Home Blog Page 5655

Omicron variant found in nearly one-third of US states

Image via CDC/James Gathany

WASHINGTON — The Omicron variant of the coronavirus has spread to about one-third of US states, but the Delta version remains the majority of coronavirus disease 2019 (COVID-19) infections as cases rise nationwide, US health officials said on Sunday.  

Though the emergence of the new variant has caused alarm worldwide, Dr. Anthony Fauci, the top US infectious disease official, told CNN “thus far it does not look like there’s a great degree of severity to it.” He added that it was too early to draw definitive conclusions and that more study is needed.  

Mr. Fauci, US President Joseph R. Biden, Jr.’s chief medical adviser, said he also hoped the United States would lift its ban on travelers from southern African countries in a “reasonable period of time.” The South African government has complained it is being punished — instead of applauded — for discovering the new variant and quickly informing international health officials.  

Mr. Fauci, in an interview on CNN’s “State of the Union,” praised South Africa for its transparency and said the US travel ban was imposed at a time “when we were really in the dark” and needed time to study the variant.  

At least 16 US states have reported Omicron cases: California, Colorado, Connecticut, Hawaii, Louisiana, Maryland, Massachusetts, Minnesota, Missouri, Nebraska, New Jersey, New York, Pennsylvania, Utah, Washington and Wisconsin, according to a Reuters tally.  

Many of the cases were among fully vaccinated individuals with mild symptoms, although the booster shot status of some patients was not reported.  

Despite several dozen Omicron cases, the Delta variant still accounts for 99.9% of new COVID cases in the United States, Centers for Disease Control and Prevention (CDC) Director Dr. Rochelle Walensky told ABC News in an interview.  

“We are every day hearing about more and more probable cases so that number is likely to rise,” she said.  

The United States over the last seven days has averaged 119,000 new cases a day and lost nearly 1,300 lives to COVID each day, according to a Reuters tally.  

Louisiana currently has one Omicron case from an individual who traveled within the United States, its health department said on Sunday.  

On Saturday, it said a Norwegian Cruise Line Holdings Ltd cruise ship set to dock in New Orleans with more than 3,000 passengers found 10 cases of COVID-19 on board.  

Officials said passengers on the Norwegian Breakaway, which stopped in Belize, Honduras and Mexico, would be tested and given the CDC’s post-exposure and quarantine guidelines.  

The emergence of the new variant has sharply curtailed the number of energy executives and government ministers planning to attend the four-day World Petroleum Congress in Houston this week, which had already been rescheduled from 2020.  

But travel restrictions and worries over the new variant saw energy ministers from Saudi Arabia, Kazakhstan, Qatar, Argentina, Equatorial Guinea, Greece, Turkey and Romania – bowed out, WPC officials said on Sunday.  

Governors of two states with reported Omicron cases —  Connecticut and Colorado — said they hoped their higher-than-average vaccination rates would blunt the impact.  

“We want to see how well the vaccinations hold up,” Colorado’s Jared Polis told ABC.  

As US Omicron cases emerge, COVID-19 vaccine makers aim to quickly tweak their shots to target the variant and US regulators have vowed speedy reviews, but that could still take months.  

“Certainly, FDA [Food and Drug Administration] will move swiftly and CDC will move swiftly,” Ms. Walensky said.  

Moderna Inc has targeted US approval of an updated vaccine as soon as March, but company officials on Sunday said it will still take time to increase output.  

Moderna Co-founder and Chairman Noubar Afeyan told CNN it would take another seven to 10 days to gather key data. Then, it “will take a good 60 to 100 days” to deploy an Omicron-specific shot, although other options like a higher dose of the current booster are being explored, he said.  

 US government officials are also working with Pfizer Inc and Johnson & Johnson on updated shots, while Pfizer and Merck & Co Inc are pursuing COVID-19 pill treatments. — Matt Spetalnick and Susan Heavey/Reuters

Pope calls migrant crisis ‘shipwreck of civilization’

ANNETT KLINGNER-PIXABAY

LESBOS, Greece — Pope Francis condemned the exploitation of migrants for political purposes on Sunday during a visit to the Greek island of Lesbos, branding the global indifference to their plight the “shipwreck of civilization.”  

Pope Francis walked through the Mavrovouni camp, which holds about 2,300 people, stopping to greet dozens of refugees and giving a high five to a young African boy.  

He first visited the island, one of the main entry points for migrants, in 2016 and took 12 Syrian refugees back to Italy with him. He lamented that “little has changed” since then.  

The Mediterranean, where thousands have died trying to make the crossing from north Africa to Europe, was still “a grim cemetery without tombstones.”  

“Please, let us stop this shipwreck of civilization!” he said.  

Pope Francis for the second straight day chided those who use the migration crisis for political ends.  

“It is easy to stir up public opinion by instilling fear of others,” he said, adding that people who are anti-immigrant “fail to speak with equal vehemence” about the exploitation of the poor, wars, and the arms industry.  

“The remote causes should be attacked, not the poor people who pay the consequences and are even used for political propaganda,” he said.  

The camp, set up in an old army firing range, is made up of dozens of prefabricated structures, some similar to shipping containers and other, smaller ones made of plastic.  

