Spring for PH-ASEAN tech economy

From winter to spring for PH, Asean startups

Story by Amanda Murphy, Sandeep Uppal 
Inquirer.net
17 May 2024

While much has been written about a “funding winter,” one could be forgiven for forgetting that Southeast Asia remains home to the world’s fastest-growing digital economy: the region’s digital economy expanded by 12 percent in 2023 and is expected to record a compound annual growth rate of 16 percent until 2030.

Fundraising figures, however, do show how challenging it has been for the sector of late. The amount of capital raised by startups in the region more than halved in 2023, and the number of deals fell significantly.

As a result, many of the Philippines’ digital economy entrepreneurs have had to dig into personal savings and tap family and friends to keep their startup dreams alive as a freeze in funding drags on despite the region’s many attractions for investors.

We are also increasingly seeing the region’s growing appeal to investors in discussions with clients, including at the recent Global Investment Summit hosted by HSBC.

This sentiment is also borne out in a recent HSBC survey of businesses operating in the Association of Southeast Asian Nations (Asean), 74 percent of which intend to increase their investment in the region in 2024. The same enthusiasm is also observed in the Philippines where 72 percent locally based businesses plan to expand into new markets in the region.

For Filipino startups, financing is key

Capital is the lifeblood of innovative companies, which must often invest heavily in new technologies and platforms before they can commercialize them.

In the Philippines, funding is a key constraint for startups. While there are several promising startup companies, financing is scarce as venture capital arms in the country are focused mainly on supporting mature digital sectors such as fintech, media, entertainment, and e-commerce.

Against that backdrop, HSBC has enhanced our offerings to digital-economy companies, launching a dedicated $1-billion Asean Growth Fund that can help finance companies with a proven track record in generating a sustainable cash flow stream.

Alongside our own efforts, it’s also great to see government programs leaning in to support startups for digital economy firms in the region and the Philippines.

The government has launched two landmark laws that define policy to foster the growth of tech startups through the Philippine Innovation Act and the Innovative Startup Act, both enacted in 2019 and designed to spur technological innovation to achieve economic growth and sustainable development.

Governments in Singapore, Indonesia, Vietnam, Thailand, and Malaysia have all also rolled out important incentives to foster innovation and the creation of tens of thousands of new technology startups.

Other governments in the wider region are taking note as well. A new $1.3-billion government fund was unveiled during an Asean-Australia summit in Melbourne in early March. The fund will provide loans, guarantees, equity, and insurance for projects that will boost the Asean-Australia corridor—something we see in action from visits around the region.

Smart strategy

To sustain their growth, digital economy companies will need to focus on controlling costs and lifting revenues. They must also reconsider their approach to funding to manage their cost of capital and secure their long-term viability.

Exploring partnerships with firms in other markets can also allow startups to expand across borders or develop their capabilities without having to make substantial investments themselves. Securing the right partner can also boost the credibility of a startup, enhance its appeal to customers, and—particularly relevant in the current climate—make it more attractive to potential investors.

Such intra-regional initiatives also align with the aims set out in Asean’s digital masterplan for 2025, which was reaffirmed at a meeting of the bloc’s digital ministers earlier this year.

As both Asean and the Philippine digital economy expand, cross-border e-commerce is also creating growth opportunities for traditional and new economy firms. Making it easier for customers—whether they are consumers or businesses—to pay through a company’s digital platforms can be an important revenue driver over the years ahead.

From winter to spring

While many digital economy firms in the Philippines and Asean found it challenging to raise capital in the past two years, there are reasons to be more optimistic in 2024.

The recovery is driving consumption among an increasingly affluent population of 670 million, as one person enters the middle-income bracket every two seconds on average.

The region also has one of the highest digital penetration rates in the world, with the Philippines ranking second globally and first in Asia for internet usage.

Hence, this is further increasing e-commerce, which has passed the $100-billion revenue mark last year. With progressive approaches to financing, the strong fundamentals of the region will help drive the growth ambitions of businesses in the Philippines. After all, after the funding winter comes a thriving spring. —Contributed

Under 30 Filipino Achievers in Forbes Asia

Forbes Asia's 30 Under 30: Meet the Filipinos in the Class of 2024

Story by Esquire Philippines 
16 May 2024

Every year since 2011, American business magazine Forbes publishes a list of notable people under 30 years old in various industries. It started with one list of 30, which later increased to a selection of 30 for each of the 20 categories. With nominations reaching tens of thousands, the annual set was eventually expanded to establish a by-continent list for Asia, Europe, Africa, and so on.

Now, we have Forbes Asia's 30 Under 30 list for the Class of 2024, which includes a diverse group of young Filipino innovators making waves across various industries. This prestigious list acknowledges the achievements of individuals who have made significant contributions to their fields, embodying the spirit of innovation and excellence.

Here are all the Filipinos in the Forbes 30 Under 30 Asia 2024 list:

Ezekiel Miller 

Category: Entertainment and Sports

Age: 25

Rapper Ezekiel Miller (a.k.a. Ez Mil) has been recognized for themes of Philippine nationalism in the track "Panalo." But it was "Up Down" that caught the attention of music legends Dr. Dre and Eminem, with the latter performing in Ez Mil's "DU4LI7Y: REDUX" album released in 2023. Miller was born in Olongapo and is now based in Las Vegas.

Mikaela Helene Reyes

Category: Finance and Venture Capital

Age: 29

Mikaela Helene Reyes is a co-founder of Manila-based cross-border payment startup Parallax, which is in the business of cryptocurrency and blockchain. The tech entrepreneur launched the startup in 2023 as a cutting-edge solution to the hassle of getting paid from another country, an issue she herself experienced after working as a freelancer. Parallax, which now has customers from over 150 countries, raised $4.5 million in seed funding through Dragonfly Capital.

