BusinessMirror November 9, 2015

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INSIDE

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EAR Lord, remembering Your presence in every person we meet, hearing Your voice in every one we encounter, seeing You in all your creation, we ask: Will all this experience be the life of our soul? “The life of your soul should be the life of God himself. Nourish yourself with God by thinking of His presence as often as you possibly can. Let us all remember that we are in the most holy presence of God.” Amen.

MEDITATION 67:1 SAINT JOHN BAPTIST DE LA SALLE AND LOUIE M. LACSON Word&Life Publications • teacherlouie1965@yahoo.com

Editor: Gerard S. Ramos • lifestylebusinessmirror@gmail.com

Life

AND THEN SOME: IS THERE SUCH A THING AS MAKEUP SHAMING? »D4

BusinessMirror

Monday, November 9, 2015

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Early Kris Kringle

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ALLOWEEN has passed, and along with it the fantastical costumes and spooky-ugly makeup. With Christmas looming large and promising of an endless stream of Yuletide merrymaking, it’s imperative that looking pretty should be a priority. After all, the holidays are the best excuse to deny that diets ever exist and that vanity is a deadly sin.

TOTA PULCHRA MISS CHARLIZE

KÉRASTASE

KÉRASTASE Paris, through L’Oréal Advanced Research, has found a beautiful way to curb the effects of time on hair quality with the leave-in formula Densifique Serum Jeunesse, “the first youth activator for the hair that restores the hair back to its original texture, density and vibrance.”

With faithful application of this miracle worker, hair regains its shine, texture and vitality. It sells at P3,750 for 120ml and is available at Kérastase Institute by Salon ESA, Emphasis Salon and other snobbish salons nationwide.

“At the fore of [Densifique’s] components is Anti-Ox Cellular, a powerful antioxidant complex that has never been used on a scalp product until now. Anti-Ox Cellular activates the hair’s melanin content, secreted by melanocytes—a pigment-producing hair cell. External and everyday aggressions, such as UVA and UVB rays, pollution and stress, cause melanocytes to diminish over time, and, consequently, the hair loses its best protective agent, melanin,” Kérastase Paris, founded in 1964, explained in a statement.

The beauty behemoth also concluded that there are worse-hair transgressions than heat styling, chemical treatments and artificial-color procedures. Thus, it created Kérastase Resistance Thérapiste, a powerful solution for deeply damaged hair—“hair that feels dead, looks ‘burnt’ with split ends, with tangles and brittle lengths and a washedout, lifeless color.”

The Kerastase Resistance Therapiste line is composed of the pre-shampoo ritual Soin Premier Thérapiste, which “binds the hair with protection during washing and infuses softness into hair so it doesn’t weight down during shampooing,” priced at P1,900; the hair-boosting Bain Thérapiste, with a semisolid gel texture that lessens friction during washing (P1,600); Masque Thérapiste, which makes hair fiber feel comforted and revitalized at P2,980; and the sot-finishing Double Serum Thérapiste, which combines oil base to moisturize and cream the top coat to seal hair ends while protecting hair fibers during heat styling (P2,050).

KIEHL’S

THIS New York East Village brand (Facebook.com/KiehlsPhilippines, via Instagram at @KiehlsPhilippines, and via Twitter at @KiehlsPH) is getting the jump on everyone by offering its “Amazing Gifts for All” packages this early. The “world’s purveyor of the finest skin care,” founded in 1851, brings you the best beauty items that must be included on your must-give list. It has gift suggestions for your “brother from another mother,” “zany mentor,” “best gal,” “hair-obsessed sister,” “fierce boss,” “adventure-crazed man,” “helpful coworker” and “generous mother” with up to 23-percent savings.

My favorite packages are the ones for your “travel buddy”: Kiehl’s Calendula Deep Cleansing Foaming Face Wash to clean out all makeup residue and the Ultra Facial Toner to maintain the skin’s pH balance (Suggested retail price [SRP] of P1,056 but with the original price of P1,320). And for the “love of your life”: Kiehl’s Ultra Light Daily UV Defense Sunscreen and Clearly Corrective Dark Spot Solution to prevent sun damage, while a combined use of Kiehl’s Clearly Corrective Purifying Foaming Cleanser, Midnight Recovery Concentrate, Micro-Blur Skin Perfector and Powerful-Strength Line-Reducing Concentrate will bring on a glow of true love (SRP: P6,508; original price: P8,451.95).

KANEBO

THE leading Japanese producer of cosmetics, which traces back its history to 1887, unleashes a delectable makeup collection for Autumn/Winter 2015 through its brand Lunasol. Inspired by the “alluring world of the finest chocolat,” the Captivating Purification makeup has a meltingly sweet luster with a bitter depth that creates a soft, ecstatic look that Asians will find flattering. The succulent line, available at Rustan’s, includes Selection de Chocolat Eyes, a four-color eye-shadow set for sheer, dramatic eyes, at P2,750; Duo de Chocolate Eyes, a two-color eyeshadow set available only this season, which creates an airy yet defining look for your eyes, at P1,925 for the color variations of Pistachio, Framboise and Orange.

Melty Chocolat Lips, scented with a bittersweet fragrance in shades of Milk Chocolat, Chocolat Brown and Rose Chocolat (P1,540) for a rich, delicious luster on your lips; Modeling Control Base (P1,925), which conditions the skin to be silky, clear and flawless; and Coloring Creamy Cheeks (P1,925), to give your cheeks a naturally blushing, healthy radiance in Pink, Orange and Beige.

THIS fluffy yarn fleece long-sleeved coat is made with a silky soft microfleece exterior and lined with soft furry fleece for a light, warm and comfortable feel.

Microfleece holds dye well for a vividly colorful design.

The long cocoon silhouette provides a feminine touch and the tweed print.

FLUFFY yarn fleece coat for women combines furry fleece and micro fleece for soft, warm comfort.

FULL-ZIP fleece jacket with pockets

HEAT insulating full-zip Uniqlo fleece jacket.

LIFE

GET FLEECED WITH cooler days ahead, Japanese global brand Uniqlo (www.uniqlo.com/ ph) combines fashion and functionality by ph expanding its lineup of fleece outerwear in its Fall/Winter 2015 collection.

With this, one can look forward to more highly fashionable coats and functional windproof jackets.

The men’s line includes an expanded range of windproof fleece, with a special film between the inner and outer material

to keep out drafts. This wind-resistant functionality has been incorporated in the soft and comfortable pile-lined fleece jacket, the Sherpa fleece jacket in trendy khaki or camouflage colors, and the faux mouton fleece jacket, with the last designed as a Mouton Jacket rather than a fleece. The windproof film has been improved from last year, making it appropriate as outerwear, and also offering reduced stiffness. Uniqlo has also introduced a kids’ windproof fleece

jacket this year.

The women’s line features four new types of coat, each with a unique silhouette—a trendy teddy fleece coat, fluffy fleece coat, pile-lined fleece coat, and windproof fleece coat.

They are suitable to any setting—from fashionable to casual to sporty.

Uniqlo first launched fleece in 1994 and 20 years on, it remains a symbol of the LifeWear concept.

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HISTORIC MEET REALIZES HOPES FOR TAIWAN, CHINA Perspective BusinessMirror

E4 Monday, November 9, 2015

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BITTER foes, Mao Tse-tung (left) and Chiang Kai-shek, putting on smiles at a reconciliation conference called by the United States in August and September of 1945. THEKINGSACADEMY.COM/GETTYIMAGES

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B C B | The Associated Press

CHINESE President Xi Jinping (right) and Taiwanese President Ma Ying-jeou shake hands at the Shangri-La Hotel on Saturday in Singapore. The two leaders shook hands at the start of a historic meeting, marking the first top-level contact between the formerly bitter Cold War foes since they split amid civil war 66 years ago. AP/WONG MAYE-E

While it isn’t yet clear what the impact will be, or whether and when it will happen again, on a rainy Saturday in Singapore, the possibility of a fundamental shift in relations between the feuding neighbors suddenly seemed possible.

China’s Xi Jinping and Taiwan’s Ma Ying-jeou didn’t produce any concrete achievements, or even issue a joint statement after

their hour-long discussions at an upscale hotel.

But no one was really expecting them to. Both men, the scions of senior figures in their respective parties, underscored the importance of their meeting as a sign of how far the two sides of the Taiwan Strait have moved since the days they lobbed shells at each other and resolutely refused to negotiate

or compromise.

“We are sitting together today to prevent the historical tragedy from repeating itself, prevent the fruits from peaceful development of cross-Strait ties from being lost again, enable compatriots across the Strait to continue to create a peaceful life, and enable our next generations to share a bright future,” Xi said in opening remarks.

Ma, who unlike Xi spoke to reporters after the meeting, emphasized how arduous the road to Singapore had been, and how much work remains to be done.

“Think about it; is there any relationship in the world like the cross-Strait relationship? No. It’s extremely complex. There’s domestic politics, diplomacy, defense, economics,” Ma said.

The meeting was the first between the leaders since China and Taiwan split amid the still unresolved civil war in 1949. Although preparations spread out across two years, it wasn’t announced until Wednesday, catching almost everyone by surprise.

Although overwhelmingly symbolic, the meeting wasn’t entirely without substance. Ma said he raised a number of sensitive issues, especially Taiwan’s desire to escape the fetters of Chinaimposed diplomatic isolation and its extreme unease over the growing arsenal of missiles located just across the 160-kilometer-wide Taiwan Strait. Xi offered pleasantsounding but bland responses and made no promises.

The two also discussed setting up a hotline between their Cabinet-level agencies entrusted with overseeing relations, as well as a long-mooted proposal to set up representative offices on each other’s territory. Ma again expressed Taiwan’s desire to join the China-led Asian Infrastructure Investment Bank. Xi repeated China’s promise to consider Taiwan acceding “in an appropriate manner,” pointing to China’s insistence that Taiwan do so only under a name that implies it is part of China.

Also remarkable was Xi’s agreement to hold the meeting on neutral territory and without flags or other trappings of Chinese nationalism. The two even dropped their official titles to refer to each as “Mr. Xi” and “Mr. Ma.” “From the mainland perspective, Xi Jinping’s decision to meet

TIMELINE OF CHINA-TAIWAN RELATIONS

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EIJING—China and Taiwan have been separately ruled since the Chinese civil war of the 1940s, but China claims sovereignty over the island and insists the two sides eventually unify. They have in recent years set aside that dispute to build trust and sign economic cooperation deals, and their presidents met for the first time on Saturday.

A timeline of relations as the two sides have moved gradually over the past 36 years from outright hostility to face-to-face meetings: ■ January 1979: Chinese leader Deng Xiaoping offers the concepts of “one country, two systems” and “peaceful unification” as possible alternatives to a military attack on Taiwan.

■ April 1979: Taiwan’s Nationalist Party leader Chiang Ching-kuo comes out with a “Three No’s” policy on ties with China: no compromise, contact or negotiation.

■ Late 1987: Taiwan’s government starts allowing some citizens to visit China, their ancestral homeland.

■ November 1992: Semiofficial negotiating bodies from China and Taiwan reach the 1992 Consensus. It obligates both sides to hold any talks as parts of a single China, but allows each to interpret “China” in its own way according to political pressures at home.

■ March 1996: China conducts missile exercises offshore aimed at intimidating Taiwanese against voting for Lee Teng-hui, who angered China with moves to assert Taiwan’s separate status. He is elected.

■ July 1999: Lee Teng-hui suggests that China and Taiwan form “special state-to-state relations,” angering Beijing.

■ March 2000: Voters in Taiwan pick their first president not from the Nationalist Party. Chen Shui-bian later advocated Taiwan’s legal independence from China. His stance angered Beijing, but Chen never found support in the legislature to pursue his goal. He left office in 2008.

■ January 2001: Despite enmity, the two sides introduce postal, transportation and trade links between southeastern China and Taiwan’s outlying islands.

■ April 2005: Nationalist Party Chairman Lien Chan visits China and meets Communist Party General Secretary Hu Jintao in Beijing. The visit marked the first meeting between the heads of the rival parties in 60 years, and was the highlight of a push by Beijing to strengthen contacts with their former rivals in alliance against the pro-Taiwan independence government.

■ May 2008: Current Nationalist Party-backed President Ma Yingjeou takes office and sets aside political disputes with China to discuss deals on tourism and commercial flights.

■ June 2010: China and Taiwan sign an economic cooperation framework agreement, stimulating two-way trade. The agreement cut tariffs in about 800 import categories.

■ March 2014: University students occupy parliament in Taipei to block ratification of a service trade liberalization deal, because of wariness over the level of control China will exert on Taiwan. Over the following three weeks, tens of thousands of protesters question the pace and transparency of agreements with China.

■ April 2015: Taiwan’s opposition Democratic Progressive Party picks Tsai Ing-wen as its nominee for the January 2016 presidential race.

