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AllDay prices IPO shares at 60 centavos apiece

By Keren Concepcion G. Valmonte, Reporter

ALLDAY Marts, Inc. has set the final offer price of its initial public offering (IPO) at 60 centavos per share or 25% lower than the 80-centavo high-end price in its prospectus, the Villar-led company told the exchange on Wednesday.

The company is offering 6.857 billion shares for 60 centavos each, with an overallotment option of 685.71 million shares. The company may raise nearly P4.53 billion should the overallotment option be exercised.

Timson Securities, Inc. Trader Darren Blaine T. Pangan said in a Viber message that the lowered price may “encourage more investors to participate in the offering given the potential capital appreciation in the open market upon listing day.”

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a separate Viber message that the final price “could also reflect business or economic challenges since the pandemic started last year amid restrictions on minors and senior citizens from going out, thereby reducing foot traffic or sales for some retailers.”

Proceeds from the offer will be used to repay debt as well as for capital expenditures and initial working capital for its store network expansion.

AllDay is planning to expand its 33-store network to 45 by the end of next year, and up to 100 stores by end-2026.

According to its preliminary prospectus dated Sept. 28, the company is looking to conduct its offer period from Oct. 18 to 25.

Meanwhile, its listing at the main board of the Philippine Stock Exchange is tentatively slated for Nov. 3. Shares of AllDay will be listed under the ticker symbol “ALLDY.”

The company engaged PNB Capital and Investment Corp. as the sole issue manager of the offer and it will be joined by BDO Capital & Investment Corp. and China Bank Capital Corp. as joint lead underwriters and bookrunners.

Incorporated in December 2016, AllDay has since grown to record a net income of P220 million in 2020, surging from P17 million in 2017.

In August, AllDay reported a first-half profit growth of 58.8% to P179.6 million year on year, driven by a 19.7% sales improvement to P4.49 billion.

AllDay is part of the Villar group of companies, along with other listed firms AllHome Corp., Golden MV Holdings, Inc., and Vista Land & Lifescapes, Inc.

In a separate disclosure to the exchange on Wednesday, home improvement firm AllHome said it is close to vaccinating 100% of its work force across 55 branches nationwide as part of the Villar group’s VHealthy initiative.

Three Filipino culinary greats remembered

NORA DAZA — SAMMY ESQUILLON/ POSITIVELYFILIPINO.COM

A reluctant writer, an inventor, and a cookbook author 

THREE Filipino culinary greats were honored during “2021 Asian Culinary Exchange: Homecoming,” a talk on Sept. 30 by Asia Society Philippines. While all of them are long gone, they all left indelible marks on the Philippine food scene.  

They were all women: food writer Doreen Gamboa Fernandez, food inventor/developer Maria Orosa, and restaurateur and cookbook author Nora Daza. They were honored with tributes during the talk: Doreen Alicia Gamboa spoke of her aunt and namesake; Ige Ramos spoke on the subject of his new book, Maria Orosa; and Nina Daza Puyat spoke about her mother, Nora.  

THE RELUCTANT WRITER
Ms. Gamboa gave a detailed account of her aunt’s life: the eldest of three children, homeschooled with the Calvert Education system during the war, the great food critic and author still quoted today.  

Yet Ms. Gamboa remembers: “I know that she wasn’t really looking into being a writer, as far as I know.” Publisher Eugenia “Eggie” Apostol (of Philippine Daily Inquirer fame) had approached her uncle, architect Willy Fernandez, Ms. Gamboa Fernandez’s husband, to write about food for Ms. Apostol’s Mr. and Ms. Magazine. “He said, ‘I will eat, and Doreen will write.’ That’s how it started.”  

She ended up writing food columns not just for Mr. and Ms., through the years she had regular columns with the Manila Chronicle, the Philippine Daily Inquirer, and Food Magazine. She also wrote a slew of books on Philippine food, often with collaborator Edilberto Alegre. Among these are Sarap: Essays on Philippine Food (with Alegre), Lasa: A Guide to 100 Restaurants (with Alegre), Kinilaw: A Philippine Cuisine of Freshness (with Alegre), Tikim: Essays on Philippine Food and Culture, and Palayok: Philippine Food Through Time, on Site, in the Pot

“She wanted to be remembered as a good teacher — not really as a good writer. That’s what she really enjoyed,” said the younger Doreen about her aunt, a professor at the Ateneo de Manila University who chaired the Communication, English, and Interdisciplinary Studies departments of the university.  