Chia Amisola

Category: Media, Marketing, and Advertising

Age: 23

Internet artist Chia Amisola is an advocate for digital rights and Internet freedom. In 2016, she established Developh, which promotes the use of "technology as a tool for liberation rather than oppression" and aims to preserve "digital work, movements, cultures, and art" through the Philippine Internet Archive. Her most recent project, Ang Bantayog, is an online platform that commemorates the victims of human rights abuses in the 1970s under the Martial Law regime of former dictator Ferdinand Marcos Sr. (How about the human rights abuses after Marcos? Do they not deserve to be included??? - Zephyrr)

Amanda Cua

Category: Media, Marketing, and Advertising

Age: 21

Young entrepreneur Amanda Cua founded Backscoop, which is a newsletter that focuses on the startup scene, and its accompanying podcast called One More Scoop. These platforms allow startup founders to find investors, thus disrupting traditional business models and offering fresh perspectives and novel solutions.

Abigail Marquez

Category: Media, Marketing, and Advertising

Age: 23

Content creator Abigail Marquez is most known for the moniker Lumpia Queen after her content about the Philippine fried snack has gone viral on social media. Trained as a chef, she uses her cooking channel on TikTok to promote the Philippine food culture, share local recipes, and share her passion for food. She won TikTok's Creator of the Year for Food award in 2023 and is one of the Philippine nominees for the 2024 James Beard Awards.

Ramon Christian Larga

Category: Media, Marketing, and Advertising

Age: 27

Ramon Christian Larga (a.k.a. Arshie Larga) has made pharmaceutical information accessible to everyday Filipinos through his content on TikTok. His posts teach viewers about safe medicine in a funny way as well as raise funds to pay for the medicine of those who can't afford it. Larga is a licensed pharmacist who works in his family's pharmacy in Marinduque. He won TikTok Philippines' award for best educational content creator in 2023.

Joshua Serafin

Category: The Arts

Age: 28

Multi-disciplinary artist Joshua Serafin combines dance, live performance, visual arts, and choreography to explore concepts of cultural identity, transmigration, and queer representation. They are currently based in Brussels, where they are serving as a house artist of Viernulvier for the season 2023 to 2027. Serafin has been officially invited to participate in the 60th International Art Exhibition of La Biennale di Venezia curated by Adriano Pedrosa.

Forbes' 30 Under 30 methodology, according to the Forbes website, is: "Forbes Asia reporters and editors comb through thousands of online submissions, as well as tap industry sources and list alumni for recommendations. Candidates are evaluated by the Forbes Asia team and a panel of independent, expert judges on a variety of factors, including (but not limited to) funding and/or revenue, social impact, scale, inventiveness, and potential."

PH as education hub in Asia

Foreign student surge due to PH’s branding as education hub–BI

Story by Adrian Parungao 
Inquirer.net
15 May 2024

MANILA, Philippines — The rise in the number of foreign students in the Philippines was due to the country’s branding as a quality education hub in Asia, the Bureau of Immigration (BI) said on Wednesday.

According to BI Spokesperson Dana Sandoval, the agency observed a rise in the number of foreign nationals coming to study in the Philippines.

“There really was a rise in the number of foreign nationals — particularly Chinese — because the country was aggressively marketing the Philippines as an education hub in Asia,” Sandoval said in a forum.

Sandoval added that this was also in part of the move of the government to invite students to study in the country.

“There are efforts, really, by the national government in general to invite, because China is the biggest source of students worldwide,” she added.

In an earlier report, the BI said it issued more than 16,000 student visas to Chinese nationals in 2023.

Meanwhile, some government officials have expressed concern about the security issues that the influx of Chinese students may bring to the country, particularly in Cagayan Valley.

The schools in Cagayan Valley then responded in a joint statement in April that these allegations were based on racism and Sinophobia.

Philippines bank assets hit P25.6 trillion

Philippines bank assets hit P25.6 trillion

Story by Keisha Ta-Asan
Philstar Global
14 May 2024

MANILA, Philippines — Total assets of the Philippine banking system rose by more than 10 percent to breach the P25-trillion level in the first quarter of the year, according to the Bangko Sentral ng Pilipinas (BSP).

Banks booked an aggregate 10.8 percent growth in assets to reach P25.65 trillion as of end-March from P23.15 trillion in the same period in 2023, based on preliminary data from the BSP.

These resources include funds and assets such as deposits, capital, bonds and debt securities.

The growth in resources was fueled by the 10.6 percent expansion in the assets of universal and commercial banks to P24.08 trillion in the first quarter from P21.76 trillion a year ago.

Big banks accounted for 93.8 percent of the banking industry’s total assets as of end-March.

Similarly, the resources of thrift banks grew 8.8 percent to P1.05 trillion from P964 billion. Mid-sized banks cornered four percent of the overall banking resources.

The assets of rural and cooperative banks jumped by 15.8 percent to P425 billion in the January to March period from P367 billion a year ago.

The newer digital banking group also posted a 63.1 percent increase in assets, reaching P96.9 billion as of end-March from P59.4 billion a year ago.

As of December 2023, the country has 45 big banks, 42 thrift banks, 389 rural and cooperative banks as well as six digital banks under the BSP’s supervision.

Sy-led BDO Unibank Inc. stood as the number one bank with the largest resources at P4.28 trillion, followed by Land Bank of the Philippines with P3.27 trillion and the Ty Group’s Metropolitan Bank & Trust Co. with P3.06 trillion.

Other lenders in the BSP’s top 10 in terms of asset size are Bank of the Philippine Islands, China Banking Corp., Rizal Commercial Banking Corp., Philippine National Bank, Security Bank Corp., Union Bank of the Philippines and Development Bank of the Philippines.

Small Businesses Are Growing 'More Than Ever' in the Philippines

Small Businesses Are Growing 'More Than Ever' in the Philippines. Here's Why

Story by Currie Cator 
Esquire Philippines
13 May 2024

Four years ago, the pandemic forced millions of companies around the world to shut down, stripping many workers of their lifeline. Since then, a lot of people have turned to starting and growing their own businesses. One reason for this is seemingly to have some sort of a "fallback" or "backup plan" in case the same thing happens again.

For lending company Esquire Financing, which provides funding to small and medium enterprises (SMEs) in the Philippines, the pandemic triggered the entrepreneurial spirit of Filipinos, as it showed an opportunity for them to fill in for other people’s needs.

