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Singapore to trial tokenized bills, bring in stablecoin laws, central bank chief says

A VIEW of the city skyline in Singapore, Dec. 31, 2020 — REUTERS

SINGAPORE — Singapore’s central bank will hold trials to issue tokenized MAS Bills next year and bring in laws to regulate stablecoins as it presses forward with plans to build a scalable and secure tokenized financial ecosystem, the bank’s top official said on Thursday.

“Tokenization has lifted off the ground. But have asset-backed tokens achieved escape velocity? Not yet,” said Chia Der Jiun, managing director of the Monetary Authority of Singapore (MAS), a keynote address at the Singapore FinTech Festival.

He said MAS has been working on the details of its stablecoin regulatory regime and will prepare draft legislation, with the emphasis on “sound reserve backing and redemption reliability.”

MAS is also supporting trials under the Bloom Initiative, which explores the use of tokenized bank liabilities and regulated stablecoins for settlement, he added.

“In the CBDC space, I am pleased to announce that the three Singapore banks, DBS, OCBC, and UOB, have successfully conducted interbank overnight lending transactions using the first live trial issuance of Singapore dollar wholesale CBDC,” he said.

A CBDC, or central bank digital currency, is a digital form of central bank money.

MAS will expand trials to include tokenized MAS Bills settled with CBDC, he added.

Mr. Chia said a regulatory guide on tokenized capital markets products will be published this week, and MAS is working with international counterparts to align standards and support adoption. — Reuters

Cy Young: Tarik Skubal wins AL again; Paul Skenes unanimous NL choice

DETROIT Tigers left-hander Tarik Skubal won his second consecutive American League (AL) Cy Young Award and Pittsburgh Pirates right-hander Paul Skenes was the unanimous choice for his first National League (NL) Cy Young on Wednesday.

Skubal is the 12th pitcher — and fifth in the American League — to win back-to-back honors. The last pitcher to accomplish that was the New York Mets’ Jacob deGrom in 2018-19, while the most recent AL hurler was the Boston Red Sox’s Pedro Martinez in 1999-2000.

A two-time All-Star, Skubal went 13-6 with an AL-leading 2.21 ERA and 6.5 WAR for pitchers. He led the majors with a 0.891 WHIP, 1.5 walks per nine innings and 7.30 ratio of strikeouts to walks. He totaled 241 strikeouts to 33 walks while pitching 195 1/3 innings over 31 starts.

Skubal received 26 first-place votes and four second-place votes for 198 total points in voting by the Baseball Writers’ Association of America.

Garrett Crochet of the Red Sox was second with four first-place votes, 26 second-place votes and 132 points. Hunter Brown of the Houston Astros was third with 24 third-place votes and 80 points. Max Fried of the New York Yankees was fourth with six third-place votes and 61 points. Bryan Woo of the Seattle Mariners was fifth with 26 total points.

An All-Star in each of his two seasons, Skenes did not get much run support in 2025, when he was 10-10 with a 1.97 ERA, 42 walks and 216 strikeouts in 187 2/3 innings over 32 starts.

He led the majors in ERA and home runs allowed per nine innings (0.5) while tops in the NL with a 0.948 WHIP.

Skenes, 23, received all 30 first-place votes for 210 points. The Philadelphia Phillies’ Cristopher Sanchez got all 30 second-place votes for 120 points, and the Los Angeles Dodgers’ Yoshinobu Yamamoto had 16 third-place votes and 72 points for third. Logan Webb of the San Francisco Giants had 10 third-place votes and 47 points. Freddy Peralta of the Milwaukee Brewers had four third-place votes for 44 points and fifth place.

The 2024 NL Rookie of the Year, Skenes was third in the Cy Young voting that season when he went 11-3 with a 1.96 ERA, 32 walks and 170 strikeouts in 133 innings over 23 starts.

He is the fifth pitcher to collect a Cy Young Award in his first two seasons, joining Fernando Valenzuela of the Dodgers (1981), Bret Saberhagen of the Royals (1984), Dwight Gooden of the Mets (1985) and Tim Lincecum of the Giants (2008).

Pittsburgh selected Skenes first overall in the 2023 Major League Baseball (MLB) Draft out of Louisiana State University.

