BusinessMirror June 13, 2022 by BusinessMirror

‘Closehalts borders, cut Omicron risk’ DBM Mama-o bid to getexposure POEA funds

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Cai U. Ordinario HE By Department of Budget @caiordinario and Management (DBM) told the Department of Migrant borders WorkersLOSING (DMW)the to country’s keep its hands is one of theofmost immediate off the 2022 budget the Philippine of action the governOverseascourses Employment Administrament must take to prevent lattion (POEA), arguing that thethe new est Covid-19 variant, Omicron, from agency has no authority over the said reaching funds givenPhilippine that it has shores, yet to beaccordfully ing to local economists. constituted. new var iant isSecretary a threat, InT aheletter to DMW e s p e c i aMama-o, l l y w it hBudget t he hol id ay s Abdullah Officercoming up and more foreigners In-Charge Secretary Tina Marie beingasserted a llowed tothe travel the Canda that POEAtostill Philippines, De La Sa lle Univerholds the authority to use its budget. sit y economist Mar ia Ella Canda made the response afterOplas Matold BusinessMirror. ma-o, who was barely weeks in office, The holidays bring sought to disburse theusually remaining POEAin Overseas Filipino Workers (OFWs) funds this year even though the DMW who are eager to spend Christmas

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with their loved ones, while foreigners living in temperate regions usually want to relax in tropical countries like the Philippines. This year’s influx of OFWs is expected to be heavier since many of them were unable to come home for the holidays in December 2020. “My recommendation is to protect the borders. Do not allow people with a history ofmeet travel to countries with “Since it did not the clear requirements of the positive cases to enter,” Oplas said. law, there will be no complete transfer of funds unless “We more restrictive. [We and untilshould now thebe DMW is fully constituted.”—DBM have to be] more protective terms Officer-In-Charge Secretary Tina Mariein Canda of our measures.” Oplas said this will beyear. is expected to bethat fullywhile constituted next a “With setbackrespect to sometoindustries, this the authority to is a fair that it is utilize themeasure FY 2022considering POEA budget, this could help prevent placing thefully emphasized that the DMW shall be country in another strict lockdown,

n Monday, June 13, 248 Monday, November 29,2022 2021Vol.Vol.1717No.No.52

which, she said,ifthe can no constituted theeconomy conditions unlonger afford. der Section 23 of RA No. 11641, “Itreiterated is better that we do protective as under Section 56 of preventive measures than getReguexits Implementing Rules and posed again. We are have a lot to lose,” lations (IRR) complied with,” Oplas said. “We should it now so Canda was quoted as do saying in her that we can open just before Christletter dated May 31. mas. If it getsfrom contained, we canamong open Aside the POEA, it again.” the agencies that are set to be abAteneoby Center Economic Resorbed DMWfor include Philippine search and Development (ACERD) Overseas Labor Offices (POLO), the Associate Director Percival International Labor Ser Affairs Bureau K. (ILAB), Peña-Reyes closing the and thesaid National Maritime country’s borders would be effecPolytechnic (NMP). tive but should adhere the Aside fromstill these, othertoagenstandards set by the World Health cies that will be absorbed also Organization include the (WHO). National ReintegraWhatCenter is needed, told tion forPeña-Reyes OFWs (NRCO) this newspaper, is for travel restricunder the Overseas Workers Weltions to be put in place swiftly and

for government to be proactive in fare Administration, Office of imposing them. the Undersecretary for Migrant PreviousAffairs instances when the Workers’ (OUMWA) of country had the opportunity to imthe Department of Foreign Afpose restrictions did not fairstravel (DFA), and the Office ofprethe vent theWelfare spread ofAttache Covid-19. That was Social (OSWA) of mainly because theofdecision was not the Department Social Welfare made immediately, he said. and Development (DSWD). “Kung papatay patay [If we’re Under the law, three conditions slow] and we get caught flat-footmust be met for the DMW to be ed, [that’s risky] We were too refully constituted: an appropriation active instead of proactive before. in the FY 2023 General AppropriaWe should learn 2) from that,” Peñations Act (GAA), an effective IRR, Reyes said. “It’s a delicate and 3) a staffing pattern.balancing act. However, We need Canda to push testing argued thatand the tracing to be properly informed appropriation in the FY 2023 GAA ofand ourthe decisions. staffing Blanket/shotgun pattern of DMW approaches could have dire conseare still being processed. quences on See the“DBM,” economy.” A2 See “Omicron,” A2

P25.00 P25.00 nationwide nationwide || 22 sections sections 20 20 pages pages ||

NATL GOVT BORROWINGS GOVT’S DEBT PAYMENTS FOR 10 MOS TO P2.75T DOWN 39% DIP IN JAN-APRIL T T By Bernadette D. Nicolas By Bernadette D. Nicolas

@BNicolasBM

Omicron risk spurs revival of quarantine rules in PHL

FREEDOM DAY President Duterte leads the 124th commemoration of the country's Independence Day at the Rizal Park on Sunday, June 12, 2022 —the last time he will be gracing it, before stepping down from office at noon of June 30. ROY DOMINGO

@BNicolasBM

HE national government HE national shelled out less money for its government’s debt payments in the first four gross months of as this borrowings of year compared to a year ago. shrank end-October

by almost 6 percent Latest data from the year-on-year toBureau of the Treasury showed total debt payP2.75 trillion. ments as of end-April contracted by

39.1 percent to P356.63 billion from P585.8 billion in the same period lastLatest year. data from the Bureau of the Treasury showed expenses that the governAmortization in the ment’speriod gross plunged borrowings during the same by 61 percent 10-month period by 5.99 percent year-on-year to fell P169.99 billion from aP2.92 trillionP436.12 a year ago. from whopping billion. With only two months left for On the other hand, interest this year, the latest figure is already payments rose by 24.7 percent to equivalent to from 89.6 P149.68 percentbillion of its P186.63 billion P3.07-trillion borrowing program. in the comparable period a year ago. Broken down,alone, gross domestic borFor April the national rowings from’sJanuary to October gover nment debt pay ments settled at trillion,todown by slipped by P2.23 33.2 percent P42.98 5.08 percent from P2.35 trillion billion from P64.29 billion in the in 2020. The bulk of the amount was sourced from Fixed Rate Treasury Bonds (P1.19 trillion), followed by short-term borrowings from Bangko Sentral ng Pilipinas or BSP (P540 billion), Retail Treasury Bonds/Premyo BondsHE (P463.3 billion), Department ofRetail Trade Onshore Dollar Bonds (P80.84 biland Industry (DTI) urged lion). In the same period, there was Filipinos to patronize alsolocally a net redemption of Treasury made products, to susBillstain amounting to P43.94 billion. the country’s economic Net debt redemption means recovery. there were morePhilippines debts repaid comcomAs the pared to the amount durmemorated theborrowed 124th Philing the period. ippine Independence Day on Meanwhile, gross foreign borSunday, outgoing Trade chief rowings in the same period also Ramon M. Lopez highlighted contracted by 9.7 percent to P518.7 the role that local entreprebillion fromplay last year’s P574.4 billion. neurs in the country’s This was raised through global economic recovery. bonds “(P146.17 billion), program We in the Department loans euro-deof (P139.98 Trade andbillion), Industry (DTI) nominated bonds (P121.97 billion), have always been keen on a project loan (P86.41 creating market billion), access and for yen-denominated ou r e nt re p resamurai ne u r s ubonds nd e r (P24.19 billion).

By Samuel P. Medenilla @sam_medenilla

same month last year. Broken down, amortization expenses plunged by 85.98 percent year-on-year to P5.67 billion from P40.47 billion. Interest payments, however, jumped by 56.6 percent to P37.3 billion from P23.8 billion in April last year. For this year, the government programmed debt payments to reach P1.298 trillion. If this is realized, this would be higher than the P1.204 trillion that the government shelled out in 2021 to repay its debts as the Covid-19 pandemic raged on.

See “Debt,” A2

PEOPLE walk past the mural of Gat Andres Bonifacio at Manila City Hall Underpass. The country will celebrate the 158th birth anniversary of Filipino revolutionary hero Gat Andres Bonifacio on Tuesday, November 30. ROY DOMINGO

BUY LOCAL GOODS TO SUSTAIN RECOVERY, DTI URGES PINOYS

See “Borrowings,” A2

OVER 3-M FARMERS LISTED FOR P75-B COCO LEVY FUND

the GoLokal! National Campaign,” said Lopez. “Now as the country turns a Jasper Emmanuel Y. Arcalas new By leaf, I encourage everyone @jearcalas to patronize our locally made products as it will sustain the ORE than 3 million country’s economic recovery coconutunity farmers and demonstrate to- and workers are now wards a post-pandemic fu-registered withLopez. the government’s regture,” added istry, which the basis Go Lokal! Is aserves marketasaccess for the number of people platform for micro, small andto be covered by the utilization medium enterprises (MSMEs)of the P75-billion coconut levy fund. introduced by the Department Philippine CoconutinAuthority of Trade and Industry col(PCA) Deputy laboration withAdministrator select retail Roel M. Rosales saidmanagement about 3.11 million partners for brand coconut farmers and farm workand market acceleration. ersSee have been registered “Local goods,” A2 with the government since it started up-

NTER NATIONA L concerns over the possible spread of the more infectious Omicron Covid-19 variant prompted the government to reimpose mandatory facility-based quarantine for all arriving passengers in the country. Acting Presidential spokesperson Karlo B. Nograles announced on Sunday that the Inter-Agency Task Force for the Management of Emerging Infectious Diseases (IATF) suspended the implementation of its Resolution No. 150A (s.2021), effectively imposing stricter protocols for all inbound travelers. To note, IATF Resolution 150A had allowed fully vaccinated non-visa travelers from Green List areas to enter the country without the need for facility-based quarantine as long as they secure negative Reverse TranscriptionPolymerase Chain Reaction (RTPCR) test within 72 hours prior to their departure. “Except for countries classified as ‘Red,’ the testing and quarantine protocols for all inbound internationalalternative travelers in all of entry one is ports to invest in shall comply withfinancial the testing and inflation-linked assets quarantine protocols for ‘Yellow’ which, they said, were “designed to list countries,” Nograles said, citing protect investors from inflation.” the“In provision of IATF the presence of anResolution inflationNo. 151-A. ary spike, these adjustments on the Heofnoted Hong Kong, whichwill has part individual consumers confirmed a case of the Omicron at most help reduce the pain. The variant, also fall under the Yelbest waywill to avoid significant negalow list countries.for consumers is tive consequences The suspension of the rules preempting an inflationary spikefor in “Green List” countries will be of in the first place, and that is the job effect from November 28, 2021 to central banks,” the economists said. December 15, See 2021. “ADB,” A2

ADB experts pitch inflation busters for rich, poor dating its registry following the enactment of the Coconut Farmers and Industry Trust Fund law. Rosales that about By Caiexplained U. Ordinario 500,000 coconut farmers and @caiordinario workers were added to the PCA’s 2018Slist that had about million commodity prices2.5 continue coconut farmers and farm workers. to spiral, poor households The PCA’sconsume next step is wheatto conshould less duct an exclusion-inclusion probased foods and increase their concedure by making the updated sumption of more accessible grains farmers’ registry to public, providlike rice, according economists ing the everyone the opportunity to from Asian Development Bank check the veracity of the list, Ro(ADB). sales added. this may mean conFor Filipinos, “The listpan willde besal, posted in public suming less a breakfast spaces where people can easily see and merienda staple, to avoid be-

them. This allows everyone to see who are listed in the registry and if farmer doesn’t see his name then he shall coordinate withwheat the PCA iming affected by high prices. mediately,” he explained a recent Consuming more of theatcountry’s dialogue with coconut staple, rice, could be afarmers. cheaper al“On the other hand, if people ternative for poor households. would see names on the list and “As not all prices rise proportionthey think they are not coconut ally, individuals can also change farmers or their details are incortheir consumption patterns to conrect, they can report it to thegoods PCA sume relatively more of those for immediate action,” he added. and services whose prices are inThe less—e.g. PCA official noted that creasing consuming more the completion of the initial list rice and less wheat-based foods,” of coconut farmers registry would ADB economists Irfan A. Qureshi be just in time for thesaid. expected and Matteo Lanzafame rollout of coconut levy-funded Data from the Philippine Sta-

programs as President Duterte is expected to sign the industry development plan in early 2022. Rosales said the PCA not tistics Authority (PSA)will showed stop list of coconut rice updating posted a its year-on-year inflafarmers and themwhile to reg-the tion rate ofenjoined 1.5 percent ister in order to reap theonbenefits increase in rice prices a monthofon-month the decades-long idled coconut basis was at 0.1 percent levy will not stop at 3.1 as offund. May“We 2022. million. hope that more The We data showed thatindiflour, viduals will register in our bread and other bakery coconut products, farmers registry,”and he said. pasta products, other cereals The updating of the4.8 coconut posted a much higher percent farmers registry is mandated year-on-year inflation and 0.9by perRepublic Act (RA) 11524 or the cent month-on-month inflation. Coconut IndustryQureshi Trust Fund Meanwhile, andAct. LanSee “3-M farmers,” A2 zafame said for richer households,

Continued on A2

PESO EXCHANGERATES RATESn nUSUS50.4600 52.9450 n JAPAN 0.3940 n UK 66.1865 n HK 6.7456 n CHINA 7.9117 n SINGAPORE 38.2938 n AUSTRALIA 37.5804 n EU 56.2276 n SAUDI ARABIA 14.1141 Source: BSP (June 10, 2022) PESO EXCHANGE n JAPAN 0.4374 n UK 67.2329 n HK 6.4722 n CHINA 7.9013 n SINGAPORE 36.8968 n AUSTRALIA 36.2807 n EU 56.5758 n SAUDI ARABIA 13.4531 Source: BSP (November 26, 2021)

News

BusinessMirror

A2 Monday, June 13, 2022

WTO plan on food, animal, health safety in trade pushed By Jasper Emmanuel Y. Arcalas

A draft ministerial declaration that aims to initiate measures within the WTO to address “modern” sanitary and phytosanitary (SPS) challenges is seeking a consensus approval during the multilateral body’s ongoing 12th ministerial conference (MC12) in Geneva. The WTO’s MC12 is currently under way from June 12 to 15, after being postponed for two years by the Covid-19 pandemic. The draft declaration on SPS has gained traction over the past two

years, with its growing number of cosponsors including the African group, ACP group, United States, Vietnam, Switzerland, Singapore, China, Japan, and the Philippines, among others. The latest co-sponsors of the document were Hong Kong, China, Nicaragua and Norway. “We recognize that the twelfth WTO Ministerial Conference takes place following the 25th anniversary of the Agreement on the Application of Sanitary and Phytosanitary Measures (SPS Agreement)—an

opportune point to reflect on the successes achieved since its adoption, and to recognize the challenges ahead resulting from emerging pressures that may significantly impact international trade in food, animals and plants,” the document read. “We wish to take this opportunity to underline that the SPS Agreement and its provisions are as relevant and applicable today as they were in 1995, and they continue to safeguard the right for Members to take measures necessary for the protection of human, animal or plant life or health,” it added. The current cosponsors of the declaration noted that the evolution of the global agricultural landscape since 1995 has brought new opportunities and challenges in international trade of food, animals and plants such as expanding global populations, increasing pace of innovation in tools and technologies, and climate change. The draft declaration also cited

AFP...

Island Group and West Philippine Sea (WPS), said it was hoping that issues involving the WPS would be “diplomatically resolved soonest” in order to avoid any “miscalculation of actions.” Vice Admiral Carlos said the resolution is needed in order to ensure “peaceful coexistence of all stakeholders until conflicting maritime claims of some portions of the Philippines’s exclusive economic zone are amicably settled.” “In the meantime, Wescom as-

sures the Filipino people that Philippine sovereignty and sovereign rights will not be compromised in the WPS area,” the unit assured. The Wescom said it will sustain a “strong presence” in the area through “effective occupation of Philippine-held WPS features, and will continue joint naval and maritime air patrols with other government instrumentalities like the Philippine Coast Guard, Bureau of Fisheries and Aquatic Resources, and the Philippine National Police Maritime Group.”

@jearcalas

HE Philippines and over 90 other delegations, including the United States and China, are pushing for the establishment of a World Trade Organization (WTO) work program that addresses the growing challenges in maintaining food, animal and health safety in global trade.

Continued on A12

Last Thursday, the DFA protested the swarming of over 110 Chinese militia boats near the Julian Felipe (Whitsun) Reef. This coincided on the Philippine-China Friendship Day and the visit of US Deputy Secretary of State Wendy Sherman. The military’s area command, which is in charge of the Kalayaan

the growing importance of sustainable agricultural practices and shifting pressures due to the spread of various pests and diseases worldwide. The draft document also took notice of countries continuously applying SPS measures to restrict international trade. “To that end, the Ministerial Conference instructs the SPS Committee to further enhance the implementation of the SPS Agreement in an effort to better manage issues related to international trade in food, animals and plants by undertaking a work program, open to all Members and Observers,” the draft document read. Under the proposed work program, the WTO SPS Committee will work to identify the following: the challenges in the implementation of SPS agreement and available mechanisms to address them as well as the impacts of emerging challenges on the application of the SPS agreement.

DBM...

Continued on A1

“Since it did not meet the clear requirements of the law, there will be no complete transfer of funds unless and until now the DMW is fully constituted,” she said. Moreover, Canda said agencies that are set to be absorbed by DMW, including POEA, shall continue to exist separately since the DMW is still undergoing a two-year transition period and is not yet fully constituted. The budget official noted in her letter that Executive Secretary Salvador Medialdea earlier expressed the same position in his separate message to Mama-o. Section 29, Chapter 6, Book IV of EO No. 292 states that the head of office shall exercise overall authority in matters within the jurisdiction, including those relating to its operations, and enforce all laws and regulations pertaining to it. “Hence, applying the same in the instant case, POEA Administrator [Bernard] Olalia, being the head of office of the POEA, shall continue to exercise authority on its operations until the full constitution of the DMW,” she said. Bernadette D. Nicolas

www.businessmirror.com.ph

ADB...

Continued from A1

These efforts would be necessary as the economists expect headline inflation to see a 2 percentage point increase in emerging markets given that oil prices could post a 50 percent increase this year. Qureshi and Lanzafame’s expectations were based on recent developments. Since the war in Eastern Europe, certain commodities have seen prices significantly increase. Prices for wheat and corn have soared since Russia and Ukraine are key global suppliers while palm oil prices also surged, because Ukraine is a large producer of sunflower oil, and the two products are substitutes. They said “fertilizer shortages and substitution from wheat may also push up rice prices. If more countries turn to export bans to safeguard domestic food supplies, food protectionism could also further fuel food inflation in Asia.”

newables can reduce vulnerability to this type of price pressure in the medium-term,” Qureshi and Lanzafame said. In Asia, energy consumption per unit of GDP has declined over the last two decades, but it is still higher than the OECD average. In this respect, the crisis presents an opportunity for regional governments to speed up the transition to more sustainable and greener growth,” they said. Last week, rising consumer prices would make it more challenging for the incoming administration to significantly reduce the number of poor Filipinos, according to local economists.

May inflation

THE PSA reported that inflation increased to 5.4 percent in May 2022, a 37-month high. Inflation in May was the highest since November 2018 when inflation reached 6.1 percent. Based on PSA data, the higher inflation was caused by price surges in food, transportation, and sin products. In May 2021, inflation was at 4.1 percent and was at 4.9 percent in April 2022. Inflation is only bound to increase, especially in light of the estimates made by Department of Agriculture (DA) Undersecretary for Planning Fermin Adriano that rice prices could increase by at least P4 to P6 per kilo in light of the Russia-Ukraine war and the shipping crisis. (Story here: https://businessmirror. com.ph/2022/06/06/higher-riceproduction-costsseen-to-spur%e2%82%a76-kilo-price-hike/)

Not just food

APART from food, Qureshi and Lanzafame said even non-food commodities such as semiconductor and automotive industries in the region will be impacted. This can happen because Ukraine supplied 50 percent of the world’s neon gas. The economists said given the war in Eastern Europe, this can curtail the global supply of this critical input to produce semiconductor chips. “The nature of the current inflation episode, largely driven by a spike in global energy prices, also suggests that boosting investment in energy efficiency and re-

Local goods...

Continued from A1

Since its launch in December 2016, the GoLokal! program has partnered with 24 retailers, rolled out 156 stores nationwide, assisted 863 MSMEs, of which 412 were already mainstreamed and have become regular suppliers of partner retailers. To date, the program has already generated sales of over P466 million. The outgoing Trade chief noted, during the opening of its first inline store at Ayala Malls Manila Bay last month, that the GoLokal! program, in partnership with the DTI, can be an avenue towards patronizing local products and boosting the MSMEs industry simultaneously. T h rou g h t h i s pro gram, Lopez said, MSMEs get help in terms of product development, training and marketing their goods. “To be able to sell in stores, they must pay rent, but with a partnership like this, GoLokal! can carry their

Debt...

products,” he said last month. There are currently 18 GoLokal! suppliers in the inline store that offer food and wellness products, fashionable accessories, homeware, and toys. Lopez earlier explained that not all local products are guaranteed to be displayed at the inline store, as the process involves curating or filtering the products that they display. However, he said, this may challenge MSMEs “to come up with superior products so these can be displayed, since the products must be curated. That’s why the products chosen are those that can compete with imported products.” The program’s primary goal is to help the country’s MSMEs enter the mainstream market via the free services offered by DTI such as: merchandise development assistance to produce commercially viable products for the market and market access to stores/spaces provided by Retail Partners such as mall and retail operators.

Continued from A1

As of end-April, the national government’s outstanding debt hit another record-high at P12.76 trillion, just two months before President Duterte steps down from office. T he nat iona l gover nment’s debt-to-GDP ratio as of the first quarter of the year rose to a 17-yearhigh at 63.5 percent, above the internationally recommended 60-percent threshold by multilateral lenders for emerging markets like the Philippines. It is also the highest since the country’s debt-to-GDP ratio hit 65.7 percent in 2005 under the Arroyo administration. Finance Secretary Carlos G. Dominguez III has since said that the current debt level remains “sustainable” as the country needed to ramp up its

borrowings for Covid-19-related expenditures amid weaker revenue collections during the pandemic. The DOF recently proposed that the next administration implement a set of fiscal measures seen to generate a total average of nearly P350 billion per year from 2023 to 2027 to help the country outgrow its debt at a faster rate. The three-package proposed fiscal consolidation and resource mobilization plan includes the imposition of several taxes, 3-year deferment of the second tranche of reduction in personal income tax rates, and the expansion of value-added tax (VAT) base and removal of VAT exemptions, except for education, agricultural products, health, financial sector, and raw food, among others.

A4 Monday, June 13, 2022 • Editor: Vittorio V. Vitug

The Nation BusinessMirror

‘No genuine freedom without progress, respect for dignity’ By Joel R. San Juan @jrsanjuan1573

HERE would be no genuine freedom without progress and respect for human dignity. This was what Chief Justice Alexander G. Gesmundo emphasized during a ceremony commemorating the 124th anniversary of the Proclamation of Philippine Independence last Sunday. Speaking before the crowd who had gathered at the Bonifacio Monu-

ment in Caloocan City, Gesmundo assured Filipinos that the judiciary would remain faithful with its duty to protect the rights and freedom that Filipinos have fought for. He also paid tribute to every Filipino hero, whether known or unknown in the annals of Philippine history, who contributed in the country’s struggle to gain its independence. “That’s why on this occasion, my call for the Filipino people is to safeguard and enrich the rights and freedom that have been bequeathed

to us. In acknowledging the responsibilities that come with it, let us give all our best to positively contribute in our society through our own little ways,” Gesmundo said in the vernacular. “Let us collectively use all our strength to overcome the challenges that we are facing as a nation.” Joining Gesmundo were: Caloocan City Mayor Oscar G. Malapitan; City Vice Mayor Luis Macario E. Asistio; Caloocan 1st District Rep. Dale Gonzalo R. Malapitan; Na-

Address unintended pregnancies, lawmaker urges incoming admin By Jovee Marie N. Dela Cruz @joveemarie

SENIOR lawmaker has called on the incoming Marcos administration to fully implement the Responsible Parenthood and Reproductive Health Act or Republic Act (RA) 10354. Albay Rep. Edcel C. Lagman said in a statement the next administration should prioritize reproductive health in the wake of the report of the United Nations Population Fund (UNFPA) that 51 percent of pregnancies in the Philippines were unintended from 2015 to 2019. Lagman, the principal author of the landmark law, said RA 10354 was enacted 10 years ago. The lawmaker asserted that the budget for reproductive health in its first year of implementation in 2013 at P2.5-billion has dwindled to P842-million in 2022, while the budget for mega infrastructure projects, with lesser beneficiaries

and longer periods for return of investment, have soared to multibillion pesos. To realize the goals of the reproductive health law, Lagman said it is urgent to provide adequate and consistent funding for its speedy and efficient implementation. “The least expensive mode of helping attain sustainable human development is the full and expeditious implementation of the Responsible Parenthood and Reproductive Health Act,” he said. Lagman explained that “the RH law is a rights-based, health-oriented and development-driven legislation, which affords women and couples to freely exercise their inherent right to determine the number and spacing of their children.” He cited a study by the New Yorkbased Guttmacher Institute that said “for every peso spent on family planning, around P3 to P100 will be saved for maternal care costs for unintended pregnancies.” Lagman said the joint study

also concluded that the cost of meeting the need for modern contraception considerably reduces the incidence of unintended and unplanned pregnancies. He added this saves the government and the economy tremendous amounts otherwise allocated to and spent for pregnancy-related and newborn healthcare services. Accord ing to L ag man, t he Department of Health (DOH) is aware of the cost efficiency of investing in reproductive health and family planning. “In its National Objectives for Health way back in 2005, [the DOH] affirmed that a reduction in the actual number of births reduces the need for obstetrical care, immunization and other maternal and child health interventions,” he said. The lawmaker said the RH law mandates the State to provide reproductive health services and supplies for free to marginalized acceptors.

tional Historical Commission of the Philippines OIC-Deputy Executive Director Alvin R. Alcid; Caloocan Chief of Police Col. Samuel V. Mina Jr.; and, Caloocan Bureau of Fire Protection Superintendent Roberto D. Samillano Jr. Also present during the ceremony were Assistant Court Administrator and Chief of the SC Public Information Office Brian Keith F. Hosaka, as well as the judges from the Regional Trial Courts and the Metropolitan Trial Courts of Caloocan City.

BI collars German wanted in Berlin

HE Bureau of Immigration (BI) yesterday announced the arrest of a 71-year-old German national who is wanted by authorities for fraud in Berlin. In a statement, BI Commissioner Jaime H. Morente identified the suspect as Robert Schrade. Schrade was arrested last Thursday in Calauan, Laguna, by operatives from the bureau’s Fugitive Search Unit (FSU). Morente said Schrade will be immediately deported back to Germany as an order for his summary deportation for being an undesirable alien has recently been issued by the immigration department. It was also discovered that Schrade is staying in the country as an undocumented alien since his passport expired last March 27. Aside from this, the BI said the German national has overstayed in the country as immigration records would show that he last arrived in Manila on May 12, 2017, and has not departed since then. “He has been placed in our immigration blacklist; thus, he is perpetually banned from re-entering the country,” Morente said.

Villagers evacuated following another Mt. Bulusan explosion

EVERAL villagers living near Mount Bulusan in Sorsogon were evacuated after the volcano made another phreatic explosion, spewing heavy ash that affected at least three towns. The National Disaster Risk Reduction and Management Council

(NDRRMC) said the evacuation was continuing as of Sunday morning, although an initial 103 families or 438 individuals from the town of Juban have been moved to government-run shelters. “ We rece ived a re por t that there were ash-fall inci-

dents in the towns of Casiguran, Juban and Irosin,” the NDRRMC said. Arian Aguallo, spokesman of the local disaster office of Juban, said the phreatic explosion occurred at around 3:37 a.m., sending ash into different communities. “The ash-fall was scattered and was not only concentrated in some barangays. There are traces of ashfall in almost all areas of Juban, it was

not only concentrated in a number of barangays. There are selected barangays where the ashfall is heavy,” Aguallo added. The barangays, which are near Bulusan are Puting Sapa, Bacolod, Buraburan, Catanusan, Calateo, Aroroy and Rangas. Despite the latest eruption, no casualty was reported, with Juban asking its residents to stay inside their houses. Rene Acosta

www.businessmirror.com.ph

DND Chief Lorenzana collapses, AFP in show of force for June 12 By Rene Acosta @reneacostaBM

EFENSE Secretary Delfin N. Lorenzana fainted while attending the 124th Independence Day ceremony on Sunday at Rizal Park, with his head and body hitting the ground. His aides quoted Lorenzana as saying he believed exhaustion from a recent series of international engagements, coupled with Sunday’s extremely hot and humid weather, caused his collapse. They insisted that the 36th Secretary of National Defense is fine even as he remains in hospital where he was rushed for treatment. The military held an event commemorating the country’s 124th Independence Day, with several activities including at the Kalayaan Island Group and Philippine Rise. At the Luneta, the seat of the anniversary rites, Lorenzana was seen on video standing in line next to some Cabinet secretaries near the giant flagpole when he suddenly keeled over. A woman behind him tried to catch him, but barely broke his fall. The defense chief was immediately wheeled into an undisclosed hospital, with several witnesses raising concerns over his conditions following his head’s thumping onto the ground. Lorenzana, however, said he was okay, with his aides even sending photos while he was in the hospital. One of the photos showed him relaxed and seated on his hospital bed while taking his breakfast. “I am fine now. Just resting since the results of the tests conducted earlier are okay,” Lorenzana posted in his social media page that accompanied his photo doing the thumbs-up sign. “The fatigue from my recent successive international security engagements may have taken its toll on me. Then it was also very hot at the Luneta a while ago. But, as the saying goes, a true soldier always gets up quickly after a fall,” the defense chief said. Department of National Defense Spokesman Arsenio Andolong said Lorenzana just arrived from Singapore early Sunday after attending the IISS ShangriLa Dialogue and meeting with his foreign counterparts. He said the defense secretary also traveled recently to South Korea and other parts of the country “while

overseeing the defense operations of the country and transition to a new administration.” “His hectic schedule during the last few weeks and the extreme temperatures in Luneta earlier today may have resulted in his fatigue,” Andolong said. The Luneta event where President Duterte led the flag raising and wreath laying ceremonies was just among the activities for the military, which carried out similar or other related activities across the country.

