Good day. Here are the stories for The Manila Times for Wednesday, February 8, 2023.
READ: Inflation soars to 8.7%
INFLATION accelerated to 8.7 percent in January, the Philippine Statistics Authority (PSA) reported on Tuesday, blowing past expectations and adding pressure on monetary authorities to keep raising interest rates. The median forecast among five analysts polled by The Manila Times was 7.6 percent, and the Bangko Sentral ng Pilipinas (BSP) last week said inflation could have either slowed to 7.5 percent or picked up to no more than 8.3 percent. The result was the highest in a little over 14 years, or since November 2008's 9.1 percent, and topped last December's 2022 peak of 8.1 percent. In comparison, consumer price growth was just 3.0 percent 12 months earlier.
BUSINESS: 'BSP will need to stay hawkish'
Meanwhile, monetary authorities will have to continue raising interest rates after inflation spiked to a higher-than-expected 8.7 percent in January, analysts said. The BSP's policymaking Monetary Board may have to deliver another 50-basis-point (bps) increase next week instead of the 25 bps initially expected, two economists added. This would raise the policy rate to 6.0 percent, from 5.5 percent currently, much earlier than previously forecast. The consensus among analysts was that consumer price growth would slow to 7.6 percent, and the central bank last week said inflation could have either dropped to 7.5 percent or picked up to no more than 8.3 percent. The January result was the highest in a little over 14 years, or since November 2008's 9.1 percent. It topped last December's 2022 peak of 8.1 percent and was significantly higher than the 3.0 percent posted a year earlier.
BUSINESS: Peso drops to P55:$1; PSEi falls below 6,900
Also, the peso fell back to the P55:$1 level, and the stock market also dropped below 6,900 after higher-than-expected January inflation spooked traders. The currency weakened by 69-and-a-half centavos to close at P55.085 vs the dollar while the benchmark Philippine Stock Exchange index (PSEi) lost 55.35 points, or 0.80 percent, to end the day at 6,881.26. The broader All Shares shed 18.93 points, or 0.52 percent, to settle at 3,665.75. Markets were said to have been spooked after January inflation accelerated to 8.7 percent, raising the possibility that the BSP would remain aggressive in its monetary tightening.
READ: P125 onion SRP takes effect
In other news, the P125 per kilo suggested retail price of imported red onions will take effect on Wednesday as Agriculture Senior Undersecretary Domingo Panganiban formally issued Administrative Circular 5 implementing the SRP in Metro Manila markets. At least 3,500 metric tons of imported onions arrived in the country in an effort of the government to bring down the prices of onions, but based on the monitoring of the Department of Agriculture (DA), the outsourced bulbs are being sold for between P180 and P260 per kilo.
READ: Japan shows tough new security moves during Marcos visit
Growing worry over Chinese threats has led to a major Japanese boost in military spending, defense partnerships and aid packages, a concerted new effort to draw like-minded Asian nations into a stronger, unified front as Beijing seeks to establish regional dominance. This security shift will be highlighted during a visit to Tokyo starting Wednesday of President Ferdinand "Bongbong" Marcos Jr., a mutual US ally that Japan has increasingly developed defense ties with in recent years. Japan says the aggressive new policy is needed to confront China, but critics call it an attempt to use massive aid infusions to push Japanese security views on poorer countries. Marcos' visit comes just days after he and US Secretary of Defense Lloyd Austin agreed to allow US troops access to four more bases in the Southeast Asian nation as they seek to deter China. More US troops stationed at Philippine military camps would allow Washington to keep in check China's territorial ambitions in the disputed South China Sea and against self-governing Taiwan, which Beijing claims as its territory that must be brought under its control, by force if necessary. Japan is looking to deepen cooperation with the Philippines and Washington, with a focus on a possible conflict over Taiwan. An existing partnership among Tokyo, Seoul and Washington primarily deals with North Korea's missile and nuclear threats. During Marcos' Tokyo visit, Japanese and Filipino defense officials expect to sign an agreement that would allow Japanese forces to provide more training and humanitarian and disaster assistance to the Philippines.
READ: PH sends 85-man team to Turkey
THE Philippines will send an 85-man team to Turkey and Syria to provide aid to the victims of the magnitude 7.8 earthquake that struck both countries on Monday, President Ferdinand "Bongbong" Marcos Jr. said. He said that the Turkish Airlines will bring the team, equipment and goods to Turkey. The group is expected to leave on Wednesday, February 8. The President said the Philippine government will also send engineers and health workers and provide other necessary assistance to the victims of the powerful quake. The Office of Civil Defense (OCD) and the National Disaster Risk Reduction and Management Council have mobilized the Philippine search and rescue contingent. The contingent will come from the OCD, Department of Health (DoH), Philippine Army, Philippine Air Force and Metropolitan Manila Development Authority, among others. Personnel from the MMDA and DoH have been deployed for rescue missions in Japan and Haiti. Marcos earlier said that the Philippines is prepared to provide assistance to Turkey and Syria following the deadly earthquake in the region.