ERA OF WALLS AND BARBED WIRE 
The spaces between the structures are like streets of a bleak village where people live in limbo. Baby carriages and children’s tricycles leaned on the home of one Afghan couple.  

Sitting on a chair under a tent with the sea behind him, the pope listened to Christian Tango Mukaya, a 30-year-old refugee from the Democratic Republic of Congo who has been at the camp with two of his children for a year. He has not had contact with his wife and another child since he arrived.  

Mavrovouni, whose perimeter is surrounded by cement, barbed wire and the sea, replaced the notorious Moria camp that burned down last year.  

The pope visited several families there at the end of his morning visit.  

Departing from his prepared address, Pope Francis said it was “distressing” to hear that some European leaders wanted to use common funds to build a wall and put up barbed wire to keep immigrants out.  

“We are in the era of walls and barbed wire,” he said.  

Poland’s prime minister Mateusz Morawiecki has called for the EU to jointly finance a border wall to stem the tide of migrants coming from the Middle East through Belarus into Poland.  

As grim and bleak as Mavrovouni is, it is a marked improvement over Moria, which human rights groups decried for its squalid and overcrowded conditions.  

Greece has long been the main entry point into the European Union for migrants and refugees fleeing war and poverty in the Middle East, Asia, and Africa. Hundreds of thousands of people arrived on Lesbos’s beaches in 2015 after crossing on boats from Turkey.  

Joshue, an 18-year-old refugee from Congo, was among those who welcomed the pope’s visit.  

“It’s not like hearing it from afar, he came to the field to see how we live, to see how things happen here, so it gives us hope and strength knowing that such a leader is thinking about us,” he said. — Philip Pullella and Lefteris Papadimas/Reuters

McDonald’s supports accelerating vaccination in the country through Bayanihan, Bakunahan

Individuals to be vaccinated are getting screened by medical personnel at the pilot run in McDonald’s CDO Limketkai.

Select McDonald’s branches served as temporary vaccination sites, reallocated purchased AstraZeneca doses to partner LGUs

 In its bid to reinforce the importance of vaccination not just for the safety of its employees but of the community, McDonald’s Philippines participated in the recently concluded National Vaccination Days (Bayanihan, Bakunahan) held last November 29 – December 1, 2021. The simultaneous vaccination drive which was held in multiple vaccination venues had a target of administering 9 million first doses.

With the goal of providing accessible venues and increasing the number of vaccinated Filipinos around the country, McDonald’s Philippines converted a portion of the 14 stores that participated in Quezon City and Pasay for NCR, San Jose Mindoro and Masbate in Luzon 4A and 5, Bacolod and Cagayan De Oro, Iligan, Butuan and Zamboanga for Mindanao as vaccination venues. These stores that were used as temporary vaccination sites were able to administer an average of more than 400 doses per day. Administration of the vaccine was done by medical personnel and representatives from the Department of Health and the assigned LGU.

To ensure everyone’s safety, McDonald’s laid out strict health and safety protocols for both vaccine recipients and regular customers. A 3-step process was followed for vaccine recipients starting with registration, recipients were then transferred to the jab administration where they were screened, counseled and administered with the vaccine. After getting jabbed, they were then moved to the party area for observation.

Vaccine recipients seen waiting outside in the registration area of McDonald’s Guiwan Zamboanga before they get called in the jab administration area to be counseled.

“We are happy to have had the opportunity to partner with the DOH and the different LGUs in our bid to help communities have an easier and convenient access to vaccines. Through the conversion of our stores to temporary vaccination sites, we were also able to make good use and maximize our spaces,” said McDonald’s Philippines President & CEO Kenneth S. Yang.

Re-allocating company-purchased vaccines

With its active participation in the Ingat Angat Bakuna Lahat program of the government to boost vaccine participation, the QSR giant has also reallocated more than 6,000 AstraZeneca vaccine doses that were initially purchased for its employees through the tripartite agreement to partner LGUs. The LGUs that received these doses are Bataan Province, Vigan, Cotabato, Olongapo, Palawan, Leyte, Manila, and Marikina, while also donating to the Philippine Red Cross in San Fernando, La Union and to the National Task Force (NTF) based in Clark Freeport Zone with more vaccine doses to be reallocated to additional LGUs in the coming weeks.

McDonald’s was able to re-allocate these vaccine doses given its high vaccination rate. To date, 100% of crew and managers in NCR are fully vaccinated, with Luzon at 98% and 95% for Visayas and Mindanao.

“At McDonald’s, our overall commitment has and will always be the safety of people. We believe that in order for the country to recover and rebound, we, members of the private sector have a responsibility to encourage and support more Filipinos to get vaccinated, by maximizing our resources and partnering with the government to reach more members of our community,” Yang shared.

Whether dine-in, delivery, or ride thru, customers are assured that their food is safely prepared by fully vaccinated employees who work in a safe environment while following stringent global food quality standards. To stay updated, please visit McDonald’s website at www.mcdonalds.ph for more information.

 


Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber to get more updates from BusinessWorld: https://bit.ly/3hv6bLA.

