Presidential Adviser for Entrepreneurship Joey Concepcion emphasized the need to further open the Philippine economy to cushion price increases in fuel and basic commodities amid the ongoing conflict between Russia and Ukraine.
In a Laging Handa briefing on Friday, Feb. 25, Concepcion said it is important for the country to have a strong economy to withstand any impacts of the Russia-Ukraine crisis on prices of basic goods.
"Dapat buksan na talaga ang economy ng Pilipinas (We should really open the country's economy) as soon as possible kasi you need a strong economy to withstand any of the effects that the Ukraine and Russia conflict will bring about to the world," he explained.
Despite the ongoing pandemic, Concepcion said the Philippines is doing much better and is now set to de-escalate to the least restrictive Alert Level 1.
"At least our pandemic is now under control and we're seeing things normalize. That is the good part. Now, we open the economy and we have to strengthen it... There is no other way to do it. We have to open the economy," Concepcion explained.
"That momentum, the opening up of the economy, will give more strength to our MSMEs (micro, small, and medium enterprises). That is very important so whatever happens to Ukraine and Russia crisis, a strong Philippine economy can weather that much better," he added.
According to Concepcion, the price of commodities almost doubled from last year because of the tension including wheat, since Ukraine is one of the biggest suppliers of said product in the world. Prices of fuel, skim milk, sugar, and vegetable oil have also increased which may affect the cost of pandesal in the Philippines.
"Sana huwag nang lumala itong giyera dito sa Ukraine at Russia kasi baka mamaya talagang it will really costs more increases (I hope the tension between Ukraine and Russia will not further escalate as it may later cause more price increases)," he said.
The presidential adviser also called on the private sector including the businesses and entrepreneurs to be well-prepared, while the country should also brace for higher inflation.
"We should brace ourselves on price increases. Inflation will go up and of course hindi naman kayang i-absorb ng mga consumers ang lahat ng (not all consumers can absorb the) price increase so there will be a margin squeeze," Concepcion said.
"Ang importante dito (What is important is that), as we open the economy to Alert Level 1, more business can resume so at least they can start earning money and better prepare themselves for whatever may happen dito sa giyera na ito (here in the war)," he added.
On Tuesday, Feb. 22, Metro Manila mayors recommended to place the National Capital Region under Alert Level 1starting March 1 due to the decline in the number of COVID-19 infections.