OPTIMISM OF THE PALACE ON IMF PROJECTION

        “I believe the International Monetary Fund ((IMF) will be surprised when our gross domestic product (GDP) growth exceeds their targets. We’re looking at five to six percent growth. In any case, what’s equally important as the growth is the fact that it is being felt by a greater portion of the population,” said Presidential Communications Development and Strategic Planning Office Secretary Ricky Carandang, who expressed optimism that it would be able to prove the IMF is wrong in its projection that the Philippines would be the dawdler in economic growth among the ASEAN nations this year and in 2013.

          Secretary Carandang cited the government accelerated infrastructure spending, tourism development and higher agricultural production as factors that would lead to the country’s growth.

          In its latest World Economic Outlook (WEO), the IMF said the country’s GDP would grow 4.2 percent this year and 4.7 percent in 2013 after slackening to 3.7 percent last year from 7.6 percent in 2010 due to weak global trade and cautious spending by the Aquino government.

          The projected GDP growth this year for the Philippines  is slower than Indonesia’s 6.1 percent, Vietnam’s 5.6 percent, Thailand’s 5.5 percent and Malaysia’s 4.4 percent.

          But the government has been reporting some good news on the economic front. Growth of Philippine exports in February was reported at 14.6 percent, the highest growth since April 2010 driven by a rebound in electronics shipments, boosting hopes for stronger economic growth this year. The amount of foreign direct investments (FDI) in January 2012 also reached $766 million. In the previous year, the total FDI inflow was only $214 million for the same period.

          The Asian Development Bank (ADB) in their Asian Development Outlook for2012, said “forecasts for 2012 and 2013 assume that the government will raise spending, follow through on its commitment to improve the business environment and carry out some of the planned public-private partnerships, which include airports, highways and water supply operations.”

          The IMF sees the GDP in Asean-5 expanding by 5.4 percent this year and 6.2 percent next year from 4.5 percent last year. The multilateral lender sees the GDP in Asia growing six percent this year and 6.5 percent next year from 5.9 percent last year after activity across the region slowed during the last quarter of 2011, reflecting both external and domestic developments.

          In emerging Asia, adverse market developments were correlated with countries reliance on euro area banks, which have already begun reducing their cross-border lending.

          Asian banks are generally in good financial health and many large Asian banks have sufficient capacity to step up lending further.# ART

BINAY FOR PRESIDENT ON 2016

          Former President Erap Estrada said recently that Vice President Jerjomar Binay is the United Nationalist Allliance (UNA) one and only presidential bet in 2016 elections.

          UNA is the coalition formed by Estrada’s Pwersa ng Masang Pilipino (PMP) and Binay’s PDP-Laban.

          “He was my running mate in the 2010 elections. There is only one list for president in UNA, and that is Vice President Jejomar Binay.” Estrada said during the launching of the tribute book for him at the Enderun Colleges at The Fort in Taguig City.

          Estrada also introduced Binay as the “future president” of the country during the event. However, UNA has yet to convene its executive committee to choose its senatorial candidates for the coming 2013 elections. The former chief executive also said that he is seriously considering the strong clamor for him to run as mayor of Manila.

          “Right now, it’s 50-50. There are plenty of offers. I was born in Tondo Manila. The people of Tondo were responsible for where I am right now, why my movies and FPJ’s (Fernando Poe, Jr.) became blockbusters. But I have not decided yet. Not yet. I will study it further,” Erap said.

          Meanwhile, Estrada welcomed very much the decision of boxing champion  and Sarangani representative Manny Pacquiao to move to PDP-Laban.

          “That is good for the UNA,” Estrada said. For his part, Binay also welcomed entry of the Pambansang Kamao to PDP who said, “I warmly welcome Cong. Manny Pacquiao to PDP-Laban. He is an inspiration and a source of pride for all Filipinos, especially the people of Sarangani.”

