US investors, rating agencies asked to take 2nd look at RP

The Philippine economic team, who joined President Arroyo in her state visit to the United States, will try to convince the international business community and various foreign credit rating agencies to take a second look at the country’s current economic situation.

Finance Secretary Margarito Teves told a press conference over the weekend that he, together with Trade Secretary Peter Favila, Energy Secretary Raphael Lotilla, Socio-economic planning Secretary Augusto Santos and Bangko Sentral ng Pilipinas Governor Amando Tetangco Jr., are scheduled to talk to various investors and rating agencies.

"We will talk with new and existing investors and other various groups including credit rating agencies. We will tell them that we are trying to move forward. We will present to them our macro-economic fundamentals and various administrative measures we are undertaking to improve our overall fiscal position. I hope they would consider the positive developments in giving out credit ratings," Teves said.

Teves said the three-week trip that will involve visits to New York, London and Washington would involve one-on-one meetings and conferences with high-level officials, business leaders and international financial institutions.

"We will talk about our economy and fiscal reforms. We will try to convince the rating agencies to review their assessment on the Philippines," he said.

Among the agencies and institutions that the Philippine delegation will meet in their three-week trip are: the United Nations, US-ASEAN Business Council, World Bank/International Finance Corp., International Monetary Fund, JP Morgan, Credit Suisse First Boston, Standard & Poor’s, Fitch, US Secretary of State, foreign business and economic media.

Teves said the Supreme Court’s ruling on the implementation of the expanded value-added tax (EVAT) law would be a welcome development to investors.

"We will tell them the fiscal reforms such as the EVAT and its impact on our economy," he said.