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Bayanihan III to head off economic scarring, legislator says

THE third stimulus package and expanding healthcare capacity will be key to minimizing any long-term damage, or “scarring,” to the economy, a key legislator said.

“Through effective and targeted fiscal spending and better management of our National Health Insurance System, we can mitigate the scarring effect on our economy and build towards inclusive recovery and resilience,” Marikina Rep. Stella Luz A. Quimbo said in a Viber message.

The proposed Bayanihan to Arise as One Act, also known as Bayanihan III, allocates up to P400 billion for stimulus measures to revive the economy. It remains pending at the Senate, after it was passed by the House of Representatives in June.

The government has said it can only identify P175 billion in funding to support any such bill.

The International Monetary Fund in August said the economy might take three to five years before returning to pre-pandemic levels.

Economic managers last month downgraded their full-year growth target to 4-5% from 6-7% previously, acknowledging the impact of the infection surge and the return of lockdowns in August.

The need for further stimulus has become more urgent, Ms. Quimbo said.

She noted that scarring has already happened in sectors such as tourism and transportation.

Ms. Quimbo said Bayanihan III can mitigate long-term damage via measures like the P2,000 cash aid allocation for all citizens as well as financial assistance to households that need to undergo isolation.

She said the bill’s provision for assistance to businesses and displaced workers will also help heavily-affected industries. — Luz Wendy T. Noble

Reduced agriculture budget allocations questioned in House committee

A MEMBER of the House Committee on Agriculture and Food has queried the Agriculture department over its reduced budget allocations for farm-to-market roads (FMRs) and other programs.

Nueva Ecija Rep. Estrellita B. Suansing at the committee hearing Tuesday noted a “disconnect” in the Department of Agriculture’s priorities, citing the reduced 2022 budgets for FMRs.

“The budgets for some of the programs like FMR, high-value crops, and corn went down. Why the budget decrease?” Ms. Suansing said.

During the hearing, DA Budget Division Chief Telma C. Tolentino said the department’s overall budget proposal for 2022 is P91 billion, which if approved would represent a 1.05% increase from this year’s funding level.

Ms. Tolentino said the proposed budget for FMRs was reduced by 57.5% to P4.98 billion, while that for high-value crops fell 18.17% to P1.47 billion.

Ms. Tolentino also said the proposed funding for the corn program declined 1.32% to P1.49 billion.

In response to Ms. Suansing’s comments, Agriculture Undersecretary Fermin D. Adriano said the priorities are “right,” adding that allocations are the responsibility of the Department of Budget and Management.

“In fact, when we discussed the budget, we really need a lot of support for corn if we are going to have a repopulation of our hog industry because it is an important ingredient for feed,” Mr. Adriano said.

“I just pray that as far as the budget for FMR is concerned, Congress can retain the 2022 budget at P11.72 billion as provided in this year’s budget instead of cutting it down so that the projects of the various districts can be addressed by the DA,” he added.

In August, the DA adjusted its 2021 full-year growth target for the agriculture sector to 2% from 2.5% due to pandemic-induced lockdowns and the effects of the African Swine Fever on the hog industry. — Revin Mikhael D. Ochave 

Philippines logs 18,000 new COVID-19 infections

PHILIPPINE STAR/ MICHAEL VARCAS

PHILIPPINE health authorities reported 18,012 coronavirus infections on Tuesday, bringing the total to 2.12 million.

The death toll rose to 34,498 after 161 more patients died, while recoveries increased by 18,945 to 1.93 million, the Department of Health (DoH) said in a bulletin.

There were 158,637 active cases, 92% of which were mild, 3.4% did not show symptoms, 1.4% were severe, 2.49% were moderate and 0.7% were critical.

The agency said 35 duplicates had been removed from the tally, 28 of which were tagged recoveries, while 105 recoveries were reclassified as deaths. Thirteen laboratories failed to submit data on Sept. 5.

Data from the Health department showed that 79% of intensive care units in the country had been used, while 80% of COVID-19 dedicated beds were occupied. It added that 63% of the country’s mechanical ventilators had been used.

The agency said 14 of 32 coronavirus referral centers in the country were at critical risk level in terms of use.

As of Sept. 5, the Research Institute for Tropical Medicine in Muntinlupa City and Amai Pakpak Medical Center in Marawi City were fully occupied.

It said 99% of Southern Philippines Medical Center in Davao City and 96% of the National Kidney Transplant Institute and Lung Center of the Philippines in Quezon City and Baguio General Hospital and Medical Center had been occupied.