Skubal won his first Cy Young Award in 2024 when he earned the pitching Triple Crown with 18 victories, a 2.39 ERA and 228 strikeouts in 192 innings over 31 starts.

His career record is 54-37 with a 3.08 ERA, 172 walks and 889 strikeouts in 766 2/3 innings over 137 regular-season games (134 starts) since making his major league debut in 2020.

Detroit selected Skubal in the ninth round of the 2018 draft out of Seattle University. He had Tommy John surgery while in college and dealt with injuries early in his MLB career. — Reuters

Gatchalian sees farm output growing 3% in 2025

SHERWIN T. GATCHALIAN — PHILSTAR FILE PHOTO

By Adrian H. Halili, Reporter

Agricultural output is expected to grow by 3% in 2025, a senator said at a plenary budget debate on Thursday, with the farm industry shrugging off a series of late-year calamities.

“For 2025, the estimate is about 3%, (which is) actually not bad for agriculture,” Senator Sherwin T. Gatchalian, who heads the finance committee, told the Senate plenary.

If realized this would be a reversal from the 2.2% contraction in 2024.

In the third quarter, farm output rose 2.8%, driven by the crops and poultry subsectors, the Philippine Statistics Authority reported.

Agriculture accounts for about a tenth of gross domestic product and a quarter of all jobs.

“We have been looking at agriculture output for quite some time, it is normally in the negative because of various reasons,” Mr. Gatchalian added.

“One of which is the typhoons and calamities that normally destroy the crops and reduces output,” he said.

Typhoons Kalmaegi (Tino) and Fung-Wong (Uwan) recently traversed the Visayas and Luzon, respectively.

The Philippines remains under a state of calamity after the storms.

Asked by Sen. Francis Pancratius N. Pangilinan if increased government spending would improve local farm growth, Mr. Gatchalian said: “Wise spending can lead to increase in output, increase in productivity, as well as address climate change or the effect of typhoons.”

“We need to make sure there is some sort of shock absorber so farmers can recover as rapidly as possible from the onslaught of typhoons,” he added.

According to the Senate’s version of the 2026 national spending plan, the chamber allocated the Department of Agriculture P159.23 billion, some P21.06 billion less than the House of Representatives budget bill.

France marks 10th anniversary of deadly Paris attacks

A PROTESTER holds a French national flag as people gather to protest against the French far-right Rassemblement National (National Rally - RN) party, at the Place de la Republique following partial results in the first round of the early 2024 legislative elections, in Paris, France, June 30, 2024. — REUTERS

PARIS — France marks the 10th anniversary on Thursday of attacks in Paris in which Islamic State gunmen and suicide bombers killed 130 people in a rampage through cafés, restaurants and the Bataclan concert hall, and many sur-vivors are still traumatized.

The attacks were the deadliest on French soil since World War II, scarring the national psyche and prompting emergency security measures, many of which are now embedded in law.

The assault began with suicide bomb blasts outside the Stade de France sports stadium where then-President Francois Hollande and the German foreign minister were watching a friendly soccer international and continued with gunmen opening fire at five other locations in central Paris.

Starting at 11:30 a.m. (1030 GMT), President Emmanuel Macron will join officials, survivors and relatives of victims paying tribute to those killed and wounded in the attacks. The memorial events begin at the Stade de France and move on to the restaurants and cafés that were attacked, as well as the Bataclan.

ATTACK ON THE BATACLAN
Sebastian Lascoux was inside the Bataclan where the rock band Eagles of Death Metal were playing when what he thought was the noise from firecrackers pierced the concert hall. It quickly became apparent that the venue was under attack.

People “ended up all squashed together and collapsed as one,” he recalled. “And then (there was) the smell of blood,” said Mr. Lascoux, now aged 46. One of his friends was shot dead trying to shield another member of their party.

“He saved her life,” added Mr. Lascoux, who still suffers from post-traumatic stress and cannot be in crowded places or enclosed spaces, even cinemas. Loud pops remind him of gunshots.

Like some other survivors, Mr. Lascoux plans to attend Thursday’s commemorations.

“What made the November 13 attacks unique was that everyone was a potential victim,” historian Denis Peschanski said.

“Either they were old enough to be there, or, like me, they were old enough to have children who could have been there, even though I was lucky they weren’t.”

