Media Statement
July 16, 2024
Ahead of the State of the Nation Address on July 22nd, Philippine Business Groups and the Joint Foreign Chambers (PBG-JFC) have written to President Ferdinand Marcos Jr., requesting his support for 21 critical legislative measures currently pending in Congress. These proposed reforms aim to drive economic growth, enhance global competitiveness, and promote inclusive development.
The letter states, “In July 2022, we wrote to share a list of 24 legislative measures that 12 of the undersigned groups agreed to prioritize and advocate for before the 19th Congress. We greatly appreciate that, of the 24 measures, three have been signed into law, and three more have been identified in the LEDAC Common Legislative Agenda (CLA) for passage.”
The PBG-JFC’s prioritized legislative agenda includes the following:
1. Liberalization of Foreign Equity Restrictions in the Constitution
• Amendment is sought to the economic provisions of the Constitution to remove foreign equity restrictions.
2. Konektadong Pinoy Bill
• Seeks to lower barriers and cost to entry for data service providers, promote sharing of infrastructure and efficient use of resources, and lower internet costs for Filipinos.
3. Promotion of Digital Payments
• Mandates the use of safe and efficient digital or electronic mode of payments by all national government agencies, government-owned and controlled corporations, and local government units.
4. CREATE and PEZA Act Amendments for Hybrid/Flexible Work Schedules
• Amendments are sought to allow locators greater flexibility in setting work from home arrangements.
5. Freedom of Information Act
• Provides the parameters and mechanisms for citizens’ access to information in all government offices.
6. Capital Income and Financial Taxes Reform
• Seeks to simplify 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 and improve compliance.
7. Secrecy of Bank Deposits Law Amendments
• Allows the BSP, in the exercise of its supervisory powers, to examine, inquire, or look into deposits under certain conditions related to unlawful activities.
8. National Unemployment Insurance
• Institutionalizes a National Unemployment Insurance Program to protect workers from income loss due to job loss by providing unemployment benefits while they seek new employment.
9. Department of Disaster Resilience Creation
• Creates a Department of Disaster Resilience which will be given the mandate to lead in the planning, coordination, monitoring, oversight, and implementation of disaster risk and vulnerability reduction and management.
10. E-Commerce Act Amendments
• Updates the Electronic Commerce Act to align with treaty obligations and international best practices for electronic signatures, contracts, communications, and documents.
11. Pandemic Protection Act
• Aims to prevent the overburdening of the health care system, develop health care and manufacturing, create jobs during pandemics, ensure supply of critical products, protect consumers, and build partnerships with the private sector.
12. Holiday Rationalization Act
• Rationalizes the number of non-working holidays comparable to our neighboring ASEAN countries and reduce business cost.
13. Philippine Airports Authority Creation
• Creates a Philippine Airports Authority, which will handle the regulation and operation of all airports and improve safety and efficiency.
14. Philippine Ports Authority Charter Amendments
• Amendments are sought to transfer PPA-operated ports to a separate public sector
entity to improve safety and efficiency.
15. Intellectual Property Code Amendments
• Updates and modernizes the IP code to comply with treaty obligations and adopt international best practices.
16. Philippine Pension System Portability and Strengthening
• Strengthen the Philippine pension system, including its portability, to allow employees to grow their pension fund even if they change employers.
17. Apprenticeship Program Reform
• Further reforms the current apprenticeship program to make it more attractive to both enterprises and prospective apprentices.
18. Agricultural Land Ownership Easing
• Increases landholding ceiling on agricultural land from 5 hectares to 24 hectares and eases restrictions and rationalizes the process on agricultural land transactions.
19. Commonwealth Act 138 (FLAG Act) Repeal
• Repeal is sought to remove the 15% domestic preference in awarding contracts for construction or repair of public works.
20. International Maritime Trade Competitiveness Act
• Strengthens the oversight functions of government agencies over the imposition of shipping charges by international shipping lines and institutionalizes mechanisms for the efficient movement of goods.
21. Satellite-based Technologies Promotion Act
• Eases regulatory requirements for the use of satellite-based internet technologies to connect unserved and underserved communities.
“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. We will continue to work with Congress and your administration in support of these remaining reforms as we look forward to your third State of the Nation Address,” the letter states.
The signatories of the letter include:
- American Chamber of Commerce of the Philippines, Inc.
- Association of International Shipping Lines, Inc.
- Canadian Chamber of Commerce of the Philippines, Inc.
- Chamber of Customs Brokers, Inc.
- Confederation of Wearable Exporters of the Philippines
- European Chamber of Commerce of the Philippines
- Financial Executives Institute of the Philippines
- Japanese Chamber of Commerce and Industry of the Philippines, Inc.
- IT & Business Process Association of the Philippines
- Korean Chamber of Commerce Philippines
- Makati Business Club
- Management Association of the Philippines
- Philippine Association of Multinational Companies Regional Headquarters, Incorporated
(PAMURI) - Semiconductor and Electronics Industries in the Philippines Foundation, Inc.
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