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SAP names Globe as “The Game Changer”

Globe Telecom bagged the “Most Transformational Award – The Game Changer” during the recently held SAP Best Run Awards 2021 for Southeast Asia as it continues to pursue its purpose-led digital transformation journey.

The Awards recognizes and celebrates leading organizations in the region that have harnessed innovations from across SAP’s ecosystem of products and services, turning insights into action to drive successful transformation for their businesses. SAP is a global market leader in enterprise software applications.

“Globe’s powerful story of transformation, agility and resilience will continue to inspire and influence businesses across Southeast Asia, and we can’t wait to see what other opportunities await you next year. I look forward to building on our partnership, and am confident we can innovate and excel together as a stronger Southeast Asia,” said EdlerPanlilio, Managing Director, SAP Philippines, in his letter to Ernest Cu, Globe President and CEO.

Organizations were assessed on their ability to think out of the box and how technology has been implemented to innovate and disrupt industries to drive greater business outcomes in a distributed and uncertain economic environment.

Globe migrated to SAP as its digital core to address varying systems and technical challenges that caused downtime.  It decommissioned seven legacy systems and implemented various cloud solutions and additional modules to automate manual processes to minimize infrastructure management.

SAP said Globe successfully engineered new ways of staying agile, scalable, and sustainable to achieve stable and reliable systems and uphold business continuity despite the lockdowns.

“Our migration resulted in savings of 14,200 hours and 99.99% uptime. More importantly, it allowed us to not drop the ball on our enterprise-wide financial tracking and allowed full work-from-home when the pandemic surprised the whole world,” said Globe Chief Finance Officer Rizza Maniego-Eala.

The efforts provided Globe with real-time or near real-time visibility of financial reports and important resources such as inventory, assets, and external services necessary for better decision-making. It also resulted in significant person-hour savings, reduction in full-time equivalent in operations support, and better user experience.

Other benefits include instant conversion to purchase order for catalog items, faster processing of long-running programs, and hours saved by streamlining the budget monitoring processes and manual payment classification for accurate cash flow planning.

“SAP has allowed us to enhance employee experience by enabling our employees to have better use of their time brought about by streamlined processes and work efficiencies. This has empowered our employees to be more productive and has given them more flexibility and control over their work,” added Globe Chief Human Resource Officer, Ato Jiao.

Menchit Briones, Financial Control Division Head at Globe said the S/4HANA migration paved the way for the Globe finance transformation journey. “Along with implementing quick wins and standard solutions, the business process reviews helped us identify other opportunities where we can do further automation to achieve touchless finance operations,” she said.

Due to complex business requirements, Globe faced challenges in the availability of accurate and timely data when making critical decisions.  Its operations were also hampered by inefficient and non-value-adding repetitive processing, which caused delays in the execution of important projects.

Other problems include manual processes that led to negative employee experience, business opportunity loss, and other unnecessary expenses.

Globe adapted the SDA (Simple, Digital, Agile) principle for a reduced turnaround time to address the concerns.  This is done through process streamlining and paperless transactions without sacrificing employee experiences.  Globe also enables self-service transactions for procurement, external service acquisition, invoice processing, and employee expense management.

To know more about Globe, visit www.globe.com.ph.

A flash of lightning, a burst of fireworks mark top CCLEX top photo tilt winners

A flash of lightning from the skies and a burst of fireworks fired from the earth marked the two top prize winners in the recently concluded CCLEX Social Media Photo Contest held recently in Cebu City.

The photographic tilt has captured various images of the Cebu-Cordova Link Expressway (CCLEX) toll bridge showing that the piece of transport infrastructure is truly an “engineering marvel,” said a top official of the builder, the Cebu-Cordova Link Expressway Corporation (CCLEC).

Top Winners.  The winning photos were among a total of 297 entries under two categories: the General Entry Category received 108 entries taken from April 15 to 30, while the Switch-On Category received 189 entries taken on April 15 and 16.

The first prize winner was chosen among 108 entries in the contest’s general entry category. The winning photographic shot gives an instant glimpse of the CCLEX lit up by a flash of lightning framing a CCLEX tower! Winning photographer Nestor Vince II A. Nardo said he just “got lucky in capturing in just a split second the lightning that flashed across the sky.”

