New SEC chair likely to reject hike in fees

MANILA, Philippines — Securities and Exchange Commission (SEC) chairperson Francis Lim is likely to reject the increase in charges and fees by the agency, which was proposed way back in 2023.

Lim, who started his term as SEC chair last month, told The STAR that he is against any hike in fees and charges at the commission.

“Maybe they have not brought it to me because they know my mindset,” he said when asked about his position on the SEC’s proposed hike in its fees.

“My goal now is to reduce fees and transaction costs, and I’ve done that by reducing reproduction fees by 50 percent. And this is an ongoing project – to the extent that we can reduce transaction costs, including filing fees, including photocopying fees, we will do it. I’m just studying it,” Lim said.

In August 2023, the SEC released the revised schedule of fees and charges to solicit comments, suggestions and inputs from stakeholders.

However, the proposed hike met opposition in October of that year from some of the country’s biggest business groups led by the Philippine Chamber of Commerce and Industry and the Management Association of the Philippines.

In response, the SEC met with the business groups to address the points the latter raised and unite the viewpoints of the commission and its stakeholders.

One of the requirements sought by the business groups was the regulatory impact assessment of the Anti-Red Tape Authority (ARTA).

Last year, the SEC said the ARTA had cleared the proposed increase in registration and filing fees.

The SEC earlier noted that the proposed revised schedule of fees and charges was the result of a thorough and careful study.

Before releasing the proposal, the SEC said a dedicated committee was constituted to assess the current fees and charges in relation to operating costs, in order to ensure the sustainability of the commission’s services and fulfillment of its legal mandate.

The commission said that the schedule of fees and charges was last updated in 2017, based on a proposal from 2014.

Under his leadership, Lim has committed to streamline transactions by ensuring that all steps and requirements for SEC processes are necessary, consistent and simplified.

He said the SEC will also explore reasonable reductions in its fees, particularly for micro, small and medium enterprises.

The SEC recently slashed by 50 percent the rates for documents requested from the commission, including the articles of incorporation, by-laws and general information sheet.

With the new rules, the public may now request for plain digital copies of documents for as low as P375 each, compared to the previous rate of P750.