The Philippine Stock Exchange thanked President Ferdinand R. Marcos Jr. for championing a landmark reform that leaves a lasting legacy on the country’s capital market, one that benefits not only the wealthy and professionals but also ordinary Filipinos striving for better financial security.
President Marcos Jr. on Tuesday rang the bell to open trading at the Philippine Stock Exchange (PSE) in Taguig City to highlight the Capital Markets Efficiency Promotion Act’s (CMEPA)’s first day of implementation.
“I would like to extend PSE’s gratitude once again to President Bongbong Marcos for this legacy he will leave on the Philippine capital market,” PSE President Ramon S. Monzon said during the bell-ringing ceremony.
Monzon said CMEPA is set to position the Philippine market as a more attractive destination for investors with a lowered stock transaction tax at 0.1 percent.
The Philippines used to have one of the highest trading costs among ASEAN-6 markets due to the previous 0.6 percent stock transaction tax and 0.25 percent minimum broker’s commission per trade.
Starting April 2024, the Securities and Exchange Commission (SEC) removed the minimum commission that stockbrokers may charge their customers.
With the stock transaction tax now reduced to 0.1 percent under CMEPA, these changes now make the Philippine market more cost-competitive with its regional peers.
Monzon emphasized the need for sustained efforts to increase the number of listed firms and expand product offerings, as well as the importance of financial literacy among Filipinos.
The PSE chief also called for collaboration with relevant government agencies to implement reforms that will make the Philippine capital market more competitive, efficient, and investor-friendly.
Aside from President Marcos, Monzon also acknowledged key government figures who played a crucial role in bringing CMEPA into reality, including Special Assistant to the President for Investment and Economic Affairs Secretary Frederick Go, Representative Joey Salceda, Senator Sherwin Gatchalian, and Finance Secretary Ralph Recto. | PND