‘LIFE GOES ON’
Catherine Bertrand, a survivor of the Bataclan attack, and vice-president of a victims’ association, said: “We all agree that it has marked us forever. We are all deeply traumatized by that evening, and our thoughts of course turn to the victims and their loved ones.”

She stressed that life must go on, though, saying: “There are concerts at the Bataclan, life goes on, we meet up between friends” at the places where the attacks took place.

Ten years on, the threat of such attacks in France is different. Militant jihadist groups such as Islamic State no longer have the same means to coordinate attacks on French soil, security sources say.

But the group’s online propaganda is still effective and able to radicalize youngsters fascinated with violence on social media. Anti-terrorism prosecutors this week launched a probe into the former partner of the presumed sole surviving perpetrator of the attacks. — Reuters

DBCC expecting debt-to-GDP ratio of 63% in 2025, Senate plenary told

STOCK PHOTO | Image by RJ Joquico from Unsplash

Debt as a share of gross domestic product (GDP) could come in at 63% by yearend following the growth slowdown in the third quarter, a senior legislator said, citing projections by the Development Budget Coordination Committee (DBCC).

Senator Sherwin T. Gatchalian, who chairs the Senate finance committee, said the DBCC’s estimate indicates a continued breach of the 60% threshold deemed sustainable for developing countries, despite expectations that the government will hit its budget deficit target.

“Despite the headwinds, natural calamities (and) the lower growth forecast, we will still end up with (a) 5.5% deficit and also (a) debt-to-GDP ratio of 63%,” Mr. Gatchalian said during a hearing on the 2026 national budget on Thursday.

The Department of Finance had projected a ratio of 61.3% for the year.

Mr. Gatchalian said the Philippines is thus better-situated than its ASEAN peers.

“Post-pandemic, a lot of countries… are in this slightly elevated deficit range and debt-to-GDP range,” he said. “In ASEAN, we’re slightly better compared to our peers, (who are) hovering around 70% debt to GDP.

In the third quarter, the  debt-to-GDP ratio stood at 63.1%, a level Pantheon Macroeconomics Chief Emerging Asia Economist Miguel Chanco called “manageable.” This was the same ratio logged in the second quarter.

“The level itself is manageable, considering that a number of countries in the same stage of development as the Philippines have similar debt-to-GDP ratios,” Mr. Chanco told BusinessWorld. “What’s more concerning than the level is the trajectory, as the sustained decline in this ratio before Covid has clearly reversed.”

Mr. Gatchalian said the DBCC is still hoping to restore the debt-to-GDP ratio to its pre-pandemic levels.

“The DBCC is very mindful of our debt stock and they’re very strict in following the medium-term fiscal framework… that will slowly bring down our debt-to-GDP ratio by lowering our deficit, hopefully reaching pre-pandemic levels in the next few years.”

The DBCC maintained its budget deficit cap at 5.5% of GDP or P1.56 trillion this year.

“There are a lot of headwinds and events beyond our control, for example the typhoons,” Mr. Gatchalian said. “But regardless, we will be hitting (our) target deficit at 5.5%.” — Katherine K. Chan

Charoen Pokphand to build hog, feed production facilities for $1B

The Department of Agriculture (DA) said the Philippine unit of Thailand’s Charoen Pokphand Foods (CPF) is planning to build agro-industrial complexes for $1 billion, geared towards restoring the hog industry to pre-African Swine Fever (ASF) levels by 2028.

In a statement, the DA said CPF is evaluating nine sites for agro-industrial complexes, each covering about 20 hectares. The planned complexes, which will feature feed production and hog processing facilities, are estimated to cost $125 million each to build.

The feed plants are expected to produce around 10,000 tons per month, which would require the output of about 5,000 hectares of corn.

CPF said it aims to raise its hog production capacity from 1.3 million to 7 million head by 2030. Over half of the production will be on Luzon (4.8 million head), with the rest in Mindanao (1.2 million) and Visayas (1 million).

Agriculture Secretary Francisco P. Tiu Laurel, Jr. urged CPF to consider situating some facilities near major tourist hubs to ease food costs.

“This CPF expansion aligns perfectly with President Marcos Jr.’s vision of a zero-kilometer food system — producing food where it’s needed — and advancing agricultural investment to create jobs and ensure food security,” Mr. Laurel was quoted as saying in a statement.