"Sabi nga nila (As they say), necessity is the mother of invention," Kendrick Co, head of strategic partnership at Esquire Financing, told reporters. "A lot of us started seeing kung ano ba ‘yung kailangan ng mga tao (what the people need) [….] and thinking: ‘Oh, I can fulfill that need.’"

"So, definitely, the pandemic left a big impact. Also, sabihin natin na (let’s say) before the pandemic, a lot of us are going to the office. Nung naka-experience ng work from home, ayaw nang bumalik, ‘di ba? So, parang, ano pang ibang option? (Once they experienced working from home, they didn’t want to return, right? So, what else is their option?) ‘Maybe I should start a business.’ People got into that rabbit hole of learning about entrepreneurship," Co added.

A study from recruitment platform JobStreet earlier found most Filipinos prefer a hybrid or remote work setup, which, for them, allows for more work-life balance. According to the poll conducted in 2022, 46 percent of workers are leaning toward a hybrid setup, or a combination of working from home and reporting to the office, whereas 28 percent prefer fully remote work.

But while uncertainty still remains for businesses, given the economic challenges, SMEs are actually doing better than expected. In the case of Esquire Financing, almost all of its borrowers are paying off their loans, it said. That’s even as these small businesses borrowed up to five times their original loans, which is quite a good sign for the economy.

"Over 98 percent have actually paid off," said Co. "They started with a small amount, and then, nakikita namin lumalaki ‘yung business (we see that their business is expanding), so they need more funding to continuously grow. So, on average, parang five times ‘yung re-loan or additional loan (they re-loan or get additional loan five times the original amount)."

Micro, small, and medium enterprises (MSMEs) grew to over 1.1 million nationwide in 2022, according to the Department of the Trade and Industry. This means 99.59 percent of businesses in the Philippines belong to the smaller group, contributing to more than half of the country’s overall employment. 

"I really think it has grown more than ever. You would see now different trends every season, but in terms of ‘are we growing,’ yes, we continuously grow," Trixie Esguerra-Abrenilla, CEO of Mediacom Solutions, Inc. and organizer of the 14th Philippine SME Business Expo, said on the sidelines of the event on Friday, May 10.

This continuous growth of SMEs is what pushes lenders like Esquire Financing to support more Filipino entrepreneurs. The company looks to provide P10 billion in loans to businesses this year from about P6 billion in 2023. Three to four years from now, Esquire Financing also expects to double or triple its current 30,000 client base to 100,000.

"We give out loans as low as P50,000 all the way to P10 million, unsecured. But we can go as [high] as P20 [to] P100 million. [….] So, it really depends on the need of the business," Co said, emphasizing the company has already lowered the minimum loan of P300,000 to P50,000.

Philippine partners with UK’s creative cities

Philippine partners with UK’s creative cities

Story by Louella Desiderio 
Philstar Global
13 May 2024

MANILA, Philippines — The Philippine Creative Industries Development Council (PCIDC), led by the Department of Trade and Industry (DTI), has forged partnerships with three of Scotland’s United Nations Educational, Scientific and Cultural Organization (UNESCO) – designated creative cities as part of efforts to support Philippine cities’ aspiring for creative city designation.

Under the Philippine Creative Industries Development Act, the PCIDC, which is chaired by the DTI, is mandated to establish the Philippine Creative Cities Network to help accelerate efforts for cities’ UNESCO creative city accreditation.

During the PCIDC delegation’s visit to the United Kingdom last May 8 to 10, meetings were held to discuss how to leverage the cities’ strengths, creative talents and assets to drive economic growth, while enhancing cultural enrichment and promoting social cohesion.

To help Philippine cities become UNESCO-designated creative cities, Trade Secretary Alfredo Pascual vowed to expand the opportunities for synergies between the Philippines and the UK’s creative cities.

In photo: DTI Secretary Fred Pascual and V&A Dundee Director of Operations Christian Moire

In photo: DTI Secretary Fred Pascual, Perth City of Craft and Folk Arts Anna Day, Dundee City of Design Annie Marr

“By taking inspiration from the best practices and innovative approaches of our British counterparts, we can adapt and tailor our strategies to address the unique challenges and opportunities present in our own creative cities,” he said.

There are currently three UNESCO-designated creative cities in the Philippines such as Baguio for crafts and folk arts (2017), Cebu for design (2019) and Iloilo for gastronomy (2023).

To enable other Philippine cities to become UNESCO-designated creative cities, the DTI is implementing the Lunsod Lunsad Program, which involves providing support and financial resources to cities that aim to position themselves as vibrant creative hubs.

To help cities harness the creative potential of their communities, the program provides capacity-building and facilitates access to funding.

Key officials of Abertay University in Dundee shared their strategies to promote industry-academe innovation partnerships for cultivating talent and driving growth in the game development and digital animation industries.

> photos from DTI website

PH, UN strengthens partnership to implement sustainable devt

PH, UN strengthens partnership to implement sustainable devt

Story by The Manila Times
13 May 2024

The Philippine government and the United Nations (UN) in the Philippines operationalized a strategic partnership toward achieving the UN's Sustainable Development Goals (SDG) and implementing the Philippine Development Plan (PDP) 2023-2028.

Held at the National Economic and Development Authority (Neda) Central Office on May 3, the inaugural meeting of the Joint Steering Committee (JSC) on the 2024-2028 UN Sustainable Development Cooperation Framework (UNSDCF) of the Philippines brought together key stakeholders, including the Philippine government and the UN, with the former represented by the National Economic and Development Authority (Neda) and the Department of Foreign Affairs (DFA).

The Terms of Reference (ToR) approved during the meeting outline the cooperation between the Philippine government and the UN under a new partnership for 2024-2028. This blueprint sets the stage for coordinated efforts to achieve the UN's SDGs while aligning with the country's PDP 2023-2028. Secretary Arsenio Balisacan highlighted the significance of this partnership saying, "The UNSDCF complements our national development plan, serving as a guiding framework that fosters synergy with the international community. By crafting the UNSDCF collaboratively, the government and the UN aim to maximize impact and create a harmonious approach to sustainable development."

