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Warrior and role model: Lydia de Vega

LYDIA de Vega-Mercado — BW FILE PHOTO

Like many fans of athletics and track and field in Asia, and the Philippines in particular, we were saddened by the news that Asia’s legendary former sprint queen and fastest woman, Lydia “Diay” de Vega is in critical condition at the Makati Medical Center after brain surgery several days ago. Although her vital signs are stable, according to knowledgeable sources her situation remains iffy and she is under constant monitoring by a team of doctors who are renowned specialists in their respective fields.

Diay was diagnosed with breast cancer as early as 2018. She and her family opted, however, to keep her illness private. I had spoken to her several times and she did not even hint at any difficulty.

Diay appeared at the finals of the 100-meter women’s race at the 2015 Singapore SEA Games to watch and congratulate the winner, Kayla Richardson. The Richardson family and track and field fans were thrilled to see her. She had deservedly become a byword in Philippine sports and gained so much popularity and respect without any need for foreign and local high-powered PR groups, so-called social influencers, and moneyed patrons.

What endeared Diay to fans and media was, first and foremost, her simplicity. She came from modest beginning in Meycauayan, Bulacan. Like most athletics talents in the mid- and late-1970s, Diay emerged from the Palarong Pambansa and was promptly recruited by the Far Eastern University for the UAAP (University Athletic Association of the Philippines). She then became part of Michael Keon’s Gintong Alay program which benefitted from extraordinary government support, Keon being the nephew of strongman Ferdinand Marcos, Sr. The support was fortunately put to good use as the program, which was focused solely on athletics, produced the likes of Reynato “Nonoy” Unso (presently the training director of Philippine Athletics Track and Field Association or PATAFA,  and Director of the Federation’s Masters Sports program), Isidro del Prado, Elma Muros, Hector Begeo, and a host of other Asian-level talents.

Diay’s entourage — or what elite athletes or superstars call their “team” — was comprised solely of her father-coach, ex-policeman Tatang de Vega, who hovered 24 hours a day over his pretty and statuesque daughter and stuck to her like a T-shirt. Tatang was her PR, masseur, therapist, and sports psychologist. Later, Claro Pellosis, ex-Olympian Santos Magno, and Australian Anthony Benson joined the team.

For all intents and purposes, Tatang’s word was the law. Veteran sports editors like Lito Tacujan, Jun Engracia, Ernie Gonzalez, Iking Gonzalez, Tony Siddayao, Manolo Iñigo, Gus Villanueva, Tito Tagle, and several other journalists all had anecdotes about how Tatang aggressively managed and controlled Diay’s career.

It will be recalled that Diay excelled in the 100- and 200-meters, both sprint events. She was also doing the long jump, an event to which quite a number of sprinters, like Muros, gravitated. Lost in all the praises for Diay’s victories in the sprints was the fact that she was also a 400-meter runner and privately expressed the desire to specialize in the strength-sapping event that required speed and stamina. Tatang, however, put his foot down on that one and insisted that Diay concentrate on the sprints. Tatang felt, rightly, that the sprints were more high profile and offered more opportunities for possible sponsorship deals, according to the grapevine.

Despite the focus on the sprints, the 400 did play a prominent part in Diay’s career. She bagged a total of 24 medals in international competitions throughout her career, which spanned 14 years, from 1980 to 1994. She retired in 1989 and went back into active competition in 1991. In between those years, Diay got married to Paulo Mercado, then a Meralco engineer.

Fifteen of those 24 medals were gold while six were silver and three bronze. Five of the 24 were from the individual 400-meters and 4 x 400 relays. Diay, now 57, having been born on Dec. 26, 1964, had podium finishes in a wide variety of Asian competitions: Asian Athletics Championships, the Asian Games, and the Southeast Asian Games. She competed in two Summer Olympics: 1984 in Los Angeles and 1988 in Seoul.

Filipino fans first got to know her during the 1981 SEA Games where she won the gold medal in the 100-meters and 400-meters. Diay bagged the gold in the 1982 Asian Games in New Delhi, beating local bet PT Usha. She successfully defended her title as Asia’s fastest woman in 1986 at the Seoul Asian Games with a time of 11.53 seconds. Diay would later clock 11.28 — a record that would stand for more than three decades until Florida-based Filipina, Kristina Knott, would finish first with a time of 11.26 in a meet in the US in 2020. Knott would later break another decades-old record held by Diay in the 200 meters.

Diay accomplished all her record-breaking performances with a modest budget provided by the government and PATAFA. Her expenses did not run into the millions and the only foreign training that she had, if our memory serves us right, was at Mt. San Antonio College in Walnut, California. The training, spiced up by competitions, was for several months, the cost of which certainly did not run into the millions of pesos. Nowadays, the Philippine Sports Commission has received requests for training and competitions running into a mind-boggling sum of more than a quarter of a million pesos. Almost all of these funds will end up in foreign hands and economies.

During her retirement and in recognition of her impact on Philippine sports, we invited Diay to be co-host of a weekly sports program on IBC 13 called Double Team sometime in 2003-2004. The show was on the air for about a year until Diay started preparing for her eventual coaching stint in Singapore in 2005. The show aired on a weekend and taping was on a Wednesday or Thursday evening. Diay’s husband, Paolo, was around during the taping and he patiently waited until it’s end.

Friday, last week we had the honor of organizing a healing Mass for Diay via Facebook, presided by the “Running Priest” Fr. Robert Reyes. The choice couldn’t have been more appropriate. Both are runners: he is into semi marathons for physical fitness and she is into sprints at the international level. He was parish priest in Project 4, Quezon City, when Diay’s second child, John Michael, was run over in 2001 by a passenger jeep outside their home. John Michael would have been 25 today had he lived. His mother also served as an elected Councilor of Meycauayan.

