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Shares rise on last-minute buying, easing cases

SHARES inched up on Wednesday on last-minute buying as the country reported a slightly lower daily number of new coronavirus disease 2019 (COVID-19) infections, which slightly eased investor concerns.

The Philippine Stock Exchange index (PSEi) climbed by 41.49 points or 0.61% to close at 6,808.32 on Wednesday, while the all shares index moved up by 3.4 points or 0.08% to finish at 4,078.35.

“The PSEi recovered further as buyers picked up shares of companies that took a beating at the beginning of the week. The sentiment improved slightly, as panic selling was calmed by the fact that new COVID-19 cases came in below the 3,000 mark [on Tuesday],” AAA Southeast Equities, Inc. Research Head Christopher John J. Mangun said in an e-mail.

“The slow recovery in employment for the month of January, emphasized the importance of not returning to a hard lockdown,” Mr. Mangun added.

Preliminary results of Philippine Statistics Authority’s January 2021 round of the Labor Force Survey (LFS) showed around 3.953 million unemployed Filipinos, up from 3.813 million in October 2020 and 2.391 million in January 2020.

This put the unemployment rate at 8.7% in January, unchanged from October 2020 but higher than 5.3% in January 2020.

“The market closed at its intraday high… only due to last-minute buying. Negative sentiment still seems to be more prevalent amid the unchanged unemployment rate, and the spike in inflation and daily COVID-19 cases,” AB Capital Securities, Inc. Junior Equity Analyst Lance U. Soledad said in a Viber message.

Philstocks Financial, Inc. Research Associate Claire T. Alviar meanwhile said the market gained to follow Wall Street’s lead.

“The US markets climbed on the back of the decline of US bond yields as well as the positive sentiment towards the $1.9-trillion fiscal stimulus plan, providing positive sentiment in the local market,” Ms. Alviar said in a Viber message.

Most sectoral indices went up on Wednesday except for financials, which declined by 15.18 points or 1.05% to 1,422.69 and mining and oil, which dropped 88.64 points or 1.03% to 8,515.69.

Meanwhile, holding firms rose by 96.24 points or 1.37% to close at 7,082.36; services increased by 13.04 points or 0.89% to 1,471.98; property went up by 11.56 points or 0.34% to 3,374.64; and industrials improved by 19.37 points or 0.22% to 8,675.99.

Value turnover went down to P11.07 billion on Wednesday with 9.14 billion shares switching hands, from the P19.02 billion seen on Tuesday.

Decliners outnumbered advances, 155 against 72, while 34 names closed unchanged.

Net foreign selling slowed to P78.87 million on Wednesday from P10.55 billion on Tuesday.

“For this week, we expect the index to trade between 6,700 and 6,900 on lack of positive catalyst, as vaccine rollout optimism seems to be waning,” AB Capital Securities’ Mr. Soledad said. — Keren Concepcion G. Valmonte

Gov’t can’t meet daily vaccine goal due to supply constraints

PHILIPPINE STAR/ MICHAEL VARCAS

THE PHILIPPINE government has been unable to vaccinate at least 250,000 Filipinos daily to meet its 50-million goal this year due to supply problems, according to the country’s deputy chief enforcer of anti-coronavirus efforts.

“The target is roughly 250,000 to 300,000 a day, but it will depend on the supply that we get,” Vivencio B. Dizon, National Task Force Against COVID-19 deputy chief Implementer, told a televised news briefing in mixed English and Filipino on Wednesday.

The government could hit the daily goal once the bulk of vaccines arrive, he added.

The government had only inoculated about 36,000 people as of Mar. 7 since it started its vaccination drive this month, presidential spokesman Herminio L. Roque, Jr. said on Tuesday.

Vaccine czar Carlito G. Galvez, Jr. earlier said the main volume of vaccines bought from drug makers and secured under a global initiative for equal access would arrive by the third and fourth quarters.

President Rodrigo R. Duterte has said Manila was having difficulty getting more vaccine supplies, citing problems in the global supply chain. Rich countries were being prioritized by drug makers, he said.

With a gross domestic product (GDP) per capita of $9,471, the Philippines ranked 76th among the poorest countries last year.

But poorer nations such as Bangladesh, Cambodia and Còte d’Ivoire, with a GDP per capita of  $5,028, $4,664 and $4,457, respectively, got their vaccines before the Philippines, according to the website Our World in Data.