The first prize winner in the switch on category, which had 189 entries, was  shot just when fireworks shone forth in the otherwise dark sky at just the right time when the CCLEX crosses were simultaneously lit up.  The winning shot was taken by Francis Gonzaga,

Nardo, 35, took the shot under heavy rains, positioning himself at the Plaza Independencia close, and using his Nikon Z6 24-70 mm f/4 lens. He waxed philosophical: “God has given me perfect timing: never too early or never too late. It takes a little patience, a lot of faith, but it’s always worth the wait.”

Gonzaga, 24, entered the winning photo showing two brightly lit bridge segments flanking the three bursts of fireworks in an otherwise pitch-black sky, plus the reflections of bridge and fireworks on the shimmering waters of Mactan Channel. He took the shot from the SM Seaside using his Nikon D750 with a 70200 lens.  Gonzaga later said: “The fireworks looked like they were connecting the two bridges.”

Cebu Cordova Link Expressway Corporation (CCLEC) president Allan Alfon congratulated the winners, and thanked all the 297 photographers who joined the photo competition.

 “We truly appreciate those who took photos of our toll bridge expressway project and posted them on their social media accounts. These photos inspire us as we work on the project, as they ignite the interest of those awaiting the completion of the toll bridge,” said Alfon.

CCLEX is a P30-billion toll bridge that will link mainland Cebu from the South Road Properties in Cebu City to Mactan island through the Municipality of Cordova. CCLEX is a project of the CCLEC, in partnership with the local government units of Cebu City and the Municipality of Cordova.

Set to be a new landmark in the country, the 8.5-kilometer CCLEX will have two lanes in each direction that will provide a safe, quick and scenic passage to an estimated 50,000 vehicles daily, easing the traffic in the existing Marcelo Fernan Bridge and the Mandaue-Mactan Bridge.

CCLEC is a wholly-owned subsidiary of Metro Pacific Tollways Corporation (MPTC), the toll road arm of Metro Pacific Investments Corporation (MPIC), a publicly listed infrastructure holding company and a member of the MVP Group of Companies. ]

MPTC owns or operates major expressways in the Philippines – namely the North Luzon Expressway, the Subic Clark Tarlac Expressway, Cavite Expressway, Cavite Laguna Expressway, and a number of expressways in Indonesia and Vietnam.

The finalists In the general category were  Allan Cuizon’s photo which placed second; and Mark Anthony Cosep entry which placed third.

In the switch on category, leading the finalists was Ariel Lim, followed by other winning shots that have shown very interesting angles. One photo shows a drone image of the tollway bridge, under the warm glow of sunset and beneath a beautiful cloud formation. Another drone shot was taken at night.

Philippines community raffles off bags of rice to boost vaccine drive

PHILIPPINE STAR/ MICHAEL VARCAS

MANILA – A community in the Philippines has been raffling off huge sacks of rice in exchange for getting vaccinated against COVID-19, after finding it hard to persuade people to get their shots.

Twenty weekly winners who get their shots in Sucat on the outskirts of the capital Manila have been taking home a 25 kg (55 pound) sack of rice each.

Local official Jeramel Mendoza said the initiative was targeting mainly poorer residents, who were not so keen on vaccinations.

“Initially, when we conducted our vaccination drive, there were very few people signing up. So we asked ourselves why?” he said.

“Why are those rich people or those who live in exclusive villages able to lead the vaccinations, but our poorer sectors do not to join in or participate?”

Sucat village officials said since starting the initiative at end-May, they have been administering their daily quota of vaccines of up to 2,000 doses, whereas before they were giving only about 400 doses a day.

“It’s a nice initiative and I feel safer after being vaccinated. I’m happy I got vaccinated while winning some rice,” said Almond Gregorio, a firefighter and holder of a winning raffle ticket.

Philippine President Rodrigo Duterte earlier this month appealed to the public to get vaccinated, after data showed the government was far behind on its immunisation targets as it battles one of Asia’s longest-running outbreaks.

This week, Duterte showed less patience, threatening in a televised address on Monday to jail people who refuse to be vaccinated against the coronavirus.

