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Philippine stocks slip on weak growth prospects

BW FILE PHOTO

PHILIPPINE STOCKS dropped anew on Wednesday due to profit taking and expectations that economic growth this year would miss the government’s target amid lingering global uncertainties.

The bellwether Philippine Stock Exchange index (PSEi) declined by 0.53% or 34.30 points to close at 6,378.56, while the broader all shares index retreated by 0.06% or 2.37 points to 3,768.58.

“The PSEi corrected slightly lower after the latest Organisation for Economic Co-operation and Development (OECD) report lowered estimates for Philippine and global economic growth,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

The OECD said in its Economic Outlook report released on Wednesday that Philippine gross domestic product could expand by 5.6% this year, slower than 5.7% last year. This is well below the government’s 6-8% growth target.

Global economic growth is seen slowing more than expected only a few months ago as the fallout from the Trump administration’s trade war takes a bigger toll on the US economy, the OECD said, Reuters reported.

The global economy is on course to slow from 3.3% last year to 2.9% in 2025 and 2026, the OECD said, trimming its estimates from March for growth of 3.1% this year and 3% next year.

“The local market dropped as investors booked gains following two straight days of rising. Investors also digested the rise in the National Government’s outstanding debt to a new record of P16.75 trillion,” Philstocks Financial Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.

“Philippine investors sold ahead of the May consumer price index (CPI), which is slated for release tomorrow (Thursday), as many are awaiting the final print before making any decisions,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan added in a Viber message.

A BusinessWorld poll of 17 analysts yielded a median estimate of 1.3% for the May CPI, slower than the 1.4% in April and 3.9% in the same month a year ago. This is within the central bank’s 0.9%-1.7% forecast for the month.

This would be the lowest clip in more than five years or since the 1.2% in November 2019.

Majority of sectoral indices closed lower on Wednesday. Mining and oil decreased by 0.99% or 98.77 points to 9,870.82; financials fell by 0.93% or 22.30 points to 2,376.27; property sank by 0.78% or 18.01 points to 2,264.31; and industrials went down by 0.54% or 48.80 points to 8,947.96.

Meanwhile, services rose by 0.34% or 7.62 points to 2,190 and holding firms inched up by 0.09% or 5.05 points to 5,416.06.

Value turnover went up to P6.3 billion on Wednesday with 739.87 million shares traded from the P5.99 billion with 739.36 million issues exchanged on Tuesday.

Advancers bested decliners, 115 versus 78, while 45 names were unchanged.

Net foreign selling was at P129.6 million on Wednesday, a turnaround from the P168.63 million in net buying recorded on Tuesday. — Revin Mikhael D. Ochave with Reuters

Peso down amid tariff jitters

BW FILE PHOTO

THE PESO dropped further against the dollar on Wednesday as higher US tariffs on metals took effect.

The local unit closed at P55.771 per dollar, weakening by five centavos from its P55.721 finish on Tuesday, Bankers Association of the Philippines data showed.

The peso opened the session weaker at P55.80 against the dollar. It dropped to as low as P55.895, while its intraday best was at P55.735 versus the greenback.

Dollars exchanged fell to $1.36 billion on Wednesday from $1.64 billion on Tuesday.

The peso weakened “on broad dollar strength following the release of higher-than-expected job openings data last night (Tuesday). Trade war caution supported the dollar after US President Donald J. Trump implemented 50% tariffs on steel and aluminum,” a trader said in a phone interview.

The greenback was also supported by higher global crude oil prices, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

For Thursday, the trader expects the peso to move between P55.50 and P55.90 per dollar, while Mr. Ricafort said it could range from P55.65 to P55.85.

The dollar slipped against most major currencies on Wednesday as investors monitored developments in Mr. Trump’s tariff negotiations with key trading partners, especially China, ahead of a batch of economic data, Reuters reported.

The Trump administration has given a deadline of Wednesday for countries to submit their best offers on trade, the same day duties on imported steel and aluminium have doubled.