The Chinese government earlier donated 600,000 doses of CoronaVac made by Sinovac Biotech Ltd.

The Philippines on Mar. 4 also took delivery of 487,200 vials of the vaccine developed by British drug maker AstraZeneca Plc. Almost 40,000 more doses arrived on Mar. 7.

The vaccine doses were secured under the World Health Organization (WHO)-led COVID-19 Vaccines Global Access (COVAX).

A million more doses of CoronaVac are expected to arrive this month under a P700-million purchase deal with Sinovac.

Manila will take delivery of about 117,000 vials of the vaccine developed by Pfizer, Inc. under COVAX by April, Mr. Dizon said.

The first batch of Pfizer doses was due to arrive in February but was delayed after the government failed to submit documents freeing the drug maker from potential lawsuits.

Mr. Dizon said the government seeks to vaccinate about 3.5 million health workers by May. 

TALLY
The Department of Health (DoH) reported 2,886 coronavirus infections on Wednesday, bringing the total to 603,308.

The death toll rose by 17 to 12,545, while recoveries increased by 221 to 546,293, it said in a bulletin.

There were 44,470 active cases, 91.7% of which were mild, 4% did not show symptoms, 1.7% were critical, 1.7% were severe and 0.8% were moderate.

The agency said four duplicates and two cases found to be negative had been removed from the tally, while four recovered cases were reclassified as deaths. Five laboratories failed to submit data on Mar. 9.

About 8.6 million Filipinos have been tested for the coronavirus as of Mar. 8, according to DoH’s tracker website.

The coronavirus has sickened about 118.2 million and killed more than 2.6 million people worldwide, according to the Worldometers website, citing various sources including data from the World Health Organization.

About 93.9 million people have recovered, it said.

Meanwhile, the Health department said the P.1 coronavirus variant from Brazil had not been detected in 3,420 samples.

“We would also like to clarify that a common variant identified among our sequenced samples was of Brazilian origin (B.1.1.28) but not a variant of concern,” it added.

This came after Quezon City Mayor Maria Josefina G. Belmonte told a news briefing on Wednesday that a Brazilian variant had been detected in Quezon City.

The P.1 variant, a branch off the B.1.1.28 lineage, has mutations that affect transmissibility, according to the website of the US Centers for Disease Control and Prevention. — Kyle Aristophere T. Atienza and Vann Marlo M. Villegas

Human Rights Watch seeks UN probe of recent police killings

THE UNITED Nations (UN) should investigate the worsening human rights situation in the Philippines, where more than a dozen members of left-leaning groups got arrested and killed by police this month, according to Human Rights Watch.

Phil Robertson, deputy Asia director at the global rights watchdog, urged the UN Office of the High Commissioner for Human Rights to consider sending a rapid response unit to Manila to probe the killings.

“The Southern Luzon raids were apparent politically motivated killings that the police and military have sought to justify with unconvincing justifications that echo ‘drug war’ claims,”  he said in a statement on Wednesday.

“UN member states should see through this deadly deception and press for international action that would hold the Duterte administration to account,” he added.

Nine activists were killed and six others were arrested during separate raids by police in the provinces of Laguna, Batangas, Cavite, and Rizal on Mar. 7. Civil society groups have accused authorities of using warrants to harass critics.

The crackdown on activists came after President Rodrigo R. Duterte ordered state forces to “finish off” and “kill” communist rebels and “ignore human rights.”

Philippine National Police spokesman Brig. Gen. Ildebrandi N. Usana earlier claimed the victims had guns and resisted arrest.

M. Robertson said police have used the excuse in the government’s deadly war on drugs.

“Philippine security forces have a long history of unlawful killings, enforced disappearances and arbitrary arrests of leftist activists, human rights defenders and others,” he said.

“The victims in all of these raids belonged to groups that the government had earlier red-tagged, accusing them of being communist guerrillas or their supporters,”he added.

Justice Secretary Menardo I. Guevarra said the UN must have enough information before making a judgment.

“These incidents will be investigated either by the National Bureau of Investigation or by the Administrative Order 35 committee on extrajudicial killings,” he said in a statement.

More than half of thousands of police anti-drug operations under Mr. Duterte violated rules of engagement, Mr. Guevarra told the United Nations Human Rights Council last month. 

