Stepping down, stepping up

May 14, 2021 | 12:01 am

STEPPING DOWN

PHILIPPINE National Bank is an excellent turnaround story. PNB, then a government bank, even acted as the “de facto central cank” before the establishment of the central bank in 1949. It was THE BANK and nothing came close. It had a colorful history of ups and downs.

After 20 years — starting out as a government nominee director in 2001 and PNB chairman for 15 years — I stepped down as chairman at the stockholders’ meeting on April 27, in compliance with the BSP rule on the independent director nine-year term limit. Vice Chair Rico Alfiler stepped down too.

I am so fortunate to have been blessed to be a part of PNB’s history. In 1999 with assets of P192 billion, capital of P20 billion, operating income of P7 billion, it incurred a P13-billion loss and was placed under rehabilitation. I recall about a dozen BSP examiners held office in PNB as BSP’s “watchdogs.” With the good bank-bad bank strategy and a competent management team, PNB prepaid its P10-billion government financing four years prior to due date. The BSP examiners eventually left and BSP adviser Florido Casuela became PNB director. PNB was fully privatized by 2007. In 2013, PNB and Allied Bank merged and in 2016, PNB celebrated its centennial year.

The PNB board (with icons like Kapitan Lucio Tan, Wash Sycip, Atty. Estelito Mendoza, banker Sonny Vistan, Cecilio Pedro, etc.) was always supportive of management. Management was professional and competent, led by PNB presidents such as former BSP Deputy Governor Feliciano Miranda, Lorenzo Tan, Omar Mier, Eugene Acevedo, Lito Pedrosa, Rey Maclang, and now Wick Veloso.

In 2019, PNB had total assets of P1.1 trillion and capital of P155 billion with operating income of P40 billion and net income of P9.8 billion. Despite the negative impact of the COVID-19 lockdown on the economy, PNB remained profitable in 2020. PNB is the fourth biggest domestic private domestic bank. PNB in 2020 was also distinguished for a three Golden Arrow recognition as one of the model enterprises for corporate governance in the Philippines from SEC and ICD. It received awards as the Best Bank for Corporate Social Responsibility from Asiamoney and Best Managed Bank and Best CEO from The Asian Banker. PNB was also the first universal bank in the Philippines to be certified as gender-equal after receiving its Economic Dividends for Gender Equality Certification. LinkedIn also cited PNB as the Philippines’ best company to work for in 2021 because of its excellent response to the pandemic and managing to remain profitable in 2020

With PNB’s strong management team led by President Wick, capable and diversified board led by Chairman Federico Pascual and Vice Chairman Leonilo Coronel, PNB is the bank you can lean on! For me, PNB Philippine National Bank is PiNakaBest Bank!

STEPPING UP

How fast time really flies! Joel (my sister Kay’s second son and GMA 7 director) and Gidget Jimenez (award-winning children’s author and my partner in the book The Secret is in the Soil) invited me to the virtual graduation (from a double major in Modern Culture & Media and Psychology) of their youngest Sofie at Brown University in Boston. It seems like it was just yesterday when she graduated from International School (IS) and left for college, and now she is graduating. I’m amazed at Joel and Gidget’s transformation as parent role models in bringing up their children (Jaime, Bianca and Sofie) to be so accomplished and achievers. Even more impressive is being down to earth and not feeling “entitled,” the usual downfall in spoiled kids today.

Vicky Herrera, the IS guidance counselor and daughter of icon Wash Sycip (who I miss in PNB Board for his counsel and wisdom), was present and I can sense the guidance, the time, and effort and monitoring she gave to the Jimenez kids. At the wake of Wash Sycip, I was surprised to see the Jimenez kids all lining up. They were there to pay their respects because he, Wash Sycip, was Vicky Herrera’s dad. Salute to you Vicky with the legacy you have given these children.

Congratulations on your graduation, Sofie! We are so proud of you. “As you step out to the world, the world can’t contain you, so don’t hold back” was the message of Brown U to the graduates.

Stepping down and stepping up are different seasons. Miguel Jimenez’ prayer for his cousin Sofie is universal in any season of our life.