About 2 million of the Philippines’ population of nearly 110 million are fully inoculated against COVID-19 so far, although the country has had difficulties securing vaccine supplies.

A survey of 1,200 Filipinos in May by independent pollster Social Weather Stations showed only a third were willing to be vaccinated, while a third were hesitant over concerns about side effects or the overall efficacy of vaccines.

The Philippines has ordered 113 million vaccination doses from five manufacturers, but so far it has mostly been giving shots of China’s Sinovac vaccine.

In Sucat, housewife and another prize winner, Louilyn Tubice, said of the local initiative: “It’s delightful because you get to be vaccinated and also receive a bag of rice.” — Reuters

Duterte threatens those who refuse the COVID-19 vaccine with jail

MANILA – President Rodrigo Duterte threatened to jail people who refuse to be vaccinated against the coronavirus as the Philippines battles one of Asia’s worst outbreaks, with over 1.3 million cases and more than 23,000 deaths.

“You choose, vaccine or I will have you jailed,” Mr. Duterte said in a televised address on Monday following reports of low turnouts at several vaccination sites in the capital Manila.

Mr. Duterte’s remarks contradict those of his health officials who have said that while people are urged to receive the COVID-19 vaccine, it was voluntary.

“Don’t get me wrong, there is a crisis in this country,” he said. “I’m just exasperated by Filipinos not heeding the government.”

As of June 20, Philippine authorities had fully vaccinated 2.1 million people, making slow progress towards the government’s target to immunise up to 70 million people this year in a country of 110 million.

Mr. Duterte, who has been criticized for his tough approach to containing the virus, also stood by his decision not to let schools reopen.

In the same address, he took a swipe at the International Criminal Court, after an ICC prosecutor had sought permission from the court for a full inquiry into the drug war killings in the Philippines.

Mr. Duterte, who in March 2018 cancelled the Philippines’ membership of the ICC’s founding treaty, repeated he will not cooperate with the probe, describing the ICC as “bullshit”.

“Why would I defend or face an accusation before white people. You must be crazy,” Mr. Duterte said, who after winning the presidency in 2016 unleashed an anti-narcotics campaign that has killed thousands.

Human rights groups say authorities have summarily executed drug suspects, but Mr. Duterte maintained those who were killed violently resisted arrest.

Sought for comment, ICC court spokesperson Fadi El Abdallah said: “The Court is an independent judicial institution, and does not comment on political statements”. — Reuters

Medical Doctors, Inc. announces schedule of stockholders’ meeting

Central bank chief says Fed rate hike not a threat to PHL

REUTERS

By Beatrice M. Laforga and Luz Wendy T. Noble, Reporters

EMERGING ECONOMIES could experience capital flight once the US Federal Reserve lifts interest rates in 2023, according to Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno, who believes this is less of a threat to the Philippines compared with other economies.

“Fed rate hikes by 2023 could mean capital outflows from developed and emerging economies to the (United States). That’s problematic for countries with huge foreign debt and limited foreign exchange reserves,” he said in a Viber message.

Mr. Diokno said emerging countries are not a “homogenous group,” stressing the impact of a monetary policy tightening from the most powerful central bank may mean some developing economies could be badly affected while some will see little damage.

“The Fed rate hikes are seven quarters away. The Philippine government should continue with its game-changing ‘Build, Build, Build’ program and its structural reforms pending in Congress,” Mr. Diokno said.

Central banks slashed interest rates to record lows to keep their economies afloat during the crisis by injecting liquidity in the financial markets and encouraging banks to lend.

The Federal Reserve hinted last week that it may need to raise benchmark interest rates twice in 2023 as the US economy’s recovery picks up pace.

“We have sound fundamentals — hefty GIR (gross international reserves), low debt-to-GDP (gross domestic product) ratio, sound and resilient banking system, and we have adopted structural reforms — that a Fed rate hike in 2023 is less of a threat to the Philippine economy compared to other developing and emerging economies,” Mr. Diokno said.

The Philippines’ foreign exchange buffers stood at $106.978 billion as of end-May, dipping 0.67% from the $107.705 billion as of end-April, based on BSP data. The GIR hit record $110.117 billion as of end-December.