Police claimed suspected drug pushers were killed after they resisted arrest, he said in a video message at the seventh meeting of the council’s 46th regular session.

Police also did not conduct a full examination of the weapons recovered from the raids, Mr. Guevarra said, citing the initial results of a government investigation.

Still, he rejected any attempts by the international community to meddle in Philippine affairs.

Meanwhile, the Commission on Human Rights said police claims of suspects resisting arrest need evidence.

Commissioner chief Gwen Pimentel-Gana said access to police records was a “recurring obstacle” in the independent body’s investigations of human rights violations

“This restriction makes it difficult to ascertain the veracity of police claims, as well as the extent of effort extended in investigating deaths said to be not related to law enforcement operations,” she said in a statement.

“We continue to urge the public to ask the government to do more and better in reducing the violence on the ground and in respecting the human dignity of every individual,” she added.

At least 188 activists and community organizers have been killed under the Duterte administration, human rights group Karapatan said last year. — Kyle Aristophere T. Atienza and Bianca Angelica D. Añago

Senate bill mandates refund for internet service disruptions

A SENATOR has filed a bill requiring telecommunication companies and internet service providers to give a refund for service disruptions.

These service interruptions affect business and commercial transactions, online classes and even Senate hearings, said Senator Manuel M. Lapid, who filed Senate Bill 2092.

The measure will amend the Public Telecommunications Policy Act of the Philippines.

He also said consumers pay their bills without adjustments or refunds despite frequent service disruptions.

“They are paying for a service that they have not enjoyed or used for hours, if not days through no fault on their part,” he said in the bill’s explanatory note.

Under the bill, internet service providers and telecommunication companies must provide a pro-rated refund credit or adjust the bill of a customer who experienced service interruptions for a total of at least 24 hours or more in a month. The refund should also apply to prepaid subscribers.

The refund or adjustment in the bill should be automatically implemented without the need for a request from the customer, he said. — Vann Marlo M. Villegas

Nationwide round-up (03/10/21)

SC tallies cases involving attacks on lawyers, judges

THE Supreme Court (SC) has ordered lower courts to provide information on all pending cases involving attacks on judges, prosecutors, and lawyers in the country as part of the response to address growing concern on the safety of members of the judicial sector. The high court issued a circular on Tuesday instructing judges of first and second level courts to accomplish an online nationwide survey on criminal cases relating to the harassment, threats, attack, and killing of those in the legal profession. The circular, signed by Court Administrator Jose Midas P. Marquez, aims to make an inventory of such cases, including lawyers in private practice. This survey, with a Mar. 19 deadline, is in line with the memorandum of Chief Justice Diosdado M. Peralta in January directing the Office of the Court Administrator “to address the growing concern over the continued attacks against lawyers and judges.” Lawyers’ groups Integrated Bar of the Philippines and the National Union of People’s Lawyers (NUPL) have been making appeals to address the security of lawyers. According to NUPL, at least 54 lawyers and judges have been killed since the Duterte administration started in 2016. — Bianca Angelica D. Añago 

Only 11% pass 2020 Shari’ah Bar exam, lowest in 37 years

OF the 654 examinees for the 2020 Shari’ah Bar exams, only 71 or 10.86% passed, the Supreme Court announced Tuesday. Court of Appeals Justice Japar B. Dimaampao, chair of last year’s Shari’ah Bar examination committee, said the result “will go down in history as the second lowest passing percentage” since 1983 when 14 out of 182 examinees, or 7.69%, passed. The topnotcher of the 2020 examination is Mohammad Hisham M. Mocsir with a score of 87.075%. Shari’ah Courts, which are under the supervision of the Supreme Court, handle cases involving Islamic beliefs. The establishment of these courts is in line with the Philippine Constitution, which provides that, “The State shall consider the customs, traditions, beliefs and interests of national cultural communities in the formulation and implementation of state policies.” — Bianca Angelica D. Añago 