Ready for defense

THE militar y highlighted the commemoration with a f ly-by staged by Air Force assets FA-50 fighter jets and SF-260 attack aircraft along with AgustaWestland AW109, S-70i Blackhawk and T-129 ‘ATAK’ Helicopters. On Pagasa Island, Armed Forces Western Command commander Vice Admiral Alberto Carlos led soldiers and the residents of Kalayaan Municipality in hoisting the flag for the commemoration. “This Independence Day, we render our snappiest salute to the children, men and women of Pag-asa who remained in the island despite the security and safety risks from other claimant countries and of natural disasters! Your presence in our farthest occupied territory is in itself a great display of heroism,” Carlos said. “We render our salute to the unsung heroes from the rank and file of the Western Command, who day in and out; committedly safeguarding our nine Philippine detachments in the Kalayaan Island Group. Your quiet but noble service asserts our freedom and the rightful ownership of Philippine territory and sovereignty,” he added. A similar activity was also conducted in the Philippine Rise by the Armed Forces Northern Luzon Command under Lt. Gen. Ernesto Torres Jr. A flag-raising ceremony aboard a Philippine Navy vessel was held and, today (June 13), an “InterAgency Solidarity Maritime Patrol” will be carried out around the Philippine Rise. “The Maritime Patrol over our Philippine Rise signifies our patriotic ownership over the country’s maritime area, and to optimize our maritime entitlements within our country’s sovereign territory,” Torres said.

Filipinos around the world celebrate Independence Day Civil servants urged to be ‘future-ready’ By Malou Talosig-Bartolome

ILIPINOS around the world celebrated their first face-toface Philippine Independence Day event since the pandemic forced everyone to go on lockdown. Singers Martin Nievera and Lani Misalucha serenaded Filipinos in the east coast at the DAR Constitution Hall in Washington D.C., United States of America. Last week, on June 5, Filipinos in New York and New Jersey joined the 124th Independence Day parade along Madison Avenue. Colorful floats from various FilAm groups and beauty contestants on board, as well as cultural presentations from various contingents, were back on the streets in the Manhattan borough. “This is the first time after a 2-year hiatus due to the pandemic that we would be holding the biggest Independence Day parade outside the Philippines,” Consul General Elmer G. Cato said in his Facebook post. The Fil-Am group Philippine Independence Council Inc. organized the event in coordination with the Philippine

consulate general. Former television host Ruby Rodriguez, actress Patricia Javier and former pop-rock band Introvoys drummer Paco Arespacochaga were one of the Filipino celebrities seen during the parade. Supporters of Presidentelect Ferdinand R. Marcos Jr. joined the march. Anti-Marcos protesters wearing black with placards came as well. In Tokyo, Japan, the festivities were held for two days starting June 11. The Philippine Expo 2022 was packed with a karaoke challenge, Filipino food festival at Ueno Park, beauty contests for women, gay and children and cosplay. Rapper Andrew E capped the 2-day program for thousands of Filipinos and Japanese-Filipino children in Japan. For Filipinos in Norway, it took more than a decade for the Embassy and Filipino community to organize an Independence Day event. British-Filipino actress Bela Padilla was their special guest at Saint Hanshaugen Park in Oslo. Nearly 250 Filipinos and Norwegians attended the event

organized by the Embassy and Kalayaan Norge, an umbrella group consisting of several Norwegian-based Filipino organizations in Norway. However, in Hong Kong, where there are around 200,000 Filipino workers, the Independence Day celebration was still held on virtual platform. Hong Kong still prohibits group gatherings in public places of more than four people. Also in Dubai and Abu Dhabi, United Arab Emirates, the Philippine Independence Day celebration was postponed in deference to the passing of UAE President Sheikh Khalifa bin Zayed Al Nahyan. The UAE Ministry of Presidential Affairs has called for 40 days of official mourning all over the UAE. The Philippine Embassy in Abu Dhabi called on the Filipino communities in the UAE to conduct activities including Philippine Independence Day celebration “only after the 40-day mourning period,” the Filipino Social Club said in its Facebook Post.

S the nation gears up for the celebration of the 124th Philippine Independence Day on June 12, theCivilServiceCommission(CSC)urged civil servants to be ‘future-ready’ and be prepared for new challenges that could affectpublicservicedeliveryinthefuture. The celebration, with the theme, “Pagsuong sa Hamon ng Panibagong Bukas” (rise towards the challenge of a new beginning), is a call for government workers to embrace change and adjust to new realities, especially as the country emerges out of the Covid-19 pandemic and onto the so-called “new normal.” TheCSCemphasizesthatcivilservants’ ability to be agile in the face of changes in the workplace is a crucial factor that can determinethequalityandeffectivenessof the government’s programs and services. The Commission adds that, in an effort to aid public servants, measures are currently adopted to achieve continuity in the delivery of public services amid any disruption—be it a pandemic, natural disaster, civil disturbance, or similar others—while ensuring the safety and welfare of our government workers.

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Govt met only 86 percent of housing targets–DHSUD By Cai U. Ordinario @caiordinario

HE Duterte administration was able to build 1.08 million housing units as of the end of 2021, according to the Department of Human Settlements and Urban Development (DHSUD). However, the DHSUD said this was only 86 percent of the housing targets set in the country’s medium term socioeconomic blueprint, the Philippine Development Plan (PDP) 2016-2022. Nonetheless, DHSUD said the outgoing administration was able to improve the annual housing production of the country to 197,886 every year, the highest among previous administrations since 1975. “We must continuously innovate to ensure that our vision to be a ‘strong institution and catalyst for the provision of adequate and affordable housing, inclusive human settlements and well-planned communities for every Filipino family’ comes to light,” del Rosario said. The DHSUD also assisted 233 local government units in updating and ratifying their Comprehensive Land Use Plans and Provincial Development and Physical Framework Plans, data from the agency showed. “Finalizing these key pacts indicates the government’s devotion in promoting effective land utilization towards ensuring national progress without causing harm to the environment,” del Rosario noted.

The DHSUD also crafted real estate development policies and issued directives to cushion the impact of the pandemic, according to the agency. The DHSUD issued 1,437 Licenses to Sell and Certificates of Registration to 36,624 dealers, brokers and salespersons registered with the Department in the last two years. The DHSUD also implemented various measures to further professionalize the housing industry. And currently, it is serving 25,621 registered homeowners associations nationwide. Revising the Implementing Rules and Regulations of the Magna Carta for HOAs was, likewise, among the Department’s priorities following its creation. With regards to advancing its overall operationalization, management has filled up 65.46 percent of its workforce, crafted and submitted for funding its Information Systems Strategic Plan and completed the establishment of its 16 regional offices, each fully capable of carrying out DHSUD’s housing programs and policies. The Department likewise succeeded in strengthening partnerships with LGUs and private developers through finalization of various memorandums of agreement, some of which paved the way for the construction of several evacuation centers in line with government efforts to boosting the country’s disaster preparedness.

Editor: Vittorio V. Vitug • Monday, June 13, 2022 A5

DTI to promote substitutes to wean PHL from imports By Andrea San Juan

HE Department of Trade and Industry (DTI) said it would promote substitutes to flour such as coco flour and the development of other agricultural industries to reduce the country’s reliance on imports. This as incoming Trade chief Alfredo E. Pascual acknowledged that the international market continues to exert pressure on the prices of basic goods in the Philippines. Pascual emphasized that “although the recent global economic events have left us with little to no control over the price hikes, we have to focus on the factors that are within our control, such as the interplay between demand and supply in the Philippine economy.” For the supply side, he said, the Trade department would ensure there is an “overall balance” in supply. Meanwhile, on the demand side, Pascual said, “we can manage our demands by being resourceful and creative in scouting for food alternatives.” “Ang sisiguraduhin ng DTI ay magkaroon ng overall balance in supply,” he added. “Kung nagkaka-shortage ang supply ng wheat for example, eh meron naman tayong alternatives na pwedeng

ihalo diyan eh. Kelangan ma-explore ’yun kumbaga ngayon ang pinag-uusapan. Ewan ko kung na-implement na dahil nga masyadong nagtaas ang presyo ng wheat na ginagamit sa paggawa ng tinapay,” Pascual elaborated. [If there is a shortage of wheat supply, for example, we have alternatives that can be put in the mix there. It needs to be explored if we are talking about what to do now. I don’t know if it has been implemented because the price of wheat that is used to make bread has increased too much.]

Coco flour, white corn

HE noted that some bakers are already using coconut flour, citing information from the Department of Science and Technology. According to Pascual, the mix is 10-percent coconut flour to wheat. Apart from wheat, the incoming Trade chief also mentioned a potential alternative to rice. “Halimbawa sa bigas, masyadong mahal, dahil nga hindi tayo nagpoproduce ng sufficient supply para sa mga kailangan natin, may alternatives naman, may substitutes, pwede mong haluan din ng white corn.” [For example, rice is very expensive because we do not produce sufficient supply for what we need. There are alternatives, there are substitutes:

you can also mix white corn.] According to Pascual, he studied this during his student days at the University of the Philippines. “Pinag-aralan namin ‘yan yung appropriate mix ng white corn and rice at sinubukan namin i-promote.” [We have studied the appropriate mix of white corn and rice and we tried to promote it.] However, he said, they didn’t get enough support so they weren’t able to expand it. But he said that scientists conducted a study on the mix.

Demand management

ON the shift of consumers’ taste, the incoming Trade chief stressed that a huge chunk of demand management is about consumers adjusting according to the limited choices available, especially amid a looming food crisis and “imported inflation,” which weakens the consumers’ purchasing power. “‘Yan ang tinatawag nating demand management, you have to manage your own self, kung di mo ma-afford eh bakit mo pipilitin, edi maghahanap ka ng mas murang alternative. Mahirap naman ’yung pipilitin mo sarili mo na maghanap ng isang commodity na napaka mahal at beyond your means,” Pascual said. [That’s what we call demand management: you have to manage your

own self. If you can’t afford it, why do you force it? You should look for a cheaper alternative. It is difficult to force yourself to find a commodity that is very expensive and beyond your means.] For his part, outgoing Trade Secretary Ramon M. Lopez urged local producers two weeks ago to step up to combat food security problems. “There is need to continue to make available these inputs we need; we encourage more local sourcing” because, he noted, global sourcing had become the problem. Lopez added the problem is due to the war in the Ukraine, the supply chain disruption “because of the difficulty in the external environment, outside the Philippines.” Last week, DTI Undersecretary for Consumer Protection Group (DTI-CPG) Ruth B. Castelo noted that three manufacturers have already sought permission for a price increase. Operators behind food brands, such as Mary Grace cafe and Randy’s Donuts, have noted adverse impacts by supply chain woes. On May 25, owners of the Mary Grace Cafe said they expect reduction in the number of the core products they could sell. Randy’s Donuts also released a statement the same day saying they ran out of flour.

PHL firms may now register online via CRS–DENR exec Solons: SC ruling affirms FDA By Jonathan L. Mayuga @jonlmayuga

OMPANIES operating in the Philippines may now register online via the Company Registration System (CRS) of the Department of Environment and Natural Resources-Environmental Management Bureau (DENR-EMB). Registration in the CRS online is a requirement to access the EMB Online Permitting and Monitoring System (OPMS) for permits and clearances, an official of the DENR said in a news release. Launched in 2020, the CRS was enhanced continuously to fully automate the online processing of permits and registration of companies,

making it more responsive, transparent, and efficient. “Once registered in the CRS, companies will gain access to other OPMS services such as online applications for Environmental Compliance Certificate, Permit to Operate, Wastewater Discharge Permit, Importation Clearances, and submission of reports, among others. They can access the system anywhere, anytime, 24/7,“ EMB Director William P. Cuñado was quoted as saying. A total of 77,577 companies are currently registered in the system. To register, the user must log in to https://client.emb.gov.ph/crs/login. Eachusermustprovideanactivee-mail account to receive all CRS notifications. Each user will be asked to provide

their location and establishment name on the establishment registration. If not provided on the list, they will be asked to manually key in the name of the company, location, and approved permits. The EMB has assigned personnel in each region where the establishment is located that will verify the request. After verification, updates will be sent to the registered email. Companies can also track the status of their CRS registration through the dashboard. Users can likewise update their profile and permits issued by EMB to reflect in the system. Cuñado added that the EMB has continuously upgraded the OPMS since 2015. He said the agency has developed

Over 200 exhibitors join Philconstruct Luzon 2022

LARK FREEPORT— More than 200 trade exhibitors showcased their top-notch products and equipment in the Philconstruct Luzon 2022, which was held at the recently launched SMX Convention Center Clark from June 9 to 11, 2022. The said activity is the first-ever hybrid edition of the biggest and most anticipated construction trade show series in the Philippines with a theme “Present Ready: Leading the Way for Recovery & Growth.” “Junn” According to Philconstruct Chairman Ronaldo R. Elepaño Jr., more than 5,000 buyers and sellers were expected to participate both physically and virtually in the hybrid event. It also facilitated workshops, conferences and skills demo to provide updates about the latest trends and developments in the construction industry. Apart from exhibitors and partners, developers, contractors, subcontractors, suppliers and even workers were invited in order to establish connections in the industry which can potentially lead to collaborations and opportunities for businesses and consumers alike. To officially start the program, Philippine Constructors Association (PCA) Executive Director Ibarra G. Paulino acknowledged the presence of guests and partners during the event. Paulino expressed gratitude for

and operationalized an improved version of some permitting and clearance systems to further strengthen the delivery of our services. “All permitting transactions and payments can be done online. Evaluation and processing of permits can be done from practically anywhere with an internet connection,” Cuñado said. Included in the new and improved OPMS is the processing of the following: environmental compliance certificate; permit to operate for sources of air pollution; registration and importation of cyanide; registration and importation of polymer; online hazardous waste manifest system; selfmonitoring report online reporting system; CMR online reporting system; and, CNC online self-service system.

SEC keeps high COA audit mark for 4th straight year

CLARK Development Corp. (CDC) Vice President for Engineering Services Group Dennis C. Legaspi (right) is seen here talking about the plans and strategies to develop Clark into a “Smart City” during the infrastructure and focus group discussion held recently at Park Inn by Radisson Clark, as part of the Philconstruct Luzon 2022 Hybrid Edition event. CREDIT: CDC-CD

their support to the construction industry. “We also would like to take this exciting opportunity to learn about the latest trends and developments in construction in the next three days,” he said. In one of the sessions, CDC Vice President for Engineering Services Group Dennis C. Legaspi said that when “thinking about the role of the construction industry in the development of the country,” he realized “there is no development without construction. “It’s that simple.”

Legaspi also shared and tackled about the Clark Smart City Project, which will develop this Freeport into a smart city wherein technology, connectivity and mobility will thrive in the coming years. “We’re also an empire of builders because all over the world there are Filipino engineers, architects, designers down to those who are actually carrying the burden of building all the infrastructures. So whenever we go around the world, we see the handiwork of Filipinos who work from their knowledge of the construction industry,” he added.

HE Securities and Exchange Commission (SEC) announced it has received an “unmodified opinion” from the Commission on Audit (COA) for the fourth consecutive year, a testament to the commission’s transparent and sound management of public funds. In an independent auditor’s report, state auditor Concepcion C. Reyes rendered an “unmodified opinion,” also known as an “unqualified opinion,” on the fairness of the presentation of the commission’s 2021 financial statements. “In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the SEC as at December 31, 2021 and its financial performance, changes in net assets/equity, cash flows, comparison of budget and actual amounts for the year then ended and notes to financial statements, in accordance with the International Public Sector Accounting Standards (IPSAS),” the report read. The audit was conducted in accordancewiththeInternationalStandards of Supreme Audit Institutions and to ascertain the level of assurance that may be placed on the management’s assertion on the financial statements; determine the propriety of transactions; recommend improvement opportunities; and determine the extent of the implementation of prior years’ audit recommendations. PNA

power over tobacco industry By Butch Fernandez

@butchfBM

FTER appearing before the Supreme Court as intervenors, Senate Minority Leader Frank M. Drilon and Senator Lady Pilar Juliana “Pia” S. Cayetano were readily credited by anti-tobacco crusaders battling its poisoning effect on smokers. Drilon and Cayetano stood as intervenors in the case GR 200431 (DOH and FDA, also known as Cayetano and Drilon vs Philippine Tobacco Institute Inc.). The senators stood as sponsors of the Food and Drug Administration (FDA) Act of 2009 (embodied in Republic Act 9711). Drilon and Cayetano hailed the SC Justices who affirmed the right of every Filipino to good health by upholding the power of the FDA to regulate cigarettes and tobacco products. ‘“This is a major victory for our people and advocates for tobacco control and public health,” Cayetano said. She recalled a long struggle with pro-tobacco lobbyists. “Thirteen years ago, I sponsored and defended what became the FDA Act of 2009 (RA 9711) that mandated the FDA to regulate all products affecting health, including cigarettes

and tobacco.” She lamented that the tobacco industry rejected FDA’s authority and went to court to prevent the FDA from regulating them. But the Senator asserted that the health hazards of tobacco cannot be denied and are backed by strong medical evidence. “It is common sense that these products be subjected to strict regulation by a competent health authority,” Cayetano said. “Ending a long judicial process, the SC has ruled in our favor by affirming FDA’s jurisdiction over cigarettes and tobacco products.” She added that “as principal sponsor of RA 9711 and later, as an intervenor in this case along with Drilon, I laud our SC for this landmark decision.” Cayetano credited “this win for the Filipino people and will benefit future generations,” noting that “it may have taken 13 years, but it’s these victories that remind me to keep fighting the good fight.” “ It ’s w h a t m a k e s m y j o b worthwhile.” The lawmaker, likewise, gave credit to former Health Secretary Alberto “Quasi’ del Gallego Romualdez Jr.

Cebuana Lhuillier inks deal for digital listing

LEMENT Inc., the privacy-led, modern AI (artificial intelligence) pioneer in digital identity services, announced last May 30 a partnership with Cebuana Lhuillier, the Philippines largest micro financial services provider with 30 million customers and over 3,000 branches, to provide electronic Know-YourCustomer (eKYC) services to all Filipinos, enabling online registration for digital financial products. With its initiatives in the e-money ecosystem, Cebuana Lhuillier has made leaps and bounds towards the improvement of financial inclusion in the Philippines. “We are steadfast in our commitment to provide the right financial services to the local communities. As we are starting to bring our services into the digital space, this partnership can

significantly cater to a larger audience that could benefit from our innovative offerings,” Cebuana Lhuillier President and CEO Jean Henri Lhuillier said. “Our partnership with Cebuana Lhuillier is an important opportunity to deliver large-scale adoption of financial services in the Philippines, to create greater access to commerce and greater control for customers over their financial lifestyles,” Element President and CEO Adam Perold was quoted in the statement as saying. “We founded Element as one of the first modern AI companies, to connect populations to essential services, to help build more efficient and inclusive societies. At this time of fintech innovation and growth in the digital ecosystem of the Philippines, Cebuana Lhuillier is a tremendous partner for executing on this vision together.

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A6 Monday, June 13, 2022

China accuses US of trying to ‘hijack’ support in Asia

By Syawalludin Zain & David Rising The Associated Press

INGAPORE—China’s defense minister accused the United States on Sunday of trying to “hijack” the support of countries in the Asia-Pacific region to turn them against Beijing, saying Washington is seeking to advance its own interests “under the guise of multilateralism.” Defense Minister Gen. Wei Fenghe lashed out at US Secretary of Defense Lloyd Austin, rejecting his “smearing accusation” the day before at the Shangri-La Dialogue that China was causing instability with its claim to the self-governing island of Taiwan and its “destabilizing military activity” in the area. Austin had stressed the need for multilateral partnerships with nations in the Indo-Pacific, which Wei suggested was an attempt to back China into a corner. “No country should impose its will on others or bully others under the guise of multilateralism,” he said. “The strategy is an attempt to build an exclusive small group in the name of a free and open Indo-Pacific to hijack countries in our region and target one specific country — it is a strategy to create conflict and confrontation to contain and encircle others.” China has been rapidly modernizing its military and seeking to expand its influence and ambitions in the region, recently signing a security agreement with the

Solomon Islands that many fear could lead to a Chinese naval base in the Pacific, and breaking ground this past week on a naval port expansion project in Cambodia that could give Beijing a foothold in the Gulf of Thailand. Last year US officials accused China of testing a hypersonic missile, a weapon harder for missile defense systems to counter, but China insisted it had been a “routine test of a spacecraft.” Answering a question about the test on Sunday, Wei came the closest so far to acknowledging it was, indeed, a hypersonic missile, saying, “As for hypersonic weapons, many countries are developing weapons and I think there’s no surprise that China is doing so.” “China will develop its military,” he added. “I think it’s natural.” US Secretary of State Antony Blinken last month said China represented the “most serious long-term challenge to the international order” for the United States, with its claims to Taiwan and efforts to dominate the stra-

China’s Defense Minister General Wei Fenghe speaks at a plenary session during the 19th International Institute for Strategic Studies (IISS) Shangri-la Dialogue, Asia’s annual defense and security forum, in Singapore on Sunday, June 12, 2022. AP Photo/Danial Hakim

tegic South China Sea. The US and its allies have responded with so-called freedom of navigation patrols in the South China Sea and Taiwan Strait, sometimes encountering a pushback from China’s military. Wei accused the US of “meddling in the affairs of our region” with the patrols, and “flexing the muscles by sending warships and warplanes on a rampage in the South China Sea.” China has squared off with the Philippines and Vietnam, among others, over maritime claims and Wei said it was up to the countries in the region to find their own solutions. “China calls for turning the South China Sea into a sea of peace, friendship and cooperation,” he said. “This is the shared wish and responsibility of countries in the region.” Taiwan and China split during a civil war in 1949, but China claims the island as its own territory, and has not ruled out the use of military

force to take it, while maintaining it is a domestic political issue. Washington follows a “oneChina” policy, which recognizes Beijing but allows informal relations and defense ties with Taipei. It provides arms to Taiwan and follows a “strategic ambiguity” policy about how far it would be willing to go to defend Taiwan in the face of a Chinese invasion. At the same time, it does not support Taiwanese independence. President Joe Biden raised eyebrows and China’s pique last month saying that the US would intervene militarily if Taiwan were attacked, though the White House later said the comments did not reflect a policy shift. Austin on Saturday accused China of threatening to change the status quo on Taiwan with a “steady increase in provocative and destabilizing military activity” near the island. Wei fired back Sunday that the US was not adhering to its “oneChina” policy, saying “it keeps playing the Taiwan card against China.” He said China’s “greatest wish” was “peaceful reunification” with Taiwan, but also made clear Beijing was willing to do whatever it took to realize its goals. “China will definitely realize its reunification,” he said. “China’s reunification is a great cause of the Chinese nation, and it is a historical trend that no one and no force can stop.” He added that China would “resolutely crush any attempt to pursue Taiwan independence.” “We will not hesitate to fight, we will fight at all costs and we will fight to the very end,” he said. “This is the only choice for China.” Rising reported from Bangkok. Zen Soo in Hong Kong and Caroline Chen in Beijing contributed to this report.

The AP Interview: New Sri Lanka PM says he’s open to Russian oil By KRUTIKA PATHI The Associated Press

OL OMBO, Sr i L a n k a— Sr i Lanka may be compelled to buy more oil from Russia as the island nation hunts desperately for fuel amid an unprecedented economic crisis, the newly appointed prime minister said. P r i me M i n i ste r R a n i l W ic kremesinghe said he would first look to other sources, but would be open to buying more crude from Moscow. Western nations largely have cut off energy imports from Russia in line with sanctions over its war on Ukraine. In a wide-ranging interview with The Associated Press on Saturday, Wickremesinghe also indicated he would be willing to accept more financial help from China, despite his country’s mounting debt. And while he acknowledged that Sri Lanka’s current predicament is of “its own making,” he said the war in Ukraine is making it even worse—and that dire food shortages could continue until 2024. He said Russia had also offered wheat to Sri Lanka. Wickremesinghe, who is also Sri Lanka’s finance minister, spoke to the AP in his office in the capital, Colombo, one day shy of a month after he took over for a sixth time as prime minister. Appointed by President Gotabaya Rajapaksa to resolve an economic crisis that has nearly emptied the country’s foreign exchange reserves, Wickremesinghe was sworn in after days of violent protests last month forced his predecessor, Rajapaksa’s brother Mahinda Rajapaksa, to step down and seek safety from angry crowds at a naval base. Sri Lanka has amassed $51 billion in foreign debt, but has suspended repayment of nearly $7 billion due this

year. The crushing debt has left the country with no money for basic imports, which means citizens are struggling to access basic necessities such as food, fuel, medicine—even toilet paper and matches. The shortages have spawned rolling power outages, and people have been forced to wait days for cooking gas and gasoline in lines that stretch for kilometers (miles). Two weeks ago, the country bought a 90,000-metric-ton (99,000-ton) shipment of Russian crude to restart its only refinery, the energy minister told reporters. Wickremesinghe did not comment directly on those reports, and said he did not know whether more orders were in the pipeline. But he said Sri Lanka desperately needs fuel, and is currently trying to get oil and coal from the country’s traditional suppliers in the Middle East. “If we can get from any other sources, we will get from there. Otherwise (we) may have to go to Russia again,” he said. Officials are negotiating with private suppliers, but Wickremesinghe said one issue they face is that “there is a lot of oil going around which can be sourced back informally to Iran or to Russia.” “Sometimes we may not know what oil we are buying,” he said. “Certainly we are looking at the Gulf as our main supply.” Since Russia’s invasion of Ukraine in late February, global oil prices have skyrocketed. While Washington and its allies are trying to cut financial flows supporting Moscow’s war effort, Russia is offering its crude at a steep discount, making it extremely enticing to a number of countries. Like some other South Asian nations, Sri Lanka has remained neutral on the war in Europe.

Sri Lanka has received and continues to reach out to numerous countries for help — including the most controversial, China, currently the country’s third-largest creditor. Opposition figures have accused the president and the former prime minister of taking on a slew of Chinese loans for splashy infrastructure projects that have since failed to generate profit, instead adding to the country’s debt. Critics have also pointed to a beleaguered port in the hometown of then-President Mahinda Rajapaksa, Hambantota, built along with a nearby airport as part of China’s Belt and Road Initiative projects, saying they cost too much and do too little for the economy. “We need to identify what are the projects that we need for economic recovery and take loans for those projects, whether it be from China or from others,” Wickremesinghe said. “It’s a question of where do we deploy the resources?” The prime minister said his government has been talking with China about restructuring its debts. Beijing had earlier offered to lend the country more money but balked at cutting the debt, possibly out of concern that other borrowers would demand the same relief. “China has agreed to come in with the other countries to give relief to Sri Lanka, which is a first step,” Wickremesinghe said. “This means they all have to agree (on) how the cuts are to take place and in what manner they should take place.” Sri Lanka is also seeking financial assistance from the World Food Program, which may send a team to the country soon, and Wickremesinghe is banking on a bailout package from the International Monetary Fund. But even if approved, he doesn’t expect to see money from the package until

October onwards. Wickremesinghe acknowledged that the crisis in Sri Lanka has been of its “own making.” Many have blamed government mismanagement, deep tax cuts in 2019, policy blunders that devastated crops and a sharp plunge in tourism due to the coronavirus pandemic. But he also stressed that the war in Ukraine, which has thrown global supply chains into a tailspin and pushed fuel and food prices to unaffordable levels, has made things much worse. “The Ukraine crisis has impacted our...economic contraction,” he said, adding that he thinks the economy will shrink even further before the country can begin to recoup and rebuild next year. “I think by the end of the year, you could see the impact in other countries” as well, he said. “There is a global shortage of food. Countries are not exporting food.” In Sri Lanka, the price of vegetables has jumped threefold while the country’s rice cultivation is down by about a third, the prime minister said. The shortages have affected both the poor and the middle classes, triggering months of protests. Mothers are struggling to get milk to feed their babies, as fears of a looming hunger crisis grow. Wickremesinghe said he felt terrible watching his nation suffer, “both as a citizen and a prime minister.” He said he hasn’t ever seen anything like this in Sri Lanka—and didn’t think he ever would. “I have generally been in governments where I ensured people had three meals and their income increased,” he said. “We’ve had difficult times.... But not like this. I have not seen ... people without fuel, without food.” Associated Press writers Bharatha Mallawarachi and Krishan Francis contributed to this report.

