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Half of women put off by macho language in job adverts

While 80% of women said they would not consider working in engineering, 56% were interested in the job once the advert had been rephrased, including replacing the word “engineer” with “network coordinator.”

LONDON — Biased language in some job adverts in Britain deters as many as one in two women from applying, a study said on Wednesday, amid a push to attract more women to male-dominated sectors.

Openreach, which operates most of the country’s broadband network, found that women’s interest in applying for an engineering job increased by more than 200% when changes were made to language in an advert.

The company asked 2,000 women about two different adverts for the same job, and found they were put off by macho phrases like “being on the road in your van” and “getting your hands dirty” and mention of climbing a telegraph pole.

“We were amazed to see just how much of a difference language makes,” said Kevin Brady, human resources director for Openreach, which is seeking to recruit women for 500 out of 2,500 new engineering jobs this year—10 times historic levels.

“We hope that this will be the catalyst for helping to break down barriers stopping women from considering a role in engineering.”

While 80% of women said they would not consider working in engineering, 56% were interested in the job once the advert had been rephrased, including replacing the word “engineer” with “network coordinator.”

The new advert also listed skills in more neutral language, stipulating that applicants should not be afraid of heights and be good at getting things done.

Just over 3% of Openreach engineers are women compared to 11% of engineers nationally.

With a quarter of respondents, who were aged 18 to 55, saying they still believed certain roles were more suited to men, the researchers said the findings had implications for many other industries.

Lawmaker Caroline Nokes, chair of parliament’s women and equalities committee, said encouraging more women into engineering had been a battle for decades.

“This study takes a big step towards removing barriers which would stop women even considering themselves for roles they are perfectly capable of doing.”

Hilary Leevers, chief executive of Engineering UK which works to increase diversity in the sector, urged other companies to review the language they used in advertisements.

The study, carried out with linguistic specialists Linguistic Landscapes, also showed 55% of respondents were possibly considering a new career because of the pandemic.

“There has never been a more important time to tear down barriers to recruitment and open up previously closed sectors,” Openreach’s Mr. Brady said. — Emma Batha/Thomson Reuters Foundation

US to require negative COVID-19 tests for arriving international air passengers

All travelers aged two and older must comply except passengers who are only transiting through the United States.  The CDC will also consider waivers of testing requirements for airlines flying to countries with little or no testing capacity.

WASHINGTON — Nearly all air travelers will need to present a negative coronavirus test to enter the United States under expanded test testing requirements announced on Tuesday.

Under the rules taking effect Jan. 26, nearly all travelers including US citizens must show a negative test within three days of departure or documentation of recovery from COVID-19, under an order signed by US Centers for Disease Control and Prevention (CDC) Director Robert Redfield.

All travelers aged two and older must comply except passengers who are only transiting through the United States. The CDC will also consider waivers of testing requirements for airlines flying to countries with little or no testing capacity, including some places in the Caribbean.

The order dramatically broadens a requirement imposed on Dec. 28 for travelers arriving from the UK as a more transmissible variant of the virus circulated there.

In an interview, Dr. Martin Cetron, director of CDC’s global migration and quarantine division, said, “We have to really up the ante… We have to take these mutations seriously.”

Canada imposed similar rules for nearly all international arrivals starting Jan. 7, as have many other countries.

The CDC confirmed last week it had circulated a proposal to expand the testing requirement after discussing the idea for weeks. Some senior White House officials opposed it, and officials briefed on the matter said last week that US public health officials had essentially given up winning approval until President-elect Joseph R. Biden Jr. took office.

At a White House meeting on Monday, Mr. Redfield again made an urgent case to adopt the testing requirements, people briefed on the meeting said. He raised concerns that vaccines could potentially not be effective against virus variants.

Airlines for America, an industry trade group, praised the testing plan. Airlines had also wanted a ban to be dropped on most non-US visitors who have recently been in Brazil and most of Europe, but the White House opted not to end it.

Mr. Cetron said the entry restrictions should “be actively reconsidered.”

Mr. Cetron confirmed the CDC has discussed the idea of expanding the testing requirement to domestic US flights but emphasized the new order only applies to international flights. — David Shepardson/Reuters

Global investors call for end to seafarers marooned at sea due to coronavirus

About 90% of world trade is transported by sea, and coronavirus restrictions in many jurisdictions are affecting supply chains.