One of her treasured memories, thus, is when she asked her aunt to teach her children to write about food — right before her death in 2002. She gave simple tips to her great-nephews. She told them to write what they liked or didn’t like about a restaurant, and to explain why, or write down what they liked or didn’t like about what they ordered. “Write two good things about the restaurant, and two not-so-good things,” remembers Ms. Gamboa. “Tita Doreen was always pleasant. She never liked to say, ‘write a bad thing.’ Even in her books… she never said anything bad.”  

“That’s what I loved about her.”  

Today, the reluctant writer is honored with a yearly essay-writing contest about food that was named in her honor. 

BANANA KETCHUP INVENTOR
Ige Ramos, scholar, author, and designer, gave tribute to Maria Orosa, known to most people as the namesake of a Manila street. Some people know her as the inventor of banana ketchup, and a few people know her as a martyr of the Second World War.   

Mr. Ramos pointed out that the first book about Maria Orosa had come out in 1970, 25 years after Ms. Orosa’s demise. The book was titled The Recipes of Maria Y. Orosa, with Essays on Her Life and Work, and was published through the efforts of her niece, Helen Orosa del Rosario. Apparently, Ms. Orosa del Rosario had been the last person to see her aunt alive. Ms. Orosa died of shrapnel wounds during the month-long Battle for Manila in 1945.  

Mr. Ramos, with the estate of Maria Orosa, published and designed an updated version of the book, now called Appetite for Freedom: The Recipes of Maria Y. Orosa and Essays on Her Life and Work. The anecdotes and recipes were compiled by Ms. Orosa del Rosario, but Evelyn Orosa del Rosario Garcia (Helen’s daughter) edited the work for its 50th anniversary revival. It has a preface from food historian Felice Prudente Sta. Maria, and a foreword from food columnist Michaela “Micky” Fenix.  

More than just banana ketchup, Ms. Orosa’s work helped revitalize rural areas through food technology, thanks to her own experience as a chemist.   

“Orosa introduced improvements for widespread well-being, using food education and science applied to everyday cooking,” said Mr. Ramos. Serving as a captain in the underground movement during the war under Marking’s Guerillas, Maria Orosa, according to Mr. Ramos, smuggled vitamin-rich protein nutritional powder to prisoners of war and into internment camps. “The story about a heroine-scientist inspires similar civic action today,” he said.  

Over her lifetime she invented over 700 recipes, including Soyalac and Darak (rice bran). She invented a palayok (clay pot) oven for use in areas without access to electricity, developed recipes using local ingredients, and developed preservation methods for native dishes.   

TV CELEBRITY CHEF
Meanwhile, Nina Daza Puyat spoke about her mother, cookbook author, restaurateur, and early TV celebrity chef Nora Daza.   

“When my mom, Nora Daza, passed way in 2013, at the age of 84, a family friend texted me: ‘Thank you very much for sharing your mother with the Philippines’,” said Ms. Daza Puyat. “That message struck me because I never thought of it that way. Now that I am piecing her life together, I realized how true that sentiment was. Perhaps indirectly, Nora Daza did devote most of her culinary life to the Filipinos, for the Filipinos, here and abroad.”  

Ms. Daza was known for opening one of the first French restaurants in the country (Au Bon Vivant), as well as opening the first Filipino Restaurant in Paris, Aux Iles Philippines.  

She reached a wider audience through her popular cooking shows, At Home with Nora and Cooking It Up with Nora. She was also, for four years, the director of the Manila Gas Cooking School during which time she kitchen tested over 500 recipes.  

But perhaps more than these, she is best known for her cookbook, Let’s Cook with Nora, which inspired many Filipino home cooks to serve gracefully at their own tables. It was first published in 1965, then again in 1969, that edition being the most popular. Ms. Daza Puyat published an updated edition in 2019, revising some recipes and changing ingredients to those more accessible today. “  

“That’s over 50 years of two or three generations of Filipinos relying on Nora Daza’s recipes.” — JL Garcia 

Manila Water unit inks P393-M loan to fund projects

A UNIT of Manila Water Co., Inc. serving Samar province has signed a P393-million term loan facility with Bank of the Philippine Islands to partly fund its capital expenditure (capex) requirements.

