Palace waiting for security officials’ report over Chinese investment on 3 northern Philippine islands

August 5, 2019

Malacanang said on Monday that it would wait for a report from security officials on possible implications on national security regarding Chinese investments on three strategic islands in northern Philippines.

An Inquirer report said Chinese investors were eyeing the islands in Fuga in Cagayan province and Grande and Chiquita in Subic Bay, Zamabales to pour in their resources in those areas.

But unnamed military officials and security analyst Jay Batongbacal, a professor in the University of the Philippines, have raised concern over allowing Chinese investors in those islands.

The Philippines and China are embroiled in a territorial dispute in the South China Sea.

The islands being eyed for Chinese investments are facing disputed waters.

In a press briefing, Presidential Spokesperson Salvador Panelo said the Palace has not yet heard anything from National Security Adviser Hermogenes Esperon Jr. nor from Defense Secretary Delfin Lorenzana regarding the matter.

"We will wait for the National Security Adviser and the Secretary of National Defense give their comments on the security issue affecting those three areas you mentioned," he said.

President Rodrigo Duterte, who is set to visit for the fifth time China this month, has taken a friendlier stance with Beijing in exchange of loans and other investments into the Philippines.

Panelo could not say yet the exact dates of the President's trip to China and the specific agenda of the visit where he is expected to hold a bilateral talk with his Chinese counterpart, President Xi Jinping.

"All visits of the President if it’s working, then it refers to discussion with the visited country relative to issues that affect both - issues that will benefit both countries; issues of conflict; issues of cooperation; issues of support especially with respect to terrorism, to fighting drugs, to cultural exchanges, people-to-people and financing too – funding," he said. Celerina Monte/DMS