Category: Philippine Star

The opening-day loss of University of Santo Tomas against the University of the Philippines was a good wake-up call, Growling Tigers head coach Pido Jarencio said, as they bounced back in a major way against La Salle on Wednesday.

UST grinded out an 80-75 victory over defending champion La Salle to notch its first win in the UAAP Season 89 men’s basketball tournament.

The victory came after a 92-85 defeat against UP last Sunday, where the Growling Tigers led by nine points and saw their lead dissipate, before getting blasted in the fourth quarter.

On Wednesday, UST led by nine points at around the halfway point of the fourth quarter, but held on thanks to clutch free throws by Amiel Acido and a layup by Collins Akowe.

After the game, Jarencio said that their opening-day loss taught the team an important lesson on working as one.

‘Kami, if we work as a team, as a one unit, malakas kami. Pero pag naging individualistic kami, kanya-kanya, walang mangyayari sa team namin,’ the coach told reporters after the win.

‘Lesson learned yan na natalo kami against UP. Wake up call ka agad yan. That’s a good wake up call for us. Kasi first game talo kaagad para magising na lahat,’ he added.

Acido provided the spark off the bench with 19 points, seven rebounds and seven assists in 24 minutes and 28 seconds of action. Akowe, for his part, had 18 markers and 10 boards, as well as three dimes.

‘Collins got his number tonight and then Amiel stepping up, okay na kami roon. Siguro sa ibang pagkakataon naman, ibang players naman ang mag-step up,’ Jarencio said.

‘As long as we work together, we improve each game, ako masaya na ako roon. And then para masaya rin ang UST community. This is for the community na bumabalik, tinitingnan kami at nanonood.’

Acido seconded Jarencio, saying the loss shook the Tigers, seen by many as a title contender this season, awake.

‘Sabi nga po ni Coach Pido, it’s a good wake up call po para sa amin. Matagal na rin po namin itong pinaghandaan. Very thankful din po agad kasi nakuha namin yung panalo this game. Hindi po mangyayari yun kung hindi kami nagtulong-tulong.’

UST will have a lengthy break and will return to action on September 30 against University of the East.

La Salle will likewise return on the same date and will face Far Eastern University.

The Parañaque Titans stormed onto the scene and rolled out its full 10-athlete roster that will see action and represent their city on the national stage in the inaugural Maharlika Pilipinas Pickleball Tour (MPPT).

Leander Paez Lazaro and Sarah Jane Restauro Lim headline a stacked lineup that also features Ruben Antonio Gonzales Jr., Nik Alessandro Isagan, Fatima Ayesha Amirul, Jessica Marie Agra, Christian Josua “CJ” Luna, Matt Daniel Navarro, Danica Calma Bautista, and Mikhyla Julianne Cruz.

Founded by boxing icon Manny Pacquiao, the five-leg MPPT tour tips off October 3-4 in Angeles City, Pampanga, with the winning squad on each leg taking home P1 million.

Parañaque is set on making its case as a contender from Leg 1.

Assembled from the very best the Philippine pickleball scene has to offer – national team mainstays, international medalists, and hungry up-and-comers alike – the Titans were built to tower over the competition from day one.

The Titans are backed by team owners Tina Mariano, Jeff Tin, Long Kuan, and Atty. Albert Agra, with the team powered by Polland Hopia, the Filipino-Chinese pastry brand, alongside Tela Athletics and Tela Park – founding partners putting their name and their courts behind Parañaque’s newest sports franchise.

“Today isn’t just a contract signing – it’s the moment ten athletes became one team,” team management said during the contract signing of the 10 players and press briefing at Tela Park in Paranaque City.

Lazaro is one of the Philippines’ most decorated pickleball players and a mainstay of the national team. Lazaro has won gold at the Pickleball Viet Open and is consistently ranked among the country’s top men’s doubles and mixed doubles players. He anchors the Titans’ leader-ship on and off the court.

Lim has been widely acknowledged as the Philippines’ top female pickleball player and one of the sport’s most recognized advocates in the country. A former competitive tennis player with nearly two decades on court, she brings championship composure and leadership to the Titans’ women’s lineup.

For his part, Gonzales is a former Davis Cup tennis representative and two-time Southeast Asian Games gold medalist. He is one of the Philippines’ top-ranked men’s singles pickleball player. His big-match experience makes him one of the most dangerous competitors on the roster.