LONDON — A group of leading investors on Wednesday called for an end to a crisis involving hundreds of thousands of seafarers stuck on ships for many months due to coronavirus disease 2019 (COVID-19), warning that the situation was creating bigger risks every day.

About 90% of world trade is transported by sea, and coronavirus restrictions in many jurisdictions are affecting supply chains.

In December the United Nations (UN) General Assembly urged all countries to designate seafarers and other maritime personnel as key workers. The non-binding resolution came after an earlier call in June by UN chief Antonio Guterres.

In a letter sent to Mr. Guterres in late December, the investor group, which represents over $2 trillion in assets, said that it was “no longer solely a shipping industry problem”.

Shipping industry officials say many sailors are at breaking point and many have been at sea for longer than an 11-month limit laid out in a maritime labor convention.

This is the first time that such a group of investment companies have joined the efforts to ensure seafarers do not have to exceed their maximum working limit, while also calling for key worker status to accelerate their transfers from ships even during lockdowns.

Vincent Kaufmann, chief executive of the Ethos Foundation, which includes Swiss pension funds, described the situation involving an estimated 400,000 merchant sailors as “a humanitarian tragedy as well as a major supply chain risk for many companies.”

“If nothing is done, it’s just a matter of time before something disastrous happens,” Jenn-Hui Tan, with Fidelity International which is leading the investor group, told Reuters separately.

“The performance of some of the companies we invest in will ultimately be linked to the safety of cargoes being handled by seafarers. Ensuring that the rights and interests of seafarers are represented helps lower the operational risks.” — Jonathan Saul/Reuters

MR.D.I.Y. Philippines making an impact on the environment

The largest home improvement retailer in Southeast Asia, MR. D.I.Y. planted its 100 seeds and turned over cash proceeds from The Good Bag, Reusable Bag campaign last January 8, 2021, to ABS CBN Foundation Inc. Bantay Kalikasan Mother Nurture campaign for the benefit of La Mesa Watershed.

The ceremonial turnover kick-started with a short program where MR.D.I.Y. Philippines Marketing Manager Mark Charles Salecina said, “The Good Bag campaign aims to do good not only to our valued customers but gather funds to adopt 100 trees for La Mesa Watershed by selling reusable eco bags at the 100 MR.D.I.Y. stores nationwide. MR.D.I.Y. Philippines wants to give back something good to the community by protecting the environment.”

D.I.Y. Philippines Chief Operating Officer (COO) Ms. Roselle Marisol Andaya expressed her gratitude and said, “Today, before MR.D.I.Y. Philippines turns over the cash proceeds from the successful campaign to the foundation, as well as plant 100 more trees, which coincide with the most recent 100th store opening at SM Hypermarket Novaliches, I would like to sincerely thank our valued customers who supported this campaign, our hardworking team of MR.DIYers across all departments in the smooth execution of The Good Bag campaign, and more importantly, to ABS CBN Foundation Inc. for initiating sustainability programs for our environment and allowing us, retail establishments to somehow contribute to such a worthwhile endeavor.”

The cash donation of Three Hundred Seventy-Four Thousand Seventy-Four pesos (Php375,074.00) was received by Ms. Sarah Agcaoili, Officer-in-Charge & Operations Head and Mr. Mar Zeri Ramirez, Officer-in-Charge & Operations Manager of ABS CBN Foundation Inc. Bantay Kalikasan-Save the La Mesa Watershed.

The day ended with planting seedlings which signifies our efforts to do good for the environment as these ensure we have enough trees, clean air and water now and for the next generations to come.

For more MR.D.I.Y corporate social responsibility (CSR) updates, please visit MR. D.I.Y. official Facebook at @mrdiyPHand corporate website atwww.mrdiy.com/ph.

Pandemic cut traffic congestion in most countries last year — report

Congestion declined sharply on the gridlocked roads of crowded cities, including Los Angeles (pictured), Bengaluru, and Mexico City in 2020, location technology company TomTom said.

NEW YORK/LONDON — Coronavirus-induced lockdowns caused annual traffic congestion to fall in most countries for the first time in at least 10 years, disrupting long-held traffic patterns like the dreaded morning commute to work, a report released on Tuesday showed.

Congestion declined sharply on the gridlocked roads of crowded cities, including Los Angeles, Bengaluru, and Mexico City in 2020, location technology company TomTom said. The pandemic is expected to weigh again on traffic congestion this year, said Nick Cohn, TomTom’s senior traffic expert.

