KOKO: STILL ‘PREMATURE’ TO PITCH MAHARLIKA FUND AT DAVOS

It would be unwise for President Marcos to pitch the proposed Maharlika Investment Fund (MIF) before the international business community as Congress has yet to approve it, Senate Minority Leader Aquilino Pimentel III said on Friday.

“Premature,” Pimentel told the Inquirer when asked if it was appropriate for the President to do a “soft launch” of the controversial initiative at the World Economic Forum (WEF) meeting in Davos, Switzerland, which the President is attending next week.

“[It’s] not OK. I would advise against it,” the opposition lawmaker said.

Foreign Undersecretary Carlos Sorreta had earlier said that the annual economic meeting of world leaders and business executives was a “great venue” for Mr. Marcos to discuss the MIF.

Financing vehicle

The Marcos administration wants to put up the country’s first sovereign wealth fund to generate earnings that can finance more infrastructure projects and other social programs and eventually promote economic development for future generations.

Shortly after the House passed the law creating the MIF in December last year, Economic Planning Secretary Arsenio Balisacan said it would be beneficial to the Marcos administration’s Philippine Development Plan for 2023-2028 as it can help finance the government’s investment priorities.

The MIF can be another vehicle for sources of financing for investments, just like the Public-Private Partnership scheme, official development assistance from other governments and the national budget, Balisacan then said.

Not as smooth sailing

Asked if he thought the MIF would not muster enough support even among the President’s allies in the so-called “supermajority” in the Senate, Pimentel replied: “I am against the Maharlika fund bill. The others, please ask them.”

Pimentel had previously said that it was unlikely for the measure to breeze through the Senate like it did in the House of Representatives.

Voting 279-6, the House approved House Bill No. 6608 on Dec. 15, 2022, after the President certified it as urgent. It was passed just 17 days after Mr. Marcos’ cousin, Speaker Martin Romualdez, and other administration allies filed the bill.

House Deputy Minority Leader Rep. France Castro, however, said it was “untimely and deceitful” to pitch the fund at Davos.

Castro—one of six who voted against HB 6608—said it was “concerning that the President would prioritize the promotion” of the bill, which has not yet been tackled by the Senate, “rather than focusing on the immediate needs of our citizens.”

“This is untimely and may seem deceitful to introduce and boast the MIF to the World Economic Forum. What would the Filipino people benefit from this?” Castro said.

Not a single senator has so far filed a counterpart measure establishing MIF since the Senate went on a holiday break on Dec. 14, 2022.

The regular session of the 19th Congress will resume on Jan. 23.