Fr. Robert lifted up Diay and her family in prayer and exhorted everyone to “run the race towards one’s earthly goals at the same time as one runs the race to our heavenly destination.” He added, “One cannot leave the race for heaven behind because one is so preoccupied with the race for one’s earthly goals.” He praised Diay for serving as an inspiration to a country in bad need of role models.

Prayers continue for Diay’s well-being. A fundraising project called “Heal Warrior Diay” has been launched.

 

Philip Ella Juico’s areas of interest include the protection and promotion of democracy, free markets, sustainable development, social responsibility and sports as a tool for social development. He obtained his doctorate in business at De La Salle University. Dr. Juico served as secretary of Agrarian Reform during the Corazon C. Aquino administration.

Crypto breaks the rules. That’s the point.

JEREMY BEZANGER-UNSPLASH

ONE of the most common criticisms of cryptocurrency is that it is just a way to get around financial rules and regulations. That criticism is not entirely wrong — but with crypto, as with many other innovations, regulatory arbitrage is a feature, not a bug.

Very often, regulatory arbitrage is most successful when the innovation improves on some aspects of the older methods. The arbitrage conveys the message that the old regulations need to change.

Consider a concrete example. Many crypto institutions issue tokens, which to many regulators possess the properties of securities and ought to be regulated as such. But they aren’t, at least not uniformly. So, if you issue a crypto token, but don’t have to register it as a security and go through the process of satisfying securities laws, you are engaging in regulatory arbitrage.

It is worth thinking through why some of the regulations ought to change in this new context. In the pre-crypto world, issuing a security involved a host of institutional preparations and investments and legal planning, even apart from whatever regulatory constraints needed to be met. Issuing crypto tokens is usually easier and quicker, and quite immature institutions have done so. Software and blockchains do much of the work that once required offices, personnel, and a lot of hands-on management.

There could be software that automatically issues crypto tokens, based on smart contracts that specify conditions for issuance. This very possibility is a sign of how much things have changed.

Standard US regulatory practice typically focuses on regulating host firms and intermediaries, rather than software. Yet once a blockchain is verifying, storing, and communicating information, it is hard for regulators to step in and make a meaningful difference. Thus, the old regulatory model no longer applies to a significant part of the crypto experience.

And the lower costs of token issuance mean that the issuing intermediaries can be quite thinly capitalized. Often they are either not able or not incentivized to meet a lot of regulations. In addition, an institution can participate fully in the crypto space without being based in the US or being tied to any specific nation-state.

You can inveigh against those features of the market. Regardless, they are going to mean a radically different set of regulatory constraints. They also mean that some kinds of securities (if it is appropriate to call them that) can be issued far more cheaply than before.

Given this reality, shouldn’t regulations be changed — and substantially? This may include some areas where regulation is even tighter, though overall regulations will likely become looser. The regulators will have to learn to live with a more decentralized market structure that has lower costs and is harder to control. It is common sense that when software can substitute for major capital investments, regulations ought to change, even if observers disagree over how.

Unfortunately, the regulatory process is static and typically slow to change. Regulatory agencies often stick with the status quo until it is no longer tenable. One of the benefits of regulatory arbitrage is that it forces their hand and brings about a new equilibrium.

Even if you think the current regulations are appropriate, you should acknowledge that they too are the product of earlier episodes of regulatory arbitrage: In the 1980s, for example, junk bonds helped bypass some regulations on equity. Regulatory arbitrage has long been a means by which regulations are kept at least somewhat up to date.

To get back to the example at hand: It is true that many crypto token schemes are marketed under false pretenses or are part of a “pump and dump” strategy. These negative aspects of the token phenomenon should not blind us to their possible benefits as a new method of raising funds or using markets to value projects. Many valuable innovations — the railroads and the internet come to mind — were also plagued by investor fraud early on.

The argument is not, to be clear, that regulatory arbitrage always is good. It can lead to regulatory overreaction or, conversely, to regulatory holes that remain for too long and allow persistent fraud or systemic risk. The argument is that, fundamentally, regulatory arbitrage is part of a process that leads to lower costs, greater innovation and better rules.

People often ask me what crypto is good for. It’s good for a lot of things, and I am happy to recite some, but surely one of its more underappreciated benefits is that it is a form of regulatory arbitrage.

BLOOMBERG OPINION

Moving for a collective impact

GUILLAUME DE GERMAIN-UNSPLASH

More and more companies are seeing a clear connection between social progress and business success. Not a day passes without hearing companies trumpet their triple-bottom approach to conducting business. These stories are being chronicled in sustainability reports that the Securities and Exchange Commission will reportedly mandate for all listed companies by 2023. Recent data shows that while this requirement is still on a comply or explain basis, the compliance rate among listed firms in the local bourse has been over 90% for the past two or three years. Indeed, local firms have gone a long way in implementing and chronicling their efforts to manage business impacts on people, profit, and the planet. Even without an expressed admission, companies are now fast becoming agents of social change.

And this is something we should all welcome. Seeing businesses influence community development, nation-building, and overall social amelioration is indeed a positive development. These days we are feeling the impact of shared values i.e., pursuing business success that promotes societal benefits.

We have heard and seen for decades how the global community has called into question how businesses are being conducted — where even the legitimacy of enterprises is put into question primarily because of their adverse impact on society. Thankfully, all stakeholders realize that the seeming antagonistic relationship between companies and communities is not the solution to huge problems such as environmental degradation and climate change. We are seeing several steps toward a more concerted approach to better sustainable business practices. Businesses realize they cannot work in silos as they exist in an ecosystem that involves the broader society — impact communities, suppliers, distributors, consumers, non-government organizations (NGOs), people’s organization (POs), and state entities, i.e., national and local governments.