Since the first ASF outbreak in 2019, the swine herd has fallen from 13 million to around 8 million head.

Mr. Marcos recently signed the Animal Industry Development and Competitiveness Act, which allocates roughly P20 billion annually over the next decade to develop the livestock, poultry, and dairy sectors, with nearly one-fifth of the funding allocated to hog repopulation. — Vonn Andrei E. Villamiel

Palay farmgate price falls 22.7% in Oct. despite ban on rice imports

PHILIPPINE STAR/KRIZ JOHN ROSALES

The average farmgate price of dry palay (unmilled rice) fell 22.7% year on year in October to an average of P15.89 per kilo, the Philippine Statistics Authority (PSA) said in a preliminary report.

Month on month, the average palay farmgate price rose 1.9%, the PSA said.

The October year-on-year decline eased compared with the 30.5% decline in September.

None of the 15 rice-producing regions posted year-on-year growth in average farmgate prices last month.

The highest palay prices in October were posted in the Bangsamoro Autonomous Region in Muslim Mindanao at P19.62 per kilo, down from P24.18 a year earlier and P20.34 a month earlier.

The lowest palay prices in October were logged in Calabarzon at P12.26 per kilo, compared with P18.10 a year earlier and P12.70 a month earlier.

In Central Luzon, the average farmgate price in October was P15.14 per kilo, down from P20.02 a year earlier and P13.98 a month earlier.

Farmers’ groups said the findings of the PSA confirm the concerns of rice farmers.

“The PSA just validated our concerns; P15.89 for dry palay at a production cost of P15 per kilo means farmers are truly losing under the current regime of reduced tariffs,” Jayson H. Cainglet, executive director of the Samahang Industriya ng Agrikultura, told BusinessWorld via Viber.

Mr. Cainglet added that the P15.89 farmgate price is “P8 less than the equitable farmgate price of at least P23 per kilo under Executive Order No. 101.”

Raul Q. Montemayor, national manager of the Federation of Free Farmers, told BusinessWorld via Viber that the ban on rice imports, which started in September and was extended until the end of the year, did not help increase farmgate prices.

“This was brought about by the huge imports in 2024, of which excess stocks were carried over into 2025. The import ban did not help because the supply was not affected. Also, traders hedged against the possibility of cheap imports coming in again once the ban is lifted, and played it safe by continuing to buy palay at low prices,” Mr. Montemayor said.

However, Mr. Montemayor projects that palay prices could pick up in November as supply tightens.

“This is probably due to dwindling imported stocks, plus the fact that harvests are already at their tail end. Because of the announcement of the import ban until December, traders may be starting to compete with each other for remaining palay stocks in anticipation of tight supplies later in the year and early 2026,” he said. — Vonn Andrei E. Villamiel

Lack of credit access stalls MSME growth — ADB

People shop for goods in Divisoria, Manila. — PHILIPPINE STAR/RYAN BALDEMOR

Micro, small and medium enterprise (MSME) growth has stalled due to continued difficulties accessing credit, the Asian Development Bank (ADB) said.

In its Asia Small and Medium-Sized Enterprise Monitor 2025, the ADB said critical constraints continue to impede MSME development.

“A primary challenge is the lack of acceptable collateral to access credit, which, along with high credit risk perceptions and operational costs, makes MSME lending high-risk and low-return for financial institutions,” it said.

As of the end of 2024, the Philippines had 1.2 million MSMEs, representing 99.6% of all registered establishments.

MSMEs employed approximately 6.3 million individuals, with employment declining 1.8% year on year.

However, the ADB said while the MSME credit market expanded in 2024, its share of the broader banking portfolio remains limited.

“Addressing structural challenges — such as risk-based lending,collateral requirements, and regional disparities — will be critical to unlocking the full potential of MSMEs in driving inclusive economic growth,” the ADB said.

The bank said challenges are compounded by the continued reliance on traditional credit assessment methods and limited reliable data available on MSME operations, market viability, and credit history.

It also said the lack of a fully functional online registry for movable assets limits the ability to monetize “alternative forms of collateral.”

In addition, the ADB said regulatory and bureaucratic inefficiencies also pose significant barriers, as MSMEs often encounter inconsistent and time-consuming processes across local government units, delaying registration and increasing compliance burdens.

