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NLEX Corp. completes Bulacan bridges rehabilitation

NLEX Corp. announced Friday that all lanes of Bulacan’s Meycauayan and Bigaa bridges are now open, following the completion of the rehabilitation of both bridges.

“Despite some restrictions caused by the ongoing pandemic and the challenges brought by inclement weather conditions and doing works in live traffic, we’re happy to announce that works in Meycauayan and Bigaa bridges are now completed ahead of schedule to provide motorists with safer and smoother travel,” J. Luigi L. Bautista, president and general manager of NLEX Corp., said in an e-mailed statement.

The tollways company said that it replaced the girders and slabs of the 1960s’-built 45-meter Meycauayan and 64-meter Bigaa bridges to improve their serviceability.

The rehabilitated bridges are seen to enhance the safety and mobility of motorists.

The rehabilitation of the Meycauayan bridge was expected to be completed this month, while the completion of the rehabilitation of the other bridge was expected in August.

NLEX Corp. operates two major expressways that link Metro Manila to North and Central Luzon: North Luzon Expressway and Subic–Clark–Tarlac Expressway.

NLEX Corp. is part of Metro Pacific Tollways Corp., the tollway unit of Metro Pacific Investments Corp. (MPIC). MPIC is one of three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Arjay L. Balinbin

Bank NPL ratio at 4.51% in July, highest since 2008

Non-performing loans (NPLs) held by banks surged 66% year-on-year in July to P487 billion, to bring the NPL ratio to 4.51%, their highest level since the 2008 global financial crisis. 

The Bangko Sentral ng Pilipinas (BSP) said Friday that the July gross NPL total was slightly higher than the June total of P483 billion, when the NPL ratio was 4.48%. 

NPLs were at 4.52% in September 2008.  

“The spike in bad loans is driven by the persistent uncertainties in the economy due to the pandemic,” Asian Institute of Management economist John Paulo R. Rivera said in a Viber message Friday. 

“The emergence of more (coronavirus) variants, slow vaccination in parts of the country, and ambiguity in policy to contain and manage the pandemic” are impairing incomes and job security, which are necessary conditions for NPLs to stabilize, Mr. Rivera added. 

The BSP said the industry’s total loan portfolio fell 0.42% year-on-year to P10.804 trillion, but expanded month-on-month from P10.776 trillion in June. 

Past-due loans rose to P573.79 billion in July from P576.17 billion a year earlier. This category accounted for 5.31% of the industry’s loan portfolio, unchanged from the year-earlier rate. 

Restructured loans in June rose 563% year-on-year to P330.16 billion, accounting for 3.06% of the overall portfolio, up from 0.46% a year earlier. 

Loan loss reserves rose 24.7% year-on-year to P401.5 billion in July, equivalent to 3.72% of the loan portfolio, up from 2.97% previously. 

The NPL coverage ratio — the degree to which provisions can cover bad loans – fell to 82.44% in July from 110.01% a year earlier. 

Central bank officials have estimated that NPLs may hit “a little over 5%” by year’s end. 

“If the situation does not improve and if income generating is still constrained, bad loans may continue to increase and banks may reduce their lending to avoid bad debts,” Mr. Rivera said. 

ING Bank N.V. Manila Senior Economist Nicholas Antonio T. Mapa also expects bad loan ratio to peak at 5% before the end of 2021 amid rising pressure on banks’ balance sheets. 

“We continue to expect NPL ratios to worsen in the near term as the Philippines remains in economic recession. With incomes challenged, the labor market hard-hit by widespread closures and inflation rising we can expect both firms and households to face obstacles to making payments on time,” Mr. Mapa said in an e-mail Friday. 

He also warned that a prolonged downturn could further dampen the ability of borrowers to make payments and erode banks’ balance sheets further. 

