Gatchalian urges economic managers to assess COVID-19 impact

Senator Sherwin Gatchalian urged economic managers to immediately assess the potential damage of the COVID-19 outbreak on the Philippine economy.

Gatchalian expressed alarm over the potential for job losses, citing Philippine Airlines' recent layoffs due to travel bans and revenue decline.

He warned that other companies, especially those in tourism supply chains like hotels and restaurants, might follow suit.

The senator called for proactive and flexible economic policies, including a stimulus package, to prevent or reverse an economic crisis.

Gatchalian estimated a P28 billion stimulus package would be needed for tourism-related subsectors.

His proposed approach includes property tax discounts and VAT relief for MSMEs, a financing facility for affected subsectors, and rehabilitation of cultural landmarks to boost domestic tourism.

He emphasized the need for strong domestic demand to counter the effects of a slowing global economy due to COVID-19.

Travel restrictions are estimated to reduce tourist arrivals from nine million to seven million this year.