Ample foreign exchange buffers protect the country from market volatility and ensure the country can pay its debts in the event of an economic downturn. At its end-May level, the GIR is enough to cover 12.2 months’ worth of imports of goods and payments of services and primary income.

The country’s debt-to-GDP ratio stood at 60.4% as of end-March from 54.5% as of end-2020, based on data from the Bureau of the Treasury.

Meanwhile, ING Bank N.V. Manila Senior Economist Nicholas Antonio T. Mapa said he expects the BSP to “carefully craft its own exit strategy” to mitigate the adverse impact once it tightens monetary policy.

“As for the Philippines, it’s quite clear that Governor Diokno is attempting to do what’s best for the economy while also monitoring the situation abroad as these developments would likely have a direct impact on the Philippine financial system,” Mr. Mapa said, who is expecting the BSP to keep its policy rate at 2% until June 2022.

“This puts the pressure on the National Government to get the economic ship in order as quickly as possible as the BSP can only keep up the stimulus for so long, as a Fed rate hike will indeed need to be reciprocated by the BSP,” Mr. Mapa said.

ANZ Research analyst Rini Sen said the BSP will remain committed to keep rates unchanged until at least the first quarter of 2022, when the economy will likely be seeing more solid growth.

“We are broadly in consensus with the BSP and see the first rate hike in the Philippines not before the first quarter of 2022. By then growth would have picked up firmly and inflation also materially subsided. Beyond that, we believe the BSP would mirror the rate hike trajectory of the Fed,” Ms. Sen said in an e-mail.

The Monetary Board is scheduled to meet for a policy review on Thursday. A BusinessWorld poll last week showed 14 out of 16 analysts expect the BSP retain the key policy rate at 2%.

Mr. Diokno has said the central bank will retain a supportive policy stance “for as long as necessary, until the economic recovery gets underway,” which he earlier projected to likely happen in the second half of 2022.

NORMALIZATION OF RATES
Bringing the interest rates back to the pre-pandemic levels is normal and may happen soon to prevent investors from bloating their debt, Gil S. Beltran, chief economist at the Department of Finance (DoF), said.

“Normalization of interest rates is necessary to avoid overborrowing and overinvestment in some sectors as the economy moves to a higher growth path after the pandemic,” Mr. Beltran said on Monday via e-mail.

Since interest rates will increase soon, investors can position themselves by investing in sectors that will benefit the most under the new normal when restrictions are lifted and the coronavirus is no longer that much of a threat, DoF’s Mr. Beltran said.

“Investors should look at sectors that make money under the new normal because it’s necessary to normalize (interest rates). The pent-up demand is there, if you open up the floodgates, they will all go to the provinces, beaches and tourist areas. The economy will go back to its usual shape because the demand is still there,” he said.

VOLATILITY
For some analysts, the impending monetary policy tightening by the Fed could cause volatility in the peso’s trading. The local unit has weakened to a P48-per-dollar level after moving around the P47 level in the previous months. It closed at P48.695 on Monday, weaker by 67.5 centavos from its P48.02 per dollar finish on Dec. 29, 2020.

“This can cause exchange market pressure and lead BSP to recalibrate their policy settings ahead of median expectations,” Bank of the Philippine Islands Senior Economist Emilio S. Neri, Jr. said in a Viber message.

Aside from a rate hike, the market is also on the lookout on the timeline for the tapering the Fed’s monthly bond purchases, Mr. Neri added.

In case the BSP will retain its record low policy rate of 2% and not follow the Fed’s tightening, Mr. Neri said bonds and the foreign exchange market “could adjust substantially.”

PHL credit rating unlikely to be hurt by Mandanas ruling

PHILIPPINE STAR/EDD GUMBAN

THE PHILIPPINES’ credit rating is unlikely to be affected by the implementation of a Supreme Court (SC) ruling that expands the local government units’ (LGU) share of the National Government revenue next year, a former Budget chief said.

“The Department of Finance and Department of Budget Management have explained that the additional internal revenue allotment (IRA) grant to local government units will be accompanied by assigning additional responsibilities to LGUs, consistent with the Local Government Code,” Bangko Sentral ng Pilipinas Governor Benjamin E. Diokno said in a Viber message, but clarified that his statement is based on his experience as a former Budget secretary.