Now the frontrunner, she has rejected the 1992 Consensus, making Beijing nervous.

■ November 2015: The historic first meeting of presidents of China and Taiwan is announced, to be held in Singapore. AP

with Ma demonstrates that he is willing to take some degree of risk in order to change the dynamics of the relationship,” said Mary E. Gallagher, a political scientist who studies China at the University of Michigan. “Xi’s move further solidifies his image as a strong and confident leader.”

Xi appeared to calculate that he had more to gain by appearing sympathetic to Taiwan, probably out of concern over rising antimainland sentiment on the selfgoverning island. Ma, six months before leaving office, appeared to hope that the meeting would help his legacy despite the considerable political risk for the Nationalists in upcoming elections.

Ma “wants to drive home the point that cooperation with the mainland is possible and that it is better for Taiwan’s residents than the alternative,” Columbia University China expert Andrew Nathan wrote on the Asia Society blog ChinaFile.

Though opposed by some in Taiwan, the meeting drew huge attention and overwhelmingly favorable response in China and across the Chinese-speaking world, as well as in Washington.

The biggest obstacle to future talks could be Taiwan’s ferociously democratic system—new elections for the presidency and legislature are scheduled for January.

The main opposition Democratic Progressive Party (DPP), which advocates Taiwan’s formal independence from China, is favored to win one or both elections and its presidential candidate Tsai Ingwen has refused to endorse the so-called “92 Consensus,” under which China has allowed negotiations between the sides to proceed.

That consensus states that Taiwan and the mainland are part of a single Chinese nation, although each side interprets that according to their own constitutions.

The Chinese side made a particular point of stating that there could be no future meetings between the leaders without the Taiwan side affirming the principle.

“The big question going forward is whether this meeting will change how Taiwanese view the mainland. Will this meeting improve the chance of further rapprochement under the next administration, which is almost surely to be under the DPP?” Gallagher said.

PERSPECTIVE

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‘Social enterprises crucial to cutting poverty in PHL’ SPECIAL REPORT

B L S. M

UALA LUMPUR, Malaysia— Despite the robust growth of the Philippines—averaging 6 percent over the last five years—poverty and inequality in Southeast Asia’s rising tiger still persist. This is referred to among policy planners as a “development paradox” that Asean business leaders want to address through the promotion of social enterprise.

More and more Filipinos suffer at the bottom of the economic pyramid—with poverty incidence among individuals in the Philippines rising to 25.8 percent, from 24.6 percent during the first half of the year, data from the National

Historic meet realizes hopes for Taiwan, China

INGAPORE—Many thought it might never happen: The presidents of China and Taiwan—inheritors to the Communist and Nationalist regimes that fought a civil war and remained bitter rivals for decades—coming together as equals for talks.

Thursday 2014 Vol.9,102015 No. 40 Vol. 11 No. 32 Monday,18, November

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KRIS KRINGLE The life of our soul

A broader look at today’s business

Economic and Development Authority showed.

This means one out of four Filipinos is still poor, despite the relatively rapid economic expansion the country enjoyed over the last five years.

PHL REAPS BENEFITS OF ‘LOPSIDED’ FREETRADE AGREEMENT WITH JAPAN B C N. P

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First of two parts

HE government sustained a number of flak while the Philippines and Japan were hammering out a free-trade agreement (FTA). Critics had feared the terms of the Japan-Philippines Economic Partnership Agreement (Jpepa) would be detrimental to the country’s interests.

Now on its seventh year of implementation, the Department of Trade and Industry (DTI) said the Jpepa has proven a boon for the Philippines. The DTI said the country’s lone FTA with Japan has lived up to its promise of expanding trade and investments.

In the first year of Jpepa’s implementation, Philippine exports decline mainly due to the 2008 global financial crisis. Data, however, showed a marked improvement in the country’s trade surplus with Japan.

C  A

C  A

San Miguel Pure Foods’s profit up 7% in Jan-Sept B VG C

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AN Miguel Pure Foods Co. Inc., the food group of conglomerate San Miguel Corp., said its income rose slightly in January to September on the back of higher revenues from its feeds and branded value-added businesses.

The company said its income in January to September grew 7 percent to P2.9 billion, from last year’s P2.72 billion. Revenues, meanwhile, rose 3 percent to P76.6 billion.

The company added that its ag ro -indust r i a l businesses— consisting of feeds, poultry and

meats—registered combined revenues of P52.7 billion, 3 percent higher than last year.

“Growth came largely from the feeds business, as revenues of the poultry and meats business were adversely affected by lower selling prices of chicken and pork due to industry oversupply in the first half of the year,” the company said.

Prices of chicken and pork rebounded during the third quarter, coming from their year-low mark in the second quarter.

Meanwhile, revenues from Pure Foods’s milling business grew 4 S “S M P F,” A

China’s Xi says Asia security ties lag economic cooperation G ROWING economic cooperation in Asia is not being matched by security collaboration, Chinese President Xi Jinping said, calling on nations to “never let animosity” divide us even as tensions run high in the disputed South China Sea. While repeating China’s claim to a large swath of the South China Sea—saying that

the area belonged to the country since ancient times—Xi used a speech in Singapore on Saturday during a state visit to downplay the territorial disputes that have caused friction with countries including the Philippines and Vietnam.

China is one of the biggest trading partners for Southeast Asian nations, and has pledged infrastructure funding for

PESO EXCHANGE RATES n US 46.9060

countries such as Indonesia, as it seeks to build a maritime Silk Road trading route to Europe. At the same time, it has caused unease by expanding its military presence in the region, particularly via its navy.

Apart from the South China Sea, China is also in dispute with Japan over islands in the neighboring East China Sea. “Asian countries are more intercon-

nected than ever before, thanks to the accelerated process of regional integration,” Xi said.

“But they may take different approaches to regional cooperation, and security cooperation in the region is out of step with economic cooperation. All these are challenges that we should meet.”

China claims more than 80 percent of

the South China Sea based on a nine-dash line drawn on a 1947 map for which it gives no precise coordinates, an assertion that has led to complaints from other claimant states. Under Xi, China has stepped up efforts to assert control of the waters, including building islands that offer possible bases for its ships and planes.

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n JAPAN 0.3854 n UK 71.3346 n HK 6.0517 n CHINA 7.3907 n SINGAPORE 33.3613 n AUSTRALIA 33.5378 n EU 51.0478 n SAUDI ARABIA 12.5080 Source: BSP (6 November 2015)

BMReports

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Monday, November 9, 2015

BusinessMirror

PHL REAPS BENEFITS OF‘LOPSIDED’FREE-TRADE AGREEMENT WITH JAPAN Continued from A1

“The full year of implementation was in 2009. If you took the six-year average growth of trade with Japan from that time, and compare that to the same period before the PJEPA, you will see that the trade surplus grew by sixfold, that’s one indicator. If our surplus before was $1 billion, now it’s $6 billion to $8 billion,” Trade Assistant Secretary Ceferino S. Rodolfo told the BusinessMirror.

Data from the Philippine Statistics Authority (PSA) showed that in the second year of implementation, Japan surpassed the United States as the Philippines’s top trading partner. Japan has been able to

protective of its agricultural products, with half of its agricultural products being deferred for tariff elimination.

Japan committed for the tariff elimination of products from the Philippines, such as yellowfin tuna and skipjack on the fifth year, and for small bananas only on the tenth year. Excluded from the tariff elimination are cigarettes containing tobacco, rice and rice-related products.

The Philippines committed to eliminate tariffs for a number of products, such as lobster, shrimp, crab, cashew nut, almond, walnut, hazel nut, grape, apple and pear.

Manila also agreed to reduce tariff, over the next 10 years, for the rest of agricultural products. For rice, all tariff lines have been

Figure 2. Total approved FDI by country of investor, 2009-2012

‘Social enterprises crucial to cutting poverty in PHL’ Continued from A1

“The Philippines is a country where you would see a development paradox. Our economy is growing robustly, but inequality and poverty continue to rise,” Marie Lisa M. Dacanay, founding president at the Institute for Social Entrepreneurship in Asia, said in a social entrepreneurship forum here on Saturday.

Given the recent poverty-related figures, the Philippines is fated to miss its target under the Millennium Development Goal of halving poverty incidence by 2015. With the strategy of eradicating poverty focused more on curbing corruption, promoting foreign direct investments (FDI) and the cosmetic impact of the Conditional-Cash Transfer (CCT) Program, the $285-billion economy stands a good chance of missing a second time its goal of eradicating poverty a decade-and-ahalf from now. “The Sustainable Development Goals [SDGs] of the United Nations talks about poverty eradication, not just reduction; and without social enterprises, I believe the government will not be able to solve the problem of poverty,” she said. Manila is a signatory to the SDGs set by the UN. “The strategy of development is flawed. If you listen to President Aquino’s announcements, his focus is on FDI, CCT, and anti corruption. It’s all great; but to solve poverty, you need to create wealth, and distribute it to the poor. The only way to do it is not to depend on corporations that only want to make profits, but to work with social enterprises that are willing to create wealth and distribute the wealth to the poor,” Dacanay said.

The concept of social entrepreneurship revolves around the idea of solving social problems by making money from selling goods and services in an open market. In return, the profit is reinvested in the community.

AirAsia bigwig Tony Fernandes described such entities as enterprises that promote sustainable development through businesses that emphasize the idea of helping build back communities. These businesses do not simply have a corporate social responsibility arm but have social duty as its core.

“Doing good is not just about writing a check but about people. It’s about using your assets to help communities around the world,” he said.

Shared duty

The chief executive of Thai conglomerate Premier Group of Companies, Vichien Phongsathorn, agreed, saying that solving the problem of poverty and inequality is not just a single individual’s obligation but is a group effort.

“When we talk about solving social issues, normally, we look at governments to do the job. We also look at the social factor or the non-governmental organizations to do the job. We all know that it’s not enough,” he said.

Indonesian conglomerate Sintesa Group top brass Shinta Kamdani echoed this sentiment, and urged fellow business executives to exert more effort in promoting social progress through entrepreneurship.

“We can’t wait for government to lead us. We have to make an effort,” she said. In the Asean, there are thousands of small and medium businesses that are considered social enterprises. In Manila there are about 15,000 of them championing the cause of inclusive growth.

Lost hope on Aquino admin

These enterprises are seen as the catalyst to eradicating poverty. But in the Philippines, these enterprises find it difficult to flourish without the help of a legislation that

promotes such businesses. Lawmakers have received the proposal for such a piece of legislation enacted into law.

However, years have passed since the private sector first advanced the proposal, and still it remains on square one.

“The bill is called poverty reduction through social entrepreneurship, which circles around the idea of allowing social enterprises to be major partners of business and government to solve the problems of poverty in the country.

It is still pending in Congress,” Dacanay lamented.

She described the bill as having a“very strong distributive character.”

“We are hoping government will play a developmental role by supporting social enterprises. It includes procurement sections — aimed at giving social enterprises special rights to actually get the first option, if they have the products and the quality,” the professor explained.

Under the bill, the state shall, likewise, provide technical and financial assistance, incentives and other services to enable social enterprises to develop into viable and vital antipoverty agents, and a strong social entrepreneurship movement that will be instrumental in reducing poverty in the country.

Dacanay seemed to have lost all hope to the present set of lawmakers, saying that her group will lobby for the proposal at the next batch of solons next year.

“We were hoping that it can become a priority bill in this administration, but it didn’t. So we’re hoping that in the next administration, it can be a priority bill,” she said.

“I think it’s imperative for government to act. Legislative action is just one way, but we can also do executive action.

So maybe we could explore that, and work with departments of government that may be open to bringing in social entrepreneurship in their programs.”

maintain this despite the recovery of the US from the global financial crisis.

Tariff cuts

The Jpepa covered 5,968 tariff lines of Philippine imports. Tariffs on 66 percent, or 3,947 tariff lines, of imported Japanese goods were to be removed immediately, while 32 percent would be on a staggered tariff reduction schedule.

For Philippine exports, majority of the tariff lines for immediate tariff reduction covered industrial goods, such as machines and mechanical appliances, electrical machinery and equipment, clothing and textiles, organic chemicals and pharmaceutical products.

Jpepa covered 7,476 tariff lines of Philippine exports, of which 80 percent, or 5,994 tariff lines, were for immediate tariff elimination. These products include electrical machinery and parts, road vehicles, telecommunication and sound-recording equipment.

Philippine farm exports, most of which were marine products, were also subjected to immediate tariff elimination.

The government suffered a backlash from lobby groups in 2008 due to the “imbalance of concessions” in the Jpepa, as Japan was able to negotiate the exclusion of some 238 tariff lines from tariff elimination, while the Philippines’s was only able to exclude rice and salt. Japan was seen as especially

China. . .