Calbayog Water Co., Inc. executed the agreement with the local bank through its wholly owned unit Manila Water Philippine Ventures, Inc. and its partner Tubig Pilipinas Group, Inc.

“The loan will be used to partially finance Calbayog Water’s capital expenditure projects,” Manila Water said in a regulatory filing on Wednesday.

The company gave no further details on the specifics of the deal.

Calbayog Water is in charge of developing, operating, improving and maintaining water supply and wastewater facilities within its service area in the Calbayog City Water District in Samar.

Earlier this month, Manila Water said it was investing P8 billion to supply water in bulk to the provincial government of Pangasinan.

The project, which will be undertaken by Manila Water and Manila Water Philippine Ventures, expects to deliver 200 million liters daily by the last year of its contract period.

Manila Water is the exclusive provider of water and used water services to the east zone of Metro Manila and Rizal province.

Shares of Manila Water improved 3.91% or P1 to finish at P26.60 apiece on Wednesday. — Angelica Y. Yang

Japanese scientists work up an appetite for lab-grown Wagyu beef

JAPANESE scientists are working to create a lab-grown replica of the country’s famed Wagyu beef. — AIRAM DATO-ON/PEXELS

TOKYO – Japan’s famed Wagyu beef, a delicacy that can cost more than $200 a pound at some top restaurants, could become much more affordable in the form of a lab-grown replica.

Japanese scientists say they have succeeded in recreating Wagyu, renowned for its fat marbling, in a laboratory to produce something that could eventually look and taste like the real steak.

Wagyu beef comes from a breed of black cattle, most famously those from the Kobe area of Western Japan.

Osaka University researchers led by Michiya Matsusaki used 3-D bioprinters and bovine stem cells to replicate Wagyu’s distinctive marbling in a solid steak-like piece, rather than a minced form that has typified other attempts at cultured meat.

It currently takes about three to four weeks to generate a cubic centimeter of cultured meat, so it’s not ready for the grocer’s aisle just yet. But as the techniques and efficiency improve, the method could produce something that mimics the real thing, Mr. Matsusaki said.

“If we are able to quickly produce a lot of meat from a few cells, there’s a chance we can better respond to food and protein shortage issues in the future,” Mr. Matsusaki told Reuters.

Environmental and ethical concerns around the meat industry have driven interest in vegetable alternatives and the potential for lab-grown products. That has spurred strong growth in developers of real meat alternatives, including plant-based burger maker Impossible Foods, Inc. which is preparing for a public listing that could exceed $10 billion, sources say.

Mr. Matsusaki said the bioprinting and culture techniques developed in his lab could also have applications in human medicine, such as growing replacements for damaged muscles.

It now takes about 10,000 yen ($89.40) to produce a single gram of lab-grown Wagyu, but with more automation, the price could drop such that it would be marketable for the general public within five years, Mr. Matsusaki said. — Reuters

Why pinakbet should be a staple in every meal plan

Pinakbet, a dish originating from the northern regions of the country, is packed with nutritious ingredients. While there are many variations of the dish – from cooking it with fish sauce or shrimp paste to using tomato sauce – it is the number of vegetables used in it is the secret of its goodness.

At least seven types of vegetables can be found in every serving of pinakbet. These are usually ampalaya (bitter melon), talong (eggplant), okra, green beans, chili peppers, tomatoes, sweet potato, and squash – all of which are good sources of different vitamins and minerals.

Ampalaya contains many antioxidants and studies found that it has medicinal properties that help reduce blood sugar. Eggplant supports the reduction of causes of heart disease. Green beans help to keep the digestive system healthy and running smoothly. Squash is high in beta-carotene, which the body turns into vitamin A that can strengthen the immune system and promote healthy eyesight. Thes are just some of the benefits from its various ingredients.

Eating pinakbet on a regular basis would mean that Filipino families can take advantage of all the nutritional benefits from its vegetables.

One important point is that the key ingredients in pinakbet are all easily accessible. Another plus is that cooking pinakbet is easy — once all the chopping and preparation of the vegetables is done, it takes just 10 to 15 minutes to cook.