“The credit raters will look at the medium- and long-term economic prospects of the country, and its ability to service its debt, based on the country’s fiscal, monetary and structural policies, and its overall strategy moving forward,” he added.

The Supreme Court’s Mandanas ruling is named after Batangas Governor Hermilando I. Mandanas’ successful challenge of the government’s previous position that LGUs were entitled to a smaller share of National Government funds. The government responded to the ruling by devolving more functions to LGUs starting 2022 to compensate for the lost revenue, which will now go towards the LGUs’ IRA.

In June, President Rodrigo R. Duterte signed Executive Order (EO) 138 which transfers a number of basic services to LGUs by 2024. With this, the government is shifting programs and projects, worth an estimated P234.4 billion, to LGUs. 

Credit raters have cited the improvements in the country’s fiscal policies in the past years, which contributed to the improvement in the Philippine sovereign ratings.

S&P Global Ratings in May noted the country saw better quality of expenditure, manageable fiscal deficits, and low levels of general government indebtedness in the past decade. The ratings agency maintained the country’s “BBB+” long-term credit rating with a stable outlook, which means the ratings is likely to be kept for the next 18 to 24 months.

S&P sovereign analyst Andrew Wood said he does not see the implementation of the SC ruling to have a major impact on the general government balance of the Philippines. However, he warned that LGUs may take some time to spend these additional funds as they still need to boost capacity.

“However, it’s likely that local governments will run higher surpluses, against slightly higher National Government shortfalls, for a period of time following the implementation of additional revenue devolution,” Mr. Wood said in an e-mail. 

“This is because the LGUs may take some time to build the additional capacity required to more effectively allocate their new fiscal resources,” he added.

The government expects the fiscal deficit to hit 9.3% of the gross domestic product (GDP) due to pandemic response. This is expected to gradually be lowered to 7.5% and 6.3% of the GDP by 2022 and 2023.

A deficit occurs when a government spends more than the taxes it collects, forcing the state to borrow and increase debt, while a surplus happens when the government is underspending.

World Bank economist Kevin Cruz earlier this month also expressed concern that the implementation of the Mandanas ruling next year “may result to greater underspending, unless the ability of LGUs to effectively spend the additional resources improves.” This could mean “wasted opportunity” while the country is in a crisis, he said.

Meanwhile, International Labor Organization Philippines Country Director Khalid Hassan noted last week that LGUs have different data management systems, so the shift imposed by the EO 138 would require more planning and support.

In January, Fitch Ratings said continued expansion of the government’s revenue base will be a factor that could help the country secure a ratings upgrade.

On the other hand, reversal of reforms that is not in line with a prudent macroeconomic policy framework which could in turn lead to sustained higher fiscal deficits may contribute to a ratings downgrade.

For next year’s proposed P5-trillion national budget, the government is looking to allocate P1.951.3 trillion or 38.8% of the total for automatic appropriations, which includes allocations to LGUs, among others.

For Mr. Diokno, the next administration will have to deal with the implications of the Mandanas ruling.

“They [new administration] should know the new fiscal rules, the emerging national-local fiscal realities and political dynamics. But the [President Rodrigo R.] Duterte administration will reveal the Executive department’s initial response to the Mandanas ruling through its 2022 national budget proposal this coming July,” he said. — Luz Wendy T. Noble with inputs from Beatrice M. Laforga

BoC sets rules for goods cleared via informal entry

COURTESY OF BUREAU OF CUSTOMS

THE BUREAU of Customs (BoC) said imported goods for personal use worth less than P50,000 will be cleared through an informal entry process to separate it from bigger commercial shipments.

Customs Administrative Order (CAO) 02-2021 sets the rules for importations that will undergo an informal entry process. This covers imported goods with “free on board” or “free carrier” value of less than P50,000, and are used for personal consumption only. Shipments with declared value exceeding the amount will have to undergo a formal entry process.

The BoC said the threshold can be raised or lowered by the commissioner and with the approval of the Finance secretary.

“[The CAO was issued] to identify and segregate the importation of personal and household effects and other qualified non-commercial goods, not intended for sale and commerce, from the mainstream of commercial importation of highly dutiable goods intended for commercial purposes,” the order read. A copy of the order was published in a newspaper on Sunday.