The use rate was also above 85% in Quirino Memorial Medical Center in Quezon City, Philippine General Hospital in Manila, Batangas Medical Center, Jose B. Lingad Memorial Regional Hospital in Pampanga, Dr. Paulino J. Garcia Memorial Research and Medical Center in Cabanatuan, Dr. Jose N. Rodriguez Memorial Hospital in Caloocan and Cagayan Valley Medical Center.

The presidential palace on Tuesday said granular lockdowns in the capital region had been deferred.

Metro Manila would remain under a modified enhanced community quarantine until Sept. 15 or until the pilot targeted lockdowns are enforced, presidential spokesman Herminio L. Roque, Jr. said in a statement.

Indoor and al-fresco dine-in services, personal care services including beauty salons, beauty parlors and nail spas would remain prohibited, he said.

Immediate family members would be allowed to attend necrological services, wakes, inurnment and funerals as long as the deceased died of non-COVID-19 causes.

“However, they need to show satisfactory proof of their relationship with the deceased and have to comply with the minimum public health standards,” Mr. Roque said.

Earlier on Tuesday, the palace failed to detail the guidelines for the pilot-testing of localized lockdowns in Manila, the capital and nearby cities despite the scheduled enforcement on Sept. 8.

The guidelines were still being discussed, presidential spokesman Herminio L. Roque, Jr., told a televised news briefing. Further details on the lockdown strategy would be released once they become available.

The National Government has said the new lockdown strategy would give Metro Manila mayors more flexibility to contain the coronavirus.

Health Undersecretary Maria Rosario S. Vergeire earlier said localized lockdowns would help the government focus its pandemic efforts on high-risk areas.

The OCTA Research Group from the University of the Philippines has raised concern about the strategy.

There is no evidence to prove that granular lockdowns could address a widespread community transmission, it said.

Regional coronavirus lockdowns have been costly for the Philippine economy, which was now expected to grow less than expected after Metro Manila was placed under an enhanced community quarantine last month amid a fresh surge in infections caused by a more contagious Delta variant.

Mr. Roque has said the enhanced community quarantine might not be enough and the government must come up with a new strategy to contain the virus.

Meanwhile, the Philippine Chamber of Commerce and Industry (PCCI) pushed for the full reopening of the economy regardless of whether it achieves herd immunity against the coronavirus.

In a statement, the country’s largest business group said a 50-100% target inoculation of the country’s populations seemed elusive.

PCCI acting President Edgardo G. Lacson praised the move to granular lockdowns in places with high infection rates, which he said would allow both essential and nonessential businesses to operate.

But he said some health experts think it was impossible to achieve herd immunity amid the mutation of the virus and slow vaccine rollout. 

“The COVID-19 virus and its variants will be here forever but it can be contained by simply observing prescribed health protocols of masking, handwashing and social distancing,” Mr. Lacson said.

He said the country should continue vaccination, testing and contact tracing efforts. “It must be recognized by authorities that a lockdown, whether region-wide or granular, remains disruptive and a disincentive to business operations.”

Only 13% of the population was fully vaccinated, the Johns Hopkins University COVID-19 tracker showed.

A study published in the Journal of Infectious Diseases in November found that region-wide mitigation strategies such as stay-at-home orders were linked to lower COVID-19 transmission rates.

The Mayo Clinic said achieving herd immunity through vaccination had become difficult because of uneven vaccine rollouts, vaccine hesitancy and questions on how long the shots protect people against the virus as new variants emerge. — Kyle Aristophere T. Atienza and Jenina P. Ibañez

Pacquiao dropped from ruling party’s 2022 senatorial slate

SENATOR MANNY PACQUIAO FB PAGE

A FACTION of the ruling PDP-Laban has dropped Senator Emmanuel “Manny” D. Pacquiao from its senatorial slate for the 2022 elections, according to a party official.

The boxing champion had not only closed the door to the party but also “burned the bridges,” Energy Secretary Alfonso G. Cusi, the faction’s president, told an online news briefing on Tuesday.

Last month, the faction endorsed President Rodrigo R. Duterte’s vice presidential bid and a potential presidential run by his long-time aide, Senator Christopher Lawrence T. Go.

The Cusi wing is set to hold a national convention in Pampanga on Sept. 8 to announce its potential bets for 2022 amid a coronavirus pandemic.

“The event will not be a super spreader event,” party spokesman and Interior and Local Government Undersecretary Jonathan E. Malaya told the same briefing.

“We are doubling all of our protocols, not just the ones enforced by the Inter-Agency Task Force but also the Presidential Security Group, which is securing the President, to make sure that all regulations are fully complied with,” he added.