First, sauté onion, garlic, and ginger in a pot with hot cooking oil. Then add pork or shrimp for flavor depending on preference. Add a touch of fish sauce or shrimp paste and continue to stir, then add some water, and add in the vegetables. Cook until all ingredients are tender but make sure to not overcook the vegetables to retain their nutrients.

There are other ways of cooking pinakbet — or pakbet as some call it. As the late food writer Doreen G. Fernandez wrote in her book Tikim: Essays on Philippine Food and Culture, “Even pinakbet, the traditional Ilokano vegetables stew with bagoong, has known changes in its time. The original has tiny native ampalaya, talong and okra tossed in a pot with fish bagoong [fermented fish paste] and tomatoes. No oil, no frying. The Tagalogs have sauteed it in oil. Some Ilokanos add bagnet (the Ilokano lechon kawali [skillet or oven-roasted pork]) to it. Others add chicharron. Gene Gonzales cooks it in olive oil.” But the essence is the vegetables and the simplicity of the dish.

With vegetables as main ingredients, pinakbet is a dish that supports Filipino farmers. When consumers purchase vegetables, they are not only providing their households with a healthy meal but are also helping and supporting the livelihood of Filipino farmers working hard to produce good quality vegetable crops. this is why global vegetable seed company East-West Seed Philippines (EWS) is promoting pinakbet as a dish that should be a staple in the meal plan of every Filipino family.

Backed by research and innovation experiences for close to four decades, EWS has been developing improved vegetable seed varieties that help farmers improve their yields, reduce pesticide and water usage, and earn more from their work. The vegetable seeds they offer were developed and bred here in the Philippines to ensure that they will thrive in local growing conditions. Their seeds can also be grown in anyone’s backyard or home garden.

To learn more about the programs and initiatives of EWS visit https://ph.eastwestseed.com and the Oh My Gulay! Campaign of the East-West Seed Foundation at https://www.facebook.com/OhMyGulay.OMG.

Ethical hackers expected to help address Philippine cybersecurity gaps

WHITE hats or ethical hackers can help create a digitally secure Philippines as their skills can address the country’s cybersecurity gaps, according to the convenors of ROOTCON, an annual hacking conference.

In an Oct. 7 press launch for this year’s ROOTCON, Digital Pilipinas convenor Amor L. Maclang shared an anecdote of a company that called its lawyer to sue a white hat who informed them of their system’s vulnerabilities.

“If a doctor tells you that you’re sick, are you going to sue that doctor?” she asked.

The term “hacker” may bring negative connotations, but “not all are bad. Some are bound by an ethical code,” added Dhonel P. Martinicio, universal content creator of GeiserMaclang Marketing Communications, Inc.

White hats, for instance, find flaws in a system so an organization can fix them and prevent others from exploiting these vulnerabilities for personal gain.

The country has to stay ahead of cybersecurity threats, with the local fintech scene growing steadily due to the central bank’s initiatives to boost online payments, the convenors said.

The Financial Action Task Force, a Paris-based ‘dirty money’ watchdog, said the Philippines is among those jurisdictions “with serious anti-money laundering/counter-financing of terrorism deficiencies [that] may expose the local financial system to significant risks.”

A full disclosure policy needs to be prioritized for the country to survive cybersecurity threats, said Dax “semprix” L. Labrador, ROOTCON founder. This involves the immediate publication of a vulnerability without any delay.

The tendency is for cybersecurity professionals to keep the vulnerabilities they find to themselves due to the fear of being sanctioned, Mr. Labrador noted.

“If full disclosure is available in our country, everything should follow,” he said. “Companies will secure their systems, and researchers will start reporting vulnerabilities.”

Apart from policy, culture is also an important part of the equation.

“The government should have qualitative measures [for measuring] its security posture ratings (or overall cybersecurity readiness),” said Jallain S. Manrique, KPMG Philippines head of technology consulting and cybersecurity. “How do you create a culture across all the agencies where everyone is conscious about security?”

Eman0n, a white hat hacker who has helped the likes of telecommunication firms like Comcast and Globe Telecom, Inc., encouraged leaders to connect with the 4,000-strong white hat community in the Philippines.

“Due to the move of traditional businesses to a more digital space… white hackers are now essential to have in your business or institution,” he said.

