The Maharlika Investment Fund (MIF) could lead to the imposition of higher taxes by the government, former Bangko Sentral ng Pilipinas Deputy Governor Diwa Guinigundo has warned.
In an interview with One News, Guinigundo said the MIF could put a strain on the government’s budget.
“Ang anumang mawawala doon po sa budget dahil ilalagay po ito sa Maharlika Investment Fund, for the government to be able to achieve the targeted level of economic growth, yung pong tinatawag natin fiscal sustainability, dapat ay napapababa ng ating deficit to GDP ratio (at) ang ating public debt to GDP ratio,” Guinigundo explained.
Instead of generating additional wealth, the Maharlika fund could lead to more problems that will fall on people’s pockets.
“Ang mangyayari po niyan, dahil sa nabawasan ang ipangbibigay doon sa iba’t ibang ahensya, sa iba’t ibang imprastruktura dahil
ilalagay ito sa Maharlika Investment Fund, the government will be
forced to impose higher taxes or to borrow more or both,” he added. “Maaaring kombinasyon ng mas mataas na tax, mas mataas na borrowing.”
The bill creating MIF is awaiting President Ferdinand Marcos Jr.’s signature after being approved by both the Senate and House of Representatives.