Hence, in pursuing shared value initiatives, we are seeing a positive theme called “collective impact,” which is fast becoming a “movement.”

As some management literature posits, a collective impact presupposes that social malaise is brought about by a complex combination of actions and omissions by stakeholders in any given situation; hence can be solved and managed only through careful, strategic, and coordinated efforts of all the stakeholders — the businesses, government, NGOs and POs, and the impact communities.

Indeed, a collective impact is an imprimatur for systemic changes. By bringing together relevant stakeholders — armed with appropriate data — the collective impact can foster a common understanding of the problem, eventually leading to developing and implementing mutually agreed upon solutions to social problems.

And businesses can bring so much to the table. They bring expertise in problem-solving within an understanding of time and budget. They embrace change management, pragmatism, and accountability, and have the ability to weave through ideological disagreements that sometimes affect governments and NGOs. Ultimately, motives can drive businesses to participate in collective impact initiatives because their growth and resilience can be affected if and when social problems distress their businesses.

A clear example of a successful collective impact initiative is the Net Zero program being implemented by a global firm in the Philippines. Characterized as bold and yet realistic, this firm commits to: 1.) reduce greenhouse gas (GHG) emissions by 30% in their operations by 2025 and achieve net-zero by 2050 at the latest; 2.) collect and divert 26,000 metric tons of plastic waste annually away from landfills and the ocean; 3.) reduce the use of virgin plastics by a third by 2025 and 100% of packaging to be recyclable or reusable; and, 4.) switch to 100% clean and renewable electricity in all its factories.

Early on, the company already realized that it could not achieve these targets alone. Thus, it has forged several strategic partnerships and collaborations with several organizations. It partnered with EcoPlanet Bamboo and One Tree Planted to help plant 2.5 million bamboo clumps and 1 million trees in Mindanao over the next three years.

It is also collaborating with the Climate Change Commission (CCC) to engage the youth in developing workable solutions to address issues and challenges linked to climate change through its innovation hub — Klimathon: Our Race Towards a Net Zero Reality. It is also in strategic alliance with the University of the Philippines – Los Baños (UPLB) to develop a program for its Department of Agribusiness Management and Entrepreneurship (DAME) to harness the youth’s potential for climate action through the “Net Zero Nation” competition.

Another company at the forefront of collective impact initiatives is one of the leading energy companies in the Philippines, which, for over 40 years, has been generating power from geothermal sources. It has earned its reputation as the Philippines’ leading renewable energy producer and the world’s largest vertically integrated geothermal producer.

Given its responsibility to carefully manage its impact on where it operates, this company has adopted a revolutionary framework that calls for regenerative development. It is particularly welcoming to hear its senior executives profess and commit action towards arresting the negative impacts of climate change.

This renewable energy firm has realigned its business, resources, and capabilities to fulfill a new chosen purpose: to forge collaborative pathways for a decarbonized and regenerative future. Embarking on this path, the company seeks to elevate the environment, its employees, communities, customers, other co-creators, and shareholders to create a broader, more positive impact on the planet.

As we continue to reel from the impact of COVID-19 amidst our battle against a number of social ills and the harmful effect of climate change, a new social mandate should be adopted by all businesses: a collective impact should be the new normal. More than a clarion call, a battle cry, or a mission, the collective impact should be a movement — a shared value for all. Only when a concerted and unified effort addresses social problems can we mitigate the bad, and, most importantly, grow and expand the good.

 

Ron F. Jabal, APR, is the chairman and CEO of PAGEONE Group www.pageonegroup.ph and founder of Advocacy Partners Asia www.advocacy.ph

Whiskey Business: A masterclass in malt and digital transformation

Globe Business ornately decorated its exclusive Whiskey Business event for CIOs to dine, unwind, and have fun.

In the fast-paced world of information technology and digital transformation, it pays for all the leaders behind tech-led enterprises to take it slow after a long, tiring day. And what better way to wind down than savoring the finest whiskeys in existence?

For these tech moguls, Globe Business hosted its first-ever ‘Whiskey Business,’ a masterclass in malt, laced with a grand prix in ICT solutions. A speakeasy-themed social event, sponsored by Zoom, Whiskey Business raised a toast to CIOs and innovation enablers to empower them with the best of ICT solutions as they propel their enterprises forward.

Tania Gil-Padilla, Globe Business Vice President for Enterprise Sales, gave a warm welcome to the guests.

The whiskey tasting segment was opened by Tania Gil-Padilla, Vice President for Enterprise Sales for Globe Business, who shared, “The pandemic has driven digital transformation in the past couple of years, and CIOs have become instrumental in leading their organizations through those times. But this night is a celebration of the successes amidst the challenging times, and a chance to take a break from online platforms and make more meaningful connections in person.”

Whiskey connoisseur, Francis Hasegawa, entertains CIOs with a Whiskey 101 session.

It was all fun, laughter, and a bit of friendly competition done through a quick round of games where Globe Business introduced their ICT solutions as they dove deeper into tasting whiskey notes.  Mr. Francis Hasegawa, one of Manila’s best whiskey connoisseurs, showcased the unique taste of the whiskey flights with that of the distinctive attributes of Globe’s partners, Zoom, Cascadeo, Genesys, and Third Pillar.

The first to be mentioned was the similarities between a Suntory Kakubin Yellow Label and Cascadeo—Globe’s cloud services delivery arm, which partners with the biggest players in the cloud business. Cascadeo pairs well with companies, no matter where they are on their cloud journey, and is the best choice for enterprises when it comes to building, migrating, and optimizing their cloud initiatives.