OWWA says additional funds needed to cover quarantine costs of OFWs

THE Department of Labor and Employment (DoLE) has asked the national government for additional funds to cover the quarantine costs of returning overseas Filipino workers (OFWs) following new protocols on the isolation period. Overseas Workers Welfare Administrator Hans Leo J. Cacdac said the P6.2-billion allocation for the hotel, COVID-19 swab test, transport, and food of returning OFWs might be depleted soon. “We project by April or May, maubos ang 2021 budget na (we might finish the 2021 budget),” he said in a virtual briefing on Wednesday. He explained that the new protocol issued as precautionary measure against the new coronavirus disease 2019 (COVID-19) variants requires OFWs to wait six days in quarantine hotels before they undergo a swab test. Under the previous protocol, testing is conducted immediately upon arrival and OFWs with a negative result are allowed to go home. Mr. Cacdac said Labor Secretary Silvestre H. Bello III has already written the Department of Budget and Management for a supplemental budget. — Gillian M. Cortez

Regional Updates (03/10/21)

Megawide, SUEZ Asia to build Manila Water treatment plant

MEGAWIDE Construction Corp. and SUEZ Asia have been tapped to design and build Manila Water, Inc.’s 60,000-cubic meter sewage treatment plant in Mandaluyong, Megawide announced Wednesday. The Aglipay Sewage Treatment Plant will treat waste water from Mandaluyong City, and the southern parts of Quezon City and San Juan City, covering 650,000 residents. “This partnership between Manila Water, Megawide and SUEZ provides a strong foundation for this project and will significantly enhance the water quality, hygiene and sanitation for the population in Metro Manila by 2037,” Francois Fervier, SUEZ Asia chief executive officer of water, said in a statement. Megawide said it would be in charge of all civil works for the project, which broke ground on Feb. 24. The listed firm’s foreign partner would be using its innovative MeteorTM Moving Bed Biofilm Reactor and GreendafTM technologies in cutting operating costs and installation space. — Angelica Y. Yang

Pangasinan gov’t says LTFRB assures resumption of provincial buses before Holy Week

BUSES going to Pangasinan will be allowed to resume operations before the Catholic Holy Week, set this year on the last week of March, according to the provincial government. Land Transportation Franchising and Regulatory Board (LTFRB) Regional Director Nasrudin U. Talipasan told the provincial board on Mar. 8 that permits for inter-regional buses will be released soon by the agency’s central office. Pangasinan Governor Amado I. Espino III and mayors in the province sent a request letter to the LTFRB in end-December to push for the resumption of provincial bus services. In stating this, Mr. Talipasan appealed for patience and understanding on the long process. “Konting tiis at pasensya na lang (Just a bit more forebearance and patience). The process is ongoing and more than halfway,” Mr. Talipasan told the board members. Existing bus operators need to apply for special permits to resume operations, which is subject to another round of road worthiness inspection and compliance to health protocols. Inter-regional bus services have resumed in several other areas such as Baguio and other northern Luzon provinces, parts of the Visayas, and Mindanao.

TOURISM REVIVAL
The Thursday and Friday of Holy Week are declared national holidays in the country and people traditionally visit their hometowns or go on holiday during this long weekend. Pangasinan has reopened its tourism sector, and majority of local governments have adopted the national guidelines on less documentary requirements for travelers. As of Mar. 8, only the towns of Bani, Asingan, Balungao, and Sto. Tomas require a negative RT-PCR test result for visitors. The entire province including the independent city of Dagupan, with a population of about three million, has recorded 5,120 coronavirus cases as of Mar. 10. Of the total, 178 are active, 4,702 have recovered while 240 died. For more information on traveling to Pangasinan, visit the province’s official sites: pangasinan.gov.ph, seepangasinan.com or facebook.com/pangasinan.gov.ph, facebook.com/pangasinan.tourism.

Pharma industry pushes back on drug price control board

DRUGMAKERS said further price controls on their products will hinder the industry in recovering from the economic downturn triggered by the pandemic.

Responding Wednesday to a legislative proposal to establish a price board for drugs, Pharmaceutical and Healthcare Association of the Philippines (PHAP) Trustee Jannette Alcantara Jakosalem said price controls will be an added burden to the industry on top of the difficult economic environment.

“Like many industries, the pharmaceutical industry has not recovered from the pandemic. The contraction of the market reached up to minus 18% in 2020. This is evidence of our struggles. On top of our struggles, the government imposed mandatory price reductions of up to 50% for 133 pharmaceutical products,” she said at a hearing of the House Committee on Trade and Industry.

