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Trump to create religious office in White House, target ‘anti-Christian bias’

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U.S. President Donald Trump said on Thursday he would create a White House faith office and direct Attorney General Pam Bondi to lead a task force on eradicating what he called anti-Christian bias within the federal government.

Mr. Trump delivered remarks at the National Prayer Breakfast at the U.S. Capitol and used his speech to call for “unity”, telling lawmakers his relationship with religion has “changed” after a pair of failed assassination attempts last year.

At a second prayer breakfast in Washington, Mr. Trump struck a more partisan tone, took a victory lap for getting “rid of woke over the last two weeks” and announced steps to protect Christians from what he said was religious discrimination.

“The mission of this task force will be to immediately halt all forms of anti-Christian targeting and discrimination within the federal government, including at the DOJ, which was absolutely terrible, the IRS, the FBI and other agencies,” Mr. Trump said.

He vowed his attorney general would work to “fully prosecute anti-Christian violence and vandalism in our society and to move heaven and earth to defend the rights of Christians and religious believers nationwide.”

The president did not cite specific examples of anti-Christian bias during his remarks but has previously claimed that the Biden administration used the federal government to target Christians specifically.

Mr. Trump signed an executive order on Thursday to establish the task force and its responsibilities, which include recommending steps to terminate “violative policies, practices, or conduct.”

Mr. Biden’s administration announced a strategy in December for countering anti-Muslim and anti-Arab bigotry, and a similar plan to fight antisemitism in September 2023.

The actions announced on Thursday could pose constitutional questions about the separation of church and state, with the U.S. Constitution’s First Amendment limiting government endorsement of religion.

Mr. Trump, who has become the de facto figurehead of conservative American Christianity, has repeatedly invoked a religious anointing since he survived an assassination attempt last year. “Many people have told me that God spared my life for a reason,” Trump has told supporters at events around the country.

In the last three election cycles, White evangelical Christian voters, who make up a critical piece of the Republican base, have supported Trump. He has embraced the conservative Christian world view and policies that speak to the bloc’s anxiety about changing gender norms and family patterns.

The president on Thursday also announced he will create a White House Faith Office, led by Rev. Paula White, who has served as a religious adviser to him for many years.

Mr. Trump established a similar office at the White House during his first term and regularly consulted with a tight group of evangelical advisers.

Mr. Trump also said he would create a new commission on religious liberty, and criticized the Biden administration for the “persecution” of believers for prosecuting anti-abortion advocates.

“If we don’t have religious liberty, then we don’t have a free country,” he said.

In 2023, the National Prayer Breakfast split into two events, the one on Capitol Hill attended by lawmakers and a separate private event for thousands at a hotel ballroom after some lawmakers sought to distance themselves from the private religious group following questions over how it was run and funded. – Reuters

Trump’s Paris AI summit delegation won’t include AI Safety Institute staff, sources say

STOCK PHOTO | Image by Rodrigo Pignatta from Pixabay

The U.S. delegation to a major artificial intelligence summit in Paris next week will not include technical staff from the country’s AI Safety Institute, two people close to Washington’s plans for the event and a third source briefed on the matter told Reuters.

Vice President JD Vance is leading the U.S. contingent to France, which is gathering around 100 countries to focus on AI’s potential on February 10 and 11.

U.S. attendees will include members of the White House Office of Science and Technology Policy: Principal Deputy Director Lynne Parker and Senior Policy Advisor for Artificial Intelligence Sriram Krishnan, an OSTP spokesperson said.

However, President Donald Trump’s administration has scrapped plans for Homeland Security and Commerce Department officials to attend. Among those whose trips were canceled include representatives of the U.S. AI Safety Institute, said the people close to Washington’s plans, who spoke on condition of anonymity.

The AI Safety Institute did not immediately comment. The Commerce and Homeland Security departments did not immediately respond to a request for comment.

The institute, created under former President Joe Biden, is focused on measuring and mitigating certain risks from AI and has signed agreements with prominent U.S. startups OpenAI and Anthropic for safety testing. It has said its work is bipartisan.

However, the new administration’s plans for the fledgling body, now without a director, remain unclear. Trump has revoked a separate AI executive order associated with Biden.

The people cautioned that the Paris absence likely reflected how the Commerce Department, in which the institute resides, was still in transition after Trump’s January 20 inauguration.

The Paris summit also is less focused than prior global gatherings in Bletchley Park and Seoul on the dangers of AI, risks dismissed by some in the technology sector.

The International Network of AI Safety Institutes, chaired by the United States and comprised of various country members globally, is expected to have a presence, the people said. Its long-in-progress work has involved the U.S.

U.S. delegates could take part in the network’s discussions, the people said. Ensuring Washington leads on innovation has become more critical with China’s recent success in AI, the people said. – Reuters

US service member, three contractors killed in Philippines aircraft crash

DONOVAN REEVES-UNSPLASH

WASHINGTON – One U.S. military service member and three defense contractors were killed on Thursday when their aircraft crashed in the Philippines.

In a statement, the U.S. military said the aircraft, which was contracted by the U.S. military, had been carrying out intelligence and surveillance support.

It did not say why the crash occurred or what type of aircraft it was. – Reuters

Unemployment rate lowest since ’05

Job seekers attend a job fair in Pasay City, Sept.19, 2024. — PHILIPPINE STAR/EDD GUMBAN

By Chloe Mari A. Hufana, Reporter

PHILIPPINE UNEMPLOYMENT eased to 3.1% in December amid a surge in hiring in the transport and storage sector, bringing the full-year average to a record-low of 3.8%, according to the statistics agency.