Agra is the Philippines’ No. 1-ranked padel player and an international pickleball medalist with podium finishes in Hanoi and Macau. Her consistency and tournament composure make her a trusted anchor across the Titans’ doubles pairings.

Isagan was part of the Philippine squad that swept Vietnam 3-0 to capture the inaugural Pickleball Champions League Asia title in Shenzhen, while Amirul was Pickleball Champions League Asia champion and joint MVP of the 2025 Shenzhen finals.

Luna is also tournament champion and recognized trailblazer in the local pickleball community and Navarro is the youngest in the league and a rising force in Manila’s competitive Open division.

A familiar name across Luzon’s regional pickleball circuit, Bautista’s tenacity and sharp court awareness have made her a fixture in competitive play, while Cruz

is the Titans’ breakout talent who will represent the next generation of Filipino pickleball players – fast-improving, fearless and ready to make her mark on the big stage.

“We didn’t just want good players. We went after the best of the best, because that’s what wearing the Titans name demands. This is a group that competes for each other, point after point, match after match,’ the team management said during the launch.

The MPPT was organized to capitalize on the rapid growth of pickleball across the country, providing a high-level, professional team platform for elite Filipino athletes.

The Philippines’ pursuit of Oscars glory begins anew after selecting “Filipiñana” as the country’s International Feature Film submission to the 2027 Academy Awards.

A National Selection Committee chose Rafael Manuel’s debut feature from a shortlist of eight films, believing it to be the Philippines’ best chance attracting Oscars voters.

In the history of the Academy Awards, no Filipino films has been nominated or even made the shortlist of the Best International Feature Film category.

Those who follow the awards circuit will know that Oscar campaigning is a journey that requires a lot of marketing and financing, something that past Philippine entries lacked to particular degrees.

Last year’s entry “Magellan” by Lav Diaz starring Gael Garcia Bernal was arguably the closest the country got to being shortlisted, and the movie was backed by a heavy marketing campaign.

The Film Academy of the Philippines learned heavily from the experience, which is why its revamped Pinoy Oscars Pursuit grants program will help “Filipiñana” and future entries get the funding it needs for marketing and promotional efforts.

How much exactly?

The maximum amount of grant money from the Pinoy Oscars Pursuit for a country’s entry is P25 million, and the Academy confirmed to Philstar.com that “Filipiñana” qualifies for the full amount.

As the Philippines’ official seletion, “Filipiñana” will instantly receive P8 million as an incentive for its campaign to be shortlisted at the Oscars. Because the film made its world premiere at the 2026 Sundance Film Festival, the largest festival in the United States for independent films and therefore an A-list festival, it will receive another P3 million.

“Filipiñana” won the festival’s Special Jury Award for Creative Vision in the World Cinema Dramatic Competition, ensuring it another P3 million as incentive.

The movie also won Best Feature Film and Youth Jury Award at the Festival Internacional de Cine de Valencia, the Grand Jury Prize for Best Narrative Feature at the Independent Film Festival Boston, and the Golden Gate Award for New Directors Competition at the San Francisco International Film Festival.

Any film that wins three main awards before its selection by a country – like what “Filipiñana” has done – makes it eligible for an extra P3 million in funding.

Ahead of its European premiere in Berlinale last February, the film was picked up for North American distribution by Kino Lorber, which gives it yet another P3 million.

Kino Lorber is responsible for distributing the most recent Best Documentary Oscar winner “Mr. Nobody Against Putin,” which according to the grant program, entitles “Filipiñana” to P5 million.

Industry experts predict that up to $20 million (P1.25 billion) in marketing is needed for a successful Best International Feature Film campaign.

“Filipiñana” will have to make do with the P25 million or $400,000 from the Philippine government plus any funding it will get from producers, distributors, and donors.

A 72-year-old woman died in a fire that destroyed 17 houses in this city on Tuesday afternoon.

The body of the victim was found by firefighters in the bathroom of her house located in Barangay Marketview, according to the Bureau of Fire Protection.

The BFP said the fire reached first alarm at 4:09 p.m. and was declared out at 5:38 p.m.

The blaze displaced 34 families who are now staying in the village’s covered court.