From there, the next topic transitioned to what makes a whiskey perfect. Likened to the Kirin Fuji Sanroku Signature Blend’s symphony of flavors, another partnership highlighted that night was Genesys, a leader in cloud customer experience and contact center solutions; and Zoom, the mainstay platform for video communications and meeting solutions that can integrate over a thousand applications for seamless workflows.

Then, the last stop was a discussion on the parallel attributes between Mars Iwai Tradition and Third Pillar, a supportive partner with strengths in customer relationship management, particularly in Salesforce Service, Sales, and Marketing cloud.

“The demands of businesses and their customers have shifted so much that we constantly need to innovate and introduce best-in-class ICT solutions where they are needed. Our objective remains clear—to be the top provider and best partner in bringing companies to the future by going beyond transactional conversations, seeking stronger partnerships, and accompanying them in their digital transformation journey,” shared Raymond Policarpio, Vice President for Product Management and Marketing at Globe Business, Enterprise Group.

CIOs across different industries made connections and shared some laughs as they were entertained throughout the event.

Indeed, like the finest whiskeys that offer malt enthusiasts some genuine delight, Globe Business helps enterprises drive their companies towards a better future.

Globe strongly supports the United Nations Sustainable Development Goals, particularly UN SDG No. 9, which highlights the roles of infrastructure and innovation as crucial drivers of economic growth and development. Globe is committed to upholding the 10 United Nations Global Compact principles and 10 UN SDGs.

 


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Proper attire for the job

KAI PILGER-UNSPLASH

THE MILITARY and the Church have the edge in determining the proper attire for the job, especially for formal occasions. Their designated uniforms are unique and have a long tradition. Colors, coats, capes, stripes, accessories, and medals indicate status, including how to address the wearer properly.

Uniforms require subjects in a particular group to look the same in their attire. In sports like basketball, players wear uniforms made up of undershirts and shorts with numbers on them, and a predetermined color. This look identifies teammates and allows peripheral vision to determine ball movement. The job of putting a ball through the hoop, or preventing it from getting there, entails large salaries, considering a television audience in the millions around the world.

Three referees too have their own uniforms of shirts with short sleeves paired with long pants and whistles to keep the game under control. They are definitely paid much less than the burly guys in shorts.

In the office, the prescribed uniform is giving way to a less formal dress code.

The dot-com companies and their newly minted billionaires (after their IPOs and before a declared interest in buying them fizzles out) have made casual attire indicative of a 10-figure net worth.

Even bankers now sport casual wear, especially when they’re pivoting to the digital space, beyond ATMs and online banking. Financial technology (fintech) encompasses startups that don’t even pretend to be in banking but in payment systems. They are entitled to their own casual dress code — black turtlenecks are passé.

“Smart casual,” even at evening parties of moguls, is now acceptable office attire, even in large companies. Long-sleeved shirts, whether plain or with tiny checks (and no brand logos of scooters or pizzas) paired with denim pants are considered office-appropriate, even if it’s not a Friday.

Thick denim jackets, when trimmed with fake fur and patches of stars and stripes, send a different message. The all-denim look is associated with overseas workers coming home for a visit with long hair and accompanied by three big cartons at the airport. The swagger is inversely proportional to the strength of the peso.

Even denim pants with ripped thighs sections (but not where the zipper is) are making the scene, although mostly for social occasions. This ripped look can go with pointed boots and motorized skateboards. This attire is a declaration of radical chic, especially when accessorized with a key chain dangling from the belt strap for keys to the warehouse. What jobs are associated with this attire? Maybe BPOs in the night shift, boutique studios, bloggers and troll farm hands, and consultants for digital transformation — today we’ll talk about firewalls.

The casual look projects nonchalance and liberates the wearer from concerns about matching colors. (Am I on the right floor?) Even TV news anchors have dispensed with ties. Still, casual attire should provide clues to status. The chairman in short sleeves should be distinguishable from a collection clerk wearing fake signature brands. (Take a look at the watch.)

Showing up at a business lunch looking like a journalist or advertising copywriter (Were they ahead of their time?) should not raise eyebrows. The moment is saved from being awkward when bankers in charge of loan restructuring show up wearing magenta pants.

Casual wear does not cover all fields of social interaction.

There are still old-fashioned rules applied to those running a country. Proper attire is a declaration of how seriously one is taken by peers from the region. Will other heads of state recognize the presence of a sloppy gatecrasher? Is the waiter serving drinks skipping one head of state nobody is talking to?

It escapes no one’s notice that in terms of attire, the present leader is a vast improvement over his predecessor. There are no more rolled up sleeves, open first or second buttonholes for the traditional formal attire.

Always natty in a jusi barong (long or short sleeves) the incumbent leader exudes confidence and invites respect. And for a man of a few words, this properly attired presence is a refreshing change.

What about his casual attire for intimate social gatherings? Are there Hawaiian shirts in his closet? Maybe, these bring some unpleasant associations? Like formal attire, clothes for this leader may not be too colorful, loose fitting, and carefree.

For sure, proper attire for the job must be cut… and cut cleanly.

 

Tony Samson is chairman and CEO of TOUCH xda

ar.samson@yahoo.com

MPIF’s Bayan Tanim! named LCF’s Outstanding CSR Project in Disaster Resilience

MPIF President Melody del Rosario (2nd from left) and her team accept the LCF CSR Guild Award for Outstanding CSR Project in Disaster Resilience for Bayan Tanim!.

