Philippines Government Committed to Operate an SWF

The government of the Philippines is still committed to launching the operations of a sovereign wealth fund by the end of the year, according to President Ferdinand Marcos Jr. Before leaving for Riyadh to attend the ASEAN-Gulf Cooperation Council Summit, Marcos gave a speech outlining how the administration is working to make the fund "as close to perfect and ideal as possible."

The introduction of the sovereign wealth fund to the world, particularly to Middle Eastern nations, is one of the most significant components of his journey, according to Marcos. To make sure that there are protections in place, he put the fund's implementation on hold. The fund, which was established in July after being passed into law, was hailed by the administration as a crucial component of its goals for infrastructure development and economic growth.

Investing in physical and financial assets like stocks, bonds, real estate, precious metals, or alternative investments like hedge funds or private equity funds is what a sovereign wealth fund (SWF), also known as a sovereign investment fund or social wealth fund, does. Global investment is made by sovereign wealth funds. The majority of SWFs are financed by earnings from the export of raw materials or by central bank foreign exchange reserves.

As part of its oversight of a country's financial system, a central bank may hold some sovereign wealth funds, which are typically of significant economic and fiscal significance.