The informal entry process also covers conditionally taxed or duty-exempt imports such as those of returning residents and overseas Filipino workers (OFWs), and balikbayan boxes sent by OFWs. Also covered are shipments of personal effects of foreign consultants and experts, foreigners or Filipinos resettling in the Philippines, foreign diplomats and their families, and officers and employees of the Department of Foreign Affairs and other departments assigned abroad. 

Goods declaration will be lodged in the BoC’s electric-to-mobile (e2m) system for the meantime, while the bureau has yet to set up its informal entry system.

The bureau said goods declaration must be lodged within 15 days from its removal from the vessel or aircraft, but the deadline can be extended for another 15 days if the request of the importer is valid.

Grounds for extension include fraud against the owner, importer or consignee; force majeure; technical issues; or if there was an accident, mistake or negligence.

Shipments cleared through the informal entry process will be inspected through an X-ray machine or by a mandatory physical examination if there is no equipment.

Containerized cargo and all goods that will be placed for airport warehouses will also undergo mandatory X-ray inspections, except for the personal baggage of diplomats. — Beatrice M. Laforga

Wilcon Depot set on 100 store count by 2025

WILCON Depot, Inc. is determined to continue opening new stores this year to reach its goal of having 100 stores by 2025.

“We plan to hit 72 stores this year,” Chief Operating Officer Rosemarie Bosch Ong told reporters in a press briefing on Monday. “We plan to open an average of seven to eight stores in the next years.”

Wilcon Depot currently has 66 stores, with another branch set to open this week. The company will be launching new stores in Isabela, Sorsogon, Laguna, Bukidnon, Bohol, and Davao this year.

The company said it secured the sites for its expansions until 2023.

“For after that, we are currently still looking around different locations all over the Philippines, though mostly I think [the] opportunity will mostly be in Luzon as our sales mostly it’s really north and south Luzon that’s growing,” Wilcon Depot President Lorraine Belo-Cincochan said.

Wilcon Depot said it usually chooses big lots for its stores, making space for possible expansion, and that it has to be in an area that is accessible.

“We usually look for an accessible site that is along the highway or the main road and normally, it’s not within the central business district, it’s not within the city center,” Ms. Belo-Cincochan said.

In the January-to-March period, Wilcon Depot posted an 84% net income growth to P604.41 million in the January-to-March period. The company said it hopes to keep this momentum.

Ms. Belo-Cincochan also said that the company is “not that worried” about the entry of furniture and home accessory giant Ikea into the Philippine market later this year.

“That’s only a fraction of what we do, 50% of our business are concentrated on the hard lines,” Ms. Ong added.

It earmarked P3.2 billion for capital expenditures for the year, with P2.9 billion allocated for the construction of new stores, warehouses, and renovations. The company previously said most of the P595 million it spent in the first quarter was used for new stores and warehouses.

Wilcon Depot stocks at the local bourse closed unchanged on Monday at P18.30 apiece. — Keren Concepcion G. Valmonte

Megaworld seeing uptick in residential sales

MEGAWORLD CORP. is seeing an uptick in residential sales, mainly from local buyers who are keen on projects outside of Metro Manila.

Megaworld Executive Vice-President and Chief Strategy Officer Kevin Andrew L. Tan said they have seen “a lot” of domestic sales in the last two months.

“(There’s) a lot of domestic sales. We’re not the same level as 2019 but I think despite that, we’re managing pretty well. We are able to deliver good volumes,” he said in a roundtable interview last week.

Most of the buyers are looking for projects outside of Metro Manila, he added.

Launches of new projects in Metro Manila were put on hold when the pandemic began in 2020.

“For residential, as soon as the pandemic came, we immediately (put on hold) all the launches in Metro Manila. We saw it already. It’s not that the demand in Metro Manila has waned, it was put on hold. It wasn’t wise for us to launch any more projects in Metro Manila, so we just finished what we had. We pivoted right away to the provinces,” Mr. Tan said.

Despite the economic challenges brought by the pandemic, the Megaworld official noted sales from overseas Filipino workers have been “resilient.”

