action.” said McDonald’s Philippines President & CEO Kenneth S. Yang.

With the growing community of cyclists, the new store includes a Bike & Dine area where cyclists can comfortably enjoy their McDonald’s favorites without having to worry about the safety of their bicycles. The store also has a Bike Repair Station that has the tools cyclists would need to carry out basic bike repair or maintenance.

McDonald’s also partnered with Meralco to provide access to e-charging stations. The Green & Good store in Shaw Wack-Wack is the second store to provide their customers with Meralco E-Sakay’s e-Charging stations for e-bikes and e-scooters. Customers can simply plug-in their e-bike and e-scooter for a minimal fee of PhP1 for one-minute worth of charging.

Innovative outdoor dining area which features racks integrated onto the dining ledge itself, so cyclists can dine comfortably while making sure their bikes are upright, safe, and secure.

Customers can also enjoy their food with the use of reusable packaging for dine-in such as reusable rice bowls, utensils, cups, and wooden stirrers.

Stricter implementation of solid waste segregation in the dine-in, kitchen and prep areas will be in place. McDonald’s Philippines aims to significantly reduce waste at sanitary landfill by conversion of paper waste to fuel, food waste to fertilizers and plastic waste to repurposed goods, as well as conversion of Vegetable Oil to biodiesel.

McDonald’s Shaw Boulevard Wack Wack is now open for 24 hours to serve customers via dine-in, take-out, ride-thru and McDelivery. Under its M Safe program, McDonald’s ensures the safety of its employees with close to 100% of its crew and managers in NCR now fully vaccinated. Along with the constant acquisition of Safety Seal Certifications, now in more than 60% of all restaurants nationwide, the QSR giant assured that they will continue to offer safe, feel-good experiences for customers whether through Dine-in, Ride-Thru, or Delivery, through crew and managers who are protected/healthy and working in a safe environment.

Be updated on when the next Green & Good store will open by following McDonald’s PH on Facebook, Twitter and Instagram.

 


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Mickey & Minnie Mouse go local with ‘Mickey Go Philippines’ at SM Supermalls

Disney’s most-loved iconic characters Mickey and Minnie Mouse have delighted the hearts of many across decades, and this year SM Supermalls and Disney have teamed up to launch the Mickey Go Philippines collection at The SM Store, featuring a range of merchandise with a Pinoy twist! What’s more, SM and Disney have planned a surprise virtual party for Mickey and Minnie on their birthday this November 27, and we’re expecting you to join us!

Be among the first to get exclusive Mickey Go PH merchandise! Get first dibs on adorable Mickey and Minnie collectibles from clothes and footwear to tote bags, pillows, tumblers, kitchen appliances, and more! Mickey Go PH and Mickey & Minnie classic merchandise will be available at the live selling events on:

  • November 18 at 1pm-2m via Toy Kingdom’s official Facebook page
  • November 24 at 1pm -2pm via The SM Store’s official Facebook page

Join Mickey & Minnie’s first virtual surprise birthday party! After you’ve shopped to your heart’s content during the live-selling events on Facebook, or at participating SM Store branches, you will automatically get a code to enter the virtual surprise birthday party on November 27. All you need is a minimum of PHP 500 single-receipt purchase of Mickey Go PH or Mickey Mouse Classic merchandise in any participating The SM Store (Character Shop, Kids’ Wear, Boy’s Teens Wear, Girl’s Teens Wear, Kids’ Shoes, Baby Company & Toy Kingdom Express) or Toy Kingdom outlet.

To join, simply scan the QR code to register from November 23-25. A confirmation email or SMS from SM Supermalls with the website link and passcode will be sent to you to join Mickey & Minnie’s Surprise Birthday Party! Mark your calendars so you don’t miss out on this big day filled with fun games, activities, and surprises!

Help Plan Mickey & Minnie’s Surprise Birthday Party! Join us as we secretly plan for Mickey and Minnie’s party! Don’t spoil the fun okay? There are lots of games and prizes to be won! Kids will also get the chance to greet both of them and create their very own birthday card which they will be making during the event! Mickey and Minnie will surely appreciate the sweet gesture! After all the fun and games, it’s time to meet & greet Minnie, so get ready to strike a pose. Mickey and Minnie are excited to meet their Filipino fans!