Continued from A1

‘Maintain peace’ EASTERLIES AFFECTING THE EASTERN SECTION OF THE COUNTRY (NOVEMBER 8, 5:00 AM)

excluded from any tariff elimination, reduction or renegotiation.

Despite the lopsided numbers in tariff exclusions, the Philippines was still able to secure more concessions when it comes to tariff reductions than Japan’s other bilateral partners.

According to a policy note by the Philippine Institute for Development Studies (Pids), among six other Asean nations, namely, Singapore, Malaysia, Thailand, Indonesia, Brunei and Vietnam, the Philippines got the highest liberalization rate from Japan.

In terms of utilization, exporters’ use of the Jpepa has gradually risen since the ratification of the Jpepa in 2008, according to Bureau of Customs data cited in the Pids report. This was tracked using the issuances of certificates of origin from the port of Manila.

A different scenario, however, can be seen for approved foreign investments. According to the PSA, investments approved by the country’s major IPAs have been on an “erratic” trend, due in part to the instability of the global economy.

While it has always ranked as second in terms of investments, Japanese investments in the Philippines peaked at P71 billion in the first year of Jpepa’s implementation in 2009.

This figure dropped to P58 billion in 2010 but recovered in 2011, when investment inflows from Japan reached P78 billion. To be continued

“The starting point and ultimate purpose of China’s policy toward the South China Sea is to maintain peace and stability there,” Xi said. “The situation in the South China Sea is generally peaceful. There has never been any problem with the freedom of navigation and overflight.

Nor will there ever be any in the future.”

Still, defense ministers from the 10-member Association of Southeast Asian Nations, joined by officials from the US, China and Japan, failed to agree on a joint communique when they met in Kuala Lumpur last week. The statement was scuttled

by China’s opposition to language on the territorial disputes in the waters that have come to dominate Asean meetings, The Wall Street Journal reported.

Xi’s visit to Singapore followed a two-day trip to Vietnam—the first by a Chinese president in a decade—that emphasized the economic bond between the communist neighbors. Xi faced a

public wary of China’s influence and its actions in the South China Sea. Only 19 percent of Vietnamese hold favorable views on China, a Pew Research Center poll shows.

When they met in Hanoi, Communist Party General Secretary Nguyen Phu Trong asked Xi “not to pursue militarization of the East Sea,” Vietnam’s name for the South China Sea. Xi committed to working with Vietnam on curbing tensions over the waters.

The US became further enmeshed in the South China Sea spats last month when its navy sailed the USS Lassen into waters claimed by China, cementing the expectation it would act as a policeman and protector in the area. The patrol prompted an angry response by Beijing and came just weeks after Xi met with President Barack Obama in Washington, where he said China “does not intend to pursue militarization” of the area.

Bloomberg News

San Miguel Pure Foods. . .

percent to P7.6 billion, despite price rollbacks due to the decline in global prices of wheat.

“Higher volumes cushioned the impact of lower-selling prices. In particular, revenues were buoyed by growing sales of higher-priced customized premixes,” it said.

The company’s branded value-added businesses—comprised of processed meats, dairy, spreads, biscuits and coffee—generated combined revenues of P17.4

Continued from A1

billion, 8 percent higher than last year’s record. Pure Foods attributed this to better prices and higher sales.

Its food service business, meanwhile, reported a 10-percent hike in revenues as it continued to benefit from the growth of the local food service industry.

“The company expects to sustain its growth momentum over the remainder of 2015, buoyed by holiday spending and a strong recovery in the agroindustrial businesses,” Pure Foods said.

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No permit, no rally policy during Apec meet–DILG

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HE Department of the Interior and Local Government (DILG) has issued guidelines on the conduct of assemblies and rallies in public places during the holding of the Asia-Pacific Economic Cooperation (Apec) late this month. The DILG cited ensuring peace and order as reason for the policy.

Part of the guidelines is the “no permit, no rally” rule, which will cover all those who would like to hold public assemblies in public places during the weeklong leaders’ summit, according to Interior Secretary Mel Senen Sarmiento.

“Although our laws ensure the free exercise of the people’s right to peaceably assemble and petition the government, we would like to reiterate that we have to observe proper guidelines, including seeking permits to conduct public rallies,” he said.

In his directive to Metro Manila mayors, Sarmiento said the mayor, or any official acting in his behalf, may grant the application and issue the corresponding permit to rally.

However, permits “may not be granted in cases where there is clear and convincing evidence that the public assembly will create a clear and present danger to public order, safety and convenience and subject to proper procedures in accordance to Batas Pambansa [BP] 880.”

Sarmiento said a written permit is not required only when the public assembly will be done in a freedom park established by law or ordinance or in a private property, in which case only the consent of the owner is required.

Likewise, a written permit is no longer necessary if the assembly will be made in the campus of a government- owned and -operated

education institution subject to the rules and regulation of the school or campus.

Sarmiento said that, while law-enforcement agencies will be in-charge of securing the Apec leaders, Metro mayors must help in maintaining peace and order by observing the proper guidelines to ensure the safety of those who will join the rallies.

Mayors, or any official acting on his behalf, may designate the route or reroute vehicular traffic so that there will be no undue obstruction in the free flow and use of public highway, boulevard, avenue, road or street for a reasonable length of time, he added Under the Local Government Code, mayors can also temporary close any national or local road, alley, park or square during public rallies and temporary closure must be pursuant to a duly enacted ordinance.

The DILG chief also directed the Philippine National Police (PNP) to strictly observe “maximum tolerance” policy and respect the human rights of people during a public assembly even during dispersal.

Sarmiento said the PNP shall, at all times, be mindful of their duty to keep the peace and provide proper protection to those exercising their right to peaceful assembly.

Malacañang has earlier announced that more than 10 economic leaders have already confirmed attendance to the 2015 Apec Summit in Manila, including United States President Barack Obama, Russian President Vladimir Putin, as well as Indonesian President Joko Widodo, Mexican President Enrique Peña Nieto, Chilean President Michelle Bachelet and newly sworn-in Canadian Prime Minster Justin Trudeau. Rene Acosta

Editor: Dionisio L. Pelayo • Monday, November 9, 2015 A3

Comelec to begin cleaning voters’ list

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HE Commission on Elections (Comelec) announced last week it started deactivating at least 3 million voters who failed to have their biometrics taken.

Citing provisions of Republic Act 10367, the Comelec said there is already the need to process the deactivation of the voters’ registration records, since the registration period ended on October 3.

Comelec Chairman Andres D. Bautista has also expressed confidence that the Supreme Court (SC) will not grant the petition seeking to reopen the recently concluded voter registration for the May 2016 polls.

In a recent news briefing, Bautista said they are confident the SC will consider that the poll body gave the public enough opportunities to be able to register as voters.

“We have bent backwards to try to accommodate as many voters as we can. It was 18 months. I think it was enough time for people to register,” Bautista said.

Days before the October 31 deadline for the voters’ registration for the May 2016

polls, the Kabataan Party List asked the SC to compel the Comelec to extend the voters’ registration period up to January 8, 2016.

The petition accused the Comelec of violating the Voter’s Registration Act, which provides that “the personal filing of application of registration of voters shall be conducted daily in the office of the Election Officer during regular office hours; but no registration shall, however, be conducted during the period starting 120 days before a regular election.”

The deactivation of voters is mandated

by Section 8 of the Mandatory Biometrics Registration Act. The law provides that registration records of voters without biometrics data shall be deactivated in the last Election Registration Board (ERB) hearing to be conducted prior to election day.

“The ERB hearing for the deactivation of registration records of voters, who fail to

undergo validation process, is scheduled on November 16,” the resolution stated.

Biometrics data registration refers to the automated capturing of photo, signature and fingerprints of registered voters.

As of the latest partial data from the Comelec, there are still about 3 million voters who still have no biometrics data.

Local election officers are directed to post the lists of voters without biometrics in the bulletin boards of the city/municipal halls, Offices of the Election Officer and in the barangay halls, along with the notice of ERB hearings.

Individual notices will also be sent to affected voters included on the list of those without biometrics data.

“Any opposition/objection to the deactivation of records shall be filed not later than November 9,” the resolution added.

The poll body said the conduct of deactivation proceedings by the ERB shall be summary in nature.

“The ERB shall, based on the list of voters without biometrics data, order the deactivation of registration records on the ground of ‘failure to validate,’” it added. Joel R. San Juan

NBI to honor agents, investigators in celebration of 79th founding year

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HE National Bureau of Investigation (NBI) is set to celebrate its 79th founding anniversary on November 13.

With the theme “NBI: Valuing the Past, Embracing the Future,” the Bureau will undertake a week-long series of activities culminating with a simple program on the date of its establishment.

Nick V. Suarez, NBI Information Division Chief, said in a statement the celebration has started on November 7 with a fun run led by Assistant Director Medardo G. de Lemos and Deputy Directors Edmundo Arugay, Rafael Marcos Ragos and Jose Doloiras. They were joined by about 1,000 personnel of

the bureau. Winners in the fun run were given cash prizes.

During its flag-raising ceremony on November 9, which opens the anniversary week, NBI Director Virgilio L. Mendez will lead the directorial staff in giving special awards to journalists who have covered the NBI beat in recognition of their commitment to provide the various stakeholders relevant, timely and accurate information. The special award is also in appreciation to various media institutions for being a strong partner of the NBI in strengthening the rule of law and in pursuit of truth and justice.

Suarez also said there will be a tiangge (flea market) at the open grounds of the NBI compound during the week. The agency would also offer reasonable prices to cater to applicants of NBI clearance, free eye checkup and free facial services for employees at the second floor of the building housing the dorm.

He said photo exhibits will also be opened to the public beginning on Monday at the covered walkway and at the lobby of the main building in recognition of the contribution of the various operating units, divisions, regional and district offices and services to the accomplishments of the NBI.

Economy

A4 Monday, November 9, 2015 • Editors: Vittorio V. Vitug and Max V. de Leon

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Palace defends sluggish Yolanda rehab pace as foreign donors seek clear plan T

Canada-PHL trade talks seen to resume after Apec confab

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By Butch Fernandez

ALACAÑANG on Sunday disputed critics decrying the “slow” pace of the Aquino government’s P167.8-billion rehabilitation and rebuilding of areas severely damaged by Supertyphoon Yolanda (international code name Haiyan) in 2013.

In an interview on a state-run radio, Presidential Spokesman Edwin Lacierda pointed out the rehabilitation and rebuilding in Eastern Visayas requires a massive effort, Yolanda being the strongest storm to hit land in recorded history. Lacierda added that the effort involves not just the national and local governments of affected communities, but also international organizations, including the United Nations.

He suggested that Yolanda rehab critics, that included former Sen. Panfilo Lacson, should visit the Official Gazette at www.gov. ph to see the list of all ongoing rehabilitation projects, as well as its actual stages of completion.

Lacson lamented over the weekend that the Aquino-approved comprehensive rehabilitation and recovery plan for Yolanda-hit areas was “not being followed by the implementing agencies.”

Meanwhile, Tacloban City Mayor Alfred S. Romualdez appealed to the national government to fast track the approval of the blueprint of the rehabilitation project.

“The blueprint is needed by countries who made their pledges.

They need to approve it first before they can release the money,” Romualdez said.

T he s t at e - r u n Ph i l i p p i ne News Agency (PNA) also quoted Romualdez as saying that Tacloban needs potable water and

water for sewerage.

The PNA also reported that dignitaries of the international community clarified that millions of dollars-worth of foreign donations being questioned did pass through the national government.

Michael Harper, chief mission of the German Embassy, said his country has donated P5 billion in cash and in kind, which came from the German community.

“We also donated P8.8 billion in cash and in kind which was withdrawn from the government of Germany’s coffer,” Harper told reporters in a news conference in Tacloban City on Sunday.

Susan Brems, the US Agency for International Development (Usaid) representative, also said during the same news conference that the Usaid also coursed some of its donations worth $43 million to its respective counterparts.

Brems said they still have pledged to the Philippine government millions of dollars, but are still waiting for the official study and recommendation on what the government’s immediate needs.

Lacierda confirmed reading reports about complaints on the post-typhoon recovery projects, but insisted the Yolanda rebuilding is even faster compared to

other countries.

He added that the government was taking note of the criticisms.

“Kinikilala po natin [na] may mga kritiko po tayong nagsasabing mabagal. Pero malaki po ang sakunang nangyari sa atin at patuloy po nating tinutulungan at ginagampanan po ang ating trabaho.”

According to Lacierda, the perceived delays could also be attributed to the Aquino government’s strict adherence to its “build back better” mantra.

Read ing a statement f rom President Aquino on the anniversary of the tragedy, Lacierda suggested that the Yolanda devastation should instead inspire both the government and citizens to build back better communities.