Bayan Tanim!, Metro Pacific Investments Foundation, Inc. (MPIF)’s community gardening initiative for sustainable living and food security, was recognized by the League of Corporate Foundations (LCF) as the Outstanding Corporate Social Responsibility (CSR) Project in Disaster Resilience during its LCF CSR Guild Awards last July 7, 2022.

The program, initially developed and mobilized to address food scarcity resulting from the pandemic, provided beneficiaries with the means to start their own backyard and community gardens. Planting kits containing basic cultivation essentials such as seeds, seedlings, fertilizer, soilless potting mix, were distributed along with freshly harvested vegetables.

Being well-received by communities as it promoted the values of Bayanihan, Bayan Tanim! was one of eight programs lauded among entries from 20 member organizations of the LCF. With the initial target to distribute 1,000 planting kits, the program largely surpassed its goal due to donations received by the MPIF, totaling to 2,905 planting kits provided to benefit 3,004 families from 31 communities.

With the idea of recovery in mind, MPIF President Melody del Rosario said, “We at MPIF decided to move past relief assistance and pivot towards a more sustainable program for our beneficiaries, even after the pandemic. Bayan Tanim! is a program that not only focuses on resilience and recovery, but also centers on reigniting the spirit of Bayanihan, while contributing to the community’s health, well-being and self-sufficiency.”

As of this year, Bayan Tanim! has benefitted approximately 4,014 families in 43 communities in Manila, Quezon City, Caloocan, Pasay, Taguig, Cavite, Mandaluyong, Muntinlupa, Parañaque, Pampanga, and Tarlac, raising a total of P1.392 million in donations.

A True Community Effort

The LCF CSR Guild Awards is a recognition program that bestows a seal of excellence in corporate citizenship to the most reputable and premier organizations implementing initiatives for social good with meaningful and sustainable impact to the communities and institutions. The accolade also acknowledges the importance of collaboration in achieving greater positive change for the benefit of more people.

Partnerships were key in ensuring Bayan Tanim!’s success, generating interest primarily from MPIF’s kapatid companies under the MVP Group of Companies, the conglomerate chaired by Mr. Pangilinan. Fundamental to the program’s mobilization and resulting impact is the support from Alagang Kapatid Foundation, Inc. (AKFI), who provided the needed resources to reach even the most far-flung communities.

First Pacific Co. Ltd. and Light Rail Manila Corp. provided the initial donations for the program, with Maynilad Water Services, Inc. and CAVITEX, a Metro Pacific Tollways Corp. subsidiary, providing constant financial support until this year.

MPIF signed a tri-partite agreement with the Department of Agriculture and Agrea Agricultural System International, Inc. to further strengthen their shared advocacy for food sustainability in the Philippines. Throughout its one-year run, MPIF sourced all planting kits, including fresh produce, from Agrea and Duran Farms — concurrently supporting local farmers’ cooperatives in their networks whose livelihoods were jeopardized by the strict lockdowns.

Individual donors were also integral in achieving Bayan Tanim!’s initial goals. Aside from MPIC group executives and employees, MPIF also launched a Department of Social Welfare and Development-credited public fund raising via its social media platforms.

Bayan Tanim! is aligned with Gabay Komunidad, one of the MVP Group’s Gabay Advocacies for a Sustainable Philippines. It is also in line with MPIC’s efforts to contribute to the United Nations Sustainable Development Goals (SDGs), particularly SDG 2 for Zero Hunger, SDG 3 for Good Health and Well-being, and SDG 17 for Partnerships for the Goals.

The recognition of this program bolsters MPIF’s role alongside MPIC, as the largest catalyst for a Sustainable Philippines, aimed to improve the lives in the country through providing essential services and mobilizing advocacies that uplift the quality of life of all Filipinos.

 


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IMF sees slower growth for PHL in 2023

PHILIPPINE STAR/ MICHAEL VARCAS

The International Monetary Fund (IMF) raised its gross domestic product (GDP) forecast for the Philippines to 6.7% this year, but expects slower growth in 2023 amid global uncertainties.

IMF Representative to the Philippines Ragnar Gudmundsson said the GDP projection for the Philippines was hiked to 6.7% from 6.5% previously. This is within the government’s revised 6.5-7.5% target band for this year. 

At the same time, the IMF lowered the Philippine GDP forecast to 5% for 2023, from 6.3% previously, due to global shocks.

In its latest World Economic Outlook (WEO) released on Tuesday, the multilateral lender maintained its 5.3% growth outlook for the five Association of Southeast Asian Nations (ASEAN) member countries this year.

The IMF downgraded the GDP growth for the ASEAN-5 to 5.1% next year, from the 5.9%  forecast given in April.  

In a press conference announcing the release of WEO on Tuesday evening, Division Chief of the IMF Research Department Daniel Leigh said the region’s outlook for 2022 reflects a big recovery from only 3.4% in 2021. 

“And that owes to the success of the vaccination campaigns and strong labor markets in a number of these countries,” Mr. Leigh said. “But the slowdown in 2023 is a sharper one than what we had expected in April, we marked down 2023 by 0.8 percentage points.”

Mr. Leigh said growth outlook remains clouded by uncertainties caused by the slowdown in major economies such as the United States and China, and tightening monetary policy to fight rising inflation.

“Inflation is also rising in these economies as in many countries. For 2022 we have a 3% to 7% forecast depending on the country due to the various external shocks including the currency depreciation which is passing through in the cost of many items,” Mr. Leigh said. 

Inflation rose by 6.1% year on year in June, the fastest in nearly four years and exceeded the central bank’s 2-4% target band for a third straight month. The average inflation rate in the first six months is 4.4%, still below the BSP’s full-year forecast of 5%.