“Should this happen, then what started out as a health crisis, spilled over into an economic crisis will also devolve into a banking crisis. This of course is a situation we all hope to avoid,” Mr. Mapa said. – Beatrice M. Laforga 

SSS plans relief for salary, housing loan borrowers this year

The Social Security System (SSS) is planning to offer relief to borrowers with past-due payments on their salary or housing loans this year in response to the prolonged economic downturn 

In a briefing Friday, Rizaldy T. Capulong, SSS executive vice present, said the pension fund is currently working on five “pandemic relief and restructuring programs,” two of which are for delinquent housing and salary loans. 

Mr. Capulong said borrowers at least six months behind on their payments are eligible to apply for the programs within a three-month window allotted for applications. 

The proposed programs are subject to the approval of the Social Security Commission, headed by Ex-Officio Chairman Carlos G. Dominguez III, the Secretary of Finance. Its Vice Chairman is Aurora C. Ignacio, SSS president and CEO. 

Ms. Ignacio first floated a loan condonation program in June. 

The SSS offered a scheme in 2019 to condone penalties for those who were delinquent on their contributions. 

Relief schemes are authorized by Republic Act (RA) No. 11199 or the Social Security Act of 2018. 

The 2019 program set a target of waiving P13.91 billion in penalties due from 132,000 delinquent employers in an amnesty that hoped to generate a combined P10.66 billion. 

The SSS ended up collecting P7.88 billion from 55,750 employers who availed of the program. 

On the financial standing of SSS, Mr. Capulong said the pension fund collected P159.8 billion in contributions from its members between January and the first week of September, up 17% from a year earlier. 

Disbursement of loans, meanwhile, fell 59% to P16.53 billion during the period due to base effects. In 2020 the SSS launched a COVID-19 calamity loan program, which ended this year. 

The fund’s actuarial life has been a continuing concernat some point in time, the fund is expected to be depleted. However, in the short term, while we are experiencing fewer contributions than expected, there is no risk that any benefits will not be given. I’d like to reassure our members that their benefits will continue to be paid,” SSS Senior Vice President and Chief Actuary Edgar B. Cruz said. 

The SSS will also seek to make foreign investments as authorized by RA 11199, after the pandemic disrupted its plan to invest overseas, Mr. Capulong said. 

He said the law allows SSS to invest a portion of its reserves in foreign currency-denominated instruments that are at least investmentgrade, starting with a 1% share of the portfolio in 2019, and an additional 1% every year, up to a cap of 15%. 

“Right now, we are trying to study the environment, we are definitely looking at global bonds and global equities and talking to foreign fund managers,” he said. 

The SSS prepared a five-year plan to invest in overseas securities from 2019 but was forced to defer this to prioritize benefits and pension loans. 

We are actually seeing lower loan disbursements this year than last year, so that will help free up more funds to start investing abroad by next year,” he said. 

“Incidentally, this is also connected to another provision of RA 11199, which made the coverage of OFWs (overseas Filipino workers) mandatory, so as we are able to accumulate foreign currency from contributions of OFWs, we will also have to be ready to invest abroad,” he added. – Beatrice M. Laforga 

Zero demand for rediscount facility in August

BW FILE PHOTO

The central bank said banks did not avail of its rediscount facility in August as credit demand remained weak. 

The Bangko Sentral ng Pilipinas (BSP) said in a statement Friday that in the eight months to August, overall use of the facility amounted to P5.52 million, with loan activity taking place only in June and July. 

It said there were also no loan availments under the Exporters’ Dollar and Yen Rediscount Facility (EDYRF) in the eight months. 

Through the rediscount window, the central bank allows banks tap additional funds in exchange for security such as receivables. 

Banks may then use the pesos, dollars, or yen from the facility to release more loans to their corporate or retail clients and service unexpected withdrawals. 

It is less compelling for banks to tap the  rediscount facility due to muted demand for loans, and with the financial system still awash with cash, Rizal Commercial Banking Corp. (RCBC) Chief Economist Michael L. Ricafort said. 

“Various regulatory relief measures mean that banks effectively increased their loanable funds the liquidity infusion measures, with the objective of encouraging banks to increase their lending activities since the pandemic, also reduced the need for banks to tap the BSP rediscounting facilities,” he added. 

The BSP estimates that bank lending slipped for an eighth consecutive month in July, down 0.7% from a year earlier to P9.137 trillion. 

