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Arab News
29-05-2025
- Business
- Arab News
Marcos orders all CEOs of Philippine government-owned corporations to quit
MANILA: Philippine President Ferdinand Marcos Jr. has ordered all ranking executives of government-owned and controlled corporations to resign, days after asking his Cabinet members to step down. All appointed chairpersons, CEOs, directors, trustees, and members of governing boards of government-owned and controlled corporations were asked to 'immediately submit their respective courtesy resignations to the President through the Office of the Executive Secretary,' according to a notice from the Governance Commission for GOCCs, which was released on Wednesday. The move follows Marcos' request last week for his government members to render their resignations as he attempted to address the public's dissatisfaction over his administration's performance. Most of his Cabinet secretaries have either immediately submitted their resignations or expressed their readiness to do so. 'This process is part of a rigorous and ongoing evaluation of government performance not only at the Cabinet level but across the entire bureaucracy,' Lucas Bersamin, executive secretary of the Philippines — the head and highest-ranking official of the Office of the President — told reporters on Thursday. 'The people expect results, and the president has no patience for underperformance. In line with this, the president has also instructed the heads of government-owned and controlled corporations to submit their courtesy resignations. He has further indicated that senior officials will likewise be included in the continuing review.' Marcos' decision to reshuffle the Cabinet and leadership of state-owned corporations follows his allies' failure to secure a majority of contested Senate seats in the May 12 midterm elections, raising questions about his weakened mandate for the remaining three years of his term, which ends in 2028. The son of the late Philippine dictator who was overthrown in 1986, Marcos won the presidency by a landslide in 2022 after campaigning on a message of national unity and presenting himself as a candidate of change. Public support for the 67-year-old leader has, however, dropped sharply this year, with Pulse Asia surveys showing his approval rating falling to 25 percent in March, from 42 percent in February. The survey showed that a majority of Filipinos disapproved of the Marcos administration's handling of the most pressing issues, including controlling inflation and combating corruption, with disapproval rates at 79 percent and 53 percent, respectively. The bureaucrats and executives affected by the president's decision will continue in their roles unless and until the Office of the President issues further directives or formally acts on their resignations. 'All these people who offered their courtesy resignations are expected to continue performing their functions, discharging their duties until their replacements have been appointed,' Bersamin said. 'And that is expected of all public servants; no one abandons because that is part of the obligation of a public servant.'
GMA Network
29-05-2025
- Business
- GMA Network
Maharlika Fund chief Consing submits courtesy resignation
The top honcho of the country's first and only sovereign wealth fund, the Maharlika Investment Corporation (MIC), on Thursday confirmed he has tendered his courtesy resignation, as the Marcos administration's ongoing executive overhaul was also extended to heads of state-run firms. 'We at the Maharlika Investment Corporation (MIC) fully support President Ferdinand R. Marcos Jr.'s directive for courtesy resignations among GOCC (government-owned and -controlled corporations) leaders. We view this as an important and standard measure to uphold accountability and further strengthen public service,' MIC president and CEO Rafael Consing said in a statement. 'In line with this, I have submitted my unqualified courtesy resignation,' Consing said. This came after the Governance Commission for GOCCs (GCG) directed state-run firms' non ex-officio chairpersons, chief executive officers (CEOs), and all appointive directors/trustees/members of their respective GOCCs' governing boards to immediately submit their courtesy resignations to the President through the Office of the Executive Secretary. 'The entire MIC Board of Directors also promptly complied, submitting their courtesy resignations immediately upon receiving the relevant memorandum from the Governance Commission for GOCCs (GCG),' Consing said. 'We will all continue to diligently perform our respective duties and responsibilities until advised otherwise,' he added. The state-run firm's Board of Directors include GOCC-representatives Land Bank of the Philippines president Lynette Ortiz and Development Bank of the Philippines president Michael de Jesus as directors; regular director Vicky Castillo Tan; and independent directors Andrew Jerome Gan, German Lichauco II, and Roman Felipe Reyes. While top executives of GOCCs were ordered to resign, the GCG said that until any action is taken by the Office of the President on their courtesy resignations, 'they shall continue to report for work and perform their usual duties and functions…' The MIC was created through Republic Act No. 11954 or the Maharlika Investment Fund (MIF) Act of 2023, signed by Marcos in July 2023, with the aim to tap state assets for investment ventures to generate additional public funds. The MIC manages the MIF—a pool of funds initially sourced from state-run financial institutions that will be invested in foreign currencies, fixed-income instruments, domestic and foreign corporate bonds, joint ventures, mergers and acquisitions, real estate, and high-impact infrastructure projects. Under the law, the MIC has an authorized capital stock of P500 billion, P375 billion of which shall have corresponding common shares available for subscription by the national government, its agencies or instrumentalities, government-owned and controlled corporations or GFIs, and government financial institutions. Its initial capitalization is sourced from the national government and the country's two largest state-run banks. The Landbank transferred P50 billion and the DBP P25 billion to the Maharlika Fund. The national government will contribute P50 billion from the following sources: Bangko Sentral ng Pilipinas' total declared dividends; National government's share from 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 In January, MIC made its first investment activity by acquiring a 20% stake in Synergy Grid and Development Philippines Inc. (SGP) —giving it two board seats in the company and another two in the National Grid Corporation of the Philippines (NGCP). The NGCP is 60% owned by SGP, while State Grid Corporation of China has 40%. MIC had expressed intent in acquiring shares of the State Grid Corporation of China in the Philippines' power grid. Last week, Marcos directed the courtesy resignations of Cabinet secretaries to "recalibrate" his administration after the 2025 national and local elections. The President had lamented that results of the May 2025 midterm polls showed that the people are "tired of politics and they are disappointed with the government." —AOL, GMA Integrated News