“The imposition of price controls is retrogressive and may discourage highly needed pharmaceutical investments that are crucial to economic recovery… price regulation is a disincentive to innovation and is a barrier to the entry for new life-saving medicines,” she added.

The committee was deliberating House Bills 4306 and 2578, which call for the creation of the Drug Price Regulatory Board. They propose to amend Republic Act (RA) 9502 or the Universally Accessible Cheaper and Quality Medicines Act of 2008.

RA 9502 gives the President the power to impose maximum retail drug prices upon recommendation of the Secretary of Health. The proposed price board that features in both bills will be given sole authority to determine and recommend maximum retail prices.

Both bills’ explanatory notes cite the need to make innovative drugs available at affordable prices, which they claim RA 9502 did not achieve.

Ms. Jakosalem said that the government should focus on ensuring the availability of quality drugs, after past price caps discouraged the entry and restricted the supply of innovative medicines.

She said of the 166 innovative medicines registered in the US and European Union, only nine were available in the Philippines, while the price controls have also forced some products to be withdrawn from the market.

Philippine Alliance of Patient Organizations Board Member Karen Alparce-Villanueva said while the organization supports the amendments, an additional agency will add to the healthcare “bureaucracy,” and called for a system expanding access to more medicines.

Any such system “needs to balance regulation and innovation so medicines can get to the country,” she said.

Ms. Jakosalem said PHAP believes that the President needs to make the final call on drug price levels, as he has direct access to the best advice of various agencies. She added that a price board represents another bureaucratic layer that may delay decision-making.

Laban Konsyumer, Inc. President Vic Dimagiba said at the hearing that the proposed price board has been considered by past Congresses, adding that the pandemic should finally push the 18th Congress to make it happen.

“We are making a plea na sana ’wag itong palampasin nitong 18th Congress at isabatas ang drug price regulatory board (the 18th Congress should not let this opportunity pass and approve the measure creating the drug price regulatory board),” he said.

He added that the proposed body could address any “gaps” in Executive Order No. 104 issued last year by President Rodrigo R. Duterte, which imposed price caps on the 133 medicines. — Gillian M. Cortez

Hog population expected to decline if pork imports expanded

HOG NUMBERS, decimated by African Swine Fever (ASF), could decline further next year if the government expands the quota for pork imports, discouraging growers from rebuilding their herds, the pork industry said.

Nicanor M. Briones, vice-president for Luzon of the Pork Producers Federation of the Philippines, said in a radio interview Wednesday that many hog raisers will choose to cease operating if they are forced to compete with more pork imports, defeating the purpose of various ongoing efforts to rebuild hog numbers and risking another supply crisis.

“Hog supply for next year will be a problem since instead of increasing the number of hog raisers returning to the industry, more will be discouraged from continuing,” Mr. Briones said.

According to Mr. Briones, the Department of Agriculture’s (DA) proposal to lower tariffs for pork imports will not address demand for fresh, never-frozen meat.

Imports “cannot fill the supply gap because Filipino consumers want fresh meat. They will look for domestic supply since imported pork spends two months in a freezer,” Mr. Briones said.

He called imported frozen pork a health risk because “it can easily attract bacteria and be dangerous for consumers,” he added.

Asked to comment, DA Spokesperson Noel O. Reyes said in a mobile phone message that the DA has recommended imports to stabilize supply since the domestic hog production is not sufficient to meet demand.

Mr. Reyes added that the DA and the Land Bank of the Philippines will launch a P15-billion financing program to support the repopulation efforts of commercial hog raisers.

“Once successful, commercial hog raisers in Luzon, the Visayas and Mindanao that are bio-secured from ASF can continue and even expand their operations,” Mr. Reyes said.

“Hog raising will continue in ASF-free areas across the country,” he added.

The DA proposed to lower tariff rates charged on pork imports within the minimum access volume (MAV) allocation to 5% in the first six months and 10% in the succeeding six months.

It also recommended bringing down the tariffs for out-of-quota pork imports to 15% in the first six months, increasing to 20% in the following six months.

Currently, pork imports inside the MAV quota are charged a 30% tariff, while those beyond MAV pay 40%.

The other DA proposal awaiting approval is to raise the MAV to 404,210 metric tons (MT) from the current 54,000 MT. — Revin Mikhael D. Ochave

First Gen to make 690 MW available for Energy dep’t green energy program

FIRST GEN Corp. said Wednesday that it will make available around 690 megawatts (MW) of geothermal power for the green energy option program (GEOP).