Lending continued to decline despite the 5.9% increase in the money supply in June, with banks remaining risk-averse during the prolonged economic downturn. 

Last year, the banks only tapped the rediscount window in March, April, August and September, availing of P26.9 billion, down 77.7% from a year earlier. 

Meanwhile, the EDYRF was not tapped last year. – Beatrice M. Laforga 

Peso strengthens on strong foreign investment data

BW FILE PHOTO

The peso closed stronger Friday in response to positive foreign investment data released by the central bank. 

 

The peso closed at P49.865 against its Thursday ending level of P49.92, the Bankers Association of the Philippines (BAP) said. 

The peso opened the session at P49.94, with a high of P49.83 and a low of P49.96. 

Dollar trading volume was $774.19 million, down from $1.164 billion Thursday. 

The peso was weaker compared to its week-earlier close of P49.84 on Sept. 3. 

The market was reacting to a central bank report on foreign direct investment (FDI), Rizal Commercial Banking Corp. (RCBC) Chief Economist Michael L. Ricafort said. 

FDI net inflows rose 60.4% year-on-year in June to $833 million, according to preliminary data from the Bangko Sentral ng Pilipinas (BSP). 

The June total nearly doubled the $433 million result from May. That month, FDI had fallen 25% year-on-year. 

First-half FDI net inflows rose 40.7% year on year to $4.298 billion. 

Mr. Ricafort added that the government’s announcement of a new “granular lockdown policy starting Sept. 16 also helped support the peso. 

The government’s pandemic task force said the new guidelines on lockdowns have been “provisionally approved” for pilot implementation in Metro Manila between Sept. 16 and 30. 

The new scheme will only have two community quarantine classifications with an “alert level” system to be determine by the health department every week. It will also implement barangay-level lockdowns in areas with high casec count. 

A trader said the peso appreciated in  anticipation of a weak US producer price report for August. – Beatrice M. Laforga 

Las Piñas achieves 100% COVID-19 vaccination rare – Rep. Vilar

The local government of Las Piñas has completed administering the first dose of vaccines to over 425,000 individuals as of Friday, September 3.

Deputy Speaker and Las Piñas Rep. Camille Villar announced the total number of persons who have had their first dose exceeds the local government’s target population.

“We are happy to have achieved this milestone in our vaccination drive as we work together toward achieving herd immunity,” said Villar.

Villar added an intensive vaccine drive is ongoing to encourage more to get covered in the face of a more transmissible Delta variant.

Las Piñas has administered more than 637,359 jabs to date. They aim to administer more than 800,000 jabs and fully vaccinate the target population by the end of September.

Meanwhile, 10 residents won grocery items worth P5,000 each during the second monthly raffle of “May BahaysaBakuna,” an incentive program initiated by Villar that seeks to reward residents who get vaccinated. A house and lot from Bria Homes and 2 motorcycles will be awarded to lucky winners later this year.

Two winners were also given e-learning tablets with a prepaid load.

“It is very important for as many Filipinos to get fully vaccinated as it not only protects themselves, their families but will also help the recovery of our economy” – Rep. Villar said.


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PH shares climb as gov’t sets new quarantine scheme

COURTESY OF PHILIPPINE STOCK EXCHANGE, INC.

LOCAL shares closed higher on Friday as investor optimism was spurred by the recent government announcement of a new quarantine scheme.

The benchmark Philippine Stock Exchange index (PSEi) rose 46.49 points or 0.67% to finish at 6,970.51 while the broader all shares index increased 22 points or 0.51% to close at 4,302.79.

Japhet Louis O. Tantiangco, Philstocks Financial, Inc. senior research analyst, said the local bourse closed in positive territory on Friday as a result of investors hoping for the implementation of more relaxed lockdown protocols.

“Today’s rise is seen to reflect investors’ hopes that the guidelines of the more relaxed social restrictions with granular lockdowns for the National Capital Region (NCR) will be settled and implemented soon,” Mr. Tantiangco said in a mobile phone message.