MG Philippines ushers in the holiday season with MG Live! Salubong: The Christmas Concert

This Christmas, MG Philippines brings the finest OPM acts to the comfort and safety of your home with a special online edition of MG Live! entitled Salubong: The Christmas Concert, which will be broadcasted online over KTX.ph on December 10 and December 11, 2021. MG Live! Salubong will feature top local musical acts including urban/hip-hop star CLR, rock quartet Sponge Cola, and the legendary Aegis band rounding off this roster extraordinary artists.

Music is a cornerstone of MG’s brand identity and, since its launch in October 2018, MG Philippines has always championed and celebrated Original Pilipino Music (OPM) through its MG Live! concert series. This Christmas, MG Philippines brings the musical celebration straight to your home with this extraordinary online concert and the very first MG Live! Online concert event. The health and safety of all remain as MG Philippines’ top priority during these times, but the British heritage car brand nonetheless finds ways to usher in the holiday spirit and cheer through music while upholding a safe and secure event.

“MG continues to bring extraordinary musical experiences to Filipinos and we are proud to present MG Live! Salubong: The Christmas concert, in celebration of the holiday season. We hope to bring cheer and warmth into every home through this online concert event, which we dedicate to Filipino families here and abroad,” says Atty. Alberto B. Arcilla, President and CEO of MG Philippines. “MG has been associated with music since day one, and we are truly happy and excited to be able to stage Salubong—a truly one-of-a-kind Christmas concert—in cooperation with our partners, for the enjoyment of all Filipinos this December.”

Salubong is an extraordinary musical experience that promises more than just great tunes. Beyond the power of the music, enjoy loads of fun content like behind-the-scenes exchanges with the musical artists, and a sing-along complete with lyrics onscreen; and you can even send shout-outs to anyone anywhere in the world. If you have a member of your family working abroad this holiday season, send them a personalized greeting via Salubong using the event’s Salu-Salo Social Wall comment and share board. Make your loved ones feel the warmth of home this December with MG Live! Salubong: The Christmas Concert!

MG Live! Salubong: The Christmas Concert is brought to you by MG Philippines, in cooperation with Praxis and The Filipino Channel (TFC.) Salubong is staged with top-notch technical production at ABS-CBN’s ASAP Studio 10, and the program is conceptualized by the best Filipino musical production minds under director Paul Alexei Basinillo.

 


Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber to get more updates from BusinessWorld: https://bit.ly/3hv6bLA.

COVID-19 curbs China’s power in Indo-Pacific, risks of war ‘significant’ — report

REUTERS

MELBOURNE — The coronavirus pandemic has weakened China’s power in the Indo-Pacific, and the region’s deepening security uncertainties present a “significant” risk of war, the Lowy Institute said in a report on Sunday.  

US allies in the region and key balancing powers such as India have never been more dependent on American capacity and willingness to sustain a military and strategic counterweight in response to China’s rise, said the Sydney-based foreign policy think tank.  

At the same time, Beijing has sought to dissuade Southeast Asian countries from joining the US coalition, while upgrading its military exchanges with Russia and Pakistan as well as North Korea and creating as such a formidable trio of China-aligned nuclear-armed powers in the region.  

“Whether the emerging balance of military power contributes to deterrence and strategic stability in the Indo-Pacific is an open question,” the report said.  

“The depth of hostilities, the breadth of US–China competition and the presence of multiple potential flashpoints means the risk of war is significant.”  

The impact from the pandemic has undermined the overall region’s prosperity, weakening China’s comprehensive power.  

“Beijing is now less likely to pull ahead of its peer competitor in comprehensive power by the end of the decade — this suggests that there is nothing inevitable about China’s rise in the world,” the report said. “It appears very unlikely China will ever be as dominant as the United States once was.”  

The think tank said Australia, whose relations with China have deteriorated significantly in recent years, has weathered China’s growing power better than most US partners — but is growing more reliant on Washington.  

In 2018, Australia banned Chinese tech giant Huawei Technologies Co from its 5G telecommunications network. Relations worsened last year when Canberra called for an independent investigation into the origins of the coronavirus, prompting a series of trade reprisals from China. — Reuters

SM Supermalls makes getting vaccinated more rewarding with #VacForGood promos

Because getting a ‘jab’ well done definitely calls for a celebration

Weekends with the family will be more fun to celebrate at SM Supermalls as its Vax, Shop, and Dine will be taking your bakuna benefits up a notch!

Vaccinated SM Supermalls shoppers will be treated to exclusive promos, deals, and freebies starting this Friday, December 3, until December 5 during the #VacForGood weekend. Over 2,000 stores and restaurants under the ongoing Vax, Shop, and Dine will be participating in this three-day all-out rewards program. What’s more, is that exciting deals are prepared for 12- to 18-year-old shoppers who have been fully vaccinated as well.

Celebrate a ‘jab’ well done and get a free meal or special combo deals or product bundles when you present your vaccination cards and valid ID in any participating restaurant like Blackbeard Seafood Island, Buffet 101, Vikings, Ramen Nagi, Marugame Udon, Max’s Restaurant, and Tim Ho Wan.

