Metro Manila (CNN Philippines, July 18) — Senate President Juan Miguel Zubiri is hoping President Ferdinand Marcos Jr. will have the chance to bare all the projects that will be funded by the Maharlika Investment Fund (MIF) during his second State of the Nation Address.
\”Yes. I asked the president kanina…Kung may magagandang mga flagship projects, pwede na niyang banggitin para makita ng tao na maganda pala ang itong bill na ito,\” Zubiri told reporters on Tuesday.
[Translation: Yes. I asked the president earlier…If there are flagship projects, he can mention them so people will know that this is a nice bill after all.]
Marcos already signed into law the bill creating the MIF, which will be tapped for possible investments in agriculture, energy, digitalization, and the fight against climate change, among others.
It is patterned after the sovereign wealth funds of other nations like Singapore, China, Hong Kong, South Korea, and Malaysia.
Zubiri also suggested that the Bataan-Cavite Interlink Bridge Project could be a good investment project using the MIF, noting that income could be generated through tollways.
\”My humble suggestion, iyong ating Cavite-Bataan bridge, ‘yong toll bridge, maganda po ‘yan dahil alam mo, maka-cut off ‘yong travel time from three or four hours,\” he said.
[Translation: My humble suggestion is the Cavite-Bataan bridge, the toll bridge. It will cut off travel time from three or four hours.]
Under the law, the initial capital will come from the investible funds of the Land Bank of the Philippines, the Development Bank of the Philippines (DBP), declared dividends of the Bangko Sentral ng Pilipinas, and other sources.
But the Senate president admitted that the impact of the country’s own sovereign wealth fund would only be felt in the next administration as projects will take years to complete.
\”Unless it’s other projects na mas mababa ang [that has a shorter] shelf life or construction time. But definitely, the next admin will be benefiting from the Maharlika Investment Fund,\” Zubiri in a separate press briefing. \”So ang tingin ng president dito ay long term, for the next generation.\”
[Translation: The president sees this as a long-term investment, for the next generation.]
Risks
The law has received backlash from various sectors warning of possible risk to the country’s economy.
Senate Minority Leader Aquilino Pimentel III called the MIF \”a bad idea, a bad decision, a bad act.\”
\”Without the required surplus, in the face of our current ₱14.1 trillion outstanding debt, the signing into law of the MIF Act could significantly exacerbate our national debt,\” he said.
Senator Risa Hontiveros also expressed concern on the enactment of MIF.
\”With Maharlika that will be headed by the Finance Secretary is merely moving public funds around – from urgently need expenditures to risky gambles; and from fund disbursements scrutinized and authorized regularly by Congress, to investments beyond the reach of elected representatives,\” she said.
However, Zubiri said there’s always a risk in any investment.
\”Like any fund, the most important thing is piliin natin yung tamang tao na mamumuno nitong fund na ito,\” he said.
[Translation: Like any fund, the most important thing is to choose the right people who will manage this fund.]