During the meeting, the JSC also endorsed key documents from the Cooperation Framework and reviewed the current UN portfolio in the Philippines, focusing on human capital development, inclusion, and resilience building; sustainable economic development, decent work, and innovation; as well as climate action, environmental sustainability, and disaster resilience. Additionally, the UN Philippines presented an overview of resource requirements for the next four years, along with a joint work plan for 2024 that carries an estimated budget of $211 million.

NEDA presented the ToR for the JSC and the Joint Results Group (JRG), emphasizing the primary role of each JRG in facilitating the implementation of programming priorities and ensuring internal coherence. Foreign Secretary Enrique Manalo emphasized that the UNSDCF is anchored in the spirit of strategic partnership and collaboration, aligned with the Philippines' economic trajectory to become an upper-middle income country. He stressed that no strategic priority is self-contained, with each one contributing to attaining the country's mid-term and long-term priority development goals, as well as Ambisyon Natin 2040.

"We can all look forward to reaping the benefits of a partnership with the UN that is characterized by Philippine ownership of the process, greater transparency, as well as targeted programs and deliverables tailor-made for us to enjoy the benefits of the reformed United Nations development system," Secretary Manalo said.

The UNSDCF recognizes the Philippines' localization agenda of the SDGs and its transition toward achieving upper-middle income status to ensure that no one in the Philippines is left behind. Under this new modality of the UN organization, resources will be allocated to capacity development, technical assistance, policy advice, thought leadership, partnerships, and knowledge sharing.

"The CF marks the start of a new generation of UN-Government cooperation instruments, and with this change, we are innovating ways to enhance our collaborative work with the Philippine government as we shift from traditional development assistance to transformative strategic partnerships for policy and capacity development, knowledge generation and the leveraging of financial resources," stated UN Resident Coordinator in the Philippines Gustavo Gonzalez.

The UNSDCF was signed on October 24, 2023, by the Philippine government and the United Nations in the Philippines. The JSC serves as the main governing body of the UNSDCF and is a key mechanism for providing strategic direction and oversight for UN support in the country towards the joint development priorities outlined in the Cooperation Framework.

Net FDI soars to $1.4B in February

Net FDI soars to $1.4B in February

Story by Niña Myka Pauline Arceo
Inquirer.net
13 May 2024

NET foreign direct investments (FDI) surged in February compared to a year earlier, the Bangko Sentral ng Pilipinas (BSP) reported late Friday.

At $1.4 billion, the net inflow was 29.3 percent higher than the $1.1 million recorded a year earlier.

This took the January-February tally

"The [year-to-date] growth in FDI reflects sustained investor confidence in the country's macroeconomic fundamentals and resilience amid persistent inflationary pressures and global economic uncertainties," the BSP said in a statement.

February's increase was said to be primarily due to a 927.3-percent increase in nonresidents' net investments in equity capital to $764 million from $74 million a year earlier.

The gain would have been higher had it not been offset by a 41.5-percent drop in net investments in debt instruments to $533 million from $912 million.

Reinvestments of earnings also dipped by 3.8 percent to $66 million from $69 million.

The Netherlands accounted for the bulk of FDI in February, which was mostly channeled to the financial and insurance (91 percent) and manufacturing (5.0 percent) industries.

For the first two months of 2024, net equity capital placements surged by 350.3 percent to $753 million from $167 million a year earlier.

Reinvestments of earnings rose to $165 million, up 7.4 percent from $154 million, while net investments in debt instruments increased by 11.6 percent to $1.4 billion from $1.2 billion.

Equity capital placements for the two-month period originated mostly from Japan and the Netherlands.

The bulk or 80 percent went to the financial and insurance sector, followed by manufacturing (8.0 percent), and real estate (4.0 percent).

Sought for comment, Rizal Commercial Banking Corp. chief economist Michael Ricafort said the improvement could be attributed to economic and financial markets gains in recent months.

Young Bicolano making waves with his piano talents

9-year-old Bicolano prodigy gains int’l attention

Story by JESSICA CALINOG
GMA Regional TV
12 May 2024

A nine-year-old boy from Milaor, Bicol has been making waves internationally with his piano talents, earning numerous medals from international competitions.

Brent Cataneo-Amado has been featured in the newspapers based in Bahrain, such as the Gulf Weekly.

According to Brent’s mother, Aileen Cataneo, his focus and confidence have grown significantly since he began pursuing his passion for piano during the COVID-19 pandemic at just six years old.

“Actually, wala naman masyadong nagbago. Mas nag-focus lang siya, tapos mas naging confident siya. Kunwari performing in crowds, kasi before shy type siya,” Aileen said

(Actually, not much changed. He became more focused, and he became more confident. He pretended to perform in crowds, he used to be shy.)

With supportive parents and a new practice routine in place, Brent dedicates himself to honing his skills through piano lessons and regular practice sessions.

“I usually practice and take lessons two to three times a week. [But] there are days that I don’t like to practice because I am not inspired or motivated,” Brent said.

Their family now resides in Bahrain, where Brent's talent has flourished on the international stage.

Brent received an invitation to perform at Carnegie Hall in New York City, United States in June 2024.—GMA Regional TV

Filipino lecturer is named president of Rotary Club in Vietnam

Filipino lecturer is named president of Rotary Club in Vietnam

By Manila Standard
May 11, 2024

Ho Chi Minh City, Vietnam–A Filipino has been named as president of the Rotary Club of Saigon International (RCSI).

John Bayarong is a lecturer at the RMIT University in the city. His appointment made history because he is the first Filipino club president in the rich but abbreviated history of the organization in Vietnam.

The first Rotary Club was chartered in Vietnam 1952, but the Rotary Club ceased all operations in 1975 after the victory of the resistance against America. In its place, clubs based abroad took the cudgel of continuing to address social concerns by working with national and local public institutions. 

“Credit to the government for legislating a social enterprise registration that allowed our club to be recognized. They understood that international service organizations are willing to work with them, hand in hand, to support their programs however we can,” Bayarong explained, noting that in just two years, five clubs were chartered nationwide.

RCSI, in its website, said that “with the chartering of RCSI and its twin club, the Rotary Club of Saigon (RCS), Rotary International is now able to maximize support by tapping the assistance of clubs around the world.”

