Economy could grow 7.18%

MONDAY, 30 JANUARY 2012 23:14 CAI U. ORDINARIO / REPORTER

THE National Statistical Coordination Board, in an unexpected but welcome plug for the education and health sectors, on Monday said the government should spend more for additional classrooms and additional teachers this year if it wanted to exceed the 5-percent to 6-percent growth estimate for 2012 to 7.18 percent.

Based on NSCB estimates, additional spending for education and health, meaning over and above their approved budgets for 2012, would increase the country’s gross domestic product (GDP) by 0.01 to as much as 1.18 percentage points this year.

This means that if the government’s growth forecast for this year is between 5 percent and 6 percent, the economy can grow by around 5.01 percent to as high as 7.18 percent.

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“It is important to note that these estimates were made under the assumption that additional expenditures will be made by the government this year. Expenditures that exceed what has already been incorporated in the 2012 budget,” NSCB Secretary-General Romulo A. Virola told reporters at the sidelines of the National Income Accounts (NIA) briefing on Monday.

“’Yung computation namin is not based on an I-O model [input-output model] so ’yung mga multiplier effects, wala pa dun. This is [our estimated] minimum addition to GDP growth in 2012 [if more spending is done],” Virola added.

GDP scenarios made by the NSCB showed that the economy would benefit if the government spent for an additional 10,000 to 60,000 classrooms this year to meet the ideal classroom-to-student ratio of one is to 45.

The NSCB said this would increase GDP by another 0.02 to 0.11 percentage points in 2012. This would also add another 0.01 to 0.09 percentage points to the first-quarter growth in 2012.

The NSCB also said that if the government spent more to continue employing the 10,000 nurses and 1,000 midwives it hired in 2011 this year, this would increase GDP by another 0.01 percentage point in 2012 and another 0.01 percentage point in the first quarter of this year.

In education, the NSCB said, additional spending to hire 24,000 more teachers to attain a teacher-pupil ratio of one teacher to 37 students would add another 0.03 percentage points in 2012 GDP.

The agency also said that if the fourth tranche in the Salary Standardization Law (SSL) starts in February instead of June this year, this would add the most to GDP with an additional 1.18 percentage point in full-year GDP growth and 1.26 percentage point to first quarter growth.

“If you look at the impact of exports, its different if you talk to the NSCB, its different when you talk to the Neda (National Economic and Development Authority). The difference is that we are economists and they are accountants. And so there is a difference in concept but they more or less point at the same direction,” Neda Director General Cayetano W. Paderanga Jr. said.

This year Paderanga said economic growth would be driven by public construction. He said that as of January 12, 2012, the government already released 72.1 percent or P150.2 billion of the P208.3-billion allocation for capital outlays for various infrastructure projects.

These funds, which are front-loaded under the government’s Disbursement Acceleration Program, are allotted for different agencies like the Department of Public Works and Highways, the Department of Education, and the Department of Agriculture.

Additional boost for construction sector would also come from the government’s Public-Private Partnership (PPP) Program this year as well as robust private construction due to the demand for more office spaces to accommodate business- process outsourcing (BPO) firms.

“The performance of the real-estate sector will be complemented by the continued robust performance of the BPO industries. Meanwhile, the performance of the other services sector will benefit from the surge in tourism as we improve our infrastructure, intensify our tourism marketing campaigns, and maintain a favorable peace and order situation,” Paderanga said.

These factors, Paderanga said, would be able to cushion the impact on the economy of any weakness in the global macroeconomic environment due to the problems in Europe and the US as well as a possibility that the Chinese economy will slowdown this year.

Paderanga added that even with President Obama advocating the passage of a bill that would force American firms to bring back jobs to the US by not outsourcing the services or manufacture of products abroad, this would not be a major threat to the Philippines’s economy.

While the government is watching the global events closely, the pronouncement of Obama is still not a major concern for the government, Paderanga said. The BPOs in the country still offer “economic value” to clients abroad, including those in the US, he said.

PHL gears up to be a prime destination for foreign retirees

MONDAY, 30 JANUARY 2012 20:55

NURSING schools in the country will now include an elderly care module in their curriculum in preparation for the Philippines as a prime haven for retirees.

The inclusion of a “care for the elderly module” in the nursing curriculum was proposed by the Foreign Chamber of Commerce.

Elizabeth Roxas, president of the Association of Deans of Philippine Colleges of Nursing (ADPCN), said the module will be pilot tested through a one-year program at the Baliuag University.

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“We can assist in developing the module. The World Health Organization has already made a study on this in the 1990s,” Roxas said.

This is part of the projects that the ADPCN and the foreign chambers-led Retirement & Healthcare Coalition (RHC) have agreed to work on in support of the public-private efforts to develop the country as a prime destination for foreign retirees.

Roxas said delegates will also be sent to the RHC-sponsored series of seminars aimed at assisting the Philippine health-care system.

