EDITORS DESK

I once heard a top government official sharing his conversation with his daughter as to why he accepted the position. He told his daughter that he accepted the job because he wanted to serve his country, to which his daughter retorted, “That’s corny.” Following that line, Paul A. Favila then is corny.  To a jaded generation that looks forward to a greener pasture overseas, the story of Paul will never gain traction. “I am a homeboy,” said the newly appointed Citi Philippines CEO & country head, during a meet and greet with business journalists. Paul is the first Filipino to lead the local operation of the global American bank in 35 years. He oversees the whole Citi’s Philippine franchise, its institutional businesses and the bank’s growing service center operations. He is also a member of the Asia Pacific Markets Operating Committee, and chairs various Citi units in the country. Paul, 50, is a 29-year banking veteran having joined Citibank in 1993 as assistant portfolio manager for Citibank Global Asset Management.  From there, he assumed various roles in Citi Markets. But all his life at Citi, Paul was contented being homebased. He did not aspire for an expat post. “I don’t know, but my heart was in the Philippines. I really wanted to do something here,” he said. Being an expat is not a bad thing, but it’s not just for him. He felt so uncomfortable and limited in it. Even for his one-year Asian Tiger Program in Singapore, he felt he had “no roots, you don’t own anything, not own a home, not own a car.” As Citi celebrates its 120th year in the  Philippines, one of the first countries in the region where the 200-year old bank first opened operation, with a Filipino at its helm is a testament that a local can continue to progress even if that person stays local. One does not have to be an expat to make it to the big league. “In my heart, I did work for the country. That’s what my parents taught me: do something for your country,” he said.

Dream

Paul has a dream. “We should not try to reinvent the wheel but learn from India,” he suggested. India has been evolving into a tech hub of the world. Being similarly situated with India, Paul expressed confidence the Philippines can do better. The country’s location being right smack in the center of Asia Pacific, with great talent, and rapid infrastructure development, including telecommunications, make the Philippines ripe for the picking. “I'd like to believe that a few years from now we won't have the logistical challenges and we can position ourselves,” he said. “No question, we are already the servicing hub of the world so we are properly tied to the rest of the world.” So, if the Philippines gets it right, he said, “The Philippines can become the financial hub for the region.” With Hong Kong losing its competitiveness, the only rival left is Singapore, which is already bursting at its seams. In addition, Paul observed that the Philippines has a depoliticized business where policies are relatively left to the technocrats. “There is a case to be made,” he said. He hopes somebody picks up his vision that there is opportunity for the Philippines to become more than just a services hub but a financial hub, as well.

Leader

I could only surmise how competitive the world of the New York-headquartered Citi is. When Paul applied for the position, he did not know who he was up against. He was later privately told that six others, all expats, also vied for the Philippine top post. Still trying to contain his excitement, Paul said,“I want them to see that the Philippines is really something.” Back in the 80s, Citi’s Asia Pacific Banking Institute was located here. So, the  Philippines was the hub for financial markets in Asia. Paul would like Citi’s more than 7,000 employees here, from only 1,500 when he first joined the organization 30 years ago, to know and understand this important piece of history. Apart from that, Manila is Citi’s regional operating headquarters, which is the most important piece in terms of high value functions. With Filipinos being trusted to take care of a complex organization, he would like the Philippines to regain its place. Paul has become the most interesting guy with the most interesting vision at Citi. He was told, “You came across so strongly that they continue to talk about you.” People came up to him, saying, “I need to sit down with you.” “I guess a lot of what I shared in terms of my thoughts really resonated. It's also heartwarming to know my thoughts are valued,” he said.

No conflict

It’s also very clear from Paul’s perspective the need to insulate his job from conflict of interest, considering that his father, Peter Favila, is also a member of the Monetary Board (MB), the policy-making body of the Bangko Sentral ng Pilipinas (BSP). As far as Paul is concerned, his father is done with MB. He has persuaded him already. “I don’t want further complications,” he said. Of course, his dad’s position has nothing to do with his new role, but “there is always that overhang. It’s complicated because I am a regulated entity.” He has only respect and admiration for the BSP leaders pointing to the independence of the institution despite their being political appointees. Whether or not he would entertain thoughts of going into that route (MB-BSP) in the future, Paul only said, “I don’t like politics.” In addition, he admitted “Marami pa akong kaning ngunguyain.” (I still have a lot to chew on.) He started as corny, and ended up to be so grounded. *(Bernie Cahiles-Magkilat is the Assistant Business Editor of Manila Bulletin.)*