“May the memory and lessons of that time inspire us to persevere in building back better, and in living up to the solidarity, resilience and generosity of Filipinos from all walks of life demonstrated not only then, but in all times of challenge and adversity,” he said, quoting Mr. Aquino.

The President also acknowledged t hat t he post-Yol a nd a recovery “would not have been possible without the world’s embrace of our people and our people’s own heroic generosity and sacrifice.” With PNA

HE government of Canada is keen to ink a free-trade agreement (FTA) with the Philippines and hopes to continue bilateral discussions after the Asia-Pacific Economic Cooperation (Apec) Summit in Manila this November.

In his message at a recent briefing on exporting to Canada, Neil Reeder said the two countries have already begun initial talks on an FTA. Reeder said that a deal would present a “great opportunity” for Filipino exporters to gain a bigger access to the Canadian market.

The first round of exploratory discussions has been conducted earlier this year, according to Reeder, Canadian ambassador to the Philippines. But succeeding talks are now on hold as Canada held its general elections last month and just recently swore in its new prime minister, he added.

The ambassador said they are just waiting for guidance from the newly elected government before continuing with trade negotiations. He added that he is looking forward to a resumption of talks after the Apec Summit wraps up.

On May 8, then-Canadian Prime Minister Stephen Harper and President Aquino announced the launch of exploratory discussions toward bilateral FTA negotiations.

Philippine exports to Canada are currently growing at only a modest rate and could be bolstered should the two countries come to a trade pact.

“This is why both of our countries agreed to look at the chance of negotiating a trade agreement because once you eliminate tariffs and many other barriers behind the borders, you’ll see a significant increase in bilateral trade flows,” Reeder had been quoted by Philippine media earlier.

In a presentation during the briefing, the Export Marketing Bureau (EMB) said Canada was the Philippines’s 14th top export destination in 2014, with export value estimated at $592 million for a 0.95-percent share of the market.

The top 5 exports of the Philippines to the North America country last year were vehicle wiring sets, crude coconut oil, desiccated coconuts, men’s and boys’ apparel, and digital integrated circuits, it added.

Reeder said Canada currently has 12 FTAs in force, the most recent is with South Korea.

It has no free-trade deal yet with any member of the Association of Southeast Asian Nations and is looking at the Philippines as its first FTA partner in Southeast Asia.

Steve Tipman, executive director of the Canadian government-funded Trade Facilitation Office Canada, said there is much room for growth of Philippine exports.

Tipman, who joined the briefing to give an update on buying trends in Canada, said enjoying big consumer demand in his country are ethic agricultural products and halal foods; natural and organic health, cosmetics, and personal care products; niche and specialty goods; home décor and furniture; sports and recreational products and equipment; gardening products; and holiday-related items for Christmas, Halloween, Valentine’s Day and similar festivities.

The “Exporting to Canada” briefing held late October is part of the Philippine Export Competitiveness Program of the Department of Trade and Industry’s EMB, in partnership with the Export Development Council and the Philippine Exporters Confederation Inc. PhilExport.

Economic triangle in Iloilo seen rising with 3 Iloilo mayors’ deal

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ACOLOD CITY—The mayors of Victorias City in Negros Occidental, and Ajuy and Banate towns in Iloilo signed a tripartite agreement that establishes an economic triangle between the three local government units (LGUs) in rites held at Victorias City Hall.

Signatories of the memorandum of agreement were Mayors Francis Frederick Palanca of Victorias City, Juan Alvarez of Ajuy and Carlos Cabangal Jr. of Banate.

The signing rites held on Friday was witnessed by Rep. Alfredo Benitez of the Third District of Negros Occidental and Party-list Rep. Stephen Paduano of Abang Lingkod, with Philippine Ports Authority (PPA) Pulupandan Port Manager Enrique Fuentebaja, PPA representative Alan Rojo, and Negros Occidental First District Engr. Jaime Javellana.

The partnership includes a proposed port development project, specifically a feeder port to be constructed in Barangay VI-A in Victorias City, while improving the existing ports of the two Iloilo municipalities.

A more comprehensive feasibility study can be finalized to support the proposal for final approval and funding in the national level, Benitez and Paduano had earlier said.

The Victorias Ajuy Banate Economic Triangle aims to create a general framework for cooperation and information exchange to improve their respective community’s economic, environmental, social and tourism concerns.

It also targets to come up with a respective system of roads and ports in order to boost the trade of agricultural products, goods and commodities between the three LGUs. This will also design and improve vehicular ferry routes, increase passenger boat trips, and propose plans to minimize the handling expenses of goods that will enhance the accessibility of prime tourist destinations.

The parties involved will collaborate and jointly mobilize resources to protect and preserve marine resources and create a core group to ensure the viability of this cooperation and to provide funding for this joint endeavor. PNA

STEELED This November 5 photo shows a worker passing through a jigsaw of steel rods for the completion of a road project in Pasay City. The National Economic and Development Authority said investing massively—to as much as 5 percent of GDP–in infrastructure is one of the five key strategies to achieve the Road Map for Transport Infrastructure Development for Metro Manila. Nonie Reyes

Angara calls for improvement of Filipinos on financial literacy

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EN. Juan Edgardo M. Angara on Sunday called for improvement of the Filipinos on financial literacy, which, if not addressed, may hamper the government’s effort to pursue the economic gains achieved by the present administration of President Aquino.

Angara made this call in reaction to the 2015 MasterCard Financial Literacy Index, which ranked the Philippines second-worst among Southeast Asian countries, ahead only of Indonesia.

“Glowing reviews and optimistic projections have been heaped on the Philippine economy, particularly regarding its financial system. Opportunities abound on account of these

developments, but many Filipinos do not even have a basic grasp of economic and financial concepts,” Angara said.

A study by the Asian Development Bank also revealed that the Philippines does not have a national strategy for financial education and literacy.

“Such illiteracy hides recent economic gains from the minds of many people as it hinders them from participating meaningfully in the country’s notable ascent and economic growth,” the lawmaker said.

Thus, Angara has filed a bill that seeks to declare the second week of November of every year as “Economic and Financial Literacy Week” so as

to develop national consciousness on economic and financial literacy.

Under Senate Bill 2779, the National Economic and Development Authority (Neda) will serve as the lead agency and will be tasked to plan, initiate, execute and encourage knowledge-expanding activities on economic and financial literacy which may be adopted by local government units, government-owned and controlled corporation and educational institutions.

The Neda will also lead the participation and cooperation of relevant government agencies and instrumentalities, such as the Bangko Sentral ng Pilipinas, the departments of Finance and Education (DepEd), the

Commission on Higher Education (CHED), the National Youth Commission (NYC) and the Department of the Interior and Local Government.

Furthermore, all public and private elementary and secondary schools under the DepEd, all state and private colleges and universities under the CHED, the Technical Education and Skills Development Authority and the NYC are mandated to conduct consciousnessraising and knowledge-expanding activities, such as setting up literature corners, organizing fora and trainings, and conducting basic economic- and financial-management classes to improve the economic and financial literacy of

students and the youth.

“We must recognize the growth potential of our country through financially literate citizens who can make sound financial decisions, mobilize savings, and contribute ideas on improving economic and financial policies and programs,” said Angara, one of the authors of Republic Act 10679, which aims to promote entrepreneurship and financial education among Filipino youth.

The DepEd is also encouraged, under the bill, to assess and revise the high school economics curriculum to make it more age-appropriate, and ensure that economic and financial education becomes an integral part

of formal learning.

Meanwhile, the Philippine Information Agency and the Presidential Communications Development and Strategic Planning Office are mandated to allot airtime for programs, and to produce and disseminate printed and online materials for economic and financial literacy awareness enhancement.

As for the private sector participation, the Neda, in coordination with the Philippine Economic Society and in partnership with other academic and professional institutions, shall plan, initiate and encourage activities which may be adopted by the private sector and civil society in their respective offices. PNA

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Monday, November 9, 2015 A5

BPOs to next administration: Prioritize DICT, retain fiscal perks

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By Catherine N. Pillas

ompanies belonging to the business-process outsourcing (BPO) sector are hopeful that the next administration would prioritize the creation of the Department of Information and Communication Technology (DICT) and retain the current fiscal incentives scheme.

Jose Mari Mercado, president of the Information Technology and Business Process Management Association of the Philippines (IBPAP) made this statement as the country gears up for the national elections slated in May next year.

“If the DICT doesn’t happen in this administration, I hope whoever steps in next year would

prioritize it,” Mercado said in an interview during the Philippine Software Industry Association’s delegate conference, Softcon.Ph. The envisioned DICT is a Cabinetlevel agency that is solely responsible for the information- technology (IT) sector. Currently, the ICT Office under the Department of Science and Technology handles the con-

cerns of the BPO sector.

The creation of a new department for the IT sector has been backed not just by BPOs but also by the Joint Foreign Chambers and local business groups. The DICT, business groups said, could improve e-governance, raise broadband quality, strengthen cybersecurity, and further prop up the booming BPO/knowledge-process outsourcing (KPO) sector.

The measure will also rationalize the functions of the different government offices with ICT functions such as the Department of Transporation and Communications, the National Computer Center and the Telecommunications Office.

A measure creating the DICT has already gotten the nod of the House of Representatives and the Senate but its provisions have yet to be consolidated by the bicameral committee.

As for the bill that seeks to rationalize fiscal incentives given by investment-promotion agencies (IPAs), Mercado said he supports

Philippine Economic Zone Authority (Peza) Director General Lilia de Lima who called for a status quo on the grant of fiscal perks.

“As long as it’s not broken, don’t fix it. It’s been successful in attracting investors. Investors are worried about instability. If we are the investors, we want to come in knowing that the incentives we were presented will stay and won’t change,” he said.

Fiscal and nonfiscal perks, such as income tax holidays of up to eight years and a preferential rate on gross income earned, are given by Peza and other IPAs to encourage investors to put their money in the Philippines.

The BPO sector, considered a key contributor to the country’s economic growth, has benefited from the grant of fiscal incentives. The industry’s output is treated as exports.

IBPAP has earlier warned that changing the form of fiscal and nonfiscal perks will reduce the competitiveness of the IT sector as multinational firms will be forced to relocate.

Senate panel to resume hearing on MRT

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By Recto Mercene

op transportation officials are expected to attend a Senate hearing on the troubles plaguing Metro Manila’s railway system which will resume today, November 9.

Sen. Grace Poe, chairman of the Senate Sub-Committee on Public Services, said officials of the Department of Transportation and Communications, Metro Rail Transit (MRT) and Light Rail Transit Authority were invited to the hearing.

Poe said she initially scheduled the hearing on November 4 but Transportation Secretary Joseph Emilio A. Abaya declined the Senate’s invitation, citing a trip to Malaysia.

It turned out that Abaya had a press conference on the tanim-bala (bullet-planting) scam in airports on the same morning.

“The MRT issue is a sad one. That is one issue that I am focused on because our economy is affected by it,” Poe said, adding that the problem has reached that point because of

the weakness and the slowness of those in charge with it.

The Senate’s agenda on MRT are frequent accidents on the tracks and increasing incidents of train malfunctions.

“Many of the MRT’s trains and tracks have broken down due to wear-and-tear, with some 650,000 people taking the MRT daily, almost twice its capacity of 350,000,” she added.

Poe questioned the MRT contracts entered into by the government because these employed and sustained the services of companies that do not have the capability to maintain the metro’s railways.

“The MRT contract is shameless. But why didn’t we make it better when we enter into it. That’s the problem,” she said.

“Would you believe that they signed a contract that would be given to a company that has no capitalization and expertise in running a train. They gambled our citizen’s safety,” Poe added.

BMR

Business

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Apec CEO Summit to gather 16 T

By Catherine N. Pillas

he Asia-Pacific Economic Cooperation (Apec) CEO Summit will put in the spotlight the inclusive-growth theme that the Philippines chose as the host nation, when the largest meeting of top business leaders in the Asia-Pacific region convenes next week.

To be discussed is a set of issues—from human-capital development to leveraging innovation—that seek to make the smaller, disenfranchised groups of the society participate better in global trade.

Apec Business Advisory Council (Abac) Philippines Chairman and Co-Chairman/Alternate Member Doris Magsaysay-Ho and Guillermo M. Luz, respectively, gave a preview of the high-level, threeday summit, themed “Creating The Future: Better, Stronger, Together,” to the BusinessMirror recently.

The Abac is made up of 63 business leaders across the Asia-Pacific region, with each Apec economy having three representatives. The Abac stands as the private-sector voice in the Apec, and is the main organizing body for the annual

Helping the marginalized

Magsaysay-Ho noted that what the Philippines wants to focus on in this year’s CEO Summit is the fresh initiatives that will make the benefits of the burgeoning global economy felt by smaller, marginal players.