Mr. Trump is also tipped by the White House to have a call this week with Chinese President Xi Jinping, after the two sides accused each other of violating the terms of an agreement last month to roll back some tariffs.

In the meantime, economic indicators have returned as a driver of the US currency this week, even if trade frictions remain center stage. The dollar fell 0.8% against major peers on Monday following a contraction in manufacturing, only to rebound by almost the same amount the next day after a surprise increase in US job openings.

The dollar was steady against the Japanese yen at 143.95 yen as of 0735 GMT.

The dollar index, which measures the currency against six others, was flat at 99.12, not far from its late April low.

Sentiment overall has been buoyed by data that analysts say is yet to reflect the full damage of trade uncertainty. Traders will keep a close eye on May business activity data out of the UK and the euro zone economies, along with a closely watched ISM services sector report out of the US.

The ADP employment report later in the day could be an indication of the health of the US private sector in the run-up to the crucial monthly payrolls figures on Friday. — A.M.C. Sy with Reuters

PHL buys 12 aircraft worth P39.8B from Korea Aerospace Industries

KOREA Aerospace Industries FA-50 fighter jets — M.KOREAAERO.COM

SOUTH KOREAN defense company Korea Aerospace Industries on Wednesday said it had signed a deal worth 975.3 billion won (P39.8 billion) with the Philippine Defense department to supply 12 aircraft.

The company will export 12 of its FA-50 fighter jets by 2030, as part of the Southeast Asian nation’s push to modernize its military, it said in a statement.

Korea Aerospace signed a similar deal with Manila in 2014 and supplied another batch of 12 FA-50 jets in 2017.

South Korea, which has sold FA-50 fighter jets, corvettes, and frigates to the Philippines, aims to become the world’s fourth-largest arms exporter by 2027.

Also on Wednesday, the Philippine and US marines held drills in Batanes province in the country’s north as part of their Kamandag (poison) 9 annual exercise, the US Marines said in a statement.

Soldiers conducted “simulated marine strikes” on June 1, using the Navy-Marine Expeditionary Ship Interdiction System (NMESIS) in their drills, it said.

“The event was tied to a larger Maritime Key Terrain Security Operation, during which US Marines and Philippine Marines with Marine Battalion Landing Team 10 rehearsed securing and defending key maritime terrain in the advancement of a free and open Indo-Pacific,” it added.

The marines also rehearsed patrolling, seizing and defending strategic airfields, ports and access corridors against ground-based threats.

“US and Philippine Marines provided security, spreading their combined forces across the island’s key maritime terrain,” the US Marines said.

Philippine and US armed forces are holding the Kamandag exercise until June 6. This year’s exercise includes troops from Japan’s Self-Defense Force, South Korea’s Marine Corps and the UK Armed Forces.

During the Kamandag exercise, the Philippines and its foreign partners performed maritime security drills and special operation force exercises near Batanes islands in northern Luzon, facing Bashi Channel, which separates the Philippines and Taiwan.

The multinational joint military drills came after the annual Balikatan (shoulder-to-shoulder) exercise, a three-week war games where about 14,000 troops from the Philippines and US trained in areas near regional flashpoints such as the South China Sea and Taiwan. Troops used advanced US missile systems during the exercise.

Manila has been expanding its security ties with other western countries and regional allies at it seeks to counter Beijing’s sweeping claims in the South China Sea that overlap with the Southeast Asian nation’s exclusive economic zone.

China claims more than 80% of the disputed waterway based on a 1940s map, which a United Nations-backed arbitration court in The Hague voided in 2016 for being illegal.

Marine forces from both nations also initiated a dynamic maritime targeting process using the capabilities of maritime patrol and reconnaissance, and intelligence, surveillance and reconnaissance assets to find, fix and track targets.

“The supporting assets, which were coordinated by cross-functional fires and effects planning cell, formed critical nodes in the kill web required to execute complex maritime strikes on the modern battlefield,” it said.

