House to do better this year, Alvarez vows

MANILA, Philippines – The House of Representatives did well in the first six months of the Duterte administration, Speaker Pantaleon Alvarez said yesterday.

Alvarez vowed to do better this year and until Duterte finishes his six-year term in 2022.

“I am proud to say that the House worked really hard in the past six months to pass laws consistent with the comprehensive reform program of the Duterte administration,” Alvarez stated in his New Year message.

“But we cannot be complacent. Much work remains to be done, and we commit to work even harder in the months ahead so that our nation can attain peace and prosperity that we all hope for,” he said.

Alvarez called on lawmakers to “forge a strong unity behind the reform agenda of the Duterte administration.”

“Let us all work together to put an end to mass poverty, strengthen our democratic institutions, and move our country forward.

“Let us take the first of the many giant steps we as one nation must undertake to effect a paradigm shift by changing our form of government from presidential to federal,” Alvarez said, as Congress is scheduled to deliberate on Charter change when session resumes this month.

“Let’s all open our eyes that it is only through federalism that we can break the barriers of a fatally flawed Manila-centrist government to one that grants political and economic autonomy to all of our country’s regions,” he added.

Time is of the essence

Attempts by the Duterte administration to amend the 1987 Constitution and lift its prohibitive economic provisions will result in an investment boom that will make Philippines compete or at least be at par with its Asian neighbors.

“We should waste no time in lifting the restrictive economic provisions in the Constitution as these are clearly the deal breakers for investors wanting to do business here,” Camarines Sur Rep. LRay Villafuerte said.

The administration lawmaker cited pronouncements Budget Secretary Benjamin Diokno made earlier with regard to the prospects of foreign direct investments (FDI) coming in, especially in light of government’s P8-trillion infrastructure projects until 2022.

Diokno revealed Manila attracted a total of $20.4 billion in FDI from 2011 to 2015, while Singapore cornered $305.6 billion worth of investments; Indonesia $107.6 billion; Malaysia $56.6 billion, and Thailand $42.0 billion.

Foreign businesses also reinvested less for their Philippine operations, with September’s (2016) $35 million around half of August’s $67 million and a third below the year-ago figure of $51 million.

“Even Diokno admits that what the Philippines gets in terms of FDI is a meager sum compared to the FDI of other Southeast Asian economies. We cannot continue on our high growth path if our business climate remains unattractive to investors,” Villafuerte stressed.

Another administration lawmaker, Iloilo Rep. Ferjenel Biron who sits as chairman of the House of Representatives’ committee on trade and industry, said Duterte’s policy to boost local spending and roll out massive infrastructure projects will give Manila an FDI boost.

Biron, a doctor by profession, sees FDI starting to grow in 2017, since Congress has already identified priority bills that will “lure more investors and boost the country’s global competitiveness.”

“Free trade and commerce, and a robust level of industry enable businesses to grow, ensure an unimpeded movement of goods and services, encourage investments, create employment and livelihood opportunities,” he said.

At the same time, this will also “generate revenue for the government, and improve the welfare of the citizens, thus playing an important part in reducing poverty and help the country reach its development goals,” he said.

Biron believes this can be realized through the continuance of legislative measures aimed at enhancing global competitiveness; sustaining micro, small and medium scale business enterprises; upholding consumer rights and welfare and good governance, among others.

Albay Rep. Joey Salceda, on the other hand, said there are about a dozen reasons why Filipinos should be happy about this new year, particularly because the Duterte administration promised to lower the income taxes for the overburdened working class, among many others.

“Enactment of Tax Reform for Acceleration and Inclusion (TRAIN) resulting in the reduction of personal income taxes of ordinary working families by P156 billion,” Joey Salceda wrote in his “12 economic events will drive optimism in 2017.”

There is also the imminent “approval of the Traffic and Congestion Crisis Act (emergency powers)” and the proposed Federal States of the Philippines and the convening of the constituent assembly.

Others would be the peace initiatives where President Duterte has been reaching out to Muslim rebels in Mindanao, like the Moro Islamic Liberation Front and the Moro National Liberation Front, not to mention negotiations with the communist insurgents.

“Creation of Bangsamoro authority by legislation,” Salceda said, where he also listed the initial peace agreement with the communist National Democratic Front on Comprehensive Agreement on Socio-Economic Reforms (CASER).  

Salceda also mentioned Manila’s hosting of this year’s golden anniversary of the annual Association of Southeast Asian Nations – a regional organization with 10 member-states - where Duterte was designated chairman.

He cited as well the “strong leadership and united front (executive, legislative, LGUs and CSOs) against poverty and strategic alliance for global competitiveness” and the “completion and launching of the 2017-2022 Philippine Development Plan.”

Salceda cited the implementation of Tax Administration Reform Act (TARA) and the massive P8-trillion infrastructure projects that the Duterte administration vowed to pursue until 2022.

Among them are the development of international airports in Puerto Princesa, Daraga, Panglao; start of implementation of Mindanao Railways and NSRP Southline, and bridges between Matnog and Allen and between Leyte and Surigao.

Salceda called this the “beginning of the Golden Era of Transportation.”

The last two are the implementation of the “42 Industry Roadmaps, Manufacturing Resurgence Program, SME in GVC development and new IPP” and the “business trophy investments from Japan including $25 billion committed by Marubeni and big-ticket infrastructure loans from China.”

Salceda lauded Duterte for his government’s plan to roll out a total of P8 trillion in infrastructure projects until 2022, which he sees as an 83 percent increase in infrastructure spending and improved absorptive capacity.