MAHARLIKA INVESTMENT FUND BILL REACHES THE SENATE: The Committee on Banks, Financial Institutions and Currencies chaired by Sen. Mark A. Villar opens the public hearing on twin measures seeking to establish a sovereign wealth fund Wednesday, February 1, 2023. Senate PRIB file photo / Voltaire F. Domingo
MANILA, Philippines — The Maharlika Investment Fund (MIF) will expand the government’s funding sources and generate more jobs, Senator Mark Villar said on Friday.
Villar is the author of Senate Bill No. 1670, the Senate’s version of the MIF proposal.
He is also the chairperson of the Senate committee on banks, financial institutions and currencies, which tackles Senate Bill No. 1670 and House Bill No. 6608, the lower chamber’s version of the proposed Maharlika fund.
“We learned a lot from the first hearing. First of all, the purpose of the fund is to widen the funding sources available to the government. It will complement the usual modes of funding for major infrastructure projects, like GAA [General Appropriations Act], ODA [Official Development Assistance] and PPP [Public-Private Partnership]. This will boost our push for infrastructure development,” Villar said in a statement.
“At the end of the day, more projects and investments through the MIF will translate into more jobs for the Filipino people,” he went on.
Villar explained that with the MIF, the government will have the choice to allot the national budget to programs and projects that may directly affect the public’s welfare while the MIF may concentrate on infrastructure and energy projects, among others.
The neophyte senator also pointed out that the MIF can attract foreign investments.
Villar’s panel began its deliberations on the MIF bills on Wednesday.
The House of Representatives, meanwhile, approved their version in December last year.
“The government has the option to allocate the national budget to programs and projects that may directly affect the welfare of the people, while the MIF may focus on infrastructure projects, energy projects, and the like,” Villar explained
The MIF’s potential to respond quickly to investment opportunities was seen as a clear advantage. Such advantage could lead to higher investments and quicker start ups, he said.
“The MIF will also attract foreign funding for investments in telecommunications, power and energy which would generate high returns.” Villar said
Aside from infrastructure and foreign investments, Villar also said that other benefits from the MIF would include more jobs for the Filipinos, intergenerational benefits, and the transfer of technology and knowledge.