It’s going to be one special and memorable surprise birthday party for Mickey and Minnie, and we want you and your kids to join us! It’s time to bring back the nostalgia and relive your favorite childhood memories with Mickey & Minnie by celebrating their birthday only at SM Supermalls!

SM implements strict #SafeMallingAtSM protocols nationwide and offers an equally convenient online shopping option with the SM Malls Online app on the Google Play or App Store. For more information, visit www.smsupermalls.com and follow @smsupermalls on all social media accounts.

 


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Opportunities worth taking for young retailers at Caltex

“In the midst of every crisis, lies great opportunity.” Never has this been truer today during the pandemic, when many Filipinos are finding creative and inspiring ways to make the most out of a very difficult situation.

In fact, according to the Department of Trade and Industry (DTI), nearly a million enterprises have registered and renewed their business names in the last year. The DTI’s Business Name Registration Division found that total registrations in 2020 reached 916,163, nearly all or 91% of which were considered new. This is nearly 44% higher than the total registration in 2019 at 637,567.

What’s more, studies have shown that as much as 66% of millennials and 54% of Gen Z have ambitions of starting their own business.

Clearly, the pandemic is not enough to quell the Filipino entrepreneurial spirit. But for the young and aspiring Filipino entrepreneurs who have yet to start their own businesses, it can be difficult to find the opportunity to do so. Beyond starting one, moreover, it is more challenging now to sustain a business and keep it resilient from future crises. In a fast-changing business landscape, resilient businesses must be easily accessible to various customers, as well as responsive to their needs and demands—from convenient means of payment to sustainable products.

Grounded on an established brand and presence in the Philippines, Caltex, marketed by Chevron Philippines Inc. (CPI), aims to provide these fruitful business opportunities for young entrepreneurs.

Energy has been and still is one of the most critical industries in the modern world, so much that modern life is often inextricably linked to it. The world’s supply chains, its transportation networks, its machinery all rely on oil. As global populations are set to grow by some 2 billion people to 2050, and the emergence of more developing nations push up demand for energy services, there is no better time to invest in a time-tested, future-ready industry.

Under Chevron, one of the world’s leading integrated energy companies, Caltex provides a trusted global brand with high quality products and services that the aspiring Filipino entrepreneur can believe in.

Providing end-to-end support for new entrepreneurs to help them run their business effectively, including construction and building assistance, and access to Chevron Business Point – retailers’ day-to-day online transactional interface—Caltex helps its retailers start, strategize and grow their businesses for the future.

The company also helps retailers strategize and grow their businesses through continuous trainings and dedicated business consultants.

“Caltex has industry-leading retailer support from our business consultants who guide us through the whole gamut of pricing, wet stock management of fuel, and safe operations of stations. This enables us to have that distinct Caltex advantage,” said Don Dexter Agujo, 38, who currently operates three Caltex stations in San Pascual and Lemery, Batangas, and one along SLEX Northbound, Laguna.

Additionally, with the Caltex Star being an instantly recognized and highly regarded symbol in the Philippines, any budding Caltex retailer can enjoy financial security and peace of mind when it comes to their investment.

Success is more rewarding with Caltex as it means achieving one’s business goals while helping communities progress. With Caltex’s strong portfolio, seasoned or budding entrepreneurs can get ahead of the competition.

Currently handling two Caltex stations in Candon City, Ilocos Sur, Sherlyn Dela Cruz aims to pay it forward by providing employment opportunities. “My goal is not to hire people to sell fuel, but to sell fuel to hire more people,” she said.

This drive helped her persevere to get a grip on the complexities of business management at the age of 27.

“Caltex gives the assurance that it would always be there to support its retailers through thick and thin. It also provides effective general marketing strategies for existing and potential customers,” Ms. Dela Cruz added.

Guided by the belief that affordable, reliable and ever-cleaner energy is essential to achieving a more prosperous and sustainable world, Chevron produces crude oil and natural gas; manufactures transportation fuels, lubricants, petrochemicals and additives; and develops technologies that enhance our business and the industry.