“We have recommended to our member- schools that they attend the seminars along with their senior nursing students. The RHC seminars will be beneficial to those who are involved in the nursing profession,” Roxas said.

The ADPCN, with 450 member colleges and universities, is the biggest grouping of educational institutions in the country that offer nursing programs.

RHC Executive Director Marc Daubenbuechel said they welcome the support of the ADPCN to their projects.

“Getting all the Philippine health-care sectors involved is very important to us toward harnessing the potential of the country as a retirement destination,” Daubenbuechel said.

The RHC, composed of the American, European, Japanese and Korean chambers, is currently holding a series of one-day seminars dubbed “The Importance of Quality Management Systems for Healthcare Facilities.”

Together with TUV Rheinland and DEG-KfW Bankengruppe, the seminars are in preparation for a certification program that is aimed at elevating the standards of health-care facilities in Metro Manila, Cebu, Clark, Dumaguete, Subic and Tagaytay.

The seminars will tackle effective and trusted quality management systems, infection controls, importance of occupational health and safety in health-care facilities, transparency in medical prices and procedures, and public-private-partnerships in health-care initiatives. --M. de Leo
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Planned social-sharing web site aims to lure tourists to PHL

SUNDAY, 29 JANUARY 2012 20:29 LENIE LECTURA / REPORTER

The Internet and Mobile Marketing Association of the Philippines (Immap) has unveiled plans to launch a “social-sharing web site” in a bid to lure in more tourists in the country.

Immap Vice President Paul John Peña said the site will feature, among others, the most visited places in the country and feedback from tourists and locals.

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“As an organization, we believe that digital marketing has a very strategic role in bringing tourism in the Philippines. It starts with a search on the Internet. Once these foreign guests decide on where to go they will probably tweet or post that on their Facebook account that they will be going to the Philippines. What we want is to engage people talk about or share about positive content for the Philippines though a social-sharing site,” said Peña.

Immap will partner with marketing practitioners to launch the site in middle of the year.

“There is a small group of digital marketing practitioners who are starting a web site and series of other online activities. We hope the Philippines ranks high in the search,” added Peña.

Immap said the launching of this site is just part of the many activities that the group has lined up for this year. Other key programs include the annual Immap Interactive Summit and Boomerang Awards, a digital marketing expo in the fourth quarter, executive roundtable sessions, the expansion of the organization’s successful Certified Digital Marketer Program outside Metro Manila, participation in the advertising industry’s joint committee that will establish and define a common measurement currency for digital marketing initiatives, and the creation of an updated Code of Ethics and Regulation Guidelines.

These were all unveiled on Thursday night’s induction of the Immap officers and board of directors for 2012. No less than Tourism Secretary Ramon Jimenez inducted the new Immap officers.

Jimenez said he welcomes Immap efforts, particularly the web site. He said this would boost his “It’s more fun in the Philippines” campaign.

Immap President Manny Fernando cited various trends that continue to influence digital marketing in the country. “Wireless data will continue to grow as access rates become more consumer-friendly coupled with how smartphones and other connected devices become more affordable for more Filipinos,” he said.

Other trends, such as the emergence of Android as a computing platform, the maturity of group and social commerce site, and SoLoMo (social, local, mobile) convergence were also predicted to happen this year.

“Digital marketing has come of age and continues to grow as people, technology and businesses evolve. It is only a matter of time until we see how digital will truly and profoundly support most if not all aspects of business and our society at large,” said Fernando. 

The rendering of the Robinson's Maxilom Mall

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‎[BOPK-04] The rendering of the Robinson's Maxilom Mall which is currently underconstruction at the North Reclamation Area (beside the old White Gold lot.) Aside from the mall, a condominium tower and a commercial tower which will house BPO companies, a museum, a hotel, and a convention center will also be constructed.

source:

Ka Bino Guerrero shared Tommy Osmeña's photo.

The Eleven Reasons People Can't Sell Their Homes

By Douglas A. McIntyre

The environment for home sales becomes more difficult with each passing month. Some estimates put 11 million mortgages, about 20% of the U.S. total, underwater, meaning that homeowners owe their banks more than the underlying properties are worth. Home repossessions reached more than 100,000 for the first time in September. Rising foreclosure rates continue to further depress housing prices.

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The federal government let its tax benefit for homeowners expire in April and has not renewed it since them. The program did boost sales earlier this year. Shoppers must now face a market without the credit in which many home prices continue to fall.

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The clamor over flawed foreclosure paperwork and robo-signers could further chill the housing market. People who might buy have bought a home in foreclosure will now worry about obtaining proper documentation and effective transfer of title.

24/7 Wall St. spoke with experts at real estate research firms Zillow.com and RealtyTrac to find the best way to sell a home. We also interviewed management from the National Association of Realtors, a number of real estate brokers, bank managers and elected officials in affluent communities. What emerged from these conversations and our research is the following: successful home sellers often do the same small number of things correctly. Often, these tactics are the difference between finding a buyer and not.