The limited access to capital hindered by high interest rates, low financial literacy, and limited awareness of formal financial channels chokes growth of MSMEs and investing in innovation and expanding operations.

The Bangko Sentral ng Pilipinas reported that bank loans granted to MSMEs grew 10.8% to P540.92 billion as of the end of June.

This was equivalent to 4.59% of their total loan portfolio of P11.78 trillion, below the 10% overall requirement for banks under the Magna Carta for MSMEs.

Under the law, banks must allocate 8% of their loan portfolio to micro and small enterprises, and 2% to medium-sized businesses. — Aubrey Rose A. Inosante

Juan Ponce Enrile, martial law supervisor, dies at 101

FILE PHOTO of the late Senate President Juan Ponce Enrile during the impeachment trial of Supreme Court Chief Justice Renato Corona at the Senate headquarters in Pasay city, Metro Manila May 23, 2012. -- REUTERS FILE PHOTO/ROMEO RANOCO

By Norman P. Aquino, Special Reports Editor and Kenneth Christiane L. Basilio, Reporter

JUAN VALENTIN F. PONCE ENRILE, SR., who helped overthrow the late Philippine President Ferdinand E. Marcos, Sr. in 1986 after serving as his martial law administrator, has died. He was 101.

Mr. Enrile died at his residence on Thursday at 4:21 p.m., his daughter Katrina Ponce Enrile said in a Facebook post, adding he passed “surrounded by our family in the comfort of our home.”

“It was his heartfelt wish to take his final rest at home, with his family by his side,” she said.

The Harvard Law School-educated lawyer was a high-profile and enduring figure whose nearly six-decade government career left a footprint across seven administrations, serving in cabinet posts and the legislature.

He was admitted to an undisclosed hospital earlier this week for pneumonia and treated in the intensive care unit. Senator Jose “Jinggoy” P. Estrada, who broke the news during Tuesday’s plenary session, earlier said he was told Mr. Enrile had “slim chances” of surviving.

On Wednesday, Ms. Enrile said doctors were giving him the “best possible treatment and attention.”

“His passing marks the close of a chapter in our nation’s history,” President Ferdinand R. Marcos, Jr. said in a Facebook post. “But the mark he leaves behind in law, in governance, and in the hearts of those he served will never be forgotten.”

Mr. Enrile played a central role during one of the Philippines’ most turbulent periods and he helped shape national policy as the country reeled with the aftermath of martial law.

“Mr. Enrile is an icon in defense policy and strategy, and played a foundational role in building the modern Department of National Defense,” the agency said in a statement.

As defense minister under the elder Marcos, Mr. Enrile helped oversee the administration of martial rule from 1972 to 1981, a period marked by allegations of widespread human rights abuses. He helped topple Mr. Marcos and force him into US exile in a 1986 coup that put Corazon C. Aquino, the late President Benigno S.C. Aquino III’s mother, in power. He was jailed for rebellion and released for insufficient evidence at least twice in the late 1980s and in 2001 under former President Gloria Macapagal-Arroyo.

“The decision I made that day was the only path available to me to free myself safely from the Marcos regime that I served for twenty years,” according to his 2012 memoir. “My pent-up rage that grew over the years reached its limit.”

“It had to explode and take its toll. I had no more choice.”

MARCOS CONNECTION

Mr. Enrile, whose career spanned seven presidencies from the late Marcos to the administration of his son and namesake, was born out of wedlock in the northern Philippine province of Cagayan on Feb. 14, 1924, to Petra Furagganan, who bartered fish for a living, and lawyer-politician Alfonso Ponce Enrile, according to his memoir. At age 21, he went to Manila and reunited with his real father, who helped him finish his studies.

Mr. Enrile graduated cum laude with a Bachelor of Laws degree from the University of the Philippines in 1953 and earned his Master of Laws degree from Harvard two years later, specializing in international tax law.

In his memoir, he wrote that he helped the elder Marcos become the Nacionalista Party’s presidential candidate for 1965, and in his campaign and eventual victory. He later appointed Mr. Enrile as acting Finance secretary, justice chief and finally, Defense secretary in 1970.

