EURO-PH NEWS
The European Union and the Philippines are commemorating their sixty years of diplomatic relationship through a multi-media exhibition titled “Shared Journey: 60 Years of EU-Philippines Diplomatic Relations” at the Yuchengco Museum, RCBC Plaza, Makati City. The exhibition is ongoing until 14 June 2024.
EU Whiz 2024 challenges Filipino students on European Union knowledge
The EU Whiz is one of the events held by the EU Delegation to the Philippines in celebration of the 60 Years of EU-Philippines Diplomatic Relations. An exciting three-month-long competition, EU Whiz is an inter-collegiate quiz about the EU, its institutions, roles, history, policies, programmes, core values, its member states and its relationship with the Philippines.
On 28 May 2024, the first political consultations between the Republic of Latvia and the Republic of the Philippines took place in Riga. On the part of Latvia, the talks were chaired by Katarina Plātere, Head of the Bilateral Relations Directorate at the Ministry of Foreign Affairs, and on the part of the Philippines, by Maria Elena Palo Algabre, Assistant Secretary of Office of European Affairs at the Ministry of Foreign Affairs.
Bemakers brings Ube Cream Liqueur to Europe
Danish spirits distributor Bemakers has introduced a purple-hued Filipino Ube Cream Liqueur to the European market. Produced by Destileria Barako, established in 2016, the fiesta-themed cream liqueur combines tradition with innovation.
German firms’ investments in PH hit over P30 B -- PEZA
The Philippine Economic Zone Authority (PEZA) reported that to date, the agency has registered more than P30 billion worth of investments from 37 German-owned projects with over 20,000 direct jobs in various ecozones in the country.
French participation sought in setting up proposed Bohol dairy, cheese facility
THE National Dairy Authority (NDA) said that it is hoping to seal a partnership with the French government to put up a dairy and cheese facility. “We have a project ongoing still under consideration between a French company and the Philippine government,” NDA OIC Administrator Galvino Alfredo C. Benitez said on the sidelines of a forum Thursday.
UK government wants active part in Luzon Economic Corridor
The United Kingdom has expressed interest to be part of the huge task of developing the Luzon Economic Corridor, which will connect Luzon’s principal business hubs including Subic, Clark, Manila and Batangas (SCMB).
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‘Budget reforms’ OK in ’24 to curb underspending risk
The Department of Budget and Management (DBM) is looking to have its budget reforms passed this year to ensure no risk of government underspending. Budget Secretary Amenah F. Pangandaman said that the DBM expects the Public Financial Management (PFM) reforms, including the Cash Budgeting System (CBS) and the National Government Rightsizing Program (NGRP) to be passed this year.
The Bureau of the Treasury (BTr) has fully awarded the reissued three-year treasury bonds during yesterday’s auction amid healthy demand for the government security. With a remaining term of two years and seven months, the reissued bonds fetched an average rate of 6.347 percent, lower than the prevailing secondary market rates. The auction was nearly 2.4 times oversubscribed with total tenders reaching P71.4 billion. With its decision, the BTr raised the full program of P30 billion. This brings the total outstanding volume for the series to P90 billion. Last Monday, the BTr also fully awarded bids for the auctioned treasury bills. The auction was more than 2.5 times oversubscribed, attracting P38.3 billion in total tenders. The BTr raised the full program of P15 billion for the auction.
Finance Secretary Ralph Recto is in favor of lowering the tariff rate for rice imports. Recto told reporters that the rate could be reduced from the current 35 percent, to support the expected reduction in rice prices by September. Recto said while it is assumed that the lower rice tariffs would be implemented until the end of this year, it could still be extended based on its impact. Recto said during the Philippine Economic Briefing last Monday that rice prices are expected to go down by 20 percent by September.
Marcos to Sultan Bolkiah: Nations must unite vs. tensions, global woes
President Ferdinand R. Marcos Jr., in his bilateral meeting with His Majesty Sultan Haji Hassanal Bolkiah Mu’izzaddin Waddaulah of Brunei on Tuesday, emphasized the need for nations to stand united in the face of global challenges, such as climate change and geopolitical tensions. During the meeting, Marcos cited the need for the two countries to unite amid the changing regional and global landscape.
Gov’t urged to prioritize improved tax administration over new taxes
The government must push for stricter and more efficient tax administration and collection over imposing new taxes to fund the Marcos administration’s flagship projects, a strategy economists favor in order to avoid fanning inflation.
