Marcos economic aide on P1.7-trillion wipeout in PH stock market: Fake news

Special Assistant to the President for Investment and Economic Affairs (SAPIEA) Frederick Go on Thursday branded as fake news the report that P1.7 trillion in market value was wiped out.

''Unfortunately po, the Securities and Exchange Commission chairman was quoting a confirmed fake news socmed post designed to catch attention and falsely sensationalize,'' Go said at a Palace press briefing.

''The attributed source confirmed na fake news po ito at hindi galing sa kanila. The fact is the drop wasn’t 12%. You may confirm this with the Philippine Stock Exchange or your favorite stockbroker; lahat po iyan, alam nila. Public knowledge po lahat ng index po natin. And I have personally confirmed this with the PSE president and the top brokers in the stock market,'' he added.

(The attributed source confirmed that it was fake news and that it didn't come from them. The fact is the drop wasn’t 12%. You may confirm this with the Philippine Stock Exchange or your favorite stockbroker; they know that. Our index is a public knowledge. And I have personally confirmed this with the PSE president and the top brokers in the stock market.)

Asked about the losses in investment pledges amid the corruption scandal, Go said there was none, noting that the commitments continue to come in despite the issue.

''On investment pledges, I don’t think we have lost anything. The pledges continue to come in, as a matter of fact, we are now transmitting to the Office of the President the approval of the first beneficiary of the CREATE MORE Act which is an investment from a Korean company of over one billion dollars,'' Go said.

''The FIRB will be transmitting this to the Office of the President this week po. So, I don’t think we have lost any investment pledges because of this ongoing issue,'' he added.

SEC's Lim issues clarification

On Thursday afternoon, SEC chairperson Francis Lim released a statement clarifying that his speech was based on what he believed at the time to be a credible industry report.

“I have since learned that the report was fictitious. I deeply regret any confusion or concern that my statement may have caused. My sole intent was to underscore the vital importance of integrity in our markets and the devastating impact corruption can have on investor confidence,” he said.

“Corruption is indeed a weapon of mass wealth destruction, and it is in this spirit that I appeal to all sectors to unite behind the Marcos Administration’s strong campaign against corruption,” he added.

On Wednesday, Lim flagged the impact of corruption issues on Philippine investments, saying that “weak integrity” has caused investors to flee and wipe out P1.7 trillion in market value in just three weeks.

Lim cited the need to innovate without losing the public’s trust, given the recent spotlight on corruption, specifically in flood control projects, which have now been the subject of investigation by both chambers of Congress and an independent commission. 

Lim also said the SEC is working on its Strategic Plan, which seeks to widen access to capital, deepen investor trust through stronger protection, modernize regulation through digital innovation, and strengthen the agency’s institutional muscle.

President Ferdinand ''Bongbong'' Marcos Jr. has ordered an investigation into the anomalous and irregularities in the flood control projects.

Through an executive order, the administration established the Independent Commission for Infrastructure (ICI), in response to public calls for greater transparency and accountability in infrastructure spending. — RSJ, GMA Integrated News