Metro Manila (CNN Philippines, December 23) — Not only issues on confidential and intelligence funds have made headlines this year, but also President Ferdinand Marcos Jr.’s “revenge travel.” With hundreds of millions spent on his foreign trips, how long should Filipinos wait for his promised drumroll of investments that are expected to create quality jobs?
The country’s chief executive flew to United States, Saudi Arabia, China, Japan, Malaysia, Indonesia, Singapore and Switzerland this 2023, meeting his counterparts to discuss major issues, foster stronger relationships with other nations, and mine millions of investment pledges.Government officials claimed that Marcos’ trips abroad were fruitful as these not only beefed up the Filipinos’ interest and ties with other top leaders but also helped cement the Philippines’ position in business.However, some groups and lawmakers expressed their disapproval of the alleged excessive spending for the president’s trips.
Questioning delegation size, ‘leisure’ travel
One of the issues that earned their ire is the huge Philippine delegation to Davos, Switzerland last Jan. 16 to 20, where at least 70 people were reported to accompany Marcos, including tycoons.
ACT Teachers party-list Rep. France Castro described the trip as “very lavish,” considering the costs of accommodation, transportation, and food in Switzerland.
But Marcos was quick to defend the size of his delegation, saying: “We tried to be complete. When is the next chance we will get to speak to CEOs of top Fortune 100 companies in the period of two days?”The chief executive’s Singapore trip in September also caught the eagle eye of the public, especially his critics. Progressive alliance Bagong Alyansang Makabayan (Bayan), for one, lambasted Marcos over his plan to watch the Formula One Singapore Grand Prix 2023 despite inflation challenges facing Filipinos.
READ: Bayan slams Marcos’ ‘insensitive’ Singapore trip for F1 race
The Palace said Marcos was there on the invitation of Singaporean Prime Minister Lee Hsien Loong. The president also attended the Asia Summit 2023.
Defending the budget
For this year alone, the spending allotted for Marcos’ trips was set at ₱670 million. But as of September, the government already spent more than ₱480 million from the earmarked amount.Marcos was confident that the Philippines could see a return on investments (ROI).“The way I see it, you have to look at it as ROI. Do we bring something back or do we not? For example, we came back from China with pledges of $22 billion. Let’s say we get (an) actual $1 billion, bawing-bawi lahat ng eight trips [we recoup the expenses from the eight trips]. That’s the idea,” he said back in January following his trip to Beijing.The president said that once realized, the investments “will support our country’s economic recovery efforts and create more jobs for Filipinos.”Amid the proposal to earmark more than a billion pesos for Marcos’ trips in 2024, Budget Secretary Amenah Pangandaman said this was “justified” as this would enable the government to bring the Philippines “back to the map of an investment hub and opportunity…”Pangandaman said the administration’s economic managers were also part of the delegation.
‘Chief investments promoter’
Some officials also said Marcos’ presence on those foreign trips was crucial to representing the Philippines “at the highest level.”
This idea was backed by the Board of Investments (BOI).“Such engagements, especially the one-on-one business meetings of the President have accelerated investors’ business decisions and have secured strong investment interests in the Philippines,” the BOI told CNN Philippines when sought for comments.Marcos’ engagement would also be “very instrumental in closing the deal,” added the agency, which is under the Department of Trade and Industry and focused on the development of investments in the country.“Moreover, the promises of the president that he gives in his various business engagements essentially become instruction to concerned cabinet Secretary/ies or to the Philippine bureaucracy to deliver,” it said.
When can Pinoys realize these investment commitments?
“Please understand that FDI (foreign direct investments) realizations don’t yield instantaneous outcomes,” the BOI said. “Business decisions undergo thorough studies. And the involvement of top officials in investment promotions, as seen in countries like Thailand and Vietnam, highlights the importance these nations place on FDIs.”
The term FDI is considered actual investments.
Rizal Commercial Banking Corporation chief economist Michael Ricafort, meanwhile, said the increase in FDIs booked in early 2023 can be attributed to the several investment commitments secured by Marcos during his foreign trips since assuming office in mid-2022.Some of Marcos’ foreign trips this year yielded the following investment commitments:— Indonesia ($22 million)— US (₱72 billion)— Malaysia ($285 million)— Saudi Arabia ($4.26 billion)— China ($22.8 billion)“Investment commitments, especially if realized/monetized, from the various foreign trips by the administration could also help generate more investments (FDIs), jobs/employment, infrastructure spending/projects, trade (exports and imports), foreign tourism, and business/economic opportunities,” Ricafort told CNN Philippines.The economist said this would help fuel the local economy’s growth.“Though some of these investment commitments would realistically take more time,” he added.
