"I read with interest your column (When will the bleeding stop, 13 January 2006) and couldn’t help thinking that if only the government has used such subsidies more effectively, then our country and economy would have been a lot better of.
"As it is, only a few rich gets richer and the foreign companies owning the businesses mentioned are repatriating their profits, taking them out of circulation from the local economy. What I am driving at is that the benefit is not trickling down to many local beneficiaries instead when it could easily be done by making the dollar-awash overseas Filipinos the investors.
"Please consider the following for a more detailed idea on this matter:
"It has now been over 30 years since the start of the Filipino Diaspora and the term overseas contract worker (OCW) has long since given way to overseas Filipino worker (OFW). The perception however, that the term OCW impressed in the mind of most people charged with the welfare and affair of the overseas Filipinos has largely remains the same, that, of the helpless construction workers, domestic helpers and such like.
"It has been made more evident by the fact that there has been no consideration at all for the overseas Filipinos at the macro economic level of the government’s economic programs so far. It has escaped the notice of the government that the total make-up of the overseas Filipinos has significantly changed during the course of time.
"To date, the government’s view as far as the overseas Filipinos are concerned has been confined within a box.
"Dependence to and assistance from the government by returning overseas Filipinos have become the centerpiece of the various reintegration programs at the micro-economic level. However, there have been far more failures than successes because not all mortals were meant to become successful businessmen or businesswomen. This situation to a large extent will sadly remain the same in the years to come if the government keeps looking just inside the box.
"Earlier it was proposed that the PIATCO-owned NAIA terminal 3 be sold to the overseas Filipinos once all the issues surrounding it have been resolved and is ready for operation.
"The cost of $600 million that has so far been mentioned as the cost of the Terminal is definitely well within the $4 billion dollar potential capital that can be raised from the overseas Filipinos, and with a lot of change to spare.
"Just recently, the ownership resolution of the United Coconut Planters Bank in favor of the government presented an opportunity for the realization of the overseas Filipinos‚ long awaited desire of owning a bank.
"The NAIA Terminal 3 and the UCPB are just two in an endless list of possibilities where the enormous potential of overseas Filipinos‚ capital can be deployed to generate economic activities that will lead to other economic activities, the benefits of which will trickle down to a greater number of beneficiaries who will keep it in the country rather than (allowing it to) be repatriated abroad.
"The government needs to acquire ownership of the NAIA Terminal 3 first. To do so, it could raise say $500 million from a global bond offer as it did when it raised $750 million in order to generate enough funds to bankroll the funding requirements of the state-run National Power Corp.
"Once ownership of the project has been established and a corporate entity is set up, the government can start selling shares to the overseas Filipinos. Those who are interested to buy will be asked to deposit their payments for the corresponding number of shares subscribed to up to a certain maximum to a given bank account. After which the share certificates will be issued accordingly.
"While the tasks may seem daunting at first glance, this is not impossible and all that is needed is to get started and to find the right and credible person to lead the endeavor.
"Regardless of the difficulties, it is an endeavor that is well worth undertaking because the ramifications of doing it well are enormous. It could well be the beginning of the overseas Filipinos getting heavily invested in the Philippines.
"NAIA Terminal 3 and UCPB today, perhaps the North and South Luzon Expressways tomorrow, and the National Power Corp., Transco, MRT/LRT, South/North Rail, Maynilad, and other utility companies later on until it all leads to the economic empowerment of the Filipinos and economic and political deliverance of the country.
"With economic empowerment comes the bonus of political and social consciousness that will lead to a better political and peace and order situation, resulting in a better quality of life.
"For all we know, the overseas Filipinos – being the (country’s) modern day heroes – may come to pass. While they have been the country’s economic saviors, they may just become the saviors of themselves as well.
"Let us therefore give the overseas Filipinos a chance by integrating them in the macro-economic level while they are still abroad and can well afford to invest in the Philippines."
Neighbors sharing strong interests with common values and priorities, partners facing international and regional challenges and working closely to promote regional prosperity and strengthen regional security, this is the Australian-Philippine partnership that has endured six decades.
What is the current status of trade relations between the Philippines and Australia? What are the various programs that have been agreed by both countries? What is Australia‚s response to some trade barrier issues raised by the Filipino agriculture product exporters? What industries would Australian Investors find interesting in the Philippines?
Join us break barriers and gain insights into the views of Ambassador Tony Hely of Australia, on issues related to the 60-year partnership of Australia and the Philippines. Watch it.
Should you wish to share any insights, write me at Link Edge, 4th Floor, 156 Valero Street, Salcedo Village, 1227 Makati City. Or e-mail me at reydgamboa@yahoo.com or at reygamboa@linkedge.biz. If you wish to view the previous columns, you may visit my website at http://bizlinks.linkedge.biz