Good day. Here are the stories for The Manila Times for Wednesday, March 1, 2023.
READ: PH gets better growth outlook
GLOBAL and domestic headwinds will weigh on Philippine economic growth this year, but the country could still perform much better than initially expected given its fundamentals and better-than-expected results last year, experts said Tuesday. Speaking at an economic forum organized by The Manila Times, International Monetary Fund (IMF) Resident Representative Ragnar Gudmundsson said the Washington-based multilateral was now looking to raise its 2023 Philippine growth forecast to 5.5 percent from 5.0 percent. The country's medium-term potential growth remained close to 6.5 percent, Gudmundsson said, reflecting dividends from recent structural reforms. An improvement in foreign investments, continued reforms and productivity gains could raise this closer to government targets. Gross domestic product (GDP) growth averaged 7.6 percent last year, exceeding the government's 6.5- to 7.5-percent target, due to strong consumer spending, employment gains, and a continued economic reopening. This year's official target is a lower 6.0 to 7.0 percent with economic managers noting risks from high inflation and global developments. The 2024-2028 goal is 6.5-8.0 percent. Asian Development Bank Country Director Kelly Bird, meanwhile, told the forum that Philippine growth would remain "solid" this year at "around 6.0 percent ... coming off a very good year in 2022." The expansion, he added, will be underpinned by an acceleration in public infrastructure spending, a continued employment recovery, and also remittances and tourism gains. For World Bank Country Director Ndiame Diop, GDP growth this year will be a "relatively decent" 5.6 percent as the average outlook for emerging market economies was lower by 3.7 percent. He warned, however, that with the world "one shock away" from a recession, achieving 5.6 percent was not guaranteed. Locally, continued monetary policy tightening could end up limiting growth, Diop added. The ADB's Bird, who said the Philippine economy had completed a recovery and was now in an expansion phase to its potential growth rate of "slightly above 6.0 percent," also warned of risks from continued tightening.
BUSINESS: Feb inflation could hit 9.3% – BSP
INFLATION could have gone as high as 9.3 percent in February as prices of cooking gas and basic food items further increased, the Bangko Sentral ng Pilipinas (BSP) said on Tuesday. Consumer price growth had surged to a new 14-year high of 8.7 percent in January, and the central bank said any easing last month would only be as low as 8.5 percent. The 8.5- to 9.3-percent forecast range for the month was said to be due to "upward price pressures ... from higher LPG (liquefied petroleum gas) prices as well as elevated prices of key food items, such as pork, fish, egg and sugar." Surging inflation has prompted monetary authorities to raise key interest rates by a total of 400 basis points (bps) since last year, the latest being a 50-bps hike in January. Speaking at an economic forum organized by The Manila Times on Tuesday, BSP Senior Assistant Governor Iluminada Sicat said the BSP's policy making Monetary Board would remain aggressive in addressing inflation.
READ: Angkas CEO: Startups could fuel economic growth
THE head of the motorcycle hailing service Angkas said on Tuesday the government must invest in small, startup businesses if it wants to unlock the full potential of the economy. Guesting at a forum sponsored by The Manila Times, Angkas CEO George Royeca said the government must focus on boosting small businesses to make economic growth sustainable and not dependent on just a few enterprises. Royeca said the Philippines can use these examples and create an environment where the micro, small and medium enterprises (MSMEs) can thrive and be allowed to prosper.
READ: Marcos, Malaysian PM tackle security ties
In other news, President Ferdinand Marcos Jr. and Malaysian Prime Minister Dato Seri Anwar Ibrahim will discuss the strengthening of political, security and economic relations between their countries during a bilateral meeting in Malacañang today, March 1. Anwar is scheduled to arrive in Manila today for a two-day visit. The President will then host a dinner banquet in honor of the Malaysian leader, Garafil said. Anwar is the first head of government to visit the Philippines under the Marcos administration. According to the Malaysian Ministry of Foreign Affairs, Anwar's visit to Manila is his first after being sworn in as his country's 10th prime minister. While in Manila, Anwar will also deliver a lecture at the University of the Philippines about the years after the Asian Renaissance. He will also meet members of the Malaysian community in the country. The official visit, the ministry said, shows the importance of good ties between the two nations as close neighbors in the Association of Southeast Asian Nations (Asean).
READ: Farmgate price of onions dives to P70/kilo – DA exec
AN official of the Department of Agriculture (DA) on Tuesday said the farmgate price of red onions is down to P70 per kilo, but the retail price of the bulbs remains high at P180 per kilo. During the Laging Handa briefing, Bureau of Plant Industry (BPI) Director Gerald Glenn Panganiban said that onion farmers said that the farmgate price of red onion will continue to drop. Based on the monitoring of the DA in Metro Manila markets on Tuesday, local red onions at Marikina Public Market are still sold at as high as P180 per kilo. The retail prices of local red onions ranged from P100 to P180 per kilo; local white onions, from P90 to P140 per kilo. On the other hand, the retail prices of imported red onions ranged between P120 and P150 per kilo and imported white onions, between P100 and P150 per kilo.
READ: Postpone jeepney phaseout – senators
SENATORS on Tuesday urged the Land Transportation and Franchising Regulatory Board (LTFRB) to postpone the planned phaseout of traditional jeepneys. Sen. Mary Grace Poe filed Resolution 507 expressing the sense of the Senate to postpone the phaseout pending resolution of valid and urgent concerns raised by affected operators and drivers regarding the financial viability of the jeepney modernization program. On February 20, the LTFRB issued Memorandum Circular 2023-013 which gives PUV operators only until June 30, 2023 to join an existing consolidated entity, or Oct. 31, 2023 to form a juridical entity and file a petition for consolidation, or else their certificate of public convenience will be revoked. Poe's resolution was referred to the Senate Committee on Public Services. It will be tackled in a public hearing on Thursday, March 2.
SPORTS: Brownlee returns to Ginebra duty
Over to sports, still on a high following his debut stint with Gilas Pilipinas, three-time Best Import Justin Brownlee is expected to carry on that momentum and energy when Barangay Ginebra resumes its playoff chase in the 2022-23 PBA Governors' Cup against Meralco today, March 1, at the Smart Araneta Coliseum in Quezon City. Coming off over a week of break from PBA games, the Gin Kings are more refreshed, while Brownlee, Scottie Thompson and Jamie Malonzo have stayed sharp due to their Gilas stint. The league's most popular squad faces Meralco at 5:45 p.m. in what is billed as a titanic battle pitting two teams that have met four times in the Governors' Cup Finals since 2016. The Bolts climbed all the way up to sixth spot in the standings following back-to-back victories over the NLEX Road Warriors (114-98) and Magnolia Hotshots (86-84).
READ: Opinion and editorial
Rigoberto Tiglao, Fr. Ranhilio Aquino and Francisco Tatad are today's front page columnists. Tiglao believes the Enhanced Defence Cooperation Agreement will make the Philippines look like a chicken scaring a monkey, Fr. Aquino discusses dissenting opinions, while Tatad discusses the challenges of the Regional Comprehensive Economic Partnership.
Today's editorial wants the gas and oil exploration on the West Philippine Sea allowed. Read the full version in the paper's opinion section or listen to the Voice of the Times.
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For The Manila Times, this is Kim Isabelle Dignadice.