Enjoy an upsize or upgrade of your favorite drinks at Coffee Bean and Tea Leaf, Koomi, Buku Buku Kafe, and Macao Imperial Tea. You can also get 40% off when you shop at your favorite retail brands like Keds and Old Navy.

Apart from that, vaccinated shoppers can also get free premium items or big discounts from George Optical, Great Image, LOOK, Ideal Vision, and National Book Store.

“Now that Christmas is just around the corner, the best gift that our shoppers can give themselves and their families is the gift of protection from COVID-19. We highly encourage everyone to get vaccinated and reap its multitude of benefits and rewards, including our #VacForGood deals and promos made especially for them. We look forward to more families, friends, and loved ones coming in here and spending more time together,” said Steven Tan, SM Supermalls President

So, after getting your COVID-19 shot at SM, check out and enjoy your exclusive rewards and special treats at SM Supermalls! Or if you haven’t been vaccinated yet, register for a vaccine slot as soon as possible and don’t miss out on SM Supermalls’ exciting Vax, Dine, and Shop promos just for you!

For the full list of promos at SM, check out the SM Supermalls website. And for more updates, visit www.smsupermalls.com and follow @smsupermalls on social media.

 


Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber to get more updates from BusinessWorld: https://bit.ly/3hv6bLA.

[B-SIDE Podcast] Money Talks: Graduating to investing from saving

Follow us on Spotify BusinessWorld B-Side

Money Talks is a series on personal finance sponsored by Metropolitan Bank & Trust Co. (Metrobank). 

Money is on the mind of many people, particularly amid the COVID-19 pandemic. A recent study titled “State of Banking and Financial Wellness” by US-headquartered research firm Forrester, commissioned by fintech company Backbase, found that more than half (58%) of Filipinos identified building savings (58%) and planning for retirement (52%) among their concerns in personal finance. Debt is a top concern, with 70% of Filipinos citing it as a challenge in financial management.

In this B-Side episode, Chorie Chan, first vice-president and head of the Financial Markets – Investment Distribution Division for Countryside at Metrobank, talks money with BusinessWorld, and how the pandemic has changed how we view and think about it.

TAKEAWAYS 

What has changed, and what hasn’t

“I have been in banking for over 27 years now and what the pandemic taught me is this: the basic tenets of saving, budgeting and investing are still there. Am I saving enough? Am I spending too much? How should I budget my finances?” Ms. Chan said.

“No matter how you think about it, no matter if you compute for unforeseen expenses, if you still have an extra amount that you couldn’t possibly need, then we talk about investing. That’s still a universal truth that has not changed over the years, pandemic or not. A universal truth that has probably evolved over the years and more so in the pandemic, would be the need to have better returns, and the need for diversity in what you can possibly invest in.”  

We must be able to assess our own financial wellness

People need to reassess how they view money in an environment of uncertainty.

“Before we seemed to have that confidence in stability. Stability of where we are if we have businesses, if we are employed. We kind of were able to project that ‘I’m still going to have this income stream in the next couple of years.’ But lo and behold, the pandemic happened, and none of us are as certain as before that this could persist in the years or months to come,” Ms. Chan said.

“This has become too pressing for all of us that we might want to consider expanding or deepening that amount of savings that we might need anytime soon to beyond the six-month requirement for expenses.”

Saving is not investing

“I don’t equate saving with investing. A lot of us get confused that when we have extra from our inflows minus the outflow, we automatically consider that as an investable fund,” Ms. Chan said.

“Liquidity. The ability for anyone to convert savings into cash. Liquidity means that you are able to access your money in whatever form it is in and be able to use it for an unforeseen expense. So if there is any doubt in your mind that if say, a family member would need help or your car need maintenance in a few months, then there is an amount that you should always keep liquid, so you can spend for that unforeseen need.”

Explore various ways to manage portfolio

At the end of the day, what you need to do about saving and investing will have to depend on what you need and what you hope to accomplish. “There’s a whole wide world of ways… to discuss how and why and in what manner you can construct your portfolio. At the end of it all, it will have to be about your investment objectives, your tolerance for risk, and your requirement for liquidity,” Ms. Chan said.

“The critical point that an investor has to be mindful about is the access to these financial investments, securities, or assets is so free that you can actually approach any financial institution that you’re comfortable dealing with and be led to talk to specialists within that institution. Ask them, feel free to explore, talk to people who are in touch with financial markets so they can sit down with you. Advice is free, I’m sure. And they can profile your suitability and your preferences and match these with your needs and objectives.”  

  

Recorded remotely Nov. 4. Interview by Santiago J. ArnaizBusinessWorld contributor and chief operating officer of health startup Day3 Innovations. Research by Bjorn Biel “JB” M. Beltran. Produced by Paolo L. Lopez and Sam L. Marcelo.

Follow us on Spotify BusinessWorld B-Side

Cebu Landmasters solidifies leadership in VisMin property market

Davao Global Township (DGT) is envisioned to transform the 22-hectare Davao Golf Club into a central business district of Davao City. Phase 1 of the development is set to be completed in 2023. It includes The DGT City Center, a retail component whose design was recalibrated to address the needs of the new normal. It has rich landscape features with open walkable spaces.