Preliminary data from the Philippine Statistics Authority’s (PSA) Labor Force Survey showed the jobless rate in December was unchanged from the same month in 2023, but slightly lower than 3.2% in November.

The number of unemployed Filipinos increased to 1.63 million in December, up from 1.6 million in the prior year but slightly lower than 1.66 million in November.

December also saw the lowest unemployment rate since April 2005, when the statistics agency revised its definition of unemployed to Filipinos aged 15 years and older without a job, available for work and actively seeking one.

For 2024, National Statistician Claire Dennis S. Mapa said the jobless rate averaged 3.8% which is equivalent to 1.94 million jobless Filipinos. This was lower than the 4.4% jobless rate, representing 2.19 million jobless Filipinos, in 2023.

The full-year unemployment rate in 2024 was also the lowest since 2005.

Philippine Labor Force Situation

The modest drop in unemployment in December 2024 was attributed to a surge in hiring for transport and storage workers during the holiday season, Mr. Mapa said, noting the sector recorded an additional 184,000 workers month on month.

Year on year, the sector gained 555,000 workers.

“Most of this is from passenger transport by road, and this is an effect of our holiday season,” Mr. Mapa said in mixed English and Filipino at a news briefing in Quezon City.

“We can observe growth in airport shuttle services, taxi operations, and passenger land transportation overall. This indicates positive movement in the sector. Additionally, we’ve seen an increase in the use of buses for public transport,” he added.

Meanwhile, job quality worsened year on year as the underemployment rate slipped to 10.9% (5.48 million), from 11.9% (6.01 million) in December 2023. Month on month, the underemployment rate went up from 10.8% (5.35 million) in November.

This was also the lowest underemployment rate since April 2005 when the PSA redefined underemployment as individuals who are employed but seek additional jobs or work hours.

For 2024, the average underemployment rate fell to 11.9% from 12.3% in 2023. This translated to 5.83 million underemployed Filipinos last year, lower than 5.94 million in 2023, Mr. Mapa said.

Labor Secretary Bienvenido E. Laguesma said the December 2024 Labor Force Survey showed the government’s efforts, with the support of the private sector, are paying off and gaining ground.

“We will continue to work in collaboration with the private sector towards job creation to ensure a more permanent source of income and decent living conditions for our workforce,” he told BusinessWorld in a Viber chat. “If there are more jobs, access to these opportunities will be open to and available for workers, even to those in the informal sector.”

National Economic and Development Authority  Secretary Arsenio M. Balisacan said in a statement that strategies to strengthen the labor market are “crucial to sustaining our economic momentum and providing higher earning opportunities for Filipinos.”

“The government remains committed to advancing both supply- and demand-side measures that will foster a more dynamic labor environment and meet the targets set in the Philippine Development Plan 2023-2028,” he said.

Finance Secretary Ralph G. Recto said the government will continue to push for initiatives that create quality jobs for Filipinos.

“We are focusing heavily on improving education, infrastructure, and human development to ensure that we build a Filipino workforce equipped with the tools and opportunities they need to compete on the global stage,” Mr. Recto said in a statement, emphasizing workforce upskilling.

EMPLOYMENT RATE
Meanwhile, the PSA also reported that the employment rate slightly improved to 96.9%, equivalent to 50.19 million employed Filipinos in December from 96.8% in November when there were 49.54 million employed Filipinos.

The employment rate was unchanged from December 2023. However, there were slightly more employed Filipinos at 50.52 million in December 2023.

For 2024, the average employment rate rose to 96.2%, from the 95.6% logged in 2023. This is equivalent to 48.85 million employed Filipinos in 2024, higher than the 2023 average of 48.18 million.

Meanwhile, the labor force participation rate (LFPR) fell to 65.1% in December from 66.6% in December 2023. This represented a labor force of 51.81 million, lower than 52.13 million in December 2023.

University of the Philippines School of Labor and Industrial Relations Assistant Professor Benjamin B. Velasco said the modest decline in LFPR showed persistent challenges in job creation.

“Population will always be increasing, so that is a given. Population growth drives consumption and also production, so it is not a negative factor itself though large increases in population do present a challenge to policy making, including labor market governance,” he said in a Facebook Messenger chat.

“The problem of job creation is also bared in the significant decrease in youth LFPR.”

The youth LFPR declined to 31.9% in December from 34.5% in December 2023. The youth employment rate also dropped to 90.9% in December from 91.8% in the year prior.

SECTORAL GAINS AND LOSSES
PSA data also showed agriculture and forestry lost 1.56 million workers year on year in December.

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Mr. Mapa attributed the losses to the series of typhoons that hit the country in the fourth quarter, noting that about 557,000 of them were paddy rice farmers.

Workers engaged in planting, transplanting and other related activities lost 424,000 workers year on year in December. Hog farming lost 236,000 jobs as African Swine Fever (ASF) continued to affect production.

Month on month, the agriculture and forestry sector saw the highest increase as an additional 735,000 workers were hired.

At the same time, the sector covering wholesale and retail trade, and repair of motor vehicles and motorcycles, recorded the greatest number of job losses at 391,000 month on month in December.

Mr. Mapa said 294,000 of those job losses came from the retail sales sector that includes stalls, markets, food and beverages, and tobacco products.

About 219,000 workers involved in accommodation and food service activities also lost their jobs in December 2024, despite the surge in holiday activities.

Job Gains by Industry (December 2024 vs November 2024)

The services sector had the most number of employees, contributing 60.5% to the total workforce.

The agriculture and industry sectors followed, representing 21.3% and 18.3% of the total number of employed individuals, respectively.