The Rotary Club also said clubs are moving quickly to provide service to the communities. On March 31, Rotary International, together with RCSI and 12 South Korean clubs, funded the heart operations of 70 children with congenital heart diseases. This was on top of last year’s heart surgery operations for 30 kids.

The Philippines could become a maritime superpower

PH can be a maritime superpower – PMMA official

Story by The Manila Times
11 May 2024

THE Philippines could become a maritime superpower. This possibility was raised by Commodore Joel Abutal, Philippine Merchant Marine Academy (PMMA) superintendent.

"If we really like to be a maritime superpower, we need to develop other maritime infrastructures, software and hardware in becoming a maritime superpower," Abutal said.

Abutal mentioned that 10 to 20 percent of PMMA graduates went on to serve in the Philippine Navy or the Philippine Coast Guard, while 80 to 90 percent chose to work in the merchant marine.

He stressed that $10 to 12 billion in remittances a year came from merchant marines. "It's big money that can support the economy, even the modernization of our Armed Forces. We would like to make [PMMA] a more productive institution."

He said this could only be achieved if PMMA added more educational programs. Currently, PMMA only had two programs: Bachelor of Science in Marine Transportation and Bachelor of Science in Marine Engineering, as stated in the charter of the PMMA.

Abutal said PMMA hoped to amend its charter through a bill in Congress which would convert the PMMA into the Philippine National Maritime Academy.

Abutal also revealed that demand for merchant marines was more than the Philippines and other maritime countries could provide.

He said some 89,000 seafarers were needed by international shipping companies. "In our case, we can only supply 220 graduates every year."

Pinay 1st runner up accepted Miss USA 2023 title

Former Mutya ng Pilipinas accepts Miss USA title after winner’s resignation

Story by Armin P. Adina
Inquirer.net
10 May 2024

Former Mutya ng Pilipinas-Overseas Communities Savannah Gankiewicz has accepted the Miss USA title after 2023 winner Noelia Voigt’s resignation several days ago, the national pageant organization and the Hawaii-based Filipino American model herself have confirmed on social media.

“We are proud to crown Savannah Miss USA 2023, a true representation of vision, intelligence, and compassion,” Miss USA Organization CEO and Pres. Laylah Rose was quoted in a Facebook post on May 10.

Voigt rescinded her throne on May 6, saying, “I strongly value the importance of making decisions that feel best for you and your mental health.” She won the Miss USA crown in September last year.

Gankiewicz, who placed first runner-up to Voigt in the national pageant, said, “Please know that my decision to accept the Miss USA crown was not one that was made lightly. I stand with Noelia, it was the honor of a lifetime to share the stage with you during your crowning moment and I wish you all the best in your next chapter.”

The Venezuelan American Voigt, who finished in the Top 20 of the 72nd Miss Universe pageant in El Salvador in November, reminded people to “prioritize your mental health, advocate for yourself and others by using your voice and never be afraid of what the future holds, even if it feels uncertain.”

The new queen expressed her gratitude to her home state, her family and friends, and said, “It is a privilege to accept this title on behalf of you. I hope to make you all proud.” Gankiewicz represented the Filipino community of Hawaii in the 2017 Mutya ng Pilipinas pageant.

“With the little time I have as Miss USA, it is my intention to bring attention and focus on to the building of Lahaina on my island of Maui. I also look forward to helping the 2024 delegates transition into a new era of Miss USA and supporting them on their own journeys towards the crown.

On May 8, Miss Teen USA UmaSofia Srivastava also announced that she was stepping down, following Voigt’s resignation. The 17-year-old Mexican Indian-American 11th grader from New Jersey said, “My personal values no longer fully align with the direction of the organization.”

Voigt told People Magazine that the teen queen’s decision took her by surprise. “I actually didn’t know that she was going to do that…We were at an event together last night, and were both feeling incredibly optimistic about the future and what that holds for us individually and together,” she said.

Rose took over the leadership of Miss USA and Miss Teen USA pageants in August last year, after former president Crystle Stewart stepped down following a series of controversies which also involved her husband.

Stewart became the national director of both pageants in 2020. She was suspended in October 2022 following accusations of rigging the competition in favor of Filipino American Texan queen R’Bonney Gabriel, who eventually won Miss Universe. The accusations have been proven false, but the pageant head did not retain her position.

Miss Universe 2023 warm welcome in the Philippines

Miss Universe Sheynnis Palacios basks in Filipino hospitality

By Iza Iglesias
Manila Times
May 10, 2024

Since her arrival in the Philippines on May 1 as part of her Asia tour, reigning Miss Universe Sheynnis Palacios of Nicaragua has been deeply touched by the warmth and hospitality of the Filipino people. Throughout her nearly week-long stay, she found herself feeling truly at home.

On Sunday, May 5, Filipinos poured out their love for Palacios in a heartfelt motorcade at the SM Mall of Asia Complex, complete with a marching band. She was moved to tears by the cheers, fans, and the chants of her home country, Nicaragua.

A touching moment during the parade went viral on social media — a Nicaraguan who is based in the Philippines handed her their flag, moving her to tears once again.

The following day, Palacios graced the Miss Universe Philippines Sponsors Night at the Manila Hotel, where she met her fellow Miss Universe 2023 batchmate, Michelle Marquez Dee, for the first time since the competition in November last year.

In her speech, she expressed her gratitude, saying, "Ako si (I am) Sheynnis Palacios, your Miss Universe. It's a pleasure to be here and I want to say thank you, maraming salamat po, and muchas gracias. This visit is very special to me as part of my Asia tour because of you, the Filipino people. Thank you for the warm welcome, it felt like a homecoming, and it's very meaningful to me. I cried a lot because you made me feel like I was at home."

"Thank you in the name of the Miss Universe Organization, Miss Universe Philippines, and thank you in the name of more than six million Nicaraguans in my country. I always say that I'm your Miss Universe, and it's a pleasure for me to wear the sash and crown because it means more than that. It's about being responsible, it's about love, and patience. So thank you for making this journey the most amazing job for me and the most incredible experience I have had in my life. Gracias, I love you," she added.

Palacios also took the time to pose for pictures with guests and Miss Universe Philippines 2024 candidates. Besides the Philippines, she also visited Thailand, Cambodia, Laos, and continued her journey in India.

