NEDA: Pension fund prohibition not a roadblock to Maharlika Fund's intention

National Economic Development Authority (NEDA) Secretary Arsenio Balisacan said Friday that the absolute prohibition of the state pension funds will not be a roadblock in the proposed Maharlika Investment Fund achieving its real intention.

"[President Ferdinand "Bongbong" Marcos Jr.] certified the passage of the Maharlika, I think that the amendments or the improvement of the final provisions, we can live [with] those. They are in general, quite good provisions especially those that improve the governance of Maharlika, the safeguards," Balisacan said at a Palace press briefing.

"Those are very useful at least, in our point of view, and clarifying what can be used, what cannot be used, I think those are good. I don't see those as kind of a roadblock to achieving the intention, the objective of the Maharlika," he added.

Marcos had guaranteed that the national government had no intention of using state pension funds as a “seed fund” for the proposed MIF.

Government Service Insurance System President and General Manager Jose Arnulfo “Wick” Veloso also mentioned that early on, there had been discussions that pension funds would not be used for the sovereign wealth fund.

During the bicameral conference committee meeting Wednesday, the House of Representatives adopted the Senate version of the Maharlika bill.

According to the bill, the MIF would be created from funds sourced from:

• Land Bank of the Philippines (LBP): P50 billion
• Development Bank of the Philippines (DBP): P25 billion
• National Government: P50 billion

Meanwhile, the contribution from the national government would come from the following sources:

• Bangko Sentral ng Pilipinas' total declared dividends
• National government's share of the income of PAGCOR
• Properties, real and personal identified by the DOF-Privatization and Management Office
• Other sources such as royalties and/or special assessments

— DVM, GMA Integrated News