          “More than his stature as a sports icon, Manny has genuine concern for his province mates, and is sincere in his desire to serve.” # ANT

REACTION OF PLASTIC MANUFACTURERS ON PLASTIC BAN ISSUE

          The National Ecology Center which was mandated by law to be created under the Solid Waste Management Act of 2000 (RA 9003), is supposed to guide the government on steps needed to enforce waste segregation, recovery and recycling.

          However, the center that is supposed to play key role in solid waste segregation and management and in the development of a recycling market has yet to be organized 12 years after its existence was legislated.

          “In so many ways, this center will provide the scientific support for measures to keep cities and municipalities clean and environmentally friendly in terms of waste management,” said Peter Quintana, president of the Philippine Plastics Industry Association, Inc.

          Quintana added that the plastic ban has no scientific backing and creates new problems and inconveniences. This is the reason why highly urbanized cities abroad which tried it before, have backtracked and resorted to regulating instead of totally banning the use of plastic bags.

          “We hope this center is organized soonest because the plastic ban is taking its toll on the industry and on the public which has lost access to an all-weather, all-purpose material that is food safe and very convenient,” Quintana said.

          The plastic man said also that the ban has environmental costs since to produce one 183-gram cotton bag requires the use of 320 gallons of water. Likewise, to make one paper bag requires one gallon of clean water, which is what it takes to make 116 plastic bags. He added that the plastic ban is founded on nothing more than the misimpression that plastic bags clogged the drainage systems which cause floods.

          “This is not science at work. Plastic is only a small part of the total debris. The real reason is our refusal to properly dispose of our waste, be it plastic, paper, rubber, wood and many others. This is where the National Ecology Center is needed,” said Quintana, the plastic man.

          The proposed center is also mandated to develop a national recycling network which is very important because, it will generate businesses devoted to keeping the country clean while at the same time creating jobs and small business opportunities nationwide. Quintana concluded that the center is strategically important in addressing the plastic issue and the bigger waste management problem. # ART

5 million tourists are expected this year

           Target influx of tourists for this year is 4.6 million, however, if present trends continue, it may exceed its target according to President Aquino who spoke at the Euromoney Philippine Investment Forum.

          Likewise, with new developments like the inclusion of Palawan’s Underground River as one of the New Seven Wonders of Nature, the government is very confident that it would be able to reach its target of achieving 10 million tourists by 2016 according to Touriam Assistant Secretary Bong Benzon, right after the launching of the new country brand and the tourism reforms that are being carried out.

          “Yes, we are confident of having 10 million foreign arrivals by 2016,” reiterated Benzon during the 19^th Travel Tour Expo 2012 which was organized by the Philippine Travel Agencies Association (PTAA).

          Bengzon added that the government is working on the improvement of air access to the country, as well as the marketing and development of tourism destinations. On the part of the private sector, hotels and resorts must increase their guest capacities and train their frontline service crew to conform to global standards.

          There were 3.58 million foreign tourists who visited the Philippines last year which is higher than 2010, which was 3.45 million only. This year, the Department of Tourism expects to attract four million tourists or more.

          The PTTA president Aileen Clemente said that they are cooperating with local government units for the promotion of local destinations. She noted that the recent inclusion of the Puerto Princesa Underground River in the New Seven Wonders of Nature list will attract more tourists to the island.

          “We are very bullish about the pride of Puerto Princesa City right now,” concluded Clemente. # ANT

IMPRESSIVE GROWTH OF PRU LIFE uk

          For the past three years, Pru Like UK Philippines affirmed that its premium income has grown by an average of 78 percent, capped by the remarkable 33.33-percent growth as of last year.

          It was noted that in 2009, premium income was recorded at Php 3.5 billion, Php 7.8 billion in 2010, and it grew to Php 10.4 billion last 2011. The enormous leap in premium growth catapulted Peru Life UK from sixth largest insurer in 2009 to fourth largest in 2010.

          The growth in premium income was attributed to the strength of its agency force and indirect relations with foreign banks.