Probers have yet to determine the cause of the fire and the amount of damage to property.

The Coca-Cola Europacific Aboitiz Philippines (CCEAP) has begun importing finished classic Coke products from Indonesia to augment its domestic supply and meet Filipinos’ growing demand for the popular beverage.

CCEAP confirmed to The STAR that it has been importing from Indonesia to ‘help ensure’ that its consumers have ‘access’ to their ‘favorite’ Coca-Cola products.

Some 320-milliliter and 1.5-liter Coca-Cola Original Taste variants sold locally have been manufactured in Indonesia by PT Coca-Cola Bottling Indonesia, a plant under the network of Coca-Cola Europacific Partners (CCEP), which owns 60 percent of CCEAP.

The labels of the products indicated that they were manufactured for export to the Philippines and were imported and distributed by CCEAP. The labels also showed that taxes and duties were paid.

Bureau of Customs (BOC) records confirmed that millions of liters of Coca-Cola Original Taste products have entered the country with their proper value-added tax (VAT) and excise taxes paid accordingly.

‘(The importation) allows us to maintain reliable product availability in the Philippines while expanding our local manufacturing capabilities, with the vast majority of products sold in the country continuing to be made locally,’ CCEAP said in an emailed statement.

CCEAP assured consumers that all Coca-Cola Original Taste products, imported or locally produced, follow the same standards to ensure they have the same quality and taste.

Both the locally produced and imported 320-ml Coca-Cola Original Taste products have the same sugar content of 33.5 grams, based on their respective nutrition information labels.

‘CCEAP manages its supply network to help ensure product availability for consumers. It is a business practice that may be used when appropriate to support product availability for consumers,’ it said.

Growing demand

Industry sources noted that this is the first time in at least a decade that the authorized local distributor of Coca-Cola imported a finished product.

In the past, Coca-Cola urged the government to open an import program to bring in foreign stocks when local supplies of premium refined bottler grade sugar were inadequate to meet its requirement.

CCEAP, the current official bottling partner and distributor of Coca-Cola products in the Philippines, is a joint venture between CCEP and Aboitiz Equity Ventures.

The company is seeing an uptick in the demand for its beverage products, especially classic Coca-Cola, according to sources.

CCEP, the parent bottling company of CCEAP headed by its CEO Damian Gammell, is bullish on the Philippine market after seeing a ‘profitable’ topline momentum in the country in the first half.

The United Kingdom-headquartered company said the volume growth of Coca-Cola trademark items in the Philippines was driven by ‘continued strength’ of Coca-Cola Original Taste and double-digit increase in Coca-Cola Zero Sugar.

In 2025, 60 percent of the volume sold by CCEAP were Coca-Cola trademark products while 22 percent were mixers like Royal. In terms of package mix, 55 percent of the products sold by CCEAP were in plastic bottles while 37 percent were in glass.

‘Construction of our new facility remains on track for 2027 and will provide additional capacity to support long-term profitable growth in the Philippines, with margins now approaching our 10 percent target,’ CCEP CEO Damian Gammell said during a conference call last August.

Gammell was referring to a 42-hectare manufacturing facility being established at AEV’s TARI Estate in Tarlac. The facility broke ground in September last year.

It is envisioned to be the largest Coca-Cola site in the country and one of CCEP’s biggest manufacturing facilities globally.

At present, CCEAP has 18 manufacturing plants and 39 distribution centers nationwide.

Liters and taxes

BOC records analyzed by The STAR showed that Coca-Cola finished products started entering the country in November 2025.

A total of 5.35 million liters of Coca-Cola Original Taste were imported in the last two months of last year. All the products were 1.5-L variants.

However, a single Coca-Cola Original Taste product was not imported from January until May of this year.

BOC data showed that entry of Coca-Cola Original Taste products resumed in June and continued until last August. During the three-month period, a total of 11.63 million liters of Coca-Cola Original Taste were imported into the country.

On top of the 1.5-L variant, shipments of 320-ML can variants have begun entering the country.

The two Coca-Cola Original Taste variants use full sugar as an ingredient without any artificial sweeteners, based on marketing monitoring and official online retail channels of Coca-Cola in the country. Some Coca-Cola Original Taste products like the two-liter variant sold locally contain an artificial sweetener.