“We’re going to see continued restrictions through the first half of the year, and I think we’re going to see a lot of ups and downs before we’re really getting back to any normal driving patterns and traffic activity levels,” Mr. Cohn told Reuters in an interview.

TomTom’s report is based on data from 416 cities in 57 countries. It has published its traffic index for 10 years.

The downturn in congestion in the United States was more prolonged compared with Europe last year because US coronavirus cases stayed relatively high during the summer and early fall, Cohn said.

In the United States, Los Angeles, New York, and Miami were the most congested cities, though traffic in each city dropped from 2019 levels by 36%, 30% and 26%, respectively, TomTom data showed.

Overall, Moscow was the most congested city in 2020, but traffic fell 8% from 2019. Bengaluru was the most congested city in the world in 2019, but it fell to sixth in 2020 with nearly a 30% drop in traffic year-on-year.

Traffic in London and Paris was almost 20% lower than in 2019, and traffic in Madrid and Rome dropped 35% and 29%, respectively. Berlin experienced only a 6% traffic fall compared with 2019.

Traffic patterns like the daily morning commute to work—a mainstay for decades—could shift because of increased flexibility around remote work for employees, Mr. Cohn said.

“In the US, Canada, and Mexico, if you look at peak travel patterns, the morning peak seems to have melted away,” he said. “We have never seen that before.”

Traffic congestion during rush hours last year decreased by 25% globally, said Stephanie Leonard, TomTom’s head of traffic innovation and policy.

As more people return to office following vaccine distributions, congestion levels could rise if commuters choose to avoid public transit and drive to the office instead, said John Kilduff, partner at Again Capital LLC in New York. — Reuters

New Brazil data shows disappointing 50.4% efficacy for China’s CoronaVac vaccine

SAO PAULO — A coronavirus vaccine developed by China’s Sinovac Biotech was just 50.4% effective at preventing symptomatic infections in a Brazilian trial, researchers said on Tuesday, barely enough for regulatory approval and well below the rate announced last week.

The latest results are a major disappointment for Brazil, as the Chinese vaccine is one of two that the federal government has lined up to begin immunization during the second wave of the world’s second-deadliest coronavirus disease 2019 (COVID-19) outbreak.

Several scientists and observers blasted the Butantan biomedical center for releasing partial data just days ago that generated unrealistic expectations. The confusion may add to skepticism in Brazil about the Chinese vaccine, which President Jair Bolsonaro has criticized, questioning its “origins.”

“We have a good vaccine. Not the best vaccine in the world. Not the ideal vaccine,” said microbiologist Natalia Pasternak, criticizing Butantan’s triumphant tone.

Last week, the Brazilian researchers had celebrated results showing 78% efficacy against “mild-to-severe” COVID-19 cases, a rate they later described as “clinical efficacy.”

They said nothing at the time about another group of “very mild” infections among those who received the vaccine that did not require clinical assistance.

Ricardo Palacios, medical director for clinical research at Butantan, said on Tuesday that the new lower efficacy finding included data on those “very mild” cases.

“We need better communicators,” said Gonzalo Vecina Neto, a professor of public health at the University of Sao Paulo and former head of Brazilian health regulator Anvisa.

Piecemeal disclosures about Chinese vaccine trials globally have raised concerns that they are not subject to the same public scrutiny as US and European alternatives.

Mr. Palacios and officials in the Sao Paulo state government, which funds Butantan, emphasized the good news that none of the volunteers inoculated with CoronaVac had to be hospitalized with COVID-19 symptoms.

Public health experts said that alone will be a relief for Brazilian hospitals that are buckling under the strain of surging case loads. However, it will take longer to curb the pandemic with a vaccine that allows so many mild cases.

“It’s a vaccine that will start the process of overcoming the pandemic,” Ms. Pasternak said.

DELAYS AND DISAPPOINTMENT

Researchers at Butantan delayed announcement of their results three times, blaming a confidentiality clause in a contract with Sinovac.

In the meantime, Turkish researchers said last month that CoronaVac was 91.25% effective based on an interim analysis. Indonesia gave the vaccine emergency use approval on Monday based on interim data showing it is 65% effective.

Butantan officials said the design of the Brazilian study, focusing on frontline health workers during a severe outbreak in Brazil and including elderly volunteers, made it impossible to compare the results directly with other trials or vaccines.

