BusinessMirror June 20, 2019

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Broader look » a4-a5

Women of Bacoor’s emBattled mussel industry struggle for survival

PHL TO FAST-TRACK ROLLOUT OF COSTLIER INFRA PROJECTS By Rea Cu

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@ReaCuBM

HE government wants to implement more bigt ic ket i nf ra st r uc t u re projects under the “Build, Build, Bu i ld ” prog ra m before t he country reaches upper middleincome class (UMIC) status by the end of 2019 or next year, according to the National Economic and Development Authority (Neda).

DEPT. OF SCIENCE AND TECHNOLOGY

PHILIPPINE STATISTICS AUTHORITY

2018 BANTOG DATA MEDIA AWARDS CHAMPION

Socioeconomic Planning Secretary Ernesto M. Pernia said on Tuesday that the government is prioritizing loan agreements that are more costly as the Philippines will no longer be qualified for special terms for official development assistance (ODA) loans once the country moves to UMIC status. “Government has to prioritize projects such that those that are more costly than others will be prioritized. The more costly ones,

we want them to move faster,” Pernia told reporters at the sidelines of the 8th Philippines-Japan Joint Committee on Infrastructure Development and Economic Cooperation held in New Clark City, Pampanga. Once the Philippines joins the list of UMIC countries, loans will become more expensive as the country will no longer qualify for lower interest rates extended to poorer countries. See “Infra,” A2

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n Thursday, June 20, 2019 Vol. 14 No. 253

5-month BOP surplus hits 8-yr high at $5.2B

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By Bianca Cuaresma

@BcuaresmaBM

ONFIDENCE in the country’s external position continues to increase based on the Bangko Sentral ng Pilipinas’s (BSP) latest report that the Philippines recorded a multibillion-dollar surplus in the first five months of the year. Data released by the BSP on Wednesday showed that the country’s balance of payments (BOP) from January to May hit a surplus of $5.19 billion, a reversal of the $2.1-billion deficit recorded by the Philippines a year ago. The BSP attributed the strong

performance of the BOP to strong remittance inflows from overseas Filipinos, net inflows of foreign portfolio investments and more foreign direct investment inflows into the Philippines during the period. The BOP surplus is the highest since 2011, when the country

incurred a surplus of $5.23 billion also in the January-to-May period. The country’s BOP is the summary of the dollar transactions with the rest of the world. A surplus in this economic indicator means the country earned more dollars

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Construction kicked off on March 15, 2018. Phase 1A of the New Clark City National Government Administrative Center (NGAC) include an athletics stadium that can seat 20,000 individuals, and an aquatics center with a seating capacity of 2,000. David said 8,000 workers are currently working on the project 24 hours a day, seven days a week. Finance Secretary Carlos G. Dominguez III said the speedy construction of facilities in New Clark City was due to the fact that it was built on government land. “I’ll tell you what makes this fast, no right-of-way [issues because it’s] government land. No informal settlers, there were some but they’ve already dealt with it. They’ve offered them other lots,” Dominguez said. According to BCDA President Vivencio B. Dizon, the New Clark City will be one of the legacies of the Duterte administration. “I think it’s one of the legacies that President Duterte will be leaving behind, and we have the Japanese government to thank for that because they have been really supportive since the beginning. And I think based on the discussions today there will be more support to come,” he said. Rea Cu

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ILO: Can it forge a new global social contract? Rene E. Ofreneo

than what it spent during the time period while a deficit means the economy lost more dollars than what it earned. Boosting the five-month BOP performance was the $928-million surplus recorded in May alone. This is the fifth consecutive month of BOP surplus and the second-highest monthly surplus for the year. It is also a reversal of the $583-million deficit seen last year. The BSP said the BOP surplus for May stemmed mainly from the national government’s (NG) net foreign currency deposits, and the BSP’s foreign exchange operations and income from its investments abroad. These were offset partially, however, by the payments made by the NG for its foreign exchange obligations during the month in review.

