Pinoys join ‘paluwagan’ to ease financial crisis

The current global financial crisis has seen the economies of many developing countries crash. In Austria alone, the inflation rate has risen.

Austrian Economic Chamber of Commerce expert Margit Schratzenstaller mentioned in the state-owned radio station here that the economy will go down to 0.5% lower than that of the present inflation rate.

For Filipinos in the country, this means, they have to tighten their belts more. Prices of basic commodities, diesel and gas, transportation fees and others will surely increase.  Read more…

OFW deployment up 25% in January

Departures by job seekers rose 25% to 165,000 in January from the same month last year, Philippine Overseas Employment Administration administrator Jennifer J. Manalili told reporters.

“As of end-January we have deployed 165,000 and that’s higher than last year — and also considering that there is crisis,” she added.

The Labor department reported last month that deployment of overseas Filipino workers (OFWs) rose 27.8% to 1.377 million last year from 1.078 million in 2007. The 2007 deployment figure, in turn, was a mere 1.42% rise from the 1.063 million recorded in 2006.

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Saving the small

Government financial institutions (GFIs) are moving to rescue small and medium exporters and workers displaced by the global financial crisis.

Benel Lagua, president and chief operating officer of SB Corp., said the past due rate of loans extended to exporters is now around 8 percent, higher than previous year.

SB Corp., oversees the SULONG or the SME (small and medium enterprises) Unified Lending Program.

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Proper money management: the 4-way test of spending

The global financial crisis has definitely made an impact on people’s spending habits. During these tough times, how can Filipinos make sure that every peso is well-spent?

According to Alvin Tabanag, a registered financial planner and author of the book “12 Steps to Build Wealth on any Income,” there are four questions one must ask when purchasing an item:

1. Do I really need this item?
2. Can I afford to pay it in cash even if I don’t charge it?
3. Do I really have something that serves the same purpose?
4. Have I found the best value for the item?

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Job losses mounting

The Labor department was reported as warning yesterday that up to 300,000 people could lose their jobs by the end of June in a “worst-case scenario,” but Labor Secretary Marianito D. Roque denied making such a statement.

AFP quoted Mr. Roque as offering the figure to reporters, but when asked to clarify later in the day, he replied that estimates could not be made as he did not know how many firms would be closing shop.

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Crisis cuts jobs worldwide

PARIS — The global financial crisis has sent a wave of rising unemployment across the world as vulnerable workers suffer from the downturn in economies interlinked by globalization, experts say.

The US-born credit crisis that worsened in September has also seen a harsh economic slowdown, with several of the richest countries ” including the United States, Germany, Japan and now Britain ” sinking into recession.

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Gov’t fears 60,000 IT job losses

Intel confirms Philippine plant closure. The government is giving counseling and retraining to “about 60,000 workers that could be affected nationwide” in the electronics industry as factories close down or cut workforces amid a deepening global recession, the secretary of labor said Thursday.

The labor department is “getting daily notices now not only of retrenchments but also of reduction of work shifts, reduction of working hours and compression of the workweek,” Secretary Marianito Roque said.

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Gov’t fears 60,000 IT job losses

The government is giving counseling and retraining to “about 60,000 workers that could be affected nationwide” in the electronics industry as factories close down or cut workforces amid a deepening global recession, the secretary of labor said Thursday.

The labor department is “getting daily notices now not only of retrenchments but also of reduction of work shifts, reduction of working hours and compression of the workweek,” Secretary Marianito Roque said.

“The semiconductor industry is already getting hit,” Roque said in a television interview Thursday.

“We have seen this as early as three months ago,” he said. “We expected that we’ll be getting hit in the first semester of this year.”

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RP less vulnerable to crisis: Fitch

The Philippines is vulnerable to the global financial crisis, but less so than other countries in the region, as its banks and external financial position are sound, Fitch Ratings said on Wednesday.

Speaking to Reuters before the government launched an offer for an international bond, James McCormack, managing director of Asia-Pacific sovereign ratings at Fitch, said he saw no reason to change the country’s BB rating and stable outlook.

“We are comfortable with the rating where it is,” he told Reuters in an interview.

He said the country’s healthy fundamentals should help keep its ratings outlook from being downgraded, but added that slow growth in government revenues posed a risk.

“It looks to us that when we cast our eyes around the region, at economies that are vulnerable to what is going on internationally, the Philippines is certainly included but it is not one of the countries that we are most concerned about,” he said.

“The banking sector is reasonably isolated from what’s been going on internationally, that includes both exposure to sub-prime and other assets with questionable values.”

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