Melvin Matibag, the Cusi faction’s secretary general, said they have asked the Commission on Elections to declare the faction led by the boxing champion and Senator Aquilino Martin L. Pimentel III illegitimate.

Political analysts have said that the Mindanao support for the Dutertes would be split if Mr. Pacquiao goes ahead with his presidential ambition.

The boxing champ, who has criticized Mr. Duterte’s handling of the sea dispute with China and his anti-corruption drive, is said to be seeking the presidency.

Earlier this week, Vice-President Maria Leonor “Leni” G. Robredo said she was open to supporting a tandem between Manila Mayor Francisco Domagoso III and the boxing champ just to end the current brand of governance.

On Tuesday, she said she was still open to run for President next year, adding that she had not endorsed any candidates.

“My only point is that the goal of everyone who believes in a humane and proper rule is clear: change the current system,” she said in a statement in Filipino.

Ms. Robredo has said she was willing to listen to the proposals of various factions critical of the administration. She also cited the need to form a coalition to defeat administration bets. — Kyle Aristophere T. Atienza

Senate orders arrest of President’s former economic adviser

THE SENATE blue ribbon committee on Tuesday ordered the arrest of President Rodrigo R. Duterte’s former economic adviser after he snubbed two hearings investigating government contracts for the purchase of pandemic-related supplies.

The body ordered the arrest of businessman Michael Yang and five officials of Pharmally Pharmaceutical Corp. — Mohit Dargani, Twinkle Dargani, Justine Garado, Linconn Ong and Krizle Grace U. Mago — Senate President Vicente C. Sotto III, who signed the warrants, told reporters in a Viber group message.

“If a subpoena is served and they refuse [to receive it], and we have reason to believe that he stays in the area, we can serve a warrant of arrest,” Senator Richard J. Gordon, who heads the committee, said at a hearing.

Mr. Yang or Yang Hong Ming, a Chinese national, would attend the next Senate hearing, his lawyer Raymond Parsifal A. Fortun said on Tuesday. He also asked that the summons be sent to his law office in Las Piñas City.

Meanwhile, the Senate committee also ordered the Bureau of Internal Revenue to publish the tax records of Pharmally.

Pharmally Chairman and President Huang Tzu Yen and company accountant Iluminada Sebial attended Tuesday’s hearing.

Meanwhile, a Filipino medical supplier was forced to ship 75% of its contract for surgical masks below the initial price of P13.50 to P2.50 a piece due to shipping delays.

Ferdinand Ferrer, chairman of EMS Components Assembly, Inc. told senators on Tuesday they fulfilled the contract. “We were awarded a 100-million-piece contract at P13.50; only 25% of that 100 million was shipped at P13.50, and the 75% was shipped at P2.50.”

EMS, an electronic manufacturing supply company that started making medical equipment amid a coronavirus pandemic, won P523 million of the government’s multi-billion-peso contract,,, he said, adding that theirs was the “first and last contract” with the government.

In contrast, Pharmally, which sold surgical masks for as much as P28 each, received P8.6 billion worth of contracts.

Mr. Ferrer said that the company’s board agreed to repurpose a section of their factory after the Trade department asked them to make medical-grade face masks. “It was a risk, but it was our duty to produce.”

Senator Panfilo M. Lacson, Sr. asked why foreign companies got favored over local companies.

“We never favored anybody, vaccine czar Carlito G. Galvez, Jr. told the hearing.

Former Budget Undersecretary Lloyd C. Lao, said EMS’ first delivery only contained a million masks, which was not enough. — Alyssa Nicole O. Tan

Typhoon Jolina weakens after 6 landfalls

CITY GOVT OF ORMOC

TYPHOON JOLINA, with international name Conson, weakened into a severe tropical storm Tuesday morning after making six landfalls beginning Monday night, dumping heavy rains in parts of Eastern Visayas in central Philippines.

There were no immediate reports of injuries or deaths but some residents in Ormoc City, among other areas, were evacuated due to unexpected flash floods as the storm veered from its forecasted path.

Several local governments reported toppled electricity posts and trees, and damage to public structures such as schools. 

State weather bureau PAGASA said the first five landfalls were in different towns in the Samar provinces from Monday evening to Tuesday morning. The 6th landfall was in Dimasalang, Masbate.

In its 5 p.m. bulletin on Tuesday, PAGASA said Jolina was no longer expected to intensify until after it crosses Luzon mainland in the north.

