Category Archives: Financial Investment

Philippines’ Ascent to Investment Grade

The most anticipated credit rating upgrade for the Philippines has been finalized. Although it is expected because the Philippines has already received an investment grade rating from Fitch last March and it was followed with another from Standard & Poor’s later in May. And so last Thursday (3 October 2013) the last major debt-watcher, Moody’s, granted and raised the Philippines’ investment grade status to a Baa3 rating with a positive credit outlook.

Although the “Baa3” rating is the lowest in the investment grade ratings, yet it is well enough to place the Philippines’ economic performance on par with Turkey and Spain. And it is also considered a critical milestone in lifting the country’s economic status from one of Asia’s weaker economies which was once even considered “the sick man of Asia”. And the economic growth of 6.8 percent last year and 7.6 percent in the first half of 2013 are among the highest in Asia-Pacific and remained one of Asia’s best performers.

Investment Grade Ratings

According to Moody’s, “The Philippines’ economic performance has entered a structural shift to higher growth, accompanied by low inflation.”

With three investment rating upgrades in succession, it only means one thing to the Philippines, a good image with a brighter outlook to the eyes of the investors. And with the badge of credit worthiness, it also reflects the confidence of the international community with regards to the strength of the Philippine economy. Many believe that there might be another upgrade in the coming years before 2016, the time when the current President steps down. And so what’s this latest credit rating upgrade means to the Philippines?

An improving credibility to the international community.

Image from

Waiting for the Holiday Sale

It is at this time of the year that almost all prices of common commodities will drop down sharply as Muslims are observing the holy month of Ramadan. You will find lots of discounted prices almost every corner in the mall and almost shops in the souq are on sale. And when finances permits, I surely will visit the gold souq and hoping to find big discounts on jewelry since it is one of the best investments there is that you can rely on as precious metals don’t depreciate for a long time. Prices may go down at some point but for sure it will go back sooner or later just like the case of gold in the past month or so.

And what’s more worrying is the coming Eid holiday. It will be a week full of drop down prices including signature brands. This will be a big headache to some, not because of financial matters but on how and what to choose when you are bombarded with tons of well known products at a very low prices that you previously can’t afford or shouldn’t be minding since it will be lavish already. Yet, it’s hard not to be tempted for you seldom see this kind of prices at a much discounted rate that become so affordable for everyone to take advantage.

Taking Care of the Future

I would say that the common aspect that’s in the mind of most people overseas is to have their own business in their country that could support their day to day life so they don’t have to sacrifice working far away from their family and loved ones. And that is also one of the main topics that hubby and I are discussing from time to time so we don’t have to rely more of his paycheck and that we have a source of income that we can depend on.

This is so true to one of my friend here, which is the wife of hubby’s colleague and that they already have started a family business. They are catering to rent plastic chairs and wooden tables to anyone who would want to use them for their individual events, programs or gatherings. The name of their business is “chair @ table” and so far the trend of their initial investment is still moving up as days pass by. And at the moment, they are adding some supplies to cover the growing demand of covered tables with a specific color. So they are busy canvassing for stretch table covers that have high qualities and of course not that expensive as well so it won’t hurt their pockets as well.

NB: Image from “chair @ table”.

Upgrading the Philippines’ Credit Rating

While the ongoing economic woes in Cyprus has somehow affected the global economy, the Philippines on the other hand, won its first ever investment grade debt rating from global credit rating firm Fitch. The firm also added that the Philippine economy has a stable outlook and cited a robust economy and improved fiscal management. And because of the upgrade, it gives the country a vote of confidence when it comes to credit rating. Some reports said that it marks the first time the Philippines joins the A-lister countries considered safe to invest.

Despite the weak economic backdrop yet the Philippine economy is still capable of withstanding the global economic crisis. It is one of the reasons why the sovereign credit rating was upgraded to BBB- from BB+. And one of the cause is due to the remittances of the OFW’s which accounted for 12% of the country’s GDP and 8% of the Philippine economy in 2012 alone.

I believe that those numbers are significant enough to make the Philippine economy stay afloat despite the global economic crisis but those who contributed to the economy’s flotation has given less importance by the government and  sometimes being neglected. In fact, there are so many OFWs who are suffering especially in the Middle East. The so called modern era heroes are deprived of the benefits that are suppose to be from them.

NB: Image from wikimedia commons.

Always Practice Safety First

Many would say that when you invest on cars it will become a dead asset. At some point it really is a cold property but that if you don’t find a way to convert its usability into a resource possession. Many have reason out that it became a liability instead of a priced capital is because of its maintenance. While prices of spare parts on the other hand, has no trend of going down rather it is growing up each day despite the global economic turmoil. So it is always best to take good care of your vehicles, use it in its intended purpose and don’t abuse it.

And during routine maintenance service make sure that safety is being practiced as well so nobody will be hurt during and when it is done. Choose those with appropriate and approved car lifts system and with the help of the internet you can now easily search for auto lift deals that is suitable in your budget and that it should not hurt your monthly expenses. Always make sure to choose the best one that fits your needs and it is not about being affordable that matters sometimes.

NB: Image from wikimedia commons.