DAVOS, Switzerland: President Ferdinand Marcos Jr. made a pitch for the proposed sovereign wealth fund at the World Economic Forum (WEF), saying it is one of his government's measures to diversify the country's financial portfolio.

Marcos presented the overview of the state of the Philippine economy and "the myriad of opportunities awaiting to be unlocked" during the Country Strategy Dialogue at the WEF on Tuesday (Wednesday in Manila)."The process of establishing our first-ever sovereign wealth fund is underway. Such a fund is one tool among many in our efforts to diversify our financial portfolio, which includes our existing institutions pursuing investment that will generate stable returns, but also welfare effects spanning employment creation, improvement of public service and a decrease in costs of economic activities," he told business leaders. The Department of Budget and Management earlier said the Maharlika Wealth Fund (MWF) will be used by the government to invest in a wide range of outlets such as foreign currencies, fixed-income instruments, domestic and foreign corporate bonds, commercial real estate, and infrastructure projects.Before introducing the Maharlika Investment Fund, Marcos noted that global challenges have led to economic and trade fragmentations. "In a bid to address these complex issues, we now pause and reflect — are our institutions still effective? What actions do we need to undertake to recalibrate those institutions? What mechanisms are necessary to fill the gaps and how do we forge essential new partnerships?"The President said that the Covid-19 pandemic and the current state of the global economy "are a testament to the need for a higher call for cooperation; no one is completely safe and secure until everyone is safe and secure.""No one can be left behind if we are to succeed. This is the kind of society that we envision for the Philippines, the same one we are striving for in our Development Plan, the Socioeconomic Agenda that we have put together, and our other national strategies," he said.The President said his government has deployed non-monetary measures to address high inflation. It has also intensified measures to help improve local food production and help the agricultural sector to strengthen and quickly recover from the deterioration of the agricultural value chain. "The government will pursue modernization and innovation programs, the development of new farming and fishing technologies, adoption of climate and disaster-resilient technologies, for the enhancement of the agricultural value chain system," Marcos said. "We also need to ensure that sufficient welfare measures are in place to cushion the impact of elevated inflationary pressures, especially toward the most affected and vulnerable sectors in our society," he added.The President said the country's Development Plan puts together coherent strategic measures to hasten economic and social recovery towards inclusive and resilient development.He cited amendments to the Foreign Investments Act, which "provide flexibility and transparency and liberalize the practice of professions, making it easier for foreign investors that require foreign talent to do business in the country." "The Corporate Recovery and Tax Incentives for Enterprises Act or Create Act provided much-needed relief for our micro, small and medium enterprises or MSMEs through a reduction in the corporate income tax rate and ending investor uncertainty," the President said."Amendments to the implementing rules and regulations of the Build-Operate-Transfer law will allow the government to leverage public-private partnerships and better direct resources to other critical areas of development, governance, including social protection measures," he added.