At least 65 percent or around 7.66 million liters of the Coca-Cola Original Taste imported this year were in 1.5-L plastic bottles while the remaining 3.97 million liters were 320-ML cans, based on BOC data.

BOC records also showed that VAT and excise taxes for all recorded shipments of Coca-Cola Original Taste products were properly paid. Beverages containing sweeteners are levied with a P6 per liter excise tax if they use caloric or non-caloric sweeteners including sugar.

The BOC collected P44.5 million in VAT and P71.79 million in excise taxes from imported Coca-Cola products since last year.

Sugar industry implications

But industry sources told The STAR that CCEP’s decision to import finished goods may have severe implications for the local sugar industry.

They worry that the importation could displace demand for locally-produced refined sugar – especially if the volume continues to grow – given that one of the biggest buyers of the sweetener has been CCEAP.

‘That is troubling to us,’ a sugar industry player said, noting that reduced purchases of refined sugar could decrease demand for raw sugar, resulting in lesser needs for sugarcane and ultimately softening prices across the board.

The STAR learned that there have been recent meetings among representatives of CCEAP, Sugar Regulatory Administration (SRA) and sugar industry, including traders and refiners, to discuss the bottler’s projected sweetener demand in the immediate future.

‘The issue is not the supply because there is available refined sugar. The problem is with the price since [CCEAP] and the industry are not agreeing on the price,’ a source familiar with the matter said.

However, CCEAP denied that the importation of finished products has anything to do with the prevailing domestic refined sugar supply situation or its prices. CCEAP emphasized that the importation was done to ensure supply reliability of its products.

SRA administrator and CEO Pablo Luis Azcona was surprised to learn that CCEAP decided to import finished Coke items from its peer Indonesian plant.

‘We were not aware that Coca-Cola had plans to import finished products,’ Azcona told The STAR.

‘It is their commercial decision,’ Azcona said, adding that nothing stops CCEAP from importing manufactured beverage items.

The domestic demand for refined sugar from Oct. 1, 2025 until Aug. 23 has increased by eight percent on an annual basis, based on the latest SRA figures.

‘We just hope that this action by Coca-Cola will not affect local [refined sugar] demand,’ Azcona said.

Detained Sen. Rodante Marcoleta vowed not not seek furlough from the Sandiganbayan to vote on a proposed change to the 16-vote threshold required for conviction in Vice President Sara Duterte’s impeachment trial.

At a press conference following the hearing of his plunder case on Monday, September 16, Marcoleta argued that the 16-vote threshold should not be subject to a vote because it is already in the Constitution.

“I will not move for a furlough just to vote for a threshold,” Marcoleta said. He was with Mike Defensor, a former lawmaker and detainee, at the event.

“I don’t think the threshold is a subject of votation. It’s already in the Constitution,” he added.

The lawmaker also expressed disappointment that his Senate colleagues did not take up his July 20 manifestation on his participation in the impeachment trial.

His manifestation, according to Marcoleta, also contained questions on the legitimacy of Sen. Francis Escudero as presiding officer and concerning the 16-vote threshold.

“Kung ‘di nila (Senate) ite-take up ‘yon [manifestation], bakit pa ako makikipag-participate doon?” Marcoleta said.

(If they [the Senate] aren’t going to take that up [the manifestation], why should I still participate in it?).

On September 16, three former Supreme Court chief justices, acting as “amici curiae,” explained that the Constitution does not fix the number at 16 to convict an official in an impeachment trial.

According to retired magistrates invited to the Senate court, a conviction requires two-thirds of “all the Members of the Senate,” but “all” should be interpreted as all qualified, participating members, not necessarily the full 24 if some are legally or physically unable to participate.

Questions about the conviction threshold arose following concerns raised by senator-judges over the applicable vote requirement, considering the Senate’s incomplete membership.

This is due to the imprisonment of two senators, Marcoleta and Sen. Jinggoy Estrada, for plunder, and Sen. Bato Dela Rosa being at large due to an International Criminal Court warrant of arrest.

Across the country, micro, small and medium enterprises (MSMEs) are showcasing the excellence and ingenuity of 100% Filipino-grown and handcrafted products, whether in food, fashion or retail.