Editor: Angel R. Calso

Canada Defense Minister Anand: ‘China’s behavior is concerning’

Canada’s Minister of National Defense Anita Anand says China’s behavior in a number of areas is “concerning.” Bloomberg photo

anada’s defense minister said China’s behavior in a number of areas is “concerning,” with regards to rising geopolitical tensions. “We have to stand back and examine China’s behavior writ large: concerning behavior in diplomatic relations, concerning behavior in terms of theft of intellectual property, concerning behavior in cyberspace as well as in actual airspace,” said Anita Anand in an interview Saturday with Bloomberg News’ Haslinda Amin at the sidelines of the IISS Shangri-La Dialogue in Singapore. “These are all very worrisome and concerning behaviors.” The comments come after recent reports of Chinese fighter jets buzzing Canadian planes helping to enforce sanctions on North Korea, an act Canada’s Prime Minister Justin Trudeau called “irresponsible and provocative.” Relations between

Canada and China have also deteriorated over issues including Canada’s banning of Huawei Technologies Co. from fifth-generation wireless networks. Anand did not directly respond to questions about whether Canada would defend Taiwan if it came under attack from China, saying instead her country remains committed to a “one-China policy” and is concerned about the level of Chinese military activity in the region. She also said continuing to build relationships with Taiwan is important. Questioned whether Western unity toward responding to Russia’s war in Ukraine is fraying, Anand said that the North American nation remained “deeply committed” to Ukraine’s sovereignty. “Canada stands shoulder to shoulder with Ukraine in the short, medium and long term,” she said. Bloomberg News

Australia looks to earn its place in Pacific as China muscles in

ustr ali a needs to put Pacific island-nations and their development needs first to repair its relations in the region, said Deputy Prime Minister Richard Marles, amid growing competition from China. Australia should be the “natural partner of choice for the nations of the Pacific,” Marles said in an interview with Bloomberg Television’s Juliette Saly. “But it’s not something we get by right,” said Marles, who is also defense minister in the newly elected government. “We need to earn it.” Prime Minister Anthony Albanese’s administration is racing to bolster ties with its neighbors after China shocked Canberra in April by signing a security pact with the Solomon Islands. China has

already begun training Solomon Islands police. Marles wouldn’t be drawn on whether Australia would join any war to defend Taiwan if China tried to reunify the pair by force. “We have a One-China policy,” he said. “We do not support Taiwanese independence. We don’t support any unilateral action on either side of the Taiwan Strait which would change the status quo.” Marles is attending the IISS Shangri-La Dialogue in Singapore, where he said he was introduced to Chinese Defense Minister Wei Fenghe. “I br ief ly met t he defense minister and shook his hand, but I wouldn’t want to overstate the interaction,” Marles said. Bloomberg News

Shanghai reimposes dine-in ban as infections continue to climb

hanghai reimposed a ban on dine-in services at restaurants in most districts while a dozen local officials were punished for a management lapse at a quarantine hotel, as infections in the financial hub and capital Beijing continued to climb. There were 29 local Covid cases reported in Shanghai on Saturday, with 4 cases out of quarantine areas. Beijing discovered 65 cases the same day, all linked to a cluster found at a popular bar. Shanghai and Beijing resumed mass testing for Covid-19 as outbreaks emerged just days after the two cities eased social curbs that had been in place for months. The quick escalation adds to concerns that China’s Covid Zero strategy may send cities into repeated lockdowns and re-openings, threatening a sustainable economic recovery. Defense Minister Wei Fenghe on Sunday praised China’s virus policy, saying the country is one of the safest in the world with the lowest Covid-19 induced death rate. In a speech to Asia’s biggest security conference in Singapore,

Wei called China’s Covid response a miracle and said its success is a major contribution to the global fight against the pandemic. Shanghai lifted its two-month lockdown on June 1, but briefly locked down most of the city Saturday to undertake mass testing. Restaurants were notified on Friday to suspend dine-in services, while takeaways and deliveries were still allowed, according to a local media report. The city’s worst outbreak began in March in part stemming from lapses at a quarantine hotel. A dozen officials from Xuhui district were dismissed from their posts or given warnings after malpractice in implementing quarantine measures led to infections at Hua Ting Hotel in March, the Shanghai government said late Saturday. They included a party secretary, the district chief and two district vice governors. Beijing, which rolled back some of its curbs at the start of last week, is delaying a planned reopening for most schools on Monday. A new date hasn’t been set. Bloomberg News

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Several factors converge to push gas prices higher By David Koenig AP Business Writer

ALLAS—There is little evidence that gasoline prices, which hit a record $5 a gallon on Saturday, will drop anytime soon. Rising prices at the pump are a key driver in the highest inflation that Americans have seen in 40 years. Everyone seems to have a favorite villain for the high cost of filling up. Some blame President Joe Biden. Others say it’s because Russian President Vladimir Putin recklessly invaded Ukraine. It’s not hard to find people, including Democrats in Congress, who accuse the oil companies of price gouging. As with many things in life, the answer is complicated.

What is happening?

Gasoline prices have been surging since April 2020, when the initial shock of the pandemic drove prices under $1.80 a gallon, according to government figures. They hit $3 in May 2021 and cruised past $4 this March. On Saturday, the nationwide average for a gallon ticked just above $5, a record, according to auto club AAA, which has tracked prices for years. The average price jumped 18 cents in the previous week, and was $1.92 higher than this time last year. State averages ranged from $6.43 a gallon in California to $4.52 in Mississippi.

Why is this happening?

Several factors are coming together to push gasoline prices higher. Global oil prices have been rising—unevenly, but sharply overall— since December. The price of international crude has roughly doubled in that time, with the US benchmark rising nearly as much, closing Friday at more than $120 a barrel. Russia’s invasion of Ukraine and the resulting sanctions by the United States and its allies have contributed to the rise. Russia is a leading oil producer. The United States is the world’s largest oil producer, but US capacity to turn oil into gasoline is down 900,000 barrels of oil per day since the end of 2019, according to the Energy Department. Tighter oil and gasoline supplies are hitting as energy consumption rises because of the economic recovery. Finally, Americans typically drive more starting around Memorial Day, adding to the demand for gasoline.

What can be done to get more oil?

Analysts say there are no quick fixes; it’s a matter of supply and demand, and supply can’t be ramped up overnight. If anything, the global oil supply will grow tighter as sanctions against Russia take hold. European Union leaders have vowed to ban most Russian oil by the end of this year. The US has already imposed a ban even as Biden acknowledged it would affect American consumers. He said the ban was necessary so that the US does not subsidize Russia’s war in Ukraine. “Defending freedom is going to cost,” he declared. The US could ask Saudi Arabia, Venezuela or Iran to help pick up the slack for the expected drop in Russian oil production, but each of those options carries its own moral and political calculations. Republicans have called on Biden to help increase domestic oil production—for example, by allowing drilling on more federal lands and offshore, or reversing his decision to revoke a permit for a pipeline that could carry Canadian oil to Gulf Coast refineries. However, many Democrats and environmentalists would howl if Biden took those steps, which they say would undercut efforts to limit climate change. Even if Biden ignored a big faction of his own party, it would be months or years before those measures could lead to more gasoline at US service stations. At the end of March, Biden announced another tapping of the nation’s Strategic Petroleum Reserve to bring down gasoline prices. The average price per gallon has jumped 77 cents since then, which analysts say is partly because of a refining squeeze.

Why is US refining down?

Some refineries that produce gasoline, jet fuel, diesel and other petroleum products shut down during the first year of the pandemic, when demand collapsed. While a few are expected to boost capacity in the next year or so, others are reluctant to invest in new facilities because the transition to electric vehicles will reduce demand for gasoline over the long run. The owner of one of the nation’s largest refineries, in Houston, announced in April that it will close the facility by the end of next year.

Who is hurting?

Higher energy prices hit lower-income families the hardest. Workers in retail and the fast-food industry can’t work from home— they must commute by car or public transportation. The National Energy Assistance Directors Association estimates that the 20% of families with the lowest income could be spending 38% of their income on energy including gasoline this year, up from 27% in 2020.

When will it end?

It could be up to motorists themselves—by driving less, they would reduce demand and put downward pressure on prices. “There has got to be some point where people start cutting back, I just don’t know what the magic point is,” said Patrick De Haan, an analyst for the gas-shopping app GasBuddy. “Is it going to be $5? Is it going to be $6, or $7? That’s the million-dollar question that nobody knows.”

How are drivers coping?

On Saturday morning at a BP station in Brooklyn, New York, computer worker Nick Schaffzin blamed Putin for the $5.45 per gallon he was shelling out and said he will make sacrifices to pay the price. “You just cut back on some other things — vacations, discretionary stuff, stuff that’s nice to have but you don’t need,” he said. “Gas you need.” At the same station, George Chen said he will have to raise the prices he charges his customers for film production to cover the gas he burns driving around New York City. He acknowledged that others aren’t so fortunate. “It’s going to be painful for people who don’t get pay increases right away,” he said. “I can only imagine the families who can’t afford it.” Julie Walker in Brooklyn, New York, contributed to this report.

Monday, June 13, 2022

Powell’s Fed rate-hike plans get jolted by red-hot inflation

erome Powell could deliver a hawkish sur prise on Wednesday even after effectively prea nnou nc i ng 50 ba sis- poi nt interest-rate increases at the Federal Reser ve’s meeting this week and in July. May’s red-hot inflation print hardened expectations the Fed would keep raising borrowing costs at that pace through September, with some investors betting the Fed chair will deliver a super-sized 75 basis-point move unless price pressures cool. Powell could reinforce that speculation during his post-meeting press conference by declining to take 75 basis points off the table—as he explicitly did last month by stating such a move wasn’t being actively considered—or by emphasizing the need for nimble policy to cool surging prices. Data released Friday hammered home the message that the US central bank has a lot of work still to do in containing price pressures. Consumer prices excluding food and energy rose 8.6% in the 12 months through May, quickening to a fresh 40-year high. Traders following the data release saw even odds of the Fed raising rates by three-quarters of a percentage point in July, while economists at Barclays Plc changed their rate call to expect such a hike as soon as this week. “Powell will have a chance at the upcoming meeting to assert that inflation is still on an upward trajectory, and that the Fed will keep hiking by 50 basis points per meeting as long as that’s the case,” said Bloomberg economists Anna Wong, Yelena Shulyatyeva, Andrew Husby and Eliza Winger. The central bank ’s updated quarterly projections will also likely steepen the expected path of future hikes and eventual peak. Officials in March saw rates reaching 1.9% this year and peaking at 2.8%, according to the median estimate. A survey of Bloomberg economists— conducted before publication of May’s consumer price data—saw the projec-

‘Party Like a Russian’ turns toxic at Putin’s flagship forum

ladimir Putin’s annual economic forum in St. Petersburg was always a hot ticket for Russian and foreign business tycoons eager to curry favor with the Kremlin by hosting glitzy parties or announcing major investments. His invasion of Ukraine has made it a radioactive one. Many business leaders are concerned about even being seen at this year’s St. Petersburg International Economic Forum, fearful it may make them targets for sanctions, three people familiar with the situation said, declining to be identified because the issue is sensitive. At least two executives said they plan to leave early to avoid attending Putin’s speech at the event, which in past years was the highlight for the well connected. Some have asked the organizers, Roscongress, not to identify them on their badges at the June 15-18 SPIEF forum, the people said. Roscongress didn’t respond to requests to comment. Even as Russia contends with unprecedented international sanctions that threaten its deepest economic recession in decades, officials are projecting a business-as-usual approach for the 25th anniversary event under the slogan of “new opportunities in a new world.” The confrontation with the West that has escalated at times to warnings of nuclear war gets barely a mention on SPIEF’s website, though foreign visitors are told to bring cash since sanctions mean Mastercard and Visa bank cards issued outside Russia won’t work there. Russia used previous forums to “demonstrate the success of the country” while business leaders could show they have “connections and money,” said Ekaterina Schulmann, a political scientist and fellow at Germany’s Robert Bosch Academy who moderated discussion panels at last year’s SPIEF. This year, “if domestic participants don’t all want to demonstrate their participation, then foreign ones even more so,” said Schulmann, who’s been labeled a “foreign agent” by the Kremlin. Bloomberg News

tions advancing to 2.6% this year and 3.1% in 2023. The Fed will be the highlight in a big week for central banks. The next day, the Bank of England will also probably hike rates and is likely to debate a half-point move, and on Friday the Bank of Japan will take its own decision at a time when the weakness of the yen is proving increasingly hard to stomach.

Global economic developments: Asia

In a key week for central bank action, the BOJ meets Friday to decide on policy. Even with the yen languishing at two-decade lows as the Fed prepares to hike US borrowing costs, Governor Haruhiko Kuroda is widely expected to stick with rock-bottom interest rates. But the trajectory of the yen over the course of the coming days could make the BOJ’s position increasingly awkward. On the data front, readings on China’s retail spending, industrial output and investment on Wednesday should show the economy is beginning to claw out of the Covidlockdown affected slump in April, though the May numbers are likely to remain downbeat. Jobless numbers from South Korea and Australia will likely show no impediment to further rate hikes in both countries. New Zealand will release growth figures showing the economic rebound has slowed there as the strongest inflation in more than three decades eats into household budgets. And India’s inflation rate likely remained well above the central bank’s comfort range, data Monday is set to show.

Europe, Middle East, Africa

The BOE is poised to deliver a fifth consecutive rate hike on Thursday, at a time when pressure is mounting on both Governor Andrew Bailey and

Prime Minister Boris Johnson over the cost of living. With inflation at 9% and the central bank’s own survey showing the worst approval rating since the poll began in 1999, an intense debate is likely among officials on whether or not to accelerate tightening with a half-point increase. Several data reports will inform their decision, including gross domestic product on Monday that may show growth at the start of the second quarter after a decline in March, and then more evidence of a taut labor market on Tuesday expected with a drop in unemployment and accelerating wage increases. The same day as the BOE, the Swiss National Bank will deliver a pivotal decision of its own. With officials now acknowledging the threat of inflation even in Switzerland, whose strong currency has insulated the economy from surging global prices, a shift toward finally lifting the world’s lowest rate is now imaginable. Paving the way to that move has been the neighboring European Central Bank, which last week firmed up tightening plans that could even lead to a half-point hike. But with market jitters reverberating as investors ask how that would impact weaker countries, several speeches by policy makers will take prominence. They include ECB Executive Board members such as President Christine Lagarde, as well as governors from France, Germany, the Netherlands, Italy and Spain. Elsewhere in Europe, an expected acceleration in Swedish inflation to 7% on Tuesday may prove crucial for Riksbank officials ahead of their decision later this month. Further south, Turkish data due Monday are expected to show the current-account gap widening further as a global rally in energy prices exacerbates the country’s foreign

trade imbalances. On Wednesday, Namibia’s central bank will probably match a decision by neighboring South Africa to raise its benchmark by 50 basis points to safeguard its currency peg with the rand. And data due Thursday is likely to show Israel’s inflation accelerating further above the government’s 1% to 3% target range, a trend which has already led the central bank to hike more aggressively than expected.

Latin America

A potentia lly eventful week could become hectic should support staff and Brazil’s central bank hammer out a new labor contract. Odds are they won’t, and so a backlog of releases dating to late April only grows. Few countries have been spared the scourge of inflation this year but among Group of 20 nations only Turkey’s is running faster than Argentina’s. Early estimates see the May print topping 60% while the most recent central bank survey of economists puts the year-end figure at 72.6%. Heading in the opposite direction, Brazil’s consumer prices eased more than expected in May, possibly buttressing a dovish argument for an August rate pause. Even so, analysts still see the central bank raising the key rate Wednesday for an 11th straight meeting to 13.25%. The post-decision communiqué will be a must-read. The labor market in Peru’s megacity capital of Lima isn’t back to prepandemic levels while the national GDP-proxy may slow from February’s post-omicron bounce. After a strong January-March showing, look for the April data out this week to be consistent with forecasts that Colombia’s economy may lose a step in the second quarter yet still lead output among Latin America’s big economies. Bloomberg News

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A8 Monday, June 13, 2022

Ukraine says Russia is using more deadly weapons in war By David Keyton & John Leicester

The Associated Press

YIV, Ukraine—Ukrainian and British officials warned Saturday that Russian forces are relying on weapons able to cause mass casualties as they try to make headway in capturing eastern Ukraine and fierce, prolonged fighting depletes resources on both sides. Russian bombers have likely been launching heavy 1960s-era antiship missiles in Ukraine, the U.K. Defense Ministry said. The Kh-22 missiles were primarily designed to destroy aircraft carriers using a nuclear warhead. When used in ground attacks with conventional warheads, they “are highly inaccurate and therefore can cause severe collateral damage and casualties,” the ministry said. Both sides have expended large amounts of weaponry in what has become a grinding war of attrition for the eastern region of coalmines and factories known as the Donbas, placing huge strains on their resources and stockpiles. Russia is likely using the 5.5-tonne (6.1-ton) anti-ship missiles because it is running short of more precise modern missiles, the British ministry said. It gave no details of where exactly such missiles are thought to have been deployed. As Russia also sought to consolidate its hold over territory seized so far in the 108-day war, the US defense secretary said Moscow’s invasion of Ukraine “is what happens when oppressors trample the rules that protect us all.” “It’s what happens when big powers decide that their imperial appetites matter more than the rights of their peaceful neighbors,” Lloyd Austin said during a visit to Asia. “And it’s a preview of a possible world of chaos and turmoil that none of us would want to live in.”

Flamethrowers used

A Ukrainian governor accused Russia of using incendiary weapons in a village in the eastern province of Luhansk, southwest of the fiercely contested cities of Sievierodonetsk and Lysychansk. While the use of flamethrowers on the battlefield is legal, Luhansk Gov. Serhii Haidai alleged the overnight attacks in Vrubivka caused widespread damage to civilian facilities and an unknown number of victims. “At night, the enemy used a flamethrower rocket system—many houses burnt down,” Haidai wrote on Telegram on Saturday. His claim could not be immediately verified. Sievierodonetsk and neighboring Lysychansk are the last major

areas of Luhansk remaining under Ukrainian control. Haidai said Russian forces destroyed railway depots, a brick factory and a glass factory. The Ukrainian army said Saturday that Russian forces also were to launch an offensive on the city of Sloviansk in Donetsk province, which together with Luhansk makes up the Donbas, Moscow-backed rebels have controlled self-proclaimed republics in both provinces since 2014.

Stronger EU sanctions

During a visit to Kyiv by the European Union’s top official, Ukrainian President Volody my r Zelensky y called for a new round of “even stronger” EU sanctions against Russia. Zelenskyy called for them to target more Russian officials, including judges, and to hamper the activities of all Russian banks, including that of gas giant Gazprom, as well as all Russian companies helping Moscow “in any way.” He spoke during a brief appearance with European Commission President Ursula von der Leyen at the heavily guarded presidential office compound in Ukraine’s capital. The pair discussed Ukraine’s aspirations for EU membership. Zelenskyy, speaking through a translator, said Ukraine “will do everything” to integrate with the bloc. “Russia wants to divide Europe, wants to weaken Europe,” he said. Von der Leyen said the EU’s executive arm was “working day and night” on an assessment of Ukraine’s eligibility as a candidate. The goal is to share it with existing members next week. Zelenskyy and some EU supporters want Ukraine admitted quickly. Von der Leyen described the membership process as “a merit-based path ” and appealed for Ukraine to strengthen its rule of law, fight corruption and modernize its institutions. She said the EU would assist with the country’s reconstruction. Zelenskyy said later, in his nightly video address, that fierce street battles were continuing in Sievierodonetsk and he was proud of the Ukrainian defenders who for weeks have held back the Russian advance. “Remember how in Russia, in the beginning of May, they hoped to

seize all of the Donbas?” the president said. “It’s already the 108th day of the war, already June. Donbas is holding.” Zelensky y said Russian forces are being pushed out of parts of the Kherson region they occupied early in the war. He also reported some success in the Zaporizhzhia region. He added that no one knows how long the war will last, but Ukraine should do everything it can so the Russians “regret everything that they have done and that they answer for every killing and every strike on our beautiful state.”

Battle at chemical plant

Hundreds of Ukrainian troops remained blockaded inside a chemical plant on the outskirts of Sievierodonetsk, but some of the civilians with them have started to come out, an envoy for Russian-backed separatists said Saturday. Several hundred civilians could still be inside the Azot plant, where they sought safety from the shelling in underground shelters, Rodion Miroshnik said via Telegram. As the circle around the Ukrainian troops tightens, he said, the civilians will be able to leave and Russian forces “are preparing transportation for their evacuation.” The troops will be allowed to leave only if they lay down their arms and surrender, he added. Luhansk Gov. Haidai said the Russians shelled the plant “ for hours” and a big fire broke out. He made no mention of the troops or civilians referenced by Miroshnik.

Explosion in the West

In the western Ternopil province, which has largely been spared from the fighting, an explosion rocked the town of Chortkiv late Friday, the governor said. There was no immediate information about the cause of the explosion, and Gov. Volodymyr Trush told residents not to take pictures or comment on social media. He said local officials decided to turn off supplies of natural gas while dealing with the consequences of the explosion.

Ukraine’s grain

Russian-installed officials in Ukraine’s southern Zaporizhzhia region have set up a company to buy up local grain and resell it on Moscow’s behalf, a local representative told the Interfax news agency on Saturday. Yevgeny Balitsky, the head of Zaporizhzhia’s pro-Russian provisional administration, said the new state-owned grain company has taken control of several facilities. He said “the grain will be Russian” and “we don’t care who the buyer will be.” It was not clear if the farmers whose grain was being sold by Russia were getting paid. Balitsky said his administration would not forc-

ibly appropriate grain or pressure producers to sell it. Ukraine and the West have accused Russia of stealing Ukraine’s grain and causing a global food crisis that could cause millions of deaths from hunger. The head of Ukraine’s presidential office accused Russia’s military of shelling and burning grain fields ahead of the harvest. Andriy Yermak alleged Moscow is “trying to repeat” a Soviet-era famine that claimed the lives of over 3 million Ukrainians in 1932-1933. “Our soldiers are putting out the fires, but (Russia’s) ‘food terrorism’ must be stopped,” Yermak wrote Saturday on Telegram. His and Balitsky’s claims could not be independently verified.

Russian passports

Russian forces occupying parts of southern Ukraine began handing out Russian passports to local residents Saturday. In the Kherson region, 23 residents accepted the documents, including the new Moscow-installed governor, Russian state news agency RIA Novosti reported. “For me this is a truly historic moment. I have always thought that we are one country and one people,” the news agency quoted Gov. Volodymyr Saldo as saying. Soldiers also started giving out passports in the occupied city of Melitopol, according to Russian state news agency Tass, which cited a Russian-installed local official as the source of the information. It did not specify how many residents had requested or received Russian citizenship. Melitopol is located outside of the Donbas in the Zaporizhzhia region.

Child death toll

Nearly 800 children have been killed or wounded in Ukraine since the beginning of Russia’s invasion, Ukrainian authorities said Saturday. According to a statement by the Office of the Prosecutor General of Ukraine, at least 287 died as a result of military activity, while at least 492 more have been hurt. The statement stressed the figures were not final. T he of f ice s a id c h i ld re n i n Donetsk province have suffered the most, with 217 reported killed or wounded, compared with 132 and 116, respectively, in the Kharkiv and Kyiv regions. Officials in the city of Odesa said Saturday that a man was killed by an explosion while visiting a beach on the Black Sea, where mines are a growing concern. The city council said via Telegram that the man was there with his wife and son despite warnings to stay away from beaches. He was testing the water’s temperature and depth when the explosion erupted. Russia and Ukraine each have accused the other of laying mines in the Black Sea.

UN says concerned over Libya clashes, urges efforts for calm

AIRO—The United Nations mission to Libya expressed concern Saturday over clashes in Tripoli, after a night of heavy fire between militias in the capital. The latest fighting comes as Libya is once again divided between competing governments—one of which is based in Tripoli—despite more than a year of tentative steps towards unification. The cause of the violence in the seaside neighborhood was unclear, but videos circulated on social media showed families with children sheltering and fleeing as artillery fire flew across the night sky. Some accused two of the city’s powerful

militias of infighting. In a statement, the mission said the clashes endangered civilians and called on Libyans “to do everything possible to preserve the country’s fragile stability at this sensitive time.” Libya has for years been split between rival administrations in the east and the west, each supported by various well-armed militias and foreign governments. The Mediterranean nation has been in a state of upheaval since the 2011 NATObacked uprising toppled and later killed longtime dictator Moammar Gadhafi. The country’s plan to transition to

an elected government fell through after an inter im administration based in Tripoli, headed by Prime Minister Abdul Hamid Dbeibah, failed to hold elections last year. Dbeibah has refused to step down since then, raising questions over his mandate. In response, the country’s East-based lawmakers have elected a rival prime minister, Fathy Bashagha, a powerful former interior minister who is now operating a separate administration out of the city of Sirte. Dbeibah, in a televised phone call, urged a powerful commander who leads the 444 brigade—which serves his government—to do what is necessary to restore peace in Tripoli.

His rival, Bashagha, in a series of Tweets called on armed groups to surrender their weapons. Last month, Bashagha entered Tripoli and attempted to install his government there, but left within hours after fighting broke out that killed one person. Meanwhile, a widening blockade on oil production, largely in the country’s east, has cut off key state revenues in opposition to Dbeibah’s remaining in power. On Friday, a video announcement by residents and workers of the Sidra oil port, a key export facility, warned that they would stop operations due to lack of basic services in surrounding towns. AP

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‘Enough is enough’: Thousands demand new US gun safety laws By Ashraf Khalil & Darlene Superville The Associated Press

ASHINGTON — Thousands of people rallied on the National Mall and across the United States on Saturday in a renewed push for gun control measures after recent deadly mass shootings from Uvalde, Texas, to Buffalo, New York, that activists say should compel Congress to act. “Enough is enough,” District of Columbia Mayor Muriel Bowser told the second March for Our Lives rally in her city. “I speak as a mayor, a mom, and I speak for millions of Americans and America’s mayors who are demanding that Congress do its job. And its job is to protect us, to protect our children from gun violence.” Speaker after speaker in Washington called on senators, who are seen as a major impediment to legislation, to act or face being voted out of office, especially given the shock to the nation’s conscience after 19 children and two teachers were killed May 24 at Robb Elementary School in Uvalde. “If our government can’t do anything to stop 19 kids from being killed and slaughtered in their own school, and decapitated, it’s time to change who is in government,” said David Hogg, a survivor of the 2018 shooting that killed 17 students and staff at Marjory Stoneman Douglas High School in Parkland, Florida. A co-founder of the March For Our Lives organization that was created after that shooting and held its first rally in Washington not long afterward, Hogg led the crowd in chants of “Vote them out.” Another Parkland survivor and group co-founder, X Gonzalez, delivered an impassioned, profanity-laced plea to Congress for change. “We are being murdered,” they screamed and implored Congress to “act your age, not your shoe size.” Added Yolanda King, granddaughter of Martin Luther King Jr.: “This time is different because this isn’t about politics. It’s about morality. Not right and left, but right and wrong, and that doesn’t just mean thoughts and prayers. That means courage and action.” Manuel Oliver, whose son, Joaquin, was killed in the Parkland shooting, called on students “to avoid going back to school until our elected leaders stop avoiding the crisis of gun violence in America and start acting to save our lives.” Hundreds gathered at an amphitheater in Parkland, where Debra Hixon, whose husband, high school athletic director Chris Hixon, died in the shooting, said it is “all too easy” for young men to walk into stores and buy weapons. “Going home to an empty bed and an empty seat at the table is a constant reminder that he is gone,” said Hixon, who now serves as a school board member. “We weren’t done making memories, sharing dreams and living life together. Gun violence ripped that away from my family.” In San Antonio, about 85 miles east of Uvalde, marchers chanted, “Hey, hey, ho, ho, the NR A has got to go.” A man who said he helped to organize the rally, Frank Ruiz, called for gun reform laws similar to those enacted in Florida after the Park land shooting that focused on raising the age for purchasing certain firearms and flagging those with mental health issues. The US House has passed bills to raise the age limit to buy semi-automatic weapons and establish federal “red flag” laws. A bipartisan group of senators

had hoped to reach agreement this week on a framework for addressing the issue and held talks Friday, but no deal was announced. President Joe Biden, who was in California when the Washington rally began, said his message to demonstrators was “keep marching” and added that he is “mildly optimistic” about legislative negotiations to address gun violence. Biden recently delivered an impassioned address to the nation in which he called for several steps, including raising the age limit for buying assault-style weapons. In New York City, Mayor Eric Adams, who campaigned on reining in violence in the nation’s largest city, joined state Attorney General Letitia James, who is suing the National Rifle Association, in leading activists across the Brooklyn Bridge. “Nothing happens in this countr y until young people stand up—not politicians,” James said. Joining the call for change were hundreds of people who rallied in a park outside the courthouse in Portland, Maine, before they marched through the Old Port and gathered outside of City Hall. At one point, they chanted, “Hey, hey, hey, NRA. How many kids did you kill today?” John Wuesthoff, a retired lawyer in Portland, said he was waving an American flag during the rally as a reminder that gun control is “not un-American.” “It’s very American to have reasonable regulations to save the lives of our children,” he said. Hundreds of protesters in Milwaukee marched from the county courthouse to the city’s Deer District, where last month 21 people were injured in shootings on the night of an NBA playoff game. Organizer Tatiana Washington, whose aunt was killed by gun violence in 2017, said this year’s march is particularly significant to Milwaukee residents. “A lot of us are still very heavily thinking about the mass shooting that occurred after the Bucks game,” Washington said. “We shouldn’t be scared to go watch our team in the playoffs and live in fear that we’re going to be shot at.” The passion that the issue stirs was clear in Washington when a young man jumped the barricade and tried to rush the stage before being intercepted by security. The incident caused a brief panic as people began to scatter. Organizers hoped the second March for Our Lives rally would draw as many as 50,000 people to the Washington Monument, though the crowd seemed closer to 30,000. The 2018 event attracted more than 200,000 people, but the focus this time was on smaller marches at an estimated 300 locations. The youth-led movement created after the Parkland shooting successfully pressured the Republican-dominated Florida state gover nment to enact sweeping gun control changes. The group did not match that at the national level, but has persisted in advocating for gun restrictions since then, as well as participating in voter registration drives. Survivors of mass shootings and other incidents of gun violence have lobbied legislators and testified on Capitol Hill this week. Among them was Miah Cerrillo, an 11-year-old girl who survived the shooting at Robb Elementary. She described for lawmakers how she covered herself with a dead classmate’s blood to avoid being shot. Associated Press writers Jennifer Peltz in New York, David Sharp in Portland, Maine, and Chris Megerian in Los Angeles contributed to this report.

