MANILA - If managed properly, the proposed Maharlika Wealth Fund can be used to help raise money to finance government programs, an economist said Monday.

Economist Michael Batu defended the sovereign wealth fund proposed by lawmakers saying that through it, resources of the government can be used to achieve national development goals which will create employment for many Filipinos.

More employment means higher demand which will lead to economic growth he said during the Laging Handa briefing.

It can also help the government's programs.

“At siyempre para po hindi na tayo umutang nang mas marami sa hinaharap ‘no. Puwede na nating gamitin iyong kikitain mula sa Maharlika Investment Fund na ito para sa mga purpose na iyon,” he continued.

(And of course, so we don't need to borrow more in the future. We cna use the earnings of the Maharlika fund for these purposes.)

Batu said that with the initial capitalization for the Maharlika Wealth Fund coming from government financial institutions such as the GSIS and SSS, it can also be used to strengthen the country’s pension system.

“At magiging successful po ito kung mayroon din pong mga safeguards para po maprotektahan ang pera ng bayan.”

(And it will be successful if there are safeguards to protect the people's money.)

• Billionaires should invest in Maharlika fund, not workers: group
• Finance's Diokno says Maharlika fund bill should not specify how much participants give

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