Luz said that, given the Abac’s broad thrust of moving toward regional integration, the Abac Philippines now wants to assess how the marginalized groups will be affected by the Asia-Pacific integration on different fronts.

“We’ve worked all-year-round and convened seven joint meetings of ministers and CEOs for topics such as trade, life sciences, disaster management, city development, SMEs [small and medium enterpries], energy and transport.

The private sector has the ability to drive the [inclusive-growth] agenda,” Luz said.

Summit Day One

BusinessMirror media partner Apec CEO Summit, which is held days before the Apec Economic Leaders’ Meeting.

The Apec CEO Summit is billed as the premier public-private dialogue venue in Apec, with top CEOs and key government officials coming together for the event.

On November 16, the first day of the Apec CEO Summit, three sessions will be held, with the first one to be opened by Jollibee Founder, CEO and Chairman—and concurrently the Apec CEO Summit chairman—Tony Tan Caktiong.

The session opening will be followed by President Aquino’s address on “Apec’s Inclusive Growth Imperative,” to set the tone for the rest of the summit.

The second session will delve on “Navigating Uncertainty” for businesses in the context of geopolitical risks, delivered through a “TED [Techology, Entertainment,

Design]-type” talk.

Notably, the third session will focus on how innovation plays a part in charting the new businesses, and how Apec economies can tap the proliferation of disruptive innovations.

Magsaysay-Ho underscored the need for this initiative, as these new types of businesses have become key drivers of growth.

“Digital infrastructure for an economy is going to be a necessity, like water and energy. Economies in Apec should build innovation ecosystems, like strengthening ICT [information and communications technology] in colleges and STEM [science, technology, engineering, mathematics] education; putting regulations around intellectual property; building university-led research centers; mentoring startups; and helping start-ups commercialize,” Magsaysay-Ho said.

For the session on innovation and entrepreneurship, no less than Columbian President Juan Manuel Santos and former Taiwanese Vice President Vincent Siew will form part of the panel, along with the CEO of bilateral foreign aid agency Millennium Challenge Corp., Dana Hyde; and the CEO of safety consultancy and certification firm Underwriters Laboratories, Keith Williams.

Summit Day Two

The second day will see AirAsia mogul Tony Fernandes delivering the opening remarks.

Four sessions will take place during the day, with the first ses-

Rows of vans to be used by Apec CEO Summit delegates are parked at the Cultural Center of the Philippines Complex open parking lot in Pasay City. ed davad

sion tackling the prospects of AsiaPacific growth.

Education and health will be the center of discussion for the second session, with Peruvian President Ollanta Humala headlining the panel, as well as the CEOs of JP Morgan Asia Pacific and pharmaceutical giant Sanofi Pasteur.

Inclusive growth and sustainability will be the highlight of the second day. A panel—to be led by Vietnamese President Truong Tan Sang; Executive Chairman and CEO of Blackberry John Chen;

Donald Kanak, head of Prudential Corp. Asia; E. Allan Gabor of Merck Biopharma China; and Asia Society President Josette Sheeran—will tackle the policies on resiliency.

Related to this is another session focusing on effective urban development and infrastructure investment to be led by Lord Mayor of Melbourne Robert Doyle. The City of Melbourne has been recognized as the most livable city by business journal The Economist for five years in a row. Doyle is expected to share insights on how other cities can

Reports

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Monday, November 9, 2015

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leaders, close to 1,100 delegates like the Trans-Pacific Partnership and the Regional Comprehensive Economic Partnership.

The discussion will be led by New Zealand Prime Minister John Key and Hong Kong Chief Executive Leung Chun-Ying, with the heads of the Organisation for Economic Co-operation and Development and the Asian Development Bank, Angel Gurria and Takehiko Nakao, respectively, completing the panel.

Summit Day Three

emulate Melbourne.

This ties up with the Abac’s push for more investments in sustainability, an area that the Abac sees as a potential growth area.

“As demographics change and populations grow, we expect between now and 2020 there’ll be another billion people; so that means investment in cities, in food, in renewable energy. These are areas that Abac made recommendations to leaders, in terms of removing barriers to investment,” Magsaysay-Ho said.

Better cities

In connection to this, Luz said the Abac will release a report, titled “Building Better Cities,” during the Apec Economic Leaders’ week.

The Building Better Cities report will rank 28 cities, including Cebu and Manila, in terms of livability, sustainability and competitiveness.

“We, together with PriceWater­ house­Coopers, came up with a report, with the broad metrics being the three mentioned. Specific factors—such as city size, regula-

tions, heritage and culture—were taken into consideration,” Luz added. “The whole idea is not to get a judgment, but to create a metric to get these city governments and developers to ask themselves how they want to be in the future. Manila and Cebu are on the list. I can’t say the ranking but you can venture a guess that they’ll be in the bottom half of the list,” Luz said.

The second day of the summit will close on a broad discussion on Asia-Pacific trade in the context of emerging major trade initiatives,

The last day of the Apec CEO Summit will primarily focus on country leaders, with Japanese Prime Minister Shinzo Abe and Russian President Vladimir Putin invited to deliver remarks before the major panel discussion on the theme “Securing Growth in a Volatile World” begins.

According to a draft program, Australian Prime Minister Malcolm Turnbull, Canadian Prime Minister Justin Trudeau, Indonesian President Joko Widodo, Mexican President Enrique Peña Nieto and Singaporean Prime Minister Lee Hsien Loong were invited to take part in the culminating panel discussion.

Finally, expected to deliver their respective closing remarks for the summit are Chinese President Xi Jinping and US President Barack Obama.

The CEO Summit will gather 16 leaders, five insight speakers, 20 executives and thought leaders, and close to 1,100 delegates.

People connectivity

The connectivity of people, especially of skilled workers, in the region will be one of the hallmark themes in the summit.

“The idea of connectivity is very important. There is a connectivity blueprint, which speaks about people-to-people [P2P] connectivity, institutional connectivity and physical connectivity,” Magsaysay-Ho said. “For the P2P [connectivity], so far, when you look at the Apec agenda, a lot of it focuses on the trade aspect, financial aspects, but very little of people connectivity. It seems to be the last frontier to be able to integrate mobility,” the Abac 2015 chairman said.

Magsaysay-Ho said the Abac Philippines has been pushing for discussions in the region for better and more effective mobility for people in Asia Pacific.

“The Abac Philippines has, for quite a long time, promoted and made recommendations around the need for Apec to create a new framework for the management of mobility of people around the region, and this has become important for business because of the demographic changes that are causing huge shortages in labor at all skills levels across the world,” she said.

The Philippines has been known to be at the forefront of the demographic shifts across the world, being one of the economies that will benefit from it.

This, as the Philippines—

starting this year up until 2050— will be within the “demographic sweet spot”—or loosely when a great majority of the population are of working age.

At the end of the third quarter of the year, the country’s Investor Relations Office said that, based on official projection, the country’s working-age population—or those between 15 and 64 years old—accounts for 66.6 percent of the total population of 101.6 million.

The government has also reported in its midyear economic briefing that it has been “actively investing” in the country’s human capital—more particularly in the education and health-care system—to fully realize this demographic dividend.

The demographic dividend that the country enjoys is in contrast to what other countries in the region are experiencing because of their aged population, thus, highlighting the need for the sharing of work force in the region for increased productivity.

The Philippines has been long known to be a heavy exporter of human assets, as seen in the volume of Filipino migrant workers, who have been among the pillars of the economy because of their contribution to foreign-currency inflows and private consumption.

As of end-August this year, total remittances sent home by Filipino migrant workers hit $16.2 billion, 4.1 percent higher than the eight-month total last year.

With Bianca Cuaresma

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BusinessMirror

Monday, November 9, 2015 • Editor: Efleda P. Campos

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4 fantastic Ayta lolas

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VEN today, there are still some cultures that treat women as worth less than men. They silently suffer this injustice for as long as we can remember.

Not so for four Ayta grandmothers who underwent six months of training at Barefoot College in India to become solar engineers.

Evelyn Clemente, Sharon Flores, Cita Diaz and Marga Salvador participated in a six-month training program on solar engineering, specifically fabricating, installing, repairing and maintaining solarlighting equipment.

The Barefoot College was founded by Sanjit Bunker Roy, one of TIME Magazine’s most influential persons in 2010. The college seeks to educate illiterate and unskilled women in technology that they are expected to bring back to their respective communities.

Lawyer Patricia Bunye, president of Diwata Women in Resource Development Inc., a nongovernmental organization, said the four Ayta grandmothers will play a significant role in introducing electricity in their community.

M a ny com mu n it ies where indigenous people (IP) live still have no electricity. By introducing the Aytas to renewable energ y through solar panels, Bunye said she hopes light “will bring new life” for the community of IP. The project Tanging Tanglaw

turns IP women into solar engineers. The project is done in collaboration with Diwata, Women in Resource Development, Philippine Mine Safety and Environment Association (PMSEA) and Land Rover Club of the Philippines, with the support of the Embassy of India in the Philippines.

It aims to empower IP women, particularly grandmothers who are no longer the primary caregivers of their families.

Clemente and Salvador expressed their excitement in sharing their new knowledge so that their community will get light.

They also expressed their gratitude to all those who helped complete their training.

N. Ramakrishnan, first secretary from the Embassy of India, personally greeted the four Ayta solar grandmothers for being among the 36 students from 11 nations worldwide who underwent the program.

Clemente, 54, said she never imagined she would one day learn how to install solar-powered lamps.

But on March 16, she and three other Ayta women arrived in Manila from a six-month training program in India.

“Ako ngayon hindi lang isang

babae o isang lola o isang nanay.

Isa na akong solar engineer. Kung ano po ang nagagawa ninyong mga lalaki, kaya kong gawin ’yan at hihigitan ko pa (Now I am not just a woman or a grandmother or a mother. I am a solar engineer.

What men can do, I can do and do it better),” she said proudly during a press briefing.

Now she can connect small solar panels with lanterns to light up Ayta villages. She knows how to fabricate, maintain and repair them. The hardest part, she said, is inserting a tiny component called “resistance” into the circuit.

“You have to look at the color carefully because if your eyes are blurry, you will make a mistake.

The LED lamp will not light up,” she explained in Filipino.

All this, she and her companions learned in Barefoot College, a school in Rajasthan, India, that empowers illiterate women to deliver solar power, clean water, education, livelihood development and activism projects to rural communities.

The school is run by Roy who was named one of TIME Magazine’s 100 most influential people in 2010.

The Ayta grandmothers, dubbed “solar lolas,” were sent to the Barefoot College through the Tanging Tanglaw program—a joint effort of women empowerment group Diwata, the PMSEA and the Land Rover Club of the Philippines.

Clemente and another solar lola hail from Sitio Gala in Aningway village in Subic, Zambales—an Ayta resettlement village. The two

THE four fantastic Ayta grandmothers—Evelyn Clemente (from left, kneeling), Sharon Flores, Cita Diaz and Marga Salvador—show their new skills to several supporters.

others come from Gayaman Anupul in Bamban, Tarlac.

The most difficult thing about the training, said Clemente, is the language barrier. They were taught

by Indian trainers and were “classmates” with other IP women from all over the world.

To get tec h n ic a l conce pt s across, the instructors would use sign language or would color code instructions. If that failed, they would resort to simple English words.

The lolas got up at 8 a.m. every day and started class at 9 a.m. The work was intensive and “scary,”

Clemente said.

During one session, the circuit that Flores was working on exploded. But she was unfazed.

“Hindi ko inisip na agad ako umuwi.

Ang inisip ko, inspirasyon ko ang aking pamilya at lahat ng komunidad para magawa ko ito (I didn’t think right away that I should just go home. I thought, my family and community are my inspiration to do this),” she said.

Flores missed her eighth kids and four grandchildren terribly while she was away. She called them three times a month, worried that one of them might be sick without her to

take care of them.

But it was for their sake she kept going. She hopes her new skills can help send them to school.

“The women in our village don’t have jobs. They gave us a job,” she said in Filipino, unable to keep her tears at bay.

Traveling to a different country and confronting a whole new culture and way of life was just as daunting.

It was the first time any of them had stepped unto a plane.

“We were shouting inside the airplane! We were holding on to each other. One of us even farted,” Flores said.

118-year-old Negrense woman, 74 other centenarians get recognition

B

ACOLOD CITY—Seventyfive centenarians in Negros Occidental, including 118-year-old Francisca Susano of Barangay Oringao, Kabankalan City, were given recognition during the 117th Cinco de Noviembre rites held at the Capitol grounds here on Thursday.

Each of the centenarians, or those who are 100 years old and above, received a cash incentive of P100,000 each from the provincial government.

Records of the Provincial Social Welfare and Development Office showed that of the 75, nine were from the First District and three from the Second District.

There were 18 centenarians from the Third District; 15 from the Fourth District; 13 from the Fifth District; and 17 from the Sixth District.

