We've been lucky so far

Amidst the continuing doubt over the health of major world economies including that of the United States, the Bangko Sentral reports an increase in OFW remittances by 6.9 percent to $1.7 billion last May compared to a year earlier. This is indeed, good news, specially in the context of reports that Saudi Arabia is starting to cut down on foreign workers to provide jobs to their own citizens.

More than ever, our economy is increasing its dependence on money repatriated by the over eight million Filipinos living in countries from the United States to Saudi Arabia. Remittances are now equivalent to about 10 percent of the Philippine economy and are a major source of foreign exchange.

But the uncertainties in the Middle East where most of our OFWs are deployed could affect demand for our workers. And because the US economy is so uncertain with a stubborn unemployment rate in the double digits in many states, the ability of US-based Pinoys to send money home may also be curtailed.

The other good news about our economy is the continuing record setting rise in the local stock market. While this could be the result of growing investor disenchantment with both the US and European economies, money from foreign portfolio investments would have passed us by as in many instances in the past if confidence in our economy and in the political leadership of P-Noy were not there.

But our political and economic managers shouldn’t start celebrating because the current investor vote of confidence could prove fleeting unless P-Noy and company follows up on promised reforms particularly in how we do business in this country.

As the New York based Global Source observed, P-Noy’s ambitious seven to eight percent growth for the economy per year within its term is not out of reach. But, the think tank observed, the government must succeed in building on traditional growth drivers – primarily remittances-financed private consumption and the BPO sector – through intensified infra spending (especially via PPP), increased private investment, and eventually higher tourism receipts.

I agree with the view of Global Source that “the perceived slow start of the administration has much to do with legacy governance problems left behind by the previous administration and the desire for high ‘quality at entry’, especially for PPP and other infra spending.” I am also putting my hopes on the first-rate cabinet team doing the right things. The question is, can they deliver sooner rather than later?

There are governance issues that the administration officials must act on. The red tape and possibly corruption at the POEA must be addressed. That first person account of a Filipina journalist in getting her contract validated by POEA after she was hired to work in London gave a very graphic picture of what ails an important government agency on top of our major forex earner: OFWs.

Something beyond plans and words must also happen in tourism, guaranteed to be a major job creator and forex earner too if we do the right things. When I arrived last Monday evening, I was happy to see a big crowd of foreign visitors lined up at the immigration counters. Could all these people be tourists? Something good must be starting to happen even if the current Tourism Secretary must still demonstrate he knows what he is doing.

But my joy evaporated when I got to the baggage claim area. There were no carts available. I haven’t been to any airport in the civilized world where there are no carts to help visitors with their luggage. There was a scramble for the few that were trickling in. Is it a case of inadequate number of carts because our visitor numbers have dramatically increased? Or is it because there is just no efficient system of getting the carts back from the parking area? Small things like this counts. The NAIA general manager is sleeping on the job... as usual.

The State of the Nation address of P-Noy on July 25 had better be good. It will be used by investors to figure out if the administration deserves their early vote of confidence. Not only must P-Noy be able to clearly delineate his program, he must inspire confidence that he can pull it all off. According to Global Source, “all told, and even considering downside risks from a sluggish global recovery, the Philippines can dependably chug along at the 5-5.5 percent growth pace from its traditional drivers. If the stars align, it will certainly do much better.”

As I said, so far we have been lucky. But we need more than the stars to align to succeed. We need to show the world and even the skeptics among us that this time it is different… we will not shoot ourselves in the foot just as our economy is taking off. Hopeful as I am, I am somehow not that sure.

Going home

The best part of a long vacation is getting back home. Going home this time was, however, not without its worries and irritations. First there was that carmageddon threat I wrote about last Monday. The good news is that it didn’t happen. Fear apparently worked better than Los Angeles officials thought it would. Angelenos abandoned their plans to move around during that weekend. As luck would further have it, the work that forced the freeway closure was accomplished a day ahead of schedule. This is a classic case that communicators will study for years on how to communicate a potential crisis.

Still, I woke up before the crack of dawn, 4 am, to catch my 8:30 flight since it takes about an hour from where I was in Orange County to LAX in the best of times. It turned out this was one of the best of times to be on a Los Angeles freeway going anywhere. My problems started at LAX, specifically, the check-in area of Hawaiian Airlines.

First of all they started processing passengers late... 30 minutes after the usual three hours before the flight. Their system did not allow me to use the computers to check in because my flight is considered international. Strange for an international airline! I lined up at the First/Business Class because that’s the ticket I paid for. But after a long wait, the agent said she couldn’t process me. I was told I should have lined up under special check in because it was the only one processing Manila-bound passengers. But they had no signs to that effect.

I felt my blood pressure rising and hungry because I hadn’t had breakfast. I quickly decided it wasn’t worth it. So I dutifully lined up again. The line was so long and I felt shortchanged because I paid more than double what I would have paid for an economy class ticket precisely because I wanted to avoid those long lines with all the balikbayan boxes specially in Manila-bound flights from Los Angeles.

I talked to the agent and told her I am a business class passenger but she insisted, rather curtly, I go to the end of the line. So I asked her what I paid premium price for my ticket if I must be processed like everybody else. She said she can’t do anything because they are only two assigned for the Manila flight. So I went to the end of the line, ready to wait.

But there was this large wall of balikbayan boxes on a big cart in front of us. My daughter Trishy, normally feistier than I am and figuring we have nothing to lose, went to talk to another agent who realized the injustice of it all. This second agent knew what customer service is all about and processed me herself.

Ay naku, Hawaiian Airlines, never again! I already felt gypped because their Business Class is nowhere near the quality of Business Class I am used to with my more recent flights with Asian and Middle Eastern Airlines. The seats don’t allow you to sleep flat like most other airlines today would let you do on Business Class. So I was practically sleepless for my Hawaiian flights. And no basic amenities other airlines routinely give on Business Class… not even a toothbrush. Maybe I can use the frequent flier miles I earned on Korean, their partner airline.

Buti na lang the flight attendants were very good in anticipating my needs on board. They saved the day for Hawaiian. And the food was also not bad. But I won’t recommend Hawaiian to friends. The hassle of having to clear customs and immigration in that rather traveler unfriendly airport, where you also have to transfer terminals, is simply not worth it.

The Hawaiian flight was full both ways and in both classes. It made it think that Mr. John’s wish for Cebu Pacific to fly Trans Pacific makes sense. If only our CAAP authorities can get our Category 2 lifted to Category 1 again, maybe more Filipino carriers can share in the obviously lucrative market.

Confession

A reader sent in this one.

After the Mitsubishops scandal, a new preamble to Confessions was prescribed: Forgive me, Father, for I have lapsed in my judgment.

Boo Chanco’s e-mail address is [email protected]. He is also on Twitter @boochanco