The taipans yielded to Mrs. Arroyo’s request despite losing the bid to construct Terminal 3 of the Ninoy Aquino International Airport (NAIA 3) to the German-led Philippine International Air Terminals Co. Inc. (Piatco).
Speaking at a luncheon for the taipans at Malacañang, Mrs. Arroyo offered joint ventures using idle, state-owned land around Metro Manila and elsewhere as equity.
The President asked the Chinese-Filipino businessmen to build homes for soldiers, policemen and employees of other government agencies.
John Gokongwei, retired patriarch of JG Summit Holdings Inc., told reporters Mrs. Arroyo had offered lands from military camps.
"The private sector would then invest by building housing units worth P1-2 million each," he said.
"This definitely is a vote of confidence. I have always had confidence in the job she’s doing. Her plans of encouraging and building and developing of army lands are very good," Gokongwei.
Joining Gokongwei in the investment are Henry Sy of the ShoeMart chain of shopping malls, Andrew Gotanium of Filinvest, Alfonso Yuchengco of AY Group of Companies, and George Ty of the Metro Bank Group.
As to NAIA 3, Gotanium said the taipans through the Asia’s Emerging Dragons Corp. lost the bid because Piatco submitted a much lower price.
"Our past experience is not important," he said. "What is important now is we’re willing to help (whichever way) we can help the government. That is what we’re here for. As long as we can help, we’re willing to do it, the past is not important."
Finance Secretary Jose Isidro Camacho said Mrs. Arroyo will name a project manager to work out the details and mechanics of the government’s joint venture with the taipans.
However, Camacho said the President did not offer any "special initiative" to the Chinese-Filipino businessmen for taking part in the government’s housing program.
"There are no incentives as such," he said. "As I said, whatever project has been discussed with the taipans would be available to all other Filipino businessmen."
Camacho said the taipans’ helping the government construct low-cost houses will have a "multiplier effect" on the country’s economy.
"Partly to protect the Philippine economy from potential slowdown around outside the Philippines, the President saw it fit to focus our economic effort in the domestic economy and how we can promote domestic demand," he said.
"We are very pleased and happy that they joined us this afternoon to show us support in this effort ... Again, we’re very happy with the response that the government is getting from the taipans."
Camacho said the businessmen were offered to develop so-called "government villages" in idle, state-owned properties around Metro Manila.
"We just asked the taipans to act like an anchor," he said. "So that as we go to the projects we can make sure that they will be successful because we have at the very least some of our biggest people supporting this project."
On the other hand, Secretary Michael Defensor, chairman of the Housing and Urban Development Coordinating Council, said the taipans plan to develop excess land in military reservation areas in Tanza, Cavite, and Fort Magsaysay in Nueva Ecija. – Marichu Villanueva, AFP