Still, COVID-19 vaccines in use from Pfizer Inc. with partner BioNTech SE and Moderna Inc. proved to be about 95% effective in preventing illness in their pivotal late-state trials.

The disappointing CoronaVac data is the latest setback for vaccination efforts in Brazil, where more than 200,000 people have died since the outbreak began—the worst death toll outside the United States.

Brazil’s national immunization program currently relies on CoronaVac and the vaccine developed by Oxford University and AstraZeneca Plc—neither of which has received regulatory approval in Brazil.

Anvisa, which has stipulated an efficacy rate of at least 50% for vaccines in the pandemic, has already pressed Butantan for more details of its study, after it filed for emergency use authorization on Friday.

The regulator said it will meet on Sunday to decide on emergency use requests for CoronaVac and the British vaccine.

AstraZeneca failed to deliver active ingredients to Brazil over the weekend, leaving the government scrambling to import finished doses of the vaccine from India to begin inoculations. — Eduardo Simões/Reuters

AI-powered contact tracing system in talks with LGUs, establishments

CAWIL.AI Solutions, an industry-agnostic artificial intelligence (AI) social enterprise, is in talks with the local government units (LGUs) of Calapan City and Quezon City for pilot testing a contact tracing system that will help offices and public areas enforce health protocols—such as physical distancing and the wearing of face masks and face shields—to prevent the spread of coronavirus disease 2019 (COVID-19). 

“The requirement for LGUs to be able to adapt to the system is a working CCTV camera or an Internet Protocol (IP) camera, which is already mandated in every local government,” said Cherry B. Murillon, CAWIL.AI’s founder and lead innovator. Other requirements are internet access and subscription to their system, which starts at P500,000 for one year, and covers the installation of two cameras per location. 

“We hope that all establishments—and not just LGUs—could adapt the automated system without compromising data privacy,” she added. “It is important to really know what data the government collects and how it is being used.”

The artificial intelligence (AI) and data analytics-powered system was developed using computer vision technology from pre-installed closed-circuit television (CCTV) cameras. Using data gathered from CCTV videos, the system can determine whether a location is operating at the capacity required for physical distancing, usually 50% of actual capacity. 

A COVID-19 map also provides information on the proximity of people, which can then be printed out or generated for reference on possible overcrowding. The system was tested in SM City North EDSA’s Annex, a mall known for its high density of human traffic.

“The data we gather is the number of people that pass through the entries and exits of a public establishment,” said Ms. Murillon. “We can alert the establishment if the number of people has exceeded the physical distancing requirement.” 

She added that the system does not breach data privacy because it does not collect personal data, and that it is more useful than sharing information on health declaration forms with no actionable input. “Contact tracing’s goal is prevention. Collecting names and contact numbers will not prevent the spread of the virus, regardless if it’s paper-based or through Quick Response (QR) codes.”

Data is protected in the cloud and is encrypted depending on the level of access the establishments prefer. All data will be turned over to the establishments at the end of each subscription year to prevent fraud. 

CAWIL.AI received a grant from the Innovation for Social Impact Partnership’s Innovative Solutions Grants Facility. — Patricia B. Mirasol

SM City Manila presents Ray of Hope: Feast of the Black Nazarene 2021 photo exhibit

Catch the exhibit from January 7-24, 2020 at the Event Center, UGL.

Ray of Hope: Feast of the Black Nazarene 2021 aims to showcase stories of HOPE, resilience and optimism as we navigate a new reality is the theme of this year’s exhibit.
Shoppers, and devotees of the Nazarene are invited to see the exhibit of photos from local community photography groups including Canon Photographers PH.

ABS-CBN Corporation announces schedule of stockholders’ meeting

NOTICE OF SPECIAL STOCKHOLDERS’ MEETING

To:          All Stockholders of ABS-CBN Corporation

Please take notice that a Special Meeting of the Stockholders of ABS-CBN Corporation will be held virtually or conducted through remote communication via https://abs-cbn.com/investors/SSM2021 on February 2, 2021 at 9:00 a.m. or if prevailing circumstances will allow, at the Dolphy Theatre, ABS-CBN Corporation Broadcast Center, Quezon City to discuss the following:

A G E N D A

  1. Call to Order
  2. Proof of Service of Notice
  3. Certification of Presence of Quorum
  4. Approval of the ABS-CBN Stock Purchase and Stock Grant Plans
  5. Other Business
  6. Adjournment

For purposes of the meeting, only stockholders of record as of January 11, 2021 are entitled to attend and vote in the said meeting.