Crop damage from Aghon at P11 million so far, DA says
Agricultural damage caused by Typhoon Aghon (international name: Ewiniar) was initially estimated at P11.83 million, according to the Department of Agriculture (DA). “In the coming days, we can expect that to increase… Bicol Region and Eastern Visayas have not yet reported,” Agriculture Assistant Secretary and Spokesman Arnel V. de Mesa told reporters on Tuesday.
BSP to maintain ‘restrictive’ policy
The Bangko Sentral ng Pilipinas (BSP) will keep monetary policy settings “restrictive” as upside risks to inflation remain. The central bank is anticipating faster inflation from May to July, but expects it to return to within the 2-4% target after.
Semiconductors, renewables to drive PHL growth — Go
“[Some of our priority sectors are] semiconductors, electronics, simply because that is our largest export now in the country. So that’s the sector that we really want to grow,” Secretary Frederick D. Go, who heads the Office of the Special Assistant to the President for Investment and Economic Affairs, told reporters on the sidelines of the Philippine Economic Briefing late on Monday.
Recto backs lower tariffs on rice
Finance Secretary Ralph G. Recto said he is open to reducing tariffs on rice imports in order to help bring down prices of the food staple. Mr. Recto told reporters on Monday that tariffs on imported rice could be slashed to 17.5% from the current 35%.
GDP growth may fall below target in 2024, 2025 — BSP
Philippine economic growth may fall below the government’s target this year and in 2025, as high interest rates dampen domestic demand, the Bangko Sentral ng Pilipinas (BSP) said.
PHL lagging as supply chain diversification accelerates
The Philippines is lagging its neighbors in taking in investors seeking to diversify their supply chains, Nomura Global Markets Research said.
Farmers seek Senate review of RCEP impact
FARMERS are calling for a review of the Philippines’ performance under the Regional Comprehensive Economic Partnership (RCEP) trade agreement. RCEP is a free trade deal involving the Association of Southeast Asian Nations, China, Japan, South Korea, New Zealand, and Australia. It took effect in June 2023.
Visa-free entry seen driving travel growth in Asia-Pacific
Visa-free entry is driving the growth of inbound travel to the Asia-Pacific (APAC) region, according to Singapore travel booking service Trip.com Group. At the Airline Global Conference 2024 at the Pudong Shangri-La, Trip.com Chief Operating Officer Schubert Lou said visa-free policies are yielding results within the region.
DoF estimates P10B in foregone revenues from lower rice tariffs
The Department of Finance (DoF) proposal to further lower the tariffs on rice imports is estimated to bring down prices by as much as P5 per kilo, but also result in around P10 billion in foregone revenues. Finance Secretary Ralph G. Recto earlier proposed to lower tariffs on rice imports to 17.5%, from the current 35%, to bring down prices of the staple.
The Philippine economy may grow faster in the second quarter due to improved state spending, putting it on track to hit the low end of the government’s full-year target, according to First Metro Investment Corp. (FMIC) and the University of Asia and the Pacific (UA&P).
DPWH unveils infrastructure projects for Calabarzon
Department of Public Works and Highways (DPWH) Calabarzon regional director Jovel G. Mendoza presented an overview of the department’s accomplishments, key projects, and future initiatives aligned with President Ferdinand Marcos Jr.’s Bagong Pilipinas governance and leadership agenda, alongside the “Build. Better. More.” program.
MIAA completes NAIA system upgrade
The Manila International Airport Authority (MIAA) has completed electrical system upgrades at Ninoy Aquino International Airport Terminal 3, but cannot guarantee that there won’t be future power interruptions. The airport management successfully replaced deteriorated medium-voltage switchgear components across eight electrical substations within Terminal 3 from April 2 to May 28.
Clark aviation complex to draw foreign investors, generate more jobs — CIAC
The development of the civil aviation complex in Clark, Pampanga is expected to attract more foreign investors and generate air transport industry jobs, according to the Clark International Airport Corp. (CIAC).
AI seen to generate P2.8 trillion in economic benefits by 2030
Philippine businesses can reap P2.8 trillion for the economy by 2030 if it adopts tools specialized in generative artificial intelligence (AI), according to global tech advisory firm Access Partnership.
PHL improves in budget transparency
The Philippines saw an improvement in its budget transparency score in the 2023 Open Budget Survey (OBS), making it the “most fiscally transparent” country in Asia. In the survey by the International Budget Partnership (IBP), the Philippines’ transparency score went up by seven points to 75 out of 100 from 68 in 2021.