WAGE AND SALARY WORKERS
Wage and salary laborers continued to account for the bulk or 63.1% of employed Filipinos in December 2024, followed by self-employed individuals without any paid employees (28.5%), unpaid family workers (6.8%) and employers in their own family-operated farm or business (1.6%).

Among wage and salary workers, those employed in private establishments accounted for 78.9%, while those employed in government or government-controlled corporations represented 14.4%.

Wage and salary workers are people who are paid for their work in private establishments, government, or their own family-run business, the PSA said on its website.

Federation of Free Workers President Jose Sonny G. Matula urged the government to raise wages to boost workers’ purchasing power and increase demand for local goods and services.

“Contrary to employers’ contention, wage hikes support our farmers, fisherfolk, and informal sector workers because workers buy their products due to increased purchasing power,” he said in a Viber chat.

While the record-low unemployment rate for December 2024 is a good thing, Mr. Matula said it is not surprising.

“Employment almost always goes up because of the increased purchasing power of workers who are consumers, too. Workers doubled or tripled their incomes due to 13th month and Christmas or year-end bonuses,” he said.

“But before we break out the confetti, let’s not forget: the quality of these jobs still leaves a lot to be desired. Jobs generated were temps.”

On Monday, the House of Representatives approved on second reading a bill granting a P200 hike for minimum wage earners. The Senate approved a counterpart bill for P100 in February last year.

Within-target inflation may prompt further rate cuts

A vendor prepares pork for sale at the Arranque Market in Recto, Manila, on Jan. 14, 2025. — PHILIPPINE STAR/EDD GUMBAN

By Luisa Maria Jacinta C. Jocson, Reporter

THE BANGKO SENTRAL ng Pilipinas’ (BSP) rate-cutting cycle will be supported by expectations of inflation settling well within target this year, analysts said.

“The low inflation print for January indicated that price pressures were still generally benign and manageable, which supports expectations for inflation to remain within the BSP’s 2-4% target going forward,” Chinabank Research said in a report.

“This should provide room for further interest rate cuts by the BSP,” it added.

The Philippine Statistics Authority on Wednesday reported headline inflation remained steady at 2.9% in January, within the central bank’s 2-4% target band.

Pantheon Macroeconomics Chief Emerging Asia Economist Miguel Chanco expects inflation to average 2.7% this year amid “increasingly clear bottoming-out in official core inflation.” 

“Our revised yearly forecast implies that headline inflation should remain relatively steady from here on out, ranging between 2.5% and 3% for the remainder of this year, comfortably within the BSP’s target range,” he added.

The BSP projects inflation to settle at 3.3% this year. It earlier said inflation will likely “remain anchored to the target range over the policy horizon.”

However, risks to the inflation outlook continue to lean towards the upside, it said. Accounting for risks, inflation could average 3.4% this year.

“Looking ahead, while inflation for 2025 is expected to remain within the BSP target range, potential risks such as local weather disturbances and geopolitical tensions must be closely monitored,” Manulife Investment Management Head of Fixed Income Jean O. de Castro said.

Chinabank Research likewise said upside risks to the inflation outlook include adverse weather and geopolitical conflicts, which would “continue to support a cautious approach to policy easing.”

Despite this, analysts expect the BSP to deliver another rate cut at its first policy review for the year next week (Feb. 13).

“This favorable inflation outlook, along with the Philippine economy’s weaker-than-expected performance in both the fourth quarter and full-year 2024, reinforces our view that the BSP will likely cut interest rates by 25 basis points (bps) at its policy meeting next week,” Chinabank said.

The Philippines’ gross domestic product (GDP) grew by a weaker-than-expected 5.2% in the fourth quarter.

This brought full-year 2024 growth to 5.6%, short of the government’s 6-6.5% target.

BofA Securities economist for the Philippines Jojo Gonzales said they expect the central bank to cut rates by 25 bps next week.

“However, if inflation remains stubbornly high in February or March, our expectation for an April cut in policy rates could be at risk,” Mr. Gonzales said.

“Our expectation is for a 25-bp rate cut in February and another 25-bp cut in April, while the US Fed stays on hold,” he added.

BSP Governor Eli M. Remolona, Jr. has said a rate cut is still on the table for its meeting next week.

For 2025, Mr. Remolona said the central bank could cut by a total of 50 bps this year, as 75 bps or 100 bps may be “too much.”

The Monetary Board began its easing cycle in August last year, reducing borrowing costs by a total of 75 bps by end-2024.

Ms. De Castro said that the start of monetary easing will help support economic growth.

“Furthermore, the delayed effects of the BSP’s 75-bp monetary easing in the previous year, alongside expected further rate cuts in 2025, are likely to support economic expansion,” she said.

“By fostering a conducive investment environment and maintaining prudent fiscal and monetary policies, the Philippine economy can work toward achieving its growth objectives.”

SRP guide shows price increases for 77 items

Canned goods are stocked at a supermarket in Mandaluyong City, Aug. 10, 2023. — PHILIPPINE STAR/MIGUEL DE GUZMAN

By Justine Irish D. Tabile, Reporter

PRICES of over 70 stock-keeping units (SKUs), including sardines, canned meat and coffee, have increased, according to the latest suggested retail price (SRP) bulletin released by the Department of Trade and Industry (DTI).

In the SRP bulletin dated Feb. 1, the department listed the suggested prices for 191 SKUs across 28 categories, 16 SKUs fewer than the list posted by DTI on Jan. 12, 2024.

Around 40% or 77 of the items posted price increases, while 3% or 6 had price decreases. On the other hand, the prices of 56% or 107 products were unchanged. One product did not change the price but reduced the quantity.

Of the 77 products that increased prices, 67 SKUs had no change in quantity, while nine lowered the quantity and increased prices. One item saw an increase in both quantity and price.