Given the current circumstances, stockholders may only attend the meeting by remote communication, by voting in absentia, or by appointing the Chairman of the meeting as proxy, unless otherwise announced by the Corporation that physical meeting will be allowed.

Online participation and voting by remote communication will be available for all stockholders. Stockholders who wish to participate and vote online by remote communication will be required to register starting January 12, 2021 and until  January 26, 2021. Stockholders who are not able to register as of January 26, 2021, can no longer avail of online voting but may still participate by remote communication, provided such stockholders shall register not later than January 26, 2021. The Registration and Validation Procedures for the 2020 Special Stockholders Meeting (Virtual SSM) are set out below as Annex “A”, as attached to the Notice and Agenda. Stockholders intending to participate by remote communication should register at https://abs-cbn.com/investors/SSM2021.

All stockholders who will not, are unable, or do not expect to attend the virtual meeting in person may choose to execute and send a valid proxy in writing to the Office of the Corporate Secretary, at 11F Investor Relations Office, ELJ Bldg. Mother Ignacia St. Quezon City or by email at corporatesecretary@abs-cbn.com or in digital/electronic form at https://abs-cbn.com/investors/SSM2021 on or before January 26, 2021.  Proxies shall be validated beginning on January 27, 2021.

Pursuant to SEC Notice dated April 20, 2020, copies of this Notice, Information Statement, and Other Documents related to the Special Stockholders’ Meeting, shall be published through The Philippine Star and BusinessWorld.

January 12, 2021,

By order of the Board of Directors:

                

 

ENRIQUE QUIASON
Corporate Secretary

‘Remarkable’ rebound seen this year

THE WORST is over for the pandemic-hit Philippine economy, and a “remarkable rebound” is expected this year, the central bank chief said on Tuesday, adding that the current accommodative monetary stance is sufficient for a revival in growth.

At the same time, Moody’s Investors Service raised its growth outlook for the Philippines to 7% this year from its 6.2% forecast given in September, but expects the country to be among the laggards in the Asia-Pacific region in terms of recovery.

“The worst is behind us. The recovery phase has begun,” Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno told the Reuters Next conference, citing “green shoots” such as improvements in remittances and foreign direct investments.

Speaking ahead of the release of the 2020 GDP data on Jan. 28, Mr. Diokno said he also expected “solid” growth in the December quarter and “double-digit” growth in the second quarter of this year.

He added that “the current policy is sufficient to carry us through” after the economy suffered its first recession in nearly three decades in 2020.

Meanwhile, Moody’s said pandemic-related restrictions will prevent the Philippines, along with India, Hong Kong and Singapore, from recovering to 2019 output levels this year.

In an e-mailed response to BusinessWorld, Christian de Guzman, senior vice-president of Sovereign Risk Group at Moody’s, said the Philippine economy is expected to grow by 7% this year, well within the 6.5% to 7.5% estimate by economic managers. This also matches Moody’s 2021 gross domestic product (GDP) growth forecast for Malaysia (7%) and is faster than Thailand’s (4%) and Indonesia (4.7%) but slower than Vietnam (7.2%).

Moody’s expected the Philippines’ GDP to have contracted by 8.7% in 2020.

Mr. De Guzman said the outlook for the Asia-Pacific region this year is still clouded by downside risks from rising coronavirus disease 2019 (COVID-19) infections.

“The vaccine helps to balance out those risks. It does lead to perhaps some improvements in consumer confidence as compared to what we’ve seen before,” Mr. De Guzman said.

The debt watcher noted the Philippines and Indonesia are among lower-rated economies that saw greater local transmissions despite moderate assessments for governance. This is in contrast to Vietnam where policy effectiveness kept infections low despite its lower score for institution and governance strength.

Local infections rose 1,524 on Tuesday to bring the total to 491,258. Active cases reached 23,532.

“In sovereigns where infection rates remain relatively high, such as in India, Indonesia and the Philippines, the pressure on governments to tamp down the pandemic has sidelined progress on fiscal reform,” Moody’s said.

Moody’s affirmed its sovereign rating of “Baa2” with a stable outlook for the Philippines in July last year, citing this reflects the country’s strong fiscal position in recent years will safeguard it from the impact of the virus.