The US Marines said that US-Philippine forces during the Kamandag exercise “showcased the increased ability of the partnered militaries to coordinate complex, all-domain operations and further demonstrated the ironclad US-Philippine alliance.” — Adrian H. Halili with Reuters

DICT integrating no-contact apprehension program into eGovPH super app

PHILIPPINE STAR/MICHAEL VARCAS

DRIVERS in Metro Manila will soon be able to view and settle their traffic violations on the government’s eGovPH super app, as the Department of Information and Communications Technology (DICT) moves to integrate the Metropolitan Manila Development Authority’s (MMDA) no-contact apprehension program (NCAP) into the system.

They can see their violations including video evidence from the MMDA and settle penalties through the platform, Information and Communications Technology (DICT) Undersecretary David L. Almirol, Jr., told a news briefing at the presidential palace on Wednesday.

“We’ve already met with the MMDA,” he said in Filipino. “Once the integration is completed, motorists will receive notifications through eGovPH.”

“They’ll be able to click on their penalties, watch the video evidence of their violations… and settle everything online from the comfort of their homes,” he added.

The MMDA’s NCAP monitors and penalizes traffic violations using surveillance cameras and other digital monitoring systems to encourage driver discipline, reduce traffic congestion and minimize corruption.

Mr. Almirol noted that under the e-Government Data Exchange Platform (eGovDX), any traffic violations recorded by the MMDA would be seen by the Land Transportation Office (LTO), which issues driver’s licenses and keeps a registry of the country’s vehicles.

The platform is a digital bridge that connects various government systems, making information-sharing and collaboration easier.

The government also uses a so-called single ticketing system to harmonize laws on traffic enforcement and management in Metro Manila.

The system standardizes the fines and penalties for common traffic violations and provides interconnectivity among government agencies involved in transport and traffic management.

Mr. Almirol said eGovDX would streamline processes through a single-entry system, where government agencies could communicate without requiring people to resubmit personal data or share sensitive information unnecessarily.

The MMDA started enforcing the NCAP again last week after the Supreme Court partially lifted its 2022 order that stopped its enforcement.

It covers the Epifanio de los Santos Avenue (EDSA), C5, Buendia, Roxas Boulevard, Marcos Highway, Katipunan, Commonwealth Avenue, Quezon Avenue and West Avenue. — CMAH

PNP chief says order to step up arrests won’t violate human rights

STOCK PHOTO | Image by rawpixel.com from Freepik

THE Philippines’ newly appointed national police chief on Wednesday defended his plan to target criminals through intensified arrests, saying human rights would be respected while restoring peace in communities.

In a press briefing in Malacañang, Philippine National Police (PNP) Chief General Nicolas D. Torre III said his order to step up arrests is not limited to illegal drug offenses but applies to all crimes.

“There’s only one way to remove crime: remove criminals from the community,” he said in Filipino. “Let me be clear: arrest, not kill.”

His remarks come after the Commission on Human Rights (CHR) flagged the potential for abuse when using the number of arrests as performance metrics for the police.

“The CHR maintains that effective policing is best measured not by the volume of arrests, but by the quality of investigations, respect for due process and the consistent upholding of legal and ethical standards,” it said in a statement on Tuesday.

While the top cop denied the existence of formal quotas, he said police performance would be measured by the reduction of threats in communities.

When reminded of criticisms of ex-President Rodrigo R. Duterte’s deadly war on drugs, Mr. Torre said safeguards are in place and violations would not be tolerated.

“We will not condone wanton killings or wanton murders,” he said. “We’ll be asking the CHR, and we will partner, and we will fully cooperate with the CHR.”

The PNP chief said citizens have legal remedies if they feel they have been wrongfully arrested.

He encouraged the public to report abuses to the Ombudsman or local officials and assured them of access to legal counsel through the Public Attorney’s Office.

Mr. Torre said the campaign is rooted in public demand for safer neighborhoods and more responsive law enforcement. — Chloe Mari A. Hufana

PHL, SG eye deeper ties in energy, climate, digital governance and regional stability

PRESIDENT Ferdinand R. Marcos, Jr. welcomed Singapore Prime Minister Lawrence Wong, who is on his first official visit to the Philippines, in an arrival ceremony in Malacañan Palace in Manila on Wednesday. — PPA POOL/NOEL B. PABALATE

PHILIPPINE President Ferdinand R. Marcos, Jr. and the Singaporean Prime Minister Lawrence Wong met in Manila on Wednesday for high-level bilateral talks focused on expanding cooperation in energy, climate resilience, digital governance, and regional stability.

