PSE welcomes passage of REIT Act
By Zinnia B. Dela Peña
(The Philippine Star) Updated December 21, 2009 12:00 AM
MANILA,
Philippines - The Philippine Stock Exchange (PSE) welcomes the passage
of the Real Estate Investment Trust (REIT) Act into law, the fourth
landmark legislative measure proposed by the local bourse to boost the
local stock market.
“We are extremely grateful to our Congress led by Sen. Ed Angara and
Congressman Sonny Angara and President Arroyo for making R.A. 9856 or
the REIT law a reality. We are getting a lot of interest from many of
our property
firms for REIT listings. This landmark law will put the Philippines at
par with the rest of the world which has had REITs for over 20 years,”
said PSE president and chief executive officer Francis Lim.
The Department of Finance (DOF) recommended presidential veto of the
bill basically because of its impact on the tax collection efforts of
the government but the PSE pushed for the bill to become a law.
“We worked extremely hard on this piece of legislation for the past
three years and we were seriously concerned that our time and efforts
would go down the drain when we were informed that the DOF recommended
presidential veto of the bill.
But we think that Congress had already addressed the concerns of the
DOF even up to the bicameral conference committee,” Lim said.
Contrary
to fears that the fiscal incentives in the law may undermine the
revenues of government, Lim explained that the REIT law can even help
contribute to the government coffers. “The REIT law promotes
transparency for tax reporting purposes.
Moreover, the new business opportunities that will be created should translate to a broader tax base for government,” Lim said.
“An independent study
conducted by a team from the University of Asia and the Pacific
concluded that the government will not only recover every peso of tax
incentive but stands to gain between P0.15 and P0.35 more over a
15-year period. This conclusion was made on the basis of the March 28,
2009 version of the bill, which granted far more liberal tax incentives
than the enrolled version,” Lim said.
Lim said the REIT law will develop the capital markets in the
Philippines and provide much needed investment opportunities for
institutional and retail investors to increase the wealth of the
population through a lower risk instrument. “It will also boost the
development of real estate in the country by releasing capital for
reinvestment into land and buildings, leading to increased productivity
and more jobs,” Lim said.
To encourage investments in REITs, the law provides certain tax
incentives to the REIT. However, in order to enjoy these incentives,
the REIT must be listed with a stock exchange and maintain its status
as a listed company and annually give out at least 90 percent of its
distributable income to shareholders.
Aside from the REIT law, another landmark capital market reform was
the law permanently abolishing the documentary stamp tax (DST) which
was passed last June 30. The Personal and Equity Retirement Account Law and Credit Information System Law were also enacted last year to further enhance the capital markets.
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(The Philippine Star) Updated January 14, 2010 12:00 AM
MANILA,
Philippines - Ayala Land Inc. (ALI) is going full throttle with the
development of Nuvali, a 1,700-hectare masterplanned community in
Canlubang, Laguna, with its newest residential project aimed at setting
the standard for the company’s next generation of exclusive
neighborhoods.
The
new project, Santierra, is located right beside Nuvali’s residential
and commercial district that will offer a combination of natural and
suburban living. Surrounded by tree-lined roads and features, Santierra
has started selling lots ranging from 600 to 1,000 square meters.
Santierra,
which will rise on a 77-hec-tare property within Nuvali, will be
developed in two phases with the first one, occupying 47 hectares, to
be launched this year. The second phase on the other hand, comprises 30
hectares.
In
a press briefing, ALI president Antonino Aquino said sales take-up of
Santierra has been brisk with a total of 108 lots already purchased
valued at P1.05 billion.
From
a little over P11,000 last week, the lots are now selling at a minimum
of P12,200 per square meter. Lot sizes range from 600 to 1,200 sqm.
with modal lot cut of about 700 sqm.
Aquino
said the lots will be clustered in groups of 50 and 80 to control the
traffic flow and ensure the security of residents. With only seven
residential lots per hectare, Santierra will provide generous space
while maintaining privacy of residents.
Aside from Santierra, a new office building and several retail facilities are in the pipeline within Nuvali.
Bobby
Dy, president of AyalaLand Premiers and head of the residential
business group, said the group is adding 10,000 square meters of retail
space which shall be available by December this year or early 2011.
Among
Santierra’s amenities include the village clubhouse, multi-purpose
covered courts, amphitheater and the great lawn.The contiguous parks
surrounding the village will incorporate outdoor exercise trails, two
meter wide jogging and biking lanes, and pocket playgrounds tucked in
the shades of a wide variety of indigenous trees.
ALI introduced yesterday its fourth brand, Amaya, which shall take charge of the development of socialized units.
The
group has committed to inject P1 billion over the next three years to
undertake the development of socialized housing units as part of a
strategy to expand its market to a broader segment of the population.
The
initial capitalization of P1 billion will cover an initial run of six
projects in select industrialized rural areas in southern and central
Luzon where end-user demand is expected to be strong. The money will
also be used to fund operating expenses and the acquisition of
potential landbank areas.
Product
offerings will comprise mainly house and lot starter home packages with
prices ranging from P600,000 to P1.25 million per unit. The new
subsidiary expects to launch its first project in Laguna within the
first quarter of 2010.
