Salceda: Shorten Cha-cha debates to gain investors' confidence

Asserting anew that Charter change would benefit the economy instead of harming it, House ways and means panel chair and Albay Rep. Joey Salceda said lawmakers' prompt decision on how to amend the 1987 Constitution would help allay investors' uncertainty over the country's business climate.

At the Saturday News Forum in Quezon City, Salceda made the statement in reaction to National Economic Development Authority (NEDA) Secretary Arsenio Balisacan's remark that lawmakers should agree soon on the matter since "we don't also want those uncertaint[ies] because one of the factors that inhibit investments, whether it's domestic or foreign, is [a] state of uncertainty."

Salceda said, "I agree. Investor certainty is a function of legislative speed. The shorter the debates take, the more certain investors become."

"But in the House framework—there is no investor uncertainty. If anything, there is cause for investor optimism," the Albay congressman said.

Salceda said the House's principles on Charter change will reassure investors even more.

"There will be no investor uncertainty under the House's proposals. One, we commit to expanding, never restricting, the scope of the economy that is open to foreign investment. So, there is zero chance of an existing area of investment being suddenly closed off," he said.

"Two, we commit to making investing in the Philippines easier, not harder. So, we will impose no new regulatory restrictions on areas that are already open," he added.

President Ferdinand "Bongbong" Marcos Jr. earlier said that amending the 1987 Constitution should focus on how to attract more investors in the country amid recent calls in the House of Representatives regarding Charter change (Cha-cha).

Speaker Ferdinand Martin Romualdez, Marcos' cousin, said the lower chamber of Congress in 2024 would focus on proposals regarding restrictions on the entry of foreign capital and investments including Charter change.

In an exclusive interview with Pia Arcangel which aired on GMA Integrated News' "24 Oras," Marcos said the least controversial way to amend the Constitution would be to look at its economic provisions—and that political changes can come later. The President said in the same interview that the Philippines needs to adapt as the 1987 Constitution was not crafted in the context of a global community.

As it stands, the 1987 Constitution limits foreign ownership to 40% in public utilities such as electricity, water, and public transportation.

It also prohibits foreigners from owning land in the country, something that the President said he was unwilling to change.

Cause for 'optimism'

Salceda said the House commits to expanding access to existing areas of investment that have some restrictions.

"Existing limits in the Constitution will now be subject to an enabling law under our proposal. The only way this affects foreign investors already here is that they could bring in even more money, so they might need to be more optimistic with their expansion plans," the lawmaker said.

"Unlike other reforms where there is a rationalization of existing incentives or benefits, this one will not take away any existing investor rights and privileges. This will expand them. They can invest in more places and more sectors, infuse more capital, and hire more Filipinos," Salceda said.

The ongoing people's initiative led by the pro-Charter change group People's Initiative for Modernization and Reform Action (PIRMA) has proposed amending the 1987 Constitution wherein the Senate and House of Representatives vote "jointly" in changing the country's fundamental law.

The Senate earlier issued a manifesto in which senators rejected the ongoing people's initiative gathering signatures for the proposed amendment on Congress voting "jointly" for Cha-cha.

The upper chamber expressed concern that if this people's initiative prospers, further changes to the Constitution can be done with or without the Senate's approval and even absent all the senators.

In response, Romualdez has committed to support an alternative people's initiative led by the Senate on proposed amendments to the economic provisions of the 1987 Constitution. — VDV, GMA Integrated News