The Bangko Sentral ng Pilipinas has raised benchmark interest rates by a total of 125 bps so far this year to tame inflation. On Tuesday, BSP Governor Felipe M. Medalla signaled an interest rate hike of less than 75 basis points (bps) at its next meeting in August 18.

Meanwhile, the IMF slashed the global GDP growth outlook to 3.2%, from 3.6% for this year and to 2.9%, from 3.6% for 2023.

“We know all ASEAN economies are very dependent on the external sector and in an environment in which the global economy is slowing down, this is going to have an impact on all ASEAN economies,” IMF Chief Economist Pierre-Olivier Gourinchas said. — K.B.Ta-asan

During the holiday season, majority of Filipinos shopped on social platforms

PIXABAY

Almost 7 out of 10 Filipino shoppers discovered and shopped on social platforms during the holiday season, according to a survey commissioned by global tech firm Meta. 

Personalized ads were a huge driver for sales, with 80% of Filipino respondents saying they purchased products after seeing them in ads.  

“Brands need to start building for discovery and being part of the consideration well ahead of Mega Sale Days,” said John Rubio, Meta Philippines’ country director, in a statement. 

YouGov, the market research firm that conducted the survey, gathered insights from nearly 2,000 shoppers in the Philippines aged 18 and up from December 1 to 24, 2021. 

Released in July 2022, the survey also found that 92% of Filipino shoppers made a spontaneous discovery while shopping online. 

The main social media discovery drivers were personal connections and recommendations (78%), sponsored content (68%), and video content (64%).  

Mr. Rubio said that Filipinos’ online shopping habits continue even as they return to physical stores for Mega Sale Days: 67% of shoppers surveyed made purchases in-store, but 79% did online purchases.  

“Brands need to be social and mobile-first and deliver personalized ads experiences,” he said.  

Other findings include:    

  • Ninety-four percent of year-end shoppers surveyed are likely to try new brands in the food, apparel and fashion, and electronics categories.
  • Around 90% bought something during 12.12 and 11.11 Mega Sale Days, each of which respectively had 24% and 44% of the surveyed shoppers participate.
  • Of those who shopped on social platforms, 76% were Gen Z and Millennials.
  • Entertaining and immersive experiences are a huge influence, with 81% of social shoppers surveyed saying they’ve watched or are open to a live shopping event online. Of these, 88% believe augmented reality (AR) technology can influence their decisions.

“Brands need to create immersive experiences through AR, live shopping, and trusted creators,” Mr. Rubio said. “They need to find creative ways to communicate your brand values and purpose.” — Brontë H. Lacsamana

Magnitude 7 quake hits northern Philippines

Screenshot via earthquake.usgs.gov

A magnitude 7 earthquake rocked the northwestern part of the main island of Luzon in the Philippines early Wednesday morning, according to the US Geolological Survey, damaging buildings and halting train operations in Manila, the capital where the tremors were also felt.  

There were no immediate reports of injuries or deaths from the quake, which struck about 13 kilometers southeast of the town of Dolores in Abra province at a depth of 10 km, the US agency said on its website.  

The Philippine Institute of Volcanology and Seismology (Phivolcs) reported at least six aftershocks ranging from magnitude 2.1 to 4 in Abra and Ilocos Sur.  

Several ancient bell towers, churches and heritage houses, as well as cars and other properties got damaged by the quake, Senator Imee R. Marcos, who is from Ilocos Norte, said in a statement, citing unnamed sources.  

Several main roads including Kennon, Paraiso, Pagudpud, Ilocos Norte and Apayao were also damaged, while much of the area did not have power after electrical transformers and transmission lines were hit, she added.  

She urged police and the local disaster agency “to remain vigilant as aftershocks and storm surges or tsunamis are expected to follow.” “If necessary, preventive evacuation of coastal villages and landslide-prone zones should be undertaken swifly.”  

Since 1970, 11 other earthquakes of magnitude 6.5 or larger have occurred within 250 km of Wednesday’s earthquake, the USGS said.  

The largest of these earthquakes was a magnitude 7.7 earthquake on July 16, 1990 in Baguio City in Benguet province, where at least 1,600 people died and more than 3,000 were hurt, it added. 

The 1990 earthquake also caused landslides in the Baguio-Cabanatuan-Dagupan area. 

The Wednesday quake was also felt in the capital region, where several buildings were evacuated and the rail system was halted during rush hour. 

“Any earthquake at magnitude 7 is considered a major earthquake,” Renato Solidum, head of the state seismology agency, told a news briefing streamed live on Facebook. 

More aftershocks are expected in the next two days, he said. “Strong intensities are still possible.” 

“I urge everyone to stay alert and to prioritize safety in light of the possibilities of aftershocks that might be felt after that strong earthquake,” Abra Rep. Ching B. Bernos said in a statement. “We are monitoring the situation on the ground and gathering information on the  extent of the damage to the province.”

President Ferdinand R. Marcos, Jr. will only visit areas “where his presence is necessary,” Press Secretary Trixie Cruz-Angeles told a news briefing. “Let’s make an assessment first.” 

The Philippines lies in the so-called Pacific “Ring of Fire,” a belt of volcanoes around the Pacific Ocean where most of the world’s earthquakes strike. — Norman P. Aquino, Kyle Aristophere T. Atienza, Alyssa Nicole O. Tan and Matthew Carl L. Montecillo

IMF cuts global growth outlook, warns high inflation threatens recession

A participant stands near a logo of the International Monetary Fund at the annual meeting in Nusa Dua, Bali, Indonesia, Oct. 12, 2018. — REUTERS/JOHANNES P. CHRISTO/FILE PHOTO

WASHINGTON – The International Monetary Fund cut global growth forecasts again on Tuesday, warning that downside risks from high inflation and the Ukraine war were materializing and could push the world economy to the brink of recession if left unchecked.

