Arroyo government asked to restore confidence on RP economy

MANILA, Philippines – The president of the Chamber of Mines of the Philippines appealed yesterday to the Arroyo government and stakeholders of the country’s mining sector to work harder to restore confidence in the Philippine economy and thus draw in investors to the mining industry.

Speaking at the press conference announcing the 8th Asia Pacific Mining Conference and Exhibition to be held from Oct. 14 to 16 at the Sofitel Philippine Plaza Hotel, Philip Romualdez said the conference would be part of the “confidence building” measures that the private sector and the Arroyo government must undertake to prevent mining investors from postponing their investments.

This, in the light of the current financial market turmoil caused by the US real estate mortgage crisis, as well as continuing local problems with the local government units, local communities and security problems.

“We are still hopeful that investments will come in,” Romualdez said.

However, he admitted that in the light of current events “the timetable may be delayed.”

The effect of the current financial turmoil stemming from the US real estate mortgage crisis is a tightening of credit and “risk aversion” for most investors, he said.

But he expressed confidence that the risk aversion will be temporary.

“The Philippines, fortunately is well placed, with its mineral resources and policies to compete once the US situation finally settles down,” Romualdez said.

He assured that the global economy is still growing and would continue to industrialize.

The cornerstone of industrialization, Romualdez pointed out, is mineral resources, which the Philippines has.

“Philippine mining projects would just have to exert more effort in convincing potential investors that they are worth investing in,” he said.   – Marianne Go