PSE sees boost in 2010 from key market reforms
By Daxim Lucas
Philippine Daily Inquirer
First Posted 23:07:00 01/03/2010
MANILA, Philippines--THE PHILIPPINE STOCK EXCHANGE (PSE) intends to
push ahead with an ambitious reform program this year as it rides the
crest of one of the best performing periods in its history.
In particular, PSE president Francis Lim said he was counting on the
combined benefits of newly-enacted investor-friendly laws and
technological innovations to help push the bourse’s performance.
“2010 will be the year where we will start reaping the fruits of our
efforts under the ‘Level Up’ strategic agenda like the full
implementation of the Personal Equity and Retirement Account (PERA)
law, the Real Estate Investment Trust (REIT) Act, the new trading
system and the securities borrowing and lending program that will
enable short selling in the stock market,” Lim said in a statement.
The Level Up agenda, which was launched in 2008, stands for the
following: List more companies and securities; expand and educate the
investor base; value and enforce corporate governance standards;
enhance shareholder value; launch new products and services; upgrade
market infrastructure and human resources; and partner with government
and other stakeholders.
“Right now, the PSE is not just riding a wave of recovery, but also
steering a speeding train of promising growth, hinged on the tracks of
a sound Level Up agenda,” he added.
For 2009, the PSE index recorded a growth of 63 percent, which is
the largest annual index increase since 1994 when the PSE first
operated as a merged entity following the unification of the Manila
Stock Exchange and Makati Stock Exchange.
Last year, the PSEi advanced by 1,179.83 points to end at 3,052.68 as of December 29, 2009.
Value turnover last year almost reached the P1 trillion peso level,
a level only achieved once before in the history of the local stock
market.
At the end of trading in 2009, total value turnover amounted to
P994.16 billion, 30.1 percent higher than the P763.90 billion
registered in 2008. Daily value turnover averaged P4.11 billion or 32.3
percent higher than P3.11 billion average in 2008.
The combined market capitalization of listed domestic issues in the
PSE at yearend appreciated by 48.2 percent to P6.03 trillion compared
with P4.07 trillion in 2008.
Preliminary figures also show that foreign investors were net buyers
in 2009 to the tune of P14.88 billion, representing a reversal from the
net foreign selling figure of P22.16 billion in 2008.
“We began 2009 with a cloud of uncertainty following a global
financial crisis that unfolded in late 2007 to 2008,” Lim said. “As the
year ended, we saw a strong recovery in the market which we are hopeful
will spill over in 2010 and beyond.”
In terms of capital raised, the PSE saw one initial public offering
(IPO) by Ripple E-Business International Inc. and two listings by way
of introduction by Century Peak Metals Holdings Corp. and Agriculture
Inc. For the entire year, companies raised a total P38.77 billion in
the stock market, a 23 percent improvement from 2008.
“We are enormously optimistic that we will see an improvement in listings and IPOs in 2010,” Lim added.
By Tina Arceo-Dumlao
Philippine Daily Inquirer
First Posted 15:53:00 01/02/2010
THE YEAR 2010 stands to be even better for a number of sectors that
are expected to be among the first to feel the glorious return of investments
into the local economy, and the opening wide of wallets that were shut
tight when the global recession slammed the brakes on spending in 2008.
Bernie Liu, president of the Philippine Retailers Association, said
retailers expected to post a growth in sales and profit this year after
hardly any increase in sales in 2009.
The first half of 2009 was very bad coming off 2008 when the US
economy – and consequently the rest of the world – went into a
tailspin. Some recovery was seen in July and August, but it disappeared
with the onslaught of several destructive typhoons. In December, sales
started creeping up as the economy did not turn out to be as bad as
expected.
The Philippines’ Gross Domestic Product – the sum of all products
and services produced within the country’s borders – is expected to
grow by around one percent this year, and then accelerate by as much as
four percent in 2010.
Liu says that consumers are expected to come back in a big way since
the Philippines did not sink into a recession as earlier feared, and
remittances from Overseas Filipino Workers just kept coming.
As for sectors, Liu says food was, still is, and will always be a constant growth area. Everybody needs to eat, after all.
“Shelter and construction will also increase in activity as
Filipinos prefer to invest their savings, which have been improving, on
housing, a tangible asset,” says Liu.
“Clothing and accessories that offer value will pick up due to
slight improvements in economic condition plus sustained OFW
remittances,” adds Liu, who is also chief executive officer of the ABC
Group, which owns such brands as Penshoppe, Oxygen, Memo and Regatta.
Lex Ledesma of The One School, which seeks to produce young
entrepreneurs, sees good profit prospects for companies involved in
making the world a “greener” place.
These include appliance manufacturers
selling more environment-friendly and energy-efficient appliances,
retailers selling products safer for the environment, as well as
individual consultants who can help people and companies achieve a more
sustainable lifestyle.
Ledesma also expects investments in wellness and alternative medicine to pay off in 2010.
With Filipinos living at an ever-increasing pace, the need to sit
back and relax becomes more pressing. This translates to good news for
spas, salons and resorts selling wellness packages. And with Filipinos
embracing concepts of more traditional medicine to cure their chronic
ills, resorts selling wellness and medical packages should also do well.
Meanwhile, Anna Marie Periquet, chairperson of the Young
Entrepreneurs Group of Asia, Pacific, says that both the government and
the private sector are working on a roadmap for the business sector in 2010.
