MANILA, Philippines - The local business sector will rechannel the P50 billion that it had pledged for infrastructure to rebuilding bridges and farm-to-market roads destroyed by tropical storm “Ondoy” and typhoon “Pepeng.”
“It is basically the same. The money will be spent on infrastructure but this time it will be more focused,” Philippine Chamber of Commerce and Industry (PCCI) chairman Donald Dee said at a press briefing.
Last year, the private sector promised to spend P50 billion for the construction of vital infrastructure projects to help stimulate the economy.
Dee said the spadework for the projects is expected next year.
PCCI president Edgardo Lacson said the local business sector has incurred P2 billion in damage as a result of the calamities but is ready to help the victims.
“We do not run relief operations. Although we have extended help, we are looking at providing assistance that will help victims recover their livelihood,” Lacson said.
For instance, he said, the business group has identified 2,000 shoe manufacturers in Marikina who have lost their equipment and materials to flooding. “We are embarking on the rehabilitation of shoe making merchants,” he said.
Lacson stressed that what is important is to bring back the sense of normalcy to the business sector.
For his part, Dee said that their focus is on helping micro and small entrepreneurs. “It is really the informal sector and the small businessmen who need help,” he said.
Dee explained that big businesses have hefty insurance claims, unlike the small ones. He noted that not many financial institutions are ready to lend money for rehabilitation.
More businessmen are expected to donate or pledge donations to typhoon victims at the annual Philippine Business Conference (PBC) on Oct. 20 to 22. PCCI has already extended P5 million in aid.
Meanwhile, businessmen also promised to focus on helping complete key infrastructure projects like the Light Rail Transit 1 (LRT), North and South Metro Rail Transit (MRT), the Caticlan runway and the extension of the North Luzon Expressway to Pangasinan as well as environmental and agriculture projects.
In an interview, Roberto Amores, chairman of the 35th PBC, said they are preparing relevant resolutions for submission to President Arroyo next week.
Amores said they have revised some of their resolutions in light of the devastation brought about by the two deadly typhoons.
Initially, Amores said the rehabilitation of irrigation and farm-to-market roads was part of their medium- to long-term plans. But with the disastrous aftermath of Ondoy and Pepeng, they have decided to make it urgent.
He said the huge damage to infrastructure explained the spike in the prices of fruits and vegetables.
Amores estimated that the recovery of spoilage cost accounts for half of the adjusted prices while the cost of transportation and logistics accounts for the other half.
He said there is an urgent need to normalize traffic to facilitate the flow of goods and services.
He also said a massive rebuilding effort will generate jobs. “More construction will require manpower,” he said.
Employment in other sectors, he said, will also improve as soon as vital infrastructure facilities are completed.
For the environment, Amores said his group is advocating a massive reforestation program to help prevent landslides.
Amores said the coming PBC conference will highlight the potentials of each city, municipality and region in ensuring the smooth flow of commerce.
He said the core advocacies of PCCI are food security, infrastructure development, re-engineered education and energy self-sufficiency.
“We need to identify what to do in terms of satisfying these four areas so as to combat the global economic crisis,” Amores explained.