THE Governance Commission for GOCCs (GCG) on Monday backed the inclusion of a provision in the Senate’s version of the Maharlika Investment Fund (MIF) that would mandate allocating at least 25 percent of the net profits of the proposed sovereign wealth fund for poverty alleviation programs.
GCG reiterated that it supports Congress’s efforts in ensuring the country’s “economic transformation, growth and sustainability.”
“The GCG, therefore, supports the inclusion of the provision in SB No. 1670 providing at least 25 percent of the net profits of the MIC [Maharlika Investment Corp.] to families living below the poverty threshold,” it said in a statement.
The GCG also emphasized that the MIC, which shall oversee the management of the MIF, will be within its purview since it bears attributes of an ordinary Government-Owned or -Controlled Corp. (GOCC).
“The Governance Commission noted that the MIC bears the attributes of a Government-Owned or -Controlled Corporation [GOCC] such as its charter, functions relating to public needs, and state ownership,” it said.
“The GCG also emphasized that the funding from Government Financial Institutions [GFIs] and GOCCs may affect their respective investment strategies and performance scorecards. These proposed investments must necessarily be within and allowed by their respective charters,” it added.
The GCG said it remains “steadfast” in its mandate as the central advisory, oversight, and monitoring body for GCCs “to institutionalize transparency, accountability, financial viability, and responsiveness in corporate governance by monitoring and evaluating the performance of GOCCs.”