Presidential Spokesman Herminio L. Roque, Jr. said in a press briefing on Friday that the Inter-Agency Task Force for the Management of Emerging Infectious Diseases (IATF-EID) has “provisionally approved” the guidelines on a new alert level system that will be implemented in NCR from Sept. 16 to 30.

Mr. Roque said the IATF decided that there will now be only two quarantine levels for NCR, namely: enhanced community quarantine (ECQ) and general community quarantine (GCQ).

He added that GCQ restrictions under the new quarantine scheme will have alert levels, with alert level 4 being the highest, adding that granular lockdowns will be stricter than before.

AAA Southeast Equities, Inc. Research Head Christopher John Mangun said in an e-mail that the local bourse closed in positive territory as investors and fund managers continue to hold on to their positions amid several risk factors.

“The market is reflecting the current economic and social condition. The PSEi is just a few points away from the 7,000 key-level, which is its inflection point. The

market’s movement in the coming days will determine its trajectory in the medium to long term. This is also the case for the economy and the handling of the pandemic response,” Mr. Mangun said.

“We are at a ‘make-or-break’ moment in terms of the economic recovery and the health crisis management,” he added.

On Friday, financials was the lone sectoral index that ended in negative territory, down 1.95 points or 0.13% to end at 1,447.66.

In contrast, mining and oil gained 166.15 points or 1.72% to 9,805.94; services improved 29.66 points or 1.65% to 1,819.86; holding firms inched up 58.47 points or 0.83% to 7,040.06; industrials climbed 69.31 points or 0.68% to 10,223.31; and property went up 5.06 points or 0.16% to 3,107.99.

Value turnover on Friday reached P4.88 billion with 864.83 million issues switching hands, an increase compared with the P4.39 billion with 920.41 million shares traded the prior day.

Net foreign selling amounted to P53.32 million, down from the P271.16 million net foreign selling logged on Thursday.

Advancers bested decliners, 100 versus 90, while 54 names ended unchanged.

“Stock valuations may continue higher if the PSEi successfully breaks above the 7,000 key-resistance level in the coming sessions. Nonetheless, we advise investors to lighten positions as individual issues approach their respective resistance levels,” AAA Southeast Equities’ Mr. Mangun said. — Revin Mikhael D. Ochave

Facing stalemate in ties, Biden and China’s Xi discuss avoiding conflict in call

REUTERS

WASHINGTON/BEIJING — US President Joseph R. Biden, Jr., and Chinese leader Xi Jinping spoke for 90 minutes on Thursday, in their first talks in seven months, discussing the need to ensure that competition between the world’s two largest economies does not veer into conflict.  

The US side said the “proof will be in the pudding” as to whether the stalemate can be broken with ties between the superpowers languishing at their lowest point in decades.  

In a statement, the White House said Mr. Biden and Mr. Xi had “a broad, strategic discussion,” including areas where interests and values converge and diverge. The conversation focused on economic issues, climate change and coronavirus disease 2019 (COVID-19), a senior US official told reporters.  

“President Biden underscored the United States’ enduring interest in peace, stability, and prosperity in the Indo-Pacific and the world and the two leaders discussed the responsibility of both nations to ensure competition does not veer into conflict,” the White House added.  

Occasional high-level meetings since Mr. Xi and Mr. Biden’s first call in February have yielded scant progress on issues ranging from human rights to transparency over the origins of COVID-19.  

In the months since, the two sides have lashed out at each other almost constantly, often with vitriolic public attacks, sanctions on officials and criticism over not upholding international obligations.  

Chinese state media said Mr. Xi had told Mr. Biden that US policy on China imposed “serious difficulties” on relations, but added that both sides agreed to maintain frequent contact and ask working-level teams to step up communications.  

“China and the United States should … show strategic courage and insight, and political boldness, and push Sino-US relations back to the right track of stable development as soon as possible,” state media said, citing Mr. Xi.  

Asian currencies and share markets strengthened, as investors speculated that the call could bring a thaw in ties between the two most important trading partners of regional economies.  