READ: PH reports first XBB 1.5 subvariant case
THE Department of Health (DoH) has reported the first case of the highly infectious Omicron XBB 1.5 subvariant in the country in its latest sequencing report. XBB 1.5, an offshoot of the XBB subvariant, was declared by the European Center for Disease Prevention and Control as a "variant of interest" because of its increasing global prevalence and enhanced immune-evasion properties. The variant has been detected in 59 countries and has accounted for 66.4 percent of all Covid-19 cases in the United States from January 29 to February 4, according to the US Centers for Disease Control and Prevention. However, the World Health Organization said that while there is evidence of increased transmission and immune escape, it does not suggest any difference in disease severity or clinical manifestation than the original Omicron subvariant. The lone XBB 1.5 case was part of 196 newly detected XBB cases sequenced by the Research Institute for Tropical Medicine and the University of the PhilippinesPhilippine Genome Center. Other variants that were discovered from 1,078 samples that were sequenced from January 30 to February 3 were 454 cases of BA.2.3.20, 79 cases of XBC, 28 of BA.5 subvariant including six classified as BQ.1, seven cases of BA.2.75, and 160 with other Omicron sublineages.
READ: Marcos backs higher taxes on luxury goods
PRESIDENT Ferdinand "Bongbong" Marcos Jr. on Tuesday expressed his support for a bill seeking to impose higher taxes on luxury or nonessential goods on top of other current taxes. Marcos issued the statement after Albay Second District Rep. Jose Ma. Clemente "Joey" Salceda filed House Bill (HB) 6993, which seeks to amend the National Internal Revenue Code by increasing the nonessential goods tax from 20 percent to 25 percent and to expand its coverage to more luxury items. Speaking to reporters on the sidelines of the 2023 National Tax Campaign kickoff in Pasay City, the President said the demand for luxury goods remains stable despite economic challenges.
READ: 2 Japanese crime ring members deported
THE Bureau of Immigration on Tuesday deported two of the four Japanese members of a crime ring tagged in violent robberies in Japan but who continued to operate their illegal activities while under detention at the BI holding facility in Bicutan, Taguig City. Justice Secretary Juan Crispin Remulla and Immigration Commissioner Norman Tansingco oversaw the deportation of the two fugitives at 10:30 a.m. on board Japan Airlines to Tokyo. The two were identified as Fujita Toshiya and Imamura Kiyoto, both 38 years old. DoJ spokesman and lawyer Mico Clavano said the cases against the two have been dismissed by a Pasay City Regional Trial Court, while the two other Japanese are still detained pending resolution of their cases. Fujita and Imamura have been tagged by the Japanese government as fugitives from justice for having warrants issued against them. Fujita was apprehended by the BI Fugitive Search Unit in Barangay Anilao Proper in Mabini Batangas on Feb. 21, 2021, and has been tagged by Japanese authorities as a senior member of an organized fraud group. An arrest warrant had reportedly been issued against him in Tokyo.
SPORTS: NLEX stakes unbeaten card against Ginebra
Over to sports, NLEX hopes to continue its strong start in the conference with a new import in tow as the Road Warriors collide with newly minted Commissioner's Cup champion Barangay Ginebra in the main game of the 2022-23 PBA Governors' Cup today, February 8, at the Smart Araneta Coliseum in Quezon City. The Road Warriors zoomed to a 4-0 start with NBA veteran Jonathon Simmons as their import. The 33-year-old American made good his promise of helping NLEX win its first four games before leaving the PBA to join Shanxi Loongs in the Chinese Basketball Association. The Frankie Lim-mentored NLEX side faces Ginebra at 5:45 p.m. Taking Simmons' spot is another NBA veteran in Wayne Selden, a University of Kansas product, who will try to sustain the winning streak of NLEX. Listed at 6-5, Selden played a total of 127 games in the NBA with the Memphis Grizzlies, New Orleans Hornets, Chicago Bulls, and New York Knicks en route to producing career numbers of 7.2 points, 1.99 rebounds and 1.49 assists per game. The 28-year-old incoming NLEX import also played in Italy, Turkey and Israel.
READ: Opinion and editorial
Rigoberto Tiglao, Fr. Ranhilio Aquino and Francisco Tatad are today's front page columnists. Tiglao believes the new EDCA bases in the country could trigger some backlash, Fr. Aquino talks about signs, and Tatad continues his column on preserving the Marcos legacy.
Today's editorial believes rejecting the controversial Regional Comprehensive Economic Partnership is bad for the country's health. Read the full version in the paper's opinion section or listen to the Voice of the Times.
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For The Manila Times, this is Kim Isabelle Dignadice.