VIRUS RESURGENCE
Meanwhile, a possible resurgence of coronavirus infections in the country could “expose the limited funding allocation towards the pandemic response and lead to a wider budget deficit,” Fitch Solutions Country Risk & Industry Research said in a note on Tuesday.

In a commentary titled “Healthcare Funding Shortfall in Philippines’ 2021 Budget,” the think tank said only P221 billion or 4.9% of the P4.5-trillion national budget has been allocated for the Philippines’ pandemic response.

“Given that the Philippines has experienced the second-highest fatality rate in the South East Asia region, after Indonesia, and the discovery of more contagious strains in the UK and South Africa, the Philippines remains vulnerable to another surge in COVID-19 cases,” it said.

“We expect the Philippines to lag behind other Asia-Pacific economies in securing vaccines for the population, which will mean risks remain elevated through 2021,” it added.

Last year, government spending for the pandemic response and economic stimulus was criticized for being relatively small compared with its Southeast Asian peers.

The Philippines’ COVID-19 response package is estimated at $21.645 billion or 5.9% of GDP last year, based on a policy database compiled by the Asian Development Bank (ADB). This placed the country’s package as the sixth largest in terms of the total amount but the fourth smallest in terms of its size relative to economic output.

“We highlight the risk that the economy could face with further COVID-19 outbreaks that divert funds towards the pandemic response and suppress revenue, thereby worsening the fiscal outlook and the budget’s ability to drive a recovery,” Fitch Solutions said.

The National Government’s budget deficit reached 7.5% of GDP last year, more than double the 3.4% fiscal gap ratio in 2019 but slightly below the 7.6% cap set by economic managers. — Reuters, Luz Wendy T. Noble and B.M.Laforga

Budget deficit soars to record high in 2020

By Beatrice M. Laforga, Reporter

THE National Government’s budget deficit ballooned to 7.5% of gross domestic product (GDP) last year from 3.4% in 2019, but slightly below the cap set by the economic team, as spending increased and revenues slumped amid the coronavirus disease 2019 (COVID-19) pandemic.

In a speech at the virtual meeting of the Management Association of the Philippines (MAP) on Tuesday, Finance Secretary Carlos G. Dominguez III said preliminary data showed last year’s budget deficit reached P1.36 trillion or equivalent to 7.5% of GDP, more than double the 3.4% deficit-to-GDP ratio in 2019.

Last year’s fiscal gap surged to a fresh all-time high, or twice as much as the previous record of P660 billion in 2019.

However, the 2020 deficit was still slightly below the P1.38 trillion or 7.6% of GDP limit set by the Development Budget Coordination Committee (DBCC) in December.

Broken down, Mr. Dominguez said overall spending reached P4.205 trillion last year, up 11% from P3.797 trillion in 2019. The total expenditures were 0.66% below the P4.233-trillion goal.

The Finance chief said total revenues reached P2.842 trillion, down by 9.5% from P3.138 trillion a year earlier, and 0.39% short of the P2.853-trillion target. Tax collections accounted for 87.6% of the total.

“We appreciate the importance of continuing fiscal discipline to ensure the resilience of our economy. The public health emergency could last for months or possibly years. The battle against COVID-19 is going to be a marathon, not a sprint. While we hope for the best, we must be prepared for the worst,” Mr. Dominguez said.

To plug the funding gap, the government borrowed P2.64 trillion from local and foreign lenders last year, excluding the P540 billion borrowed from the Philippine central bank which has been fully settled last month.

This pushed the country’s debt stock to 53.5% of GDP at the end of 2020, surging from the record low 39.6% in 2019 but lower than the projected 53.9% level for the full year.

The DBCC has capped the fiscal deficit to 8.9% of GDP for 2021, with gross borrowings seen to reach P3.03 trillion.

“We expect the National Government’s debt to settle at 57% of GDP this year. Even with the upscaling of our borrowing plan, we will still be able to keep our debt ratio within a sustainable threshold. This gives us the advantage over economies who were already saddled with heavy debt prior to the crisis,” Mr. Dominguez said.

“We remain confident that we can easily fulfill our funding requirement for this year,” he added.

ING Bank N.V. Manila Branch Senior Economist Nicholas Antonio T. Mapa said the data showed that earlier estimates of the economic team that the deficit will hit as high as 9% of GDP is not possible, proving the government still has enough fiscal room to boost spending to prop up the economy.