Mr. Xi said that if “core concerns” on both sides were respected, diplomatic breakthroughs could still be made in the area of climate change, adding that the issue could add “positive factors” to the relationship.  

During a visit to China by Mr. Biden’s top climate envoy John Kerry last week, senior diplomat Wang Yi said climate change was an “oasis” in China-US relations but it could not be separated from broader disputes.  

‘PROOF WILL BE IN THE PUDDING’  

The Biden administration, preoccupied by a chaotic US withdrawal from Afghanistan, has signaled that ending America’s longest war will give US political and military leaders the space to tackle more pressing threats from China’s rapid rise.  

But Beijing has been quick to seize on the US failure in Afghanistan to try to portray the United States as a fickle partner.  

Last month, China’s Foreign Minister Wang Yi said Washington should not expect China’s cooperation on that or other issues if it was also trying to “contain and suppress” China.  

The senior US administration official told reporters before the call that Washington had been disappointed that Chinese officials appeared only willing to read talking points during recent high-level talks.  

The official added that the US side saw the leaders’ call as a test of whether direct engagement with Mr. Xi could end what had become a stalemate in ties.  

“This is about seeing if there is an ability to engage more substantively than we’ve been able to … the proof will be in the pudding,” the official said after the call, describing the tone as candid, but respectful.  

But the official also acknowledged that the United States’ ability to change China’s behavior may be limited, and that Washington must largely focus on shoring up competitiveness and rallying partners and allies.  

Successive US administrations have complained that Beijing has sought to use endless dialogue as a delaying tactic, frustration with which ultimately led Washington to end an annual US-China dialogue mechanism.  

Even so, the official said Mr. Biden had not planned to raise the prospect of US retaliatory action or “costs” if China refused to co-operate on a range of issues, including investigations into the origin of COVID-19.  

Beijing denies the US accusation that it has not cooperated with the pandemic source investigation.  

The US official said it would require a “training period” for the Biden administration to convince Chinese leaders, who are preparing for an important Communist Party congress next year, that Beijing’s stance would not pay dividends.  

“We also think that essentially Beijing’s actions are quieter than their words,” the official said. “Their responses to our actions have actually been largely symbolic and frankly their hard line rhetoric isn’t really working.” — Michael Martina, David Brunnstrom and Gabriel Crossley/Reuters  

Afghanistan commercial flights resume as UN accuses Taliban of harassment

The first international commercial flight under Afghanistan’s new Taliban interim government departed Kabul on Thursday carrying more than 100 foreigners, including some US citizens left behind after last month’s chaotic Western airlift.  

The flight marked an important step in the Taliban’s efforts to create a functioning state after they seized power last month, although there were growing reports of violence against women, foreigners and journalists at the hands of the Islamists.  

UN Special Envoy on Afghanistan Deborah Lyons told the Security Council that nongovernmental organizations supporting women were being targeted, women’s freedoms had been restricted and the United Nations’ Afghan staff were being harassed and intimidated.  

“The UN cannot conduct its work — work that is so essential to the Afghan people — if its personnel are subjected to intimidation, fear for their lives, and cannot move freely,” Ms. Lyons told the Security Council.  

An internal UN security document seen by Reuters on Aug. 25 described dozens of incidents including veiled threats, the looting of UN offices and physical abuse of staff since Aug. 10, five days before the Taliban swept to power.  

Senior US diplomat Jeffrey DeLaurentis told the Security Council the United States was “outraged at reports that members of the Taliban have engaged in reprisals against UN staff throughout the country. This is simply unacceptable.”  

The harassment of UN staff came as the country was in danger of “a total breakdown of the economy and social order” without an infusion of money, Ms. Lyons said.  

She also said there were rising reports of the Taliban imposing curbs on women similar to those when they ruled from 1996 to 2001, despite a promise by leaders to respect women’s rights in accordance with sharia, or Islamic law.  

About 113 people were aboard the flight from Kabul to Doha operated by state-owned Qatar Airways, officials said. The passengers included US, Canadian, Ukrainian, German, and British citizens, a source with knowledge of the matter said.  