At 118, Susano is the oldest person in the province, but she can still walk.

Born on September 11, 1897, she was married at the age of 14.

She gave birth to 14 children, including her 99-year-old child, the eldest, who is still alive.

Susano, who was not able to attend school, has 70 grandchildren and four great grandchildren.

She and her husband, who passed away decades ago, worked as farm laborers.

The centenarian said that her “secret” to a long life is “eating vegetables.”

“I always eat vegetables, but when there’s meat, I also eat meat,” Susano said.

Earlier this year, the Provincial Board approved the Negros First Centenarian Act, which grants a one-

time cash incentive worth P100,000 to centenarians in the province.

Under the ordinance, beneficiaries must be a resident of Negros Occidental for at least three years. Those living in Bacolod City are not qualified.

Cinco de Noviembre, a special non-working holiday in Negros Occidental, is a commemoration of the historical event that happened on November 5, 1898, when the Negrenses bluffed the Spaniards to attain their freedom.

The Spaniards decided to surrender upon seeing armed troops in a pincers’ movement toward Bacolod.

The marching revolutionists, led

by Gen. Juan Araneta from Bago City and Gen. Aniceto Lacson from Silay City, were actually carrying fake arms consisting of rifles carved out of palm fronds and cannons of rolled bamboo mats painted black. PNA

Capitol gives out P1.38-M cash assistance to Antique seniors

S GRANDFATHER’S LOVE

A grandfather gently tugs his grandson’s swing at the Burnham Park in Baguio City.

MAU VICTA

NHCP to restore heritage building for iloilo city

I

LOILO CITY—The city council here has authorized Mayor Jed Patrick Mabilog to sign a memorandum of agreement (MOA) between the National Historical Commission of the Philippines (NHCP) and the city government for the restoration of a heritage structure at no cost to local government.

City Councilor Eduardo Penaredondo, chairman of the committee on rules, ordinances, resolutions, style, justice and legal affairs, said the MOA

is most favorable and not onerous to the city government.

The city has bought the almost onehectare lot adjacent to the city hall from British firm KERR and Co. Mabilog earlier said the area will host a new two-story building for the senior citizens, a parking area and the old building will be restored.

The MOA concerns the restoration and preservation of the KERR building, which was declared a heritage structure

by NHCP as per Resolution 3, Series of 2014. The building is an old Spanish structure which, because of nature and infestation of termites, needs preservation, restoration, rehabilitation and reconstruction following the heritage architecture of the building.

The NHCP shall spend for the undertaking, prepare plans for the same and conduct public building bidding and turn over the same to the city government upon completion of the project. PNA

AN JOSE, ANTIQUE—A total of P1.38 million has, so far, been given out to senior citizens aged 90 years and above in the province of Antique.

Provincial Social Welfare and Development Officer Lazaro Petinglay said that as of October 30, 386 indigent senior citizens aged 90 and above received cash assistance ranging from P3,000 to P10,000 under the program Pag-ulikid kang Gobernadora sa Mga Lolo kag Lola.

Under the program, senior citizens aged 90 to 94 are entitled to cash assistance of P3,000, while those aged 95 to 99 will receive P5,000 and those aged 100 years and above get P10,000.

Petinglay said the listing is still ongoing as the social workers in four towns, specifically Belison, Culasi, Sebaste and Pandan, have not yet submitted their list of beneficiaries

while in two towns, namely, Tibiao and San Jose, only two and four elders have registered.

“We are expecting more senior citizens to avail [themselves] of this program that we are calling for those who have relatives aged 90 years and above to come to our office and register their elders so that they will be included in our second batch of distribution of cash assistance on December,” Petinglay said, adding that his office is coordinating with the different Office of the Senior Citizens Affairs in the municipalities so that everyone qualified to the program would be given financial assistance.

Last week’s distribution of checks was held in Bugasong town. Three of the recipients are 105 years old, namely, Sabas Laureano of Barangay Trinidad, San Remigio; Lucibar Vicente Sr. of District II, Sibalom;

and Esteban Mediore of Poblacion Norte, Tobias Fornier, received P10,000 each.

Also, those who received their checks in the amount of P10,000 each were Presentacion Juanites of Barangay Beri Barbaza, now aged 103; Basilia Ignacio of Bugo, San Remigio, now aged 103 years; Blas Peregrino of Igbalangao, Bugasong, now 102; Antonina Vicente of Cuyapiao, Patnongon, now 101 years of age; Asuncion Paguia of Alegria, Caluya, now 101 years of age; Rita Natividad of Poblacion, Tibiao, now 101 years old; Nicolasa Rosilio of La Rioja, Patnongon, now 100 years old; Narciso Berdin of Cansilayan, Valderrama, who is also 100 years old.

A total of 105 recipients are male and 281 are female; 11 are 100 years and above while 82 are aged 95 to 99. PNA

Tourism&Entertainment A9

BusinessMirror

Monday, November 9, 2015

Editor: Carla Mortel-Baricaua

VOYAGE TO NORTHERN THAILAND

THE guards just before entering the main temple glimmer in their bone-white appearance.

B

S    J B

ANGKOK’S frenzied pace, blurring red lights and its well-worn backpacker trail is still a novel experience for those who have been to Thailand a couple of times.

THE many hands reaching out once you cross the bridge into the main temple of Wat Rong Khun.

For those looking to dig deeper into culture and history, heading north lets you experience the country beyond the contradictions of Bangkok.

Staying true to its vibrant past

I RODE the overnight train from Bangkok to Chiang Mai; it was easy enough to book because it was a popular destination for both local and foreign travelers. For me, it was also a novel way to travel and see more of the country rather than booking a flight.

The night went by quickly, I woke up to the slow chugging of the train as buildings vanished, replaced by plains, mountains and small charming towns. As we inched closer to Chiang Mai train station, I pictured verdant landscapes with little to no concrete or metal structures, and villages where local people gathered around a market. I wanted to project a Philippine province in my next destination; but I was in for a surprise.

The five-star hotels, international restaurants, busy streets, commercial districts and all the characteristics of a metropolis were there in Chiang Mai. I was a bit disappointed, but I kept an open mind, maybe the city managed to retain its personality despite its glossy and commercialized exterior?

A walk and ride around town made me see how the city managed to stay connected with its past. The centuries-old temples conflate with

WAT Chedi Luang’s ruinous state adds to its mystique.

THE revered temple laden in gold atop Doi Suthep.

THE temple atop Doi Suthep is one of the most visited in Chiang Mai.

the high-rise buildings and the local markets. The ascent and descent of temple spires and concrete and metallic roofs of buildings and houses line the city’s skies.

The connection of the Thais to their past is seen through the restoration of temples that date hundreds of years ago and the bustle that happens on a daily basis. These are not just vestiges of a forgotten past; they are part of the present and the near future.

The most prominent of the several decades or centuries-old temples is Wat Chedi Luang. The unfinished state of this Buddhist temple adds to its mystique; a lost-in-time feel, left in the past but dragged into the present amid five-star resorts and

throngs of foreign visitors. The construction of the temple began in the 14th century, but only finished in the mid-15th century.

Inside the old city of Chiang Mai is like walking the thin line of past and present; there are several temples in various states of ruin or repair intermingled with newly built ones or the construction of restaurants, hotels or family-owned shops and guesthouses.

To escape the hustle and bustle of the city (or so I thought), I went to Doi Suthep, a famous mountain just outside the city. I threw all perceptions of a quiet day out when I saw multiple cars parked just below the mountain and the presence of several shops around it. The droves of people went up the more than 300 steps stairs or took the elevator to see Wat Phra That Doi Suthep.

Atop the mountain, I saw the revered temple laden in gold. The crowds did not take away from the beauty of the structure and its significance to the Thais.

The odd amalgamation of noise and silence; I have never been to a place where it was noisy and quiet at the same time. Many locals and foreigners flock to popular places of worship like Wat Phan Tao and Chedi Luang. However, I still found a temple where few people visit to just stop and think for a moment, or slow down before zipping back into

the day’s agenda.

The building of new structures conflates with the revival of ancient temples, keeping Chiang Mai rooted to its culture despite its modernizing façade.

The artist’s journey

CHIANG Rai is approximately three hours from the city of Chiang Mai; the former does not have the same buzz as the latter. However, the city has interesting sights because of its proximity to Myanmar and Laos.

Wat Rong Khun, or famously referred to as the White Temple, is a modern Buddhist temple, a brainchild of Thai artist Chaloemchai Kositpat. The modern Buddhist temple is the brainchild of Thai artist Chaloemchai Kositpat. The structure is the symbol of his journey to enlightenment and acceptance of Buddhism. He spent approximately 40 million baht of his own money to fund his creation.

The White Temple is one of the most beautiful structures I have seen in Thailand. It blends old and new, creativity and spirituality.

The bone-white structure adds a twist to traditional temple design by giving it a contemporary flair.

Heads of famous fictional characters hang just outside along with guardians and gods.

The impressive entrance depicts the struggle of man to enlightenment and peace. Several reaching hands from below depict the evil inherent in people; the only way to happiness is to forgo desire, greed and temptation in the world. The symbolic crossing of the bridge over the lake is the transition from hell to heaven or Nirvana.

WAT Rong Khun, or the White Temple, glistens under the sun as tourists shuttle in and out.

COLORFUL souvenirs line the streets when the night market is in full swing.

THERE are several temples decades or centuries old scattered all over the city of Chiang Mai.

The ubosot or main structure is a pearl-white temple with fragments of mirrors that make it glisten under the sun.

In a true artist’s fashion, the structure remains unfinished with construction of new buildings and renovation ongoing—the journey more important than the destination.

Caught in between

CHIANG Rai’s proximity to its northern neighbors LaoPDR and Myanmar, give it a unique mix of culture

and history shared along its border.

The Golden Triangle is an area shared by three countries, Thailand, Myanmar and Laos. The border is infamous in its role during the opium trade prevalent in the region. There is nothing remarkable about the area shared by the three countries; brackish and muddy waters and a mishmash of temples, restaurants and other commercial establishments.

For the history buff, there is a lot to imagine once you set your eyes on the nothingness in front of you. The conflict of the countries in the opium trade, the entanglement of people in power and their pushers, the civilians caught in the web and the journey to stopping the dangerous business all make a compelling plot.

The two cities in northern Thailand are rising with a strong sense of self and history, making them unique in their own right from the city of Bangkok.

The unique, modern architecture, and the old and restored ancient structures are symbols of a country that uses its past as a blueprint for its future.

A10 Monday, November 9, 2015 • Editor: Angel R. Calso

Opinion BusinessMirror

editorial

Preparing for war

W

hile the Philippine government may have some problems figuring out how to handle the Chinese military, one government agency has spent most of the last year getting ready for battle.

If you have been following the BusinessMirror stories about the Bangko Sentral ng Pilipinas (BSP), you can discover a clear pattern. The BSP has been preparing for war.

In his treatise “Concerning Military Matters,” ancient Roman author Vegetius wrote: “In time of peace prepare for war.” The coming economic war will be fought with interest-rate policy and exchange-rate manipulation, and the front lines will be the global banking system and financial markets.

During the last year the BSP has been building a fortress to protect Philippine banks. Prior to shooting wars, the citizens are not always happy having to dig and build bomb shelters, stockpile goods and make sacrifices that do not seem important at the time. But wise generals know that these are necessary steps to avoid catastrophe.

Since the third quarter of 2014, when the BSP raised base interest rates, it has held firm in that policy decision despite calls to allow the cheap-borrowing party to continue. Earnings of the local banks have been going down for several quarters in large measure because the BSP has put strict limits on the banks’ financial-market trading activities to “limit operational risk.”

Further, the BSP has continuously updated and strengthened its rules for lending, particularly to the property sector, to shield both the banks and the developers from any downturn in the real-estate market.

The BSP has resisted calls to intervene to help push the Philippine peso in one direction or the other, depending on the needs or which special interest group is pushing the narrative. This policy has given the BSP a genuine understanding of the true market forces and money flows affecting the peso/dollar exchange rate. The BSP must know, for example, how a 2-percent decline in the Japanese yen against the US dollar is going to affect the Philippine peso.

In October the nation’s gross international reserves (GIR) reached a two-year high of $81.14 billion. The GIR is the ammunition that the BSP can use if global events or speculative forces move the peso to unreasonable levels.

In time of war, the public looks to the generals—more than the civilian leaders—for both guidance and confidence. The BSP has been proactive in speaking to both the public and local financial-market participants with updates and facts to assure the country that the BSP is on top, and even ahead, of potential disruptions in the global financial situation.

With the strong likelihood of the US Federal Reserve raising interest rates next month, and the unknown potential of what the immediate global market reaction is going to be, it is critical that the BSP has to prepare for war.

