AVID Policy & Market Roundtable Series

AVID TRACK offers new perspectives and insights on policy and market developments affecting the Philippine automotive industry to benefit business expectations and strategic decision-making. Experts from the Government, private sector, academe and research institutions are invited to present their views on emerging policies, legislations, and market issues and outlook which impact on the development and growth track of the automotive industry.

AVID launches the first TRACK – The AVID Policy and Market Roundtable Discussion Series - with a political and economic outlook 2011-2012 from PCIJ’s Malou Mangahas and ING Bank’s Joey Cuyegkeng (5th& 6th from left), flanked by AVID Members (L-R) Executive Director Atty Ricky dela Cruz, CATS VP Robert Shaw, Focus Ventures President Stephen Sy, AVID President Fe Perez-Agudo, Scandinavian Motor First Vice President Roselyn Dimalanta, Covenant Car Company’s Managing Director & COO Atty Albert Arcilla and Foton Motors Manager Abner Berdos.

Whither Goest PHL?

How will the Philippines move forward under our fledgling administration and within the bigger picture of global socio-economic woes? Veteran journalist Malou Mangahas and distinguished economist Joey Cuyegkeng agree that good governance and a strong economy will make P-Noy's clarion call for “Kung Walang Corrupt, Walang Mahirap” happen and deliver his commitment towards sustainable economic and social success.


Philippine politics is likened to a motion picture and, its actors, crucial to box-office success. Naturally, all eyes are on the lead--President Benigno C. Aquino III. Will he bag the plum award for Best Performance? Too early to say, as current political trending is sending out mixed signals.

Though still perceived as a “good man at heart,” P-Noy must hurdle the following challenges: the rather sluggish implementation of reform measures; the apparent mix of good and bad eggs in his Administration; the burden of unbridled expectations on account of his political pedigree; and the burden of time, talent and politics.


The 2010 Global Integrity Report rated the Philippines with an overall score of 57 (weak) in terms of corruption, a dip from the 2008 rating of 71 (moderate). In terms of civil service integrity, we scored 71 (moderate). There are good guys among the President’s men after all.

The President’s micro-management of bold initiatives to fight corruption is commendable. There is more transparency in some departments; he’s come up with unique and practical solutions to appoint worthy civil servants. But there’s much more on his plate--serious poverty, unemployment, food, and health issues--and he can’t wing it out on his own.


There is much to be bullish about the economic fundamentals of the Philippines, specifically the substantial headway it has achieved in the fiscal, monetary and external policy fronts which are clearly investment and credit positives. This scenario is, however, tempered by risks posed by higher inflation, instability in the West, the Middle East and Japan which heighten investors' risk aversion sentiment.

The country experienced 7.6% growth in 2010, largely due to the IT and BPO industries, OFW remittances and portfolio capital flows. Together, these contribute to a growing middle class. If said growth continues, the next five to six years will see a stronger consumer market with money to burn on consumer durables, like low-cost, fuel-efficient cars.


There is a need to build on the strengths of the Philippine economy which has attracted new investments in job-generating industries like the BPO, IT, tourism and infrastructure. From a macroeconomic perspective, it is critical to sustain market orientation of the economy which fosters competition, enterprise productivity and consumer welfare. Politically, investments will benefit from good governance which allows a pro-business environment that is anchored on the principles of transparency, integrity and equity.


Factor in a healthy alliance with the media. A good grasp of how the media thinks and works boosts chances to make the decent guys on the beat listen up and air Industry news and issues loud and clear.

Malou Mangahas is Executive Director and co-founder of the Philippine Center for Investigative Journalism. A journalism graduate from the University of the Philippines, she was an editor of the Philippine Collegian and has extensive work experience with local and foreign media agencies. She was the first editor in chief of www.gmanews.tv while working as Vice President for Research and Content Development of GMA News and Public Affairs.

Malou is also a Trustee of the Southeast Asian Press Alliance and the Freedom Fund for Filipino Journalists, and a fellow of the Nieman Foundation for Journalism at Harvard University. She was named WikiPinoy of the Year for her “very significant contribution to knowledge sharing in the Philippine by steadfastly advocating the passage of the Freedom of Information Act.” She currently hosts GMA News TV’s Investigative Documentaries.

Joey Cuyegkeng, multi-awarded economist and strategist of ING Bank and expert in Philippine financial markets, holds a degree in Economics from the Ateneo de Manila University, an MA in Economics from the New York University, and a PhD from the Universitaet Regensburg in Germany. He had worked at the Center for Research and Communications (CRC) and the Ateneo de Manila Center for Social Policy and Public Affairs and rose to become an executive for AB Capital and Investment Corporation and the Asian Bank Corporation. He has been with ING Bank since 1996.


The participants commended the knowledge and clarity of both guest speakers in their respective fields, and look forward to more updates on auto industry trends and other motoring related topics, such as free trade with China and legislation plans on alternative fuels. Expected to share their thoughts on these topics are representatives from the Chinese Embassy, fuel corporations, the Land and Transportation Office (LTO), Land Transportation Franchising and Regulatory Board (LTRFB), the Department of Trade and Industry (DTI), and the Board of Investments (BOI).


the spirit of sharing new perspectives and insights on policy and market developments that affect the Philippine auto industry, AVID’s next TRACK event will have more experts discuss the impact of current economic and political issues on the Industry, but this time from the micro-economic perspective.