ROOTCON is supported by Digital Pilipinas – World FinTech Festival, a movement aimed at influencing change through technology and innovation.

ROOTCON 15 runs from Oct. 12-15, 2021. More details on the hybrid conference can be found at www.rootcon.org. The code RCXDIGIPINAS can be used for discounts. — Patricia B. Mirasol

Marubeni unit subscribes to more shares in Ingrid Power

AXIA Power Holdings Philippines Corp. has subscribed to P114.6-million worth of preferred shares in Ingrid Power Holdings Inc., a unit of listed power firm AC Energy Corp.

The deal was forged to retain Axia Power’s interest in the shares and economic rights of Ingrid Power, the special purpose vehicle of the 150-megawatt (MW) diesel power plant project located in Pililla, Rizal.

Axia Power is a subsidiary of the Japan-based Marubeni Corp.

“On Oct. 12, Ingrid and Axia executed a Subscription Agreement for the subscription by Axia to an additional 112,000 Redeemable Preferred F Shares with a par value of P100.00 per share and 1,034,000 Redeemable Preferred G Shares with a par value of P100.00 per share to be issued out of the unissued authorized capital stock of [Ingrid],” AC Energy told the local bourse on Wednesday.

This marks the second subscription agreement between the two entities in line with a previous deal made last year.

In 2020, Axia Power signed a shareholder’s agreement with AC Energy and ACE Endevor, Inc. which allowed the Marubeni unit to acquire 50% of the shares and 50% of the economic rights in Ingrid Power.

Under the deal, AC Energy will hold 50% shares and 45% of the economic rights, with ACE Endevor controlling 5% of the economic rights in Ingrid Power.

The total investment for Ingrid Power’s project, the 150-MW diesel-run plant in Rizal, reached P1.9 billion.

A week ago, the new diesel facility began commercial operations, marking AC Energy’s third power plant which has gone online this year.

The Ingrid power plant intends to boost energy capacity and provide reserves to the Luzon grid.

Prior to the Ingrid facility, the Ayala-led firm switched on this year its 120-MW GigaSol Alaminos in Laguna and 63-MW GigaSol Palauig in Zambales.

Shares of AC Energy at the local bourse shed 6.19% or 80 centavos to finish at P12.12 apiece on Wednesday. — Angelica Y. Yang

Tablet makers get boost from suspended face-to-face learning

TABLET manufacturers continue to benefit from the Philippines’ suspension of face-to-face classes, with the International Data Corp. (IDC) reporting an increase in their market shares in the second quarter.

The Philippine tablet market “almost doubled” in the second quarter compared to last year, growing by 97.9%, IDC said in an e-mailed statement on Tuesday.

South Korean company Samsung’s share in the Philippine tablet market increased to 45.4% in the second quarter from 18.8% in the same period a year ago.

China’s Lenovo followed with a 16.4% market share, up from 11.4% in the second quarter of 2020.

Meanwhile, Philippine-based Cherry Mobile’s share went down to 9.1% from 14.3%.

China’s Huawei also saw its market share drop to 6.5% from 19.4%.

“The tablet market’s performance for the rest of the year will still be driven mainly by the education segment due to procurements from other LGUs (local government units), as face-to-face classes have remained suspended until further notice due to the resurgence of COVID-19 (coronavirus disease 2019) cases,” said Angela Jenny V. Medez, client devices market analyst at IDC Philippines.

“However, we do not expect the same momentum compared to the previous year, as some local government units prioritize the rollout of vaccinations. New procurements will be from other cities outside of Metro Manila,” she added.

President Rodrigo R. Duterte has approved a pilot test of limited in-person classes in areas with a low number of COVID-19 cases.

Only 100 public schools and 20 private institutions were authorized to participate in the pilot test, according to Education Secretary Leonor M. Briones.

The pilot test will be conducted with a combination of face-to-face classes in school and distance learning for two months.

In-person classes will be conducted half-day every other week. — Arjay L. Balinbin

Robinsons Land’s GBF Towers aim to be LEED-certified

ROBINSONS Land Corp. (RLC) is setting its eyes on getting LEED (Leadership in Energy and Environmental Design) GOLD certifications upon the completion of its GBF Towers, the company said in an e-mailed statement on Tuesday.

