Eighteen days will not be sufficient for a vital measure such because the proposed Maharlika Investment Fund, an opposition chief within the House of Representatives stated on Friday.
House Deputy Minority Leader Mujiv Hataman of Basilan and Camarines Sur Representative Gabby Bordado made the remarks a day after the House of Representatives handed on closing studying House Bill 6608, creating the sovereign wealth fund measure.
“All in all, from filing to final approval, it only took members of the House of Representatives 18 calendar days to give final approval to the Maharlika Investment Fund bill,” Hataman said.
“Sa ganang akin, hindi ito sapat na panahon para pagtibayin ang panukala lalo na kung maraming tao at sektor ang nagpahayag ng pagtutol sa maraming probisyon nito,” he added.
(In my opinion, this is not enough time to enhance the measure especially if many individuals and sectors have raised their opposition to many of its provisions.)
President Ferdinand Marcos Jr. certified the bill as urgent and paved the way for its passage on second and third readings on the same day Thursday.
Hataman said that the bill was filed on November 28, and was immediately referred to the House banks and financial intermediaries panel on the same day.
It was approved before the same committee on November 29 subject to consolidation by a technical working group.
The substitute bill was approved by the House banks and financial intermediaries on December 1.
The MIF bill was then approved by the House ways and means panel on December 5 in connection with its capacity to generate revenues for the government, while the House appropriations panel cleared it for funding on December 9.
The bill was sponsored and debated in the plenary on December 12 and was approved on the third and final reading on December 15.
Hataman said even officials of the administration, such as Bangko Sentral ng Pilipinas Governor Felipe Medalla and Socio-Economic Planning Secretary Arsenio Balisacan, have expressed reservations over the Maharlika fund.
He said state-run financial institutions had been earning enough to fulfill their mandate with their present investment strategies.
“Do we really need this when these institutions are already earning profit? What can the MIF do that the government financial institutions and BSP cannot do individually?”Hataman said.
“Why risk the viability of these institutions with high returns that come with high risks? Do we even have a feasibility study to stand on that this will work?” he added.
Hataman stated that it additionally stays to be seen if the Maharlika Investment Corporation Board could be made up of individuals with impeccable integrity and confirmed competence.
“Trust will be an important issue here. In short, we need more time to discuss the measure to answer all questions satisfactorily. It is my belief that the House of Representatives could have afforded more time to answer queries to the bill,” Hataman stated.
“We should have invited and given voice to experts – economists, bankers, and financial analysts – to ask their own questions and to give a balanced analysis and impartial observations on the measure. Because even the economists are anxious about this. Let us not rush it since a huge amount of money is at stake,” he stated.
Camarines Sur Representative Gabby Bordado backed Hataman, saying the Bureau of Treasury had reported that the Philippines’ nationwide excellent debt stood at P13.641 trillion as of October 2022 whereas inflation additionally hit a 14-year excessive of 8% in November.
“If we are to look at the current state of the Philippines’ economy, then we could surmise that none of these factors and numbers translate to ‘wealth’ and ‘surplus’. Therefore, by its very definition, we do not meet the fundamental “requirement” in establishing a powerful sovereign wealth fund: extra revenues,” Bordado stated.
“While there was a variety of adjustments within the proposed MIF Bill since its current introduction, significantly on how the SWF could be initially funded, the Philippines can’t afford to take “our sparse resources” and gamble on the hope that the MIF could be worthwhile contemplating the present financial issues,” he added.
For Speaker Martin Romualdez of Leyte and House methods means and panel chairperson Joey Salceda who authored the measure, the truth that the invoice put aside 25% of the MIF earnings to social welfare initiatives and state subsidy for poor households, amongst different amendments, reveals the federal government’s dedication to bettering the lives of the individuals.
“At the Plenary, several interpellators, and numerous hours of session were devoted to informative debates and manifestations discussing lengthily the nature, scope, and benefits of the proposed measure,” Romualdez said in a statement.
“We have increased the contributions of the profits of the Maharlika Investment Fund to the social welfare fund so that the government can utilize it to provide assistance to those who need it the most,” he added.
“The third reading version now creates an MIF that is significantly more transparent and accountable than the committee report. I am proud of the work of the Technical Working Group, which included recommendations from the minority,” Salceda added.
Salceda stated the amendments included:
- an emphasis that the principle goal of the fund was to advertise financial growth by making strategic and worthwhile investments in key sectors;
- the requirement that the board formulate moral requirements that the would cowl the MIF;
- the removing of the facility of the MIC to condone money owed owed to it;
- the deletion of the availability permitting the BSP to take a position a part of its surplus;
- an express provision that pension funds can’t be used to spend money on MIF
- a prohibition on investments in companies/entities with a document of fee of human rights violations, manufacturing of cluster munitions, nuclear arms; and
- rising the variety of unbiased members of the MIC Board to 5 out of 15, amongst others.
—NB, GMA Integrated News