To advance a lower-carbon future, the company is also focusing on cost efficient methods of lowering carbon intensity, increasing renewables and offsets in support of its business, and investing in low-carbon technologies that enable commercial solutions.

Ready to drive your own journey and reach the apex with Caltex? Visit www.caltex.com/ph/investors for more information.

 


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PCCI to gov’t: Open economy now

REUTERS

THE COUNTRY’S biggest business group on Wednesday urged the Duterte administration to “open the economy now” and assist businesses in creating more jobs, in order to accelerate the Philippine economy’s recovery.

This is part of the wish list that the Philippine Chamber of Commerce and Industry (PCCI) will submit to President Rodrigo R. Duterte today (Nov. 18), the last day of the Philippine Business Conference (PBC).

Aside from reopening the economy, the PCCI’s resolutions also cover internet connectivity, innovation advocacy, ease of doing business, agricultural productivity, education, environment, energy efficiency, and infrastructure. 

“We will not concede this projected future amid all grim outlook from many sectors. We, at PCCI, believe we still have what it takes for a nation to become one of the most robust economies in the world. The Philippine business sector will lead this change,” PCCI President Benedicto V. Yujuico said in a statement.

The PCCI urged the government to further open the economy now even before herd immunity is attained to revive pandemic-hit businesses before the economy slumps back into a deep recession.

Metro Manila remains under a more relaxed Alert Level 2, where most businesses are allowed to operate but in limited capacity.

Finance Secretary Carlos G. Dominguez III said he expects the government to ease mobility restrictions to Alert Level 1, the most relaxed lockdown level, by the start of next year.

“With current trends, we expect to achieve Alert Level 1 by the onset of the New Year,” he said in a speech read by Finance Undersecretary and Chief Economist Gil S. Beltran at the PBC. “Our businesses should prepare to thrive under the terms of this new economy.”

Meanwhile, the PCCI also asked the government to help companies create new jobs and preserve existing ones. It also sought the full implementation of the Ease of Doing Business law, modernization of agriculture sector, and acceleration of internet connectivity nationwide.

The PCCI urged the government to institutionalize innovation as a national strategy towards economic development; digitize the education system; protect the environment and reduce carbon footprint; ensure reliable and affordable power supply to sustain economic recovery; and fast-track the scheduled completion of all infrastructure projects under the “Build, Build, Build” program, and safeguard the transparency in the bids and awards of contracts. 

Jeffrey T. Ng, chair of the 47th PBC, said the resolutions are addressed to the outgoing administration and aspiring new leaders.

“While there are, no doubt, many other proposals on the table, we offer these resolutions containing doable recommendations, proposed legislations and executive actions to guide our economic recovery and bring into the fore those who are in danger of being left behind as we bounce back from the aftermath of the coronavirus disease 2019 (COVID-19) pandemic,” Mr. Ng said.

In a keynote speech at the PBC on Wednesday, Vice-President Maria Leonor “Leni” G. Robredo said there is a need to rebuild the trust in the government which can be achieved by having dependable and predictable policies.

“Foreign and domestic investments, we all know, will only dramatically rise if we have the necessary infrastructure and logistics for them to thrive. To do this, we need to offer a stable and strong political and economic climate. We need to prioritize lowering of power rates and other utility costs, and prioritize mass transport,” Ms. Robredo said. — Revin Mikhael D. Ochave

Dutertes’ influence seen to continue after elections

REUTERS

THE PHILIPPINES would likely see broad policy continuity after next year’s national elections as the family of President Rodrigo R. Duterte is expected to retain influence in policy making, Fitch Solutions Country Risk & Industry Research said.

In a note released on Wednesday, Fitch Solutions said it retained its short-term political risk index score of 64 for the Philippines, where a 100 score indicates lower risk, with “upsides” seen.

“The confirmation of (presidential) candidacies has led us to believe that the prospects for policy continuity remain relatively high, with the main presidential candidates broadly offering continuity and the Dutertes likely to exert continued influence on policy making,” Fitch Solutions said.

Among the presidential candidates, Senator Christopher Lawrence “Bong” T. Go is expected to offer the most policy continuity, with Fitch Solutions citing his ties to Mr. Duterte and his political party PDP-Laban.

