July 16, 2024 | 8:17 pm
Business Chambers said they view the lifting of foreign equity restrictions and the increased ceiling for farmland owned by foreigners, among other pending bills, as the highest priorities for Congress.
In a statement on Wednesday, Philippine Business Groups and the Joint Foreign Chambers (PBG-JFC) said they are requesting President Ferdinand R. Marcos, Jr.’s support to pass 21 measures they deem critical.
“These proposed reforms aim to drive economic growth, enhance global competitiveness, and promote inclusive development,” the chambers said.
They said that some of the measures are part of the 24-item priority list they compiled for Congress in July 2022.
“We greatly appreciate that of the 24 measures, three have been signed into law and three more have been identified in the LEDAC (Legislative Executive Development Advisory Council) Common Legislative Agenda for passage,” they added.
Resolution of Both Houses (RBH) No. 7, which is currently with a Senate committee, seeks to amend economic provisions in the constitution to change foreign participation restrictions on public utilities, educational institutions, and advertising.
The groups also sought to increase the ownership ceiling for foreigners on agricultural land from five hectares to 24 hectares and to remove the 15% domestic preference in awarding contracts for construction or repair of public works contained in Commonwealth Act 138.
The groups also sought changes to the Corporate Recovery and Tax Incentives for Enterprises (CREATE) and Philippine Economic Zone Authority laws, particularly regarding flexible work schedules, as well as reforms to apprenticeship programs.
“Amendments are sought to allow locators greater flexibility in setting work-from-home arrangements,” PBG-JFC said. “Further reforms in the current apprenticeship program will make it more attractive to both enterprises and prospective apprentices.”
The groups also said that the government should prioritize amendments to the E-Commerce Act and the Intellectual Property Code to align with treaty obligations and adopt international best practices.
They said that the Capital Income and Financial Taxes Reform should be passed to simplify the taxation of passive income and financial transactions, harmonize tax rates on interest, dividends, and capital gains, and rationalize the documentary stamp tax to reduce costs.
The groups also sought amendments to the Secrecy of Bank Deposits Law to allow the central bank to exercise its supervisory powers to examine deposits related to unlawful activities.
The groups also sought priority treatment for the Konektadong Pinoy Bill, the Freedom of Information Act, and the Satellite-based Technologies Promotion Act. They also urged the promotion of digital payments.
They said that these measures will help lower internet costs, bridge the digital divide, make digital payments efficient, and provide citizens with access to information in all government offices.
They also pushed for the creation of the Philippine Airports Authority, which will handle the regulation and operation of all airports, and the transfer of Philippine Ports Authority-operated ports to a separate public sector body.
In relation to this, the PBG-JFC said that the International Maritime Trade Competitiveness Act should strengthen the oversight functions of government agencies over the imposition of shipping charges by international shipping lines.
Other measures being pushed by the groups are the National Unemployment Insurance Program, the Department of Disaster Resilience bill, the Pandemic Protection Act, the Holiday Rationalization Act, and the strengthening of the Philippine pension system.
“With one year left in the current Congress, we believe that the 21 measures are achievable reforms that will generate substantial impact in achieving our shared vision of inclusive growth through job generation, poverty reduction, and global competitiveness,” PBG-JFC said.
“We will continue to work with Congress and the administration in support of these remaining reforms as we look forward to the State of the Nation Address,” it added.
Signatories to the statement were the Management Association of the Philippines, Makati Business Club, Semiconductor and Electronics Industries in the Philippines Foundation, Inc., Association of International Shipping Lines, Inc., Chambers of Customs Brokers, Inc., Confederation of Wearable Exporters of the Philippines, and the Philippine Association of Multinational Companies Regional Headquarters, Inc.
The other signatories are the American Chamber of Commerce of the Philippines, Inc., the Canadian Chamber of Commerce of the Philippines, Inc., the European Chamber of Commerce of the Philippines, the Japanese Chamber of Commerce and Industry of the Philippines, Inc., and the Korean Chamber of Commerce Philippines. — Justine Irish D. Tabile