Both have identified four basic areas of focus, namely: food security, infrastructure, reengineered education and energy.
“Difficult times require innovative businesses that create
realizable, long term plans to ensure their sustainability and
survival,” says Periquet, “Businesses focusing on these four areas,
therefore, appear to be the vital engine for economic activity
stimulation in the coming year.”
Periquet likewise sees robust growth in the tourism industry next
year since the private sector is taking concrete steps to promote
domestic tourism.
Data from the Department of Tourism are bearing this out as in the
third quarter, considered the local tourism industry’s lean season,
tourist arrivals grew by 17 percent to 5.2 million.
“By encouraging Filipinos to explore the Philippines instead of
traveling abroad, consumer spending will be boosted locally. This
should give business to local entrepreneurs involved in the travel
industry that would filter down to other business sectors like food,
transportation and handicrafts,” Periquet adds.
MANILA, Philippines - With beautiful holiday decorations and a
festive atmosphere this Christmas season, one may think that an
economic crisis did not hit the Philippines this year.
A number of economists believe that this general optimism reflects a
resurgence of consumer confidence in the country, months after the
economic slowdown hammered the Philippines in the earlier part of the
year.
But according to University of the Philippines economics professor
Benjamin Diokno, this so-called recovery may only be a temporary high.
"Hindi pa tayo babalik sa recovery (We won't be recovering yet)," he said.
For one, Diokno said the government still has to contend with the
ballooning budget deficit, which is expected to hover around the
P300-billion peso level until next year.
As a result, the government would be forced to borrow more from
foreign banks. To date, the government's foreign debt is already at $53
billion dollars, data from the central bank showed.
Mixed views
The Philippines is expected to generate more jobs next year as the
election season nears. Candidates and their supporters usually hire
more people to help them in their respective campaigns.
But since these jobs will no longer be needed once the campaign
period is over, Diokno said Filipinos will still have a hard time
looking for more permanent jobs next year. This as businessmen opt to
be in a wait-and-see mode until the results of the 2010 polls come out.
Despite this, stock market analyst Astro del Castillo said there are
still many signs that the economy is improving relative to other
countries hit hard by the global recession.
For one, he said the Philippine Stock Exchange index (PSEi) recorded
a 63% growth this year, the largest annual index growth since 1994 when
the bourse first operated as a merged entity.
The PSEi advanced by 1,179.83 points to end at 3,052.68 as of December 29, the bourse's last trading day for the year.
Del Castillo's positive sentiment was echoed by IGC Securities
President Ismael Cruz, who said that the bull run will continue next
year. "We're seeing the market challenge its all-time high," he said in
an interview at ANC.
But even with this development, economists urged the next
administration to carefully map out its strategies to ensure a
sustained recovery for the Philippines in the years to come.
MANILA, Philippines - With beautiful holiday decorations and a
festive atmosphere this Christmas season, one may think that an
economic crisis did not hit the Philippines this year.
A number of economists believe that this general optimism reflects a
resurgence of consumer confidence in the country, months after the
economic slowdown hammered the Philippines in the earlier part of the
year.
But according to University of the Philippines economics professor
Benjamin Diokno, this so-called recovery may only be a temporary high.
"Hindi pa tayo babalik sa recovery (We won't be recovering yet)," he said.
For one, Diokno said the government still has to contend with the
ballooning budget deficit, which is expected to hover around the
P300-billion peso level until next year.
As a result, the government would be forced to borrow more from
foreign banks. To date, the government's foreign debt is already at $53
billion dollars, data from the central bank showed.
Mixed views
The Philippines is expected to generate more jobs next year as the
election season nears. Candidates and their supporters usually hire
more people to help them in their respective campaigns.
But since these jobs will no longer be needed once the campaign
period is over, Diokno said Filipinos will still have a hard time
looking for more permanent jobs next year. This as businessmen opt to
be in a wait-and-see mode until the results of the 2010 polls come out.
Despite this, stock market analyst Astro del Castillo said there are
still many signs that the economy is improving relative to other
countries hit hard by the global recession.
For one, he said the Philippine Stock Exchange index (PSEi) recorded
a 63% growth this year, the largest annual index growth since 1994 when
the bourse first operated as a merged entity.
The PSEi advanced by 1,179.83 points to end at 3,052.68 as of December 29, the bourse's last trading day for the year.
Del Castillo's positive sentiment was echoed by IGC Securities
President Ismael Cruz, who said that the bull run will continue next
year. "We're seeing the market challenge its all-time high," he said in
an interview at ANC.
But even with this development, economists urged the next
administration to carefully map out its strategies to ensure a
sustained recovery for the Philippines in the years to come.
MANILA, Philippines - With beautiful holiday decorations and a
festive atmosphere this Christmas season, one may think that an
economic crisis did not hit the Philippines this year.
A number of economists believe that this general optimism reflects a
resurgence of consumer confidence in the country, months after the
economic slowdown hammered the Philippines in the earlier part of the
year.
But according to University of the Philippines economics professor
Benjamin Diokno, this so-called recovery may only be a temporary high.
"Hindi pa tayo babalik sa recovery (We won't be recovering yet)," he said.