Widely recognized in 2021 Philippines Property Awards, Cebu Landmasters surpasses full-year 2020 performance in nine months

Despite the industry-spanning effects of the COVID-19 pandemic across all regions, leading developer in Visayas and Mindanao Cebu Landmasters, Inc. (CLI) is outperforming in the Philippine real estate sector as it grows its year-on-year revenues by more than a third compared to last year.

CLI attributed the impressive growth to robust sales and construction progress due to 100% operating capacities at its sites. Revenues were recorded growing 34% from P5.7 billion to P7.7 billion. Meanwhile, nine-month net income grew strongly by 23% year on year to P1.854 billion from 2020’s P1.5 billion.

CLI announced that it has recorded a net income of P1.854 billion in the first nine months of 2021, surpassing its full-year 2020 figure of P1.845 billion.

The bulk or 44% of third quarter revenue was contributed by CLI’s popular economic housing brand Casa Mira, with the fast-selling mid-market Garden Series accounting for 30%, and the high-end Premier Masters contributing 24%.

As much as 59% of the revenues were from Cebu, the biggest metropolis in the Visayas-Mindanao (VisMin) region, while strong and growing sales in other key cities contributed the rest. Namely, Cagayan de Oro took credit for 10%; Bacolod, 10%; Iloilo, 10%; and all others, 11%.

“The pandemic has emphasized to our buyers the importance of and impact to family stability of owning a home in a safe and secure community. We will continue to meet this need and to earn the trust of VisMin homeowners moving forward,” CLI chairman and Chief Executive Officer Jose Soberano III said in a statement.

The company’s growth momentum in 2021 was sped up by seven projects collectively worth P12 billion, or significantly more than the P5.5 billion value of launches recorded in 9M 2020. As of end-September, 77% of 2021 launches were already sold out.

CLI has already sold out 90% of its inventory across all projects in different stages of development allowing the firm to record unrecognized revenue of P24.2 billion, up 19% from P20.6 billion as of the end of 2020.

CLI’s quarterly performance further cements the company’s three-year lead in the residential development sector in the VisMin region according to a 2021 market study by Santos Knight Frank (SKF). The listed company has held the largest market share among the region’s real estate firms providing condominium and subdivision projects. CLI has close to 100 projects in different stages of development in 15 key cities all over Visayas and Mindanao.

The firm was even recently recognized as the Best Developer for Visayas and Mindanao by PropertyGuru Philippines during the eponymous PropertyGuru Philippines Property Awards 2021.

The Best Developer awards were alongside nine other significant recognitions, including Best Township for Davao Global Township; Best Mega Mixed-Use Development for Patria de Cebu; Best Condo Development (Visayas) for MesaVirre Garden Residences; Best Affordable Condo Development (Metro Cebu) for Casa Mira Towers Mandaue; Best Condo Development (Metro Davao) for One Paragon Place; Best Housing Development (Mindanao) for Velmiro Uptown CDO; and Best Hotel Interior for Radisson RED.

CLI also won Special Recognition in ESG and Special Recognition in Sustainable Design and Construction by the same award-giving body.

For CLI, these accolades, together with the listed company’s financial performance, cement its leadership in the region.

 


Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber to get more updates from BusinessWorld: https://bit.ly/3hv6bLA.

Inflation likely eased in Nov. — poll

PHILIPPINE STAR/ MICHAEL VARCAS
Fuel retailers slashed pump prices for four weeks in a row in November. — PHILIPPINE STAR/ MICHAEL VARCAS

HEADLINE INFLATION likely eased in November amid a slower rise in food prices and a drop in pump prices, analysts said.

A BusinessWorld poll of 18 analysts yielded a median estimate of 4% for the November inflation, which is near the upper end of the 3.3% to 4.1% estimate given by the Bangko Sentral ng Pilipinas (BSP).

If realized, last month’s consumer price index (CPI) will be within the 2-4% target range by the BSP and slower than the 4.6% in October but quicker than the 3.7% logged a year earlier.

Analysts’ November 2021 inflation rate estimates

The Philippine Statistics Authority will release the November inflation report on Tuesday (Dec. 7).

The reduction in global oil prices likely helped soften the rise in the CPI in November, analysts said.

“Prices could slow down due to the decline in oil prices but prices of other basic commodities remain high. Hopefully, the opening up of the global economy will increase supply,” Mitzie Irene P. Conchada, an economist from the De La Salle University, said.

Dubai crude prices fell by $4.9 per barrel in November, based on data from the Department of Energy. There are concerns the fresh spike in coronavirus disease 2019 (COVID-19) cases, as well as the emergence of new variants such as Omicron, could hurt global economic recovery.

Local oil companies on Nov. 30 cut pump prices for gasoline by P1.10-P1.20 per liter, diesel by P0.60-P0.70 per liter, and kerosene by P0.50 per liter. Year to date, pump price adjustments are still at a net increase of P18.10/liter for gasoline, P15.70/liter for diesel, and P13.19/liter for kerosene.

“The impact of the emergence of the Omicron variant on inflation is highly uncertain. In the short term we may see global oil and commodity prices soften in anticipation of lower global demand,” said Makoto Tsuchiya, an economist from Oxford economics.