“GBF Towers 1 and 2 will be landmark structures along the C5 IT corridor. The buildings will feature technology that make use of renewable energy as well as substantially lower the consumption of water and electricity throughout the day and even at night,” said RLC President Frederick D. Go.

RLC said the first GBF Tower is slated for completion “in late 2022,” while the company aims to complete the second tower by the second semester of 2023.

LEED-certified buildings would highlight how a company focuses on sustainability through the design, materials, and operations of the building structure, among others.

GBF Towers will have a building management system (BMS) with automatic power and water metering systems to monitor the use of said resources.

RLC said both towers will feature a full curtain wall façade, which will have a double-glazed glass reducing the heat coming in from outside to allow lower cooling requirement, which will then lead to reduced electric consumption.

These towers will be using LED lights as well as VRF (variable refrigerant flow) air conditioning systems.

Over in the towers’ parking floors, charging stations will be available for electric vehicles, while bikers will have space allotted for bike racks and shower rooms.

Meanwhile, solar panels will be installed in select areas of Tower 2, which will be used to power some of the common areas of the building.

GBF Towers will also have a rainwater collection system to be used to water the plants and for general cleaning purposes. Its toilets will also have “water-efficient fixtures.”

“GBF Tower 1 and GBF Tower 2 are premium offices equipped with the latest energy-efficient green building features, and fault-tolerant building systems,” RLC said.

“It’s perfectly suited to meet the demands of both Fortune 100 and IT-BPM (information technology and business process management) companies,” it added.

On Wednesday, shares of RLC declined by 1.35% or 22 centavos to close at P16.08 apiece. — Keren Concepcion G. Valmonte

Amy Winehouse possessions hit the auction block

NEW YORK  —  Nearly 800 of Amy Winehouse’s belongings, including the short dress the late British singer wore in her final concert, are up for auction.

The green-and-black dress, and a heart-shaped Moschino purse the Grammy Award winner was frequently photographed with, are each expected to fetch $15,000 to $20,000.

Ms. Winehouse’s parents had decided it was the right time to let go of her personal and professional items, said Martin Nolan, executive director of Julien’s Auctions. The singer died of alcohol poisoning at age 27 in July 2011. Her last show was in Belgrade a month earlier.

“It’s been a cathartic experience for them, but also a very emotional rollercoaster for parents to give up their daughter’s possessions,” Nolan said.

“But they know that these items were going to go to fans and collectors and museums and investors all over the world that will continue to appreciate them, enjoy them, showcase them.”

The family wants to make sure all her fans have a chance to buy something, said Nolan, who has worked for two years to curate the sale.

Most of Ms. Winehouse’s dresses are conservatively priced at $2,000-$4,000. Opening bids for belts, perfume, shoes, ballet slippers, guitars, and drum kits start as low as $50-$100.

Winehouse became a breakout artist worldwide with her unique look, her headline grabbing behavior, and jazz-infused music. She released two studio albums, Frank and Back to Black.

She often spoke of battling alcohol and drug addiction.

Part of the proceeds will fund the Amy Winehouse Foundation which aims “to inspire children and young people to build their self-esteem and resilience, so they can flourish.”

The sale will take place in Beverly Hills on Nov. 6-7 in person and online. — Reuters

Term deposit yields end mixed

BW FILE PHOTO

YIELDS ON THE central bank’s term deposits ended mixed on Wednesday due to excess liquidity in the financial system and mounting inflation concerns amid higher oil prices.

Demand for the term deposit facility (TDF) of the Bangko Sentral ng Pilipinas (BSP) amounted to P521.718 billion on Wednesday, higher than the P450 billion on the auction block but below the P532.24 billion seen a week earlier.

Broken down, bids for the one-week deposits reached P175.644 billion, surpassing the P150-billion offering but failing to beat the P195.377 billion seen in the previous auction.

Accepted rates for the tenor ranged from 1.7% to 1.83%, narrower than the 1.69% to 1.875% band logged a week ago. With this, the average rate of the seven-day papers inched up by 0.59 basis point (bp) to 1.7318% from 1.7259% last week.

Meanwhile, demand for the 14-day papers reached P346.074 billion, surpassing the P300-billion auctioned off by the BSP and the P336.863 billion in tenders seen during last week’s offering.