Seven out of 14 SKUs under the canned sardines in tomato sauce category posted price increases ranging from 90 centavos to P2.73. Two canned sardine brands lowered their prices.

Jersey Sweetened Condensed Creamer, the sole item under the condensed milk category, raised prices by P2.5. Prices of other condensada products were unchanged.

Angel Filled Milk, the sole item under the evaporated milk category, had a P4 increase. The department removed the evaporada category for the 2025 list.

Only one of the four SKUs under the powdered milk category raised the price by P6.

All five SKUs under the coffee refill category increased prices  ranging from P1 to P3.70, while three out of six coffee 3-in-1 SKUs increased prices ranging from 40 centavos to 50 centavos.

The 26-gram Nescafé Original, which is under the 3-in-1 category, increased the price but reduced the quantity.

Pinoy Pandesal and Pinoy Tasty, the only two SKUs under the bread category, posted price increases of P2.25 and P4, respectively.

Three SKUs under the instant mami category posted price increases ranging from 10 centavos to 50 centavos, while one instant mami brand retained its price.

Three rock salt products posted a price increase of 50 centavos to P2, while four rock salt SKUs retained prices.

Four out of 12 iodized salt products also posted price increases, while the rest had no price movements.

For the detergent soap category, six SKUs increased prices but lowered quantities. Six other detergent soap products maintained their prices.

Seven distilled water SKUs retained their prices, while two had price increases. Another distilled water SKU increased both quantity and price, while another lowered the price.

For purified water, two products raised prices by 60 centavos and P1.10 each, while the rest kept prices unchanged.

Three mineralized water SKUs decreased prices by up to P3, while 11 SKUs had no price movements.

The 5-Star Esperma White candles raised prices ranging from P2.83 to P12.32, while the remaining 28 candle SKUs had no price movements.

For luncheon meat, one SKU had a P2 price increase, while the other one had retained its price.

One SKU under the meatloaf category had a P1 increase, while the other four SKUs had no price movements.

Three SKUs under the corned beef category posted price increases ranging from P1 to P3, while four remained unchanged.

Five products under the beef loaf category had no price movements, while three products posted price increases of P1 to P1.75.

All products under the vinegar gin and PET bottle, vinegar doy and refill pack, soy sauce gin and PET bottle, and soy sauce doy pack categories posted price increases.

Meanwhile, prices of Lorins Patis products remained unchanged, while five patis in gin or PET bottle products posted price increases.

For toilet soaps, three products raised prices despite lowering the quantity, while four products hiked prices but retained the quantity.

In the battery category, only one product had a price increase, while the other five remained unchanged.

Consumer spending to drive growth this year — BMI

People look at racks of clothes during a sale at a mall in Ortigas, Sept. 18, 2024. — PHILIPPINE STAR/MIGUEL DE GUZMAN

ROBUST HOUSEHOLD consumption is seen to prop up the economy this year, Fitch Solutions’ unit BMI said, but warned that inflationary pressures and other risks could dampen this outlook.

“We hold a positive outlook for consumer spending in the Philippines in 2025. For 2025, we expect it to be driven mostly by strong economic growth and its feed-through into higher disposable income, as well as a stable labor market,” BMI said in a report.

BMI expects Philippine gross domestic product (GDP) to grow by 6.3% this year and 6.7% in 2026. These projections are within the government’s 6-8% target for both years.

The Philippine economy grew by 5.6% in 2024, missing the government’s 6-6.5% target. 

“A deteriorating external demand will likely be a drag on the Philippines’ GDP. However, the private final consumption expenditure will be positive,” BMI said.

Household spending is seen to accelerate to 5.3% this year, it said. Private consumption, which accounts for about three-fourths of the economy, grew by a lackluster 4.8% in 2024.

Consumer confidence has also shown “upward momentum,” amid the continued recovery from the pandemic, BMI said.

In the central bank’s latest consumer expectations survey, an improvement was seen in consumer confidence for the first quarter of this year and the next 12 months. This, amid a more upbeat outlook on higher income, additional sources of income and more available jobs.

“Easing inflationary pressures will provide relief to real household incomes and enable growth in spending,” BMI said.

“A tight labor market will support spending, as real wage growth returns to positive territory, which will support purchasing power over the year,” it added.

On the other hand, BMI noted that risks continue to weigh on private consumption, such as prolonged high inflation and weaker remittances.

“These risk factors will adversely affect household purchasing power, while geopolitical tensions have also emerged as a risk that is likely to impact inflation and interest rates.”

“Although inflationary pressures have largely eased in many markets, price levels remain high, and many households have not yet experienced real wage growth sufficient to restore purchasing power to their pre-2022-2024 inflationary shock levels.”

BMI expects inflation to average 3.3% this year, in line with the Bangko Sentral ng Pilipinas’ (BSP) own forecast. Headline inflation remained steady at 2.9% in January.

“If nominal income growth does not keep pace with inflation, the purchasing power of consumers will deteriorate, which would be a drag to their spending.”

“Prolonged inflation, particularly in relation to food, will mean that consumers will have to increasingly allocate more of their disposable income towards meeting necessities,” it added.

Meanwhile, the peso is seen to “depreciate slightly” this year and settle at P58 against the dollar.

“Despite the roughly 1.7% depreciation of the peso, this is still a relatively positive outcome compared with the depreciation of 11% seen in 2022 and the 2% seen in 2023.”

“The weaker rate in 2025 is due to the combination of a higher expected consumer price index in the Philippines as well as the US Fed’s hawkish tilt,” it added.