Meanwhile, the Miss Universe Philippines Sponsors Night, hosted by BingoPlus, was further elevated by a stunning fashion show. The first part showcased delegates in the feminine designs of MAGS, while the second half featured the ladies in their Filipiñana best.

OFWs: Boon or Bane on Philippine economy?

Highly educated Filipinos as OFWs: A double-edged sword for PH

Story by Cristina Eloisa Baclig
Inquirer.net
09 May 2024

MANILA, Philippines—In a world that’s constantly on the move, the Philippines has carved out a unique position as a powerhouse in the export of skilled labor. Every year, waves of Filipinos pack their bags to set out across the globe, driven by the pursuit of brighter futures and better opportunities.

This mass migration, while opening doors for many, wields a double-edged sword: it propels Filipino talent onto the world stage, filling crucial roles in international industries, yet it simultaneously strains the local workforce, especially in critical sectors such as health care and education.

These workers, known as Overseas Filipino Workers (OFWs), are not just employees abroad; they are the lifeline of their homeland. Their remittances are the financial bedrock for countless families and a vital cog in the machinery of the Philippine economy.

However, this exodus of talent also brings to light the concerning issue of ‘brain drain,’ leaving the nation in a perpetual struggle to replenish its pool of professionals.

This phenomenon is reshaping the Filipino identity on the global map, striking a balance between loss and gain, between the home left behind and the promise of the world beyond.

Highly educated workers leave PH

Despite its relatively small population of just over 100 million, the Philippines has made a significant impact on the world’s skilled workforce. With an impressive 1.89 million highly educated Filipinos residing in OECD countries, the country ranks third in the world for having the largest educated diaspora, falling behind only India with 3.12 million and China with 2.25 million.

The significance of the country’s contribution to the global pool of skilled workers becomes even more pronounced when considering the country’s much smaller population compared to India and China, both of which have populations exceeding a billion. India’s population stands at approximately 1.325 billion, while China’s is around 1.379 billion.

However, this success story is not without its challenges. The country faces a critical issue: a high percentage of its highly educated workforce is emigrating abroad.

In recent years, the number of Overseas Filipino Workers (OFWs) has continued to grow, with data from the Philippine Statistics Authority showing a steady increase from 1,825,000 in 2021 to 1,963,000 in 2022. These numbers represent a significant proportion of the country’s workforce, engaging in a diverse array of occupations across the globe.

Of the Filipinos returning from overseas, data from the International Organization for Migration (IOM) revealed that 49.6 percent have some college education or higher, reflecting the level of education many choose to take abroad.

This phenomenon is more pronounced in the Philippines compared to countries like India, where the emigration rate of educated individuals is minimal despite its vast population. This raises concerns about the sustainability of the country’s workforce development.

It is essential to note that while other countries like the United Kingdom (1.75 million), Germany (1.47 million), Poland (1.20 million), Mexico (1.14 million), and Russia (1.06 million) also supply skilled migrants, the situation in the Philippines is particularly striking.

The country’s departure of a significant portion of its skilled and educated workforce highlights its crucial role in the global marketplace. It also underscores the potential challenges to its workforce development and sustainability.

Where OFWs go

According to data from the Philippine Statistics Authority (PSA) for 2022, Asia remains the predominant destination for OFWs, accounting for 80.8 percent of the Filipino workforce abroad. This substantial proportion reflects the longstanding ties and geographic proximity that facilitate labor migration within the region.

The Middle East is another crucial employment hub, with Saudi Arabia hosting 23.0 percent of OFWs alone. The United Arab Emirates and Kuwait also significantly contribute, with 13.7 percent and 7.7 percent respectively.

These regions depend on the diverse skill set of OFWs, particularly in sectors such as health care, construction, and domestic services, where their hard work and adaptability are highly valued.

In addition to Asia and the Middle East, other parts of the world also draw Filipino talent. Europe accounts for 9.0 percent of OFWs, while North and South America collectively make up 6.3 percent, with countries like the United States and Canada becoming increasingly popular due to higher wages, better living conditions, and opportunities for family reunification.

These nations, known for their multicultural makeup, provide a supportive environment for Filipinos, helping to foster a sense of community and belonging far from home.

This significant presence of OFWs across various regions highlights their integral role in the global workforce. It sets the stage for a deeper exploration into the impact of their financial contributions, mainly through remittances, on both their host countries and the Philippines.

Rising remittances

In 2023, remittances from OFWs continued to play a pivotal role in the Philippine economy, highlighting the significant financial contributions of Filipinos working abroad.

According to data from the Bangko Sentral ng Pilipinas (BSP), remittances reached an all-time high, with cash remittances alone amounting to $33.491 billion for the year. This marked a growth of 2.9 percent over the previous year, underscoring the resilience of OFWs’ financial contributions despite global economic uncertainties.

December 2023 saw a notable increase in remittances, with a 3.8 percent rise to $3.28 billion compared to the same period in 2022, reflecting the seasonal trend of increased remittance flows during the holiday season.

This boost was largely attributed to the contributions from both land-based and sea-based workers, demonstrating the ongoing commitment of OFWs to support their families back home during significant times of the year.

The United States, Singapore, Saudi Arabia, and Japan were among the leading sources of these remittances, pointing to the diverse global footprint of the Filipino workforce. The steady flow of funds from these countries not only supports individual families but also plays a crucial role in stabilizing the Philippine peso and bolstering the country’s economic growth.

Projected trends suggest that remittances will continue to grow, with an expected increase of 3 percent in the forthcoming years. The data showed that OFWs continue to send financial support back home, ensuring a robust economic connection with their homeland.

This steady stream of funds not only aids individual family members but also plays a crucial role in maintaining the economic stability of the Philippines.

Addressing ‘brain drain’

As the Philippine government acknowledges the profound impact of brain drain on national development, President Ferdinand Marcos Jr. has proposed a new strategy aimed at retaining local talent.

The strategy involves enticing graduates, particularly from the health and information technology sectors, to serve in the Philippines before moving abroad.