For one, Diokno said the government still has to contend with the
ballooning budget deficit, which is expected to hover around the
P300-billion peso level until next year.
As a result, the government would be forced to borrow more from
foreign banks. To date, the government's foreign debt is already at $53
billion dollars, data from the central bank showed.
Mixed views
The Philippines is expected to generate more jobs next year as the
election season nears. Candidates and their supporters usually hire
more people to help them in their respective campaigns.
But since these jobs will no longer be needed once the campaign
period is over, Diokno said Filipinos will still have a hard time
looking for more permanent jobs next year. This as businessmen opt to
be in a wait-and-see mode until the results of the 2010 polls come out.
Despite this, stock market analyst Astro del Castillo said there are
still many signs that the economy is improving relative to other
countries hit hard by the global recession.
For one, he said the Philippine Stock Exchange index (PSEi) recorded
a 63% growth this year, the largest annual index growth since 1994 when
the bourse first operated as a merged entity.
The PSEi advanced by 1,179.83 points to end at 3,052.68 as of December 29, the bourse's last trading day for the year.
Del Castillo's positive sentiment was echoed by IGC Securities
President Ismael Cruz, who said that the bull run will continue next
year. "We're seeing the market challenge its all-time high," he said in
an interview at ANC.
But even with this development, economists urged the next
administration to carefully map out its strategies to ensure a
sustained recovery for the Philippines in the years to come.
Michelle Orosa, ABS-CBN News | 12/31/2009 6:06 PM
Company buyouts and takeovers provided excitement to an otherwise
lethargic local stock market this year, but investors are betting on
improved global economic conditions next year to support the bourse's
steady climb.
While local share prices did grow by almost two-thirds to 3,052.68 this
year, the close was still far from the 2007 finish of about 3,800
points — a record high — before the US-led global economic crisis
reared its ugly head the following year.
In 2008, the crisis wiped out the previous year’s gains, with the Philippine Stock Exchange index closing at 1,872.85 points.
Still, analysts said stock performance this year had exceeded
expectations. "The 63 percent gain this year was beyond our
expectations, but we expect the market to do better next year," Astro
del Castillo, managing director of brokerage First Grade Holdings,
Inc., told GMANews.TV.
The analyst noted that while world economies would continue their slow
recovery next year, conditions would likely be better than this year.
On the other hand, brokerage 2TradeAsia expects a volatile stock market during the election season of January to May 2010.
“The overall turnout of the automated election process will be key in
determining institutional investors’ appetite for local stocks, as well
as the general economic theme that will be bannered by the upcoming
political administration," the company said in a yearend report.
Grace Cerdenia, chief operating officer of 2TradeAsia, said investors
should be on the lookout for stocks that have a "solid sequel of
events," referring to companies in the process of diversifying or
undergoing mergers and acquisitions.
She put the market’s immediate support at 3,000 points and resistance at 3,070-3,100.
Cerdenia said investors would be closely watching the minutes of the
Federal Reserve due on Jan. 6, as well as key US economic indicators
such as employment and retail spending data.
On the local front, the market would be paying attention to policy
rates — expected to remain steady until February — and the "political
risk premium" of the May elections, she added.
Meanwhile, Harry Liu of Summit Securities said market performance would mainly hinge on global economic conditions.
"The focus next year is the economy. There's a good chance that 2010
will be better [both for the economy and the market]," he added.
In January to September, the economy posted meager growth of 0.7
percent, lower than the government target of 0.8-1.8 percent. For next
year, economic managers expect growth to come in at 2.6-3.6 percent.
“If everything turns out okay — the economy [recovers] and credible and
clean elections [take place] — then the trend next year is upward," Liu
said.
“2008 was like a year when a building was burned down. 2009 was when we
looked at the foundation of the building and 2010 will be for building
up," he added.
Newsmakers
Despite the weak economy, acquisitions pushed the stock market higher
this year. “The changing of hands in companies, such as San Miguel’s
acquisition of Petron Corp., and two big groups coming into Manila
Electric Co. (Meralco), were the big news for the bourse," Liu said.
Little-known companies dominated this year’s list of top gainers. A
shares of mining firm Atok-Big Wedge were the best performer, with a
fortyeightfold increase to P100 as of December 23.
It was followed by Macondray Plastics with a twentyfourfold hike in
share prices to P60. Liberty Telecoms Holdings was the third-largest
gainer with 1,275-percent growth to P2.75.
In May, diversifying conglomerate San Miguel said it would buy nearly
half of cash-strapped Liberty Telecoms for P2.2 billion. The
announcement came following a deal between San Miguel and Qatar Telecom
for a joint venture.
This year's worst performer, on the other hand, is hotel operator
Acesite (Philippines) Hotel Corp., which lost 68.8 percent to end the
year at P3. Also on the list of top losers are the preferred shares of
Superferry operator Aboitiz Transport System.
In April, the Filipino-Dutch firm that sought to acquire Aboitiz
Transport backed out of a deal to buy the company for $30 million.
KGLI-NM Holdings Inc. was unable to raise money from the debt markets
to fund the acquisition.
Meanwhile, blue chips were the most actively traded stocks. A shares of
San Miguel Corp., which has been aggressively pursuing other businesses
outside its core food and beverage, had a total traded value of P93.676
billion.