In 2024, the peso weakened by 4.28% to close at P57.845 versus the dollar from its end-2023 finish of P55.37. The local currency sank to the record-low P59-per-dollar level thrice last year.

“While persistent intervention by the BSP in the forex market will help to curb depreciatory pressures on the peso, earlier rate cuts by the BSP relative to the Fed will continue to weigh on the currency.”

“Nevertheless, the relatively stable rate will mean that the Philippines, which remains heavily reliant on imports to meet local demand, will see relative stability in import inflation,” BMI added.

Elevated household debt also poses a risk to consumer confidence, BMI said.

“It not only constrains future borrowing capacity but impacts current disposable income levels. This is particularly true as debt servicing costs rise in response to increases in interest rates.”

“In many markets, central banks rapidly hiked interest rates during the 2022-2023 high inflationary period, reaching levels to which most households have not been accustomed over the past decade,” it said.

From mid-2022 to late 2023, the BSP was the most aggressive central bank in the region as it hiked key rates by 450 basis points (bps) to tame inflation.

The BSP began its easing cycle in August last year, lowering borrowing costs by a total of 75 bps by end-2024. 

“While interest rates will not reach the previous historical lows of the last decade, easing monetary policy will alleviate some debt servicing cost pressures,” BMI said. — Luisa Maria Jacinta C. Jocson

Bureau of Customs’ legacy and vision for a modernized future

The Bureau of Customs-Customs Intelligence and Investigation Service (BoC-CIIS) marked the celebration of its 38th founding anniversary last Jan. 27.

For the past 123 years, the Bureau of Customs (BoC) has been the Philippines’ standard of excellence in enhancing trade facilitation, strengthening border control, and improving the collection of lawful revenues. Its milestones and history show its strong commitment to economic growth, security, and modernization, constantly evolving to keep up with global trade while staying true to its mission of serving the Filipino people.

One of the bureau’s biggest achievements is its survival from pre-colonial times up to the present. According to the BoC’s website, even before the Spanish came to the Philippines’ shores, datus or rajahs collected tributes from the people before they were allowed to engage in their trade. These were then observed and followed as the Customs Law of the Land.

Meanwhile, three key trade laws defined customs policies during Spanish rule in the Philippines: the Spanish Customs Law (1582-1828) imposing ad valorem duties, a Tariff Board setting fixed import values with a 10% duty, and the 1891 Tariff Law introducing specific duties on imports and certain exports until Spanish rule ended. Under American rule, the Spanish Tariff Code of 1891 remained until the Tariff Revision Law of 1901. Key reforms reorganized customs positions and laws, and the Philippine Customs Service evolved into what we now know as the Bureau of Customs under the Department of Finance (DoF).

From the Commonwealth era to the present, the Bureau of Customs underwent multiple reorganizations, including the separation of immigration authorities; the creation of the Tariff and Customs Code; structural changes under Martial Law; alignment with international customs standards; and modernization efforts like the establishment of the Management Information System and Technology Group (MISTG).

Through these transformations, the Bureau of Customs has achieved significant progress in revenue collection, trade facilitation, and border security that has stood the test of time and still ensures that it remains a key driver of the country’s economic stability.

The latest annual numbers from the BoC indicate that it collected a record-breaking P883.624 billion in 2023 — a 2.46% increase from the previous year. While data from 2024 is still unavailable, bureau collection from January to October of the year reached P784.54 billion, marking a robust 6% increase compared to the same period last year.

The bureau’s strong performance in 2023 and subsequently in 2024 underscores its commitment to continued effectiveness in driving revenue generation, which plays a crucial role in funding government projects and services for the Filipino people. The BoC’s revenue comes from payments collected for customs duties, indirect taxes, and other levies at ports of entry across seaports and airports in the Philippines.

In a bid to keep up with the times, the Bureau of Customs underwent a massive endeavor to modernize its customs administration to be at par with global standards through the Philippine Customs Modernization Program (PCMP) with the support provided by the World Bank Group. The PCMP aims to streamline operations and processes and support the reform agenda by upgrading BoC systems, procedures, and operational activities.

The BoC opened 2025 with its annual New Year’s Call, held on Jan. 6.

Among these initiatives is the Customs Processing System (CPS), which serves as one single and unified system that combines all the key elements and customs procedures; organizational modernization, which ensures that the institutional structure responds to new responsibilities; and the utilization of Remote Image Analysis Centers (RIAC), which allows BoC to receive and interpret radioscopic images sent from operational scanner sites in real-time.

So far, the DoF reports that the BoC has digitalized 160 out of 166 customs processes, a 96.99% digitalization rate, with one system launched for operation, two systems ready for implementation, and three systems being developed for efficient customs services.

Thanks to the BoC’s push for simpler processes and smoother trade, the Philippines made a big leap in the World Bank’s Logistics Performance Index (LPI), jumping 17 spots to rank 43rd out of 139 countries from 2022 to 2023. The LPI is a tool designed to help countries assess their trade logistics performance, spot challenges and opportunities, and find ways to improve their efficiency in moving goods.

43rd is the country’s highest ranking in the logistics report since 2007. In Southeast Asia, the Philippines’ ranking only lags behind Thailand (34th), Malaysia (26th) and Singapore (1st). In addition, the ranking showed that the country tied with Vietnam and had better logistics performance than Indonesia (61st) and Cambodia (115th), based on the LPI.

Significant milestones have also been realized by the BoC in preventing the smuggling of goods to and from the country. In 2024 alone, the bureau seized a record-breaking P85.167 billion worth of smuggled goods which highlights the BoC’s anti-smuggling efforts, continued vigilance, and commitment to safeguarding the nation’s economy and ensuring that only legitimate goods enter the market.