“For I know the plans I have for you, declares the Lord, plans for welfare and not for evil, to give you a future and a hope. Then, you will call upon me and come and pray to me, and I will hear you.” — Jeremiah 29:11-12

Flor G. Tarriela is the first female chairman of the Philippine National Bank. She is a former Undersecretary of Finance and the first Filipina vice-president of Citibank N.A. She is a trustee of FINEX and an Institute of Corporate Directors fellow. A gardener and an environmentalist, she established Flor’s Garden in Antipolo, an ATI Accredited Extension Service Provider and a DoT Accredited Agri Tourism Site.

Spending on nonessential items still sluggish in Q1 2021

May 14, 2021 | 12:00 am

Market to take its cue from BSP, economic data

May 13, 2021 | 9:00 pm

PSE-stocks — COURTESY OF PHILIPPINE STOCK EXCHANGE, INC.

INVESTORS are expected to take their cue from the Bangko Sentral ng Pilipinas’ (BSP) recent policy decision and local economic data as the market reopens today after a one-day break.

The benchmark Philippine Stock Exchange index fell by 90.43 points or 1.42% to close at 6,236.40 on Wednesday. The broader all shares index also declined by 49.96 points or 1.27% to 3,858.

Financial markets were closed on Thursday in observance of the Feast of Ramadan or Eid al-Fitr.

“We may have to see how the market reacts to the BSP’s revision of its inflation forecasts for 2021,” Darren Blaine T. Pangan, trader at Timson Securities, Inc., said in a Viber message on Wednesday.

“The market ended on green territory during the first two days of the week, following reports of [improved] trade activity for the first quarter of the year 2021. However, the index slid on Wednesday as investors may have assessed the MSCI rebalancing activities as well as the GDP (gross domestic product) report for the [first] quarter of the year,” Mr. Pangan said.

AAA Southeast Equities, Inc. Research Head Christopher John J. Mangun said the index showed more weakness after the release of “disappointing key economic data.”

“This has generated more fear among investors that the economic situation might be a lot worse than what was perceived,” Mr. Mangun said via e-mail on Wednesday.

“Bank lending for the month of March also contracted by 4.5% mainly due to the decline in loans for production activities. This tells us that companies are currently not doing enough business to justify the need for more liquidity despite lower rates,” Mr. Mangun added.

The BSP held its key interest rate at a record low for a fourth straight meeting on Wednesday, as it continues to support the economy’s recovery from the pandemic.

The Monetary Board maintained the overnight reverse repurchase rate at a historic low of 2%. Both the lending and deposit rates were also kept at 2.5% and 1.5%, respectively.

Meanwhile, the central bank lowered its inflation outlook this year to 3.9%, from a previous estimate of 4.2%. On the other hand, the forecast for 2022 was raised to 3%, from 2.8% previously. This will put inflation back within the BSP’s 2-4% annual target range.

The BSP’s decision to keep rates steady came a day after release of disappointing first-quarter GDP data. For the first three months of 2021, GDP shrank by an annual 4.2%, keeping the economy in a recession for a fifth consecutive quarter.

Mr. Mangun however noted that the market is “forward-looking” and is expected to improve.

“Most are expecting GDP growth in Q2 despite the tighter restrictions. We may see the market lose another 5-7% in the short term although, we still believe that current levels provide a good opportunity for investors in anticipation of higher valuations in the medium to long term,” he said.

Meanwhile, Timson Securities’ Mr. Pangan expects the index to move between 6,010 and 6,500. — Keren Concepcion G. Valmonte

Philippines to again protest Chinese ships at sea

May 13, 2021 | 8:08 pm

By Kyle Aristophere T. Atienza and Vann Marlo M. Villegas, Reporters

THE PHILIPPINES’ top envoy on Thursday ordered his agency to file another diplomatic protest against China for the continued presence of almost 300 ships in the Spratly Islands in the South China Sea.

“Fire a diplomatic protest,” Foreign Affairs Secretary Teodoro  Locsin, Jr. tweeted.

He also criticized a Philippine Task for failing to alert the Department of Foreign Affairs (DFA) before issuing a statement on the Chinese ships.

Hundreds of Chinese militia vessels were still scattered around the Spratlys, both within and outside Manila’s exclusive economic zone, the task force said on Tuesday night.

In a statement, it said 287 Chinese ships were still in Philippine waters, many of them spotted near artificial islands built by China, while some were near islands occupied by Manila, based on patrols made on May 9.