“I promised Senate President Marcos that I would help him in his desire to run for the presidency of the country in whatever way I could. He asked if it would be all right for him to call me now and then for advice. ‘Of course, you may call me anytime,’ I assured him,” according to his memoir.

In 2013, Mr. Enrile was embroiled in a kickback scheme that allegedly benefited at least 120 sitting and former legislators. He was accused of pocketing P172.8 million of congressional funds from 2004 to 2010, a charge that he denied.

Before his incarceration in 2014, Mr. Enrile served as Senate President from 2008 to 2013. In May 2012, he oversaw the impeachment trial and conviction of the country’s former chief justice on corruption charges. He quit as Senate President in June 2013 after nine of Mr. Aquino’s hand-picked candidates won Senate seats in the midterm elections against three from the opposition.

His quitting also came amid allegations by some fellow lawmakers that he had committed improprieties, including giving cash gifts to favored senators using the Legislature’s savings. Mr. Enrile denied all the charges.

In October this year, he and his longtime aide were acquitted of 15 graft charges after a six-year trial linked to the multibillion-peso pork barrel scandal. Mr. Enrile appeared via teleconference from a hospital, where he was seen receiving oxygen support.

‘ICON IN THE PANTHEON OF PHILIPPINE HISTORY’

In 2022, Mr. Enrile was appointed as chief presidential legal counsel by the younger Marcos after winning the presidency in the same year.

He was seen as a capable lawyer in his own right, having practiced for 12 years as a partner at a firm he co-founded and taught law at Far Eastern University’s College of Law from 1956 to 1964, according to his Senate biography.

On Mr. Enrile’s 100th birthday, the younger Marcos hosted a luncheon in his honor, where he called him an “icon in the pantheon of Philippine history,” adding that “to have him in my corner allows me to sleep better at night.”

As senator, Mr. Enrile focused on fiscal policy and authored the 1997 Comprehensive Tax Reform Law, which introduced broad changes in taxation. His measure exempted overseas workers from paying Philippine income tax on earnings abroad and granted capital gains tax exemptions to homeowners who invest their proceedings.

“We find comfort in knowing that the legacy of Manong Johnny will live on, etched within the walls of the Senate and his service to the nation will forever be in the hearts of many Filipinos,” Senate President Vicente “Tito” C. Sotto III said in a statement, referring to Mr. Enrile by his nickname.

During his tenure as Senate President, Mr. Enrile oversaw the passage of 711 bills, 42 of which became laws, including the Reproductive Health Act, the Sin Tax Law and the revised military modernization program. He also steered passage of the Anti-Enforced Disappearance Act and the Human Rights Victims Reparation Law, measures shaped by the experiences of the elder Marcos’ administration.

“Enrile counts himself among those who were mesmerized by Marcosian dreams of greatness,” Nelson Navarro, editor of Mr. Enrile’s memoir, said in the book’s introduction. “Undoubtedly, history’s final judgment of Juan Ponce Enrile lies in the future.

ICI to refer cases vs 3 more senators linked to flood control scam

THE Independent Commission for Infrastructure (ICI) submitted its interim report and recommendations to the Office of the Ombudsman for potential cases against several lawmakers and Public Works officials linked to the flood control scandal. — ICI

By Erika Mae P. Sinaking

THE Independent Commission for Infrastructure (ICI) said on Thursday it will recommend next week the filing of charges against at least three sitting or former senators for alleged corruption tied to flood control projects.

ICI chairman Andres B. Reyes, Jr. said that the new recommendations would add to a growing list of lawmakers under scrutiny for alleged misuse of public works funds.

“We will be filing cases at least against three sitting or former senators. At least three next week,” Mr. Reyes told reporters at a briefing.

He did not identify the senators, but noted the fresh complaint will bring the number of senators tagged in the flood mess to five. The ICI earlier referred cases against Senators Jose “Jinggoy” P. Estrada and Joel J. Villanueva.

The Commission last month endorsed criminal and administrative charges against Mr. Estrada, Mr. Villanueva, former Ako Bicol Rep. Elizaldy S. Co, and several Department of Public Works and Highways (DPWH) officials over an alleged kickback scheme in infrastructure projects. The report cited possible violations of laws on bribery, corruption of public officers, and plunder.