As the BoC continues to build on its past successes, its focus now shifts toward an even better 2025. Annually, the bureau releases its Five-Point Priority Program (5-PPP), aimed at driving efficiency, boosting revenues, and safeguarding trade. For this year, the BoC is looking to strengthen its role as a pillar of the Philippines’ economic growth and security while meeting the evolving demands of international trade.

Fully automating its systems, which, as mentioned earlier in the article, stands at 96.99%, figures to be the bureau’s top priority this year as it will enhance operational efficiency and transparency while minimizing corruption risks. The customs agency is also committed in surpassing its revenue target and has set an ambitious goal of generating P1.06 trillion in revenue in 2025.

Streamlining its processes in line with international best practices is also an area where the BoC is looking to improve as it aims to simplify procedures to facilitate legitimate trade while ensuring security. Curbing smuggling to protect the nation’s borders and economic interests, as well as dedicating significant resources to improving employee welfare and professional development, are also included in the bureau’s priority program.

As it celebrates its 123rd anniversary, the Bureau of Customs stands as a testament to resilience, transformation, and commitment to its mission. With the bureau’s constant dedication to improving its services to the Filipino people, the Philippines is slowly becoming the world-class, modernized, and credible customs administration that it aspires to be. — Jomarc Angelo M. Corpuz

Digitalization at the core of modernizing Philippine customs

vectorjuice | Freepik

Digitalization has become a crucial component in several actions toward nation-building. Even in custom operations, digital processes have been further adopted to enable a more efficient and even secure facilitation of trade across the globe.

The Philippines’ Bureau of Customs (BoC), under the Department of Finance (DoF), has been actively working to modernize custom operations in the country. This drive for innovation has positioned them as a pivotal partner for nation-building and economic prosperity.

Digitalization is at the cornerstone of the agency’s modernization journey, leveraging advanced information and communication technologies (ICT) to achieve a more efficient and effective custom operations.

“Through advanced data analytics, machine learning algorithms, and cutting-edge technologies, we will streamline our processes, improve risk assessment capabilities, and enhance fraud detection mechanisms. By leveraging AI-driven solutions, we can identify potential risks more effectively and respond to emerging threats with agility and foresight,” Ronnel B. Hombre, director of BoC’s Planning Systems and Development Service, was quoted as saying during the 32nd National Convention of the Chamber Customs and Brokers, Inc. (CCBI) last year.

“The Bureau remains steadfast in its commitment to innovation, transparency, and collaboration as we strive to enhance trade facilitation and create a world-class customs administration for the Philippines. Through ongoing modernization efforts and strong partnerships with stakeholders, the Bureau is poised to achieve even greater efficiency, security, and competitiveness in the global trade arena,” Marlon Fritz B. Broto, acting deputy commissioner for BoC’s Management Information Systems and Technology Group (MISTG), said in another statement.

As modernization changes the game for customs operations in the Philippines, the agency continues to dedicate itself in adopting digital-driven innovations and build partnerships that will strengthen its capabilities and create a strong and adaptive custom system for the Philippines.

Automated Export Declaration System

One means BoC is employing to simplify export processes and documentation is the Automated Export Declaration System (AEDS). This digital system allows exporters to easily submit documentations online and file them electronically through licensed service providers at international airports or seaports.

By using this system, the export process gets a major upgrade — from dealing with time-consuming paperwork to electronic submissions, essentially enabling the export process faster and more efficient. On top of that, AEDS also plays a significant role in expediting trade facilitation and reducing red tape activities.

Custom Auction Monitoring System

Meanwhile, the Custom Auction Monitoring (e-Auction) System enables users across all ports to manage their online registration and bidding activities digitally. Beyond simple convenience, this web-based platform significantly boosts transparency in custom auctions.

For custom agencies, a custom auction is designed to sell off goods and items that were seized, abandoned, or forfeited due to customs violations. Thus, this digital system helps the government to clear out prohibited or unclaimed items and earn revenue while still adhering to the custom regulations.

The e-Auction system promotes not only convenience to the auction process but also transparency and accountability, ensuring that the disposal of seized items or goods was handled fairly and efficiently.

Electronic Payment Portal System

Another notable development is the Electronic Payment Portal (E-Pay) System. This application allows for BoC’s online payments via authorized digital payment wallets and platforms. E-Pay covers payment collection processes and managing financial transactions and taxes.

Alongside this, the bureau has recently partnered with Maya Philippines, Inc. (Maya) to provide a payment gateway platform for BoC’s operations. This partnership allows the agency to manage bill payments, access Maya’s portable point-of-sale terminals and Smart Padala centers, and facilitate online checkouts, among others.

The E-pay System is in line with the agency’s efforts to provide a more convenient and secure payment option for its operations.

According to the BoC, technology and partnerships enables them to “advance to a more efficient, transparent, and service-oriented custom administration, demonstrating its commitment to innovation and strategic partnerships that serve the public.”

Digitalized Official Receipt System

The Digitalized Official Receipt System is a platform that tracks official receipts digitally. It helps improve the accuracy of financial records, lowers the risks of losing or damaging official receipts, and provides easy access to financial data and information.

This initiative is designed to make BoC’s financial processes smoother, while increasing transparency, accessibility, and modernizing custom operations.

In addition, this initiative is a collaborative effort with the APO Production Unit, Inc. — a key step towards paperless transactions and streamlining financial record management.

National Customs Intelligence System

Moving the digital leap further forward, the National Customs Intelligence System (NCIS) is another digital tool set to enhance intelligence efforts in the country’s customs operations. It centralizes and analyzes data, which helps the agency to strengthen its intelligence capabilities, develop smarter risks profiles, and perform in-depth analysis to combat smuggling.