Two Houbei class missile warships were also near Mischief Reef, while two Vietnamese logistics ships and a VN Coast Guard vessel were at Grierson Reef, it said.

Thirty-four Chinese ships also remained at Whitsun Reef, which the Philippines also claims.

The government would continue to defend its sovereign rights and jurisdiction over the “West Philippine Sea,” the task force said, referring to areas of the waterway within the country’s exclusive economic zone.

It said Whitsun Reef, which the Philippines calls Julian Felipe, is within the country’s 200-nautical mile exclusive economic zone and is part of Philippine territory, counting presidential spokesman Herminio L. Roque, Jr.’s earlier claim that the reef was outside the country’s ecozone.

Mr. Locsin on Tuesday said he alone should speak for President Rodrigo R. Duterte on foreign policy matters including the sea dispute with China.

Meanwhile, Mr. Roque said he was still allowed to talk about the South China Sea dispute after talking to the top Philippine envoy.

“We are fine,” he told a televised news briefing. “We agreed that I would continue to talk about international law as a field,” he said in Filipino.

Mr. Roque clarified that Whitsun Reef is part of the territorial sea generated by two high tide elevations occupied by China and Vietnam.

He said the reef, which is within the 200-nautical mile exclusive economic zone of the Philippines, is being claimed by the country based on a presidential decree issued by the late dictator Ferdinand E. Marcos.

‘POLITICIZING’
Mr. Roque insists that government critics have been politicizing the presence of Chinese vessels near the reef

This was not the first time that Mr. Roque and Mr. Locsin clashed over the China issue.

In February, the envoy told Mr. Roque to “lay off” after he suggested that the Philippines should sue China at an international court for passing a law allowing its coast guard to fire at foreign vessels in the waterway.

The Philippines has filed several protests against China over the vessels’ lingering presence in the disputed sea.

This month, Mr. Locsin minced no words in telling the Chinese to get out of Philippine waters in the South China Sea, cussing at its neighbor for failing to reciprocate its goodwill.

The presidential palace later distanced itself from Mr. Locsin, with Mr. Roque saying Mr. Duterte does not approve the use of profanities in the field of diplomacy.

Mr. Locsin later apologized to his Chinese counterpart, Foreign Minister Wang Yi, after his expletive-laden tweet.

A United Nations arbitration court in 2016 rejected China’s claim to more than 80% of the South China Sea. The Philippines under President Benigno S.C. Aquino III filed the lawsuit that critics said Mr. Duterte had failed to pursue.

Aside from the Philippines and China, Brunei, Malaysia, Vietnam and Taiwan also claim parts of the waterway.

Mr. Duterte had said the Philippines and China could settle the dispute peacefully. He also said China was a benefactor, citing vaccine donations and investments from its neighbor.

The tough-talking leader also said he never promised during his presidential campaign to retake the country’s territories in the South China Sea.

He rebuked retired Supreme Court Justice Antonio T. Carpio and former Foreign Affairs Secretary Albert del Rosario, who have spoken against his foreign policy on China, for forcing him to quarrel with his neighbor.

But Mr. Carpio belied the President’s claim, noting that during the campaign, he had promised to fight for Philippine sovereignty over the South China Sea.

He said Mr. Duterte had promised to ride a jet ski to Scarborough Shoal and plant the Philippine flag there.

Mr. Duterte this week said he was just joking.

Palace says ICU bed use rate in metro below critical levels

May 13, 2021 | 8:07 pm

ONLY two-thirds of the capital region’s intensive care unit (ICU) beds for coronavirus patients have been used, suggesting the continued decrease in infections, according to the presidential palace.

The use rate of the beds in Metro Manila and nearby provinces are now below critical levels, presidential spokesperson Herminio “Harry” L. Roque, Jr. told a televised news briefing on Thursday.

Only 46% of isolation beds in the regions were occupied, while 50% of ward beds for coronavirus patients had been used, he added. About 48% of ventilators had been used.

The national use rate for ICU beds was 61%, 44% for isolation beds and 50% for ward beds, Mr. Roque said. He added that 42% of ventilators had been used.

Mr. Roque earlier said the lockdown in Metro Manila would probably be eased this month as coronavirus infections get under control.

Meanwhile, Cabinet Secretary Karlo Alexei B. Nograles said a deal between the government and the proponent of a mega-vaccination site inside an 8.5-hectare urban forest managed by the Nayong Pilipino Foundation (NPF) was being finalized.