It was followed by market heavyweight Philippine Long Distance
Telephone Co. with a value of P89.31 billion. Meralco came in third
with P83.08 billion.
San Miguel B shares were the fourth most active stock with P79.879
billion, followed by San Miguel Brewery, Inc. with P66.63 billion and
Philex Mining Corp. with P49.966 billion.
These companies were the most talked about during the year, with San
Miguel and PLDT both embroiled in a tug-of-war for a majority stake in
Meralco.
Meanwhile, San Miguel’s sale of its stake in beer unit San Miguel
Brewery to Japanese firm Kirin Holdings Co. Ltd. also made news, as did
Pangilinan-led PLDT’s acquisition of Philex. —
Cheryl M. Arcibal and NPA, GMANews.TV
MANILA, Philippines - The peso is expected to weaken against the
greenback in 2010 amid expectations of a US economic recovery that will
allow the dollar to strengthen.
The peso, currency traders interviewed last week said, could average between P46.00 to P48.00 to the dollar for 2010.
A currency trader said that for most of 2009, the dollar weakened as
the US Federal Reserve kept interest rates low. Low interest rates made
high-yielding currencies like the peso more attractive to investors.
"With the strength of the US economic figures coming out, the US
Federal Reserve could start hiking rates already by the second half of
the year and the bias towards a weaker dollar would start dwindling,"
the trader said.
In a statement earlier this month, the US Federal Reserve said that
while it was keeping the near-zero interest rates, it recognized that
better employment and consumer spending figures showed an improving
economy.
Another trader agreed that the dollar should be stronger with the
recovery of the US economy from the crisis that started in 2007. "But
the rise in oil price may temper dollar strength," the trader said.
Rafael S. Algarra, Jr., Security Bank Corp. treasurer, said in a
telephone interview that volatility should be expected in dollar-peso
trade next year.
"The US dollar will be under pressure if the problems remain," he
said adding that if the US economy does not improve as expected, there
would be a better market for other currencies.
"Asia is also expected to have better recovery than other
continents. More inflows to the region will support the currencies of
the region," he said.
He noted that remittances, which could post double-digit growth next
year amid better economic conditions, would give support to the peso.
As of October, remittances have reached $14.32 billion, 4.5% higher
than the $13.707 billion recorded in the same period last year.
OFW remittances are projected to grow by 4% to a record $17.1
billion this year, up from an earlier projection of zero growth. For
next year, the government’s forecast is 6% growth.
For the last two trading days of the year, currency traders said
there was still room for a stronger peso, which could trade within the
P46.20 to P46.80 per dollar range.
The local currency finished at P46.51 to a dollar last Wednesday,
the last trading day of the week. This was P0.10 stronger from Dec.
18’s finish of P46.61:$1.00.
Currency traders said the peso could be supported by flows which had accumulated over the long weekend.
One trader said the volume of trade is expected to be low as most
foreign companies and banks have already covered their dollar
requirements.
The trader added there were no other leads expected to affect trading for the week.
"Trade will be mainly affected by the flows. US [gross domestic
product or GDP] data released last week will not affect trade much
because it would be too late for us to react and most people are
focused on the holidays. If really big news would come out, that could
affect trade," the trader said.
The final estimate for third-quarter US GDP released on Dec. 22
showed a weaker-than-expected economy. Data showed the American economy
expanded by 2.2%, lower than the 2.8% estimate released in November and
the first estimate of 3.5%. -- Louella D. Desiderio, BusinessWorld | 12/28/2009 12:25 PM
By Jessica Anne D. Hermosa, BusinessWorld | 12/20/2009 6:00 PM
MANILA, Philippines - Managers in Asia should be flexible and
“tech-savvy” to successfully steer firms ahead of a region-led economic
recovery and an increasingly globalized landscape, speakers at a
conference said yesterday.
“Companies are able to ‘out-compete’ [others] because of their
flexibility,” Benel P. Lagua, head of state-run Small Business
Guarantee and Finance Corp. or SB Corp., said during the fourth
international conference of the Asian Academy of Applied Business.
Changes are especially needed given the upheavals caused by the
downturn and expectations that the region will “play a major role” in
the global economy, he said.
Managers will also have to contend with changes wrought by growing
links among economies as well as technological advances, Mr. Lagua said.
Experts from the academe at one of the conference’s breakout
sessions similarly underlined the need for flexibility and urged
business leaders to craft new strategies for the region.
Firms, for instance, should take advantage of marketing
possibilities offered by new technologies such as mobile phones,
University of Kuala Lumpur professor Azahari Jamalundin said.
“Marketers have yet to fully adapt their brand strategies to the new digital-based technologies,” Mr. Jamalundin said.
Firms can sponsor mobile phone users’ requests for news or provide after-sales service through this medium, he said.
Ernest Cyril de Run, Universiti Malaysia-Sarawak deputy dean for
graduate studies, pointed out how Western promotional strategies that
emphasize individualism may not work in Asia.
The conference was organized by AAAB, University Malaysia Sabah, and the Asian Institute of Management.
By Jessica Anne D. Hermosa, BusinessWorld | 12/20/2009 6:00 PM
It is full confidence on the economy and on its brand name. I can think of no other reason why Ayala is betting on another high end project despite the perceived over supply of residential condominiums in the next 5 to 10 years.
