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EIGHTEENTH CONGRESS ) © LATEMAR 1 2 2020mh
REPUBLIC OF THE PHILIPPINES ) yon eaneere Oe ae
First Regular Session ) - A

HOUSE OF REPRESENTATIVES

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Introduced by Representative Rufus B. Rodriguez

House Bill No. _6614
EXPLANATORY NOTE

The coronavirus disease 2019 (COVID-19) first emerged in Wuhan, Hubei, China, in
December 2019. On 11 March 2020, the World Health Organization declared the outbreak a
pandemic. As of 11 March 2020, over 126,000 cases have been confirmed in more than 110
countries and territories, with major outbreaks in mainland China, Italy, South Korea, and
Iran, More than 4,600 have died from the disease and 67,000 have recovered.

In the Philippines, the first case of COVID-19, confirmed on January 30, 2020, was a
38-year old woman who arrived from Wuhan. Two days later, the Philippines recorded the
first death outside China. As of March 11, 2020, there are already 49 confirmed cases of
COVID-19 with hundreds of possible cases where people are being investigated or are
under quarantine.

Aside from the health implications, COVID-19 has also affected business and jobs.

Philippine Airlines (PAL) has laid off 300 workers as part of a business restructuring
plan to manage losses sustained from travel restrictions to coronavirus-stricken destinations.
Atleast another 300 workers lost their jobs since February as a result of COVID-19 affecting
the tourism sector. The Department of Labor and Employment (DOLE) has also stated that
66 firms either temporarily closed down or implemented flexible arrangements for workers,
mostly in Central Luzon and three other regions known for tourism sites. Further, said 47
companies and/or factories with 4,416 workers had implemented flexible work
arrangements, including shorter hours, reduced working days or carrying out forced leaves

The Philippine manufacturing sector sources most of its raw materials from CHina
considering that it is cheaper. With COVID-19, shipments from China have been greatly
affected negatively resulting in our manufacturing sector taking a big hit, with soe companies
being projected to not be able to recover without help. This is why we need a stimulus
program to again jumpstart the manufacturing sector.

‘According to experts, COVID-19 is making a dent on the global economy and the
Philippines will surely take a hit. J.P. Morgan already sees emerging markets in Asia are
under threat and stated that “The economic narrative on the COVID-19 outbreak in EM Asia
revolves around two causal mechanisms: the impact of the fear factor on behavior, reflected
in a decline in demand for travel-related services, hospitality, and discretionary consumption,
and the supply-side impact of China's containment measures on manufacturing production
and regional supply chains”. New York-based think tank Global Source slashed its gross
domestic product (GDP) growth forecast for the Philippines this year to 5.7 percent from 6.2
percent after considering the probable impact of the COVID-19 contagion through various
transmission channels, especially tourism, remittances and online gaming.

In view of the foregoing, immediate approval of this measure is earnestly requested.

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EIGHTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES }
First Regular Session

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez

House Bill No. 6614

AN ACT
APPROPRIATING THE AMOUNT OF TEN BILLION PESOS TO FUND AN EMERGENCY
BUSINESS STIMULUS PROGRAM OF THE DEPARTMENT OF TRADE AND INDUSTRY
TO MITIGATE THE EFFECTS OF COVID-19 ON THE BUSINESS SECTOR

Be it enacted by the Senate and House of Representatives of the Philippines in Congress
assembled:

SECTION 1. The Department of Trade and Industry is hereby mandated to formulate and
implement an Emergency Business Stimulus Program for those establishments and
businesses affected by COVID-19.

SECTION 2. The amount of Ten Billion Pesos (Php 10,000,000,000) is hereby appropriated
to the Department of Trade and Industry to fund said Emergency Business Stimulus
Program for those establishments and businesses affected by COVID-19.

SECTION 3. - This Act shall take effect fifteen (15) days after its publication in English or
Filipino in the official Gazette or in at least two (2) newspapers of general circulation,
whichever comes first.

Approved,