Investors keen to see Marcos’ agenda in the first 100 days
With a campaign lacking in details on how the perceived winner in the May 9 polls intends to manage the Philippines economy, the private sector has shifted into a wait-and-see mode until former senator Ferdinand Marcos Jr outlines his plans and names his economic team.
Investors are eagerly awaiting the line-up of the next administration’s cabinet as they evaluate the prospects under a new leadership, considering the big challenges such as rising inflation and a mountain of debt.
Rizal Commercial Banking Corp chief economist Michael Ricafort said in a commentary that some investors had adopted a wait-and-see attitude “as a matter of prudence” while waiting for details in the coming days and weeks.
Ricafort said, in particular, investors wanted to have an idea of the incoming administration’s policies for the first 100 days.
Among the factors that investors are looking at as key to success for the new president is a credible and competent economic team, as the past two decades have seen, the economist said.
ING senior Philippine economist Nicholas Antonio Mapa said they were hoping the incoming administration would shed light on its plans to grow the economy amid inflationary pressures after two years of the Covid-19 pandemic.
The other factors are policies that promote ESG, or the environment, society and governance, to help attract more investments; efforts to strengthen institutions and the rule of law; a more effective response to the pandemic, and continuation of economic and fiscal reforms.
Ricafort said investors were looking at whether the new administration would focus on economic recovery measures from the pandemic such as the reopening of the economy and the creation of more jobs.
On the domestic front, a key to success is whether the new president would promote greater inclusion and unity among politicians, considering that strong support from lawmakers is needed to pass more reform measures that need legislation.
On Tuesday, Finance Secretary Carlos Dominguez III said transition talks between the outgoing Duterte and incoming Marcos Jr administrations have started, just a day after the presidential elections.
“The briefing has begun,” said Dominguez, President Duterte’s chief economic manager.
“So far, so good,” was his reply when asked how the talks were progressing.
Dominguez declined to identify who would compose the economic team of Marcos Jr, who will assume the presidency on July 1 once he is proclaimed the winner.
Marcos, the son of the Philippines dictator deposed in a 1986 popular uprising, won the presidential election by a huge margin, according to unofficial results, marking a stunning comeback for the country’s most famous political dynasty.
By Ben O. De Vera and Miguel R. Camus
Asia News Network: The Nation (Thailand), The Korea Herald, The Straits Times (Singapore), China Daily, Jakarta Post, The Star and Sin Chew Daily (Malaysia), The Statesman (India), Philippine Daily Inquirer, Yomiuri Shimbun and The Japan News, Gogo Mongolia, Dawn (Pakistan), The Island (Sri Lanka), Kuensel (Bhutan), Kathmandu Post (Nepal), Daily Star (Bangladesh), Eleven Media (Myanmar), the Phnom Penh Post and Rasmei Kampuchea (Cambodia), The Borneo Bulletin (Brunei), Vietnam News, and Vientiane Times (Laos).