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Editor: Jennifer A. Ng • Monday, June 13, 2022 A9

Manila seeks WTO deal on SSM, fisheries By Jasper Emmanuel Y. Arcalas @jearcalas

HE Philippines is aiming to secure a multilateral agreement that would strengthen the special safeguard mechanism (SSM) and protect its territorial waters and resources at the ongoing 12th Ministerial Conference (MC12) of the World Trade Organization (WTO). Agriculture Undersecretary Fermin D. Adriano, co-head of the Philippine delegation to the MC12, said the negotiating team would seek to defend the country’s interests in at least three key agriculture and fisheries negotiations during the four-day high-level meeting of the WTO. The MC12, which runs from June 12 to June 15, is currently being held in Geneva, Switzerland, after being postponed twice due to the Covid-19 pandemic. The MC12, which is cohosted by Kazakhstan, was originally slated to take place in Nur Sultan, Kazakhstan last June 2020. “Bottom line is strengthening SSM, [supporting] PSH [Public stockholding] and protecting our sea territories and resources,” Adriano, who oversees the agri-

culture department’s policy, planning and research department, told the BusinessMirror. “But WTO being such a disparate and huge organization will face tremendous challenges in reaching agreements on these issues.” The representatives of the Philippine Department of Agriculture (DA) to the MC12 include Agriculture Undersecretary Cheryl Marie N. Caballero and Bureau of Fisheries and Aquatic Resources Assistant Director Demosthenes R. Escoto for fisheries negotiation, Assistant Secretary Noel A. Padre for safeguard measures negotiation, Assistant Secretary Agnes Catherine T. Miranda for other WTO concerns and Agriculture Attaché Lupino J. Lazaro Jr. A draft ministerial decision on agriculture negotiation showed that permanent solutions on SSM and PSH may not be achieved at MC12. The current language of the draft text stipulated that negotiations on PSH shall continue postMC12 with the goal of “agreeing and adopting” a permanent solution by MC13. Likewise, negotiations on SSM shall continue with the end goal of “making recommendations

for ministers at MC13.” The SSM is one of the key interests of the Philippines in agriculture negotiations at the WTO. During the previous MC 11 held in Buenos Aires, Argentina, the Philippines expressed disappointment that the biennial high-level meeting of the WTO did not arrive at a decision regarding SSM. The Philippines proposed a price-based SSM at MC11. It was a sticking point that forced the Philippines to deny any ministerial decision on agriculture negotiations. The Philippines said a proper solution on SSM or improved special agricultural safeguards (SSG) are critical for it to join any consensus on agriculture negotiations. Manila has repeatedly emphasized that the approval of SSM is vital for its farm sector as the present SSG is inefficient and ineffective to protect its small-scale farmers from import surges and price depressions. It noted that the country’s current trigger price for SSG-eligible commodities is way below prevailing global market prices, making the mechanism virtually dead. WTO member-countries may avail of SSGs, such as imposing additional duties,

on imported commodities that are below their set trigger prices, which was computed based on the reference prices from 1986 to 1988. PSH has also become one of the critical areas of negotiations in agriculture at the WTO, particularly for developing countries. At the MC10 in Nairobi, Kenya, WTO membercountries agreed that they would conclude a “permanent solution” on PSH during MC11, which did not materialize after negotiations broke down. PSH is a tool that governments worldwide use to “to purchase, stockpile and distribute food when needed,” according to the WTO. In the case of the Philippines, the National Food Authority is the mandated agency to procure palay from local farmers for buffer stocking purposes. “Many developing countries see a negotiating outcome in this area as a high priority and argue that this is one of the policy tools that could help developing members deal with the looming food security crisis,” according to a WTO briefer.

Fisheries subsidies

THE Philippines has been play-

ing hardball when it comes to the fisheries subsidies negotiations. The Philippines has been part of the numerous countries that have been pushing for the conclusion of the fisheries subsidies negotiations to arrest the decline in global fish stocks (Related stor y: htt ps:// businessmirror.com.ph /2021/07/19/phlwants-to-hasten-wto-talkson-fishing-rules/) However, the Philippines has been lukewarm to the various draft texts on fisheries subsidies due to the exclusion of a provision regarding the occurrence of subsidies in illegal, unreported and unregulated fishing (IUUF) in disputed waters. The Philippines has maintained its position that there should be no subsidies in IUUF in disputed waters (Related story: https://businessmirror.com.ph/2020/11/27/phlwont-accept-wto-fisheries-dealwithout-an-iuuf-provision/). “Issues of territorial claims or delimitation of maritime boundaries or zones are of the highest concern for the Philippines, but nothing must prohibit a duly constituted panel

from hearing a case,” Agriculture Secretary William D. Dar said in a July 2021 ministerial meeting on fisheries subsidies. No less than WTO Director General Ngozi Okonjo-Iweala emphasized that the passage of a fisheries subsidies deal at the MC12 is a “litmus test” of the multilateral body to “deliver meaningful multilateral agreements.” The WTO is already way beyond the 2020 deadline set by the Sustainable Development Goal 14.6 to eliminate harmful IUUF subsidies. SDG target 14.6 sets a deadline of 2020 for eliminating IUU subsidies and for prohibiting certain forms of fisheries subsidies that contribute to overcapacity and overfishing, with special and differential treatment for developing and least-developed countries. The negotiations on harmful fisheries subsidies at the WTO have been ongoing for more than two decades now. The United Nations Food and Agriculture Organization estimated that 34 percent of global fish stocks are overfished today compared with 10 percent in 1974.

PHL will buy more US pet food, potato products–report LandBank conducts training

HE United States could export more pet food and processed potato products like French fries to the Philippines due to rising demand, according to an agency of the US Department of Agriculture (USDA). A report published recently by the USDA Foreign Agricultural Service (USDA-FAS) indicated that consumer-oriented US products— ranging from meat and poultry products to food preparations, such as flavorings and supplements— have a “high potential” for export growth in the Philippines. In its report titled “International Agricultural Trade,” the USDA-FAS said US exports of pet food to the Philippines would continue to rise as it expects pet ownership in the country to increase. “US pet food exports have recently surged worldwide, especially to markets in Asia. Exports to the Philippines rose by 38 percent to $51 million in 2021 and will likely continue to rise as pet ownership increases,” the report read. The noted that the US may continue to capitalize on growing demand in the Philippine food and beverage manufacturing sector for food preparations, such as flavorings, mixtures and supplements. “US exports of food preparations —including flavorings, mixtures, and supplements—reached $110 million in 2021 after consistent growth over the last decade, an indicator of rising demand in food and

PHOTOGRAPHER: DANIEL ACKER/BLOOMBERG

beverage manufacturing.” The USDA-FAS indicated that export opportunities for meat products in the Philippines will be driven by the rising income of Filipinos as local production cannot meet the country’s total animal protein demand. “US meat and poultry product exports increased significantly in recent years to make up for shortfalls in domestic pork production related to African swine fever,” it said. “Future growth will be driven by rising disposable incomes and a shift in protein preferences away from seafood.” US exports of dairy products to the Philippines would always have “strong prospects” since 99 percent of the country’s dairy supply is imported, according to the report.

“US dairy product exports, particularly milk powder used in food manufacturing, will always be strong prospects, because the Philippines relies on imports for around 99 percent of its dairy consumption.” The report also sees a resurgence in imports of French fries and potato chips from the United States as the Philippines’s economy continues to recover from the Covid-19 pandemic following the easing of mobility restrictions. The report noted that the US remains as the Philippines’s top supplier of processed potato products despite facing higher tariff rates and stiff competition from India and China, who enjoy dutyfree access. “US processed potato exports, including frozen French fries and

potato chips, have been growing steadily for many years. Demand for frozen French fries declined in 2020 from the effect of Covid-19 on restaurants, but exports have since recovered to previous levels.” The Philippines is the eight largest market of the US for agricultural exports, with total value reaching a record-high of $3.5 billion last year, according to the report. “Exports increased 11 percent over 2020, surpassing Vietnam, and making the Philippines the top market for US products in Southeast Asia for the first time since 2015,” it said. “Despite tariff and logistical disadvantages, the United States has long been the top supplier of agricultural products to the Philippines, compared to neighboring suppliers in Asia.” The report noted that consumeroriented products were the largest category of the US agricultural exports to the Philippines last year. It added that exports of US consumeroriented products to the Philippines last year grew 23-percent year-onyear to $1.4 billion. “The Philippines has been the top Southeast Asian destination for US consumer-oriented products since 2006,” it said. “Top products in this category include dairy products ($437 million), pork and pork products ($204 million), and poultry meat and products ($147 million, excluding eggs).” Jasper Emmanuel Y. Arcalas

on assessment of CARP lands By Jonathan L. Mayuga @jonlmayuga

HE Land Bank of the Philippines-Agrarian Operations Center (LBP-AOC) in Eastern Visayas recently conducted an orientation workshop in the region to prepare the Department of Agrarian Reform (DAR) for its new tasks on land assessment. LandBank said the workshop also sought to help DAR personnel determine the necessary data for the appraisal of landholdings covered by the Comprehensive Agrarian Reform Program (CARP). Attending the workshops with the LBP-AOC are Municipal Agrarian Reform Program Officers (MARPOs) and the Geodetic Engineers (GEs) who will be doing field investigations and conducting land valuation as part of the new mandate. DAR Assistant Regional Director for Operations Renato Badilla said DAR wants to be proactive, explaining the need to prepare the field personnel of the agency this early. Originally, Field Investigation Report (FIR) forms are filled out by a certified appraiser from the LBPAOC during joint field investigations. However, a new role of the DAR is stipulated under the new policy recently issued by the DAR through Administrative Order No. 01, Series of 2022 entitled “Amendment to DAR Administrative Order No. 01, Series

of 2020, Entitled Guidelines Simplifying the Land Acquisition and Distribution Process on CARP-covered Private Agricultural Lands.” “The intertwined role of DAR and LBP in the accomplishment of mandated targets for land acquisition and distribution has always been crucial,” he said. Newly acquired learnings from this orientation workshop will enhance the capabilities of DAR field personnel in the successful conduct of the field investigation. LBP-AOC Manager Fiel Pedrosa said because of the newly issued DAR policy, the FIR will now be the DAR’s responsibility, while LBP will focus on the computation of the land valuation. Pedrosa said other participants include Provincial Agrarian Reform Program Officers II, Chiefs of the different Land Tenure Improvement Divisions (LTID), selected MARPOs, GEs, and claim folders, and processors. “Land Bank’s computation of land valuation will be based on what you have inputted in the FIR,” he said. For a better understanding and appreciation of the lectures, the participants, accompanied by the LBP certified appraiser and resource person, Engr. Clodualdo Marcellana, went to Barangay San Diego in Alangalang, Leyte for the actual conduct of field investigation in a CARP-covered landholding.

Once again China’s top pig farmers are mired in boom-bust cycle

NCE every three to four years, hog farmers in the world’s largest producing country find themselves trapped in an unforgiving market that pushes some over-leveraged breeders to the brink of a debt crisis. Jiangxi Zhengbang Technology Co., the second-largest hog supplier among Chinese listed companies in 2020, just reported 542 million yuan ($81 million) of overdue commercial bills, becoming the latest producer to show the financial stress of the boom-bust cycle. The nonpayment comes after it lost about three billion dollars since the start of last year amid a halving in hog prices. “Zhengbang expanded its capacity too aggressively at the wrong time and found it hard to manage the situation when hog prices tumbled,” said Lin Guofa, head of research at consultancy Bric Agriculture Group. With pork the most popular pro-

tein on Chinese tables, hog breeding can be very profitable with gross margins rising above 30 percent for some producers when there’s a shortage, driving farmers to expand capacity despite soaring costs. Still, even for the top producers, it’s not always easy to follow the right beat. China’s top five listed hog breeders recorded more than 39 billion yuan of net losses last year alone. Zhengbang Technology represented just under half of that, while Wens Foodstuffs Group contributed about a third. Other companies that posted losses included Tech-Bank Food Co. and New Hope Liuhe Co. Zhengbang Technology sold about 5.5 million hogs back in 2018, when a long price slump hurt breeders, leading Chuying Agro-Pastoral Group for instance to default and offer to pay bondholders with ham. Chuying was eventually delisted from the stock market and its bondholders are yet to get their money back.

Just three years later, Zhengbang had almost tripled its output capacity to 15 million hogs with total assets doubling after the company built and leased more farms and increased the amount of livestock it was breeding.

Share slump

STILL, the expansion didn’t bring the intended good fortune, only trouble. The boom in hog prices after African swine fever devastated herds faded earlier than farmers expected. Zhengbang not only had to grapple with declining revenue, but it also booked losses from asset and inventory depreciation. Zhengbang Technology’s shares slumped as much as 15 percent to the lowest level since 2018 since it reported the overdue debt late Wednesday. The company did not reply to a Bloomberg email seeking comment on its debt issue. In December, Zhengbang signed a

PIGS stand in a holding pen at a wholesale market in Nanning, Guangxi province, China, on Monday, September 16, 2019. PHOTOGRAPHER: QILAI SHEN/BLOOMBERG NEWS

debt-to-equity swap with the Jiangxi branch of China Cinda Asset Management Co., a leading distressed debt manager. And three months ago, a key Jiangxi state-owned company agreed to provide 5 billion yuan of financial support to Zhengbang Technology’s parent. Despite those efforts, the company still had 40.7 billion yuan of liabilities on its balance sheet at the end of March, only just covered by its total assets, according to its financial report. While hog prices are now recovering, offering a chink of light, the future may also hinge on whether it can obtain more cash from asset disposals and receive timely government support. “Don’t be obsessed with pig prices and gamble over them,” said Lin from the Bric consultancy. “Focus on how to raise pigs more scientifically, on how to cut costs and optimize management. That’s the way to live through the cycle.” Bloomberg News

A10 Monday, June 13, 2022 • Editor: Angel R. Calso

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editorial

‘B&V’ at Malacañang?

here is an old saying in show business: “You can teach actors to sing but you cannot teach singers to act.” Singing is a skill learned and enhanced through practice and training. It helps if a person has certain physical vocal characteristics, just as it helps to be over the 6’ 7” average player height in the National Basketball Association. Guns N’ Roses singer Axl Rose has the greatest vocal range in studio. Mariah Carey comes in second and can reach a low F2 and hit an unbelievable G7 that only some dogs can hear.

But when on stage, both performers are “Axl” and “Mariah” singing. They are not pretending to be someone else as an actor does in their performances. Certainly, actors can be trained to be more skillful at their craft. A news sheet circulated in ancient Rome, the Acta Diurna, reported notable events like speeches of politicians/pundits in 59 B.C. The first regularly published newspapers appeared in Europe around 1609. The Daily Courant, one of the first daily newspapers, appeared in 1702. But the first “journalist” might be Narada, one of the mind-created children of Brahma, a sage divinity famous in Hindu traditions as a traveling storyteller, who carries news and enlightening wisdom. He was also gifted with the advantage of knowing the past, present, and the future. That sounds like some “journalists” today. In 1923, Pope Pius XI proclaimed St. Francis de Sales (1527 to 1622) a patron of journalists because he made extensive use of broadsheets and books in his efforts to convert the Calvinists. Put another way, the Catholic patron saint of journalists was not a news reporter but one who had the specific agenda and task of changing people’s minds to his way of thinking. That sounds like some “journalists” today. On September 8, 1908, the first actual journalism school opened at the University of Missouri. Its current journalistic pledge is to teach “Accountability, Courage, Public Service, and Truth.” William Randolph Hearst, The Uncrowned King of American journalism, is probably the reason the Philippines became a US colony after the Spanish-American War. Much of the coverage leading up to the war was tainted by rumor, propaganda, and sensationalism. Huge headlines in Hearst’s newspapers assigned blame for the American Navy ship USS Maine’s destruction on sabotage of which there was no evidence. Hearst’s journalists were not firm followers of University of Missouri’s journalistic pledges. But Hearst sold newspapers and daily circulation routinely climbed above the 1 million mark, as did the outrage against Spain. Today circulation is measured in page-views or “clicks” and “subscribers,” but the monetary purpose is exactly the same. Journalists employed through regular salary or contracted services are answerable to the organization one way or another. Someone must sign-off on the publication of his or her writing. “Independent journalists” or bloggers usually do not have the constraint of passing their work in front of someone’s eyes for approval. For the past 20 years, anyone with a keyboard—even if their handwriting skills ended at their own signature—can be a writer. Likewise, if their “intellectual handwriting” was not more advanced than a shopping list, they could be published particularly through social media. Are these “writers” journalists? Not by any historical measure. However, should bloggers and vloggers join the ranks of the Malacañang press group? Probably yes, as the public will evaluate their credibility as they do those from the “traditional press.” The problem lies with who of the “B&V” will be accredited and that same problem exists with other members of the “press,” such as your homeowners’ newsletter. The devil is in the details. Since 2005

BusinessMirror A broader look at today’s business

Nurturing our arts and culture sector Atty. Jose Ferdinand M. Rojas II

RISING SUN

he government has programs to promote and nurture the country’s arts and culture. The National Commission for Culture and the Arts is at the forefront of this work. To support individuals, groups, organizations, and institutions with their various arts- and culture-related projects, the NCCA has announced its Call for Project Proposals for its 2023 Competitive Grants Program. These grants are given to artists and groups that contribute to our cultural legacy and as a means of helping them extend their artistic achievements. All project proposals, which will go through a strict evaluation process, have to be submitted by August 31, 2022. Interested parties may access details via NCCA’s web site (ncca.gov.ph). Also supporting the arts and culture sector while doing its part in building a more vibrant and dynamic national landscape, as far as innovation, creativity, and business are concerned, is the Intellectual Property Office of the Philippines. The agency celebrated its 25th year anniversary recently, and I would like to extend my warmest greetings to

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the IP Code so the country can cope with the “rapid advances in technology and evolving international legal frameworks, standards, and best practices.” The new provisions to the law will make the Philippines more competitive and attractive to foreign investors, according to IPOPHL. Let’s continue to hope that the legislators in the next Congress will look favorably upon this proposal. Also, I cannot pass up the chance to celebrate with the rest of the na-

An opportunity for Marcos to do what’s right in foreign policy, security

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the men and women behind IPOPHL. Its anniversary theme is “Creating a Silver Bright Future,” which “aims to signify IPOPHL’s continued commitment to support the country’s post-pandemic recovery by encouraging greater use of the intellectual property [IP] system.” The IPOPHL, however, has a mission to push for the amendment of

I cannot pass up the chance to celebrate with the rest of the nation our new National Artists for 2022. Allow me to join everyone else in congratulating the living awardees and remembering those who have passed on. The eight new National Artists are Nora Aunor, Marilou Diaz Abaya, and Ricky Lee for Film and Broadcast Arts; Tony Mabesa for Theater; Agnes Locsin for Dance; Salvacion Lim-Higgins for Fashion; Gemino Abad for Literature; and Fides CuyuganAsensio for Music.

N a move that pleasantly caught many by surprise and contrary to his campaign rhetoric, President-elect Ferdinand Marcos Jr. has vowed to assert the territorial rights of the Philippines in the West Philippine Sea. With this, the President-elect has that opportunity in his hands to immediately establish that he is different from his predecessor in the critical areas of foreign policy and maritime security. This was the assessment of experts during a virtual town hall discussion organized by top think tank Stratbase ADR Institute.

In a forum held recently, the need was highlighted for a more assertive, responsive and strategic foreign policy especially in the light of China’s recent incursions into our Exclusive Economic Zone—the latest in a long list of such incidents—and its harassment of our fishermen. Stratbase ADR Institute President Professor Victor Andres “Dindo” Manhit and International Development and Security Cooperation President and Founder Dr. Chester Cabalza discussed these in light of their special papers in the book “Beyond the Crisis: A Strategic Agenda for the Next President” compiled and published by Stratbase ADRI. Their papers are among 16 policy studies

written by experts in the fields of foreign policy, the economy and development, and governance. Manhit pointed out that after the July 2016 ruling of the Permanent Court of Arbitration, the territorial rights of the Philippines in the West Philippine Sea is no longer just a claim but has become a right given to us under a rules-based international system. And that right is not only to uphold sovereignty and territorial integrity, but should also foster multilateral, inclusive cooperation through alliances and strategic partnerships. And this outlook recognizes the fundamental change wherein the old order is now shifting to a multi-polar world where states are economically,

Manhit’s paper, A Responsive and Strategic Foreign Policy Outlook in an Interconnected and Multipolar World, said the next Philippine leader must craft a responsive and strategic foreign policy to reverse the losses caused by the flippant policy of the current administration. geopolitically and strategically interconnected. With this in mind, what is needed is a more responsive and strategic foreign policy direction that is clear, cohesive, and consistent, leading to the development of the country’s military, economic, scientific, and cultural capabilities. Manhit’s paper, A Responsive and Strategic Foreign Policy Outlook in an Interconnected and Multipolar World, said the next Philippine leader must craft a responsive and strategic foreign policy to reverse the losses caused by the flippant policy of the current administration. These linkages with like-minded states are needed to counter the threat from China and other traditional and non-traditional security challenges. Manhit’s paper also highlighted the importance of prioritizing economic cooperation and participation in regional and global economic initiatives to advance the national interests of the

tion our new National Artists for 2022. Allow me to join everyone else in congratulating the living awardees and remembering those who have passed on. The eight new National Artists are Nora Aunor, Marilou Diaz Abaya, and Ricky Lee for Film and Broadcast Arts; Tony Mabesa for Theater; Agnes Locsin for Dance; Salvacion Lim-Higgins for Fashion; Gemino Abad for Literature; and Fides Cuyugan-Asensio for Music. Finally, another art event is happening until the 17th of June at the Shangri-la Plaza Mall Grand Atrium. It is my honor to invite all of you to visit our group art exhibit, which opened last June 7. I’m with the following artists: Jef Albea, Mark Albea, Manny Cabrera, Joe Marie Sanclaria Chua, Dennis Francisco, Honesto Guiruela III, Caloy Gabuco, Ram Mallari, Eric Madrigal Masangkay, Kenneth Montegrande, Adam Nacianceno, Wilfred Offemaria Jr., and Sam Peñaso. If you need more information on the show, you may send a message through artgallery@ theartologist.net, the_artologist (Instagram), 86963244, 09165673351, or 09770314636.

Philippines. Meanwhile, Cabalza said in his study, Philippine Civil and Maritime Security: Transforming from Archipelagic to Maritime Power, that the Philippines should turn to multilateralism as it works toward a robust defense posture and secure civil maritime sector, given the volatility in our maritime domain and our lack of an anchoring policy on our defense cooperation with like-minded states. In the forum, Cabalza said if China is a true friend to the Philippines, it should allow the incoming Marcos administration to help the country’s military modernization and strengthen its territorial defense operations. He also mentions that an independent foreign policy must have a strong armed forces, in particular the Navy and Coast Guard, to become a maritime power. In this regard, what follows would be for these two entities to maintain sovereignty patrols on the country’s maritime domains, including safeguarding our control of our seas, and also performing functions to support missions other than war. Foreign policy, specifically the one involving our sovereignty in the West Philippine Sea, was one area that caused many sleepless nights for those who opposed the candidacy of Ferdinand Marcos Jr. for the highest office of the land. But See “Orbos,” A11

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Statutory and regulatory Reminiscing providence accounting in the electric power industry Siegfred Bueno Mison, Esq. N December 2021, I was able to visit my alma mater in West Point, New York. Much to my amazement, there have been several noteworthy changes since I graduated 35 years ago! Gone are the days of two-minute push-ups, two-minute sit-ups, and two-mile run more known as the Army Physical Readiness Test (APRT). In their stead, the US Army introduced a variety of exercises that aim to test strength, agility, speed, and endurance, now labeled as Army Combat Fitness Test (ACFT). The test now includes basketball throw, cadence pullups, and squats. There is now a large edifice behind the original barracks that rendered obsolete the “usual view” from the grandstand as part of the Cadet Barracks Upgrade Program.

