Metro Manila (CNN Philippines) — Markets were closed when Manuel “Mar” Roxas II made his big announcement.
But business leaders have come out and welcomed the prospect of a united campaign between the administration bet and independent candidate Sen. Grace Poe.
“If Sec. Mar and Sen. Grace can agree that only one of them will pursue his or her candidacy, that candidate will be a formidable contender for the presidency. I think the business community will welcome these efforts and hope that they will succeed in forging unity,” Ramon del Rosario, Makati Business Club Chair, told CNN Philippines on Friday (May 6).
Also read: President Aquino calls for united front against Duterte
Business groups have been wary of supporting frontrunner Rodrigo Duterte.
The tough-talking Davao City mayor has been criticized for having a vague economic platform. Peace and order has been his focus and his strength – but they regard his strategies as brutal, if not unlawful.
Duterte has said he will “suppress” crime in three to six months. He plans to give shoot-to-kill orders to police, close down Congress should they object and put up a revolutionary government.
Del Rosario said in an earlier forum: “Sometimes, more often than not, we hope the candidates will do as they promise. I think this is one time that I’m hoping this particular candidate will not do as he promises.”
First Metro Asset Management, Inc. President Augusto Cosio likewise welcomed Roxas’ move.
“A unity move will surely be a stabilizing factor. It will reduce uncertainty,” he said.
Markets have been feeling the strain of the election, with the peso weakening against the dollar and the stock market on a steady decline.
BDO Chief Market Strategist Jonathan Ravelas added: “Markets are in wait-and-see mode. The peso recovered some losses from the open, but just the same remains restless.”
Some say the downtrend is due to the elections in general; investors are sitting on the sidelines as they wait to see who the new leaders will be.
Others add that the presidential race has been so tight, it seems unlikely the next president would be able to secure a strong enough mandate to push his or her agenda.
Also read: Mar Roxas seeks talks with Grace Poe
However, there are analysts that say the markets are especially jittery because of Duterte’s lead in the polls.
Roxas and Poe, are statistically tied in second place, but they are way behind the mayor.
The two are considered more business-friendly, and del Rosario has said he expects the market reaction to be “positive” should either of them win.
European Chamber of Commerce of the Philippines Vice President Henry Schumacher said, “Business is interested in reforms and a more aggressive policy in opening the economy, to increase competition to provide Juan dela Cruz with better products and better services at better prices.”
“If that’s on top of the agenda of a Poe/Roxas partnership, this late unity move will be welcomed by business.”
For University of the Philippines economist Benjamin Diokno, however, what becomes of the race is not the most relevant factor now.
“I think the business community is just hoping for the clean and peaceful exercise of the people’s will and a smooth transition of power,” he told CNN Philippines.