“As a former close aide to Duterte during his presidency, Bong Go will likely press ahead with key policies such as Duterte’s ‘Build, Build, Build’ infrastructure initiative and improving ties with China,” the think tank said.

Fitch Solutions noted that former Senator Ferdinand “Bongbong” R. Marcos, Jr. favors Mr. Duterte’s “strongman” strategy and supports the rule of his father, late dictator Ferdinand E. Marcos. This could pose risks of more authoritarianism, it said.

“Bongbong appears to be one of the few candidates to agree with Duterte’s policy of engagement with Beijing, potentially offering the most policy continuity out of the announced candidates. Bongbong has given his support to Sara Duterte’s vice-presidential bid, which could lead to a strong joint campaign platform,” Fitch Solutions said.

Davao City Mayor and presidential daughter Sara Duterte-Carpio will run for vice-president in alliance with Mr. Marcos.

Fitch Solutions said Mr. Go and Mr. Marcos are both likely to favor “Beijing-friendly postures,” but they may face opposition from both the military and the public.

Meanwhile, Manila Mayor Francisco “Isko” Moreno Domagoso and Senator Emmanuel “Manny” D. Pacquiao, Sr. could retain some of Mr. Duterte’s policies, but Fitch Solutions said they would likely take on a “big tent” government that would address corruption and favor relations with the US over China.

Fitch Solutions maintained that Vice-President Maria Leonor “Leni” G. Robredo will likely struggle to win the presidency.

Ms. Duterte-Carpio, on the other hand, is seen as the “favorite” for vice-president as she likely benefits from her father’s continued popularity.

“While Sara is not running for presidency, her vice-presidential bid, along with Rodrigo’s senatorial bid, was in line with our view that the Dutertes would seek to retain influential positions within Philippine politics,” Fitch Solutions said, adding the Duterte family should “perform well” in May.

Mr. Duterte filed his candidacy for Senator on Monday.

Think tank Stratbase ADR Institute, Inc. on Monday said that 47% of Filipinos would vote for Mr. Marcos, with Ms. Robredo polling at 18% and Mr. Domagoso coming in third at 13%. — Jenina P. Ibañez

Regulator clears more IPOs, follow-on offering

THE SECURITIES and Exchange Commission (SEC) said on Wednesday it “considered favorably” the initial public offerings (IPOs) of Citicore Energy REIT Corp. (CREIT) and Figaro Coffee Group, Inc., as well as the follow-on offering (FOO) of Arthaland Corp.

Analysts said investor appetite for these offerings may depend on the final price and the further easing of lockdown restrictions, as the pandemic continues to weigh on sentiment.

“Everything always boils down to the final price. Generally, though, [the] timing seems to [be] good since market sentiment has been a bit more bullish as evident by trading activity and current PSEi (Philippine Stock Exchange index) levels,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

Timson Securities, Inc. Equity Trader Darren Blaine T. Pangan said there was IPO fatigue observed in US markets earlier this year.

“We may also have to observe how investors’ appetite for new listings will unfold in the coming offerings,” he said.

Some investors may be interested in diversifying their portfolio with CREIT’s offering, since it is the first energy-focused real estate investment trust (REIT).

“CREIT may offer investors an opportunity to further diversify their portfolio given that it’s positioned as the first energy-related REIT to be offered in the local market,” Mr. Pangan said in a separate Viber message.

CREIT is looking to offer 1.05 billion primary shares for P3.15 apiece, with an oversubscription option of up to 418.34 million shares.

Should the oversubscription option be exercised, the company may raise up to P4.62 billion. Net proceeds will be used to acquire properties in Bulacan and South Cotabato.

CREIT’s sponsor, Citicore Renewable Energy Corp., is also offering 1.74 billion in secondary shares. However, CREIT will not receive proceeds from the secondary offer.

According to its latest timetable submitted to the SEC, CREIT said the offer period will run from Nov. 26 to Dec. 3. It aims to list on the main board of the Philippine Stock Exchange on Dec. 13.

Meanwhile, the Figaro Group’s IPO may depend on the expected rebound in consumer spending since it operates food brands such as Figaro Coffee, Angel’s Pizza and Tien Ma’s Taiwanese Cuisine restaurants.