“We will expect the deficit-to-GDP ratio to beat its target yet again as the government continues to rein in spending to maintain its fiscal metrics,” Mr. Mapa said via e-mail on Tuesday.

University of Asia and the Pacific Senior Economist Cid L. Terosa said the “shortfall in the revenue and spending programs of the government would have shoved 2020 GDP growth a bit higher because of its inherent potential multiplier effects and capacity to expand production, employment, and income.”

Mr. Terosa also expects the government to reach the budget deficit cap this year, highlighting the need to boost spending to help the economy recover faster.

“Lack of spending (in 2020 and this year), however, will mean that the Philippine economy will likely remain stuck in low gear with both household spending and capital formation still impaired by the ongoing recession,” Mr. Mapa said.

DoF supports further opening of economy

The House of Representatives is seeking to ease economic restrictions of the 1987 Constitution for ratification at a plebiscite that will coincide with the 2022 national elections. — PHILIPPINE STAR/MICHAEL VARCAS

FINANCE Secretary Carlos G. Dominguez III said he is open to amending the restrictive economic provisions of the 1987 Constitution, as House lawmakers are set to begin deliberations on Charter change today (Jan. 13).

Acting Socioeconomic Planning Secretary Karl Kendrick T. Chua wants to further open up the Philippine economy, but urges Congress to focus on the urgent passage of priority bills meant to attract more foreign investments.

“I’m for really opening up the economy in all areas possible, with the exceptions of land ownership [because] the issue of land ownership is so emotional… so let’s do something doable,” Mr. Dominguez said during a virtual meeting of the Management Association of the Philippines (MAP) on Tuesday.

Among the sectors that should be further opened to foreign investors are the retail trade and construction industries, he said.

“There are many areas that need to be opened. Opening up the economy challenges the local production and they respond positively if there is good support. This is why I think we should look at the Constitution and open as much as possible,” Mr. Dominguez said.

The House Committee on Constitutional Amendments is set to open deliberations on the proposed Resolution of Both Houses (RBH) No. 2, which seeks to amend economic provisions of the 33-year-old Constitution in a bid to attract more foreign investments.

Asked for his position on Charter change, Mr. Chua said lawmakers should first prioritize pending bills such as amendments to the Public Service Act (PSA), Retail Trade Liberalization Act (RTL), and Foreign Investment Act (FIA).

“We have to prioritize the PSA, RTL and FIA amendments as these are urgently needed to help attract more investments and create jobs,” Mr. Chua said via Viber on Monday.

Budget Assistant Secretary Rolando U. Toledo said in a Viber message that the economic team is pushing for the urgent passage of the three bills.

“These bills will help promote a more sustainable and resilient external sector, whilst increasing the inflow of foreign investments and generating more jobs for the Filipino people,” Mr. Toledo added.

The three bills have been approved on third and final reading at the House of Representatives.

Their counterpart measures in the Senate, however, are still in various levels of deliberations: with the bills amending the PSA and FIA still at the committee level while the proposed changes to the RTL are at the second reading.

POST-ELECTION ‘CHA-CHA’ URGED
Meanwhile, the Makati Business Club (MBC) said pursuing charter change at this time would be “highly divisive” amid national efforts to address the effects of the pandemic.

“We believe that introducing any Charter change fifteen months before presidential elections will only raise fears that other constitutional changes, some of which may be highly controversial, may be introduced and passed,” the business group said in a statement on Tuesday.

The House of Representatives is seeking to ease economic restrictions of the charter for ratification at a plebiscite that will coincide with the 2022 national elections. Congressmen want to insert provisions in the Constitution that will later allow them to pass a law relaxing foreign ownership limits in certain Philippine industries.

MBC is instead asking all major presidential and congressional candidates to commit to relaxing these restrictive economic provisions in the Constitution when they start their new term.

“(Candidates should) commit to initiate steps for the adoption of such provisions within the first 12 months of their term,” MBC said.

The Philippine Chamber of Commerce and Industry had earlier asked lawmakers to prioritize the passage of pending economic bills, warning against changes to the Constitution that could weaken it by making it easier for “ordinary legislation” to amend.

But American and European business groups in the Philippines supported the changes to improve the country’s competitiveness in attracting foreign investors and spur an economic rebound.

Albay Rep. Jose Maria Clemente S. Salceda said the country would earn as much as $7 billion in foreign direct investments each year if ownership restrictions in the Constitution are lifted. — Beatrice M. Laforga and Jenina P. Ibañez

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