Bomb for OFWs? Applicants for jobs abroad seek refuge outside the Philippine Overseas Employment Administration building after an official announced a bomb threat, which was later found to be caused by a prankster. --NONOY LACZA

LOCAL stocks plunged on Tuesday and sent the index to bear-market level amid fears that a US recession may spark a global slump.

The 30-company Philippine Stock Exchange (PSE) index dropped 173.89 points to 2,978.41, the first time it fell below the 3,000 level since August 2007 when the subprime crisis started.               

THE good news, from American business: a recession in the US may prompt more firms there to resort to outsourcing to save on costs, and the Philippines is a prime candidate. The bad news: a recession there would hurt a sector already reeling as it is from the strong peso—the Philippine exporters.

COST and inertia prevent the country’s exporters from seeking cover for their exchange-rate risks, and this explains in part the industry’s reluctance to avail itself of hedging tools readily available in the market.

IN what may be a tacit acceptance of the unfavorable effect of the worldwide economic slowdown on the country’s own progress, President Arroyo declared hours before leaving for the World Economic Forum (WEF) in Davos, Switzerland, that she will seek more foreign investments in the forum and lead an investments road show to the Middle East.

THE weakening of the dollar, which currently hurts families of some 8 million Filipino migrant workers, has also been affecting Filipino diplomats abroad, prompting a deluge of requests to be transferred back home.

AN official of the Department of Foreign Affairs (DFA) has admitted an irregularity was committed in the government’s move to rescind the P5-billion award to Japanese firm Nagayama Teisei Consortium (NTC) to develop the Philippines’ Nampeidai property in Tokyo, and to subsequently award the developing rights to Nagayama’s erstwhile consortium partner Tsuchiya. 

ALTHOUGH it earlier claimed that the Makati Regional Trial Court (RTC) had dismissed the complaints of the disqualified bidders of the National Transmission Corp. (Transco), the Power Sector Assets and Liabilities Management Corp. (PSALM) backtracked Tuesday, saying it erred in making that announcement.

A PASAY Court has ordered the United Coconut Planters Bank (UCPB) to pay a client an estimated P1 billion after the lender was found to have overcharged E. Ganzon Inc. (EGI), a real-estate developer with properties in Metro Manila. Besides involving attorney’s fees, court suit costs, damages, and interest, the amount covers the various forms of overpayment collected by the Philippines’ thirteenth-largest lender from EGI from April 2000 to May 2001.

WITH the bureaucracy bloated with noneligible political appointees and about 90 former police and military officials filling up key government positions, the country has reached the “height of the politization of the bureaucracy” under the current administration.

THE Department of Justice on Tuesday cleared Ayala Land Inc. (ALI) of any liability in the blast that rocked their Glorietta mall last year, but said that as many as three more people may be charged in relation to the incident.

PRESIDENT Arroyo has ordered Budget Secretary Rolando Andaya Jr. to release P110 million to upgrade the facilities and services of the Air Transportation Office (ATO) and hasten the restoration of the country’s aviation system to Category 1.

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CIVIL Service Commission chairman Karina Constantino David expounds on several issues confronting the Philippine bureaucracy as she prepares to leave office, at Tuesday’s press conference in Quezon City. --NONOY LACZA