“It’s already been vetted by the Department of Tourism, it’s been vetted by the Department of Health (DoH), it’s now going through our government corporate counsel,” he said in a statement.

“Just a few minor edits and it will be signed very, very soon.”

DoH reported 6,385 coronavirus infections on Thursday, bringing the total to 1.12 million.

The death toll rose by 107 to 18,821, while recoveries increased by 4,289 to 1.05 million, it said in a bulletin.

There were 55,260 active cases, 1.4% of which were critical, 93.3% were mild, 2.2% did not show symptoms, 1.9% were severe and 1.18% were moderate.

It said 20 duplicates had been removed from the tally, 18 of which were tagged as recoveries and one as death. Fifty-nine recoveries were reclassified as deaths.

About 11.7 million Filipinos have been tested for the coronavirus as of May 11, according to DoH’s tracker website.

The coronavirus has sickened about 161.1 million and killed 3.3 million people worldwide, according to the Worldometers website, citing various sources including data from the World Health Organization.

About 138.9 million people have recovered, it said. — Kyle Aristophere T. Atienza and Vann Marlo M. Villegas

Gov’t tags 29 people terrorists; council accused of abuse

May 13, 2021 | 8:05 pm

Sison-Philstar — Communist Party of the Philippines founder Jose Maria Sison — PHILSTAR FILE PHOTO

THE GOVERNMENT has labeled 19 members of the Communist Party of the Philippines and its armed wing terrorists, according to an order published in newspapers on Thursday.

The Anti-Terrorism Council also issued a separate order labeling 10 members of Mindanao-based militant groups terrorists.

The Anti-Terrorism Council (ATC) has released on Thursday two separate resolutions wherein a total of 29 central committee members of the Communist Party of the Philippines and the New People’s Army (CPP/NPA) and of local terrorist groups were listed as terrorists.

The council said it had found probable cause based on “verified and validated information” that the 19 Maoist rebels were involved in “planning, preparing, facilitating, conspiring and inciting the commission of terrorism.”

They were also said to have recruited people to their group, which the country’s Anti-Terrorism law prohibits.

These people face criminal charges, apart from existing ones that have been filed in court against many of the suspects, Justice Undersecretary Adrian Ferdinand S. Sugay told reporters on Thursday.

The state may also seize their assets, he added.

Jose Maria “Joma” C. Sison, chief political consultant of the National Democratic Front of the Philippines (NDFP) and one of those tagged, said he and his wife were not bothered by the label.

“The list of names in the designation appears to be arbitrary, dubious and even contradictory or inconsistent” with statements made by “evil minions” the council’s task force.

Both resolutions were signed by council Chairman Salvador C. Medialdea and National Security Adviser and council Vice Chairman Hermogenes C. Esperon, Jr.

Some congressmen slammed the terror lists, which they said was “arbitrary and devoid of due process.”

In a statement, Bayan Muna Rep. Ferdinand Gaite said the list showed how the council could “easily abuse its power.”

Gabriela Rep. Arlene D. Brosas compared the label to a “naughty or nice list.” “While extremely ridiculous, it is deadly and dangerous not just to individuals and well meaning critics but also to whatever democratic space we have left.” — Bianca Angelica D. Anago and Gillian M. Cortez

Duterte calls for peace, healing as the country observes Eid’l Ftr

May 13, 2021 | 8:04 pm

PRESIDENT Rodrigo R. Duterte called for peace and healing on Thursday as the country observed Eid’l Ftr, the end of the Islamic holy month of Ramadan.

“Let us welcome a new hope that this Eid brings — for peace, prosperity, healing and strength as we build a progressive and brighter future for our people,” Mr. Duterte said in his message for the Feast of Breaking the Fast, a national holiday in the largely Catholic Philippines.

The President said he hoped that the end of Muslims’ holy month of fasting would inspire Filipinos to “continue promoting peace, unity and goodwill among our fellow Filipinos.”

Vice President Maria Leonor G. Robredo, in her message, said the celebration “is a continued reminder that we are a single community.”

Meanwhile, One Bangsamoro Movement (1Bangsa) asked the President to certify as urgent the proposed measures seeking to extend the term of the Bangsamoro Transition Authority (BTA) by another three years from 2022.