Meanwhile, Dabalika Sarkar, an economist from ANZ Research, said “some mild moderation in food prices” likely helped to slow inflation in November.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort agreed, citing better weather conditions during the month.

Despite possible faster month-on-month rise in prices ahead of the holidays, November inflation will benefit from favorable base effect, Security Bank Corp. Chief Economist Robert Dan J. Roces said.

The CPI rose by 4.5% in the first 10 months of 2021. Inflation was beyond the BSP’s target so far this year, except July, as low meat supply caused prices to spike.

The central bank expects inflation to average by 4.3% this year, before easing to 3.3% and 3.2% by 2022 and 2023.

Analysts expect the BSP will maintain an accommodative policy to support economic recovery.

“The discussion abroad of whether inflation is transitory or not looks less relevant for us, since I’m seeing a continued easing of inflation rates until the first quarter of 2022, and only slight upward movements thereafter but staying within BSP target,” Victor A. Abola, an economist from the University of Asia and the Pacific, said.

US Federal Reserve officials in recent weeks have become more hawkish, with Fed Chairman Jerome H. Powell saying it was time to stop talking about “transitory” inflation. He added that officials should discuss a quicker winding down of the bond-purchase program.

The BSP will likely instead focus on gross domestic product (GDP) growth rather than the November inflation outturn, said Alvin Joseph A. Arogo, vice-president and head of equity research division at Philippine National Bank.

“The BSP will be comfortable to start the hike cycle when the economy is nearer its fourth-quarter 2019 level, which we estimate will occur in the fourth quarter of 2022,” Mr. Arogo said.

The Philippine GDP expanded by 7.1% year on year in the third quarter, bringing year-to-date growth to 4.9%. The government set a 4-5% GDP growth target this year, a turnaround from the record 9.6% contraction in 2020.

BSP Governor Benjamin E. Diokno has said there is a need to keep an accommodative policy to support economic growth that is gaining traction.

In its Nov. 18 policy review, the Monetary Board kept interest rates at record low, even as it cautioned on upside risks to inflation next year.

The central bank’s last policy review meeting for the year is on Dec. 16. Mr. Diokno has earlier said he does not see the need for rate adjustments until the end of 2021. — Luz Wendy T. Noble

Big PHL banks post fastest asset growth since onset of pandemic

BW FILE PHOTO

THE THIRD QUARTER saw the country’s biggest banks post the fastest asset growth since the start of the coronavirus pandemic, while aggregate loans rose for the first time in a year.

The latest edition of BusinessWorld’s quarterly banking report (see S4) showed the combined assets of 44 universal and commercial banks (U/KBs) expanded by 8.97% to P19.822 trillion in the July-September period, from P18.190 trillion in the same three months of 2020.

The third-quarter asset growth performance marked the fastest in eight quarters, or since the year-on-year expansion of 9.89% recorded in the third quarter of 2019.

Big banks’ asset growth picks up pace as loans recover

Meanwhile, aggregate loans in the third quarter grew by 3.24% to P9.739 trillion, a reversal of the year-on-year declines of 5.6% and 0.74% in the second quarter of 2021 and the third quarter of 2020, respectively.

The loan growth in the three months to September snapped four straight quarters of decline.

The median return on equity (RoE), which is an indicator of profitability, improved to 3.36% in the third quarter from 2.77% in the preceding quarter. However, this was still lower than the 4.13% RoE in the third quarter of last year.

Bad loans, also known as nonperforming loans (NPL), rose by 2.8% to P400.08 billion from P389.16 billion in the second quarter of 2021. Compared with the third quarter of 2020, NPLs went up by 39.5%.

This brought the NPL ratio, or the portion of bad loans to the total loan portfolio to 4.49% in the third quarter, slightly less than the 4.67% in the second quarter of 2021 but still higher compared with last year’s 3.57%.

Loans are considered to be nonperforming once they are left unpaid at least 30 days beyond the due date. They pose a risk to the lenders’ asset quality as borrowers are likely to default on these debts.

Likewise, the U/KBs’ nonperforming asset (NPA) ratio — or the NPLs and foreclosed properties in proportion to total assets — was 1.43%, lower than the previous quarter’s 1.46%, but higher than last year’s 1.24%.

Relative to total assets, foreclosed real and other properties stood at 0.26%, roughly the same from the second quarter. This was, however, a tad lower compared with the 0.29% posted in the third quarter of 2020.

Total loan loss reserves reached P353.525 billion during the period, bigger than the preceding quarter’s P338.535 billion and last year’s P294.805 billion.

The big banks’ median capital adequacy ratio — or the ability to absorb losses from risk-weighted assets — stood at 20.80%. This was lower than the 22.34% in the second quarter of 2021 and 21.02% in the third quarter of 2020 but remained above the required minimum of 10% set by the Bangko Sentral ng Pilipinas and the international standard of 8% set under the Basel III framework.

BDO Unibank, Inc. remained the biggest bank in terms of assets with P3.487 trillion, followed by Land Bank of the Philippines (LANDBANK) with P2.902 trillion and Metropolitan Bank & Trust Co. (Metrobank) with P2.438 trillion.