As of 4 p.m. the storm was located 60 kilometers (km) west-northwest of Masbate City, with maximum sustained winds of 100 km per hour near the center and gustiness of up to 125 km/hr.

Cyclone wind signals at levels 1 to 2 were up in various areas in the Luzon mainland and surrounding islands provinces.

From Wednesday to Thursday morning, the tropical cyclone is seen to traverse the regions of Calabarzon and Central Luzon before exiting the country’s landmass, according to PAGASA’s forecast. It is expected to further weaken into tropical storm category as it crosses Luzon. — MSJ

Stocks rise as gov’t opts for targeted lockdowns

BW FILE PHOTO

PHILIPPINE shares closed higher on Tuesday after the government eased quarantine restrictions in Metro Manila in favor of targeted lockdowns.

The benchmark Philippine Stock Exchange index (PSEi) gained 35.61 points or 0.51% to close at 6,912.71 on Tuesday, while the broader all shares index climbed 20.03 points or 0.47% to end at 4,275.76.

“This came as investors were cheered by the decision to place the National Capital Region (NCR) under general community quarantine with granular lockdowns beginning Sept. 8,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said in a Viber message.

“The easing of restrictions in the NCR, which is the biggest contributor to the economy region-wise, is seen to mitigate the country’s overall economic losses,” he added.

Metro Manila will implement granular lockdowns beginning on Wednesday even after the Health department logged a record 22,415 new coronavirus disease 2019 (COVID-19) cases on Monday. Presidential spokesman Herminio “Harry” L. Roque, Jr. said final guidelines will be announced by Tuesday or Wednesday.

“Investors also brushed off the latest inflation print, which showed an acceleration in August of 4.9%,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a separate Viber message.

Preliminary data from the Philippine Statistics Authority showed headline inflation in August picked up to 4.9% from four percent in July.

This is higher than the 4.4% median in a BusinessWorld poll of 16 analysts and was at the high end of the 4.1% to 4.9% estimate given by the Bangko Sentral ng Pilipinas. It also went beyond the central bank’s 2-4% target for 2021.

“Lastly, the Japan Credit Rating Agency (JCR) affirmed the country’s A- rating due to its economic resilience, relatively low debt levels, and unimpaired fiscal soundness,” Mr. Limlingan added.

JCR also kept its “stable” outlook on the rating, meaning the country is expected to maintain the country’s rating in the next 12 to 18 months.

Sectoral indices were split on Tuesday. Services gained 18.19 points or 1.03% to 1,780.93; holding firms went up by 68.77 points or 0.99% to 6,989.85; and property rose by 9.88 points or 0.322% to close at 3,086.71.

Meanwhile, financials lost 9.20 points or 0.63% to 1,448.09; mining and oil shaved off 33.76 points or 0.34% to finish at 9,655.96; and industrials went down by 14.17 points or 0.14% to 10,125.28.

Value turnover inched up to P5.4 billion with 1.96 billion shares switching hands on Tuesday, from the P5.30 billion with 1.8 billion shares traded the previous day.

Advancers beat decliners, 119 versus 76, while 41 names closed unchanged.

Net foreign buying slowed to P108.85 million on Tuesday from P263.06 million on Monday. — Keren Concepcion G. Valmonte

SMC to provide water supply in seven additional Bulacan towns

PPP.GOV.PH

SAN MIGUEL Corp. (SMC) is set to provide water supply to seven more towns in Bulacan under the Bulacan Bulk Water Supply project. 

The company said in a statement on Tuesday that it recently formalized agreements with the water districts of Norzagaray, Hagonoy, Pandi, Baliwag, San Rafael, San Miguel, and San Ildefonso for water supply access in their respective areas. 

SMC President Ramon S. Ang said the company is eyeing to begin operations by January 2023.

“With these agreements signed with the seven water districts, and with the Metropolitan Waterworks and Sewerage System (MWSS) having approved the updated business plan, we can now start preliminary engineering design, and then construction,” Mr. Ang said.

SMC said it hopes to sign agreements with four other water districts in Bulacan, namely: Pulilan, Angat, Dona Remedios Trinidad, and Bustos in the near future.

The bulk water supply project is a public-private partnership project of SMC unit Luzon Clean Water Development Corp. and K-Water Resources Corp. consortium with the MWSS. — Revin Mikhael D. Ochave

Bangsamoro women get boost on governance participation with UK, CRS program 

WOMEN LEADERS and organizations in the Bangsamoro region are getting support to strengthen their participation in governance through a nine-month program backed by the British government and humanitarian agency Catholic Relief Services (CRS).