Motor vehicle production up 11% in 4 months
Philippine motor vehicle production expanded by 11 percent from January to April compared to a year ago, making the country the third fastest growing market in Southeast Asia for vehicle assembly operations.
Low peso, net financing raise 4-month debt to ₱15 trillion
THE national government’s outstanding debt in the first four months of the year reached P15.017 trillion due to the state’s net financing and weak local currency. The country’s debt in January to April rose by 7.95 percent or P1.106 trillion from the P13.911 trillion recorded in the same period a year ago.
‘Rice farmers to lose P33 billion from lower tariffs’
Local rice farmers stand to lose P33 billion if the tariffs on imported rice are further reduced, as this is expected to translate to lower farmgate prices, an industry group said. The Federation of Free Farmers (FFF) expressed “vehement” opposition yesterday regarding the plan of the government to cut rice tariffs further to pull down retail prices of the staple.
House ready to help in business liberalization effort–Romualdez
Aimed at promoting the Philippines as a prime investment destination, especially for Brunei business leaders, Speaker Ferdinand Martin Romualdez said on Wednesday that the House of Representatives is ready to collaborate with the executive branch and private sector stakeholders to strongly implement measures that liberalize foreign ownership in various sectors. Romualdez made this commitment while accompanying President Marcos at the Philippine Business Forum held at the Berkshire Hall of the Royal Brunei Polo and Riding Club in Bandar Seri Begawan.
Govt seeks collaboration on energy, agri with Brunei
President Marcos Jr., in his meeting with Bruneian energy industry players on Wednesday, expressed the Philippines’ interest in the latest technology in converting waste products to useful energy to boost the country’s power supply. The President, before concluding his state visit to Brunei on Wednesday, discussed the Philippines’ plans to transition from fossil fuels to RE even as he bared plans to enhance oil and gas collaborations. Marcos bared these in a meeting with the representatives of Brunei’s oil and gas companies Brunei Shell Petroleum Company Sdn. Bhd (BSP), Brunei LNG Sdn. Bhd (BLNG), Total Energies in BruneI, Serikandi Oilfield Services Sdn Bhd, and Adinin Group of Companies.
Globe Telecom Inc. urged the government to invest in digital connectivity and information and communications technology (ICT) to help address the digital gap in the country. Emmanuel Estrada, Globe vice president for regulatory development and strategy, said addressing the digital gap is not the job of the private sector alone, noting the need for the government and communities to lay a greater stake in achieving the country’s digitalization targets, as laid down in the government-led Philippine Development Plan (PDP) 2023-2028.
PCCI: CREATE MORE to rectify discrepancies
The Philippine Chamber of Commerce and Industry (PCCI) expressed its support to Senate Bill 2654 or the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) bill aimed at addressing inconsistencies and gaps in previous law, CREATE. In a letter to Sherwin Gatchalian, Senate Committee on Ways and Means chair, PCCI noted the inconsistencies in the CREATE Act and corresponding administrative issuances relating to taxes and incentives enjoyed in freeport and economic zones.
Tariff cut to depress palay prices by P3/kg
The Federation of Free Farmers (FFF) said halving rice tariffs from 35 percent to 17.5 percent may depress local palay prices by P3 per kilogram and does not guarantee retail prices of rice and inflation will go down. Department of Finance (DOF) Secretary Ralph Recto recently proposed the tariff cut, saying this could reduce rice retail prices by P5 per kg. FFF said previous adjustments in tariffs on rice, corn and pork did not bring about cheaper prices.
NG debt rises in April on weak peso
The National Government’s (NG) outstanding debt returned to the P15-trillion level as of end-April due to the weaker peso, the Bureau of the Treasury (BTr) said. Data from the BTr on Thursday showed outstanding debt rose by 0.61% to P15.02 trillion as of end-April from P14.93 trillion as of end-March. “Total debt increased by P91.5 billion or 0.61% from the end-March 2024 level due to government net financing and the impact of local currency depreciation on the valuation of foreign currency-denominated debt,” the BTr said.
Peso slumps to near 19-month low
The peso sank to a near 19-month low on Thursday due to a strong dollar as US Treasury yields surged amid a hawkish US Federal Reserve. The local unit closed at P58.635 per dollar on Thursday, weakening by 21.5 centavos from its P58.42 finish on Wednesday, Bankers Association of the Philippines data showed. This was the peso’s worst finish in almost 19 months or since its P58.80-per-dollar close on Nov. 3, 2022.
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