Moreover, NCIS is a data-driven innovation that provides actionable insights to improve custom operations, allowing for better border protection, smuggling prevention, and legitimate international trade. This system is expected to strengthen BoC’s significant role in protecting national revenue, security, and economic interests.

NICS is an initiative by the agency’s Intelligence Group and Management Information Systems and Technology Group.

E-Travel Customs System

The e-Travel Customs System is a digital platform that streamlines passenger experiences for crews and passengers. It simplifies the baggage declaration process, letting passengers and crews skip the long lines at customs. The e-Travel Customs System collects their personal information, including the items they bring in and out of the country, enabling more convenient custom processes at airport terminals.

With this platform, custom officers can access passenger information in advance, making custom processes more efficient. It is also convenient for health monitoring, making it easier to track health risks. Overall, the e-Travel Customs System is a user-friendly platform, which helps customs in facilitating travel and trade activities, as well as enhancing border security.

Moreover, this platform is a collaborative effort between the following government agencies: the Bureau of Immigration (BI), Bangko Sentral ng Pilipinas (BSP), Anti-Money Laundering Council (AMLC), and the Department of Information and Communications Technology (DICT). — Angela Kiara S. Brillantes

Strengthening BoC’s efficiency through strategic partnership

The BoC convened its 7th CICAC meeting at the Manila Hotel last Sept. 27, 2024.

Efficient transportation of goods relies on a smooth multimodal logistics network, which requires collaboration. This is why the Bureau of Customs (BoC) has strengthened its commitment to efficiency and modernization by forming strategic partnerships with various agencies, private institutions, and industry stakeholders.

These collaborations aim to streamline customs operations, enhance trade facilitation, and combat illicit activities, ultimately boosting revenue collection and improving public service delivery.

For instance, the agency launched the Customs Industry Consultative and Advisory Council (CICAC) on Feb. 2, 2024, under Customs Memorandum Order No. 02-2024. The council serves as a platform for industry players to voice concerns and contribute to customs process improvements. By June 30, the Central CICAC had 25 member organizations, while the District CICACs had 117 active members.

Back in October, International Container Terminal Services, Inc. hosted the second General Assembly of the CICAC. The assembly brought together over 200 representatives from importers, companies, industries, organizations, and foreign chambers in the country. The discussions covered streamlining customs clearance processes, achieving revenue targets, and addressing industry-specific challenges, among others.

The Bureau of Customs Port of Cebu recently convened with various organizations at the Cebu South Harbor Container Terminal (CSHCT) to discuss ways to improve efficiency in customs clearance and strengthen coordination between ports and stakeholders in response to President Ferdinand Marcos, Jr.’s directive to establish a 24/7 shipment process across the Philippines.

The Bureau of Customs Port of Clark and the Department of Tourism (DoT) also entered into a Memorandum of Understanding (MOU) on May 11, 2024. The agreement, signed at the Clark Freeport Zone in Pampanga, reinforces their commitment to the Filipino Brand of Service Excellence program, ensuring better customer service at tourism touchpoints nationwide.

The BoC conducted the 2nd CICAC General Assembly last Oct. 25, 2024.

Meanwhile, the agency collaborated with F2 Logistics Philippines Inc. and Mandaue Foam Philippines to support BoC’s operations in Northern Mindanao.

To integrate blockchain technology into customs clearance and processing services, the Bureau of Customs formed a partnership with MY E.G. Services Berhad (MYEG) and Cargo Data Exchange Center Inc. (CDEC). The agreement introduces Ztrade, a Web3 and Artificial Intelligence (AI)-powered platform, through MYEG’s Zetrix layer-1 blockchain to streamline and secure trade transactions, particularly benefiting the Philippines’ largest trading partner, China.

Enhancing industry collaboration

As part of its initiatives, the Bureau of Customs has partnered with the Association of International Shipping Lines (AISL) to revolutionize the way the BoC monitors container movement and manages overstaying containers. The collaboration aligns with the goals of Customs Administrative Order No. 08-2019, which focuses on generating non-traditional revenue streams by efficiently tracking and managing overstaying containers at ports.

The BoC also tapped the Land Bank of the Philippines to implement the Link.BizPortal for digital payments of miscellaneous fees. Signed on March 4, 2024, this agreement is expected to enhance operational efficiency, reduce bureaucratic delays, and simplify payment processes for stakeholders.

The agency also joined forces with the National Telecommunications Commission (NTC) to educate the public on scams involving parcels and balikbayan boxes. This initiative aims to raise awareness about fraudulent schemes and provide clear guidelines on legitimate customs procedures.

Meanwhile, BoC, in collaboration with the Philippine Drug Enforcement Agency (PDEA) and the National Bureau of Investigation (NBI), has ramped up efforts to intercept illegal drugs. By mid-2024, the agency had seized P2.277 billion worth of narcotics through 80 operations. Shabu (methamphetamine) was the most commonly confiscated drug, followed by marijuana and ecstasy. A high-profile bust occurred at the Paircargo Warehouse in Pasay City, where authorities intercepted 32 kilograms of shabu valued at P218.484 million.

Furthermore, the BoC intensified its anti-smuggling operations, conducting 868 enforcement actions in the first half of 2024, resulting in seizures worth P55.171 billion. Among these, counterfeit goods valued at over P29.738 billion were confiscated, including luxury brand imitations.

The Intellectual Property Rights Division’s crackdown on fake products culminated in a significant operation last June 2024, where P11 billion worth of counterfeit goods were seized. This enforcement effort was recognized by the Intellectual Property Office of the Philippines (IPOPHL) through an award presented to the Bureau of Customs on April 29, 2024.