1. Pick the Best Broker

Many people who decide to sell contact a real estate brokerage with a sterling reputation or go to one that has the largest number of listings. Frequently, when potential sellers call these firms, they are turned over to the first available broker in the office. That person is often not the best representative. As a matter of fact, what is a successful broker doing in the office anyway? There are a small number of brokers in most markets who have a better track record than their peers. Most of them have been brokers for a long time and did not lose their jobs when the housing bubble collapsed.

2. Get an Appraisal

Sellers should obtain an appraisal for their home before they put it on the market. One of the major reasons house sales fall apart is that the bank assesses the home for less than the buyer has agreed to pay. For example, a buyer and seller agree on a price of say $250,000. Then the buyer goes to his bank to get a mortgage. But, the bank appraises the house for $200,000. Now, the buyer has to put up more money. Sellers who get their own appraisals get a realistic idea of what price a bank would value a house at before they enter into a sale. Most appraisers already do some work for banks. An appraisal often tells a seller what a "safe" price is. And an appraisal's average cost is only about $200.

3. Get the Right "Comp"

Sellers must make sure that foreclosures in their area are included in the "comps" the Realtor gives them. Traditionally, a broker will give a seller a list of similar properties in the market and that information is part of what is used to set a price. What brokers do not always do is put the price of any foreclosed properties that are comparable into the calculation. A typical foreclosed home sells for 25% to 30% less than similar inventory in the same area. If sellers don't take that into consideration, their home will not be priced competitively and they put themselves at a disadvantage. Sellers wind up slashing prices after their overvalued properties are on the market for several months without success.

4. Tax Assessment

Low property taxes are critical to finding buyers. Property taxes in most cities, towns and counties have gone up for years as home values appreciated. This revenue is used to run schools and other local services. However, now home values have dropped sharply, and the appraisals by local authorities on which taxes are based are too high. Many cities have a process for homeowners to request lower appraisals, and as a consequence obtain a reduced property tax. Some states even have a board of appeals for homeowners who do not think they were treated fairly. One way for people to get local authorities to cut the tax assessment of their home is to put it on the market at below the appraised price. If the home does not sell for several months, they can present empirical evidence of the lower value. A home assessed for $300,000 that goes on the market for $275,000, but does not sell for a year, is probably not worth $300,000.

5. Conserve Utilities

Turn the lights off! Most buyers ask for utility bills. "Energy wasters" who sell a home will rue the times they forgot to turn off lights, turn down the air conditioner or left the TV on all day. It would be ill-advised to fake the amount of energy being used by simply living in the dark and cutting utility costs to nearly zero. However, careful and prudent use of energy can cut bills by enough so that a buyer does not have sticker shock about what it costs to maintain electricity, gas or oil to run a house.

6. Sell "Green"

Not very many homes are actually built with environmentally friendly material or heated by solar panels or wind. But those that are have a special appeal to the crowd that buys green cars such as the Prius. A seller may have one of only a few "green" homes in their town or city. That may make it highly desirable to many shoppers.

7. Curb Appeal

This item appears on most lists, and many sellers don't bother to take the advice to prune the hedges or clean the gutters. But it is even more complex than that. Walk to the road on which your home is located. Now walk toward the house. What does a buyer see for the first time? Most sellers never bother to look at their homes through a buyer's eyes. Do the shingles need a paint job? Are the shutters looking shoddy? "Love at first sight" is no less rare with homes than with people.

8. Everything Is Negotiable

Negotiate the fee with the broker. The fee paid to a Realtor for selling a home is traditionally 6%. Sellers often believe that they can get that down to 5% or even 4%. But, in a market where brokers are desperate for business, pressing for 3% or even 2% may work. Whatever the savings are, they can materially affect how much a seller can drop the price of his home and still walk away with a profit.

9. Get an Inspection

Sellers should do some of the inspection work and testing before their home goes on the market. Inspectors for buyers are often aggressive when they report what is "wrong" with a home to their clients. For as little as $250, an inspector will go through your house and tell you what the inspector is likely to flag such as a roof leak or old, energy-wasting windows. That gives the seller a chance to fix the problem for less than the buyer may want to lower the price by, or at least know the items that a buyer will use to negotiate down the price.

10. Hire a "Stager"

For as little at $200, you can hire someone who can make your home look better by moving pictures, furniture, lights and addressing problems that may make the home show poorly. These people are cousins to the men and women who "fix" expensive homes before magazines come in to photograph them for stories. "Stagers" have lists of tricks that few Realtors and almost no homeowners know. The "better" your home looks, the more appealing it will be to potential buyers.

11. Fix It First

Sell a house that does not need any work. In a market in which people count every penny and worry about job security, fewer buyers want homes that are "fixer uppers" that require work that could cost thousands or even tens of thousands of dollars to address. These days, a buyer choosing between two homes will most likely take the one that needs the least work. It may cost some money to get your home to the point where a buyer can walk in and do almost no work. However, it may be the difference between selling a home and having it languish on the market.