Yet a strong product and meaningful local ties may face barriers to participating in the digital economy. Moving online can involve learning how to manage an online storefront, finding reliable logistics and securing the time or capital needed to sustain growth.

Take, for example, the experiences of three Iloilo City-based entrepreneurs Paul Kaldi Coffee founder Paul Dayanan, Modern Ilongga founder Maggerose Carado and Iloilo Capiz Shell Flowers and Antiques owner Janice Saladan.

Established in 2021 by Paul Dayanan to help coffee farmers recover from the pandemic, Paul Kaldi Coffee today supplies 15 independent cafes and several well-known brands across Iloilo.

‘All our beans are locally sourced in the Philippines,’ Dayanan shared. ‘The company sources not just from farms in Iloilo and as far as Batangas, Davao del Sur and Sultan Kudarat. As a graduate of BS Applied Mathematics at West Visayas State University, Dayanan embraces digital tools to improve his business, utilizing a digital point-of-sale (POS) system to track Paul Kaldi’s cash flow, transactions and inventory.

‘Digitalization is very important when it comes to growth for startups like us,’ he notes.

But digital tools do not address every challenge that comes with growth. One of Dayanan’s concerns is finding a reliable partner that can ship Paul Kaldi coffee beans nationwide at rates that work for a growing business.

Modern Ilongga, meanwhile, is a social enterprise that transforms traditional hablon textiles into contemporary wear.

Carado explained that, with access to more capital, she could hire dedicated staff to manage an online shop. At present, she handles most of Modern Ilongga’s operations, from creative direction to supply chain, while continuing to rely mainly on social media for sales and transactions.

Businesses like Carado’s Modern Ilongga have also been a lifeline for many rural weavers, helping sustain the livelihoods of seven weaving communities in the towns of Oton and Miagao in Iloilo province, as well as in neighboring Antique. Depending on order volume, one weaver can earn between P2,000 to P4,000 a week.

At Iloilo Capiz Shell Flowers and Antiques, owner Saladan illustrates what wider digital reach can make possible.

Saladan began selling wearable accessories made from capiz shell flowers on Shopee about two years ago. Around 70% of the business’s sales now come from these accessories, which are sold through Shopee and at trade fairs.

‘Malaking tulong po talaga ang Shopee kasi ang dami-daming umu-order kahit saang part ng Philippines. Talagang passive income po ang Shopee (shop) namin (Shopee has really been a big help because there are so many orders coming in from all over the Philippines. Our Shopee shop has become an additional source of income),’ she explained.

The wider reach has allowed Saladan to continue working with local communities, including fishermen, single mothers, senior citizens and persons deprived of liberty, who help source materials and create her products.

Taken together, the three different businesses reflect different ways MSMEs can approach digitalization.

A holistic approach to equip and empower MSMEsThe three stories point to a wider question facing regional MSMEs: how can an online channel complement a business’s existing operations and sales channels?

Some MSMEs may have built their businesses through physical stores, trade fairs, or social media, while still exploring how e-commerce can help them reach customers beyond their immediate communities. For these entrepreneurs, the question is not only how to get online, but how an online channel fits into their existing operations and growth plans.

‘Technology can be transformative when it brings opportunities within reach of more businesses. At Shopee, we see e-commerce as a way to connect Filipino entrepreneurs with a wider community of buyers and sellers,’ Jack Ng, head of Commercial at Shopee Philippines, said.

‘Through Tatak Pinoy, we want to bring that opportunity closer to regional MSMEs, particularly in areas where access to digital training may be more limited, and create a space for them to learn more about how online selling works,’ Ng continued.

Shopee Philippines saw these differences in readiness firsthand through the Shopee Tatak Pinoy MSME Roadshow, organized with local governments across the country. After engaging more than 1,200 entrepreneurs across 20 cities and municipalities, Shopee found that simply onboarding businesses onto a digital marketplace was not enough.

Some entrepreneurs still needed help opening and managing an online store, while others needed support in logistics, financing and sustaining growth after onboarding.

These insights shaped the direction of Shopee’s Tatak Pinoy program as it entered its second year. Building on practical seller education offered during the Roadshow’s first year, Shopee is continuing its grassroots approach with more targeted learning support and stronger follow-up for MSMEs at different stages of digital readiness.