To be constructed in between Glorietta and Arnaiz Avenue, three high rise condominium towers will be seen in the Makati skyline. The adjacent area is reserved for future and most probably similar development.
Pre-selling will start January 2010 and the towers will be turned over by year 2014.
This writer is not allowed to divulge any further details as of this writing.
What will make this project a big winner? Here are some obvious reasons:
1. Shopping convenience, dining and entertainment at Glorietta and Greenbelt;
2. Access to Makati Central Business District (considered the financial hub of the Philippines) and Fort Bonifacio Global City;
3. Access to first class medical facilities like Makati Medical Center and St. Luke's Medical Center;
4. Access to the Manila International Airport;
5. Access to exclusive schools like Don Bosco Technical Institute and Assumption College; Colegio San Agustin; International School Manila; British School Manila; Manila Japanese School; Ateneo Law School; Ateneo Graduate School; and the Asian Institute of Management.
Government to lose billions with REIT law
By Iris C. Gonzales (The Philippine Star) Updated December 09, 2009 12:00 AM
MANILA, Philippines -
The Department of Finance (DOF) has reiterated its previous position that a bill seeking to grant hefty tax perks to publicly-listed companies operating as a real estate investment trust (REIT) would translate to billions in yearly losses for the government.
In a letter to Malacañang, the Finance department reiterated that the REIT bill would mean annual foregone revenue losses of P2.7 billion once it is fully implemented. For the first year of implementation alone, the government expects to lose P1 billion.
Malacanang is set to sign the REIT bill soon following ratification by the Senate and the House of Representatives last September.
Sources at the Finance department conceded that the measure would be implemented soon following the ratification by Congress and the scheduled signing of President Arroyo. Fiscal authorities nonetheless reiterated the amount of revenues that would be lost once the measure is fully implemented.
The Department of Finance was able to trim down its projected annual revenue losses from the soon-to-be-enacted law providing incentives on investments related to financing and big-ticket real estate projects to P2.7 billion from the original estimate of P5.3 billion after Congress heeded some of the recommendations of the Finance department to reduce the tax perks.
Nonetheless, the revenue losses are still in billions, sources said.
A company operating as a REIT finds investors and buys real property.
It also gives each investor either a percentage interest in the property itself or an interest in a loan secured by a mortgage or deed of trust on the property.
The loan is usually for developing property and to build upon it, and then there is a division of profits upon sale, if there is a profit.
According to the ratified REIT measure, overseas Filipinos investing in REITS are exempt from payment of dividend tax for seven years from the effectivity of the law. The transfer of properties to REIT companies is also entitled to lower documentary stamp tax (DST) by 50 percent. Furthermore, the measure also grants lower creditable withholding tax (CWT) of one percent on income payments to the REIT.
1. Location
* Suburban feel, pristine air, close to nature
* Located at the heart of NUVALI Community
+ Conveniently accessible thru 5 Exits like: Mamplasan Exit (Exclusive Access), Sta. Rosa Exit, Malilit Interchage, Silangan Interchage & Canlubang Exit and 5-Minute drive away from the NUVALI Central Business District
+ Near places of work-NUVALI Central Business District, Laguna Technopark and Laguna Industrial Industrial Park
+ Schools – Right across the soon to rise Xavier School, St. Scholastica’s College, De La Salle University- Canlubang, Don Bosco School, and soon to rise campus, the UST Sta. Rosa
+ Buffered from highway/high density areas compared to municipalities and town central
+ More opportunities for recreation, 15-20 mins. from Tagaytay, and 30 mins. from Batan
2. Ayala Brand
* Ayala’s trusted name in real estate industry
* Proven track record of capital appreciation
3. Ayala Property Management Corporation (APMC)
o 24-Hour security
o Screen visitors-only those whom you want to see and entertain
o Peace of Mind
o Shared Amenities only with neighbors
+ Common areas are well-maintained and aesthetics preserved/ Property value is preserved
+ APMC’s many services, including assistance in leasing out properties for unit owners
4. An Investment which offers various profit or income opportunities/
An investment you can enjoy
# Can be sold or rented or used as a collateral
+ Even if you don’t use the house personally, the investment can give you both short-term (rental income) and long-term (appreciation) benefits.
+ You and your family can use the amenities while waiting for value appreciation
+ Value over time
5. A Rewarding quality of living
+ Family and community oriented
+ Designed according to the principles of Sustainability – from sound environmental systems to networks that foster social harmony & growth.
+ Family & community oriented
+ Eco-friendly
+ A community that nurtures urban lifestyle
Filed under: Real Estate, Announcements, safe retirement, philippines, resort, Nature, High End Village, Ayala, Nuvali, Montecito, ayala land premier, Green, avida land, environment friendly, alveo land
IMF says RP banks remain resilient
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MANILA,
Philippines - The International Monetary Fund (IMF) said the local
banking system remained resilient after the Bangko Sentral ng Pilipinas
(BSP) managed to put in place reforms aimed at containing the effects
of the global financial crisis.
Il Houng Lee, head of the IMF mission that visited the Philippines
last week, said the BSP has significantly enhanced stress testing
capacity and has made substantial pro-gress in the banking supervision
and regulatory framework.