Ten US citizens and 11 permanent residents were on the flight, US State Department spokesperson Ned Price said on Twitter, out of “the 39 we invited.”  

Qatar and Turkey have helped the Taliban reopen the airport and a source said the passengers were transported in a Qatari convoy after safe passage was agreed with the Taliban. In Doha, they will initially stay in a compound hosting Afghan and other evacuees.  

International flights have flown in and out with officials, technicians and aid in recent days, but this was the first such civilian flight since the hectic evacuation of 124,000 foreigners and at-risk Afghans that followed the collapse of the US-backed government.  

“Hopefully, life is becoming normal in Afghanistan,” Qatari special envoy Mutlaq bin Majed al-Qahtani said from the tarmac, quoted by Al Jazeera 

There would also be a flight on Friday, he said.  

‘SEVERE DOWNTURN’  

The departure of foreigners from Kabul airport will mean little to Afghans still barred from leaving the country and fearful for the future under the Taliban’s radical interpretation of Islamic law.  

The previous Taliban government was ousted by a US-led invasion following the Sept. 11, 2001, attacks on the United States masterminded by al Qaeda leaders based in Afghanistan.  

The Taliban’s all-male interim government announced this week includes hardline members of that administration as well as militants wanted in the United States on terrorism charges, raising doubts it will receive recognition by the West.  

The United States and its allies view Afghan assets overseas as a key lever to pressure the Taliban. US President Joseph R. Biden, Jr.’s administration has no plans to release billions in Afghan gold, investments and foreign currency reserves that it has frozen.  

The United Nations warned that the freezing overseas of some $10 billion in Afghan assets — to keep it out of Taliban hands — would cause “a severe economic downturn” and could push millions more Afghans into poverty and hunger.  

“The economy must be allowed to breathe for a few more months, giving the Taliban a chance to demonstrate flexibility and a genuine will to do things differently this time, notably from a human rights, gender and counterterrorism perspective,” Ms. Lyons told the Security Council.  

A newspaper editor said two of his journalists were beaten in police custody this week after covering the women’s protest in Kabul where they were detained by the Taliban.  

Zaki Daryabi, founder and editor-in-chief of the Etilaat Roz newspaper, shared images on social media of two male reporters, one with large, red welts across his lower back and legs and the other with similar marks on his shoulder and arm.  

Both men’s faces were also bruised and cut in the pictures, which were verified by Reuters. — Reuters 

Attacking anti-vaccine movement, Biden mandates widespread COVID shots, tests

Image via US Secretary of Defense/CC BY 2.0/Wikimedia Commons

WASHINGTON — President Joseph R. Biden, Jr., took aim on Thursday at vaccine resistance in America, announcing policies requiring most federal employees to get coronavirus disease 2019 (COVID-19) vaccinations and pushing large employers to have their workers inoculated or tested weekly.  

The new measures, which Mr. Biden laid out in remarks from the White House, would apply to about two-thirds of all US employees, those who work for businesses with more than 100 workers.  

“We’ve been patient,” Mr. Biden told the tens of millions of Americans who have declined to get coronavirus shots. “But our patience is wearing thin, and your refusal has cost all of us.”  

Taken together, the policies and speech represented Mr. Biden’s most aggressive steps yet to prod Americans resistant to getting shots as the fast-spreading Delta variant sparks a new wave of sickness and death.  

The surge has posed increased risk not just to the country but to a president who ran on promises to get control of the pandemic. Mr. Biden’s approval ratings have sagged since he said in July the United States was “closer than ever to declaring our independence from a deadly virus.”  

Mr. Biden’s latest moves are expected to be the subject of political and legal challenges.  

Despite a full-throttled campaign by the Biden administration urging Americans to get the free and widely available vaccines, just over 62% of eligible Americans are fully vaccinated, according to the US Centers for Disease Control and Prevention.  

On Thursday, Mr. Biden warned that “we’re in a tough stretch and it could last for a while.”  

Infectious disease and health policy experts said the mandates are unlikely to significantly change infection rates quickly.  