“Various sectors have spoken loud and clear in endorsing the BTA extension,” 1Bangsa President Alan Balangi-Amer said in a press release.

Mr. Balangi-Amer said a large number of Filipino Muslims favor the extension of the transition period “to sustain the gains of the Comprehensive Agreement on the Bangsamoro.”

He said Congress should “act with dispatch” with only nine remaining session days before it adjourns sine die on June 4. — Kyle Aristophere T. Atienza

ARTA eyes lifestyle check on FDA execs, staff under probe

May 13, 2021 | 8:03 pm

THE ANTI-RED Tape Authority (ARTA) could soon request for lifestyle checks on Food and Drug Administration (FDA) employees and officials under investigation.

The request will be made to the Presidential Anti-Corruption Commission (PACC) with whom ARTA has a partnership to align work on corruption-related complaints sent to either agency.

The red tape watchdog in a statement on Thursday said it has gathered leads on individuals who could be recommended to PACC for lifestyle checks.

“We also have some leads that we are discussing already with our investigation team,” ARTA Director General Jeremiah B. Belgica told One News on Thursday, adding that he cannot offer more details.

“All of the employees or government officials that ARTA would now be filing a case (against) or investigating would immediately be referred to the PACC for lifestyle checks. Automatic na ‘yan,” he said.

ARTA recently issued a show-cause order to the FDA for alleged delays in processing 600 drug certification applications. The order directs FDA Center for Drug Regulation and Research Director IV Jesusa N. Cirunay to “explain why no administrative or criminal case should be filed” against her.

Ms. Cirunay has seven business days to conduct an inventory of all pending permits, release delayed permits, and submit a compliance report to ARTA. Formal charges may be filed against her if she fails to comply.

Several pharmaceutical firms signed affidavits detailing delays on applications submitted as far back as 2014.

Mr. Belgica said that businesses may have lost hundreds of millions of pesos for products not sold to the public because of FDA delays.

“In the time of pandemic, we have these kinds of problems with our regulatory agency of drugs. They should be more compassionate,” he said.

He added that ARTA is not for or against the approval of specific drugs but instead aims to speed up processing. — Jenina P. Ibañez

Philreca denies receiving electric co-op contributions for 2019 campaign

May 13, 2021 | 8:01 pm

THE PHILIPPINE Rural Electric Cooperatives Association (Philreca) Party-list has denied accusations from the anti-corruption commission head that it received contributions from electric cooperatives during the 2019 election campaign.

Presidential Anti-Corruption Commission (PACC) Chairman Greco B. Belgica, in a Palace online briefing on Wednesday, alleged that electric cooperatives released board resolutions allowing for contributions to help the party-list’s campaign. He added that National Electric Administration (NEA) head Edgardo R. Masongsong did not oppose the resolutions.

“The law does not allow public utilities to contribute funds to campaigns of a candidate or a party-list, or use government funds to do so,” Mr. Belgica said in Filipino.

Philreca Party-list Representative Presley C. De Jesus denied the accusation in a statement on Thursday.

“We categorically deny the allegations and condemn any attempt to tarnish the name and reputation of the Party-list…The Party-list did not receive any political contributions from any electric cooperative during the 2019 elections,” he said.

At the same time, Mr. De Jesus pointed out that electric cooperatives are not public utilities.

“Had PACC been more thorough in their research, they would have known that electric cooperatives are not public entities. They are non-stock, non-profit membership organizations supervised by the NEA,” he said.

Mr. De Jesus said the issue arose from a complaint filed by political opponents before the PACC. He added that the party-list has committed itself to transparency and supports any investigation into the matter.

Mr. Masongsong, in a separate statement released by NEA on Thursday, said the PACC head’s allegations are “baseless and malicious.”

“My alleged ‘condoning of the use of public funds to fund the political campaign of PHILRECA Party-list’ is baseless, malicious and a reckless presumption considering that no public funds were ever manipulated for the said purpose,” he said.

Mr. Masongsong said he has yet to receive a copy of the complaint. — Angelica Y. Yang

Philippine gov’t prepares to evacuate Filipinos in Israel

May 13, 2021 | 7:59 pm

DFA-FB-e1604921164768 — DEPARTMENT OF FOREIGN AFFAIRS — *FACEBOOK/DFAPHIL*

THE PHILIPPINE government is now preparing for the possible repatriation of Filipinos in Israel amid the conflict between Palestinian armed groups and Israeli military, Malacañang Palace said on Thursday.