“We have to come up with some kind of strategy wherein, let’s say, you provide scholarships, and then the scholarship agreement includes that you stay three years. After that, then they’re free to go,” Marcos said

This initiative is complemented by the acknowledgment that while Filipino graduates are free to seek opportunities abroad, the loss of trained professionals could be mitigated by such programs.

According to Marcos, these efforts need to be supported by more attractive local employment options that could compete with international offers.

In support of this strategy, the Private Sector Advisory Council’s Jobs Sector Group (PSAC-Jobs) has highlighted that the local market struggles to match the high salaries offered in countries like the United States, the United Kingdom, Australia, and Europe.

“I think what we can do is to continue to offer certificate programs and train their skills. I think we can do that. There’s no way for us to retain them,” said Teresita Sy-Coson of SM Investments Corp.

The PSAC has also urged a more coordinated approach among government agencies—including the Department of Health (DOH), the Commission on Higher Education (CHEd), and the Department of Migrant Workers (DMW)—to create more compelling opportunities for Filipino workers.

Philippine economy grew 5.7% in Q1

Philippine economy grew 5.7% in Q1

Story by Ian Nicolas P. Cigaral
Inquirer.net
09 May 2024

MANILA — The Philippine economy grew by 5.7 percent in the first quarter of the year, faster than the 5.5 percent growth in the previous quarter, amid stubbornly high inflation and elevated borrowing costs, the Philippine Statistics Authority (PSA) reported Thursday.

The first quarter gross domestic product (GDP) growth, however, fell short of the government’s target for the period and slower than the 6.4 percent expansion in the same three months in 2023.

The Marcos administration has set its GDP growth target at 6 to 7 percent for this year.

“From the start of the year, we’ve been experiencing shocks,” Secretary Arsenio Balisacan of the National Economic and Development Authority said.

Some analysts said chasing a 6-percent growth would be difficult for the Philippines as long as interest rates remain high.

So far, the Bangko Sentral ng Pilipinas (BSP) has kept its key rate unchanged at 6.5 percent, the highest in almost 17 years. Governor Eli Remolona Jr. now expects borrowing costs to remain higher for a longer period as stubbornly high inflation prevents the central bank from cutting rates sooner.

The Monetary Board, the highest policymaking body of the BSP, will hold its next rate-setting meeting on May 17, with the market widely expecting the central bank to maintain its ultra-tight monetary policy.

A high-interest rate environment can hurt consumption, which has already been battered by fast-rising consumer prices. This prompted the Marcos administration to cut its GDP growth target this year to 6 to 7 percent, from 6.5 to 7.5 percent previously.

According to the PSA, the main contributors to the first quarter of 2024 growth were: financial and insurance activities, 10 percent; wholesale and retail trade; repair of motor vehicles and motorcycles, 6.4 percent, and manufacturing, 4.5 percent.

All major economic sectors —agriculture, forestry and fishing, industry, and manufacturing — posted year-on-year growths of 0.4 percent, 5.1 percent, and 6.9 percent, respectively.

Three Filipinas on Pulitzer Finalists List

Who Are the Filipinas on the 2024 Pulitzer Finalists List?

Story by Hanna Panoringan and Mia Rodriguez 
Spot.ph
08 May 2024

(SPOT.ph) Three Filipina creatives make it to the list of finalists for the prestigious 2024 Pulitzer Prize. Ren Galeno, a visual artist from Davao City, and Nicole Dungca, a US-based journalist, were nominated alongside journalist Claire Healy for their collaborative work Searching For Maura in the Illustrated Reporting and Commentary category. Meanwhile, Reyes is a finalist for Feature Photography, commended for her work documenting youth in Africa. 

The story, first published in The Washington Post, talks of injustice in the form of a real person. Maura was an 18-year-old Filipina who was taken to Saint Louis, Missouri, for the World's Fair in 1904 and whose life becomes the subject of the team's story. According to the Pulitzer Prize's website, the piece was nominated for its "masterful and sensitive use of the comic form."

Meet the Filipina creatives among the 2024 Pulitzer Prize finalists

Who is Ren Galeno?

Galeno, the Davaoeña visual artist behind the masterful art, graduated from the University of the Philippines Diliman with a bachelor’s degree in painting. She currently works in comics and illustration.

Earlier this year, the comic artist shared with Manila Bulletin how she got in on the collaborative project. It turns out that an editor of The Washington Post had earlier read "I pray you're born with gills," a short comic she made for Ten Years to Save the World book. 

Who is Nicole Dungca?

Nicole Dungca, meanwhile, reports for the investigative unit of The Washington Post. She was also a co-host of the award-winning Broken Doors investigative podcast. Dungca has also written for esteemed publications such as the Boston Globe's Spotlight Team, Oregonian, the Times-Picayune, and the Providence Journal. Currently, she is the president of the Asian American Journalists Association.

Who is Hannah Reyes Morales?

Morales was commended for a "creative series of photographs documenting a 'youthquake' occuring in Africa, where, by 2050, the continent will account for one-quarter of the world's population and one-third of its young people." The photographer shared on Instagram that she was "still in a daze" over the recognition. "It was not the easiest assignment but those we photographed helped us understand, bit by bit, what it means to be young and reshaping Africa, and the world."

What is the Pulitzer Prize?

The Pulitzer Prizes are awarded annually by Columbia University, New York City. These awards recognize outstanding achievement in American journalism, literature, and music, including contributions to public service.

The winner of the Illustrated Reporting and Commentary category was Medar de la Cruz, a contributor at The New Yorker. His piece focused on a Rikers Island jail library worker, using "bold black-and-white images" to depict the humanizing power of books for both prisoners and staff. The staff of Associated Press won the Pulitzer for Feature Photography for their work documenting migrants journeying from Colombia to U.S. borders. 

The other finalists include Angie Wang of The New Yorker and Clay Bennett of the Chattanooga Times Free Press.

Filipina creates AI platform that preserves nearly extinct Filipino languages

Filipina creates AI platform that preserves nearly extinct Filipino languages

POP! Jr Contributor - Isa Domingo

Inquirer.net
08 May 2024

Anna Mae Yu Lamentillo, founder and chief officer of Build Initiative Foundation and Chairman of the Build, Build, Build (BBB) Committee of the Department of Public Works and Highways (DPWH) under Secretary Mark Villar, is a 33-year-old Filipina Juris Doctor, academic, author, opinion columnist, philanthropist, and civil servant.