"Spillovers from the global crisis through financial channels have been well contained," Lee stressed.
The IMF official pointed out that stress tests showed that the
largest banks in the country are resilient to a wide range of
macroeconomic credit, market, and liquidity shocks.
"Aided by past reforms, the banking system is well-capitalized,
liquid, and asset quality and provisioning are generally high," he
added.
Latest data from the central bank showed that the total assets of
the banking system jumped by 8.5 percent to P6 trillion in August from
a year-ago level of P5.5 billion mainly due to the expansion of the
holdings of debt securities by universal and commercial banks.
The central bank said universal and commercial banks continued to
account for almost 90 percent of the total resources of the banking
system.
Data showed that bad loans or non-performing loans (NPLs) of banks
fell by 3.7 percent to P117.1 billion as of end August from the
year-ago level of P121.6 billion while the banks' total loan portfolio
(TLP) inched up by 1.6 percent to P2.793 trillion from P2.749 trillion.
The industry's NPL ratio of 4.2 percent as of end-August was
comparatively lower than Indonesia's 4.6 percent but higher than
Thailand's 4.2 percent, Malaysia's 2.1 percent, and South Korea's 1.5
percent.
Likewise, the banking system's asset quality continued to improve as
the non-performing loan (NPL) ratio eased further to 4.2 percent as of
end-August from 4.4 percent a year ago.
Lee, however, said concentration risks in the banking system are
more elevated due to the exposure to large conglomerates that control a
huge chunk of the country's economic landscape.
He immediately downplayed the risks saying the conglomerates in the
country have sound financial positions and are well-monitored by the
BSP.
Furthermore, the BSP said the banking system remained adequately
capitalized as of end-March with the average capital adequacy ratio
(CAR) of 14.6 percent on a solo basis and 15.3 percent on a
consolidated basis.
The country's banking system's CAR remains higher than Malaysia's
14.6 percent and Korea's 12.9 percent but lower than Indonesia's 17.8
percent and Thailand's 17.6 percent.
Source: http://www.philstar.com/Article.aspx?articleId=528233&publicationSubCategoryId=66
An international report indicates that branchless banking in microfinance, which utilizes mobile phone banking extensively, will expand further until 2020.
But the Consultative Group to Assist the Poor (CGAP) report, bursts of rapid acceleration will be followed by periods of falloff or flatter growth.
“Recent surveys of customers using branchless channels in Kenya, Brazil, Philippines, South Africa and India show that today’s customers are primarily not the un-served majority,” FinanceAsia said quoting the CGAP report.
“We were able to identify only a few providers who are using mainly branchless channels and who meet two criteria: serving more than a million active low-end clients and making a profit from doing so.”
The report from CGAP and the Department for International Development (DFID) of the United Kingdom, is part of a six-month scenario-building project that engaged nearly 200 leaders from more than 30 countries. CGAP is
It stipulated that the success in branchless banking depends on offering a far superior product to existing options.
“To date, branchless channels meet this standard only for some clients.
High initial adoption can be followed by high dormancy rates or infrequent usage, which indicate that the service is not as useful as it first appeared. Ultimately, poor people will use the new electronic services when they meet real needs,” Sarah Rotman, co-author of the report, said.
The report identified four key forces, which are likely to increase the use of branchless channels by the poor. These are:
* Demographic changes – including a greater number of younger consumers coming into the market and greater mobility at least within countries – will be favorable for the adoption of branchless banking.
* Activist governments will play a greater role as regulators of the financial sector, providers of social safety nets, and providers or encouragers of the rollout of low-cost bank accounts and financial infrastructure. This expanded role may be helpful for financial inclusion.
* While security concerns about cash crime will continue to drive the adoption of electronic transaction channels, the rise of electronic crime will affect consumer confidence and test the risk management of financial providers.
• Internet browsing via mobile phones will reduce costs of financial transactions, and enable new players to offer financial services.
Source: http://www.philstar.com/Article.aspx?articleId=528251&publicationSubCategoryId=74
7 Resolutions You Can Do for RP While Sitting Down (by Nina Terol-Zialcita posted at bgn.org Oct. 27, 2009)
Whether you're an office worker glued to your desk for most of the week, a Net junkie who loves blogs and social networking sites, an overseas Filipino looking to connect back to home, or simply someone with something to say, the power to set this country right is within your reach.
In these times of social unrest, when media focus hops from one controversy and "crisis" to another, Filipinos everywhere are saying, "I don't want to condone these actions, but I don't know how I can help." They resign themselves to the fact that corruption exists everywhere, that their well-intentioned actions may not amount to anything, and that it's perhaps best to leave political action to the politicians. After all, they would reason out, politics is dirty business.
But it wasn't meant to be that way. In his 350 B.C. work, Politics, the Greek philosopher Aristotle wrote: "Every state is a community of some kind, and every community is established with a view to some good; for mankind always act in order to obtain that which they think good. But, if all communities aim at some good, the state or political community, which is the highest of all, and which embraces all the rest, aims at good in a greater degree than any other, and at the highest good [italics mine]."
Maybe politics has become the dirty, bastardized creation that it is today precisely because we, the citizens, have let go of it. We left it up to the crooks, the unscrupulous, the malicious, and the ethically ignorant to take hold of it-thereby strangling us and taking the power away from the real state: the people. In a supposedly democratic government such as ours, we should be part of the political process-and this doesn't end during elections.