“Primarily, our participation will be through our geothermal plants — Bacman Geothermal in Luzon (with) 140 megawatts (MW); Unified Leyte (plants) in Visayas… (of around 400 or 450 megawatts); in Mindanao, Mt. Apo Geothermal at 100 megawatts,” First Gen Vice-President for Power Marketing, Trading and Economics Carlos Lorenzo L. Vega said at a webinar hosted by the non-governmental organization Center for Renewable Energy and Sustainable Technology.

“(Our planned capacity for the GEOP is a) total of 690 MW,” he said.

Mr. Vega was referring to the total planned capacity of Energy Development Corp.’s Bacman Geothermal, Inc., and First Gen Energy Solutions, Inc., (FGES) which were granted permits to participate in the GEOP by the Department of Energy (DoE).

Bacman Geothermal, Inc. is an indirect wholly-owned subsidiary of Energy Development Corp., a unit of First Gen; while FGES is a wholly-owned unit of First Gen., according to the Retail Electricity Suppliers Association.

The GEOP, which was launched in 2018, allows users consuming at least 100 kilowatts of power to source their supply from retail energy suppliers that generate electricity from renewables.

Mr. Vega described the program as a non-fiscal incentive that was pro-consumer because it gave end-users “the power to choose renewables” for their electricity demands. Aside from saving on generation charges, Mr. Vega said that the program will help consumers comply with the DoE’s guidelines in conserving energy.

“GEOP provides a compliance mechanism for energy conservation, I think you’ll be getting so much value out of GEOP because you’ll be able to realize savings, match and achieve your RE supply commitment, and comply with the DoE’s guidelines for energy conservation,” he said.

At the webinar, Renewable Energy Management Bureau Director Mylene C. Capongcol said that the department has issued GEOP operating permits to six firms which are currently “marketing their services,” including to the Philippine Economic Zone Authority and other commercial establishments.

“So far, there are still three or four applications for RE suppliers that we’re processing. We’re just doing some due diligence as far as those companies are concerned,” Ms. Capongcol said.

Other suppliers which hold GEOP operating permits include: SN Aboitiz Power-Magat, Inc.; SN Aboitiz Power-Res, Inc.; AC Energy Philippines, Inc.; and Solar Powered Agri-Rural Communities Corp. — Angelica Y. Yang

Share swap enabling third telco backdoor listing hurdles competition regulator

A SHARE SWAP that will facilitate the backdoor listing of third telco DITO Telecommunity Corp. has been approved by the competition regulator, with the market proceeding to revalue the shares of one of the swap parties with a 25% drop.

The revaluation came after the financial advisor engaged to provide a fairness opinion on the swap concluded that the transaction’s terms fell outside its own valuation range, to the advantage of DITO CME Holdings Corp., the Udenna Group’s communications, media and entertainment arm.

The other party to the swap was Udenna Communications Media and Entertainment Holdings Corp. (Udenna CME).

“The company… discloses that it has received today, 9 March 2021, clearance from the Philippine Competition Commission with regard to the share-swap transaction,” DITO CME told the bourse.

“The PCC noted that the share-swap transaction does not breach the thresholds prescribed by the Philippine Competition Act and its Implementing Rules and Regulations, and qualifies as consolidation of ownership in the same natural person,” it added.

On Tuesday, DITO CME released the fairness opinion report on the transaction, which was prepared by its financial advisor, Multinational Investment Bancorporation (MIB).

MIB noted that in the share swap transaction, DITO CME will issue 11.2 billion common shares at P6.11 per share in favor of Udenna, in exchange for 10 million shares of Udenna CME.

“This will translate to an actual swap ratio of 1,120:1, or 1,120 DITO CME shares for every share of Udenna CME,” it said.

The fairness opinion on the deal valuation was based on DITO CME shares’ net asset value (NAV) and volume weighted average price (VWAP); and a discounted cash flow analysis and NAV of DITO Telecommunity.

DITO CME’s NAV was estimated at P1.4944 per share, while the VWAP came to P6.2654 per share.

Udenna CME, MIB noted, is not an operating company, and its main asset is its 89% interest in DITO Holdings Corp., a holding company that is separate and distinct from the listed DITO CME.