Speaking at Malacañang, Mr. Marcos said the meeting with Mr. Wong underscores the strategic importance of the Philippines-Singapore (SG) relationship, which he described as “thriving” after more than five decades of robust diplomatic and economic engagement.

“I look forward to our discussions on health, humanitarian assistance and disaster relief, renewable energy, the environment, and other people-to-people exchanges,” the Filipino leader said. “These are vital and priority sectors for the development of our countries and for the region.”

Both leaders agreed to begin negotiations on a carbon credits mechanism, building on the Memorandum of Understanding signed in August 2023 and reaffirming their commitments under the Paris Agreement.

The agreement aims to enable commercial participation in carbon credit projects, spurring green investments, technology transfer, and job creation.

“It is hoped that the early completion of the negotiations will result in climate-friendly actions and increased investments in related sectors, thereby creating meaningful and sustainable livelihood and business opportunities for both Filipinos and Singaporeans alike, while producing good sustainability outcomes for our local communities,” he said.

He also urged Singapore to increase investments in the Philippines’ renewable energy sector, and expressed hopes that the two states will conclude their agreement on health cooperation.

The visit marks Mr. Wong’s first foreign trip after his reappointment last month. He will be in the country for two days.

Following the bilateral meeting, Mr. Wong said that Singaporean companies are keen to invest in renewable energy projects in the Philippines, particularly in solar and wind. He said the move is expected to generate economic opportunities for Filipinos while helping the country achieve its clean energy targets.

Both leaders also pledged to accelerate efforts towards realizing the ASEAN Power Grid to improve regional energy resilience and support a green transition.

Singapore also pledged to support the Philippines’ capacity-building efforts, including enhanced cooperation on human resource development and digitalization.

Notably, the National University of Singapore has developed a leadership program to support the Philippine Civil Service Commission’s digital transformation agenda, while organizations like the Masyak Foundation are actively involved in healthcare initiatives in Taguig City.

Moreover, the talks touched on the recent launch of the Digital Leadership Program, a project with the island nation that aims to train thousands of Filipino civil servants in digital competencies.

Mr. Marcos said the program reflected a shared vision to build “future-ready, inclusive, and innovation-driven” public services.

The two leaders reaffirmed their commitment to the Association of Southeast Asian Nations (ASEAN) Community Vision 2045, a long-term blueprint that seeks to transform Southeast Asia into a resilient and people-centered regional bloc.

“The Philippines looks forward to continuing to work alongside Singapore, a trusted neighbor, a dependable friend, and reliable partner,” he said, noting also that the Philippines will continue to advocate for a rules-based international order.

The leaders had met last month in Kuala Lumpur, Malaysia, at the ASEAN Summit, where they exchanged views on strategic developments in the region.

Mr. Wong called the visit “an honor,” underscoring the historic and strategic depth of the Philippines-Singapore partnership.

He noted that Singapore is now one of the largest foreign investors in the Philippines, with business confidence continuing to grow on the back of the country’s economic potential.

“We are keen to discuss how we can grow our collaboration in new and emerging areas, like the green economy and in sustainability,” Mr. Wong added.

He also expressed support for the Philippines’ upcoming 2026 ASEAN Chairmanship, calling it a pivotal opportunity to shape the bloc’s future. — Chloe Mari A. Hufana

Senator wants VP ouster dismissed

VICE-PRESIDENT SARA DUTERTE-CARPIO — HOUSE OF REPRESENTATIVES OF THE PHILIPPINES FACEBOOK PAGE

A RE-ELECTED Philippine senator has drafted a resolution seeking to dismiss an impeachment case against Vice-President (VP) Sara Duterte-Carpio, his office said on Wednesday, which could boost her chances of political survival after an acrimonious fallout with the president.