Anna has dedicated over eight years to government service, and is now championing the belief that every Filipino’s voice, dreams, and aspirations deserve to be heard, which also serves as her inspiration in the development an AI platform named Night Owl GPT, which was built in order to preserve indigenous languages that are on the brink of extinction. This is also in the hope that Filipino languages may be kept alive so that more people can learn about them.

There aren’t many AI tools for Filipino people that have functional translations and/or options that aid the use of the Philippine language. Thus, this AI platform serves as a valuable resource, benefiting a diverse spectrum of users–from those in the more professional settings such as those who have a career in Filipino linguistics, to even those who just want to learn how to speak the various Filipino languages.

The GPT, Night Owl, majors in a few of the main Filipino languages such as Tagalog, Cebuano, and Ilokano, and even covers over 170 Filipino dialects. This revolutionary use of technology is just the start of something bigger for the Philippine culture.

The preservation of Philippine languages is integral to safeguarding the country’s rich culture. By nurturing these linguistic traditions, individuals can deepen their understanding of the nation’s heritage and values. Embracing technology to aid in this preservation effort not only honors the roots on which the country was built but also provides continuous growth and development. Through the mindful preservation of the country’s linguistic diversity, the Philippines can chart a path toward a more vibrant and inclusive future.

Anne’s approach to addressing linguistic extinction is also very pragmatic and forward-looking, taking into account the rapid pace of global advancement. She recognizes the urgency of the situation and proposes practical solutions–the making of this AI Platform–that leverage modern technologies. By prioritizing the preservation of languages within this context, Anne ensures the protection of the Philippines’ cultural heritage in an ever-progressing world.

Celebrating Filipino Designs

The Filipino Design Studio: Proudly made in the Philippines

Manila Times
07 May 2024

RETURNING at Mega Fashion Hall this May 2 to 9, SM Megamall's Kultura Filipino Design Studio: Made in the Philippines edition is back and bigger than ever.

The event is a welcoming, community-based space that fosters connections between like-minded brands, dedicated to celebrating Filipino culture. The biggest Filipino Design Studio to date, the event is bringing together over 70 guest brands, house labels and social enterprises. With a focus on all things Pinoy from Barong Tagalog and modern Filipiniana to resort wear pearls and accessories and tropical home decor and wellness essentials, explore new, up-and-coming brands alongside familiar favorites.

As the brand continues to highlight products with a purpose, it has selected numerous brands, based on their commitment to environmentally friendly practices and support for local artisan communities. Social enterprise Hibla PH offers a range of apparel made from authentic Philippine textiles while also hosting workshops, focused on activities such as upcycling accessories and bracelet weaving.

Another example is Ruyág Native Products Manufacturing, which employs Bicolano artisans, who handcraft bags using natural materials to leave a lesser carbon footprint. Home decor and furniture brand Likha+Mundo scouts small, mom-and-pop craft businesses from around the nation, giving them a larger platform to share their creations.

This season's lineup is also set to feature handmade jewelry by Virtucio Fashion Designs and Mjorian, Filipiniana-inspired pieces by Raquel's Piña Cloth Products, C&C lifestyle and Handwoven Beauty; and home essentials by Woven, Dwellbeing and WIX Cozy Homes.

Other guest brands include Adela Puls, Amber & Anne, And Again Clothing, Binibini Marikit, Brave Story, D' Bayong Art Gallery, Ethnique, Idyllic Summers, Hibla Philippines, Lily Jewelry, Macopa, Masabel Iloco, Mjorian, Virtucio Fashion Designs and Ziya Style.

Meanwhile, house brands that the public can support include A-M and Ayesha Gemstones, Agsam Fashion Fern, Anmari & Co., Asnie, Asron, Aurea Pearl, Auro Chocolate, Barong Filipino, Barong Lumban, Berches Barong, Berches Filipiniana, Boho Manila, among many others.

Take a look at the full lineup. Discover and delight in local artistry at Kultura's Filipino Design Studio at SM Megamall from May 2 to 9.

Moonlight by SB19 making waves worldwide

SB19’s ‘Moonlight’ sets Top 10 record, tops 9 countries on global music charts

Story by Hannah Mallorca 
Inquirer.net
07 May 2024

P-pop powerhouse SB19 set a new milestone with its new single “Moonlight,” done with producers Ian Asher and Terry Zhong, as it debuted on the Top 10 of global music charts.

The track entered the 10th rank on the Worldwide iTunes Song Chart — joining global hits like “Texas Hold ‘Em” by Beyoncé, “Fortnight” by Taylor Swift and Post Malone, and “Espresso” by Sabrina Carpenter — on Sunday, May 5.

“Moonlight” also topped the music chart under the “all genre” category in nine countries, including the Philippines, Indonesia, Cambodia, United Arab Emirates, Hong Kong, Bahrain, Qatar, Singapore, and Saudi Arabia.

The single was brought to life in collaboration with Asher and Zhong, with SB19 earlier sharing that working with the producers allowed them to “expand [their] horizons as artists.”

“We’ve met Ian Asher during our tour in the US, and we were surprised at how talented and prolific he is at such a young age,” SB19 said in a press statement. “The collaboration really brought out the best of all worlds, and being part of the process really opened our creative realm to exciting new possibilities.”

According to the group, “Moonlight” centers around “sensual pining and romantic desires.”

A million views

SB19 also took to social media to announce the song’s music video crossed the one million view mark on its official YouTube channel.

“SLMT ng sobra for swimming, A’TIN,” the group wrote.

Justin de Dios, one-fifth of SB19, served as the creative director for the music video. He shared in a press statement that the “euphoric undertones” of the song’s lyrics allowed him to add craziness to its concept.

“The song has euphoric undertones lyrics-wise, so I wanted to play around with that concept and inject a little bit of craziness and out-of-this-world treatment… It’s a very simple but minimalist take, but the dance choreography really elevates the visuals to a different level,” said de Dios.