Plans change. People change. Thus far, soon-to-be President BBM has asked the Filipino people to pray for him. Such a Spirit-led gesture plus his choice of Cabinet members handling the economy are welcome developments. But with a doubledigit trillion debt, BBM needs more than just a competent economic team. He needs a spiritual platform in keeping to what the Bible tells us in 2 Chronicles 7:14, “if my people, who are called by my name, will humble themselves and pray and seek my face and turn from their wicked ways, then I will hear from heaven, and I will forgive their sin and will heal their land.”

meet in Naga City, my father managed to become a somebody from a nobody, with honor intact! Whatever my father went through PMA and what I went through USMA will always be seen as providential. After all, he wanted to become an engineer; I planned to become a teacher! In all reminiscing exercises, we should always remember how our Almighty God allows our plans to change for the good. In the Bible, Psalm 143:5 tells us, “I remember the days of old; I meditate on all that you have done; I ponder the work of your hands.” As “I remember the days of old” when I had to be physically punished for no reason by some upperclassmen in PMA and when I had to plod the boondocks of Samar and Bataan while in the Army, they were not so bad. With mixed emotions, I remember that the hardships I endured were blessings from God. Just like King David when he said, “I meditate on all Your works; I ponder the work of Your hands,” I longed for that nostalgic feeling for the past— the glamor of a military uniform and the responsibility of being a public servant. What we all accomplish in life is a fitting remembrance of God’s great works in us. What we gained in

life is and should not be about us; it should be about His grace. Visiting our alma mater or any other place where we lived or worked at, will always give us memories. By default, we try to reconstruct in our minds the things we are proud of. In a few days, President-elect Ferdinand Marcos Jr. will soon walk along the halls of Malacañang Palace and experience that nostalgic feeling and reminisce the Marcos’ glory days in Malacañang. As to which memory would come to his mind, I dare not speculate. Once he resides and works in that palace, again, I hope BBM will learn from the mistakes of his father and choose to lead with a gracious heart. The bitter memories of the ouster of his family from Malacañang ought to remind him that God is always in control. Judging from the past actuations of the son of the dictator, some naysayers have envisioned a doomsday scenario for the country under a BBM presidency. Then again, just like my plans to enter USMA and serve the Army, some things can change for the good. Some of those around BBM, who might still have that corrupt tendencies, may plot to live out the “good old days” of Martial Law, where power was abused. Yet, we should

THE PATRIOT

By Alfredo J. Non

Part two

he electric power industry has been restructured since 2001 to consist of four separate sectors—the Generation, Transmission, Retail, and Distribution sectors. These sectors used to be vertically integrated and the functions were performed by only one government entity—the National Power Corp. With the restructuring, the responsibilities were transferred to the four different sectors where generation and retail are considered unregulated or competitive and transmission and distribution are considered regulated by the Energy Regulatory Commission (ERC). The rates charged by generators and the retailers are supposed to be competitive and are, therefore, not regulated by ERC. While considered not regulated, ERC’s regulatory supervision and monitoring ensures that generators and retailers do not exercise abuse of market power and that fair competition exists. The rates charged by the transmission provider and the distribution utilities (DUs) are regulated by the ERC and, for this purpose has adopted the Performance-Based Regulations (PBR) for setting prices to be charged to customers starting in 2004. Prior to this methodology, the Return on Rate Base was the pricing methodology used. In adopting the PBR, a regulatory lag of four years has been approved (one regulatory period consists of four years) for all the 20 franchised private DUs nationwide. During each of the regulatory periods, a set of Rules for Setting Distribution and Transmission Rates are issued, which mandate the rules to be observed in the determination of transmission and distribution rates. There are also 120 rural electric cooperatives that have been issued a franchise by the National Electrification Authority. The rates charged by these electric cooperatives are also regulated by the ERC and are covered by a different set of rules (Rules for Setting Electric Cooperative Wheeling Rate) to determine the prices to be charged by these electric cooperatives to their consumers. In this energy power sector, there are areas with differences between the statutory and regulatory accounting rules that govern this industry. The more important differences are the following:

The Regulatory Assets Base

The RAB consists of the assets employed by a Regulated entity to provide efficient Regulated Distribution Services. It covers the Regulated Distribution System assets as well as the non-system assets required for the delivery of Regulated Distribution Services. For all intents and purposes, this is the same as the Utilities and Equipment that are indicated in the entity’s balance sheet. However, because of some differences in the treatment of some assets, the balance of the two is not necessarily the same. For statutory accounting purposes, Utility plant and equipment are generally stated at cost, net of accumulated depreciation, amortization, and impairment losses, if any. In the case of a large DU, the utility plant and equipment acquired before January 1, 2004 are stated at deemed cost. The revalued amount recorded as of January 1, 2004 was adopted as deemed cost as allowed by the transition provisions of Philippine Financial Reporting Standard 1. The balance of revaluation increment was closed to the retained earnings account, but is restricted for dividend declaration. When a DU elects to revalue its

Orbos . . .

continued from A10

it seems there is nothing to worry about. What needs to be done now would be to bring this to fore once he assumes the presidency, and back

When an appraisal is made for both statutory and regulatory accounting, the impact on assets, income and dividends differs even if revaluation was made at the same time for both statutory and regulatory purposes. The depreciation on the appraisal is definitely recovered as revenue since the additional depreciation forms part of the Building Blocks of the DU. assets for regulatory purposes, the acceptable methodology is the Optimized Depreciated Replacement cost. Here, the replacement value of the asset is obtained using the Modern Equivalent Value rather than calculating the cost to replace the asset. Also, there are certain limitations imposed in the calculation of the replacement value as discussed in more detail in the Rules for Setting Distribution and Wheeling Rates. After the replacement cost is obtained using the RDWR approach, an optimization is performed to adjust the value of the asset to eliminate excess or non-performing assets before computing for depreciation. The DU is required to reconcile the regulatory rolled forward asset register with the statutory asset accounting net book values. The external auditor is expected to review this roll forward, optimization, and reconciliation process to ascertain the reasonableness of the RAB values used in the pricing methodology and that the values used have a direct relationship with the statutory account assets. When an appraisal is made for both statutory and regulatory accounting, the impact on assets, income and dividends differs even if revaluation was made at the same time for both statutory and regulatory purposes. The depreciation on the appraisal is definitely recovered as revenue since the additional depreciation forms part of the Building Blocks of the DU. On the other hand, a non-utility company is not assured that the impact of the additional depreciation on appraisal can be recovered from additional revenue because of the competitive nature of its market. Therefore, the accountant and the auditors should discuss how the appraisal increase and the timing difference would be accounted for in the retained earnings and dividends. To be continued Alfredo J. Non is a CPA by profession and a former Partner at SGV & Co. He served as Commissioner of the Energy Regulatory Commission till he completed his term in 2018. He also served as Director and Executive Officer of several private companies and a former professor in Financial Management at the Ateneo Graduate School of Business. This column accepts articles from the business and academic community for consideration for publication. Articles not exceeding 600 words can be e-mailed to jltantorres@up.edu.ph

it up with reasonable and sustained action to safeguard our rights in our territories and foster an environment of multilateral and inclusive cooperation. The author may be reached at tmo45@georgetown.edu

Monday, June 13, 2022 A11

Similarly, in the Philippine Military Academy (PMA), new cadet barracks have been turned over and are now being used by the Corps of Cadets. A few days ago, my father Salvador ’55 was given a guided tour of these new facilities and learned about new academic programs and course offerings. PMA now has a department specifically dedicated to land, naval, and air warfare wherein cadets can focus on their given branch of service at least a year before graduation. My father enjoyed reminiscing his glorious past, even doing some punching bag workout in Jurado Hall, reliving his days as a cadet boxing champion! He even walked across Borromeo field, the same field where he did a lot of marching, from 1951 to 1955. I think the highlight of my father’s recent visit to PMA was the token gift given by the current PMA Commandant, General Julius Tomines ’92. It was a faithful reproduction of a PMA Information Sheet, which my father filled up way back in 1951! One question in that form asked—“What to you is the most important thing in life?” My 19-yearold father then and my 90-year-old father now said—“Honor.” With poor parents struggling to make ends

take comfort in Proverbs 16:9 that says, “The heart of man plans his way, but the Lord establishes his steps.” Good and evil people will never stop making plans, but they all come to fruition only when God allows them. Plans change. People change. Thus far, soon-to-be President BBM has asked the Filipino people to pray for him. Such a Spirit-led gesture plus his choice of Cabinet members handling the economy are welcome developments. But with a double-digit trillion debt, BBM needs more than just a competent economic team. He needs a spiritual platform in keeping to what the Bible tells us in 2 Chronicles 7:14, “if my people, who are called by my name, will humble themselves and pray and seek my face and turn from their wicked ways, then I will hear from heaven, and I will forgive their sin and will heal their land.” Since he already tapped the brightest of all economists in the country, BBM might as well appoint the wisest from the church or clergy to help him come up with a spiritual agenda imploring the aid of Almighty God in all things he will do as President. Whatever President BBM went through this campaign, emerging victorious in the process, I will always consider as providential. May priests and holy people, who even campaigned against BBM during this recently concluded presidential elections, providentially find the courage and wisdom to pray for a Spirit-led President to heal our ailing Philippines from its moral depravity. A former infantry and intelligence officer in the Army, Siegfred Mison showcased his servant leadership philosophy in organizations such as the Integrated Bar of the Philippines, Malcolm Law Offices, Infogix Inc., University of the East, Bureau of Immigration, and Philippine Airlines. He is a graduate of West Point in New York, Ateneo Law School, and University of Southern California. A corporate lawyer by profession, he is an inspirational teacher and a Spirit-filled writer with a mission. For questions and comments, please e-mail me at sbmison@gmail.com.

‘Geopolitical reality’ facing Marcos in West Philippine Sea ncoming President Ferdinand Marcos Jr.’s limited exposure in pre-polls debates and the absence of “foreign policy” initiatives on his official web site are causing uneasiness among international community observers.

Incoming President Marcos will be truly “walking a tightrope” in dealing with the US and China. Will he be up to the challenge?

Marcos Jr.’s public flip-flopping on the West Philippine Sea (WPS) issue only added to their discomfiture. For instance, in an ambush interview before the May 9 polls, Marcos Jr. said that the International Tribunal Ruling on the WPS is unenforceable as only one state recognized it. Yet, oddly, on his proclamation day, he suddenly became combative, saying the Philippines will honor the international arbitration ruling and will not surrender 1 millimeter of the nation’s sovereign land to anyone. But Professor Carlyle Thayer, professor emeritus of the Australian Defense Force University, in a recent virtual international webinar, is worried that Marcos Jr.’s limited exposure in the Senate (in foreign policy) and his “small town” mentality as governor and congressman of Ilocos Norte may create personal blind spots on the WPS issue. Dr. Horiyasu Akuutsu, professor at Heisei International University, on the other hand, says Japan is worried about the joint China-Russia military exercises, North Korea’s recent aggressive missile launches and China’s aggressiveness in the WPS. Thus, allies and Japan’s “Free and Open Indo Pacific” program are meant to short-circuit China’s Greater BRI Strategy and its “Island Chain Strategy”—aiming to build islands surrounding China for her protection and to deny access to the seas by other nations. The Philippines and the US have a Mutual Defense Treaty, which says that “an attack on one is an attack on the other.” But pragmatists, however, had warned that the intense days of the US playing global Robocop to restore

ment and bomb Iran’s oil military platforms. What must Marcos Jr. do? “If you want peace, you must prepare for war” is the unorthodox sage opinion of Dr. Bhuushan Dewan, president of Shridhar University of India. His thesis is that smaller nations must refuse to be the pawn of superpowers. The long-term solution is to be able to design and manufacture one’s own military equipment to strengthen one’s defense capabilities without depending on anyone for protection. An example would be for Japan to provide technology and/or financing to the smaller nations like India, the Philippines, Thailand, Vietnam, and Malaysia, and all of the latter become a specialist in producing specific parts of war goods—and develop their capabilities by acquiring know-how and manufacturing technology from more advanced nations. Independence is the main, nay the only anchor for “free foreign policy” and politics. That is why even in the Cold War, both the main protagonists Russia and the US were not just thinking of military superiority but economic and cultural edge over the other. Today, China, with its awesome foreign reserves, had exported capital and loans to major regions in the world. It had this “leverage advantage” as the Military and Science Department of the University of Hawaii says. From faraway Africa to remote places in Latin America, China has extended its financial clout, which will necessarily bear some political weight in its clutches. Even in the Philippines, the next administration must be wary that too much dependence on China for our GDP growth

Finex free enterprise Zoilo ‘Bingo’ Dejaresco III order internationally has long gone with ex-president Donald Trump’s “America First” policy. No more warm bodies of American soldiers to export US’s war. In fact, when President Joe Biden assumed office, one of his first acts was to completely withdraw America’s support and personnel from Afghanistan after spending $3 trillion and committing soldiers there. In the Ukraine-Russia war, aside from the economic sanctions and billions of dollars worth of military supplies in aid, the US has kept its physical distance from the conflict. Lame commitment to democracy? Other analysts say not to trust “too much” the word of the US, even when it comes to signed mutual defense treaties, because it will have to move in a calibrated way to suit American interests. Marcos Jr. may have to ask the Philippine Congress to review and propose amendments to the dated Mutual Defense Pact with America to ensure the security of the nation from foreign aggressors. Moreover, one must also realize that the International Court of Justice had diluted America’s intervention powers in the affairs of other nations by its ruling on Nicaragua (1986) and Iran (2003). It ruled that the US had no right to attack the country or fund paramilitary units in Nicaragua against its govern-

and infrastructure build-up will not be in our best national interest. For America, on the other hand, to introduce itself as an “economic alternative,” it must be willing to bring its risk capital and investments at the same magnitude and attitudinal enthusiasm as the Chinese. Incoming President Marcos will be truly “walking a tightrope” in dealing with the US and China. Recall that America, for a good part, supported Ferdinand Marcos Sr.’s “Martial Law” regime and provided political sanctuary for the family in Hawaii during Edsa One under President Ronald Reagan. The Marcos family, however, has pending court cases there. And the Democrats like US President Biden do not look kindly at regimes abetting or protecting violators of human rights—now and in the past. China had helped outgoing President Rodrigo Duterte with massive loans, vaccines and technical aid in infrastructure building. However, it had clearly violated international law by building islands in disputed territories in the WPS and scaring off our fishermen and depriving them of decent livelihood and fish for the teeming hungry Filipinos. Where would Marcos Jr. position himself between the two? Maybe, he can take a slew of cues from the history of Cuba, an island country near the United States. During the Cold War, Cuba alternately flirted with both the US and the USSR to survive. To survive, likewise, the Philippines must learn to similarly play its aces well and deal deftly with both sides. Will President Ferdinand Marcos Jr. be up to the challenge? Bingo Dejaresco, a former banker, is a financial consultant and media practitioner. He is a Life and Media member of Finex. His views here, however, are personal and do not necessarily reflect those of Finex. Dejarescobingo@yahoo.com. Know more about #FINEXPhils through www.finex.org.ph.

A12 Monday, June 13, 2022

AFP BACKS DFA PROTESTS OVER CHINA REEF SWARM, BLOCKADE By Rene Acosta

@reneacostaBM

& Malou Talosig-Bartolome @maloutalosig

HE military’s Western Command (Wescom) said Sunday it fully supports the recent filing of diplomatic protests against China over the “lingering presence” of about 100 Chinese fishing vessels in the Julian Felipe Reef and the blocking by its coast guard of a Philippine resupply mission to Ayungin Shoal. The Wescom, which is under Vice Admiral Alberto Carlos, said it hoped that the complaint be favorably acted upon by the Chinese government in order to ensure the “continued peace and stability in the area.” By installing fish nets and mooring several Chinese fishing vessels, the Chinese Coast Guard blocked the entrance of the Ayungin Shoal during a resupply mission for Filipino soldiers guarding the shoal and who are stationed aboard the partly sunken BRP Sierra Madre. The Department of Foreign Affairs lodged a diplomatic protest with the Chinese Embassy in Manila to officially complain against the so-called “interference” in the “legitimate” activities of the Philippine government in the area. The protest was announced over Twitter a few hours after President-elect Ferdinand “Bongbong” Marcos Jr. appeared and gave a speech before the Chinese and Filipino-Chinese community in Makati City.

The DFA said the Chinese Coast Guard installed buoys and fish net, preventing Philippine Coast Guard vessels from entering the shoal to provide provisions for Filipino soldiers stationed at BRP Sierra Madre. The Philippine Coast Guard boats also bring troops in and out of the ship for regular rotation of forces. The DFA tweet did not give more details, except that these are “recent incidents” which also include China’s illegal fishing as well as “shadowing” of China Coast Guard vessels of Philippine boats. “The DFA has lodged today another protest over recent incidents in Ayungin Shoal, including China’s illegal fishing, shadowing of China Coast Guard vessels of Philippine boats on a rotation and reprovision mission, and the installation of buoys and fish nets that blocked the shoal’s entrance. “The 2016 Arbitral Award affirmed that Ayungin Shoal is within [Philippine exclusive economic zone] and continental shelf. [China] has no right to fish, monitor, or interfere with [Philippines’s] legitimate activities therein. [The Philippines] calls on [China] to comply with its obligations under international law, including Unclos and the Arbitral Award,” the DFA tweet said. This is the second diplomatic protest that was made public by the DFA this week among more than 300 protests that it said it had lodged during President Duterte’s six-year term. See “AFP,” A2

76 WTO states for keeping e-commerce duties freeze

Valid problem, wrong solution

By Andrea E. San Juan

HE Philippines and 75 other states support the extension of the moratorium on e-commerce customs duties as they recognize the importance of maintaining certainty for businesses and consumers especially amid the pandemic, according to the World Trade Organization (WTO). In a draft ministerial document on Thursday, for the 12th Ministerial Conference held in Geneva, 76 member-states of the WTO including the Philippines agreed to maintain the current practice of not imposing customs duties on electronic transmissions until the 13th Ministerial Conference. According to the International Chamber of Commerce (ICC), since 1998, the WTO members have agreed not to impose customs duties on electronic transmissions. The moratorium plays a huge role as it has enabled exponential growth in use of the Internet and the flourishing of the digital economy. Unburdened by traditional tar-

iffs, “a notoriously inefficient and distortive method of raising revenue,” the ICC stressed, the creative potential of humanity has been discovered, leading to innovative products and services that have greatly benefited society and led to productivity gains in all aspects of the global economy. Meanwhile, in 2019, a few countries such as India, Indonesia and South Africa vowed to end the moratorium and to begin unilaterally imposing tariffs on cross-border data flows. They argued that the digitalization of previously physical goods such as CD-ROMs to mp3s, DVDs to online streaming, printed books to eBooks have led to losses in customs revenue.

HOWEVER, according to ICC, while these countries were able to identify a legitimate problem, the proposed solution is misguided. “No country has been able to explain how it would even be possible to collect customs duties on data flows without causing significant disruption to the digital world,” the International Chamber of Commerce said in a statement in 2019. In fact, a number of recent papers have revealed that the unilateral imposition of customs duties on electronic transmissions will have: distortive effects on growth of the digital economy; be costprohibitive and technologically unfeasible; and will likely fall foul of several existing free trade agreements under the most favored nation principle. The ICC recommended that, rather than imposing customs duties, a combination of internal taxation and international tax reform, undertaken by the (Organisation for Economic Co-operation and Development) OECD, is the best way forward for governments seeking to protect national revenue bases in terms of the digital economy.

US-ABC weighs in

IN a news statement last week,

the US-Asean Business Council (US-ABC) had expressed its support for extending WTO’s e-commerce moratorium as it plays a significant role in driving digital trade, job creation, and economic growth. It added that with such a large and rapidly growing e-commerce consumer base, Asean has an important voice for raising these concerns and helping to drive the conversation for protecting the ecommerce industry with a renewal of the moratorium. However, out of the 8 Association of Southeast Asian Nations (Asean) members of the WTO, only 5 countries have voted against imposing customs duties on electronic transmissions, as evidenced by the draft ministerial document. These countries are Brunei, Malaysia, Philippines, Singapore and Thailand. The countries backing the extension of the e-commerce moratorium are Australia, Brunei, Canada, Chile, Israel, Japan, Korea, Kuwait, Malaysia, Mexico, Norway, New Zealand, Philippines, Peru, Qatar, Russian federation, Saudi Arabia, Singapore, Switzerland, Taiwan, Thailand, Ukraine, the European Union, United Kingdom, United Arab Emirates, the United States of America, among others.

Duterte hopes for ‘ride’ on Coast Guard ship in WPS ‘as a civilian’ By Bernadette D. Nicolas @BNicolasBM

RESIDENT Duterte on Sunday said he wants to ride with the Philippine Coast Guard to the West Philippine Sea as a civilian someday in a bid to assert “what is ours.” Speaking at the commissioning of the brand-new BRP Melchora Aquino on Independence Day, Duterte said he does not see any consequence with this move since he is no longer in office. The commissioning of BRP Melchora Aquino, which is said to be one of the two largest white ships acquired by the Department of Transportation for the Philippine Coast Guard, is expected to beef up its capability of conducting patrols in the country’s maritime jurisdictions, including the West Philippine Sea and Philippine Rise. “Someday I could maybe ride with the Coast Guard to see. Even if [I may be a civilian by then, I hope you’ll give me just that small courtesy]—I do not expect more—that you can invite me to ride with you…. It does not have any ramifications because [by then I’ll be a] civilian. And I could maybe ride with you in the West Philippine Sea. It is a gamble,” Duterte said, partly in Filipino. “But you know you have at one time in our national life that we have to assert the—what is ours,” he added. To recall, Duterte made a bold promise, as a candidate in a televised presidential debate back in 2016, to

ride a jet ski to the West Philippine Sea to assert the country’s sovereignty. However, he later dismissed this pledge as a “pure campaign joke.” Despite this, Duterte said on Sunday that he has already made it clear to Chinese President Xi Jinping on several instances that the Philippines cannot give up its sovereignty over the West Philippine Sea and the exclusive economic zone (EEZ), stressing that it is “vital for our national life.” However, he also defended the government’s diplomatic tack in dealing with the maritime issue, saying the country cannot afford to go to war with China. “That is why [we here in the Philippines] vis-à-vis with China—I’m glad that they have also adopted the same behavior—we continue to talk. If there is any—[just not] gray ships—Coast Guard, well Coast Guard to Coast Guard [is fine]. We do not send gray ships there because [those ships are for going to war]. It would project a different picture for everybody,” he said. “But we cannot afford fighting with China. We cannot win and we will lose and the population will suffer,” he added. The Duterte administration has since been criticized for taking a “softer approach” in dealing with China on the maritime dispute in exchange for investments and funding for infrastructure projects. Meanwhile, the labor group Federation of Free Workers (FFW) on Sunday backed the recent filing of a

diplomatic protest against China over the maritime incidents in Ayungin Shoal, which is within the country’s EEZ and continental shelf. In the same statement, FFW also called on the incoming Marcos administration to “be more assertive” in drawing attention of the world community to China’s new and repeated breaches of the United Nations Convention on the Law of the Sea (Unclos), to which China and the Philippines are among the signatories. “FFW agrees with the need to continue filing diplomatic protest, as incoming NSA [National Security Adviser] Clarita Carlos suggested, and that war is not an option as there are other peaceful means. The Philippines may bring the issue of the 2016 arbitral ruling for compliance before the UN General Assembly,” FFW President Atty. Sonny Matula said. Foreign Affairs Secretary Teodoro L. Locsin Jr. earlier vowed to keep filing diplomatic protests, even daily if need be, top continuously protest China’s incursions into Philippine waters. Asked in a TV interview last week if she backed this approach, Carlos said yes, because a country must never be seen as having slept on its rights. Apart from the commissioning of BRP Melchora Aquino, Duterte also led on Sunday the 124th anniversary of the Philippine Independence Day proclamation in Rizal Park in Manila and the lowering of the tunnel boring machine and inspection of the subway depot in Valenzuela City.

Local traders told: Consider banana exports to Europe

ILIPINO traders can export more products, including dried and fresh bananas, to Europe after the shipment of goods to Denmark rose “significantly.” Gry Saul, senior advisor on corporate social responsibility (CSR) and responsible business conduct (RBC) of Global Development and Sustainability at Confederation of Danish Industry (DI), said the Philippines’s actual exports to the European market have reached more than $9.1 billion but the potential is $15 billion. Saul said this indicates that the Philippines has a huge amount of untapped potential that it can export to the European Union.

“In order to capitalize on that, you really need to be able to live up to the requirements from the EU with regards to sustainability and responsible business conduct,” she said in a webinar. In a statement released by the Philippine Exporters Confederation Inc., Saul was quoted as saying that fresh or dried bananas have the biggest potential for export to the EU. “This is within agriculture where we also see that there has been a tendency to more issues within labor issues and human rights challenges. So of course if you want to go into that field, you need to be able to document that you are working with human rights and

labor standards and that you are doing business in a responsible way.” Other Philippine products which may be shipped to Europe are projectors, other office machines, and computer data storage units. Meanwhile, Saul cited recent data indicating the dramatic rise in Philippine exports to Denmark, which has grown over 146 percent in 2021. “So we are actually doing business together, our two countries. And we really see the great demand within the electrical machinery and appliances, but also in the manufactured article. And the Danish exports to the Philippines are mostly within the meat and dairy production.”

Companies

Editor: Jennifer A. Ng

Monday, June 13, 2022

Manila Water targets deals to expand presence in PHL

By Lenie Lectura

@llectura

top official of Manila Water Co. Inc. said over the weekend that the water concessionaire might seal another deal soon that would expand its presence in the country. “We’d like to close a few deals before the end of the year. Hopefully, if we can swing it, at least one, before the end of the year,” Manila Water Chief Administrative Officer Roberto Locsin told reporters. He

was referring to “local” acquisition deals. Previously, its subsidiary, Manila Water Philippine Ventures Inc., bought 107,601,639 shares of Metropac Water Investments

Corp. (MWC) in Manila Water Consortium, Inc. (MWCon). The deal hiked Manila Water’s interest in the consortium to 84 percent. This is part of the company’s strategic direction to maximize the potential of existing business. Manila Water is already present in Makati, Pasig, Pateros, Marikina, Mandaluyong, San Juan, Taguig, some parts of Quezon City, Manila, and Rizal province. It also has partnerships with water districts in Tagum, Davao del Norte; Bulacan; Clark in Pangasinan; Calasiao in Pangasinan; San Jose in Nueva Ecija; Laguna; and Boracay in Aklan. Outside the country, Manila Water is present in Thailand, Viet-

nam, Saudi Arabia, Indonesia and Myanmar. As part of the Razon Group, Manila Water can also expand in the areas within the group’s port operations in Southeast Asia and the Middle East. Also, Latin America and Africa are being considered for expansion. “We’re doing a lot of work now. The deal pipeline is healthy. It’s just that these things take time. It’s infra, some of it is brownfield, some of it is greenfield. Some are existing businesses being sold…We want to self-fund our venture and not borrow from the bank. We want to make sure that the funding is in line with revenue expectations,” said Locsin.

CEB cancels flights due to eruption C ebu Pacific (CEB) announced on Sunday that it canceled flights due to the volcanic activity by Mt. Bulusan which spewed ash. The following Cebu Pacific and Cebgo flights on June 12 were canceled: n 5J325/326 Manila–Legazpi– Manila n 5J327/328 Manila–Legazpi– Manila n DG6195/6196 Manila–Legazpi–Manila n DG6111/6112 Manila–NagaManila n DG6117/6118 Manila–Naga– Manila The airline said affected passengers may avail any of the following

options online, through the Manage Booking portal on the Cebu Pacific website: n Rebook without fare difference for travel up to 30 days from original flight date. Fare difference will apply if travel period is beyond 30 days from original flight date; n Store the amount in a virtual CEB wallet valid for six (6) months and use this to either book a new flight or pay for add-ons (example: baggage allowance, seat selection, etc.); n Refund, which may take up to 2 months from the date of request. Cebu Pacific is also offering options for passengers of flights touching Naga and Legazpi from June 13-14, 2022: n Rebook without fare differ-

ence for travel up to 30 days from original flight date. Fare difference will apply if travel period is beyond 30 days from original flight date; n Store the amount in a virtual CEB wallet valid for 6 months and use this to either book a new flight or pay for add-ons (example: baggage allowance, seat selection, etc.). “Guests must manage their flight booking online via bit.ly/CEBmanageflight up to 2 hours before their scheduled time of departure,” the airline said. Passengers are adv ised to check the travel requirements, safety protocols, and frequently asked questions (FAQs) on the CEB website. “For other questions or con-

Club Inc., PH Resorts Group Holdings Inc., Raslag Corp. and Marcventures Holdings Inc.

policy outlook will be is also seen to weigh on the market. Next week, investors are also expected to watch out for our OFW cash remittance and balance of payments data.” Immediate support for the main index is seen at 6,400 points and resistance at 6,800 points.

STOCK-MARKET OUTLOOK Last week

Share prices dropped last week, with the main index returning to the 6,500-point level, as pessimism persisted in the market over rising inflation and interest rate hikes by central banks worldwide. The benchmark Philippine Stock Exchange index (PSEi) fell 211.36 points to close at 6,530.04 points. Trading was lackluster for most of the week, with the main index slightly moving up and down, but a huge selldown was seen on Friday, with the PSEi losing 228.55 points. Average value of trade was low at P5.15 billion, while foreign investors, which made up 44 percent of the trades, were net sellers at P2.55 billion. All other sub-indices ended in the red, led by the broader All Shares index that lost 90.59 points to close at 3,511.93 points, the Financials index fell 35.62 to 1,574.06, the Industrial index shed 134.29 to 9,077.92, the Holding Firms index dropped 277.68 to 6,027.93, the Property index retreated 55.40 to 3,045.98, the Services index declined 78.40 to 1,785.13 and the Mining and Oil index plunged 609.46 to 11,856.56. For the week, losers edged gainers 140 to 71 and 36 shares were unchanged. Top gainers for the week were Bright Kindle Resources and Investments Inc. Premiere Horizon Alliance Corp., Prime Media Holdings Inc., Imperial Resources Inc., SOCResources Inc., Philippine Infradev Holdings Inc. and Philippine Bank of Communications. Top losers, meanwhile, were PTFC Redevelopment Corp., ACE Enexor Inc., Filipino Fund Inc., Manila Jockey

This week

Share prices may still fall this week as the market is still reading the moves of the economic managers and the Bangko Sentral ng Pilipinas (BSP) to address rising inflation. “When markets are left to speculate market risks and uncertainties, the result is volatile prices that reflect internal value plus/minus some emotion tied to these uncertainties,” broker 2TradeAsia said. With the May inflation rate settling at 5.4 percent, which is within the BSP’s estimates, the magnitude of its rate hike during its next policy meeting is still debatable, the broker said. “Taking away short-term market opinion and leaning away, or towards, risk when fundamentals are poor, or favorable, is the way to navigate choppy segments of market cycles,” it said. Japhet Louis O. Tantiangco, senior research analyst at Philstocks Financials Inc., said investors are expected to digest the United States May inflation print which accelerated further. “Consequently, worries over the possibility of a more aggressive policy stance from the Federal Reserve may also kick in. Thus, this week may start on a bearish tone,” he said. “Concerns over the Philippines’s inflation is also seen to dampen sentiment amid the upside risks which are already in play including rising fuel and electricity prices, weakening of the peso, and the increase in minimum wages. Consequently, worries over how hawkish the BSP’s

Stock picks

Broker Regina Capital Development Corp. gave a buy rating on the stock of AllDay Marts Inc. due to the stock’s fall in the past trading sessions. “In order to cushion inflationary pressures, the management said they are preparing for any price adjustments in their product. Nevertheless, AllDay target market is the upper-middle segment, they have more capacity to absorb price changes due to price volatility,” the broker said. “Furthermore, we expect to see more consumers regain their confidence leading to higher foot traffic in AllDay stores, as seen in the 28 percent year-on-year growth in footfall in the latter part of 2021. Overall, we recommend a Buy rating with a fair value of P0.70 per share.” AllDay shares closed at P0.345 apiece. Meanwhile, it also gave buy on pullbacks on the stock of Ayala Land Inc. as it breached its P30.20 resistance during its trade last week. “With its spike in price coupled with its heavy volume, it is clear that this stock was one of the market favourites from the last trading session. This upward trajectory may further continue, and it is intuitively good to buy on pullbacks,” it said. Ayala Land shares closed last week at P30 apiece. VG Cabuag

cerns, passengers may send a message via Charlie the Chatbot on the Cebu Pacific website.”