Supporting national development goals

BoC’s strong enforcement and efficiency measures have translated into high revenue collection figures. From January to June 2024, the agency collected P455.518 billion, surpassing its target by 2.91% or P12.897 billion.

The agency attributes this financial success to its improved valuation techniques, diversified revenue sources, and the continued digitalization of customs systems.

Beyond revenue collection and enforcement, the Bureau of Customs has contributed to various government agencies through donations of forfeited goods. — Mhicole A. Moral

SM Prime sets P33B for new developments, upgrades

SMPRIME.COM

SY-LED SM Prime Holdings, Inc. is allocating up to P33 billion this year for the expansion and development of its commercial real estate portfolio.

Around P21 billion will be allocated to expanding the gross floor area (GFA) of the company’s malls, SM Prime said in a regulatory filing on Thursday.

“We expect moderating inflation, easing interest rates, and election-related spending to fuel our growth in 2025,” SM Prime President Jeffrey C. Lim said.

New mall developments will add 205,400 square meters (sq.m.) of GFA, while 124,488 sq.m. of existing mall space will undergo redevelopment.

SM Prime expects to have 8.08 million sq.m. of GFA for its mall portfolio by year-end. The company currently operates 87 domestic malls. 

“Election-related expenditures, a cyclical driver of economic expansion in the Philippines, are anticipated to stimulate aggregate demand and spending in various sectors, particularly retail,” the company said.

“SM Prime’s extensive network is strategically positioned to capture this surge, bolstered by strong consumer confidence and increased foot traffic,” it added.

For its hospitality and meetings, incentives, conferences, and exhibitions (MICE) businesses, SM Prime will invest about P6 billion to construct two convention facilities, renovate hotel rooms, and add new food and beverage facilities in existing hotels.

The property developer will also invest P6 billion to develop new office towers and workspaces, driven by strong demand and gains in lease take-up of existing inventory. 

One of the new projects is the two-tower Six E-Com Center office project within the Mall of Asia Complex, which will cater to technology-driven industries and business process outsourcing (BPO) companies.

“Our malls should do well, and our office, hotel, and convention centers could provide additional upside,” Mr. Lim said.

The Philippine government is targeting a 6-8% gross domestic product (GDP) growth this year, faster than the 5.6% achieved last year. 

Meanwhile, SM Prime’s parent company, SM Investments Corp. (SMIC), bagged the Philippine Capital Market Deal of the Year award from the International Financing Review Asia for its issuance of a $500-million five-year bond in July 2024.

Listed on the Singapore Exchange, the bond issuance was 3.2 times oversubscribed, with final demand reaching $1.6 billion. It was part of SMIC’s European medium-term notes program.

“This landmark transaction represents a major milestone for both SM Investments and the Philippine capital markets. The strong demand from investors reflects confidence in Philippine corporate issuers and underscores SM’s reputation as a stable and well-managed investment option,” SMIC Executive Vice-President Erwin G. Pato said.

On Thursday, SM Prime shares fell by 1.35%, or 35 centavos, to P25.65 apiece, while SMIC stocks dropped by 0.48%, or P4, to P826 per share. — Revin Mikhael D. Ochave

Clark airport operator expects passenger volume to hit 3.4M

CLARK INTERNATIONAL AIRPORT

LUZON International Premiere Airport Development (LIPAD) Corp., the operator of Clark International Airport, has revised its passenger volume projection upward for 2025, citing anticipated traffic growth after the transfer of turboprop operations from Ninoy Aquino International Airport (NAIA).

“We have some indication that there will be a shift when we revise the projections. Initially, our target for passenger volume this year was three million, but with the transfer of turboprops, we are now looking at 3.3 million to 3.4 million,” LIPAD Chief Executive Officer Noel F. Manankil told reporters on Thursday.

LIPAD is composed of Filinvest Development Corp., JG Summit Holdings, Inc., Philippine Airport Ground Support Services, Inc., and Changi Airports Philippines (I) Pte. Ltd., a wholly owned subsidiary of Changi Airports International.

The Department of Transportation (DoTr), through the Manila Slot Coordination Committee, recently issued a resolution mandating the relocation of turboprop operations from NAIA.

“We’re observing key triggers related to traffic volume, which guide us in decisions about capacity building,” Mr. Manankil said.

In 2024, Clark International Airport reported a total of 2.4 million passengers, marking a 20% increase from its 2023 passenger count.

LIPAD attributed the growth to international passengers, who accounted for 65% of the total volume, while domestic passengers comprised 35%.

Mr. Manankil said LIPAD is further evaluating capacity expansion, including potential airport fit-outs.

“If we reach a certain traffic volume threshold, it will signal the need to further increase capacity,” Mr. Manankil said.

Budget carrier Cebu Pacific will begin the gradual relocation of its turboprop operations on March 30.

By October next year, all turboprop aircraft operating at NAIA are expected to be relocated to other airports, Mr. Manankil said.

In response, LIPAD is assessing the possibility of deploying additional capacity at Clark, which currently has a built capacity of four million passengers annually.

Mr. Manankil noted that the airport’s capacity can be scaled up to eight million passengers through fit-outs.

“We are closely monitoring the turboprop situation. If sustained, we will identify the triggers for further capacity expansion,” he said.

During the peak season, Clark International Airport recorded an average of 10,000 to 12,000 passengers per day.

Currently, the daily passenger average has stabilized at 9,500. Mr. Manankil added that LIPAD expects an additional 700 daily passengers once turboprop operations are fully transitioned.

LIPAD also anticipates weekly flight movements at Clark Airport to increase to 269 from the current 237 by March 30. — Ashley Erika O. Jose