DITO Holdings’ interest in the third telco was 60.07% prior to the share swap, MIB said.

MIB concluded that the acceptable ratio for a share swap should be a range of 1,238.57-6,005.04 to one. “In other words, for every share of Udenna CME to be acquired, DITO CME should issue between 1,238.57 to 6,005.04 shares,” it said.

“In the planned share swap transaction, DITO CME will only issue 1,120 shares for every Udenna CME share, which is lower than what DITO CME would otherwise issue following our valuation. Hence, we are of the opinion that the actual swap ratio of 1,120: 1 is advantageous to the shareholders of DITO CME,” it added.

DITO CME Holdings shares closed 25% lower at P9.00 on Wednesday. — Arjay L. Balinbin

PHL needs more resources to police illegal fishing — USAID

fish vendor wet market
REUTERS

THE GOVERNMENT needs to devote more resources to curtail illegal, unreported, and unregulated (IUU) fishing, the United States Agency for International Development (USAID) said.

USAID said in a statement Wednesday that it conducted a study with the Bureau of Fisheries and Aquatic Resources (BFAR) which concluded that more government assets are needed to limit the economic losses caused by IUU.

“While the government has invested significant resources in the campaign against illegal fishing, its operational assets have to be augmented to curb the country’s huge economic losses from destructive and unsustainable fishing practices,” USAID said.

The report also noted that compliance with fisheries law and regulations requires a more responsive governance structure, while initiatives to contain IUU fishing need a broader science-based approach.

“IUU fishing ranges from small-scale, unlawful domestic fishing to more complex operations carried out by industrial fishing fleets. It is by nature complex and clandestine, which means data are hard to come by and substantiate,” it said.

The report estimated that IUU fishing in the Philippines accounted for 27% to 40% of the catch, valued at about P62 billion.

“At least 30,000 or 30% of municipal vessels remain unregistered, and commercial fishers do not report up to 422,000 metric tons (MT) of fish each year,” it said.

BFAR National Director Eduardo B. Gongona said the government is currently developing an IUU fishing index and threat assessment tool which will be adopted in fisheries management areas across the country.

“Once fully implemented, this tool will provide us with periodic information needed to identify other ways to encourage voluntary compliance, strategically guide law enforcement operations, and clearly communicate our progress in reducing IUU fishing in the Philippines,” Mr. Gongona said.

“Addressing IUU fishing remains an important Philippine government priority. USAID has worked with BFAR for over three decades to promote sustainable fisheries,” USAID Philippines Mission Director Lawrence Hardy II said.

In 2020, the Philippine Statistics Authority estimated that fish production dropped 0.3% to 4.403 million MT.

Aquaculture accounted for 52.8% or 2.32 million MT, followed by municipal fisheries at 25% or 1.10 million MT, and commercial fisheries at 22.2% or 978,170 MT. — Revin Mikhael D. Ochave

House panel approves resolution declaring housing crisis

A HOUSE committee approved on Wednesday a resolution declaring a housing crisis and called the housing units that will become available next year inadequate to address the shortage.

The House Committee on Housing and Urban Development approved House Substitute Resolution No. 1458, with its members urging the Department of Human Settlements and Urban Development (DHSUD) to focus on providing housing to the poor.

Legislators said the DHSUD needs to better utilize idle government land and expedite its socialized housing program in partnership with the private sector. The Department of Finance and the Philippine Guarantee Corporation were also asked to create a housing finance system that will attract private sector participation.

“It is incumbent upon Congress to determine the efficient mobilization of government resources in the implementation of housing laws which will contribute to our economic recovery, growth and resilience, and will translate to the benefit of present and future generations,” according to the Substitute Resolution said.

Only 777,879 housing units were constructed between July 2016 and June 2020, behind the pace for demand estimated at 6,796,920 housing units by 2022.

“Unfortunately, the housing industry is saddled by rising urban land prices and regulatory costs,” according to a statement issued by the resolution’s co-author, San Jose Del Monte City Representative Florida P. Robes.

The government has allocated less than 1% of the national budget for housing between 2010 and 2021.

The housing crisis has led to the growth of informal settler communities, many of them in Metro Manila. The DHSUD estimates their numbers at 1,898,993 families, including 478,899 in the capital region. — Gillian M. Cortez

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