Phoenix: Franchising helped boost growth

hoenix Petroleum Philippines Inc. said over the weekend that franchising has strongly supported the oil firm’s growth and that of its business partners. The oil company’s president, Henry Albert Fadullon, who is also the regional director of the Philippine Franchise Association (PFA) in Mindanao, said franchising is a proven business model given the oil firm’s wide range of products and services such as gas stations, lubricants, and convenience retailing stores. “By being our business partners, we provide a readily available and proven business model that will help our franchisees—whether it’s through access to information and market studies, business development aspects and strategies, training sessions, state-of-the-art technology and access to rewarding Phoenix business portfolio,” Fadullon said. The oil firm’s franchising opportunities are further solidified in its newest retail concept called the Phoenix Block, a multi-purpose

retail complex featuring a Phoenix gas station, FamilyMart convenience store, Phoenix SUPER LPG Hub, an Autoworx Plus automotive care shop, Posible digital payments and Limitless digital transactions. “We have been a staunch supporter of PFA in nurturing businesses, supporting franchisees and enabling SME [small and medium enterprises] growth,” said Fadullon. PFA and Phoenix recently concluded the Online Business Matching Sessions (B2B) in Mindanao. Phoenix showcased its FamilyMart convenience store retailing and its expansive portfolio that includes its oil and gas businesses. Separately, Phoenix has reduced fuel prices for members registered with its LIMITLESS app. “For the second time since we launched the app in 2020, we are celebrating our anniversary with an annual promo that aims to give our members the freedom to avail of products from our partner merchants at discounted prices,” Phoenix Head of E-Commerce Business Kenneth Ocampo said. Lenie Lectura

Companies BusinessMirror

Monday, June 13, 2022

Hotel chains focus on PHL as they expand in SE Asia By Ma. Stella F. Arnaldo

@akosistellaBM Special to the BusinessMirror

NTERNATIONAL hotel chains are keen on signing more properties in the Philippines, especially now that the country has fully reopened to foreign leisure travelers. In an email to the BusinessMirror, Alexandra Murray, area vice president, head of Southeast Asia for Hilton said, “We are on a good growth trajectory in the country, having opened Conrad Manila in 2016, followed by Hilton Manila in 2018, and Hilton Clark Sun Valley Resort in 2020.” She expressed optimism “about the long-term future for travel in the Philippines and our goal

is for more signings and openings across both gateway and secondary cities in the market.” She failed to say what other locations in the country are being eyed but was firm that, “Our long-term commitment to the country remains unchanged—the Philippines remains one of Hilton’s focus destinations as we continue to expand on our portfolio of properties in Southeast Asia.” She noted

that the vibrancy and dynamism of Manila as well as other cities, making the Philippines a “leading destination for travelers in Southeast Asia. Before the pandemic, we have long recognized the potential growth of the country’s tourism industry, prompting us to expand to be in line with this anticipated demand.” Data provided by the Department of Tourism (DOT) showed close to 600,000 arrivals from February 10 to June 5, about 60 percent or 359,371 of whom total were foreign nationals.

Return of Sheraton, Westin brands

This year, meanwhile, will mark the return of Marriott International’s Sheraton and Westin brands in the Philippines. It will be managing the 250-room Sheraton Cebu Mactan Resort, owned by AppleOne Mactan Inc., which is slated to open in September, and the 246-room Wes-

tin Manila Sonata Place, owned by Robinsons Land Corp., to open in October. Century Park Hotel used to be managed by Sheraton, while the Philippine Plaza was a Westin. At the recent World Travel & Tourism Council (WTTC) Global Summit 2022 in Manila, Marriott International Group President for International Craig Smith said the hotel management chain “is building more hotels here [in the Philippines],” due to the stronger partnership between the private sector and government, especially in addressing the Covid-19 pandemic concerns. The global hotel chain already has five hotels in the country: Courtyard by Marriott Iloilo, Conrad Manila, Clark Marriott, Manila Marriott, and Sheraton Manila Bay. He underscored that in countries like the Philippines which have done away with travel restrictions, “We’ve been blown away by how fast we’ve recovered. We’ve missed every forecast in every place when they reopen, because it’s been so much faster than you anticipated…. I’ve been through four to five downturns in my career, I’ve never seen a recovery this fast.”

www.businessmirror.com.ph

‘Okada has amazing plans for casino’

he group of Japanese casino mogul Kazuo Okada, which took over last month the operations of its integrated resort and casino in Entertainment City named after him, said it has crafted “amazing plans” to sustain the growth of the facility. The group said “life goes on” for the integrated resort and casino as the Japanese mogul has “plans to sustain the positive gains that Okada Manila has achieved so far.” “Chairman Okada will focus on addressing the needs of the property’s hard working employees and loyal customers. With a focused plan to attain greater success, chairman Okada said ‘they haven’t seen nothing yet and that the best is yet to come at Okada Manila’,” it said in a statement. To date, the group said Okada Manila still enjoys over 90 percent occupancy rate during weekdays and an even a higher rate on weekends. “The hotel’s various restaurants have been at full capacity and its casinos are expecting more people to flock to its gambling venues as travel restrictions in both local and international sectors ease up.” Okada Manila continues to draw major business and social events, and has hosted several gatherings, such as international beauty pageants. The Malaya 2022 Local Music Festival, a property initiative, is slated this June at Cove Manila. To date, tickets were reportedly sold out already, the group said. “Another major project that is very close to chairman Okada’s heart is the re-launching of The Fountain set in the third quarter of 2022. Chairman Okada has been personally hands-on and involved in the preparations leading up to the relaunch,” the group said.

SC clarification

Meanwhile, the officials of Tiger Resorts Leisure and Entertainment Inc. (TRLEI), the operator of Okada Manila, earlier said they will ask the Supreme Court to clarify its status quo ante order (SQAO) as it has been used by the camp of Okada to take over the premises of the casino. Estrella Elamparo, senior partner of Divina Law and the legal counsel of TRELEI, said Okada may have “misled” the high court into believing that he still has control of Tiger Resorts using documents prior to his ouster from the company in 2017. “We’re getting some clarity from the Supreme Court. They used the SQAO as purported authority to employ violence,” Elamparo said earlier. “There cannot be business as usual (at Okada Manila). The owner TRLEI, already said they do not acknowledge the group of (Kazuo Okada). So any business or transaction that they will do as a sham or fake board will not be honored by the owners of TRLEI.” Hong Kong’s Tiger Resorts Asia Ltd. (TRAL) owns 99.99 percent of TRLEI. Both companies are units of Universal Entertainment Corp. (UEC), a company listed on the Tokyo Stock Exchange. UEC, meanwhile, is controlled by Okada Holdings Ltd., a company incorporated in Hong Kong and is controlled by Tomohiro Okada with a 53.47 percent shareholding, while the remainder 46.55 percent is held by Kazuo Okada. TRAL issued on June 1 a certification signed by its nominees Takako Okada, Kazuo’s estranged wife, and Kenshi Asano, putting on record that Kazuo Okada had no right over Okada Manila. VG Cabuag

mutual funds

June 10, 2022

NAV One Year Three Year Five Year Y-T-D per share Return* Return Stock Funds ALFM Growth Fund, Inc. -a 217.1 -2.47% -6.51% -4.75% -6.86% ATRAM Alpha Opportunity Fund, Inc. -a 1.4087 5.47% -5.23% -2.67% -15.35% ATRAM Philippine Equity Opportunity Fund, Inc. -a 2.9856 -2.22% -10.36% -7.35% -7.79% Climbs Share Capital Equity Investment Fund Corp. -a 0.7264 -7% -8.45% n.a. -3.98% First Metro Consumer Fund on MSCI Phils. IMI, Inc. -a 0.6685 -7.51% -8.83% n.a. -13.28% First Metro Save and Learn Equity Fund,Inc. -a 4.8776 0.52% -4.05% -2.43% -5.89% First Metro Save and Learn Philippine Index Fund, Inc. -a 0.7271 3.25% -6.35% -5.32% -7.17% MBG Equity Investment Fund, Inc. -a 79.85 -17.46% -13.23% n.a. -15.44% PAMI Equity Index Fund, Inc. -a 44.6719 -1.73% -5.35% -3.28% -7.18% Philam Strategic Growth Fund, Inc. -a 465.28 -2.81% -5.31% -3.32% -7.07% -2.81% Philequity Dividend Yield Fund, Inc. -a 1.3182 15.41% -0.44% -0.02% Philequity Fund, Inc. -a 34.0738 0.19% -4.58% -2.23% -6.89% Philequity MSCI Philippine Index Fund, Inc. -a 0.8824 -0.73% -5.77% n.a. -6.27% Philequity PSE Index Fund Inc. -a 4.6205 -0.78% -4.72% -2.65% -6.86% Philippine Stock Index Fund Corp. -a 770.33 -1.21% -4.77% -2.7% -7.02% Soldivo Strategic Growth Fund, Inc. -a 0.6884 -2.93% -9.88% -5.51% -8.53% Sun Life Prosperity Philippine Equity Fund, Inc. -a 3.4543 -2.11% -7.55% -4.13% -8.51% Sun Life Prosperity Philippine Stock Index Fund, Inc. -a 0.877 -1.56% -5.07% -2.95% -7.15% United Fund, Inc. -a 3.2239 -1.04% -5.1% -2.02% -6.21% Primarily invested in Peso securities (units) Philequity Alpha One Fund, Inc. -a 1.0971 2.53% n.a. n.a. -5.64% Philippine Stock Index Fund Corp. -a 938.7 n.a. n.a. n.a. n.a. Exchange Traded Fund (shares) First Metro Phil. Equity Exchange Traded Fund, Inc. -a,c 103.855 -0.77% -4.55% -2.3% -6.84% Primarily invested in foreign currency securities (shares) ATRAM AsiaPlus Equity Fund, Inc. -b $0.9827 -22.86% 0.99% -0.13% -12.77% Sun Life Prosperity World Voyager Fund, Inc. -a $1.5757 -10.74% 7.83% 6.21% -14.66% Balanced Funds Primarily invested in Peso securities (shares) ATRAM Dynamic Allocation Fund, Inc. -a 1.5816 -5.89% -3.19% -2.48% -6.52% ATRAM Philippine Balanced Fund, Inc. -a 2.1429 -4.41% -2.75% -2.09% -6.07% First Metro Save and Learn Balanced Fund Inc. -a 2.5835 -0.36% -1.08% -0.34% -3.99% First Metro Save and Learn F.O.C.C.U.S. Dynamic Fund, Inc. -a 0.1995 2.73% n.a. n.a. -4.55% NCM Mutual Fund of the Phils., Inc. -a 1.9306 -1.17% -0.17% 0.15% -4.27% PAMI Horizon Fund, Inc. -a 3.5428 -3.94% -1.76% -1.21% -5.9% Philam Fund, Inc. -a 15.8722 -4.06% -1.97% -1.26% -5.78% Solidaritas Fund, Inc. -a 2.0265 -1.78% -2.06% -1.27% -4.47% Sun Life of Canada Prosperity Balanced Fund, Inc. -a 3.4158 -2.83% -4.25% -2.12% -6.34% Sun Life Prosperity Dynamic Fund, Inc. -a 0.893 1.35% -3.8% -1.63% -6.41% Primarily invested in Peso securities (units) Sun Life Prosperity Achiever Fund 2028, Inc. -a 0.9157 -7.01% -3.51% n.a. -7.49% Sun Life Prosperity Achiever Fund 2038, Inc. -a 0.8643 -4.78% -5.35% n.a. -8.49% Sun Life Prosperity Achiever Fund 2048, Inc. -a 0.8543 -4.54% -5.62% n.a. -8.52% Primarily invested in foreign currency securities (shares) Cocolife Dollar Fund Builder, Inc. -a $0.03396 -10.87% -2.82% -1.08% -10.49% PAMI Asia Balanced Fund, Inc. -b $0.9702 -15.41% 0.49% 0.03% -9.08% Sun Life Prosperity Dollar Advantage Fund, Inc. -a $4.1678 -10.97% 4.39% 3.94% -13.21% Sun Life Prosperity Dollar Wellspring Fund, Inc. -a,2 $1.0521 -11.71% 0.1% 0.75% -12.22% Bond Funds Primarily invested in Peso securities (shares) ALFM Peso Bond Fund, Inc. -a 372.29 0.18% 2.13% 2.24% -0.54% ATRAM Corporate Bond Fund, Inc. -a 1.8881 -1.56% -0.02% 0.07% 0.18% Cocolife Fixed Income Fund, Inc. -a 3.2251 -0.04% 1.97% 3.32% -0.58% Ekklesia Mutual Fund Inc. -a 2.177 -3.57% -0.03% 0.69% -3.31% First Metro Save and Learn Fixed Income Fund,Inc. -a 2.3934 -1.78% 1.29% 1.58% -1.34% Philam Bond Fund, Inc. -a 4.1988 -6.51% 0.57% 0.55% -4.48% Philam Managed Income Fund, Inc. -a 1.3099 -1.16% 2.71% 2.66% -0.7% Philequity Peso Bond Fund, Inc. -a 3.872 -2.51% 1.96% 2.13% -2.37% Soldivo Bond Fund, Inc. -a 1.0064 -2.22% 2.45% 1.59% -2.12% Sun Life of Canada Prosperity Bond Fund, Inc. -a 3.1367 -2.14% 2.22% 2.68% -1.59% Sun Life Prosperity GS Fund, Inc. -a 1.6965 -2.84% 1.29% 1.98% -1.97% Primarily invested in foreign currency securities (shares) ALFM Dollar Bond Fund, Inc. -a $482.56 -0.61% 1.82% 1.86% -1.43% ALFM Euro Bond Fund, Inc. -a Є212.72 -3.3% -0.56% 0.1% -3.31% ATRAM Total Return Dollar Bond Fund, Inc. -b $1.0814 -8.63% -2.79% -0.73% -10.18% First Metro Save and Learn Dollar Bond Fund, Inc. -a $0.0245 -5.77% -1.32% -0.32% -5.77% PAMI Global Bond Fund, Inc -b $0.9178 -12.5% -5.3% -3.17% -10.27% Philam Dollar Bond Fund, Inc. -a $2.2523 -9.98% -0.93% 0.23% -10.11% 1.31% Philequity Dollar Income Fund Inc. -a $0.0609424 -3.21% 1.18% -2.17% Sun Life Prosperity Dollar Abundance Fund, Inc. -a $2.8127 -11.34% -2.58% -1.25% -12% Money Market Funds Primarily invested in Peso securities (shares) ALFM Money Market Fund, Inc. -a 131.87 1.28% 2.3% 2.51% 0.52% First Metro Save and Learn Money Market Fund, Inc. -a 1.063 1.03% 1.61% n.a. 0.5% Sun Life Prosperity Peso Starter Fund, Inc. -a,1 1.3246 1.54% 2.2% 2.48% 0.68% Primarily invested in foreign currency securities (shares) Sun Life Prosperity Dollar Starter Fund, Inc. -a $1.0634 0.59% 1.18% n.a. 0.26% Feeder Funds Primarily invested in Peso securities (units) ALFM Global Multi-Asset Income Fund Inc. -a 43.9793 n.a. n.a. n.a. n.a. Sun Life Prosperity World Equity Index Feeder Fund, Inc. -a 1.2636 1.69% n.a. n.a. -8.63% Primarily invested in foreign currency securities (units) -11.81% ALFM Global Multi-Asset Income Fund Inc. -a $0.8554 -14.46% n.a. n.a. a - NAVPS as of the previous banking day.

b - NAVPS as of two banking days ago.

c - Listed in the PSE.

d - in Net Asset Value per Unit

(NAVPU). 1 - Renaming was approved by the SEC last July 8, 2021 (formerly, Sun Life Prosperity Money Market Fund, Inc.). 2 - Adjusted due to stock dividend issuance last November 25, 2021.

"While we endeavor to keep the information accurate, the Philippine Investment Funds Association (PIFA) and its members make no warranties as to the correctness of the newspaper’s publication and assume no liability or responsibility for any error or omissions. You may visit http://www. pifa. com.ph to see the latest NAVPS/NAVPU."

www.businessmirror.com.ph

Banking&Finance

LandBank to lend ₧1B for RBs’ digitalization By Bianca Cuaresma @BcuaresmaBM

HE Land Bank of the Philippines Inc. (LandBank) announced it is rolling out a P1billion lending program to empower countryside financial institutions (CFIs) to digitalize their banking operations to reach and service more underserved and unbanked Filipinos. Through the Digitalization of Countryside Financial Institutions (DIGI-CFI) Lending Program, Landbank will finance digitalization projects, including payment for subscription or licensing fee for commercial software or outsource information technology (IT) systems. Under the program, Landbank can also finance the acquisition of hardware or computer equipment and purchase or development of commercial software, application, or system, including maintenance and support. Landbank President and CEO Cecilia C. Borromeo highlighted the importance of digital transformation for CFIs to remain resilient and relevant amid the evolving banking landscape, during the 69th Annual National Convention and General Membership Meeting of the Rural Bankers Association of the Philippines (RBAP) on 27 May 2022 in Dapitan City, Zamboanga del Norte. “Landbank aims to boost the capacity of rural banks to contribute to the digitalization wave,” Borromeo was quoted in a statement as saying. “The possibilities for growth are endless, with the end goal of promoting

financial inclusion and providing innovative and responsive digital financial services.”

Interest rates

UNDER the DIGI-CFI lending program, rural, thrift and cooperative banks can borrow up to 80 percent of their total project cost with an interest rate of 5 percent per year for term loans, fixed for the first year and subject to re-pricing thereafter and payable up to five years. For short-term loans, the prevailing rate of Landbank at the time of availment applies; but not lower than 5 percent per annum, payable up to one year and available via a 180-day Promissory Note. As of end-April 2022, Landbank’s outstanding loans reached P9.66 billion in support of 88 rural financial institutions nationwide, “underscoring the bank’s steadfast commitment to advance financial inclusion and countryside development.” Interested borrowers of the DIGICFI Lending Program may contact the nearest Landbank lending center or branch nationwide or call Landbank’s customer service hotline. Earlier this year, President Rodrigo Roa Duterte issued Executive Order (EO) 170 to urge the entire government to spur digitalization efforts in the financial system. The EO mandates all departments, agencies, and instrumentalities of the government, including state universities and colleges and government-owned or -controlled corporations, and enjoins local government units to utilize digital channels in the disbursement and collection of payments.

Fuel tax cut, elimination being discussed–Pascual By Andrea San Juan

HE reduction or elimination of excise tax on oil is under discussion, according to incoming Trade Secretary Alfredo E. Pascual. On Saturday, in a televised interview, Pascual noted that the reduction or elimination of excise tax on oil is being considered especially as an immediate, short-term solution but he emphasized that there are also consequences behind this move, citing the decrease in government revenues, among others. “Solusyon ‘yan sa pagpapababa ng presyo in that sense nga, meron control din ang government, kasi isang component ng presyo ay ’yung taxes,” the incoming chief of the Department of Trade and Industry said. [That is the solution to lowering the price; in that sense, the government also has control, because a component of the price is the taxes.] According to Pascual, which taxes could be reduced or maintained are being discussed at the Cabinet level as any move would have many effects. “’Yung revenue ng government bababa. ’ Yung budget funding mababawasan. Paano naman ‘yung tulong sa 4Ps [Pantawid Pamilyang Pilipino program], o ’yung education na sina-subsidize ng gobyerno,” Pascual added. [Government’s revenue will go down and the budget funding will be reduced. We’re also studying the assistance to the 4Ps or government-subsidized education.]

Zero-sum game

THE incoming Trade chief also emphasized that the Philippines is currently experiencing a “zero-sum game,” wherein a decision for one may not be favorable for other sectors like healthcare. With this, Pascual said, there has to be some balance. “Parang zero-sum game eh; parang close system: bawasan mo dito, may magsa-suffer na iba,” Pascual said. [Our problem is it’s a zero-sum game; like a closed system: reduce it here,

others will suffer.] “Maraming factors na kailangan i-consider. Minsan meron mga shortterm solutions na pwedeng gawin habang hinuhulma pa ’yung mediumto long-term solution. Halimbawa, bawasan o tanggalin ang excise tax pwedeng immediate short-term solution ‘yan kung talagang may malaking problema na nangyayari sa kasalukuyan,” he added. [There are many factors that need to be considered. Sometimes there are short-term solutions that can be done while the medium- to long-term solution is being developed. For example, reducing or eliminating the excise tax can be an immediate short-term solution if there is really a big problem happening at the moment.]

Several solutions

FOR his part, Philippine Chamber of Commerce and Industry (PCCI) President George T. Barcelon emphasized that there is no “one-solution-fits-all” in addressing the unabated price hikes brought about by the “imported inflation” or the pressure being exerted by the international market on the price of local basic necessities and prime commodities. Barcelon said that in order to combat the uncertainty in the global economy, the government and private sector have to collaborate to come up with solutions. The PCCI chief echoed Pascual’s take on balancing the reduction or elimination of excise tax with other government services that might suffer. “Ang kelangan itong mga isyung ito, wala talagang one solution fits all. ’Yung collaboration, ’yung nagkocommunicate between government at tsaka private sector [ay kailangan] kasi very fluid ang situation etong uncertainty hindi lang sa negosyante,” Barcelon said. [The need for these issues, there really is no one solution fits all. The collaboration, communication between the government and the private sector are needed because the situation of uncertainty is very fluid, not just for businessmen.]

BusinessMirror

Editor: Dennis D. Estopace • Monday, June 13, 2022

LandBank union sees worker exodus with pay-scale setup

By Samuel P. Medenilla

@sam_medenilla

HE labor union of the Land Bank of the Philippines Inc. (LandBank) warned of the possible employee exodus in the government financial institution (GIF) if the lender pushes through with its “unfair” Compensation and Position Classification System (CPCS) next week. The Land Bank of the Philippines Employees Association (LBPEA) expressed concern over the looming implementation of the CPCS, which the union said may further demoralize workers of the state-run bank. LBPEA President Nanette J. Lati said since 2019 they observed an increase in the number of Landbank workers who resigned after management suspended giving out some of their benefits that year. These benefits include free rice, health maintenance organization (HMO), children’s allowance and longevity pay. Lati said that was also the year when management implemented an interim pay scale based on the Salary Standardization Law (SSL), pending the completion of the CPCS. Lati told the BusinessMirror there was no “mass resignation.” “But due to demoralization, some people from the ranks are really taking the chance to go out and find greener pastures,” she added. This may change after the Landbank management unveiled last month its CPCS table. The table was approved by the Governance Commission for Government Owned or Controlled Corporations but was

rejected by the LBPEA. LBPEA North Luzon Director Annabelle Valdez noted this could worsen the exodus of Landbank workers especially those in the 31to-49 age bracket. “This [age group] is where the exodus of workers are. So where will management get those it will groom to occupy the higher positions, who will be running the bank?” Valdez said in a news conference last Friday. “Instead of boosting our workforce and developing its talented and skillful personnel, we become the instrument for them to leave,” she added.

CPCS table

UNDER Landbank’s CPCS table, rank-and-file employees will be getting a percentage pay increase of 0.67 percent to 55 percent. A total of 1,035 workers will get a 0.67-percent increase, which is equivalent to P560. Middle management officers’ pay increase ranges from 0.53 percent to 98 percent. The lowest increase, which is 0.53 percent, will apply to 461 middle management officers.

Meanwhile, the CPCS raised the pay of the Landbank’s top management from 133 percent to as high as 236 percent. The 17 people who will be entitled to the 133 percent increase, will get an additional P172,894 each. To note, most or 10,864 of its workforce are rank-and-file, while 1,482 are middle management offices. Only 95 people comprise the top management positions.

Equitable increase

THE LBPEA called on Landbank’s management to postpone the effectivity of its CPCS on June 15, 2022, so that the rate of pay increase could be reviewed. Mario Antonio, LBPEA Mindanao director, said the GCG rules allow GOCCs (government-owned and –controlled corporations) and government financial institutions to raise the pay of its workers by as much as 26 percent. He said they hope the Landbank governing board will consider granting the said maximum rate of increase to its workers. “We will not interfere with the 98 percent to 236 percent pay increase [for middle and top management]. For us we just want an equitable increase of 26 percent to all rank and file,” Antonio said.

Why management hesitates

LATI explained that the Landbank management is hesitant in granting the standard pay rate increase because rank-and-file workers were already given a high base under the interim pay scale of 2019. However, the union official noted that the rank-and-file employees deserve the increase since some of their non-wage benefits were removed. They have also had to deal with tough

working conditions during the last two years of the Covid-19 infection. “Many were unable to avail their HMO since it was suspended by the management,” Lati said. LBPEA officials are also demanding for the abolition of the GCG for approving the LandBank “unacceptable, unjustified, and unfair” CPCS, which they noted will widen the “glaring disparity” in the pay of management and rankand-file and cause massive wage distortion. They noted that the GCG failed to do its mandate “to guard excessive abuses with regards to the increases of top management positions and ensure there will be just and equal pay increase from those in the rankand-file.

Labor appeal

LATI said they are now banking on the administration of president-elect Ferdinand R. Marcos Jr. to resolve their issue with the CPCS. This after their attempts to raise the matter to the Office of the Executive Secretary “did not prosper.” “Right now we are finalizing our official letter, which will be sent to the president-elect,” Lati said. They are seeking an audience with incoming Presidential Communications Operations Office head Beatrix Cruz-Angeles to also discuss the matter. As for their appeal to the Landbank to postpone the effectivity of its CBCS, she said the bank’s management has yet to respond to the said request. Valdez said they hope Marcos will address the issue since she noted it will be crucial in the continuous operation of the largest government bank in the country. “The future of the bank depends on it,” Valdez said.

Risky Business: Effectively Assisting People in the Most Fragile Settings in Asia and the Pacific

T the end of December 2019, as I was moving from New Delhi to what I thought would be a leisurely retirement in Manila, I was complacent. The events that have buffeted the world since then, if I even thought of them, would have seemed to be total fantasy. I certainly did not foresee a deadly global pandemic that would lead to almost 15 million excess deaths in just two short years and the return of trench warfare in Europe. These disruptions have had tragic consequences, not only for those directly affected, but also for those impacted by the knock-on economic effects, such as through the loss of economic opportunities and high prices. No one is spared, but the negative effects are more pronounced for those already living in vulnerable areas, either because of recent conflicts or because of the small size of their economies. In Asia and the Pacific, this includes the significant populations of countries experiencing conflict like Afghanistan and Myanmar, as well as those in small-island economies like Fiji and Palau. Alas, some countries are vulnerable because they both conflicted and isolated, such as Solomon Islands and Papua New Guinea. Such crises are likely to persist and lead to greater risk. The climate reports from the Intergovernmental Panel on Climate Change show that greenhouse gas emissions continue to rise and present plans are insufficient to limit global warming to 1.5 degrees centigrade, the threshold scientists believe is the minimum to mitigate catastrophic impacts. In the wake of the political and military conflagration in Ukraine, a

Jimenez

recent article warns that the global economy will in the future be severely affected by “little fires everywhere” that could threaten entire societies. The international community has consequently been ramping up its support to address the urgent humanitarian and development needs in fragile and conflict-affected zones. In fact, it has been doing that assistance for some time, with total bilateral official development assistance to fragile contexts amounting to $76 billion in 2018, or 2.3-times the level of foreign direct investment and two-thirds the value of remittances, according to the Organization of Economic Co-operation and Development. In extremely fragile contexts, ODA amounted to 11.5 times the level of foreign direct investment and 2.5 times the amount of remittances. If used properly, every $1 of aid spent on prevention on average leads to up to $16 in savings in terms of the cost of conflicts, according to World Bank estimates. However, when it comes to ensuring aid effectiveness in fragile and conflict-affected states, more is not necessarily better. Aid can go to waste unless it is directed at the

right priorities and is spent well, as shown in a new report by the Asian Development Bank’s Independent Evaluation Department (IED). Examining the experience of ADB in providing more than $17 billion of support through over 1,600 projects in about 20 fragile- and conflict-affected states during 2013 to 2021, the report stresses that such assistance must address capacity and coordination issues. Capacity in government is more limited in fragile and conflict-affected zones than in other areas, making it more difficult to spend money properly. The support must thus be accompanied by technical assistance that addresses skill and governance constraints. The IED report also suggests an increased focus on due diligence for governance-related projects so that reforms are properly sequenced, and preconditions to the achievement of such reforms are adequately considered. For example, ADB’s introduction of a reformed project design and monitoring framework (DMF), which identifies the assumptions behind the presumed logical links between what was being financed and the outcomes being promised, is going to be helpful. These assumptions are then monitored closely. Coordination is key if there are many well-meaning entities trying to help. The IED report found that implementation may be hampered by bureaucracy and differences in procedures of governments and development partners. A harmonized approach to fiduciary controls, security rules, monitoring, procurement policy, and anticorruption provisions among development partners (such as bilateral and multilateral devel-

opment agencies and humanitarian organizations) can help ensure the smooth implementation of development and humanitarian work in these contexts. The scope for donor coordination in fragile and conflictaffected areas can also include practical initiatives like joint donor offices, delegated implementation arrangements, and joint fragility and resilience assessments. Where possible, national civil society groups and other domestic actors can be included in diagnostic work to bring forth a shared understanding of constraints and opportunities. The ADB, for example, piloted fragility and resilience assessments for Afghanistan, Papua New Guinea, Timor-Leste, Myanmar, Kiribati and Fiji that involved consultations with community and civil society groups. States affected by conflict and fragility are going to be at greater risk of being left behind. Delivering aid as efficiently and effectively as possible in these contexts is key, not only to providing much needed short-term humanitarian assistance, but also to address the longer-term development challenges faced by fragile and conflict-affected states. This is indeed a tall order that no one organization can achieve. Rather, it requires concerted efforts among all actors in the international community—efforts that are aligned with the capacity and actions of the recipient governments, especially when the future is less predictable. (By the way, I also didn’t foresee that I would fail to retire again as I joined ADB six months ago).

