Maharlika Corp. yet to identify investment potentials

THE Maharlika Investment Corporation (MIC) has yet to identify firms where it can potentially invest, Finance Secretary Ralph Recto said Wednesday, August 14, 2024.

During a Development Budget Coordination Committee (DBCC) briefing, Recto, who also serves as the chairperson of the body, said the P125 billion initial capitalization of the MIC remains intact over a year since Republic Act (RA) No. 11954, also known as Maharlika Investment Fund (MIF), was enacted.

“First of all, there is no subsidy in the 2025 NEP (National Expenditure Program) for Maharlika. Admittedly, it is taking time to identify investments that the Maharlika can make,” he said.

“As you know, it is like a start-up (company). We just passed the law last year. So they have been in operation for about six, even months right now, so it’s like a start-up,” he added.

He expressed optimism that its first investment will be made before the year ends.

Recto said the MIC will soon establish its office and is currently in the process of looking for employees.

President Ferdinand “Bongbong” Marcos Jr. earlier appointed Rafael D. Consing Jr., executive director of the Office of the Presidential Adviser for Investment and Economic Affairs (OPAIEA), as president and chief executive officer (CEO) of the MIC.

The MIC serves as the primary vehicle for mobilizing and utilizing the MIF for investments in transactions aimed at generating optimal returns on investments (ROIs).

It is “designed to drive economic development” and widen the government’s fiscal space and ease pressure in financing public infrastructure projects as well as encourage foreign investors to invest in the Philippines.

The seed capital of the MIF will be sourced from the LandBank of the Philippines (P50 billion), Development Bank of the Philippines (25 billion) and the National Government (P50 billion).

The contribution from the national government will come from the Bangko Sentral ng Pilipinas' total declared dividends, National Government's share from the income of Philippine Amusement and Gaming Corporation, properties, real and personal identified by the Department of Finance-Privatization and Management Office, and other sources such as royalties and/or special assessments. (TPM/SunStar Philippines)