Still, they would help against potential future waves of the virus, reducing deaths and hospitalizations and alleviating the stress on the healthcare system, said Georgetown University’s Dr. Jesse Goodman, a former chief scientist at the US Food and Drug Administration.  

“It’s absolutely the right thing to do,” he said. “Ideally everyone would have been vaccinated already.”  

‘FEAR, CONTROL AND MANDATES’  

In a televised speech running a bit under half an hour, the Democratic president accused “a distinct minority of elected officials” who have resisted mask and vaccine mandates on freedom-of-choice and economic grounds as “making people sick.”  

The White House COVID-19 recovery plan was based on the vast majority of eligible Americans being vaccinated this year. But the public health issue has become politicized, with a vocal minority refusing the shots and mask mandates.  

Florida Republican Governor Ron DeSantis issued an executive order in July blocking mask mandates in schools.  

Administration medical officials have said over 97% of people hospitalized with COVID-19 are not vaccinated, and those people account for an even higher share of deaths.  

Cathy McMorris Rodgers, the senior Republican on the House of Representatives committee that oversees health policy, said Biden “is using fear, control, and mandates.”  

The Republican National Committee said it intends to sue the Biden administration over the vaccine mandate.  

Under Mr. Biden’s plan, the administration will also require vaccinations for more than 17 million healthcare workers at hospitals and other institutions that participate in Medicare and Medicaid social programs for poor, disabled and older Americans.  

Mr. Biden previously required that federal employees be vaccinated or get tested. Federal workers now have 75 days to get vaccinated, or face termination unless they fall into limited exemption categories.  

Federal workers unions suggested on Thursday they would accept the vaccine mandate.  

SUBSTANTIAL FINES  

The US Labor Department’s Occupational Safety and Health Administration (OSHA) plans to take enforcement actions against private companies that do not comply with the vaccine mandate, with substantial fines of nearly $14,000 per violation.  

The administration is also calling on entertainment venues to require tests or shots and for states to adopt mandates for school employees. It is also multiplying the fines charged to people who fail to wear masks on airplanes, trains and buses.  

It plans as well to ramp up testing capacity for the virus.  

Mr. Biden will use authority under the Defense Production Act to spur industry to accelerate production of the tests, and big retailers including Walmart Inc., Amazon.com Inc., and Kroger Co. are expected to sell the tests at cost for the next three months to make them more affordable.  

Critics have said the Biden administration has not done enough on testing during its seven months in office. Still, the new demand for tests could tax already strained suppliers.  

Administration officials believe the full recovery of the U.S economy depends on blunting the spread of the virus, the key focus of the president since entering office in January.  

The disease has killed more than 654,000 people in the United States, and deaths and hospitalizations have been rising sharply as the easily transmissible Delta variant of the virus spreads.  

The spread of the Delta variant has raised concerns as children head back to school, while also rattling investors, upending company return-to-office plans and tamping down hiring.  

The White House also plans to offer booster shots providing additional protection to those who are fully vaccinated. But supplies are limited and the World Health Organization has begged rich countries to pause booster programs until more people worldwide are inoculated.  

But with Delta causing more symptomatic breakthrough infections among fully inoculated individuals, most vaccinated Americans want a booster, a recent Reuters/Ipsos opinion poll found. Boosters could begin the week of Sept. 20.  

“Get vaccinated,” Mr. Biden urged in closing his speech. — Jeff Mason, Ahmed Aboulenein, and Trevor Hunnicutt/Reuters  

 

‘Impossible is nothing’: Fil-Canadian teen Fernandez uses doubters as motivation to reach US Open final

FIL-CANADIAN Leylah Fernandez — REUTERS

NEW YORK — Leylah Fernandez may not feel the weight of expectation as she heads into the US Open final but the Canadian teenager will have a chip on her shoulder put there by those who doubted her. 

Dropped from Tennis Quebec’s development program when she was seven-years-old and told by teachers to forget becoming a professional and focus on school, Fernandez will have the last laugh on Saturday when faces fellow teen Emma Raducanu for a first Grand Slam title and a winner’s purse of $2.5 million. 

