Charles Teves
The House is working overtime to pass legislation that would establish a sovereign wealth fund for the country.
On Tuesday, the House banks and financial intermediaries committee gave its preliminary approval to House Bill 6398, also known as the Maharlika Investments Fund Act. This had been proposed the day before by Speaker Martin Romualdez and six other legislators. The bill will be further refined by a technical working group (TWG) that will propose amendments to the bill.
The proposed wealth fund will be the subject of a public consultation on December 5. The House Banking and Financial Intermediaries Committee announced on Thursday that it had approved inputs and amendments from the TWG, which had basically worked overtime on the bill’s details.
Rep. Joey Salceda reassured the public that adequate safeguards would be put in place to prevent a repeat of the 1MDB scandal, in which billions of dollars were stolen from Malaysia’s sovereign wealth fund.
He predicted that plenary discussions on HB 6398 would begin on Monday. He promised that the committee on ways and means, which he chairs, would approve the bill that day as well.
“Second reading by Wednesday. That’s our commitment,” the Albay lawmaker pointed out.
The largest business group in the country has also endorsed the government’s plan to establish a sovereign wealth fund. This lends credibility to the initiative from a segment of the population many believe will be instrumental to the plan’s ultimate success.
In an interview with the Inquirer, George Barcelon, president of the Philippine Chamber of Commerce and Industry (PCCI), stated that the organization would back the establishment of the Maharlika sovereign wealth fund because of the significant aid it would provide in financing government activities to stimulate the economy.
According to Barcelon, “I think this is something we should do. I’m sure the government will put all the safeguards to this Maharlika fund. We have the freedom of information (law), and any individual or organization can request access to information about it.”
The PCCI representative also mentioned the success of using government-owned investment funds in other countries, particularly Singapore.
During his speech, Barcelon promised the Philippine government the PCCI’s assistance in promoting the fund internationally.
However, many Filipinos are wondering why the proposal is such a priority at this time.
Sen. Imee Marcos was also surprised by the importance of the bill.
May point naman talaga siya.
Pero dahil siya ang nagsabi, hindi ako naniniwala na bukal sa loob. https://t.co/zXa9KUGgNg
— Justin Dizon (@iamjustindizon) December 3, 2022
In the eyes of netizens, there appears to be a miscommunication between Pres. Bongbong Marcos and his sister.
https://twitter.com/jcpunongbayan/status/1598607845729058816?s=20
On the other hand, a finance expert doesn’t see the bill benefiting the Filipinos.
https://twitter.com/znsuzara/status/1598694581889290240?s=20
As I said, kung gusto kakayanin. Kung ayaw, hindi. Bakit ito ang minamadali, at hindi ang pagtulong sa mga mamamayang umaaray sa mga matataas na presyo ng bilihin?https://t.co/WUSEXt9TmH?
— Raissa Robles (@raissawriter) December 2, 2022
NO TO House Bill 6398
1. No excess funds to put into a sovereign wealth fund. PH is actually under a deficit.
2. Pension funds should not be the source. GSIS/SSS funds are for current and future pensioners.
3. BBM overseeing the fund is like the fox "guarding" the chickens.
— Jesus Falcis 🇵🇭 (@jesusfalcis) December 2, 2022
Pres. Bongbong Marcos has been announced as the chair of the wealth fund which many think isn’t a good idea given his family’s history of plunder and graft.
maharlika, mula sa maralita pic.twitter.com/NwF6IVTJFg
— Cartoonist ZACH (@cartoonistzach) December 2, 2022
Sa banko di ka makakapag loan of di ka pasado sa requirement at investigation. Investors won’t gove out money if dami ka red flags… then you want a family notorious for ill gotten wealth, tax evasion and embezzlement lead and manage your money?! Hell NO!!! pic.twitter.com/gPHi3Mt6Fe
— 勇志 🇵🇭🌸🇯🇵 (@YuujiS3nPai) December 2, 2022
https://t.co/IQNhbEJBFz pic.twitter.com/cfdejNYmev
— Manuel L. Quezon III (@mlq3) December 1, 2022
Off-shore account later! pic.twitter.com/RfhRoBqrlu
— Pari Koy (@pads_nosi) December 1, 2022
Trabaho na nga GSIS at SSS para mag invest para palaguin ang contribution ng members nila. Bakit mag invest pa ito sa Sovereign Wealth Fund ni Marcos na mag invest din para sa kanila? Ginagawa na nila ito bakit papagawa pa sa iba? Na doble lang administration cost. Hay tanga… pic.twitter.com/VBlq28IoYZ
— Your Daily Dose (@SaltAndReality) December 2, 2022
https://twitter.com/datumx11/status/1598204841037533185?s=20
As ordinary citizens, can we stop them from doing so?? pic.twitter.com/R47STTvYcP
— Granny🎗🎀 (@The_PinkWarrior) December 1, 2022
Marcos's Maharlika Investment Fund is a potential threat to people's pensions (especially that of gov't workers). It also exposes gov't financial institutions to undue risk. https://t.co/WGtrR7syYJ
— JC Punongbayan (@jcpunongbayan) December 1, 2022
Maharlika Fund. 🚩🚩🚩
They messing with your money.
— Agot Isidro (@agot_isidro) December 1, 2022
A number of international organizations have responded to the proposal for a sovereign wealth fund in various ways, with many emphasizing the lack of sufficient information to take a position at this time.