The lower house in February impeached Ms. Duterte, the daughter of former President Rodrigo R. Duterte, on accusations that included budget anomalies, amassing unusual wealth and an alleged threat to the lives of President Ferdinand R. Marcos, Jr., the first lady, and the House speaker.

Ms. Duterte faces a lifetime ban from office if convicted in a Senate trial. She has repeatedly denied wrongdoing.

According to his office, the resolution was drafted by Senator Ronald M. dela Rosa, a staunch ally of Ms. Duterte and a former police chief under her father’s 2016-2022 presidency. A Senate source, who declined to be identified, confirmed the draft was circulating among senators.

The draft seen by Reuters says the Senate did not act promptly to begin proceedings upon receipt of the impeachment article, so the case was “de facto dismissed” as 100 days had already passed.

It was not immediately clear when the resolution would be filed or how much support it would have.

If it succeeds, it could intensify an escalating battle for power between Mr. Marcos and former ally Ms. Duterte ahead of a 2028 presidential election that she is widely expected to contest, with Mr. Marcos limited to a single term and unable to run again.

At stake is the legacy and future influence of Mr. Marcos, who has waged a decades-long campaign to defend his family’s name from what he says are false historical narratives of plunder and brutality during the 1970s and 1980s rule of his strongman father and namesake.

The effort to dismiss the case comes after a stronger-than-expected showing for allies of Ms. Duterte in last month’s midterm elections, demonstrating her popularity and unswerving influence, despite the row with Mr. Marcos, humiliating legislative inquiries and the arrest and transfer to the International Criminal Court of her father in March.

The Senate’s current session ends next week, which the draft resolution said was insufficient time to act on the impeachment case. A new Senate will convene in late July.

“The matter cannot cross over to the incoming 20th Congress,” the draft said.

President Marcos has called for unity among all political camps and has distanced himself from the impeachment of Ms. Duterte, which was backed overwhelmingly by a lower house controlled by his allies. His office did not immediately respond to a request for comment on Mr. Dela Rosa’s proposed resolution. — Reuters

Makati hits 82% of revenue target

PHILIPPINE STAR/MICHAEL VARCAS

MAKATI CITY hit 82% of its 2025 target after collecting P15 billion in revenues in April, driven by sustained growth in business registrations and aggressive digital tax collection systems, it reported on Wednesday.

As of April, the City’s internally generated revenues stood at P14.24 billion, about 82% of its P19.33 billion target for 2025, according to data from the Office of the City Treasurer.

The figure included P8.73 billion in business taxes and P4.89 billion in real property taxes among other locally sourced income such as fees and charges (P515.28 million) and economic enterprises (P93.72 million).

The collection from external sources, including interest income (P235.91 million), national tax allotment (P397.87 million), and share from economic zone (P129.60 million), brings the City’s total collection to P15 billion.

Makati, home to many of the country’s largest corporations and financial institutions, also saw strong economic performance reflected in its latest business activity.

Nearly 2,000 new businesses registered between January and May, contributing P28.25 billion in fresh capital, while 35,019 firms renewed their permits during the same period. Gross sales from existing businesses reached over P2.07 trillion.

The growth underscored Makati’s efforts to digitize its local government operations, including tax assessment and payment systems, which have led to higher compliance rates and faster processing times, city mayor Mar-len Abigail S. Binay-Campos said in a statement.

“The city continues to enjoy a stable revenue base for the past nine years, owing, in large part, to our willingness to harness technology to make our transactions with the business sector more convenient, efficient, and transparent,” she added.

Meanwhile, the Commission on Audit has awarded the city an unmodified audit opinion — its highest rating — for eight consecutive years.

According to the city, the Department of Finance ranked it first among Philippine cities in both revenue self-sufficiency and per capita spending, based on fiscal data from 2022 and 2023. The city attributed the distinction to its reliance on local sources for its income.

Makati’s economy grew 6.3% in 2023, surpassing the country’s 5.6% gross domestic product growth and outperforming most major urban areas in Asia.