“The Figaro IPO would be a function of the recovery or growth in consumer spending, which accounts for at least 70% of the economy, amid measures to further reopen the economy,” Rizal Commercial Banking Corp. (RCBC) Chief Economist Michael L. Ricafort said in a Viber message.

Figaro Group’s P1.77-billion IPO is comprised of 1.26 billion common shares offered to the public for P1.28 per share at most, with an overallotment option of up to 126 million shares. It plans to use net proceeds for store launches and renovations, commissary expansion, repayment of debt, development for IT infrastructure, as well as for potential acquisitions. 

The offer period is from Dec. 16 to 22, while listing at the PSE is scheduled on Dec. 31.

“Both IPOs (CREIT and Figaro Group) could already be within the context or story of increased reopening or recovery of the economy, unlike the previous share sales a few months ago when there were still tighter restrictions or broader lockdowns,” Mr. Ricafort said.

Meanwhile, Arthaland’s P3-billion FOO comprises up to four million Series D preferred shares for P500 per share, along with up to two million preferred shares for an oversubscription option. 

Arthaland plans to use proceeds for the redemption of its Series B preferred shares and to finance investments in its subsidiaries.

In a statement on Monday, the PSE reported P161.41 billion of capital was raised from the sale of primary and secondary shares in the first nine months. This included four IPOs, three FOOs, three stock rights offerings, and six private placements.

The Keepers Holdings, Inc. recently concluded its FOO and will list on the main bourse on Friday, after raising P4.5 billion.

Regulators have also recently approved the P1.5-billion FOO of A Brown Co., Inc. and Cirtek Holdings Philippines Corp.’s P3.5-billion FOO.

Medilines Distributors, Inc. and Solar Philippines Nueva Ecija Corp. are also gearing up for their IPOs. — Keren Concepcion G. Valmonte

Bank fraud losses hit P1 billion

BANKING FRAUD losses climbed to P1 billion so far this year, as cybercrime rose alongside the increase in digital transactions amid the lockdown.

“I think the losses this year [from] unauthorized withdrawals and unauthorized branch transfers, it’s more than a billion pesos. That’s the latest estimate,” Ramon L. Jocson, the cybersecurity committee vice chair of the Bankers Association of the Philippines (BAP), said on Wednesday.     

The volume of cybercrimes this year is now three times higher than in 2019, Mr. Jocson said.

“The figures that I quoted are those that have been reported to us. Take note that in some cases, some of the victims don’t even bother to report anymore,” Mr. Jocson, who is also chief operating officer at Bank of the Philippine Islands, said.

Mr. Jocson cited a study by Cisco Systems, Inc. which found that 57% of small- and medium-sized businesses in the country experienced a cyberattack in the past year.

“This emerging new normal has given rise to a variety of cyberattacks, which have been evolving and becoming more complex. The Philippines is one of the fastest-growing economies in the Asia-Pacific, but is also considered to be one of the countries most vulnerable to cyberattacks,” BAP President Jose Arnulfo A. Veloso said.

Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno has earlier said that a major cyberattack could affect the stability of the financial system.

The BAP on Wednesday launched an anti-scam campaign to promote cybersecurity awareness. It signed a memorandum of understanding with the Kapisanan ng mga Brodkaster ng Pilipinas (KBP) for information dissemination efforts.

“What we would like to do is to give the KBP and their members the ability to identify what we see as the usual modus operandi of these perpetrators by sharing cases of how they are able to do their work,” Mr. Veloso, who is also the president and chief executive officer of Philippine National Bank, said.

He said the BAP’s main goal is to prevent bank clients from incurring losses due to cyberattacks.

Mr. Veloso said they will be partnering with the Department of Justice to implement a training program for enforcers and prosecutors.

The BSP earlier said 13% of the 20,000 consumer concerns they received in 2020 were about fraudulent and unauthorized transactions. 

Separately, the Anti-Money Laundering Council found that 49% of suspicious transaction reports since the March 2020 lockdown until Aug. 31 last year were related to skimming, phishing, and unauthorized transactions as well. — L.W.T. Noble