Mr. Reyes noted that the ICI had already referred one case involving a former House member (Mr. Co), but declined to confirm whether additional House lawmakers were part of the next batch of complaints.

“We are still evaluating the records and findings as they come,” he said.

FIFTH INTERIM REPORT

Also on Thursday, the ICI submitted its fifth interim report and recommendation to Ombudsman Jesus Crispin C. Remulla, endorsing the filing of criminal and administrative charges against DPWH officials and a private contractor over a P74.1-million “ghost project” in Hagonoy, Bulacan.

The ICI said the project — Construction of Riverbank Protection Structure at Barangay Carillo, Hagonoy, Bulacan — was “entirely non-existent” despite being fully paid for by the DPWH-Bulacan First District Engineering Office.

The ICI said several DPWH officials may have been negligent in ensuring proper project execution and prudent disbursement of public funds.

The commission’s preliminary findings covered a contractor and six former DPWH engineers, including Henry C. Alcantara and Brice Ericson D. Hernandez, who have earlier testified in congressional hearings.

The commission urged the Ombudsman to file cases for malversation, falsification of public documents, and violations of the Anti-Graft and Corrupt Practices Act (RA 3019) and the Government Procurement Reform Act (RA 9184).

“The evidence warrants prosecution to redress the grave injury inflicted upon the Government and the public interest,” the ICI said.

Former DPWH Secretary Manuel M. Bonoan, who flew to the United States earlier this week, was also recommended for review for possible violations of the Code of Conduct and Ethical Standards for Public Officials and Employees, the third time, along with former undersecretaries Roberto M. Bernardo and Maria Catalina E. Cabral.

NO STRUCTURE BUILT

The project, implemented by Darcy & Anna Builders & Trading, was awarded in February 2024 with a contract cost of P74.11 million. However, a technical inspection by the Commission on Audit’s (CoA) fraud audit office found that no riverbank protection structure was ever constructed at the specified coordinates.

Satellite images taken on Feb. 29, 2024, and Oct. 15, 2025, confirmed that no work had been done in the area, according to the ICI’s findings.

“Based on the technical inspection conducted at the actual project site, the CoA found that a structure was non-existent,” the report said. “The DPWH officials appeared to have prepared documents to obtain payments for non-existent works, acting with manifest partiality and evident bad faith.”

The audit also found a lack of required documentation, such as geotagged photos, test results, and final acceptance certificates — further supporting what the report called an “intent to deceive the government.”

It added that a Notice of Disallowance had already been issued by CoA in August 2025 over the project’s disbursements due to missing supporting papers, in violation of Presidential Decree No. 1445.

NEXT STEPS

Mr. Reyes said the report is part of a broader probe into irregularities in DPWH flood control projects. He added that the commission urged a comprehensive review of the project’s planning and procurement process, from its in-clusion in the General Appropriations Act to post-audit disbursements, to determine the extent of accountability and identify all officials involved in the scheme.

“We are unearthing a web of corruption that spans multiple districts,” he said. “This case is one of many that shows how deeply entrenched the misuse of public funds has become.”

The ICI is set to resume its hearing on Nov. 17, with the possibility of shifting to livestreaming still under review. “We’re still studying that,” Mr. Reyes told reporters, adding that the commission may provide an update on the matter next week

Marcos vows to jail personalities in flood mess before Christmas

PRESIDENT Ferdinand R. Marcos, Jr. presented updates on the government’s fight against corruption in flood control projects three months since he launched the sumbongsapangulo.ph website. — PHILIPPINE STAR/NOEL B. PABALATE

PRESIDENT Ferdinand R. Marcos, Jr. on Thursday vowed to jail those implicated in the multibillion-peso flood control scandal before Christmas, as his administration moves to restore public trust and enforce accountability in government infrastructure projects.

Amid growing calls for accountability, Mr. Marcos said the government is ensuring investigations will lead to airtight legal cases to prevent perpetrators from getting out on a technicality. He, however, assured they will be penalized by yearend.

“They won’t have a Merry Christmas. Before Christmas, they will be jailed,” he said in mixed English and Filipino during a briefing.

Since exposing the kickback scheme in his State of the Nation Address, the government has launched the sumbongsapangulo.ph website, which has so far received over 20,000 citizen reports on questionable flood control projects, as well as investigations that uncovered alleged collusion to siphon off billions of public funds from Public Works projects.