HE 108th International Labor Conference of the International Labor Organization, held third week of June this year, is called a Centenary Conference. The ILO was formed in 1919 as part of the Treaty of Versailles, the treaty that formally put an end to World War I and accepted the surrender of the German-led Axis powers. Why the inclusion of the ILO agendum in a peace treaty? The quick answer: the winning Allied forces, principally the United States and the United Kingdom, were deeply concerned over the spread of the Leninist Bolshevik ideology that inspired the successful worker-peasant revolution two years earlier, 1917, in the war-weary Russia. The framers of the ILO Constitution countered the Bolshevik threat with a positive guiding framework: “Lasting peace is not possible without social justice.”

See “BOP,” A2

Continued on A7

LABOREM EXERCENS

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MTD aiming to complete construction of New Clark City’s Phase 1A by August

T D Ph i l ippi nes Inc. (MTD) said the construction of the first phase of the New Clark City may be finished by August, ahead of the government’s deadline of October 15, as it is now 80-percent complete. Company president Patrick Nicholas P. David made the pronouncement during a tour of New Clark City hosted by the Bases Conversion and Development Authority (BCDA), Department of Transportation and the Department of Finance. “We are on track to meet the actual deadline set by the government of finishing it by October 15. And we are actually eyeing to meet our self-imposed deadline of August 31, or within the next 73 days,” David said. The government said it expects to complete the New Clark City Project Phase 1A before the 30th Southeast Asian Games, which will be held in Pampanga in November. David said facilities in the first phase of the New Clark City can be used by athletes who are preparing to compete in the 2020 Olympic Games in Tokyo, Japan. The first phase of the New Clark City project includes the construction of sports facilities intended for athletics and aquatic events.

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Confed: PHL to have ample sugar stocks By Jasper Emmanuel Y. Arcalas @jearcalas

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demand for an immediate P10,000per-month increase will take a toll on the country’s fiscal standing, as well as on inflation, GDP growth and credit ratings. “On the macroeconomic impact on the fiscal sector, the P150 billion

LANTERS said sugar output at the end of the current crop year on August 31 will hit the government’s forecast of 2.07 million metric tons (MMT), which will be enough to meet the country’s requirement for the sweetener. Confederation of Sugar Producers Association (Confed) Spokesman Raymond Montinola said hitting the projected output and ending stock of about 437,000 metric tons (MT) would mean that the country will no longer need to import sugar this year. “[Output] will be enough to supply the needs and requirements of the domestic market. As of now, if the production forecast is hit, then there is no need for importation,” Montinola told reporters in an interview in Makati City on Wednesday. The Sugar Regulatory Administration’s (SRA) projected output this current crop year is slightly lower than the 2.083 MMT produced in the previous crop year. Sugar planters said bad weather conditions and lack of laborers, such as sugarcane cutters, hampered production.

See “Teachers’ pay,” A2

See “Sugar,” A2

A TEACHER at La Huerta Elementary School in Parañaque City is shown instructing her students to raise their hands when their name is called. Business groups urged the government to rethink its plan of increasing the salary of teachers by P10,000 a month as this could expand the country’s fiscal deficit. NONIE REYES

‘Hiking teachers’ pay to widen fiscal deficit’ By Elijah Felice E. Rosales

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@alyasjah

HE countr y ’s business community on Wednesday warned the government against approving an across-theboard P10,000 hike in the monthly

pay of public school teachers, as this will result in fiscal deficit ballooning to 4 percent—the highest in nearly two decades. Business groups appealed to the government to be prudent in implementing pay hike for educators. They said giving in to the

US 52.1160 n JAPAN 0.4806 n UK 65.4525 n HK 6.6551 n CHINA 7.5312 n SINGAPORE 38.1467 n AUSTRALIA 35.8350 n EU 58.3439 n SAUDI ARABIA 13.8983

Source: BSP (19 June 2019 )


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