The three banks also had the most deposits with P2.736 trillion for BDO, P2.557 trillion for LANDBANK, and P1.852 trillion for Metrobank.

BDO issued the most loans with P2.233 trillion, while Bank of the Philippine Islands and Metrobank came in at second and third with P1.382 trillion and P1.147 trillion, respectively.

Among U/KBs with assets of at least P100 billion, LANDBANK posted the fastest year-on-year asset growth with 28.41%, followed by the Bank of Commerce (25.13%) and Rizal Commercial Banking Corp. (19.71%).

LANDBANK also saw the quickest growth in loans during the period with 19.53%, along with the Development Bank of the Philippines’ 16.55% and Robinsons Bank Corp.’s 15.46%.

BusinessWorld Research has been tracking the financial performance of the country’s big banks on a quarterly basis since the late 1980s using banks’ published statements.

The statements of conditions of two U/KBs were not available as of Nov. 26 when the compilation of the financial data was concluded. The two banks are Bank of China Ltd. and Mega International Commercial Bank.

The full version of BusinessWorld’s quarterly banking report will soon be available for download at www.bworldonline.com. — Bernadette Therese M. Gadon

Philippines faces another infection wave as Omicron looms

PHILIPPINE STAR/ MICHAEL VARCAS

By Kyle Aristophere T. Atienza, Reporter
and Norman P. Aquino, Special Reports Editor

PAULINE F. CONVOCAR, a Filipino emergency physician, had to turn down patients upon patients when a coronavirus surge spurred by a more contagious Delta variant nearly exhausted the country’s health system in the past quarter.

Now, she’s worried of another wave of infections from the Omicron variant — scientists on Friday said this one appeared to spread more than twice as quickly as Delta — just as the Philippines relaxed lockdowns amid decreasing cases.

“This new variant gives us that feeling of uncertainty again because we do not yet fully know how it behaves,” Ms. Convocar, who heads the Philippine College of Emergency Medicine’s advocacy section, said by telephone. “It poses another uncertainty.”

Scientists around the world are racing to understand how widespread Omicron is and how severe a threat it may pose. For one, it’s still unclear whether or to what extent the virus first detected in South Africa may resist existing vaccines.

In the United States, a hunt for the variant started last week when South African researchers announced Omicron’s array of worrisome mutations. The search has intensified in recent days, with at least 12 states identifying cases, the New York Times reported on Sunday.

At the Philippine Genome Center (PGC), medical experts are racing to screen samples from international travelers to see if Omicron has arrived.

They have yet to detect the virus after screening 18,000 samples, PGC Executive Director Cynthia P. Saloma told a televised news briefing at the weekend, but “it is possible that it has entered our borders. We are on the lookout for that.”

Philippine shares slightly gained on Friday as investors turned a bit optimistic after Wall Street’s rally, but trading remained sluggish amid lingering concerns over the pandemic.

Wall Street’s major indexes closed lower on Friday as investors grappled with uncertainty around the Omicron coronavirus variant.

As part of easing quarantine rules, the Philippine government last month started allowing children in Manila, the capital and nearby cities in malls after they were holed up in their houses for the past 20 months.

Now, all parts of the country are under Alert Level 2, the second most relaxed lockdown level.

As the Omicron variant came to light, the government said it would allow fully vaccinated foreigners to enter the country starting Dec. 1, even as it banned flights from several African countries where the variant was present. It scrapped the plan days later.

A group of private hospitals is preparing for a potential spike in Omicron coronavirus infections. Jose Rene de Grano, president of the Private Hospitals Association of the Philippines, Inc., told ABS-CBN Teleradyo last week they are ready in case of another infection wave.

He said they have ample supply of oxygen and vacant beds amid decreasing cases in recent weeks.

The new “variant of concern” gives the world a glimpse of where the pandemic might be headed. It should also prompt the government to focus on evidence-based policies and listen to the calls of the health sector, said Joshua L. San Pedro, a medical doctor who started the Coalition for People’s Right to Health.

“Evidence-based policies should be the standard by now, almost two years into the pandemic,” he said in a Facebook Messenger chat. “Learning from other countries’ experience as well as ours, there is some semblance of what is effective and how it ought to be implemented.”

PANDEMIC GAPS
Mr. San Pedro said the government has done very little to boost health facilities and increase health staff. It has to see the gaps in its pandemic response and do something about it.

“As we saw with previous surges, every new one seems to be worse than the one before it.”

The government also can’t rest on its vaccination laurels when there are still provinces without testing laboratories, its contact tracing system remained weak and there’s growing public complacency, Mr. San Pedro said.

Many countries with much higher vaccination rates have experienced some of the worst coronavirus spikes, he added.

There’s also the problem of understaffed hospitals, said Maristela Presto-Abenojar, president of Filipino Nurses United.

The chronic nursing shortage in one of the world’s top sources of health workers has existed even before the coronavirus pandemic, she pointed out.

Local governments only have 5,656 public nurses, while the National Government has 18,994, Ms. Abenojar said, citing government data. Ideally, there should be at least one nurse in each of the country’s 42,046 villages, she added.

