RP losing billions to corruption — Angara

For every peso spent on infrastructure projects and the procurement of goods and services, between 20-50 centavos is lost to corruption.

So pervasive was graft, the World Bank reported last year, that the Philippine government lost $48 billion over the last 20 years due to corruption, exceeding the country’s entire foreign debt of $40.6 billion during that period.

This, as Sen. Edgardo J. Angara pushed for the passage of the Procurement Reform Act, and the Campaign Finance Reform and Political Party Act, two key congressional measures intended to curb corruption in the government.

"The stench of corruption is the only constant in our public life," said Angara, resource speaker of the 95th general assembly of FUSE (Foundation for Upgrading the Standard of Education) at Century Park Hotel.

A survey by Transparency International showed the Philippines 11th on the list of most corrupt among 102 nations, in the same league as Pakistan, Zimbabwe and Romania.

Figures from a private group Procurement Watch revealed that the government loses an average of P22 billion annually to corruption in the public procurement process.

The P22 billon, he estimated, could have translated to 44,716 new classrooms, 24 million books, four million desks and 44,220 computers.

"The evil of corruption is robbing our people of essential services such as schooling, health, food and housing," Angara noted.

The country’s low standing in the global competitiveness index of the World Economic Forum, he pointed out, was mainly due to the worsening perception of corruption in government.

Angara also pressed for strengthening the oversight function of Congress, saying "this is an effective means to ensure good governance and curb corruption in the executive branch."

He said members of Congress should be imbued with integrity and a higher sense of purpose.

Among the objectives of the Procurement Act are posting of bidding announcements on the Internet to increase transparency and competition; and adoption of a simple eligibility check method, replacing the pre-qualification procedure.

The Act also sought to impose caps on price adjustments and change orders, a five-year warranty on civil works, and adoption of open and competitive bidding in all levels of public procurement.

The campaign finance bill proposed to provide state subsidy to political parties to make them less indebted to vested interests. The other key goals of the measure are: imposition of limits on individual (P100,000) and corporate (P1 million) contributions to politicians and political parties; strict prohibition on the use of illegal money in electoral campaigns; and full disclosure of campaign funds and expenses.

"Let us demand integrity and honesty in government and support honest men and women in public service," Angara said.

The Political Party Act planned to institutionalize political parties, provide state funding for party program development and organizational building, and impose penalties against turncoatism.

"For the nation to thrive, there should be openness and transparency in government operations."