We have the power to save the Philippines. And we can do it even while sitting down.
1. Be informed.
The first step to conquering anything is to know what it is. Wherever you are in the world, stay in touch with the Philippines through online news sources. You can check out good, positive news about the Philippines through www.goodnewspilipinas.com, or www.inquirer.net for comprehensive news articles, podcasts, and blog entries. If you want meatier stuff, check out www.newsbreak.com.ph. This hard-hitting publication may have ended its print run, but its online presence shows that nothing will stop Marites Vitug and her staff from getting to the bottom of the news. If you want something with a dose of TV on it, log on to www.abs-cbnnews.com or www.gmanews.tv.
There are also some great non-news sites that offer bite-sized, thought-provoking content. My favorites include www.ted.com, our very own WhyNot? Forum, ChangeThis, and even SlideShare. Who ever thought Powerpoint presentations could be THAT interesting!
2. Share your thoughts and ideas over the Web.
Now is probably the best time in human history to be expressive and outspoken. The Internet has given us tremendous power, and we can harness it by broadcasting our thoughts and ideas over the Web-which is the most democratic space we have seen so far. If you want to develop your own "fan base" and position yourself as a thought leader, start a blog. (Just be a tad more productive than Brian Gorrell, please.) If you think blogging is too tiresome, post your comments to news article, features, blog entries, etc. People do pay attention to comments, so go ahead and make them.
3. Read other people's blogs.
Tit for that: if you want people to listen to-er, read-what you have to say, return the favor. Technorati's Top 100 Filipino blogs include:
* Jessica Zafra's
* Manolo Quezon's The Daily Dose
* Inside PCIJ
* Jim Paredes's Writing on Air
* Butch Dalisay's Pinoy Penman
* Newsstand
Some other blogs that haven't quite made it to Technorati's list, but which I love anyway (aside from them being my friends' blogs) are Reese Fernandez's The Passionista, Mark Ruiz's Gamechanger, and Benjie dela Peña's Hundred Years Hence.
4. Participate in online discussions.
Back to Aristotle: "Now, that man is more of a political animal than bees or any other gregarious animals is evident. Nature, as we often say, makes nothing in vain, and man is the only animal whom she has endowed with the gift of speech... the power of speech is intended to set forth the expedient and inexpedient, and therefore likewise the just and the unjust. And it is a characteristic of man that he alone has any sense of good and evil, of just and unjust, and the like, and the association of living beings who have this sense makes a family and a state."
Let's face it-whether you openly admit to it or not, you have political opinions, and would love to share them with others who would care enough to listen. Online discussions allow for a democratic sharing of ideas, encourage critical discernment on issues, and allow for an emergence of various viewpoints which are essential to critical decision-making. As a people, we need to listen to each other and consider each other's perspectives if we are to arrive at intelligent decisions and actions.
Now that 2010 is just around the corner, perhaps we should start discussing among ourselves what qualities we think are important for a true leader, and which of the public figures around us really do exhibit and live out these qualities.
5. Sign online petitions and campaigns.
Online petitions and campaigns have the potential to wield great power over political and social action because they help educate people about issues and gauge public opinion. A successful signature campaign trains media's lenses on particular issues and forces public figures to make important decisions or stands on concerns that would otherwise be left in the back burner. It encourages discourse and debate, legislative action, and policy reforms. You can play an active role in strengthening Philippine policies by signing such petitions and campaigns. It won't even take you two minutes.
6. Share information with your friends and online buddies.
Don't you hate it when friends forward useless chain letters? ("If you don't pass this on to 5 people within 5 minutes, something bad will happen to you.") I do-I really do, and I find it amazing that people actually believe that stuff like this works. I would rather forward information that people will find useful and relevant, such as news about new rules and policies that will affect their industries or their daily lives, information on breakthrough ideas or movements that will benefit a great number of people, new causes and organizations that people can support, or even trivia and tips that will make people think and, perhaps, help them make small but useful changes in their daily routine. Information is power, and it is something that we cannot take for granted. When you've got useful information, pass it on and spread the love.
7. Use the power of the Net to recruit members and solicit donations to worthy causes.
There are so many great and worthy causes out there that need all kinds of support-from volunteer time, to material donations and in-kind support, to donations and financial support. Likewise, there are many of us who are looking for "something to do" or something to which we can contribute, but we just don't know where to look. We can do both cause-oriented groups and do-gooders a favor by patching them up online.It won't take much time or effort: simply forward messages about causes and movements to friends, family members, and online buddies, then let them build their "relationship" on their own. Who knows? Something great might come out of it someday-and they'd have YOU to thank for it.
It really doesn't have to take so much of your time, energy, and resources to help save the Philippines. Each of us can realistically do only what is accessible and interesting to us, so take advantage of online resources to do as much good as you can with the least amount of effort. You'd be surprised at how the daily act of contributing and sharing information can make a big difference in a country that is still enveloped in ignorance and intellectual poverty. And you won't even have to get up from your chair.
(Revised from an blog entry originally titled 7 Ways to Help the Philippines While Sitting Down)
7 Resolutions You Can Do for RP While Sitting Down (by Nina Terol-Zialcita)