El Niño bigger concern than polls for businessmen

Growth sustainable regardless of who gets elected

MANILA, Philippines – The Philippine Chamber of Commerce and Industry (PCCI), the country’s largest business organization, is more concerned about the impact of El Niño to the economy than the outcome of the national elections.

PCCI president George Barcelon told The STAR the Philippine economy is capable of growing at least six percent this year whoever becomes the next president, but such growth assurance may be compromised if  El Niño continues to wreak havoc in the country.

“We’re very optimistic in the sense the present macro-economic fundamental is in our favor. The election will not affect our economy that much. I think we should be able to retain six percent growth,” Barcelon said.

“My concern is El Niño because it will have a significant effect to our agricultural sector. Good thing is that the manufacturing sector is doing well, but I hope the government will really address El Niño specially helping the farmers,” he said.

The Philippines became the second Southeast Asian country to sound the alarm on scarcity of water due to the ongoing El Nino after Thailand did the same last month.

Last week, the European Chamber of Commerce of the Philippines warned of a looming water crisis in the country with water levels in major sources dropping to critical levels.

The agriculture sector is seen as the country’s largest water user, cornering about 85 percent of total supply.

As far as the elections are concerned, meanwhile, Barcelon said he has not heard of any company holding back its investments due to political uncertainties.

However, Barcelon said it is important for the next Philippine president to immediately get the support of the private sector within his/her first few months in office.

“Whoever is in the new administration, if they have the best interest of the country, they will do the things that we have been promoting, not only us but also the other organizations because basically we are in the same tune,” he said.

“It’s a question of how he sets the priority. I would like to believe a big part of the growth is contributed by the business sector. So in six months’ time, he/she should do consultations with us to get our confidence. Whoever wins, the ball is in his court so he has to play in such a way that we can be part of the game. And that’s what we want. We want to be part of the game so our country will continue to progress,” Barcelon said.