Emmanuel Jimenez is the Director-General of the Asian Development Bank’s (ADB) Independent Evaluation Department.

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Nations are pledging to create ocean preserves–how do those promises add up? By Kirsten Grorud-Colvert Oregon State University

The Conversation

illions of people around the world rely on the ocean for food, income and cultural identity. But climate change, overfishing and habitat destruction are unraveling ocean ecosystems.

Tallying pledges

M a n y gover ning bodies around the world have responded to the ocean crisis by pledging to protect swaths of ocean within their territories. To see how these commitments added up, my colleagues and I recently evaluated ocean conservation commitments announced from 2014 through 2019 at the yearly Our Ocean Conferences—high-level international meetings initiated by the US State Department. (More recent meetings were canceled during the Covid-19 pandemic.) A number of countries have made ambitious commitments. At the Our Ocean Conferences from 2014 through 2019, 62 countries pledged to protect areas of their ocean. Fourteen nations, including the Seychelles and Chile, committed to protect more than 38,000 square miles (100,000 square kilometers) within their waters. Unfortunately, even if all of these commitments are fully implemented, they will protect only 4 percent of the world’s ocean. Adding in all other protected areas and outstanding commitments made in other forums raises that figure to 8.9 percent. The number is likely to rise as additional countries join in. For example, on May 30, 2022, the South Pacific island nation of Niue pledged to protect 100 percent of its national waters. They cover 122,000 square miles (317,500 square kilometers)—an area roughly the size of Vietnam. Most recently, the Biden administration proposed on June 8, 2022, to designate

SKYPIXEL | DREAMSTIME.COM

As a marine ecologist, I study ways to improve ocean conservation and management by protecting key areas of the ocean. Many nations have created or promised to create marine protected areas – zones that may restrict activities like fishing, shipping and aquaculture. But decades of research have shown that not all marine protected areas are created equal, and that the most effective preserves restrict damaging activities. Hudson Canyon, which lies southeast of New York City in the Atlantic and is one of the largest underwater canyons in the world, as a national marine sanctuary. The canyon provides habitat for sperm whales, sea turtles, deep-sea corals and other sensitive species. Adding urgency to this effort, negotiations at the United Nations continue around a proposed target to protect at least 30 percent of Earth’s land and sea areas by 2030. More than 90 countries, including the US, have endorsed this goal. Clearly this is strong progress, but much work remains. Nations have failed to carry out past international conservation pledges. And meaningful marine protection involves more than stating high-level commitments.

Promises, promises

Today some marine protected areas offer significant protection for fish and other sea life, but others exist mainly on paper. For example, the Souther n Ocean around Antarctica is one of the least-altered marine zones on Earth, but fishing is expanding there, and only 5 percent of it is currently protected. Deliberations over two proposed protected areas there, in the East Antarctic and the Weddell Sea, have continued for years. In many protected areas, damaging activities are permitted. For example, the Habitat Protection Zones of Australia’s

Great Barrier Reef Marine Park allow multiple types of fishing. I served on an international team that published a broad framework for planning and assessing marine protected areas in 2021. Our key message was that effectively conserving ocean habitats and marine life will require working together with local communities and governments to create more marine protected areas and set tighter curbs on destructive activities. We designed this guide to provide an accurate, science-based picture of how much actual conservation these protected areas will deliver. It complements the International Union for Conservation of Nature’s well-established categories for protected areas—guidelines that the United Nations and many national governments use for defining protected areas. The IUCN categories describe types of management at various sites. For example, a Category II national park sets aside large swaths of land or sea. But the categories don’t specify what kinds of activities are allowed there or describe their impact. Our guide adds four new elements that are particularly relevant for tracking and decision-making. First, it identifies whether a protected area is simply a concept, an operational area with effective governance and regulations, or something in between. This is important, because it can take years to move from drafting a proposal to actually

conserving a swath of ocean. Second, the guide outlines four levels of protection: 1) fully protected, with no destructive activities allowed; 2) highly protected, with only minimal human impacts; 3) lightly protected, with moderate impacts; 4) minimally protected, with destructive activities allowed. This last category can still qualify as a protected area if conserving biodiversity is its primary goal and no industrial activities, like mining and drilling, are permitted. Third, successful marine protected areas must be planned, designed and managed equitably. An open process is crucial to earn public support. This includes comanaging and incorporating traditional knowledge from Indigenous peoples and the experience of local fishers and other people who use the area. Finally, once a marine protected area is established, it needs to receive adequate political support and financing, particularly for projects that rely on international investment.

Raising the bar

Applying these criteria will help policymakers develop more effective marine protections and assess what existing protected areas are accomplishing. For instance, measured by these standards, we found that only 3 percent of all existing and pledged marine protected areas from

Our Ocean Conferences would be considered fully or highly protected. Experts in Canada, Indonesia, the US, and other countries are already using this guide to evaluate existing marine protected areas so that communities and governments can make informed decisions and adjust policies accordingly. While ocean protection has far to go, I see reason for optimism. At the most recent Our Ocean Conference, in the Pacific island nation of Palau in April 2022, nations made more than 400 new commitments to take steps including creating new protected areas and reducing marine pollution and illegal and unregulated fishing. These pledges involved some $16.35 billion in funding, on top of $91.4 billion already committed at previous conferences. I believe that if nations use these resources to create the kind of high-quality protected areas described in our guide, there is great hope for conserving ocean life. Vanessa Constant, associate program officer with the Ocean Studies Board of the National Academies of Sciences, Engineering, and Medicine, contributed to this article. This article is republished from The Conversation under a Creative Commons license. Read the original article here: https://theconversation.com/nations-are-pledgingto-create-ocean-preserves-how-do-thosepromises-add-up-180756.

What is ‘committed warming’? A climate scientist explains why global warming can continue long after emissions end By Julien Emile-Geay

USC Dornsife College of Letters, Arts and Sciences

The Conversation

y now, few people question the reality that humans are altering Earth’s climate. The real question is: How quickly can we halt, even reverse, the damage? Part of the answer to this question lies in the concept of “committed warming,” also known as “pipeline warming.” It refers to future increases in global temperatures that will be caused by greenhouse gases that have already been emitted. In other words, if the clean energy transition happened overnight, how much warming would still ensue?

Earth’s energy budget is out of balance

Humans cause global warming when their activities emit greenhouse gases, which trap heat in the lower atmosphere, preventing it from escaping out to space. Before people began burning fossil fuels to power factories and vehicles and raising methane-emitting cattle in nearly every arable region, Earth’s energy budget was roughly in balance. About the same amount of energy was coming in from the Sun as was leaving.

Today, rising carbon dioxide concentrations in the atmosphere are more than 50 percent higher than they were at the dawn of the industrial age, and they’re trapping more of that energy. Those carbon dioxide emissions, together with other greenhouse gases such as methane, and offset by some aspects of aerosol air pollution, are trapping energy equivalent to the detonation of five Hiroshima-style atomic bombs per second. With more energy coming in than leaving, Earth’s thermal energy increases, raising the temperature of land, oceans and air and melting ice.

Warming in the pipeline

The effects of tampering with Earth’s energy balance take time to show up. Think of what happens when you turn the hot water faucet all the way up on a cold winter day: The pipes are full of cold water, so it takes time for the warm water to get to you—hence the term “pipeline warming.” The warming hasn’t been felt yet, but it is in the pipeline. There are three major reasons Earth’s climate is expected to continue warming after emissions stop. First, the leading contributors to global warming—carbon dioxide and methane—lin-

ger in the atmosphere for a long time: about 10 years on average for methane, and a whopping 400 years for carbon dioxide, with some molecules sticking around for up to millennia. So, turning off emissions doesn’t translate into instant reductions in the amount of these heattrapping gases in the atmosphere. Second, part of this warming has been offset by man-made emissions of another form of pollution: sulfate aerosols, tiny particles emitted by fossil fuel burning, that reflect sunlight out to space. Over the past century, this global dimming has been masking the warming effect of greenhouse emissions. But these and other man-made aerosols also harm human health and the biosphere. Removing those and shortlived greenhouse gases translates to a few tenths of a degree of additional warming over about a decade, before reaching a new equilibrium. Finally, Earth’s climate takes time to adjust to any change in energy balance. About two-thirds of Earth’s surface is made of water, sometimes very deep water, which is slow to take up the excess carbon and heat. So far, over 91 percent of the heat added by human activities, and about a quarter of the excess carbon, have gone into the oceans. While land-dwellers may be grateful for this buffer, the extra heat contributes to sea level rise through thermal expansion and also marine heat waves, while the

extra carbon makes the ocean more corrosive to many shelled organisms, which can disrupt the ocean food chain. Earth’s surface temperature, driven by the imbalance of radiant energy at the top of the atmosphere, and modulated by the enormous thermal inertia of its oceans, is still playing catch up with its biggest control knob: carbon dioxide concentration.

How much warming?

So, how much committed warming are we in for? There isn’t a clear answer. The world has already warmed more than 1.1 degrees Celsius (2°F) compared to pre-industrial levels. Nations worldwide agreed in 2015 to try to prevent the global average from rising more than 1.5°C (2.7°F) to limit the damage, but the world has been slow to react. Determining the amount of warming ahead is complicated. Several recent studies use climate models to estimate future warming. A study of 18 Earth system models found that when emissions were cut off, some continued warming for decades to hundreds of years, while others began cooling quickly. Another study, published in June 2022, found a 42-percent chance that the world is already committed to 1.5 degrees. The amount of warming matters because

the dangerous consequences of global warming don’t simply rise in proportion to global temperature; they typically increase exponentially, particularly for food production at risk from heat, drought and storms. Further, Earth has tipping points that could trigger irreversible changes to fragile parts of the Earth system, like glaciers or ecosystems. We won’t necessarily know right away when the planet has passed a tipping point, because those changes are often slow to show up. This and other climate-sensitive systems are the basis for the precautionary principle of limiting warming under 2°C (3.6°F), and preferably, 1.5°C. The heart of the climate problem, embedded in this idea of committed warming, is that there are long delays between changes in human behavior and changes in the climate. While the precise amount of committed warming is still a matter of some contention, evidence shows the safest route forward is to urgently transition to a carbon-free, more equitable economy that generates far less greenhouse gas emissions. This article is republished from The Conversation under a Creative Commons license. Read the original article here: https://theconversation. com/what-is-committed-warming-a-climatescientist-explains-why-global-warming-cancontinue-long-after-emissions-end-184374.

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Editor: Gerard S. Ramos

• Monday, June 13, 2022

GLOBAL FASHION BRAND OPENS FIRST STORE IN MANILA

❶ SALVACION LIM HIGGINS

MAKING its foray in Manila fashion scene is global Italian brand Max Mara, which opens its first store inside Greenbelt in Makati. The first-ever Max Mara store in these shores features around 100 sq m of show space, with one window on the inside of the mall and a glass facade with lightbox on the external side. It overlooks the main road of Makati Avenue at the entrance of Greenbelt mall. Existing architectural elements of the building, such as vaulted ceilings and a skylight, naturally embellish the rooms and interact with the Max Mara’s Italian heritage and contemporary spirit. A well-balanced mix of strain gré, brass, metal, oak wood, and colorful marbles, creates a welcoming atmosphere across the main living area, which is beautifully centered by a column in raw stone. Finally, sophisticated furnishings from leading Italian design brands make the new store evoke Max Mara’s fundamental brand values of Italian craftsmanship and timeless construction. The Max Mara store shows the latest collections including Max Mara mainline, ‘S Max Mara and offers a selection of accessories.

❷ MISS Universe 1952 Armi Kuusela wearing a Slim’s terno. PHOTOS FROM

SLIM’S FASHION & ARTS SCHOOL FACEBOOK

❶

❷

Salvacion Lim Higgins: National Artist for Fashion Design

Fashion & Arts School, founded in 1960 by Slim and her elder sister, Purificacion Lim Zurhorst. It provided in-depth, technical courses in fashion design and dressmaking/patternmaking to equip students with the fundamental skills to start careers in fashion or establish their own shops. Jackie C. Aquino, fashion-show director and cofounder of the Philippine Fashion Coalition, was one of many fashion professionals who endorsed Slim to be a National Artist. And when the pioneering Filipina was finally given the accolade, Aquino said, “It means a lot to the industry we love dearly as this recognition validates our belief that fashion is the best visual representation of any culture and civilization.” As an avant-garde couture designer, Slim was heavily influenced by Cristóbal Balenciaga and Christian Dior. By being a trailblazing Girl Boss, she in turn opened doors for women designers. It’s her school, however, that is her greatest legacy. It produced stellar talents who went on to carve remarkable careers in fashion. Among the distinguished alumni are Zenaida Tecson, Eddie Ocampo and Oskar Peralta (1961), Joe Salazar (1960s), Cesar Gaupo (1965), Dom Martin “Gang” Gomez, OSB (1968), Loretto Popioco (1974), Ezra Santos (1980), Oliver Tolentino (1988), Michael Cinco (1991), Alex Pigao (1991), Joey Samson (1992), James Reyes (2004), and Aries Lagat (2005).

Here are a few thoughts from a tremendously proud alumni. n CHITO VIJANDRE (1977): It’s definitely well deserved. Salvacion Lim Higgins was a trailblazer in the world of fashion, a very innovative couturier who pushed the limits but always done in good taste and with the finest craftsmanship—values and skills that she imparted to us alumni and has inspired us to this day. n ALBERT ANDRADA (1990S): Salvacion Lim Higgins deserves to be a National Artist. She educated a lot of designers on what “couture” really is. One of the most important values I learned from Slim’s is the discipline, dedication and commitment of being a designer. I learned to be very meticulous in every detail of constructing a dress up to its smallest one. This, up to this day, helps me create perfect pieces which I am so proud of. n PABLO MENDEZ III (1993): She deserves it 101 percent. She has contributed immensely to the fashion industry of this country and not only that, she also educated, mentored and molded thousands of aspiring and successful fashion designers including myself. I feel an enormous sense of pride to have been her mentee. She is a big part of whatever I have achieved and will be achieving. The values and lessons I learned are diligence, patience, to strive to be innovative and creative, to never stop learning, and to always find something that will make you inspired and productive. n JAZ CEREZO (2006): I think it’s great that the late Salvacion Lim Higgins is now honored and recognized as a National Artist. Her talent, contribution, and legacy in the Philippine fashion industry is unparalleled. At Slim’s, I learned how to create my designs from scratch, from fashion illustration to constructing garments. During my time as a student, they had a different teaching method that allowed students to learn at their own pace. They taught us that it’s not how fast you finish a project but what’s important is the quality of its construction. n

love. I use their lip oils and I enjoy them so much. n BENEFIT DANDELION BABY-PINK BRIGHTENING BLUSH. This is one of Benefit Cosmetic’s most popular powder blushes. The color of Dandelion is very subtle and doesn’t really work as a blush for those who have morena skin but it can be used as a topper for liquid blush n MAC ETERNAL SUN PRO LONGWEAR BLUSH. This is a warm-toned, medium-dark copper with a luminous finish. I’m not even sure if MAC still makes this formula but I love this so much and I purchased this with my own money. It claims to wear for eight hours and I’ve proven that is true. It’s not mask proof (nothing is, in all honesty) but it wears well even under a mask. I always say MAC doesn’t get enough credit for churning out awesome makeup products and it is so true in this case. n RMS BEAUTY PRESSED BLUSH. I don’t know what color I have of this blush but I love the finish and the coral color so much. This is a quarantine find that I also purchased with my own money and it’s so amazing. n BYS PHILIPPINES SERUM BLUSH. Again, I don’t

know the name of the shade I have but it’s the one with Belle. I love this so much that I’m thinking of getting the Ariel shade. This is part of the brand’s Disney Princess Collection campaign, which starred beauty queens Rabiya Mateo, Bea Gomez and Celeste Cortesi in lovely images shot by photographer BJ Pascual. “I took a page from the Romantic Era when there was an artistic, literary, musical and intellectual movement in Europe, and wove this in around the three heroines and how we define women’s roles in society now—taking the lead in adjusting to new realities and challenges. The old damsel-in-distress narrative is out and we hope to show that in the images,” said Pascual. I picked up the coral blush because I think that’s what makeup artist Anthea Bueno used on Celeste in the campaign photos and the beauty queen looked ethereal as a modern-day princess. Anyway, I loved the blush but I’ve only used it twice and that’s not really enough time to say it’s great. I do love it enough that I want to buy another one. The texture is watery and easy to blend. There’s no siliconey feel, and the color is buildable.

‘Whereas, Salvacion Lim-Higgins masterly innovated and transformed the national costume into a world-class silhouette, inspiring generations of Filipino designers.”

HACKETT

STYLE IS HEREDITARY

IT is a widely held belief. It is only natural that children are heavily influenced by their parents even when it comes to their fashion preferences. However, it’s not just a mere sense of fashion that is hereditary; values, among other things, can be passed down by a dad to his child from generation to generation. Likewise, Rustan’s (www.rustans.com) values serving only the finest, and continues to provide the best experiences for all ages. In honor of dads everywhere on Father’s Day, June 19, Rustan’s puts the spotlight on the international lifestyle brands that it carries, and some of the best finds from these brands for this important red-letter day. Gift your dad a closet upgrade with timeless wear from Hackett and Pedro del Hierro, or matching wardrobe pieces like polos from Jack Nicklaus at 50-percent off or hoodies from Champion at 10-percent off. If he’s more of a shoe guy, then check out Allen Edmonds, which is also giving away a shoe horn or leather lotion for every purchase of any regularpriced Allen Edmonds pair. Likewise, Sledgers is giving away a free premium umbrella for every minimum single-receipt purchase worth 4,000. You can even go for a matching backpack or luggage—perfect for your next family outing—and score up to 30-percent off on selected items from Herschel and up to 20-percent off on select items at American Tourister and Samsonite. The promos and discounts are ongoing until June 30. For wellness and grooming, get a free Euroo backpack for every purchase of Euroo cushion massager. Check out items up to 15-percent off at Denman and Acca Kappa, a P450 markdown on Neal Yard’s Pillow mist and lavander essential oil duo, and special freebies for purchases at Diptyque, Phyto, and Sisley. Perricone MD also offers buy three, take one on Cold Plasma Plus+ Concentrated Sheet Masks; while shoppers can avail of a buy two, take one treatment on all Murad spa treatments.

IxTEEN years after Ramón Valera was declared a National Artist, another fashion designer has been posthumously presented “the highest national recognition conferred upon Filipinos who have made distinct contributions to the development of the Philippine arts and culture.” In an announcement that surprised the arts and culture circle in a pleasant way, Malacañang Palace, upon joint recommendation of the National Commission for Culture and the Arts (NCCA) and the Cultural Center of the Philippines (CCP), officially released the names of eight new National Artists on June 10, 2022. Salvacion Lim Higgins was born on January 28, 1920, in Legazpi, Albay. She died on September 15, 1990, a few days after designing her last collection. Famously known as Slim, she was a feisty and fiery woman who “blurred the divide between the conventional and the contemporary, casting off literal interpretations of Filipino and Western fashion” is one way to describe her immense impact that reverberates to this day. As per www.slimslegacy.com, Higgins’ body of work helped define modern Philippine couture with three characteristic elements: “The first was inventive, often audacious, construction. Her trademark draping accented the female form, yet she also often altered it, through whimsical or geometric shapes. Her second signature was a startling palette that was completely out of the ordinary, whether utilized as a single, dramatic shade or in previously unimaginable combinations. Finally, there was Slim’s ability to think in three dimensions, whether she was devising the silhouette or lines of a gown, or engaged in the smallest detail of ornamentation.” The “Slim’s Method” was taught at the Slim’s

Blush favorites during a pandemic

BLUSH really makes a difference when you’re wearing makeup. A subtle or bold color on the cheeks gives color to your face or adds dimension. One of my favorite beauty things is blush. Before this pandemic happened and we weren’t wearing masks, I had a massive collection of blushes. Some were press samples, many were gifts from friends, and a few were my own purchases. Pre-pandemic, my favorites included the MAC Mineralize Blush in Hey, Coral; Shiseido Minimalist Whipped Powder Cream Blush in Setsuko; and the

Tarte Amazonian Clay Blush in Tipsy and Natural Beauty. But that was more than two and a half years ago. I’ve thrown away a lot of my blushes since they’ve already expired. And after over two years, so much has changed in the beauty world and people are wearing different types of blushes. Thanks to TikTok, liquid blush is very on trend. TikTok beauty content creators usually use a liquid blush then finish the look with a powder blush. Two of the blush favorites on social media are Rare Beauty and Patrick Ta. Because I haven’t had the chance to travel yet, these are two brands I have not tried yet. But these are the blushes I have tried: n TOWER 28 BEACHPLEASE LUMINOUS TINTED BALM. This is multi-purpose tinted balm that claims to blend seamlessly for a natural luminous finish. The color I have is After Hours, which the brand describes as a “sun-kissed berry.” I love this because it looks so natural although it needs to be built-up to get your desired look. Tower 28 is a clean beauty brand that I

B6 Monday, June 13, 2022

Prince Hotel reopens, invites guests to affordable luxury

BPI AIA raffles off 2 brand-new cars to lucky active policyholders

BPI AIA turns over two brand-new Honda HR-V cars to the raffle winners of its recently concluded campaign. In photo are winners Eleazar Jugarap (middle) and Arnaldo Andrade (5th from right) with BPI AIA CEO Surendra Menon (6th from right), flocked by BPI and BPI AIA representatives.

WO lucky policyholders of topranking insurance firm BPI AIA (formerly BPI-Philam) each get rewarded with a brand-new car for simply sustaining their policies. Eleazar Jugarap won a new Honda HR-V for consistently paying his policy premiums on time, while Arnaldo Andrade was the raffle winner under the reinstated auto-surrender/ lapsed policies category. Andrade, 47, got a Critical Care Plus unit-linked health and life insurance plan to protect himself and his family in case of the unexpected. Family is also the priority for Jugarap, 38, who maintains the savings and life insurance policy Build Life Plus. They have long chosen BPI AIA as their life protection partner and appreciate the quality of service of their respective BPI branches.

“I feel that as a BPI AIA customer, I am at peace that I will have something to spend on myself when I get sick or leave my family,” Jugarap said. For both, winning the car was an unexpected but welcome surprise. The raffle draw was held in the presence of BPI AIA executives. “I was so surprised. I couldn’t believe it at first, and I even thought it was a scam. It’s real,” Andrade said. A strategic alliance between two leading companies in the country – AIA Philippines and Bank of the Philippine Islands (BPI), BPI AIA held the special campaign from January to December 2021 to provide loyal customers more incentives for managing their insurance plans well. Apart from the cars given away as the

grand prize, more lucky customers were rewarded as much as Php 5,000 worth of eGift credits each for being good clients who adopt better habits such as doing timely payment. “Our customers have already taken the first step when it comes to securing their future, but we believe the market needs a little more push in terms of reforming mindsets and habits about insurance. Through this special campaign, we have incentivized better payment behaviors and extended more leeway to help those with lapsed policies get back on track and continue to be protected through the coverage and benefits of their purchased plan. We wanted to do this to make our customers feel that a relationship with BPI AIA is a rich and rewarding experience and that a journey towards healthier, longer, better lives is worth taking,” said BPI AIA CEO Surendra Menon. In the Philippines, insurance penetration increased to 2.03% in Premium Volume as a share of gross domestic product (GDP) during the third quarter of 2021, from 1.69% in the same period in 2020. BPI AIA has consistently been recognized by the Insurance Commission as one of the country’s leading insurers, with net income of Php 2 billion by the end of 2021. This is a simple testament of how BPI AIA policyholders are assured that their insurance firm of choice is backed by financial strength and stability.

DOLE LEGISLATIVE AGENDA FOR 19th CONGRESS. In preparation for the opening of the 19th Congress, the Department of Labor and Employment’s Legislative Liaison Office and the Technical Committee on Legislative Matters headed by Undersecretary Philip A. Paredes workshopped the legislative proposals from DOLE’s bureaus and attached agencies, with guidance from the representatives from the Committee on Labor and Employment of the Senate and House of Representatives. Some 50 proposals coming from the Professional Regulation Commission (Board Regulatory Laws, CPD, PRC Charter), Bureau of Labor Relations, Bureau of Workers with Special Concerns, Bureau of Working Conditions, National Wages and Productivity Commission, National Labor Relations Commission, Employees Compensation Commission, Bureau of Local Employment, Institute for Labor Studies, OWWA, POEA, and the National Maritime Polytechnic were tackled in the workshop.

GRAND BALLROOM: Manila Prince Hotel’s Grand Ballroom offers a stunning venue for big events. guests an option of an affordable but grand venue for conferences, meetings, and even gatherings like wedding receptions, anniversaries, and more. Manila Prince Hotel is a multi-use establishment that welcomes both staycation/ leisure guests, and even guests who need mandatory stay bookings for a few days. Reservation for staycations as well as function rooms for meetings/conventions, launches and other occasions are now accepted. For enquiries and reservations, call 0998-5911912; visit https://www.manilaprince.com; or email info@themanilaprince.com.

PRSP holds hybrid nat‘l PR congress this September

HE Public Relations Society of the Philippines (PRSP) formally announces the hosting of the 29thNational PR Congress alongside the 28th Student PR Congress in a milestone joint event happening this September that marks a variety of firsts for the country’s premier organization for public relations professionals. The two events will take place on September 1 and 2, 2022, with the joint Congress hosting key participants attending in person at The Manila Peninsula. Those from the regions will attend virtually. “ The roster of speakers this year will be composed of the biggest business leaders and visionaries from both local and international organizations and companies who will impart valuable insights to help us blaze a trail during these challenging times,” says Harold C. Geronimo, APR, President, PRSP. With the theme, “The Tipping Point:

Reboot”, the joint Congress aims to propagate truth, innovation, and progress as key anchors for communicators, helping rebuild responsibly and sustainably as the economy reopens. “The joint Congress aims to nudge stakeholders that it is time to act, to do better for one’s self, community and country at a time of great change,” adds Cathy Yang, Chair of the 29th PR Congress. “As responsible communicators, we must help the Filipino youth defend the truth today, if we expect them to defend our democracy tomorrow. Highly engaged as they are in online spaces, we must utilize innovation to ensure a safe space for them, harnessing opportunities for them to make decisions for their own welfare,” says Franz de la Fuente, Chair of the Students’ PR Congress. For more information, visit the event website or Facebook page at www.facebook. com/PRSPofficial.