“It wasn’t affected and I think a lot of these countries are recovering ahead of us. We saw a bit more uptick in international sales, faster than the locals,” Mr. Tan said.

‘VERY LITTLE’ EFFECT
Meanwhile, the exit of Philippine Offshore Gaming Operators (POGOs) has not significantly affected Megaworld’s office leasing revenues.

Mr. Tan said POGOs currently make up around 6-7% of office occupancy, from a peak of 11-14% before the pandemic.

“Office occupancy in POGOs has dropped to less than single digits now, 6 to 7%. It’s very low,” he said.

Other companies, mainly business process outsourcing (BPO) firms, were quick to occupy the spaces vacated by POGOs in Philippine Economic Zone Authority-accredited buildings.

Mr. Tan said there are signs some POGOs are looking to return to the Philippines, once a measure imposing taxes on Philippine Offshore Gaming Operators and their foreign employees becomes a law.

“Today the new tax regime actually gives the entire sector a little bit more clarity. A lot of them are starting to come back… They are starting to inquire with other developers. The only challenge for them is to bring back their workers, since there’s a travel ban. You need the Chinese workers… There is renewed interest because of this tax regime,” he said.

But for Megaworld, the company is pinning its growth hopes on the BPO industry’s expansion.

“We’re more committed to BPOs now. We do see this as an industry we want to develop further,” he said, noting there is BPO expansion in finance, medical, e-commerce and technology sectors. — Cathy Rose A. Garcia

Vivant unit bags Cebu bulk water supply deal 

STEVE JOHNSON FROM PEXELS

A VIVANT Corp. subsidiary has been awarded a 25-year bulk water supply agreement by the Metropolitan Cebu Water District (MCWD).

Vivant Hydrocore Holdings, Inc. was awarded the agreement after its solicited proposal to the Cordova Bulk Water Supply project, the company said in a disclosure to the stock exchange on Monday.

With Watermatic Philippines Corp. as its technical partner, Vivant Hydrocore will build a utility scale desalination plant to augment limited supply from MCWD by 20,000 cubic meters of treated and potable water each day.

“This investment in bulk water supply is a key milestone for the Vivant group to deliver on its promise to provide forward-looking and adaptable solutions for its communities,” the Cebu-based firm said.

The Vivant group will sign a joint venture partnership agreement with MCWD.

Vivant Hydrocore holds the Vivant group’s water infrastructure investment portfolio as a wholly owned subsidiary of Vivant Infracore Holdings, Inc., which in turn is wholly owned by Vivant.

The Garcia-led holding firm is also in the electricity distribution and power retail sectors. The company last year said it was looking for opportunities in bulk water supply, water distribution, wastewater treatment, and water engineering.

Vivant last week said it set aside P5 billion in capital expenditures to fund power projects until 2023. Its net income attributable to its parent firm fell 38% to P1.4 billion in 2020 as revenues declined.

Shares in Vivant went up 2.67% or 40 centavos to P15.40 apiece on Monday. — Jenina P. Ibañez

Villar-led memorial park firm starts 6th project in Mindanao

COMPANY HANDOUT

DAVAO CITY — Listed firm Golden MV Holdings, Inc., the Villar group’s memorial park developer, has started working on its 6th project in Mindanao located in Tagum City, Davao del Norte.

Anna Mae D. Escalante, south Mindanao cluster head of the Golden Haven brand, said the upcoming park will be a seven-hectare complex along the new bypass road in the city.

“Golden Haven has always been known for its picturesque landscaped gardens. You can also expect the same lush greeneries and fresh air at Golden Haven Tagum,” she told BusinessWorld in an online interview.

She added that the greenery will blend with Tagum’s palm tree-lined highways.

The company develops and sells memorial lots as well as builds and operates columbarium facilities across the Philippines. It currently has 35 developments in 32 locations.

Its projects in Mindanao are located in Zamboanga City, Cagayan de Oro City, Bukidnon, South Cotabato, and General Santos City.

Ms. Escalante said the company’s memorial parks attract buyers not just for family use but also as an investment.

“We have investors who are not even from the city where our park is located. The high-value appreciation of our lots makes it attractive to investors,” she said. — Maya M. Padillo