That momentum has allowed the city to fund extensive social welfare and infrastructure projects, contributing to a record-low poverty incidence of just 0.6% last year and an improvement in its Human Development Index to 0.903, among the highest in the country. — Chloe Mari A. Hufana

Rightsizing bicameral report OKd

PHILIPPINE STAR/BOY SANTOS

THE PHILIPPINE Senate and the House of Representatives on Wednesday approved a bicameral conference committee report on a measure that removes obsolete positions and eliminates duplications within the government.

The proposed measure seeks to minimize redundancies within the government and eliminate functions that are duplicated, and simplify rules, regulations, and processes.

During a plenary session, Senate President Francis Joseph G. Escudero said the bill “provides the framework in which the President can ensure that government resources are optimally used.”

He added that the President is designated as the “chief optimizing officer” of the executive branch, that would allow the merging, split, scaling down, and abolish and create agencies when necessary.

The rightsizing act was identified as a priority measure for the 19th Congress by the Legislative-Executive Development Advisory Council. — Adrian H. Halili

Transport chief gets CA nod

VIVENCIO “VINCE” B. DIZON — PHILIPPINE STAR/MIGUEL DE GUZMAN

THE COMMISSION on Appointments (CA) on Wednesday confirmed the appointment of Vivencio “Vince” B. Dizon as the secretary for the Department of Transportation (DoTr).

During his appointment hearing last Tuesday, Mr. Dizon vowed to fast track ongoing transportation projects and make the lives of our commuters “more comfortable and safer.”

The constitutional body had also approved the appointments of Civil Service Commissioner Luis Meinrado C. Pangulayan and Commission on Audit Commissioner Douglas Michael N. Mallillin.

Additionally, the appointments of 86 generals, flag officers, and senior officers of the Armed Forces of the Philippines were also given their approval.

Meanwhile, the CA had suspended the ad interim appointment hearing of Commission on Elections Commissioners Noli R. Piro and Maria Norina S. Tangaro-Casingal until June 10. 

The CA said that this would allow their committee to review the submitted sworn opposition of Duterte Youth Party-list Chairperson Ronald Gian Carlo L. Cardema to the appointments. — Adrian H. Halili

BIR intercepts 18,800 illicit vapes

STOCK PHOTO | Image from Pixabay

ABOUT 18,811 illicit vape products with P36.5 million worth of tax total deficiency were seized in a Bulacan raid, the Bureau of Internal Revenue (BIR) said.

In a statement on Wednesday, the BIR said it raided an “online-enabled” illicit vape disguising as a legitimate business and seized 18,811 vape products and counterfeit tax stamps in Guiguinto on May 30.

The basic excise tax liability from the nabbed products is estimated at ₱3.49 million.

“To put the scale of the haul into perspective — if we’re being conservative — assuming one disposable vape lasts an average user one week, this means that the 18,811 seized units could supply over 4,700 underage users for a month, assuming each one vapes daily,” BIR Commissioner Romeo Lumagui Jr. said.

The BIR said it raided two establishments, a vape lounge operating as a front for underground vape distribution and a makeshift warehouse located in a residential house.

It found 4,789 salt nicotine units and 14,022 conventional vape products, along with fake internal revenue excise stamps and counterfeit disposable vapes. — Aubrey Rose A. Inosante

GSIS to release June pension early

GSIS FACEBOOK PAGE

THE GOVERNMENT Service Insurance System (GSIS) will credit the June 2025 pension earlier on June 6 (Friday) instead of the usual 8th of the month.

“This is part of our commitment to provide continuous ginhawa to our pensioners. Even on a holiday, they can access their pension easily through ATMs,” GSIS President and General Manager Jose Arnulfo A. Veloso said in a statement on Wednesday.

Despite falling on Eid al-Adha, which has been declared a regular nationwide holiday, pensioners can still withdraw their pension through ATMs using their UMID or eCard, the state pension fund said.

GSIS’ net income rose by 21% to P135.7 billion in 2024 driven by higher investment returns and insurance operations. — Aaron Michael C. Sy

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