American Gen. William Tecumseh Sherman said, “War is hell.” As a former businessman and banker, he might well have said the same about the current global financial condition.

PCSO extends help to Lando-stricken areas Atty. Jose Ferdinand M. Rojas II

RISING SUN

W

hen speaking of the services of the Philippine Charity Sweepstakes Office (PCSO), perhaps what the public is most aware of is financial assistance for the hospitalization of patients who cannot otherwise afford treatment or care.

This service falls under the agency’s flagship program, the Individual Medical Assistance Program (Imap), which has provided over P22.9 billion during this administration—from 2010 to June 2015—for the hospitalization and medical treatments (dialysis, chemotherapy, and others) of qualified patients.

But the Imap is not the PCSO’s only service. Among its many other services are calamity assistance, given to those directly affected by emergencies, such as the Zamboanga conflict; and natural disasters, such as typhoons and earthquakes.

The latest calamity we have had to recover from was Typhoon Lando (international code name Koppu) that landed up north on October 17, and over the next couple of days devastated nine provinces in northern Luzon.

In such cases, the PCSO has an automatic response, wherein the agency shoulders the hospitalization costs of the victims of calamities through Imap. Relief goods, equipment, medicines and other forms of assistance are also provided, depending on the need.

Not including hospitalization assistance, the PCSO has provided to Lando victims over P3.87 million to date. The amount went to medicines for Isabela, Quirino, Bulacan, Aurora and Tarlac; relief packs for Cagayan; rice for Bani, Pangasinan; groceries for Pampanga; and financial assistance for Nueva Ecija (accounting for P1 million).

The PCSO often courses calamity assistance through its branch office network, now at 47 branches all over the country from an initial 25, when the present PCSO board of directors assumed office in 2010.

Rubio’s racking up enemies

I

By Francis Wilkinson | Bloomberg View

t looked, until today (November 6), that Marco Rubio would be subjected to a pincer maneuver by Donald Trump and Jeb Bush. Trump wants to bruise Rubio, in part, because the Florida senator is on the rise, and in part, because Trump knocks people down just because he can. Bush wants to remove Rubio from the presidential field in particular because Rubio is getting traction in inverse proportion to the degree that Bush is losing it.

Now, in what can only be an unpleasant development for Rubio, Ted Cruz has decided to make it a three-pronged attack. A super PAC supporting the Texas senator’s presidential ambitions launched a radio ad in Iowa on Friday attacking Rubio for a lack of accomplishments except one: “his gang of eight amnesty bill.”

Rubio, whose talent for the slippery getaway is on par with Trump’s for shoves from atop the jungle gym, is desperately trying to avoid being pinned down on immigration. Trump, in particular, has been pushing Rubio to define his nebulous, shifty positions. In the shorthand of conservative immigration restrictionists, Rubio

was against “amnesty” before he sponsored a Senate bill providing a path to citizenship for 11 million undocumented immigrants in the US. When that plan went down in the House, a victim of conservative outrage, Rubio slipped back through the battle lines to take shelter on the amnesty opponents’ side. It is in no one’s interest, save Rubio’s, for him to find safe refuge there.

Trump has already had success smoking out Rubio, as Bloomberg’s Sahil Kapur reported this week.

Rubio also toughened his position on immigration, making clear for the first time he’d end President Barack Obama’s program to shield young undocumented

This year, in order to continue implementing a medium-term strategy to make PCSO services more accessible to more Filipinos, the agency will establish two more branches in Bayombong, Nueva Vizcaya and Mati, Davao Oriental.

Both are tentatively scheduled to be opened within this month.

The aim is to have an office in every province, where it is feasible. Because each branch office functions almost as a mini-PCSO, this will make it more convenient for our kababayan to file their requests for assistance and patronize PCSO products, such as Lotto and other games.

It is the PCSO games that fund all the programs of our 81-year-old agency, including the ambulancedonation program, which provides brand-new ambulances every five years to requesting parties.

Under a 60-40 percent sharing scheme or outright donation, depending on certain criteria, local government units (LGUs), public hospitals, charitable institutions and associations, and state colleges and universities may avail themselves of ambulances from the PCSO for the benefit of their constituents.

Ambulances are a great help to communities, especially during times of calamities, something we’ve been told by LGU officials

around the country, who said that PCSO ambulances have been instrumental in saving the lives of many during medical emergencies and natural disasters.

In line with this particular program, the PCSO will give away 700 ambulances this year. The latest batch of 31 was delivered last week to recipients in nine provinces in southern Philippines: Bukidnon, Camiguin, Lanao del Norte, Misamis Occidental, Lanao del Sur, North Cotabato, South Cotabato, Sultan Kudarat and Maguindanao.

Ambulances are also being turned over at the PCSO head office in Mandaluyong City to various recipients from all over the country. On October 16, units were given to Kabasalan, Zamboanga Sibugay, and Talavera, Nueva Ecija; and on October 15 to the Armed Forces of the Philippines’s Naval Forces Northwest and the Manila Naval Hospital.

With two months left in the year, PCSO remains as energetic as ever in pursuing its strategies: from growing its business to delivering its core services, the agency seeks to fulfill its commitment to help deliver universal health care to the Filipino people.

Atty. Rojas is vice chairman and general manager of the Philippine Charity Sweepstakes Office.

“ dreamers” from deportation by stopping new enrollments.

Obama’s program is designed to temporarily protect people who were brought to the US by their parents when they were children.

The Cruz super PAC’s radio salvo, which may or may not be welcome by Cruz’s campaign, is no doubt music to Bush’s ears, since his resurgence is in all likelihood dependent on Rubio’s weakening. “He’ll go through the wringer, just like I’m going through it, and he’ll have to defend himself,” Bush told the Wall Street Journal.

“There’ll be scrutiny on him, just as there should be for everybody.”

Rubio could find himself under siege very quickly, if Bush—or, more likely, the super PAC supporting him—picks up the “do nothing” theme of Cruz’s attack and if Trump zeroes in on the cleaner, more deadly shot: that immigration restrictionists can’t trust the wavering Rubio.

Rubio may be the only candidate in the field who could provoke an attack from Cruz, Bush and Trump.

Bush and the others are, after all,

competing to capture entirely different voting blocs. Rubio is sufficiently malleable (and talented) to be a threat to compete against all three. Yet, as Scott Walker found, in attempting a run similar to Rubio’s, it’s easy to be overwhelmed and discarded in a large field that has yet to find its indispensable man.

If Rubio fails to commit irrevocably to the Trump-Cruz “no amnesty” position, he will have serious troubles with the Republicans’ restrictionist base. If he capitulates fully to the restrictionists to prove his faithfulness, he’ll have little room to maneuver in a general election, when Hispanic and Asian voters will be looking for clear signs of inclusiveness from whatever Republican nominee emerges from an ugly primary.

In effect, Trump and Cruz are driving Rubio to be as unacceptable to a general electorate as they are likely to be themselves.

That doesn’t mean Bush, who has mostly stuck to his lonely support for immigration reform, will survive the primary. But it would be a delightful irony if it did.

nnn

Opinion BusinessMirror

opinion@businessmirror.com.ph

NovemBAR

Monday, November 9, 2015 A11

Private sector: The engine that propels Apec to greater heights

By Michael M. Alunan Special to the BusinessMirror

Atty. Lorna Patajo-Kapunan

T

legally speaking

he bar month has finally arrived. Every year thousands of bar hopefuls take on what is said to be the toughest examination in the country. However, not all of them are able to finish all four weekends, and only a handful of those who do are able make it to the list of bar passers.

Many may not be aware of this but I have actually been on both ends of the spectrum. I was a bar taker in 1978 and, 10 years later, I was a bar examiner for Commercial Law in 1988. After experiencing both, I can definitely say that one role is just as tough as the other.

From a barrister’s point of view, I can relate to the feeling of reading and rereading books, notes, reviewers and other materials that, when piled up together, can reach as tall as a full grown man. Although the examinees are given months to review and prepare, it always feels like there is not enough time to finish everything.

On the other hand, I also know what it is like to be an examiner.

To have to check thousands of booklets for a limited period of time was certainly a laborious task. To have to keep your identity as an examiner until the release of the results proved to be quite difficult, as well. But, perhaps, the most challenging aspect of it all was knowing that every point you give or do not give can change a person’s life.

The ultimate challenge of the bar, however, does not end when you mark the final period of your last sentence on the exam booklet.

Neither does it end after that sigh of relief when the results come out after having to endure months of mental and psychological torture during the waiting period.

In fact, the ultimate challenge of the bar begins right after you become full-f ledged members of the bar.

In present times it is not unusual to be hearing stories about the rampant corruption left and right committed by lawyers, judges and justices.

The people who are supposed to be at the forefront of fighting for justice have, in many ways and many instances, become the source of injustice. Instead of ridding the streets of law breakers, they add to its increasing numbers while using their legal prowess to get themselves out of trouble. This display of arrogance undoubtedly contributes to the cultivation of the attitude of self-entitlement, which has

long plagued our society.

Lest we forget, passing the bar does not automatically make one a lawyer. The Supreme Court has pronounced in numerous cases that “before one is admitted to the Philippine Bar, he must possess the requisite moral integrity for membership in the legal profession. Possession of moral integrity is of greater importance than possession of legal learning.

The practice of law is a privilege bestowed only on the morally fit. A bar candidate who is morally unfit cannot practice law even if he passes the bar examinations” (Aguirre v. Rana, B. M. No. 1036. June 10, 2003).

Furthermore, the exam passers must also swear the Law yer’s Oath before they are admitted to the bar.

Hence, as the bar season is now in full swing, may this event remind lawyers on that oath and how hard they have worked to attain the prestigious title of “Attorney.” But more than the honor and prestige it brings, may the title also serve as a reminder of their mandate and responsibility toward society as members of the legal profession. Just like what the barristers and the bar examiners are going through right now, every sentence written in a pleading, and every argument raised in court, can change a person’s life.

Instead of becoming perpetrators in oppressing the victims of circumstance, the powerless and the inutile against the growing problems of the nation, lawyers must seek to give the people the voice they need to attain justice. As the defender of rights, it is the lawyer’s duty to address the issues of inequality that has been present for decades and to make sure that those who have less in life should have more in law. We must bring hope to our citizens and remember our commitment to use our legal knowledge to bring equitable development to all.

To all the barristers and bar examiners this year, I wish you good luck!

For comments, you may e-mail me at lpkapunan@kapunanlaw.com.

A

lthough the Asia-Pacific Economic Cooperation (Apec) is a group of 21 economies led by heads of states, it never makes “binding” agreements. However, Apec has had numerous achievements since its inception in 1989, mainly because of the active participation of the private sector under the Apec Business Advisory Council (Abac).

The private sector in the 21 economies, with the support of their respective governments, has been responsibly pursuing what were agreed upon on a “best effort basis.” This means that the business private sector is the engine behind the phenomenal success of Apec. This is the lesson we learned in a press forum organized by the BusinessMirror with Doris Magsaysay-Ho, chairman of the Abac, and Guillermo Luz, chief operating officer of the Apec 2015 Chief Executive Officers Summit, as speakers.

Ho said that it is “the private sector that lives the change every day.”

She explained that policy reforms take time to evolve, but this should not hinder business from thinking of innovative and creative ways of going around government impediments without violating laws, such as constitutional restrictions like foreignownership limits on vital businesses.

same period.

Apec’s Trade Facilitation Action Plan to simplify customs procedures resulted in region-wide cost reduction by 10 percent between 2004 and 2010, which generated savings for businesses among Apec members to about $58.7 billion. This was partly due to the installation of computer systems reducing processing time from six to eight days to only four to five hours on the average. And for environmentalists, Apec reduced tariffs to 5 percent or less to a list of 54 environmental goods as of 2015.

Although all plans, as usual, are again not binding, Apec members still responded voluntarily in varying degrees of compliance.

Philippines rides on Apec’s gains

Veteran newsman Teddy Locsin Jr., who was at the BusinessMirror press briefing, likened the trailblazing private sector to “tail biting the dog,” referring to the business sector moving ahead of government.

He noted that, at times, it is the rule of law that often “prevents many businesses from moving as fast” in response to the demands of the times.

Luz explained the “nature of change,” saying, “the trade business is now outpacing the discussions of multilateral organizations like Apec.”

Ho added: “We are even moving beyond tariffs, goods and services.

That is why we need to focus on education as we don’t know the jobs of the future and the dynamics of change.” She stressed that education, particularly in the field of science and technology, is the long-term solution to poverty as it will help us keep up with the dynamic changing world of innovation.

The Philippines improved its world competitiveness rankings by five notches in the World Economic Forum’s (WEF) 2015 Global Competitiveness study. The country is projected to be the “16th-largest economy by 2050,” owing to its huge population and rich resources, which usher in bigger and promising opportunities for Filipinos, according to the Economist magazine. The country’s Public-Private Partnership Program is also “recognized as one of the best in the world, ranked seventh out of 21 countries in 2014.”