 “A lot of people doubted me, my family and my dreams,” said Fernandez after knocking out second seed Aryna Sabalenka 76(3) 46 64. 

“They kept saying ‘No’, that I’m not going to be a professional tennis player, that I should stop and just pursue going to school. 

“I remember one teacher, which was actually very funny  at the time it wasn’t, but now I’m laughing. 

“She told me to stop playing tennis, you will never make it, and just focus on school.” 

Fernandez says she carries that rejection with her into every match and uses it as motivation, along with the other challenges her family faced along the road to helping her realize her dream. 

Her father Jorge, an Ecuador-born soccer player who knew little about tennis, stepped in and became her coach, instilling in her an unshakable self-belief. 

Ranked number 73 in the world at the start of the US Open, most would have seen her bid to reach a Grand Slam final as Mission Impossible, but not Fernandez. 

“My dad would tell me all the time, there’s no limit to my potential to what I can do,” said Fernandez, who celebrated her 19th birthday on Monday. “Every day we just got to keep working hard, we got to keep going for it. 

“Nothing is impossible. There’s no limit to what I can do.” 

The difficult times and determination to overcome are reflected in the fearless Canadian’s relentless attacking play. 

Fernandez has also drawn strength and resolve from her mother and sister, who have been cheering her on from courtside seats while her father offered advice and inspiration from home. 

“My mom had to go to California for a few years to support my family and I in the tennis world,” said Fernandez. 

“That few years were definitely hard for me because I needed a mom, I needed someone to be there for me through the age of 10-to-13. 

“I’d barely see her at that time. 

“Every time I saw her, it was like seeing a stranger but at the same time someone so familiar. 

“I was just very lucky to have my mom here at this tournament cheering for me and having fun with me all this time. 

“But we’ve gone through so many things together as a family.” — Steve Keating/Reuters 

Moderna working on combination COVID-19 vaccine booster and flu shot

Moderna Inc. said on Thursday it is developing a single vaccine that combines a booster dose against coronavirus disease 2019 (COVID-19) with its experimental flu shot.  

The company hopes to eventually add vaccines it is working on for respiratory syncytial virus (RSV) and other respiratory diseases as an annual shot.  

“We believe this is a very large opportunity that is ahead of us, if we could bring to market a high efficacy pan-respiratory annual booster,” Moderna Chief Executive Officer Stéphane Bancel said during a presentation to update investors on its drugs in development.  

“We believe Moderna could be first to market in this important new opportunity,” he said.  

The company is conducting clinical trials for an RSV vaccine in older adults.  

Moderna and Pfizer Inc. and German vaccine partner BioNTech SE are already expected to reap billions of dollars from COVID-19 booster shots, analysts and healthcare investors said. Adding influenza and other diseases could further boost those profits.  

Moderna shares were up 6.2% on Thursday.  

The drugmaker already had several influenza vaccine candidates in development. The new vaccine combines the experimental flu shot that is furthest along with its COVID-19 vaccine.  

Oppenheimer & Co. analyst Hartaj Singh said the news that clinical testing of combination vaccines was likely to begin over the next 612 months was a positive surprise for investors.  

“The question becomes that after the pandemic is over, how much do total vaccine sales become and how much can Moderna expand that market,” Mr. Singh said.  

Novavax Inc., which does not yet have US authorization for its COVID-19 vaccine, said on Wednesday it has initiated an early-stage study to test its combined flu and COVID-19 shots.  

Moderna also provided updates on its ongoing mid-stage trial testing its authorized COVID-19 vaccine in children aged 6 months to 11 years old. It is testing a 50-microgram dose of the shot in the pediatric trial involving 4,000 children.  

Moderna’s vaccine, which received an emergency use authorization for two 100-microgram doses for people aged 18 and older in the United States in December, is currently under an FDA review for use in adolescents.  

Moderna said dose selection studies for different age groups such as 2 years to less than 6 years, and 6 months to below 2 years old, were still underway.  

The Pfizer/BioNTech vaccine was authorized for those aged 12 to 15 earlier this year. — Michael Erman and Manojna Maddipatla/Reuters