President Ferdinand R. Marcos Jr. emphasized the need for the Maharlika Investment Fund to be tailored to the Philippines’ conditions, during an interview with the media before his return from Davos on Friday. He stated that as they study the proposed sovereign wealth fund, it becomes clear that each fund, despite having the same name, is different and that the Maharlika fund must be designed to fit the specific needs of the country.
President Marcos has said that he received a suggestion from a business leader to raise money for the Maharlika fund through an initial public offering (IPO) and that he will consider if it is appropriate for the country. According to the Presidential Communications Office, the proposed sovereign wealth fund of the Marcos administration received significant interest at the 2023 annual meeting of the World Economic Forum in Davos. The House of Representatives has already passed the Maharlika Investment Fund Act (MIF) which provides for an independent fund to be sourced from investible funds of select government financial institutions (GFIs), from contributions of the national government, declared dividends of the Bangko Sentral ng Pilipinas (BSP), and other sources of funds.
The Maharlika Investment Fund, if passed, will be used to invest in a strategic and commercial manner in order to promote fiscal stability and economic development. It will also aim to strengthen the top-performing government financial institutions (GFIs) through additional investment platforms that align with the national government’s priority plans. The bill is currently under review in the Senate.
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