The findings have prompted both the Department of Public Works and Highways (DPWH) and the Independent Commission for Infrastructure (ICI) to recommend the filing of criminal and administrative cases against 37 Public Works officials, lawmakers and contractors.

The Anti-Money Laundering Council has also frozen P6.3 billion in assets, with the Solicitor General preparing forfeiture proceedings to recover funds for public use. Bid-rigging and manipulation cases could yield penalties between P3 billion and P5 billion, according to Mr. Marcos.

The government is also considering the use of artificial intelligence (AI) to oversee flood control projects, as authorities investigate alleged irregularities in public infrastructure programs, according to the President.

“We have seen the latest smart technology where we use AI. The AI checks the process of the contracts. If something isn’t right, it will be flagged,” he said.

The President added that the administration intends to deploy all available tools, including AI and other smart technologies, to inspect and monitor the execution of government projects.

Due to the flood control scandal, the Philippine economy slumped, with investor confidence shaken and public spending on infrastructure coming under intense scrutiny.

Meanwhile, Senator Panfilo “Ping” M. Lacson on Thursday said that he would no longer allow former Party-list Rep. Elizaldy S. Co to attend the Senate Blue Ribbon Committee’s next hearing via Zoom.

“I didn’t push through with the initial plan to invite him (Mr. Co) via Zoom,” he said in a statement.

Earlier, the senator said that he is eyeing to invite the former congressman to the committee hearing via Zoom, noting that Mr. Co can attend the hearing virtually within a Philippine embassy.

The Senate Blue Ribbon panel is set to resume its hearing in irregular flood mitigation projects, after the reappointment of Senator Panfilo “Ping” M. Lacson as its chair. The next hearing is set for Nov. 14.

Mr. Lacson said that attending the hearing virtually may be used by Mr. Co to provide testimony that lacks probative value.

“The hearing might afford him a platform to say anything he wants even with no probative value and worse for propaganda purposes only without any accountability for at least possible contempt citation,” he added.

In a previous panel hearing, a former Public Works engineer implicated congressmen in benefiting from funding meant for local flood control projects.

A former aide of Mr. Co also claimed that he was part of a team that would deliver bags of money, which they referred to as basura (garbage), to the two congressmen. Both denied these allegations.

The senator said that Mr. Co’s counsel had informed him that the former lawmaker was in the US, undergoing medication.

“He asked to be excused from tomorrow’s hearing,” Mr. Lacson added.

The upper chamber is investigating irregularities in multibillion-peso flood control projects, following reports that lawmakers and officials received kickbacks from infrastructure funds allocated since 2022. — Chloe Mari A. Hufana and Adrian H. Halili

PHL finalizes trade pact with UAE, awaits signing

REUTERS

The Philippines and the United Arab Emirates (UAE) have concluded negotiations for a free trade agreement (FTA) and are awaiting its formal signing, a Philippine trade official said on Tuesday, as the Southeast Asian nation looks to diversify its trade ties in the face of rising US protectionism.

“It’s already been finalized, so we’re just waiting for the signing schedule,” Trade Undersecretary Allan B. Gepty told lawmakers, based on a video of a House of Representatives committee hearing held on Tuesday and released on Thursday.

The UAE is the Philippines’ 18th biggest trading partner and is its top export market in the Gulf Cooperation Council. Manila’s top exports to Abu Dhabi include electrical equipment, food products, iron and steel, mineral fuels and machinery.

Both nations began talks for their Comprehensive Economic Partnership Agreement (CEPA) in February 2022, and once signed, would be the Philippines’ FTA in the Middle East.

The CEPA is expected to provide opportunities for Dubai companies to invest in the Philippines.

Also on Tuesday, Trade Secretary Ma. Cristina A. Roque said officials are working to seal a similar trade agreement with Chile within the year. “South America is a huge market,” she told lawmakers.

“Our president had a bilateral meeting with President [Gabriel] Boric, and they have agreed to conclude this CEPA this year,” said Mr. Gepty.

The Philippines began trade talks with the Andean nation in 2015, but a “recalibration of trade priorities” under the Duterte administration diverted attention away from negotiations, according to a Trade department presentation to lawmakers. — Kenneth Christiane L. Basilio

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