MIF, THE AMENDMENTS OF THE BILL

PROCORATO, HAROLD
DAN : BPE 1ST YEAR
(UGE 1636) - author

his cousin House

Speaker Ferdinand Martin Romualdez
(Leyte, First District), his wife Rep.
Yedda Marie Romualdez (Tingog
Sinirangan), and the president's son Rep.
Sandro Marcos, support this measure
The Maharlika Investment Fund (Ilocos, First District). The purpose of this
(MIF), commonly known as the Maharlika implementation was to promote economic
Wealth Fund (MWF), is the investment development and create strategic
fund for the Philippines. The rewarding investments in the key sectors.
autonomous Maharlika Investment Fund In addition, the government should
wants to raise investments can generate consider others opinion about the
money for the government in both Maharlika Investment Fund (MIF) in
monetary and material assets. President order to create changes of the said bill.
Ferdinand Marcos Jr.'s relatives, including

PERSONS IN COMMAND: USED OF FUNDS

There will be nine board members, including six partners from the founding government
financial institutions, based on the Article V, Section 15 of the bill the two independent directors
corresponding to their investments. These individuals will be picked by the advisory committee
from the business community, with the secretary of finance serving as the official national
government representative.

THE SOURCES OF FUNDS

The agreement's explanatory note is designed after the successful sovereign wealth funds
of other Asian nations like Singapore and Hong Kong. However, the Philippines will not be
 MIF, THE AMENDMENTS OF THE BILL
contributing to the Maharlika fund with its surplus wealth or foreign reserves, unlike Singapore
and Hong Kong's sovereign wealth funds. Furthermore, it won't be paid for with money obtained
from the extraction of natural resources, unlike Norway and Kuwait. The fund will get its initial
capital from Government Financial Institutions (GFIs) in the amounts of P50 billion, P25 billion,
and 100% of dividends issued by the Bangko Sentral ng Pilipinas (BSP). The BSP expected its
dividends to range between P30 billion to P35 billion for the current year. The final version of
the bill included a provision prohibiting government pension funds from ever contributing to the
Maharlika Investment Funds again. It is forecast that yearly contributions, primarily dividends
from the BSP, will grow the fund.

CONCERNS

Various groups have questioned about the proposed of Mahalika Investment fund,
arguing that there are more urgent things to marginalized poor sectors, especially on what other
people experiencing right now dealing with high inflation rate, and crime related situation
happening across the country. It is important that the government give more time to search
information’s about the possible outcome or effect that can affect the investment in the future.
Pimentel one of the members behind the rejection of the bill because of the certain gaps and lope
holes that needs further amendments in order to create and develop effective investment in the
future. Therefore, instead of prioritizing the amendments of the bill, the government should focus
on side problems that really affect every individual in their day-to-day basis.

SURVEY

Statistics revealed that the inflation rate increased to 8% in November, the highest level
since 2020. The increase in food and non-alcoholic beverage, and gas costs was the primary
factor why people struggling to sustain the needs of their family especially the tricycle
drivers, Due to more gradual increases in the cost of fuel, the National Capital Region (NCR)
saw inflation increase at a lower rate of 7.5%.

A nationwide study of 1,200 adults conducted by polling company Pulse Asia from
September 17 to 21, 42% of respondents said President Marcos is doing a poor job of managing
MIF, THE AMENDMENTS OF THE BILL
inflation, while 31% indicated the people who were happy with the government's actions to do so.
This led to a final approval rating of -11%, the only time Marcos' performance fell below par.

THE SIX (6) LAW MAKERS NO TO (MIF)

The six (6) MPs who voted against the Mahalika Investment Fund (MIF) namely Gabriel
Bordado (District 3 of Kamarines Sur), Arlene Brosas (Gabriela), France Castro (Act Teachers),
Majiv Hataman (Basilan), Edcel Lagman (Albay) 1 ), St District) and Raoul Manuel (Kabataan)
for the risks of corruption and investment, economic challenges, and how the bill passed the
House of Representatives. Moreover, a 30-35 billion dividend from Bangko Sentral ng Pilipinas
will be used as an initial investment, along with $50 billion from the Land Bank of the
Philippines and $25 billion from the Development Bank of the Philippines. In contrast, House
Bill (HB) No. 6608 passed his third final reading by a vote of 279 to 6.

CONCLUSION

In the current situation, priority should not be given to MIF invoices, but addresses
should be given priority Pressing issues such as inflation, prices of basic commodities, and
workers' wages. These are the reasons why people are impoverished due to lack of financial
support. Likewise, this leaves the country unprepared for investment.

RECOMMENDATION

Rather than prioritizing amendments to the bill, the government is advised to focus on
solving problems, especially on inflation and crime-related situations. It is recommendable that
the government must focus on education system, promote tourism, encourage entrepreneur, and
strengthen agriculture. Through this following recommendation it can really help to improve the
economy instead of waiting the investment fund to grow without assurance. The government can
invest in teacher training, provide better resources to schools, and promote vocational training to
prepare students for the job market and also include marketing campaigns, better infrastructure
for tourists, and the preservation of cultural and natural sites. Finally, support research and
development: Innovation is key to economic growth, and the government can support research
and development by providing funding for universities and research institutions, and by offering
MIF, THE AMENDMENTS OF THE BILL
tax incentives for innovative companies.
MIF, THE AMENDMENTS OF THE BILL
REFERENCES:

Bangko Sentral ng Pilipinas, INTERNATIONAL RESERVES AND FOREIGN CURRENCY

LIQUIDITY, Oct. 31, 2022

BRINK, R.V. (2012).Recipe for economic growth in the Philippines: invest in infrastructure,
education, and job creation

Cigaral, I.N. (2022). Filipino unhappy with Marcos’ handling of inflation problem-survey.

House of Representatives, HB 06398, Nov. 28, 2022

Press and Public Affairs Bureau (2022). Maharlika investment fund bill approved, 90 percent
of house members named co-authors.

Philippine Statistics Authority, Summary Inflation Report Consumer Price Index (2018=100):
November 2022, Dec. 6, 2022