Delon Porcalla – The Filipino star
December 26, 2022 | 12:00 noon
MANILA, Philippines — Lawmakers opposed to the Maharlika Investment Fund said it would be better if the Marcos administration allowed the pandemic-hit economy to recover first before venturing into a sovereign wealth fund (SWF) just out excess funds.
“With an SWF, we could be better protected against current and future economic crises and uncertainties. This would allow us to ensure a stable, sustainable and prosperous economy for present and future Filipino generations,” said Camarines Sur MP Gabriel Bordado, who believes now is not the time for such a fund.
MP Mujiv Hataman, who also voted “no” to MIF in the House of Representatives, said it wasn’t worth the risk taking money from state financial institutions while the country, along with the rest of the world, is still recovering from the recession .
“Do we even have a proof of concept to back up the establishment of this MIF? Why risk it at this crucial stage? In such investments we need people of impeccable integrity and proven competence. Trust will be an important issue here,” he stressed.
“In short, we need more time to discuss the measure in order to satisfactorily answer all questions. I feel the House could have taken more time to answer questions about the bill,” reiterated the Basilan congressman.
Opposition Independent MP Edcel Lagman suggested that “any investable resources held by SOEs and controlled companies and GFIs should not be parked in long-term contingent investments”.
“We must rescue our people now from poverty, inflation and the terrible challenges of recession instead of investing in long-term ventures while our people may perish without enjoying the promised fruits of Maharlika,” the Albay lawmaker said.
“They must be invested in Filipino development and adequate allocations for education, health, employment, food security and basic infrastructure. Help our people survive in the short term first so they can reap the benefits over the long term,” said Lagman.
Spokesman Martin Romualdez said the results of the most recent nationwide poll, which showed half of Filipinos supported Marcos’ much-criticized MIF concept, only showed the House was on the right track in approving the measure.
“We are pleased with the poll, which means we are on the right track to support the establishment of this sovereign wealth fund to benefit future generations of Filipinos,” said the faithful steward.
“It shows that our advocacy group is supported not only by major business groups but also by the general population,” said Leyte’s first district congressman, a staunch supporter of the ruling Lakas-CMD party.
Veteran Quezon City Assemblyman Rep. David Suarez simultaneously praised Romualdez’s leadership and patted the spokesman on the back for his steadfast push for the proposed MIF to be approved.
He also said the proposal to set up a sovereign wealth fund like any other country is expected to further accelerate the economic train the Marcos administration has unleashed.
Lawmakers said the proposal has been subject to extensive scrutiny and rigorous plenary discussion, and has been “reinforced with safeguards and safety nets to ensure fund managers will not be able to put their hands on the fund’s investments”.
“Approval of the bill went through a congressional operation. We have made sure that it not only conforms to local laws, but also conforms to international standards,” Suarez said.
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