Banks asked for yields ranging from 1.72% to 1.825%, slimmer than the 1.715% to 2.1% band recorded last week. This caused the average rate of the two-week papers to decrease by 1.83 bps to 1.7702% from the 1.7885% quoted in the previous auction.

The BSP has not offered 28-day term deposits for more than a year to give way to its weekly offerings of bills with the same tenor.

The term deposits and the 28-day bills are tools used by the BSP to gather excess liquidity in the financial system and to better guide market rates.

The term deposits fetched mixed yields on Wednesday amid inflation concerns following the increase in oil prices in recent weeks, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said.

Global oil prices have mostly increased in the past weeks amid rising demand in advanced economies, while major oil exporting countries have not reached an agreement to increase production.

On Wednesday, however, fuel prices slipped amid concerns that oil demand growth will fall as major economies suffer through inflation and supply chain issues.

Big economies including China, Europe, and India also confront coal and natural gas shortages that have caused higher prices for the electric generation fuels, Reuters reported on Wednesday.

Meanwhile, back home, data from the Department of Energy showed prices of gasoline (P17.85 per liter), diesel (P16.50 per liter), and kerosene (P14.19 per liter) have cumulatively increased year to date as of Oct. 5.

Mr. Ricafort added that term deposit yields were mixed on Wednesday as there continues to be excess liquidity in the financial system.

BSP Governor Benjamin E. Diokno said on Tuesday that their easing measures amid the pandemic freed up liquidity of P2.3 trillion, which is equivalent to 12.7% of the country’s gross domestic product in 2020. — L.W.T. Noble with Reuters

Person-to-merchant payments launched

DAVID DVORACEK/UNSPLASH
THE CENTRAL BANK has launched person-to-merchant payments to help accelerate the country’s shift to a cash-lite economy. — DAVID DVORACEK/UNSPLASH

THE CENTRAL BANK has launched person-to-merchant (P2M) payments under the QR PH, which is expected to help in making the country a cash-lite economy.

Merchant payments made up 70% of monthly retail transactions in the Philippines. This shows that the P2M can boost the use of digital payments in the country, Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno said.

“P2M has consistently been among the key drivers for growing digital payments usage in the country. We are prioritizing merchant payments given its huge potential to further advance digital payments adoption in the country,” Mr. Diokno said at the virtual launch of the QR PH P2M use case on Tuesday.

This will also benefit micro-, small-, and medium-sized enterprises, which make up over 98% of the country’s businesses, Mr. Diokno said.

“We will not only drive digital payments usage, but we will also empower micro and small businesses to realize greater opportunities for growth which, in turn, could positively impact our country’s overall economic growth,” he said.

Clients of AllBank, Inc. Asia United Bank Corp. (AUB), Cebuana Lhuillier Rural Bank, China Banking Corp. Land Bank of the Philippines, Rizal Commercial Banking Corp. (RCBC), StarPay Corp., UnionBank of the Philippines, Inc. and USSC Money Services, Inc. will be able to use the P2M feature of the QR PH.

They can make payments to participating merchants that have accounts with AllBank, AUB, BDO Unibank, Inc., Cebuana Lhuillier Rural Bank, Metropolitan Bank & Trust Co., PayMaya Philippines, RCBC, StarPay, UnionBank, and USSC Money Services, Inc.

“Indeed, the use of QR codes for payments has been gaining traction as an alternative to the traditional debit and credit card payments, given the ease, convenience and speed of merely scanning the code compared to having to bring a card, tapping, dipping or swiping it, and signing a charge slip in many cases,” Mr. Diokno said.

For merchants, the P2M payment mode can help smaller players as it requires less expensive infrastructure to facilitate digital transactions, with businesses only needing a smartphone and internet to receive payments.

Mr. Diokno said the QR P2M payments will allow merchants, such as department stores, pharmacies, supermarkets, hardware stores, and restaurants, to accept e-payments with ease.

Person-to-person payments under the QR PH was launched in November 2019 and participants have grown to 23 as of August from the six participants at its launch.

Last year, 20% of the volume of monthly transactions were done online, up from 14% in 2019. By value, these payments made up 26.8% of the total from 24%.

The central bank wants 50% of the volume and value of payments done online by 2023. — L.W.T. Noble

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