Global real GDP growth will slow to 3.2% in 2022 from a forecast of 3.6% issued in April, the IMF said in an update of its World Economic Outlook. It added that world GDP actually contracted in the second quarter due to downturns in China and Russia.

The fund cut its 2023 growth forecast to 2.9% from the April estimate of 3.6%, citing the impact of tighter monetary policy.

World growth had rebounded in 2021 to 6.1% after the COVID-19 pandemic crushed global output in 2020 with a 3.1% contraction.

“The outlook has darkened significantly since April. The world may soon be teetering on the edge of a global recession, only two years after the last one,” IMF Chief Economist Pierre-Olivier Gourinchas told a news conference.

“The world’s three largest economies, the United States, China and the euro area, are stalling, with important consequences for the global outlook,” he added.

‘PLAUSIBLE’ RUSSIAN GAS EMBARGO

The fund said its latest forecasts were “extraordinarily uncertain” and subject to downside risks from Russia’s war in Ukraine pushing energy and food prices higher. This would exacerbate inflation and embed longer-term inflationary expectations that would prompt further monetary policy tightening.

Under a “plausible” alternative scenario that includes a complete cut-off of Russian gas supplies to Europe by year-end and a further 30% drop in Russian oil exports, the IMF said global growth would slow to 2.6% in 2022 and 2% in 2023, with growth virtually zero in Europe and the United States next year.

Global growth has fallen below 2% only five times since 1970, Gourinchas said – recessions in 1973, 1981 and 1982, 2009 and the 2020 COVID-19 pandemic.

The IMF said it now expects the 2022 inflation rate in advanced economies to reach 6.6%, up from 5.7% in the April forecasts, adding that it would remain elevated for longer than previously anticipated. Inflation in emerging market and developing countries is now expected to reach 9.5% in 2022, up from 8.7% in April.

“Inflation at current levels represents a clear risk for current and future macroeconomic stability and bringing it back to central bank targets should be the top priority for policymakers,” Gourinchas said.

An unprecedented synchronized global monetary policy tightening by central banks will “bite” next year, slowing growth and pressuring emerging market countries, but delaying this process “will only exacerbate the hardship,” he said, adding that central banks “should stay the course until inflation is tamed.”

US, CHINA DOWNGRADES

For the United States, the IMF confirmed its July 12 forecasts of 2.3% growth in 2022 and an anemic 1.0% for 2023, which it previously cut twice since April on slowing demand. Read full story

The Fund deeply cut China’s 2022 GDP growth forecast to 3.3% from 4.4% in April, citing COVID-19 outbreaks and widespread lockdowns in major cities that have curtailed production and worsened global supply chain disruptions.

The IMF also said the worsening crisis in China’s property sector was dragging down sales and investment in real estate. It said additional fiscal support from Beijing could improve the growth outlook, but a sustained slowdown in China driven by larger-scale virus outbreaks and lockdowns would have strong spillovers.

The IMF cut its eurozone growth outlook for 2022 to 2.6% from 2.8% in April, reflecting inflationary spillovers from the war in Ukraine. But forecasts were cut more deeply for some countries with more exposure to the war, including Germany, which saw its 2022 growth outlook cut to 1.2% from 2.1% in April.

Italy, meanwhile saw an upgrade in its 2022 growth outlook due to improved prospects for tourism and industrial activity. But the IMF said last week that Italy could suffer a deep recession under a Russian gas embargo. Read full story

Russia’s economy is expected to contract by 6.0% in 2022 due to tightening Western financial and energy sanctions – a “fairly severe recession,” Gourinchas said. But that is an improvement over the April forecast of an 8.5% contraction, due to Moscow’s measures to stabilize its financial sector, which is helping to support the domestic economy.

The IMF estimates that Ukraine’s economy will shrink by some 45% due to the war, but the estimate comes with extreme uncertainty. — Reuters

Australia sets sights on clean energy jobs created by ‘climate emergency’

STOCK PHOTO | Image from Pixabay

 – Australia sees the world’s climate emergency as an opportunity to create jobs, the new Labor government said on Wednesday, introducing legislation to enshrine an emissions reduction target.

Minister for Climate and Energy Chris Bowen said a decade of political in-fighting had seen Australia go backwards on climate change, and the legislation would send a message that Australia was “open for business” and “back as a good international citizen”.

“The world’s climate emergency is Australia‘s jobs opportunity,” he said, adding the resource-rich nation could become a renewable energy powerhouse.

Iron ore sent to China, coal and liquefied natural gas are Australia‘s top exports.

Bowen said clean energy jobs would be created in battery manufacturing, and commodities such as aluminum, lithium, copper, cobalt and nickel.

“There is a significant export market waiting for us if we get the levers right,” he said.

Legislation setting a 43% emissions reduction target by 2030 and net-zero by 2050 was a beginning, and its implementation would be monitored by an independent climate change authority.

“We see 43% as a floor on what our country can achieve,” he said, a stance backed on Wednesday by business groups.

The conservative Liberal and Nations coalition, swept out of office in a May election where Greens and independents pushing for climate change action won record seats amid a backdrop of worsening fires and floods, is opposing the bill.

The government is negotiating with the Greens, which hold the balance of power in the upper house and want more ambitious climate action. Read full story

The president of the UN’s Climate Change Conference, Alok Sharma, said the Australian government “had a fresh mandate from their voters to tackle climate change” and he was struck by protesters in Australia who held placards saying “2050 is too late” as he visited this week.