Iloilo City Mayor Raisa Treñas with Shopee Philippines’ Head of Commercial Jack Ng at the Shopee Tatak Pinoy MSME Roadshow in Iloilo

The next phase was launched in Iloilo City last July, when the Roadshow was held alongside the first-ever Iloilo City MSME Summit. The event marked the culmination of the Roadshow’s first year, welcomed nearly 200 Ilonggo MSMEs, and began a sustained partnership between Shopee and the city.

Dayanan, Carado and Saladan were among the entrepreneurs who took part.

“Iloilo City itself has a strong foundation for helping small businesses. We are happy to partner with the LGU and Mayor Raisa Treñas, and to continue the conversation beyond the Roadshow as local MSMEs consider how digital tools may fit into their businesses,” Ng said.

Under the partnership, MSMEs will receive quarterly coaching integrated into the Iloilo City government’s SIGE Asenso Program. Eligible graduates who begin selling on Shopee will also receive six months of onboarding support.

Through the training, MSMEs learn about tools and services available on Shopee and within its broader ecosystem. It also covers some of the practical considerations involved in running and growing an online business, including storefront management, fulfillment and logistics and access to financing options.

How scaling can help sustain communitiesFor these entrepreneurs, their plans for growth extend beyond their own sales.

Dayanan dreams of opening a flagship café that will house the company’s beans, roastery, merchandise and more.

Carado, meanwhile, is developing a textile recovery project that would collect discarded fabrics from the city’s flour mills, which would be shreded and spun into new threads. Weavers could use the repurposed thread to make new textiles or pieces of clothing, creating a more circular business model.

Saladan’s wider customer base allows her to continue working with local communities to source materials and create her products.

The ambitions of these entrepreneurs are different, but they share a common thread: digital tools and access to wider markets can be useful when they fit the realities of a business and the community it supports. And the possibilities extend beyond the storefront to the businesses and communities built around Filipino-made products.

The local stock market could further retreat over the next two weeks, with investors selling their shares to pile up capital to place on the initial public offering (IPO) of e-wallet giant GCash.

Reyes Tacandong and Co. senior adviser Jonathan Ravelas yesterday said investors may pull away from the benchmark Philippine Stock Exchange index (PSEi) to assess their next trading move.

Ravelas said the PSEi right now is displaying every symptom that its investors are preparing for two things: the possibility of a US Fed rate hike and the IPO of GCash’s parent Mynt Inc.

‘The market is in a hand-to-hand combat between positivity and uncertainty, and now people are weighing what would be Mynt’s pricing. When the market consolidates, the market is thinking of something,’ Ravelas said at the Kapihan sa Manila Bay.

Mynt is preparing for an IPO that could raise a record P92 billion. The offer is composed of 8.02 billion in primary and secondary common shares, with an overallotment book of up to 1.2 billion secondary common shares.

Mynt’s indicative price is P10 per share, but the final rate setting is scheduled on Oct. 1, with the offer taking place between Oct. 6 and 12.

Ravelas said the maximum price of P10 a piece justifies GCash’s potential for further expansion, noting that Filipinos are still in the early stage of digital adoption.

The PSEi, for its part, has been showing signs of consolidation, struggling to recover after hitting 6,488.35 on July 21, but as Ravelas noted, another factor could be concerns over a Fed hike.

Philstocks Financial Inc. research manager Japhet Tantiangco said the IPO would help the PSEi recover in the long run. If the IPO turns out successful, he sees the market rallying again before the year ends.

‘Investors are really looking toward this. If they [Mynt] perform well as they get into the market, then there’s the possibility that they could revive investor sentiment, and they could invite more investor participation in the market,’ Tantiangco said.

Right now, discussions among analysts, brokers and traders center on whether Mynt deserves to be priced at a premium of P10 a piece, as some think the rate should be cut to P7.

Some IPO analysis point out that Mynt’s profit growth is beginning to slow down, and it may no longer be capable of turning in the 39-percent expansion it showed from 2023 to 2025.

A possible interest rate hike in the United States is putting the Bangko Sentral ng Pilipinas (BSP)’s next move in focus, with analysts offering differing views on whether further tightening is needed and how soon it should come.

Reyes Tacandong and Co. senior adviser Jonathan Ravelas said a possible US Federal Reserve rate increase could prompt an off-cycle BSP hike of 25 to 50 basis points, potentially as early as today.

