Ateneo Eagle Watch , " Philippine Economic Outlook 2015 " wrapped up with a positive notes today January 22, 2015 9:00 am-12:00nn at Ateneo Center for Economic Research and Development ,Justia Room Rockwell Campus , Makati . Today's Philppine Economic Outlook 2015 partners : Sunlife Financial, ChinaBank and ipc ( infrastructure .power. cooling) Data canter .Invited key speakers were as follows: Dr. Luis Dumlao , Chair, Eco Department , who spoke about Income and Job Drivers and Dampeners , Dr. Alvin Ang, professor, Eco. Department expounded the topics on Philippine Financial Markets... Holding Despite Headwinds, and Dr. Cielito Habito , Professor , eco Dept tackled about Elections 2016 and the Philippine Economy.

The Forum:

1. Why do the Philippines still sluggish in attracting FDI ( foreign direct investments?,The USA dynamic economy can be attributed to the spending power of the middle class how it is correlate with the Philippines Economy? Its has been said , that there is 1.3 trillion ( U$ 80 B) , stand by funds in the Philippines coffer how do we utilize this big amount?

Ans. Yes , the Philippines have a guaranteed huge fund reserve deposits, in a form of US treasury bonds, securities . This is to hedge and safe guard the peso on its currency standing against the inflationary and foreign exchange differential adjustment to (US Dollar as a super power currency in the world). Every currency of every nation is peg to dollar, and its central banks is mandate to have a foreign reserve funds as international policy of Money and Banking or International Banking Settlements .

"Yes , the middle class role in national economy will always be recognized as a engine of development. Their business segments we called SME's micro , small and medium enterprises comprises the almost 90 percent of the total registered business , now being monitored, evaluated , giving priority and funded by the Department of Trade and Industry. There is a pending bill, to create SME's trade and exchange , market systems for the middle business owners and consumers to participate in the currency and trade exchange. With the new upcoming scheme, the SME's can be able to tapped the Philippine Stock Exchange to raise capital via capital markets .Most of the middle class in the Philippines have now consolidated their population in high end premium real estate estate and condominium as investors . Through this way that we can be able to map out the best of the middle class . It is to be done , and it is necessary because SME's serve also as catalyst of not only for retail consumption ( real estate and car) but for high end , luxury items, culture and arts that in the end cultivate growth ."

Foreign Direct Investments participants in the Philippines will always be encourage. That is why , the Philippines created the PPP Private Public Partnership program. For now its has 48 projects in the Philippine PPP pipe line projects in various stages. The PPP center headed by Cosette Canilao , have awarded 3 PPP contracts in 2013, this are : NAIA Expressway (Phase II), PPP for School Infrastructure Project ( Phase II), Modernization of the Orthopedic Center. Through the years the PPP center initiated 8 major PPP policy advocacies initiatives in 2013. These are : Proposed amendments to the BOT (built operate transfer ) law, EO 136 established the PPP governing board, Guidelines for debriefing Process for disqualified bidder in PPP projects., draft implementing rules and regulations of E.O 78 on Alternative Dispute Resolutions, Proposed amendments to DILG (Dept. of interior and local govt) memorandum Circular 2011-16, roundtable discussions on identification of Bottlenecks and Solutions to fast track right of way acquisition, sector guidelines for transport , health, agriculture and education, policy briefs on contract management, monitoring, and evaluation, government share on PPP project costs and risks, optimizing PPP center and PPP department units interface, and guidelines on Pipeline development. For now there almost 100 percent of the 2013 budget for regular operations that have been obligated for which 88 percent have been paid. There are USD 60 million total PDMF fund , 56 percent of which is committed to 22 projects . Summing up to 72 % of PDMF funds is channeled to the transport sector, 12 % to water, 12% social , 3% agriculture and 2 % to power sector. Hence there were about 64 capacity building initiatives conducted, for which 28 organizations capacitated , and 1476 participants trained. After reviewing feasibility studies and the prepared inputs to bid documents and draft concessions agreement for the following PPP projects , 2015 would be a rosy year for the FDI investors to come in through this PPP projects in the pipeline :

Cavite -Laguna expressway project ( calax)
LRT Line I South Extension and O& M
Enhance O & M of the New Bohol Panglao Airport
Mass transport system Loop
New Centennial Water Source Project.
Bulacan Bulk Water supply
Integrated Luzon Railway Project.

2. The sudden shift of labor markets and its cost to a high degree in the manufacturing world of China what and how it would implicate in the Philippines economy,anticipating the possibility of exodus , transferring their manufacturing plant to Philippines?

Yes, we have been monitoring this manufacturing plant possible exodus to the Philippines. ( unfortunately a ware house in the making have just been collapse due to the past haste demand of the ware housing in the Philippines).The rising demand of the consumption of the middle class the and masses it is fitting is reconfigured the Philippines economy to be a manufacturing hub again. The labor cost in the Philippines and the demographic young laborers known to the world as the best skilled , English speaking that is world class and have been sought after even by the foreign workers hunters for being the most productive skilled workers.

3. How much is the income bracket of ( earning power ) of each market segments in the Philippines from ABCDE?

The straight line axis of the graph , referring to the graphs ( power point ) presentation made by the speaker. The income gap for each markets/consumer segments in the Philippines is a straight line parallel with a point base of 20 percent from A, B, C,D, E . That means there is consistency quite manageable to patch up and understand. For Insurance company like Sun life , the best way to concentrate for market demographic is the bulk of the market which is the C, D, E . Probably the best product that is right for them is the micro insurance, by honest answer by the panelist in today's Ateneo Eagle Watch ' Philippine Economic Outlook 2015".