“Our populations know that the world is running out of time, and we also know if we act now we will reap an economic as well as environmental dividend – jobs, growth and a boost for all of our economies,” he said in a speech in Fiji on Wednesday.

He added that unless governments act now, the goal of containing warming to 1.5 degrees would “slip irreversibly out of reach”.

The government has said it cannot support a Greens call to stop new coal and gas projects.

Prime Minister Anthony Albanese said in a TV interview on Tuesday it also wouldn’t end coal exports, because Australia‘s customers would substitute it from other sources.

“What you would see is a lot of jobs lost, you would see a significant loss to our economy, significant less taxation revenue for education, health and other services, and that coal wouldn’t lead to a reduction in global emissions,” he told the ABC. – Reuters

Digital nomads seek sun, sea and sustainability as remote work booms

 – Sitting on the terrace of a cafe in the heart of Lisbon one morning in June, sales specialist Victor Soto was busy at work communicating with colleagues across Europe and the Americas.

The COVID-19 pandemic is what drove the British-Peruvian 33-year-old to become a so-called “digital nomad”.

“The lifestyle gives me a lot of choice and freedom,” he told the Thomson Reuters Foundation. Soto made the decision to work only for companies that offer fully remote working in order to fulfil his passion for travel, he explained.

Soto is now also part of a growing trend among digital nomads who are looking for a less frenetic pace of life.

These new “slomads” still travel around the globe taking their work with them, but are choosing to spend longer in one location – some to enjoy a richer cultural experience while others are driven by the desire to be more eco-conscious.

Remote and flexible working has boomed since coronavirus lockdowns lifted globally, backed by major companies from AirBnB to Twitter and a rising number of nations issuing digital nomad visas which allow people to stay and work for up to two years.

The typical profile of a digital nomad is shifting, as island-hopping 20-somethings are joined by online workers in their 30s and 40s travelling with partners and children, experts and researchers say.

But concerns are growing over their environmental impact.

While data is scarce on the carbon footprint of digital nomads, “slomads” are striving to fly less, stay in sustainable accommodation, and invest in, or contribute to, green projects.

However, climate campaigners are not convinced, saying the social phenomenon still depends on air travel, which produces up to 3% of global greenhouse gas emissions.

“I think we feel a bit guilty, because the main issue with this lifestyle is the flying,” said Emmanuel Guisset, a former digital nomad who is now chief executive of Outsite, which offers co-living spaces for people including remote workers.

 

SLOWING DOWN

Pre-pandemic, the stereotype of a digital nomad was a freelancer in their 20s bouncing between sunny locales and sporting little more than shorts, flip-flops and a laptop.

Now, more people are combining work with travel later in life – often staying longer in one place to benefit from cheaper rents and better appreciating and contributing to local culture.

poll published in May by freelancer marketplace Fiverr and travel guide publisher Lonely Planet showed one-third of nomads surveyed moving every one to three months, while 55% enjoyed working in one location and moving after three months or more.

Americans make up the majority of digital nomads. A 2021 study from Upwork on the habits of hiring managers estimated that 36.2 million U.S. citizens would work remotely by 2025, an 87% increase from pre-pandemic levels.

Tourist hot-spots have been quick to embrace digital nomads, and view the growing trend of remaining longer in one location as a way to recoup losses from pandemic lockdowns.

Destinations such as Aruba, Barbados, Cape Verde, Croatia, Estonia, Indonesia, Malta and Norway have created digital nomad visas, allowing people to stay put and work for up to two years.

Accommodation rental company AirBnB saw a 90% rise in long-term bookings in Portugal last year compared to 2019, which it said reflected how more people are taking advantage of the ability to work and live from anywhere.

Yet digital nomads admit there is still a lot of flying involved, especially since the easing of COVID-19 restrictions, although experts say it is difficult to identify nomads‘ share of flights compared with tourism and business passengers.

Denise Auclair, corporate aviation expert at European clean transport campaign group, Transport and Environment (T&E), said there was “a golden opportunity” to continue with the reduced level of business travel seen during the pandemic, and to cut down on unnecessary flying.

But she queried whether companies are factoring the carbon footprint of employees working as digital nomads into their annual emissions reports.

Guisset of Outside said nomads are increasingly turning to carbon offsets, whereby people seek to compensate their climate impact by funding projects that reduce emissions through activities such as planting trees.

Some environmental groups, however, have dismissed such carbon-credit schemes as “window dressing”.

“It gives people a false sense of flying green, when there are so many problems with it,” said Dewi Zloch, aviation expert at Greenpeace Netherlands.

She pointed to research done for the European Commission in 2017 which said carbon-offsetting schemes are not providing real and measurable emissions reductions.

 

GREEN LIVING

The pandemic-driven remote work boom, meanwhile, has encouraged the creation of co-living and co-working spaces, some of which are trying to put green ideas into practice.

When Outside first started with its California co-living property, the company planted a tree for each booking made in locations from the Andes mountains to Indonesia.

Traditional Dream Factory, a co-living space in Portugal’s vast rural Alentejo region which plans to launch in summer 2023, is trying something more ambitious.

Co-founder Samuel Delesque said the aim is to set up a community of like-minded digital nomads, engineers, artists and crypto entrepreneurs who will also regenerate the land.

The organization has already started covering deforested areas with nitrogen-fixing crops and planted hundreds of trees.

It also plans to insulate its living quarters and create natural pools and showers to save water and become self-sufficient.

A former software engineer and digital nomad, Delesque plans to expand in countries like South Africa and the United States.

Caring for the environment is at the heart of his project, the Franco-Danish entrepreneur said.

“If we don’t manage to align economic values with (the) ecological, then we’re really doomed as a species,” he added. – Reuters