The Department of Foreign Affairs (DFA) is now planning for the possible return of Filipinos and has reminded them to remain safe amid the tension between the two forces.

“Ang naging posisyon din ng DFA, sana po malutas sa mapayapang paraan itong tensiyon na nangyayari po diyan sa Gitnang Silangan (The DFA’s position is that it hopes to see a peaceful resolution to that conflict in the Middle East),” Presidential Spokesman Herminio “Harry” L. Roque, Jr. said.

Palestinian nationalist group Hamas and Israeli armed forces had been in a deadly exchange of fires as Palestinians continue to be evicted from East Jerusalem.

There are more than 30,000 Filipinos in Israel, composed mostly of workers, some students, and diplomats.

The Israeli Embassy in Manila, in a media statement sent via Viber on Thursday, said, “The responsibility for the violence unfolding in Jerusalem, Gaza, and the rest of Israel falls entirely on the terrorist organization Hamas, Palestinian Islamic Johad and other terror supporters.”

“Israel has, had and will take any actions necessary to protect its citizens and noncitizens and will not allow terrorist organizations to attack civilians in Israel without a response,” it said.

The Ben Gurion Airport, the main international airport in Israel, has temporarily stopped all inbound and outbound flights.

“We call on all Overseas Filipino Workers who are in Israel to listen to the safety instructions and strictly follow the directives of IDF Home Front Command,” the embassy said.

Israeli police earlier arrested and evicted Palestinians from the neighborhood of Sheikh Jarrah.

Israeli security forces have used “repeated, unwarranted and excessive force against Palestinian protesters in occupied East Jerusalem following four days of violence in which 840 Palestinians were injured,” Amnesty International said in a statement on May 10.

“The latest violence brings into sharp focus Israel’s sustained campaign to expand illegal Israeli settlements and step up forced evictions of Palestinian residents — such as those in Sheikh Jarrah — to make way for Israeli settlers,” it said. “These forced evictions are part of a continuing pattern in Sheikh Jarrah, they flagrantly violate international law and would amount to war crimes.” — Kyle Aristophere T. Atienza

Solon calls for house-to-house vaccination for PWDs

May 13, 2021 | 7:58 pm

A LAWMAKER called on the national government to implement a policy of house-to-house coronavirus vaccination for persons with disabilities (PWDs).

Quezon City Rep. Alfred D. Vargas, in a statement on Thursday, said he filed House Resolution 1727 after seeing Quezon City and some other local governments doing this for those who cannot go to coronavirus disease 2019 (COVID-19) vaccination centers, particularly the elderly.

“Dapat itong suportahan at palawakin pa ng national government para mas marami nating kababayan ang makinabang (This should be supported further and expanded by the national government so more Filipinos will benefit from this),” he said.

Apart from PWDs, other people with limited mobility access are the target beneficiaries of the proposal.

“It is the duty of the government to ensure with urgency that our services for the people are made accessible especially for the marginalized and underprivileged,” he said. — Gillian M. Cortez

Storm Crising expected to make landfall over Davao Oriental-Surigao del Sur area

May 13, 2021 | 7:58 pm

TROPICAL storm Crising, the 3^rd typhoon to enter the Philippines this year, is crossing Mindanao and is expected to make landfall Thursday night or early Friday over the Davao Oriental-Surigao del Sur area, according to state weather agency PAGASA.

As of Thursday afternoon, tropical wind signals 1 and 2 in a 5-level warning system were up in various parts of the southern islands as well as the southeastern portion of Negros Oriental in the Visayas.

“Slight intensification is likely and is forecast to remain (a) tropical storm prior to landfall,” PAGASA said in its 5 p.m. Tuesday bulletin.

Crising is forecast to weaken into a tropical depression by Friday “as it traverses the rugged landmass of Mindanao and will emerge over the Sulu Sea on Saturday early morning,” the weather bureau said.

Local disaster management teams have been placed on high alert for possible floodings and landslides with the expected heavy rainfall in some areas.

As of Thursday afternoon, Crising was packing winds of 65 kilometers per hour (km/h) and gustiness of up to 80 km/h. — MSJ