City of Malabon University opens search for new president

Bike Happy in the city with Hotel 101 Group and Horizon Café OTEL 101 Group and Horizon Café celebrated World Bicycle Day last May 29, 2022 with #BikeHappy, an event inviting more then 45 bike influencers and enthusiasts, who also included staff from Hotel 101–Manila, Jinjiang Inn– Ortigas and Jinjiang Inn–Makati and a handful of valued clients, as part of the hotel group’s sustainability and wellness projects. Hotel 101 Group General Manager Gel Gomez welcomed the group at Jinjiang Inn – Ortigas. “We are happy that you took time to join us for our Hotel 101 Group Community Ride this morning, as we continue to promote sustainable means of transport and

HE Manila Prince Hotel by The Mania Hotel finally rolled out it red carpet to welcome guests June 1. For an affordable reopening rate of only P1,999, the hotel establishes itself as a perfect staycation place in the heart of the city. The overnight stay in a Deluxe room be enjoyed by two adults and with their two kids 12 years old and below, along with set breakfast for two. The hotel boasts of a pool where you can take your kids to enjoy an afternoon of fun, while the rest of the day can be spent having a hearty meal at the hotel’s Marcelino Street Café, which serves a la carte dishes for now. Eventually, Manila Prince Hotel’s amazingly decorated Chinese restaurant, Dragon Court, will reopen at a later date. Guests are also within walking distance to malls and commercial establishments— the closest being UN Square, which has an array of fast-food choices on the ground floor. The hotel is in the center of everything, and convenient enough to be near banks, hospitals, schools, and convenience stores, churches, and many others. With the return of social events and gatherings, Manila Prince Hotel gives

mobility,” she remarked. “Biking, especially with our staff, was born out of necessity during the pandemic, but now, we still want to continue to promote it even after, for leisure or for commuting, or for any purpose you might use a bike,” she explained. It was also an initiative to officially introduce Hotel 101 Group as bike-friendly hotels with their dedicated bike racks, and Horizon Café as a filling stopover for those who would like to have a quick bite and refreshment while biking in Metro Manila. The second stop was Jinjiang Inn – Makati where participants appeared to be just warming up to take on the road going to the Walled City of Manila, also known

HOTEL 101 Group General Manager Gel Gomez and Head of PR Brian Ong together with Lance Dela Rosa (EverydayCyclistPH), Lester Babiera (FirstBikeRide), Thysz Estrada (MeetAndRideMNL) and Juancho Agoncillo (EverydayCyclistPH).

as Intramuros. Department of Tourism NCR Regional Director Sharelene Batin warmly welcomed the bikers at Fort Santiago with an insightful talk about Intramuros and other must-visit attractions in the National Capital Region. A trip to Manila’s most historical place gave Bikers the motivation to drive to the final stop at Hotel 101 – Manila. “Today we’re also launching Horizon Café’s Bike. Break. Boost., a biker-centric campaign of the restaurant that will entice and energize cyclists to make any of our Horizon Café branches their stop when they bike around the Metro,” says Horizon Café’s Sydneylyn Tan. “Besides the free coffee that we are offering with no minimum purchase, the Biker’s Corner will offer a delectable spread that will showcase breakfast meals, fresh sandwiches and breads, among other food items which I am sure everyone will enjoy,” she adds. Host, newscaster, and athlete Gretchen Ho, who is also an advocate of safe and sustainable cycling for the country, graced the event at Hotel 101 – Manila. “I am happy to see more establishments becoming bike-friendly. Thank you to Hotel 101 for putting your stake in the cycling community.” Horizon Café in Hotel 101 – Manila, Jinjiang Inn – Ortigas, and Jinjiang Inn – Makati will offer free unlimited coffee for all bikers from 06:00AM to 12:00NN every Saturdays and Sundays starting June 4.

HE City of Malabon University (CMU) always strives to be an institution where people can learn and grow from one another, guided by innovative teaching and transformative leadership. Over the past 28 years, CMU has produced thousands of competitive graduates who have made positive contributions to the community. The University has also garnered multiple awards and has boosted the student learning experience by expanding its facilities and implementing innovative programs. All of these were made possible because of effective leadership and strong cooperation. CMU has now opened the search for its next president who will continue the transformation of the University as the home of global Malabonians. CMU is now on its search to find someone with a passionate desire to see the institution's vision become a reality, who can convey messages clearly,

and who can guide those around him or her to take the institution to greater heights. The responsibilities of a University President are significant and extensive – guaranteeing the smooth operations of both educational and administrative sides and ensuring that the institution has a positive image. Interested and qualified applicants may send a formal application letter, together with the documentary requirements, addressed to the Board of Regents, City of Malabon University, Pampano corner Maya-Maya Streets, Barangay Longos, City of Malabon. Applicants must submit one set of original and six certified photocopies of the aforementioned documents to Dr. Sheila IbayVillanueva, OIC-University President, Search Committee for University President. For more information on CMU, visit cityofmalabonuniversity.edu.ph.

BingoPlus inks major sponsorship deal with the PBA

INGOPLUS, the newest product brand of AB Leisure Exponent Inc. (ABLE), a subsidiary of Leisure & Resorts World Corporation (LRWC), inked its first major sponsorship deal with the premiere basketball league in the country, making it the official Bingo partner of the Philippine Basketball Association (PBA). During the half time break of the PBA Governors Cup finals between Barangay Ginebra San Miguel and Meralco Bolts, held at the Smart Araneta Coliseum on April 6, 2022, LRWC president, Andy Tsui, ABLE president, Jasper Vicencio, and PBA Commissioner, Willie Marcial made the ceremonial signing. BingoPlus will support the PBA for the entire duration of the 47th season and connect with the PBA community through on-court branding opportunities and a social series. “We see this as a perfect opportunity to reach our target audience. Through collaborations like this, we strive to grow the number of our patrons so that more can have the opportunity to win. This partnership is something we are proud of. Given the solid fan base of PBA in the country, we are convinced that this will be a fruitful and mutually benefitting collaboration,” said Tsui, president of LRWC. BingoPlus offers the first online traditional bingo (OTB) in the country, licensed by the Philippine Amusement and Gaming

BINGOPLUS IS THE OFFICIAL BINGO PARTNER OF THE PBA. Present during the signing ceremony are PBA Commissioner Willie Marcial (third from left) and Andy Tsui (third from right), president of Leisure and Resorts World Corporation (LRWC). Also in photo are Jo Francisco (extreme left), PBAPI head, Peter Antolin (second from left), director, Robert Lee (second from right), CEO and senior partner of Trout and Partners SEA and Jasper Vicencio (extreme right), president of AB Leisure Exponent, Inc. (ABLE). Corporation (PAGCOR). It is a remote gaming platform easily accessible through www. bingoplus.com. Since its launching in January 2022, the platform has already awarded 10 Jackpot winners and 26 Bingo winners, for a total of Php32,162,015 accumulated winnings to date. “BingoPlus and PBA share the same passion in bringing entertainment that adds value to its audience. It is for this reason that we find this as an ideal partnership,” said Vicencio, ABLE president.

Marketing BusinessMirror

www.businessmirror.com.ph

Monday, June 13, 2022 B7

Fake news, misinformation, disinformation— and how we can avoid contributing to It O N the first weekend of June, when we had barely recovered from the spate of toxic disinformation and fake news spawned by the election season, a close friend asked me if the “warning” she got from her Viber group was true. The text follows:

PR Matters

By Joy Lumawig-Buensalido

adoboPicks: Playful Father’s Day ads, Tambuli Award winners, and more campaign favorites from this week

MANILA, PHILIPPINES—The creative industry is brimming with tons of amazing ideas, so it’s no surprise that there’s never a shortage of great campaigns to admire and celebrate. From gripping stories and new perspectives that embody what a brand stands for to new fun ways people can engage with a brand, here are campaigns that caught adobo Magazine’s eye this week:

n The Man Company and Hashtag

Orange’s challenge to men: #GiftYourDadAHug

This Father’s Day, The Man Company challenges men to do something that they often don’t: show affection and express their love to their dads. With the #GiftYourDadAHug campaign by Hashtag Orange, the brand urges men to close the emotional distance that is often found between dads and

MMC is now on skeletal force. 15 doctors are on Covid leave, 17 more are symptomatic and awaiting test results. This does not even include nurses and technicians. So the upswing of stealth omicron variant which my brother in law Dr. (name withheld) has been predicting for June looks to be here on schedule. He says Europe’s is on the wane; the US and we are in the upswing. Probably 6 weeks before it begins to subside… Hence please be advised. Take extra precautions. Even if you get a booster shot now (as I did yesterday), it takes 2 weeks to kick in. Fyi... I knew it was not true so I immediately replied to her, “This must be fake. Please do not forward.” Fortunately, I have a son, Dr. Joseph Adrian L. Buensalido, an infectious diseases specialist at Makati Medical Center, who has vigilantly kept us—family, kin, and friends—abreast of the developments in, and the latest information about, Covid-19. For the past two years, he has patiently provided updates on the country’s health situation, either personally or through the many online seminars and forums he has been speaking at. Thanks to him, we continue to practice the strictest health protocols even now that restrictions seem to have eased up. As soon as I forwarded the text to him, he lost no time in sending Makati Medical Center’s official bulletin dated June 4, 2022. It bore the head: “Here we go again [indeed].” My second reason for not giving credence to the text was the fact that we know—and have worked directly with—Makati

their sons. The campaign video shows Ayushmann Khurrana and Piyush Mishra playing a father and son who both go beyond greetings and ceremonial gifts for this year’s Father’s Day and instead take the step to show each other affection and love. Accompanying the heartwarming video is a short tutorial on how to hug your dad, a fun way of acknowledging that it can be so hard to be vulnerable sometimes that one may need a tutorial but still ultimately something worth doing. n BBH London enlists Harry and

Meghan lookalikes for Ribena’s own not-so-royal festivities

W hen P r i n c e H a r r y a n d Meghan were skipped over for invitations to be part of the traditional balcony appearance during Queen Elizabeth’s Platinum Jubilee celebrations, Ribena and BBH London knew it was the perfect opportunity to tap into for “Chin Up”, a campaign that encourages people to smile through life’s mishaps. So, they set up a stunt that lightheartedly poked fun at the situation: a makeshift royal balcony from which Harry and Meghan lookalikes waved at Londoners who had to do a double-take. As the lookalikes

WWW.FREEPIK.COM

For your information

Medical Center’s Medical Director, Dr. Saturnino Javier, a wise and judicious medical practitioner who has been proactive in issuing bulletins like this, especially during the pandemic when MMC was constantly being referred to, misquoted, and perhaps deliberately used to validate misinformation that very often did not come from them. That brief exchange between my friend and me, and how I took time to check with a credible source, might have prevented misinformation from circulating online or even going viral, but how many of us would actually take time to check it out? Are we even aware that whenever we forward sensitive material that we have not double-checked or verified, we could be spreading potentially harmful information? And that we ourselves are guilty of unleashing fake news?

greeted and celebrated with passers-by—and free Ribena drinks, of course—the stunt became the perfect way to highlight the fun in laughing off an awkward moment and not letting it stop your own festivities. n Jollibee’s Independence

Day collaboration with BetterBrandLabs Inc X Ubuntu

With Independence Day coming up, of course the country’s iconic fast-food chain wouldn’t pass up the chance to celebrate. This year, Jollibee collaborated with BetterBrandLabs Inc X Ubuntu to produce an uplifting music video set to “Awit ng Kabataan” that highlights the face of this country’s future: the youth. The video is a wonderfully colorful and vibrant performance headlined by up-andcoming Gen Z artists—Francine Diaz, Adie, and Alex Bruce. From shots of young people chasing their passions and celebrating their loved ones to those that show them organizing community programs and helping those around them, the music video perfectly captured what the new generation has been doing and will continue to do: stand up for themselves, their loved ones, and their country.

The definitions of misinformation, disinformation, and fake news

ACCORDING to the University of Washington (U W ) Bothel l and Cascadia Campus Library, we must know and understand the difference between “misinformation” and “disinformation.” Understanding the various ways that false information is shared, and the motives and appeal behind it, will teach us to be more discerning when coming upon information from dubious sources. Learn to recognize the following terms: Misinformation is “false information that is spread, regardless of whether there is intent to mislead”—Dictionary.com Disinformation is “deliberately misleading or biased information, manipulated narrative or facts; propaganda.”—Dictionary.com Fake news is “purposely crafted , sensat iona l, emot iona l ly

n McDonald’s and Leo Burnett’s

ode to ‘Happy Moments’ between fathers and kids

Another Father’s Day campaign that adobo Magazine loved this week is “Happy Moments” by McDonald’s and Leo Burnett. The campaign is a series of photos of dads walking the streets with their children, both wearing fun matching costumes with a McDonald’s Happy Meal box in hand. Along with the campaign tagline found on each image, “The Things We Do,” the photos succinctly portray the joy and devotion that fathers give to their children. It successfully paints a simple but telling picture of dads who will do anything to create happy moments for their kids, even if it involves wearing a princess gown as you walk down the streets for a McDonald’s run.

n Special Mention: Justdiggit’s viral campaign that reminded everyone #MarsCanWait

It’s been a year since Justdiggit launched this campaign, but with the release of their case video on just how much impact it created, it’s worth looking back on. W hen Justdiggit realized that their promising solution to combat global warming isn’t

charged, misleading or totally fabricated information that mimics the form of mainstream news”— Source: Fake News: understanding media and misinformation in the digital age

How to stop fake news

SO, what steps should we take to avoid spreading or contributing to this disturbing anomaly called “fake news”? Evaluate, evaluate, evaluate. Learn and practice how to evaluate every text or message you receive. Evaluate and check your source. And if you can trace the source, please do so. The UW Campus Library cites the SIFT method by Mike Caulfield, which provides four quick moves that one can do when evaluating an online source. SIFT simply stands for: Stop, Investigate the Source, Find better Coverage, Trace claims, quotes

being heard, they hacked the hype that was forming around a different planet instead—Mars. By spreading a photo—one that went viral—of one of the Justdiggit sites as if it were the Red Planet, they successfully shifted the focus back to earth and emphasized their message: Mars can wait, but the earth cannot. With the global fame this campaign achieved, it didn’t just offer a new perspective throughout the corners of the internet. It also paved the way for Justdiggit to make even more real change. Since the campaign’s success, the small NGO has been invited to speak at COP 26, been asked to participate in the UN’s ecosystem movement, and was able to dig 200,000 of their “earth smiles”, regenerating over three million trees.

Tambuli Awards winners

Aside from the brilliant campaigns from this past week, this roundup won’t be complete without giving a shout-out to the groundbreaking campaigns that won top awards at the APAC Tambuli Awards. This awards show is dedicated to celebrating brands with purpose, and this year, the jury found that this was best embodied by the three winners of the coveted Grand Prix awards:

and media to the original context. Those who have the time and patience for research may use any of the following fact-checking sites. I only chose three for this article but there are so many choices online depend ing on your topic. Factcheck.org—A project of the Annenberg Public Policy Center of the University of Pennsylvania. It monitors the factual accuracy of political speeches, debates, news stories, and other forms of communication. Fact-Check (Washington Post). The purpose of this web site, and an accompanying column in the Sunday print edition of The Washington Post, is to “truth squad” the statements of political figures regarding issues of great importance, be they national, international or local. Snopes. A n evidence-based source for fact-checking urban legends, folklore, myths, rumors, and misinformation Research has disclosed that intriguingly enough, people are naturally attracted to fallacies. In fact, it has been said that online hoaxes spread ten times faster than accurate stories. Now, this gives us more reason why we in the communications field must constantly try to wean people away from these—and learn to say No to fake news, misinformation and disinformation. PR Matters is a roundtable column by members of the local chapter of the United Kingdom-based International Public Relations Association (Ipra), the world’s premier association for senior communications professionals around the world. Joy Lumawig-Buensalido is the President and CEO of Buensalido PR and Communications. She was past Chairman of the Ipra Philippine chapter for two terms. PR Matters is devoting a special column each month to answer our readers’ questions about public relations. Please send your questions or comments to askipraphil@ gmail.com.

n Lowe Lintas Mumbai +

MullenLowe Singapore’s ‘H is for Handwashing’ for Unilever Lifebuoy

This campaign aimed to instill the habit of handwashing by changing the alphabet for children. Instead of the usual examples such as a house, hat, or horse, the letter should always stand for handwashing and be known across the globe. n Dentsu’s ‘Disease Dilemmas’ for

The Garvan Institute of Medical Research Australia

Featuring a series of 30-seconders, this campaign tells the stories of people with diseases such as Parkinson’s disease, pancreatic cancer, kidney disease, and breast cancer. It aims to resolve the competition among charities vying for donations and make The Garvan Institute of Medical Research stand out in Australia. n M&C Saatchi’s ‘Thrive by Five’

for The Minderoo Foundation

In this campaign, 7-year-old Molly Wright is featured as she describes the importance of early childhood development. Wright is one of the youngest people ever to give a TED talk, capturing the attention of her audience: parents, caregivers, and the general global population.

Sports BusinessMirror

JANIE’S DIVE

The US’s Janie Boyle competes in the women’s open platform finals during the FINA Diving Grand Prix in Calgary, Alberta, on Saturday. AP

PBA Press Corps awards night up

| Monday, June 13, 2022

mirror_sports@yahoo.com.ph Editor: Jun Lomibao

Patrombon seeks big finish in Mati

ESON PATROMBON sets for grand return to the local tennis stage as he leads a stellar cast in the Palawan Pawnshop-Palawan Express Pera Padala (PPS-PEPP) City of Mati Open which unwraps Monday at the City of Mati Tennis Club in Davao Oriental. Sixteen of the country’s leading players are in the 32-member cast with Patrombon back in the hunt after missing the last Open event, the Fr. Suarez Open ruled by Johnny Arcilla, to help spearhead the country’s campaign in the recent Vietnam 31st Southeast Asian Games. Patrombon and partner Casey Alcantara, however, failed to keep the men’s doubles gold they captured in the 2019 Manila SEAG although they yielded it to compatriots Treat Huey and Ruben Gonzales. Still, the multi-titled 29-yearold Iligan City ace remains the top draw in the week-long tournament held in conjunction with Mati’s 15th anniversary celebrations with the hosts, led by Mayor Michelle Rabat, guaranteeing a successful staging of the biggest tennis event in the province’s capital city. The seasoned Arcilla is also in the fold, his confidence bolstered by his straight-set romp over Leander Lazaro in last month’s Fr. Suarez Cup in Malabon City with the likes of Vicente Anasta, Joshua Kinaadman, Fritz Verdad, Noel Damian Jr., Norman Enriquez and Lazaro spicing up the chase for the top P40,000 purse in the event co-organized by City of Mati Tennis Club president Rosendo Linsag. “Gathering these elite players not only promotes the sport but also inspires and motivates the youth to have a direct connection to participation,” said Palawan Pawnshop president/CEO Bobby Castro, whose longest-running nationwide junior circuit continues to develop and train future stars. Also out to spring a surprise or two against the top guns are Nilo Ledama, Jarell Edangga, Jose Maria Pague, Jelic Amazona, john Alejandre, Eric Tangub, Alexis Acabo and Brent Cortes. Patrombon is also teaming up with Anasta in the men’s doubles with Arcilla partnering with Damian, Lazaro linking up with Verdad and Kinaadman joining forces with Amazona in the hunt for the top P30,000 prize. To accommodate the big number of entries in doubles play, a qualifier will also be held today with 10 teams disputing the last four berths in the event proper, according to event organizer Bobby Mangunay.

OSTON—Jayson Tatum knows he has taken his game to a new level in his fifth NBA season, pushing his way into the league’s top echelon of playmakers as the Boston Celtics’ go-to scorer. The three-time All-Star also knows at times he hasn’t been good enough against the Golden State Warriors during the NBA Finals and must find a way to elevate his play if he hopes to help Boston capture the franchise’s 18th championship. He doesn’t mind the spotlight, or the burden that comes with it. “I just got to be better,” Tatum said after Golden State’s 107-97 win in Game 4 Friday night to tie the series. “I know I can be better, so it’s not like I, myself or my team is asking me to do something I’m not capable of. They know the level and I know the level that I can play at.” The Celtics had an opportunity to take a commanding 3-1 National Basketball Association (NBA) Finals lead and drop the Warriors into a hole only one team in 36 tries has ever dug out of—the 2016 Cleveland Cavaliers, who rallied from 3-1 to beat Golden State in seven games. Instead, Boston went collectively cold late in the fourth quarter as the Warriors’ Stephen Curry put the final touches on what may be his signature playoff moment in front of a stunned TD Garden crowd. Tatum tried, but this time couldn’t match Curry’s dominance. He finished with 23 points, 11 rebounds and six assists. But Tatum had his second-worst shooting performance of the series—just 8 of 23 from the field—and didn’t take care of the ball; he had six of Boston’s 16 turnovers that led to 19 Golden State points. He also was a virtual non-factor in the final quarter, scoring just three points on 1 of 5 shooting with a turnover. It hurt most after the Celtics took 94-90 lead only to miss

TATUM: I SHALL RETURN their six shots during a 10-0 Warriors run. Boston never led again. As Tatum has gone, so have the Celtics in

this series. In the Celtics’ two wins he is averaging 27 points and shooting 45 percent from the field. In their two losses those numbers drop to 22 points per game and 34 percent from the field. Boston coach Ime Udoka said part of the issue he sees is that Tatum begins to force things that aren’t there when his shots aren’t going in. “At times he’s looking for fouls. They are a team that loads up in certain games. He’s finding the outlets. Shooting over two, three guys,” Udoka said. “That’s the balance of being aggressive and picking your spots and doing what he’s done in previous games, which is kicked it out and got wide-open looks.” The Warriors did many of the same things schematically that they’ve done against him all series—sending multiple defenders and switching different players onto him in 1-on-1 situations. Tatum believes his problems

THE Celtics’ Jayson Tatum goes up for a shot against the Warriors’ Klay Thompson in Game 4. AP

ENATOR-ELECT Alan Peter Cayetano on Saturday advocated sportsmanship to athletes of the National Collegiate Athletic Association (NCAA) and expounded on huge opportunities that await emerging fan sports in the country such as volleyball and football. “You represent our country, you are God’s creation, so there’s no room for hotheads, no room for fights, because if we do that, we cannot give glory to God,” Cayetano said during the opening of the NCAA Season 97 women’s volleyball tournament at the Paco Arena. Cayetano, a veteran lawmaker who led the Philippine Southeast Asian Games Organizing Committee in 2019, said that Filipino athletes are in for a windfall in the next few years as more sports become popular and profitable among fans in the country, and as investments in infrastructure translate into more activity in the sports tourism sector. “If you look at our (SEA Games) athletes, you look at our coaches,

holds fort at the net during the national women’s team’s match against Japan in the Philippine National Volleyball Federation International Challenge at the Filoil Flying V Centre on Sunday. The world-class Japanese top the exhibition game, 25-14, 25-9, 25-23, 25-19, that’s played ahead of Week 2 of the Volleyball Nations League set to start Tuesday at the Smart Araneta Coliseum. NONIE REYES

WHEN I saw the book The Legends Club by John Feinstein on the shelf of Kinokuniya at Takashimaya along Orchard Road in Singapore, I knew I had to get it. Ever since I read an excerpt of Feinstein’s A Season on

stemmed from him getting stuck in a ball-watching trap. “We all did it at times. We just got to move,” he said. “I think that’s when we’re most effective, when everybody is moving.” In Game 1, Tatum shot a paltry 3 of 17 from the field but was able to create shots for his teammates by penetrating and passing out of double teams. In Friday’s loss he seemed rushed at times and could never seem to settle into a rhythm in the second half because of his turnovers. That was true whether he was attempting jump shots or in the paint, where he had five missed shot attempts and seemed frustrated by non-foul calls. “When I do have space, I’m open, I got to take the shot,” Tatum said. “Obviously, any time I hold it too long, they load up and things like that. I think just quick decisions, don’t turn down any open looks, any daylight that I have, just continue to try to make the right pass.” Point guard Marcus Smart said the strongest message he and his teammates keep conveying to Tatum is they have every confidence he will snap out of it. “We just constantly let him know keep going,” Smart said. “’This isn’t your first time being in a slump. Won’t be the last time. You got to figure it out. We trust you, we believe in you. This is what you’re made for.’ Jayson has to figure it out. We have to do a good job of helping him.” Tatum is embracing the challenge of finding his best basketball. “It’s kind of on me to do that more often than not just to help my team in the best way that I can,” he said. “It’s not too much pressure at all. It’s kind of like my job.” AP

Cayetano highlights sportsmanship, huge opportunities to NCAA athletes

MYLENE’S CHARGE Mylene Paat

The book on the shelf

the Brink in the pages of Sports Illustrated, I was a fan. I loved the rich detail and behind-the-scenes anecdotes that added so much to the story. It was like you were there. I expect no less from The Legends Club that tells the backstory of the intra-state rivalry in the 1980s between North Carolina’s Dean Smith, North Carolina State’s Jim Valvano and Duke’s Mike Krzyzewski. Of course, I discovered similar writers like Jack McCallum, David Halberstam, Frank Deford and others who wrote books like Unfinished Business, The Summer of ’49 and The Old Ball Game, respectively. All those enthralled and inspired me, but A Season on the Brink was the first to fire my imagination, and it figured massively in my eventually becoming a sportswriter. I later picked up other titles from Feinstein… The Punch (that was about Kermit Washington’s near fatal punch on Rudy Tomjanovich), The Majors (that depicts what it is like in the mind of Professional Golfers Association Tour players), Let Me Tell You a Story (about the famed Boston Celtics coach Red Auerbach) and One on One (recollections

our volunteers, they see the vision. Hundreds of billions of dollars go to sports tourism in the whole world,” Cayetano said. “You young people who are in front of us today, we’d like to see the day—just like in Turkey and Brazil— hundreds of thousands of dollars, perhaps millions of dollars are paid to volleyball players,” he added. The world’s 50 highest paid athletes collectively raked in more than $2.9 billion in fiscal year 2021, with average salaries for international athletes running into the hundreds of thousands of dollars. Locally, Cayetano said he’s excited to see how the market will embrace and reward emerging fan sports in the country, pointing out that basketball isn’t the lone lucrative sports in town. “I’m very happy specifically for volleyball, football, softball and other games that are popular in the country, and believe me, in every corner of the country, this will really help your career,” Cayetano said.

of the author’s talking to various sports greats in the past two decades). “That’s a good book,” said the American next to me who was also browsing the sports book section of Kinokuniya. “Damn good author,” I replied. He nodded. “It’s good to see people buying books,” said the American. “You know what they say, ‘a room without books is like a body without a soul.’” The Legends Club wasn’t the only book I picked up. I also got Michelle Zauner’s Crying in H Mart, a heart wrenching memoir and journey imbued with memories and food. I got my youngest son a pair of manga volumes. Bookstores have always been a must-go in any foreign country I visit. That and football and record stores Kinokuniya at Takashimaya has been a must-go for me ever since my first trip to the Lion City in 2007. Even with the old Borders and Harris bookstores, Kinokuniya was my go-to store. I purchase a wide variety of books—sports, music,

HE Philippine Basketball Association (PBA) Press Corps holds it traditional Awards Night—finally face-toface for the first time in three years—on June 21 at the Novotel Manila Araneta Center. Nine individual awards will be handed out to outstanding performers on Season 46 of the league, including the coveted Coach of the Year trophy. Barangay Ginebra’s Tim Cone and TNT Tropang Giga’s Chot Reyes are vying for the highest award given to coaches and named after the late great Virgilio “Baby” Dalupan. The group of men and women regularly covering the PBA beat last held its awards night in 2019 during the 25th anniversary of the annual event before the global pandemic forced the group to cancel the affair in 2020. A special edition was virtually held last year with Cone named as Outstanding Coach for winning the Philippine Cup in the league’s lone conference of the 2020 season held inside a bubble. Also to be given out are the Executive of the Year, Defensive Player of the Year, Mr. Quality Minutes and the William “Bogs” Adornado Comeback Player of the Year trophies. The press corps will also name the All-Rookie Team, Scoring Champion and Order of Merit winner, which is given to a player who earned the most number of Player of the Week honors.

Asics ‘RnR’ draws big field before registration ends

HE Asics Rock ‘n’ Roll (RnR) Running Series expects a huge field as online registration ends Tuesday at www. runrocknroll.com. Manila and at various on-site venues. A merry mix of entries, from regular campaigners to the weekend and recreational runners, make up the roster of participants to the first RnR race staged in Southeast Asia on June 19 at the Rizal Park, all geared up for a novel fun run that will also feature Manila’s sights and historical markers. Registration is at Garmin stores (through cash and Gcash mode of payment) at Glorietta I, SM Mall of Asia, SM Megamall, The Podium, Ayala Vertis North, SM North, SM Aura, Uptown and Alabang Town Center. Fees are priced at P950 for 5K, P1,850 for 10K, P2,450 for halfmarathon and P2,650 for the 42K run. For the Remix Challenge, rates are P3,600 for marathon +5K, P4,100 for marathon +10K, P3,800 for half-marathon +5K and P3,400 for half-marathon +10K. The day-long event, held as part of the city’s 450th founding anniversary which mixes running and endurance with partying and a concert that will run through midnight, is the world’s largest running series annually staged in various countries around the world.

war, politics, art and design, comic books and advertising and marketing. Essentially, all the aspects of my work and career. Being well read is as advantageous as being well traveled. And my bookshelf is as variety as my record shelves. And quite honestly, that sums up who and what I am. The work of Feinstein, Halberstam, Deford, McCallum, Jackie MacMullan and Rick Reilly have had a significant effect on my writing. My fascination for history has found its way into many of my writing—as such, I have found my own style. And I have written eight books with two others on the way. Even if I have written these, including a lot of documentaries, I feel there is so much more to learn and do. And reading The Legends Club is like going back to basics for me. May the printed medium stay forever and thrive (It should-editor).