The program Advancing Inclusion and Political Participation of Women in the Bangsamoro, with a P13.7-million funding and launched on Sept. 7, will provide leadership trainings, research on women’s engagement, and consultations for the inclusion of women concerns in local plans, policies and budgets.

Bangsamoro Parliament Member Bainon G. Karon, who leads the Regional Commission on Bangsamoro Women, said there is a need to increase their sector’s role in the region that is currently undergoing transition.   

“Across the Bangsamoro, there are only 221 women provincial and municipal leaders. Of the 80-member Parliament, only 13 are women. This has to change. We need to bring more women in to help shape policies and decisions. We need to engage more women and involve vulnerable groups,” she said in a statement from CRS.

British Ambassador-Designate to the Philippines Laure Beaufils said the program will support 300 women leaders and 18 women’s associations.

“Addressing gender inequality and promoting women’s participation and representation is a top priority for the UK Government. We strive to ensure that this is embedded in all our projects and policies in the Philippines and across the globe,” he said in the statement.

CRS is implementing the program in partnership with local organizations Integrated Mindanaons Association for Natives (IMAN), Inc. and United Youth for Peace and Development (UNYPAD), Inc. — MSJ

Peso sinks to P50:$1 level on Aug. inflation

BW FILE PHOTO
THE PESO dropped against the dollar on Tuesday as inflation picked up in August. — BW FILE PHOTO

THE PESO fell to the P50-per-dollar level anew on Tuesday due to faster-than-expected August inflation.

The local unit closed at P50.025 versus the greenback on Tuesday, shedding 10 centavos from its P49.925 finish on Monday, data from the Bankers Association of the Philippines showed.

The peso opened Tuesday’s session at P49.95 per dollar. Its weakest showing was at P50.04, while its intraday best was at P49.87 versus the greenback.

Dollars exchanged increased to $788.45 million on Tuesday from $717.4 million on Monday.

A trader said the peso weakened following the release of data showing inflation picked up in August.

The consumer price index (CPI) rose 4.9% last month, surpassing the central bank’s 2-4% target and picking up from the 4% print in July. This was the fastest headline inflation pace in more than two years or since the 5.1% logged in December 2018.

Last month’s CPI reading was also quicker than the 4.4% median estimate of 16 analysts in a BusinessWorld poll and fell at the high end of the central bank’s 4.1-4.9% estimate for the month.

Meanwhile, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the peso dropped against the dollar as coronavirus cases continued to rise.

The Health department reported 18,012 new infections on Tuesday, bringing active cases to 158,637.

For Wednesday, Mr. Ricafort gave a forecast range of P49.90 to P50.10 per dollar, while the trader expects the local unit to move within P49.95 to P50.20. — LWTN

Marawi group calls on Senate to prioritize compensation bill after House approval

DHSUD

A MULTI-STAKEHOLDER group from Marawi appealed to the Senate to hasten action on the bill that will give compensation to residents whose properties were damaged during the 2017 siege following Monday’s final approval of the counterpart measure in the House of Representatives.

“As we countdown to the fifth year since the war, we hope our dear Senators will heed our call and expedite the passage of a Marawi compensation bill as a sign of sincerity and willingness to help us, victims of war, in this long process of recovery,” the Marawi Reconstruction Conflict Watch said in a statement released late Monday.

House Bill 9925 or Marawi Compensation Act, approved on third and final reading by 197 representatives, also institutionalizes the multi-agency Task Force Bangon Marawi that is handling the city’s ongoing reconstruction.

The Senate version is pending at the committee level.

Century Pacific assists Zamboanga fishing communities through adopt-a-farm program 

DOLE REGION 9

CENTURY PACIFIC Food, Inc. (CNPF) has joined the Labor department’s livelihood program that allows companies to source produce direct from farms tended by workers displaced during the closed fishing season in Zamboanga.   

In a statement disclosed to the exchange on Tuesday, CNPF said it inked an agreement with the Department of Labor and Employment for the Project Hope Adopt-A-Farm program via its nonprofit affiliate, RSPo Foundation, Inc.

“These workers have a sustainable source of income through the farm, their families sell their produce to a ready buyer — us, and we have convenient and reliable access to much needed raw materials for our sardines business,” said Kamille Corpuz, program manager of RSPo Foundation.

Project Hope aims to help communities have alternative income source during the annual closed fishing season in Zamboanga Peninsula from Dec. 1 to March 1.

CNPF said it is the first company to join Project Hope. It has already adopted three greenhouse farms. — Keren Concepcion G. Valmonte