MANILA, Philippines 鈥� Opposition Senator Risa Hontiveros called for a 鈥渞ethinking鈥� of the Maharlika Investment Fund (MIF) on Saturday, questioning 鈥渋ts usefulness and timeliness in a time of economic storms.鈥�
She appealed on Saturday to President Bongbong Marcos to stop pumping capital into the MIF and instead prioritize the capitalization of the Landbank of the Philippines and Development Bank of the Philippines (DBP).
In a statement, Hontiveros warned the Palace that 鈥渟iphoning billions of pesos in capital from Landbank and DBP into the MIF has left the nation鈥檚 economy less prepared to deal with looming economic storms.鈥�
鈥淯sing an estimated P75 billion from state banks as capital infusion for the untested MIF is both ill-timed and counterproductive when the Philippines should instead be preparing for imminent economic disruptions, such as protectionist policies of the United States under the second Trump administration,鈥� she said.
The opposition lawmaker then pointed out that removing capital from the Landbank and DBP made it harder for them to provide the necessary support for borrowers and consumers during times of economic stress when borrower delinquencies could rise.
鈥淓ven the International Monetary Fund recently stated that the capital taken from Landbank and DBP should be restored, kapital ng mga bangko natin, at kayang indahin kahit pa 鈥榶ung biglaang pagbaba ng value ng piso laban sa dolyar, halimbawa,鈥� Hontiveros said.
READ: Maharlika wealth fund: Misguided, unnecessary, costly 鈥� Risa Hontiveros听
鈥淢alaca帽ang cannot ignore the fragility of the Landbank and DBP after their MIF contributions. The Bangko Sentral ng Pilipinas鈥� so-called regulatory relief only postpones the inevitable reckoning if borrower delinquencies increase,鈥� she added.
She then noted that the BSP should take heed and alert the Palace regarding the 鈥渋nadequacy and irregular nature鈥� of the regulatory relief measures taken after LandBank and DBP were made to contribute billions in capital to the MIF.