          “We were able to achieve these level of sales without a bancassurance distribution network,” said Antonio Manuel G. de Rosas, Pru Life UK chief executive officer for the Philippines.

          Pru Life UK operates solely on its 3,000-strong agency force and a brokerage arrangement with Citi and the Hongkong and Shanghai Banking Corporation (HSBC). Of the first-year premiums last year, the agency force accounted for roughly 60 percent of total while the brokerage arrangement accounted for the remaining 40 percent. Meanwhile, declared net profit grew from Php 640 million in 2010 to Php 682 million last year.

          First-year premiums, including single premiums, reached Php 8.1 billion while renewal premiums, those collections made from existing policies, amounted to Php 2.3 billion. First-year premiums are first-time policies written, while single premiums are policies that require one-time payments. # Alerto Research Team

WIND POWER PROJECTS BY GREENERGY

         It has been reported earlier that Greenergy Holdings is determined to invest at least  $1.3 billion or Php 55 billion based on the prevailing exchange rate – to develop wind power projects in the Philippines for the next 10 years. It was known that it had teamed up with China-based Tianjin Tianbao Investment & Development Corporation (TTIDC) for a joint development, funding and operation of the proposed renewable energy projects. A memorandum of agreement was earlier signed by the two parties.

          Based on the said agreement, the two companies will establish a joint venture vehicle to plan the development of wind energy projects that could generate at least 1,000 megawatts. An initial investment of $200 million for the projects is expected to be infused within the first two years.

          It is also stated in the agreement that the parties would plan the establishment of the first turnkey project, a 49.5-megawatt (MW) wind energy project composed of 33 units of 1.5-MW wind mills. The project is expected to start operation within one year from the time the joint venture was established, as Greenergy Holdings reported. However, the company did not identify the possible sites it was eyeing for the wind projects

          It will be noted that in a disclosure to the Philippine Stock Exchange by Greenergy Holdings, its board had approved the capitalization of the renewable energy company and authority was granted to them “to make deposits for future subscription of up to Php 300 million.”

          In the MOA, parties concerned may also consider other renewable projects such as biomass, solar, hydro and geothermal energy, but they will prioritize the wind energy projects.# Alerto Research Team

POPE APPEALED ON ADULTS FOR CHILDREN’S PROTECTION

          Pope Benedict XVI appealed on adults to protect and to care for children and sent a message to minors suffering from violence, in a speech in the Mexican city of Guanajuato.

          Amid complaints from sexual abuse victims that the pope would not meet them in Mexico, Benedict referred to the mistreatment of children, without specifically mentioning Catholic priest pedophilia scandals of recent decades.

          “I wish to lift up my voice, inviting everyone to protect and to care for children, so that nothing may extinguish their smile, but they may live in peace and look to the future with confidence,” the pope said before hundreds of cheering children from the balcony of the ornate Casa Del Conde Rul, where he earlier met with President Felipe Calderon.

          In his first public event on his second day in Mexico, the pope made a special mention of Mexican children who have to bear the burden of suffering, abandonment, violence or hunger.

          Thousands of children have been orphaned by Mexico’s drug violence – which has left some 50,000 dead since the government started a military crackdown on organized crime in late 2006.

          In a country where violence is an open wound for many families, the pope also warned young people against revenge.

          “The disciple of Jesus does not respond to evil with evil,” he said. The pope has faced criticism during the visit over the Vatican’s management of Mexico’s most notorious pedophile abuse offender, Marcial Maciel, the founder of the influential Legion of Christ order, who died in 2008.

          Mexican victims of sexual abuse accused the Vatican of protecting Maciel for decades and expressed frustration that Pope Benedict XVI would not meet them here.

          In only his second trip to the world’s most Catholic continent, the pope, who turns 85 this month of April, is visiting Silao, Leon and Guanajuato in Mexico before travelling to communist Cuba. # Alerto Research Team

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