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Thursday, September 13, 2018 Vol. 13 No. 334
Tax perks bill to cause bigger trade gap: JFC
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By Elijah Felice E. Rosales
@alyasjah
HE country will suffer from a larger trade deficit if the government insists on rationalizing tax incentives, as foreign exporting firms will most probably move their operations to neighboring Southeast Asian countries, according to the Joint Foreign Chambers of the Philippines (JFC). See “Perks,” A8
People are asking if I am investing in this country, what is my biggest worry? My biggest worry is that someone will tinker with the BPO [businessprocess outsourcing] industry and, as a result, you have a decline of money available to spend.”—Raeuber
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@BNicolasBM
HE Economic Development Cluster (EDC) will submit to the Office of the President a draft executive order (EO) removing the administrative constraints and nontariff barriers on the importation of fish, rice, sugar, meat and vegetables, Malacañang said. Presidential Spokesman Harry L. Roque Jr. said in a Palace briefing on Wednesday that this would mean that the draft order meant “simplifying the process of food importation.” “The EO has to do with the nontariff barriers and nontariff impediments. But we are already doing the other measures, such as food importation, removal of some restrictions to importation. We are already doing it,” he said. Roque said the EDC also had an earlier briefing with the President on their joint statement on the August inflation, including their proposed measures to address food inflation. A copy of the statement was also distributed during the Cabinet meeting on Tuesday. This followed the unveiling by the EDC last week of measures to ease high food prices after August inflation surged to a nine-year high of 6.4 percent, bringing the yearto-date inflation at 4.8 percent. The August inflation is beyond the upper end of Central Bank’s forecast range of 5.5 to 6.2 percent. According to Roque, among the short-term policy recommendations listed by EDC include: imme-
Can ‘BBB’ promote decent jobs? Rene E. Ofreneo
LABOREM EXERCENS
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NDER the Duterte administration, the chosen motor of economic growth is infrastructure development. The scheme calls for the implementation of a massive “Build, Build, Build” (BBB) program that will cost the country a staggering cumulative total of P8 trillion to P10 trillion by the end of 2022. This level of spending, equivalent to roughly 7-8 percent of the annual GDP, will be the highest in the country’s history, so said Budget Secretary Ben Diokno. Continued on A7
Ompong’s worst seen to shut down Naia
“The EO has to do with the nontariff barriers and nontariff impediments. But we are already doing the other measures, such as food importation, removal of some restrictions to importation. We are already doing it.”—Roque
diately release 4.6 million sacks of rice available in warehouses of the National Food Authority to the market across the country and allocation of 2.7 million sacks of rice to Zamboanga, Basilan, Sulu and Tawi-Tawi; import 5 million sacks of rice, which arrive over the next one-and-a half months and another 5 million sacks early next year; simplifying and streamlining the licensing procedures for rice imports of the NFA; forming monitoring teams for surveillance of rice from ports to NFA warehouses and outlets; urging the Senate to immediately pass the rice tariffication bill within the month; allowing fish imports to be distributed in Metro Manila and other markets in the country; setting up public markets where producers can sell directly to the end customer, as well as provide cold storage facility for this purpose; simplifying procedures to allow importation of sugar to direct users to moderate cost to consumers; improve logistics, transport distribution and storage of vegetables, which would reduce prices. Continued on A8
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Cabinet readying draft of inflation-busting EO By Bernadette D. Nicolas
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With no ‘BBB’ funds for water, scarcity feared By Cai U. Ordinario @cuo_bm
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HE Philippines is still at risk of experiencing a water crisis due to the bleak water-availabilityper-capita situation in the country, according to experts. This grim scenario came from a policy brief released during the Arangkada Philippines Forum 2018 on Wednesday, authored by former Chairman of the Metropolitan Waterworks and Sewerage System Ramon B. Alikpala and 3M Philippines Government Affairs and Markets Leader Christopher A. Ilagan. The authors used the projected
population of 107 million for 2018 and the fixed renewable fresh water supply of 146 billion cubic meters (BCM) to arrive at the water per-capita availability of 1,553 cubic meters (m3) per year. “This means the country already falls below the international ‘water stress’ threshold of 1,700 m3/year and is fast approaching the ‘water scarcity’ threshold of 1,000 m3/year,” the authors said. Alikpala told the Arangkada Forum that the lack of water supply and sanitation projects in the government’s infrastructure initiative, the “Build, Build, Build,”(BBB) makes the country’s position on water security a cause of concern.
Based on the National Economic and Development Authority (Neda) list of flagship projects, one of the major water projects is the P12.2-billion New Centennial Water Source-Kaliwa Dam Project. The project is being financed by a loan from the Chinese government and is projected to be completed by 2022, when the President’s term ends. The project is “an integrated system that includes the 600-million-liter-perday Kaliwa Dam, its intake and other appurtenant facilities and a 2,400-MLD capacity raw water conveyance tunnel,” said the Neda.
HE Ninoy Aquino International Airport (Naia) will be closed to operations when Typhoon Ompong (international code name Mangkhut), with the potential of developing into a super typhoon, strikes the country. Airport General Manager Ed Monreal announced this on Wednesday afternoon shortly after meeting with members of the Airline Operators Council (AOC). Monreal told the AOC to forward their advisories regarding planned cancelations or delays in flight schedules, “so we can disseminate the information to all passengers and employees who will be affected by the typhoon.” He said the “Passengers Bill of Rights will be strictly implemented during the closure of the airport.” He also appealed to the airline operators to coordinate with the Naia in advance if they will conduct “recovery flights.” This reminder arose from the chaos that ensued when dozens of “unslotted” flights clogged the Naia terminals recently as airlines sought to make up for the 36-hour airport shutdown caused by the overshooting of runway 24 by a Xiamen Airways plane that struggled to land during heavy rains.
Inside PAR HEAVY to intense rains, strong winds and storm surges threaten Luzon as Typhoon Ompong entered the Philippine Area of Responsibility on Wednesday
See “Water,” A8
n JAPAN 0.4831 n UK 70.3061 n HK 6.8703 n CHINA 7.8470 n SINGAPORE 39.2175 n AUSTRALIA 38.4047 n EU 62.6004 n SAUDI ARABIA 14.3774
See “Ompong,” A8
Source: BSP (12 September 2018 )