Nikkei Asian Review reported that the Philippines is now considered the region’s next shipbuilding hub and has even surpassed its European rivals in 2010. By 2014 it was already the fourth-largest shipbuilding nation after China, South Korea and Japan, it added.

Trade Undersecretary Adrian S. Cristobal Jr. noted that Apec has contributed much to the country’s growth, as “85 percent of Philippine exports and 70 percent of imports are accounted by Apec member-countries.”

Apec pie doubles

Inclusive growth urgent

“Tail biting the dog”?

Citing the 21 economies’ records, Luz said Apec’s combined GDP doubled from $16 trillion in 1989 to $31 trillion in 2013, and now accounts for 57 percent of world GDP and 47 percent of world trade in 2012.

“The main reason for this is the steady reduction in trade barriers and tedious regulations,” Luz said, citing Apec statistics showing that average tariffs alone fell from 17 percent in 1989 to 5.2 percent in 2012. Apec’s total trade thus increased over seven times to $22 trillion, from 1989 to 2013, while the rest of the world grew by only 5.4 times during the

Luz noted that the country’s “robust growth did not always translate into inclusive benefits for all, as poverty and joblessness continue to prevail.”

He stressed that “this is precisely why the Philippines is pushing for the next agenda this year,” with the theme “Building Inclusive Economies, Building a Better World.”

Apec’s key priorities, starting in 2015, to achieve inclusiveness are the following: 1) Enhancing the regional economic integration agenda; 2) Fostering small and medium enterprises’ participation in regional and global markets; 3) Investments

Articulo Uno–Punitive powers of the BIR Current scenario

Marco Fernando

W

DEBIT CREDIT

hile watching Heneral Luna—the historical movie of Jerrold Tarog—the first thing that caught my attention was the way General Luna disciplined the army during the revolutionary days of the Philippines and American war. He was not interested in politics or the laws, what he was fighting for was the independence of the Republic; and because of that, he wanted an unwavering support from all his troops. And he often site the “Articulo Uno” of the Revolution’s Constitution during that time, of which he was hated by his own troops that they used to call him “General Articulo Uno,” since he threatened them with such article of the Constitution at that time, in which if a general commanded a soldier to do act on something and did not obey, then the general could have killed that soldier.

Why go to such trouble reciting to the Philippine troops the said article? Because some of the soldiers during the time of General Luna lack discipline. But, by using such a threat, he was able to make his

troops follow his orders, which often resulted to great success against the well-equipped US Army. This shows that the “proper” motivation will result to “proper” discipline, which may provide great outcome.

Fast-forward to the present, the Bureau of Internal Revenue (BIR) is currently enforcing strict compliance with the National Internal Revenue Code (NIRC) by fining taxpayers who neglect their duties. Those penalties are called “compromise penalties” for violation of the NIRC. The penalties may range from P1,000 to P50,000, depending on the severity of the violation of the taxpayer (Revenue Memorandum Order 7-2015). These are penalties paid on top of interest or surcharges.

There are two lines of thought with regard to the issue on hand.

One of them is that this shouldn’t be implemented, since it is an additional “tax” being generated by the BIR without proper legislation, and a lot of taxpayers have wondered why the BIR started issuing such punitive penalties against them, since they are already willing to pay surcharges and interest for late filing. The other line thought states that

this is one way to discipline the ta xpayers to respect and follow the NIRC.

Power of the BIR commissioner

But just the same, the BIR commissioner has the mandate to do such disciplinary act under the NIRC (Section 6 of the NIRC). The following are the summary of the commissioner’s power (Sections 4 to 8 of the NIRC): n To interpret tax laws and decide tax cases; n To obtain information, and to summon, examine and take testimony of persons; n To make assessments and prescribe additional requirements for t a x ad m i n i s t r at ion a nd enforcement; n To conduct inventory - taking surveillance and to prescribe presumptive gross sales and receipts; n To terminate taxable period; n To prescribe real-property values; n To inquire into bank-deposit accounts;

in human capital development; and 4) Building sustainable and resilient communities.

Deeper cooperation through integration involves more reforms that will improve the ease of doing business, more access to developmental funds, better governance, and wider value and production chains, particularly with micro and small businesses, which account for over 90 percent of total businesses Apec-wide. Education is also a priority to prepare the youth to the fast-changing dynamic future. Being in the Pacific ring of fire of earthquakes, with some members vulnerable to climate change like typhoons and droughts, sustainable and resilient communities have now become a top agenda for all.

Meets provide meat

Foreign Affairs Undersecretary Laura Q. del Rosario noted that it took a total of “157 major and minor meetings since December 2014 to prepare and build up to the 2015 Apec meeting of chief executives from 21 Apec member-countries.

Significant among these are the eight senior ministers’ meetings and forums of Apec member-countries on various topics from energy, trade, finance, transport, education, small businesses, women, infrastructure, etc. These were held separately in the past months since May in Iloilo, Cebu and Boracay. Separate meetings were also held by the private sector under the Abac, which is composed of 63 business leaders from Apec countries.

While the Apec CEO summit will be held from November 16 to 18, there will be a prior meeting of Abac from November 13 to 16; a simultaneous overlapping Apec SME Summit on November 17 at Green Sun Makati, with the theme “Innovation and Big Ideas: Pushing Boundaries” with President Aquino as keynote speaker; and, finally, an Abac dialogue with all the Apec CEO leaders at the Philippine International Convention Center on November 18.

All of these marathon meetings indicate that the Philippines is serious in pushing for its agenda and providing meat to the discussions and directions of Apec.

Unity in confusion over potpourri?

Each member-country has its distinct agenda and subgroupings, all within the Apec network. The US is pushing for the Trans-Pacific Partnership (TPP), composed

n To accredit and register tax agents; n To prescribe additional procedural or documentary requirements; and n To delegate power to subordinates.

Compliance is the answer

A taxpayer should not worry about this, because if you comply, then you don’t need to pay such hefty fines. Always remember, even if you do not have to pay any income tax, you still need to file a tax return with the BIR. This applies to people who have “negative tax payable,” “exempt returns” or “zero tax payable returns.” One thing is certain from the current situation, such an act from the BIR is needed, since most of the taxpayers are still noncompliant in their filing of basic tax returns and continuously neglect their duties, until such a time when a tax audit is conducted or a tax clearance is requested, then they find out that

of 12 member-countries initially, excluding China, while China is pushing for the Free Trade Area of Asia Pacific (FTAAP).

The China-led FTAAP claims to generate gains that will be 12 times that of TPP by 2025 and three times that of the Regional Comprehensive Economic Partnership (RCEP), another trade agreement being negotiated among the Asean nations with countries including China, India, Japan, Korea and Australia/New Zealand, says the China-US Focus Digest.

While some Apec member-countries have differences on politics, including territorial claims, the potpourri of unresolved issues involving these Apec nations has not deterred them to agree to stick to economics, and not politics, by building toward mutual benefits.

Pushing what you want matters

In the end, what is important, according to Ho, is that each country must know and maximize what it can achieve by pushing its own agenda in Apec. She made special mention of New Zealand, which has a clear agenda of what it wanted to push being a developed country and a major dairy and wool exporter. Records show that New Zealand has a population of 4.5 million, and a sheep population of 60 million.

She said: “We must not come from a position of fear in facing our competitors in Apec, but come from a position of knowing what we want” and pushing them aggressively.

Luz said that, in fact, many of the problems of the Philippines and for many countries across Apec are internal. But surprisingly, despite the cultural diversity, diametrically opposed political systems, varied social differences and the fact that no agreements are binding, Apec members manage to keep in step with the demands of the times and march forward to continue achieving mutual benefits.

Among the themes to be pushed in the dialogue with Apec state leaders are the FTAAP; a services cooperation framework and Apec Knowledge Center on Services; the Apec Boracay Action Plan for Micro, Small and Medium Enterprises; the Apec Finance Ministers Cebu Action Plan, Sustainable Development, and the Promotion of the Rule of Law. Whatever will be the outcome of the Manila meeting, everyone seems to agree that the effects on Apec member-countries will be beneficial to all, and this time will hopefully be inclusive to the marginalized sectors, including those vulnerable communities affected by climate change. n Michael M. Alunan, who is mainly into Koop organizing for marginalized sectors, is a freelance writer. E-mail him at michael_alunan@yahoo.com.

such filing were not done.

This is just part of the BIR’s power. If a ta x payer tries to evade tax payment altogether, the taxpayer will be punished cr imina lly, and upon conv iction, may be imprisoned from two to four years. A civil suit for the collection of taxes may still be pursued by the BIR against a taxpayer in jail.

Marco Fernando L. Ng is currently the managing partner of M. Ng & T. Lopez partnership firm, one of the boutique firms in Metro Angeles. Prior to establishing the f irm, he worked for three years in New York Cit y with one of the largest auditing f irms there, where he focused on hedge f unds and private equit y f unds. He also worked with two of the largest auditing firms in the Philippines doing f raud invest igat ion and dispute ser vices and assurance ser v ices, and hand ling cor po rate accounts and public listed companies.

2nd Front Page BusinessMirror

A12 Monday, November 9, 2015

www.businessmirror.com.ph

DOF lashes back at solons pushing for tax reforms

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By David Cagahastian

he Department of Finance (DOF) on Friday hit back at legislators urging the administration bloc to pass the proposed income-tax reforms, saying the various stripes of politicians involved are merely riding the wave of populist demand for the “political convenience” they represent at the upcoming national elections.

Finance Secretary Cesar V. Purisima said the legislators should instead abolish the bank-secrecy law to allow revenue collectors to broaden the tax base and force more taxpayers to pay the correct tax on their incomes.

Customs Commissioner Alberto D. Lina was more blunt last week, when he said at a roundtable with reporters that the country’s banksecrecy law would remain in force and effect, despite local and international pressure to abolish it, because the legislators themselves are the first to be adversely affected by subjecting their financial transactions to scrutiny by authorities of the Bureau of Internal Revenue (BIR).

Purisima blamed the bank -secrecy law provisions for the narrow tax base

in the country, and challenged legislators supporting the income- tax reforms to spearhead the abolition of the legislation to allow the BIR to look into bank transactions that lead to the hidden-income streams of taxpayers.

“We believe the underpinning policy weakness that causes a narrow tax base and low compliance rate are the very restrictive banksecrecy laws that weaken the BIR’s capacity to carry out its mandate.

We are one of only three countries in the entire world, along with Switzerland and Lebanon, where the tax administration cannot access bank transactions. We are one of only two countries in the entire world, along with Lebanon, where tax evasion is

not a predicate crime to money laundering,” Purisima said.

Under Republic Act 1405, or the bank-secrecy law, “all deposits of whatever nature with banks or banking institutions in the Philippines” are “considered as of an absolutely confidential nature and may not be examined, inquired or looked into by any person, government official, bureau or office, except upon written permission of the depositor, or in cases of impeachment, or upon order of a competent court in cases of bribery or dereliction of duty of public officials, or in cases where the money deposited or invested is the subject matter of the litigation.”

The proposed income-tax reforms have been watered down by proponents in Congress to include merely the readjustment of the tax brackets so that the income-tax rates would more accurately reflect inflation since 1997, or when the current income-tax brackets were imposed.

Under the current income-tax system, an individual taxpayer with a taxable income of P500,000 per year, or roughly some P40,000 per month, is imposed with the highest income tax rate of 32 percent, along with other rich taxpayers, whose taxable incomes run in the millions of pesos.

Purisima himself admitted that the current income-tax system seems unfair, when the DOF’s pet example of inequity—the comparison between the taxes paid by

a public-school teacher and a doctor—is considered.

But he said that legislators are merely playing to the public when they criticize his hard-line stand against the proposed adjusting of the brackets to shift the tax burden from the middle class to the rich.

Internal Revenue Commissioner

Kim S. Jacinto-Henares said the taxreform proponents should go beyond political convenience and push for bank-secrecy reform first before supporting any tax-reform plan.

“We cannot take a reductionist or simplistic approach to tax reform.

It is easy and, I must say, very popular during election season to cut

taxes; and if we only look at this as a simple yes or no question, who wouldn’t want to? A hurried taxreform plan, absent the necessary transformation of our restrictive bank-secrecy laws, and done with undue haste during the frenzy of elections, would be a grave disservice to our people,” she said.

PITCH FOR TOURISM Filipino-American rapper Apl.de.ap of the Black-Eyed Peas sings his own composition “It’s More Fun in the Philippines” at the launch of the Department of Tourism’s “Visit Philippines Again” campaign for 2016 on Tuesday evening at Searcy’s, an exclusive lounge at the iconic London tower called The Gherkin. In attendance were UK-based travel media and bloggers. Stella Arnaldo