However, Chinabank chief economist Domini Velasquez sees neither a need nor a meaningful chance for such a move.

Security Bank chief economist Angelo Taningco also sees a low probability of an off-cycle hike but expects the BSP to raise rates by 25 basis points at its October meeting.

The Fed has yet to announce its decision as of yesterday, with the outcome expected Thursday morning, Manila time.

‘I wouldn’t be surprised if there is an off-cycle hike in reaction to the Fed,’ Ravelas said.

An off-cycle hike is an increase in the central bank’s benchmark interest rate outside a scheduled policy meeting. The benchmark influences borrowing costs for households and businesses.

Ravelas said a 50-basis-point rate increase could be appropriate if the Fed raises rates by 25 basis points and further US tightening is expected in the fourth quarter.

Under that scenario, he said, half of the BSP increase would preserve the gap between Philippine and US policy rates, while the other half would help contain inflation expectations amid rising gasoline prices.

‘The 25-basis-point (hike) is to maintain the differential. The 25-basis-point (hike) is to lock in inflation expectations,’ Ravelas said.

The interest rate differential is the gap between rates in the two countries, which can influence the relative appeal of peso and dollar investments.

Ravelas said higher oil prices and US interest rates would keep pressure on the peso. Still, he framed his preferred BSP response primarily as a way to prevent expectations of future price increases from rising.

He emphasized that a move outside the BSP’s regular schedule remained a possibility rather than a certainty.

Velasquez offered a different assessment, arguing that preserving the rate gap should not be the BSP’s main consideration.

‘Instead, the BSP’s decision will likely be driven more by its inflation outlook and the economy’s ability to absorb elevated interest rates,’ she said.

Velasquez said weak domestic demand leaves little justification for another increase in borrowing costs.

‘Our view remains that domestic demand is still too soft to warrant further tightening,’ she said.

Chinabank believes the BSP has likely finished raising rates, with anticipated weakness in third-quarter economic growth expected to weigh on its assessment.

‘We think the BSP has likely reached the end of its hiking cycle, with weak economic growth in the third quarter likely to be an important factor in its assessment,’ Velasquez said.

Meanwhile, Taningco expects another BSP rate increase in October but sees a low probability of an off-cycle move even if the Fed raises rates by 25 basis points.

‘The probability for a BSP off-cycle hike is low because the Fed rate hike is widely expected and priced in by the market already,’ Taningco said.

Taningco forecasts a 25-basis-point rate hike in October, bringing the benchmark rate to 5.25 percent, where he expects it to remain through year-end.

The Bureau of Corrections (BuCor) has ordered the filing of cases against two sacked superintendents and five personnel of the Correctional Institution for Women (CIW) for their alleged involvement in the trust fund anomaly.

BuCor Director Gregorio Catapang Jr. approved the filing of criminal and civil charges against CIW superintendents Daisy Sevilla-Castillote and Marjorie Ann Sanidad, as well as corrections officers Bianca Flor Ramos, Maryrose Abucay, Madel Figuerres, Gloria Lakisa and Charlot Jennifer Carreon.

Catapang likewise initiated administrative proceedings against the CIW officers.

In a report dated Aug. 30, BuCor’s directorate for intelligence and investigation found that the officers handling the trust fund of inmates failed to account for P5,153,375.

A parallel investigation by the BuCor internal audit service unit concluded on Aug. 25 that the funds unaccounted for reached P6.4 million.

Catapang ordered a second review to reconcile the two findings.

An inmate trust fund, under BuCor’s manual, keeps all money prisoners earn or receive from legitimate sources. Prisoners can withdraw the money for their immediate needs.

According to BuCor, Castillote and Sanidad should be held liable for gross neglect of duty and grave misconduct.

Castillote allegedly used part of the funds to renovate the multipurpose hall, overseer’s office and investigation and verification section unit.

Sanidad, who came in before Castillote in an acting capacity, allegedly authorized the release of P300,000 to cover a remittance intended for inmates that had not been properly transmitted.

Ramos, the trust fund officer, failed to explain where the money was spent. Her successor, Abucay, allegedly committed lapses during the turnover process.

The BuCor said Figuerres, Lakisa and Carreon failed to document, monitor, reconcile, maintain and verify trust fund records.