SSS, GSIS will no longer finance proposed Maharlika investment fund
Following tremendous backlash to an earlier proposal, speaker Martin G. Romualdez and other leaders of the House of Representatives on Wednesday decided to remove the Social Security System (SSS) and Government Service Insurance System (GSIS) as contributors to the proposed Maharlika Investment Fund (MIF).
In a press briefing held Wednesday night, Marikina City Rep. Stella Quimbo, a co-author of the MIF bill, said they made the decision after meeting with the administration’s economic managers, who drafted the measure. Instead of GSIS and SSS funds, the Maharlika Fund will be financed using profits of the Bangko Sentral ng Pilipinas (BSP).
“Based on our assessment of the proposed changes put forward by the economic team, we are amending the bill to change the fund sources, removing GSIS and SSS as fund contributors and instead utilize profits of the Bangko Sentral ng Pilipinas,” Quimbo announced.
House Bill 6398 seeks to establish a P275-billion sovereign wealth fund with an initial investment of P250 billion from the GSIS, SSS, Land Bank of the Philippines and Development Bank of the Philippines (DBP), and P25 billion from the national government.
The proposal was met with severe backlash from netizens, who slammed the decision to put SSS and GSIS members’ contributions to unreasonable risk in a time of economic uncertainty. Even the president’s sister, Senator Imee Marcos, had expressed misgivings about using SSS and GSIS as fund sources for the proposed sovereign wealth fund.
“Maganda na nagsagawa tayo ng series of consultations ukol sa panukala; na-validate ang mga agam-agam ng ating mga kababayan, lalo na ang masisipag na manggagawang Pilipino, na buwan-buwang naghuhulog ng (It was god that we undertook a series of consultations regarding the proposal. We validated the qualms of our countrymen, especially our hard-working Filipino workers who contribute to) GSIS and SSS,” she said.
But while SSS and GSIS are safe from imprudent investments for now, many netizens remain unconvinced about the economic viability of the Maharlika fund.
