Are more direct investments really coming in? / balikBalangay, Inc.

I don’t think there can be any dispute that all Filipinos, whether critics or allies of the Aquino government desire the best for this country. So far, we are met with more contradictions. The impression of a booming economy is only partly true and perhaps mostly visible in Manila and Makati. BBC said this is “puzzling” because at the same time that it is supposed to be doing very well, there are more and more Filipinos without jobs and going hungry.

The optimists on the other hand say that with the many opportunities foreign investors should be lining up to invest in this “booming” economy.

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So I was surprised to read Sagittarius Mining Inc.’s press release announcing a new strategy. It was not complaining. On the contrary it said in very polite language it was “revising its approach on Tampakan Project .” It would cut down jobs and spending. That is bad news in any language.

The Tampakan Copper-Gold Project is a major foreign investment project with repercussions on the Philippines’ reputation for investments.

One thing is sure. The downsizing will not help make investors interested in the Philippines. Executive vice-president Justin Hillier said in the statement it would “enhance collaboration with national government.” How?!?

The most important roadblocks to the project are the South Cotabato open mining ban being insisted on by local government, bureaucratic inconsistencies on government approvals and consent for resettlement on impacted communities.

SMI emphasized however that it would continue to support development programs for the communities in Tampakan.

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Foreign direct investments fell sharply in May, believed to be because of policy inconsistency and high power costs.

The data came from the Bangko Sentral ng Pilipinas. These showed FDI $17 million in net inflow last May, down 85.7 percent from the $117 million in the same month last year. 

The latest figure brought FDI for the first five months of the year to $1.522 billion, slightly down from the $1.666 billion in the same comparable period. 

 â€œI think we still have some structural issues. Costs of power are still going up and there remain concerns over the country’s long-term policy sustainability,” Metropolitan Bank & Trust Co. research head Ildemarc Bautista said in a telephone interview. 

 â€œThere’s a lot of interest in the Philippines, inquiries are there. But until we fully get their confidence, long-term investors will not...” lock their money long-term in solid investments, Bautista said. 

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With more than 18 million Filipinos living below P50 a day, we have an explosive situation. The data comes from the Asian Development Bank (ADB) and the National University of Singapore (NUS). We must not take these data lightly.  The study said the poor in the Philippines is higher than the Southeast Asian average.

The study “Ending Deprivations” is a wake-up call not only to the government but to the rich as well. The 50 richest families in the country possessed 25 percent of Philippine gross domestic product (GDP). The looming instability will not spare the rich if the poor are not helped.

“Asia’s future prosperity will only be assured if countries continue the fight against poverty and other areas of deprivation, and this will require proactive state intervention,” ADB Strategy and Policy Department Director General Kazu Sakai said in a statement.

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This column salutes a group of advocates for ‘the management of the sea as their response to war mongering.’ They have now started a website called balikBalangay, Inc. Its chosen method is recourse to history and the evolution of the peoples of Asia. The Filipino’s roots are among the seafaring peoples of Asia.

Not very long ago the intrepid Art Valdez who led the first Filipino group to climb the Mount Everest also built a “balangay,” the boat that ancient Filipinos used. Such a boat was excavated in Butuan dating as far back as 320 AD. Valdez, helped by the Bajaus of Sibutu and Sitangkay of Tawi-tawi, built a balangay using methods during the 14th century.

Today the return to our roots through the concept of a balangay is being resurrected as the name of a think-tank put together by Filipinos led by former Ambassador Alberto Encomienda. He has made the management of the sea his chosen field of study and advocacy. It will not only help fishermen preserve their livelihoods but it will endeavor to get all countries around the periphery of the sea(s) to work together for a common asset.

The balikBalangay, Inc., is a non-stock, non-profit conservation organization in the Philippines focusing on marine environment and resources. The organization is composed of a committed group of professionals with significant years of experience in marine governance.

The seas of Southeast Asia include the South China Sea, Sulu Sea, Java and Celebes seas, and the Gulf of Thailand. These are the maritime bridges that linked and unified the Malayo-Polynesian tribal communities in the region through trade and commerce for thousands of years.

The group hopes to bring about “The Asian Century” through this return. The think tank will work towards increasing awareness through seminars and publications. It will count on fishermen’s organizations to come forward to help bring about an inclusive approach.

Balangay was not just a boat. It was an era of cooperation among the countries that live by the sea. It brought strong cultural, commercial and historical ties among the peoples in the region living and sharing the benefits of peaceful enjoyment of the abundant marine resources and trade among them.

The balikBalangay Inc. think tank seeks to modernize and update the ancient Balangay maritime milieu to the 21st century. It will tackle issues like marine environmental protection (MEP), marine scientific research (MSR) and safety and security of navigation to highlight the connectivity of the ocean in the wider regional sea area of maritime Asia.

The think tank will promote cooperative scientific studies on the seas of maritime Asia and address common issues and concerns to promote regional peace and harmony.

“We will seek cooperation using science to underpin ocean governance, and develop law and policy to define the uses of the regional sea as it relates to ocean governance and maritime security,” Encomienda told this column.

Other groups will be tapped for the effort. Oceanfriends, Inc. would take care of the scientific aspect, while law and policy will be taken up by the Center for Archipelagic and Regional Seas Law and Policy Studies.

Finally, balikBalangay Inc. added it will reach out to regional partnerships and interested governmental or non-governmental/private entities.