“In addition, there are only 30,396 nurses in 202 public hospitals working three shifts a day and/or two shifts a day for a 12-hour duty,” she said.

In 1,170 state-licensed private hospitals, there are only 34,840 nurses working three shifts a day, she added.

“For the last two years, nurses, doctors and other health workers were referred to as heroes on the frontline taking care of more than 2 million COVID-19 patients nationwide,” Ms. Abenojar said. “But they have become sacrificial lambs in this pandemic battle.”

At the heart of a major breakdown of the country’s healthcare system earlier this year, overworked and underpaid nurses and caregivers protested and threatened to quit their jobs.

“We have not heard any ambitious proposals yet to address health workforce shortage and burnout,” said Renzo R. Guinto, a doctor and associate professor of global public health at the St. Luke’s Medical Center College of Medicine. “We are still relying on health workers’ sense of volunteerism.”

He noted that as 2022 beckons with potentially more coronavirus variants emerging, the country is still largely “using the 2020 playbook for pandemic response with a largely pre-pandemic healthcare infrastructure.”

“After almost two years since the pandemic began, we are still resorting to reactive rather than anticipatory approaches,” he said in a Facebook Messenger chat.

The Philippines needs a “Marshall plan” to revitalize its public health system, Mr. Guinto said, adding that the government should invest in research and surveillance activities that will detect disease-causing pathogens “to make sure we do not become the ground zero for the next pandemic.”

“COVID-19 already revealed to us the myriad defects of our health system, and unfortunately we are not using the pandemic period to fix many of these problems,” he said.

Joey Francis Hernandez, a doctor and treasurer of the Philippine Society of Public Health Physicians, said the country needs a community-based approach instead of a heavy-handed militarist one that tries to silence critics.

People from communities must be part of public health conversations, he said in a Messenger chat. Contact tracing is also useless “if we’re not going to do anything about the data we collected.”

“With our numbers improving, contact tracing and accessible testing should be emphasized again to keep our numbers low and even lower,” he said. “However, that has to be through a stronger national push with solid, coordinated efforts from the local governments.”

Mr. Hernandez said authorities should ditch policies that are not enforceable.

In jeepneys, for example, it’s better to ensure that everyone wears a mask and hand sanitizers are provided instead of limiting their capacity by setting up plastic barriers, he pointed out.

Policy makers should heed the advice of scientists and public health experts before anyone else. “COVID response should be led by scientists and public health experts, and not generals and politicians.”

“Even if we’re tired, we’d rather take a rest and soon get back to work and try to really hold the line,” said Ms. Convocar, the emergency physician. “We are the first to stand and the last to fall. We have to be brave for the others.”

Anti-dumping duties slapped on cement exporters from Vietnam

THE DEPARTMENT of Trade and Industry (DTI) has slapped provisional anti-dumping duties as high as 32% on specific Portland cement brands from Vietnam, as these were found to be causing “serious injury” to local cement manufacturers.

In a statement on Sunday, DTI said a preliminary determination showed that nine out of 16 Vietnamese exporters of Type 1 cement and four out of 12 exporters of Type 1P cement have been dumping cement in the Philippines.

The provisional anti-dumping duties on Type 1 cement starts at $1.02 per metric ton (/MT) or 2.69% of the price, to $10.53/MT or 31.87% of the price.

“The nine exporters account for 82% of total imports of Type 1 cement. These provisional duties are estimated to add P2.01 to P25.08 to the import cost of a 40-kilogram bag of cement,” DTI said. 

Meanwhile, Type 1P cement exported from Vietnam will be slapped with provisional duties ranging from $1.16/MT or 3.8% of the price, to $12.79/MT or 29.20% of the price.

“These provisional duties are estimated to add P2.01 to P25.08 to the import cost of a 40 kg (kilogram) bag of cement, but this is not expected to be passed on to the users due to strong competition from local and other imported brands,” the Trade department said.

The imposition of anti-dumping duties stemmed from the petition filed by Republic Cement & Building Materials, Inc., CEMEX – Solid Cement Corp. and Apo Cement Corp., and Holcim Philippines, Inc. 

The DTI found that dumped cement exports from Vietnam accounted for 55% of total Philippine imports from July 2019 to December 2020.

Dumping occurs when exporters sell their products to an importing country at a lower price compared with its normal value when used in the home market.   

Based on the World Trade Organization (WTO) anti-dumping agreement, member countries are allowed to impose anti-dumping duties to mitigate any injury to the local industry.

Trade Secretary Ramon M. Lopez said the provisional anti-dumping duties is not expected to cause a spike in the retail price of cement.   

“We do not anticipate that these duties will result in an increase in the retail price of cement because its effect on landed cost is minimal. Any price increases in imported cement will be discouraged by competition from domestic cement producers,” he said in the same statement.

Mr. Lopez said the duties will only be imposed on specific Vietnamese exporters discovered to be dumping cement to the Philippines.   

“Vietnamese exporters who are not dumping can continue to export cement without having to post the provisional anti-dumping cash bond,” he said.

Meanwhile, the case will be forwarded to the Tariff Commission that will conduct a formal investigation and check if the anti-dumping duty will be made permanent. — Revin Mikhael D. Ochave