Budget delay to adversely affect South

DAVAO CITY — City Mayor Benjamin de Guzman warned yesterday that Mindanao will be adversely affected if Congress fails to pass the proposed P725-billion General Appropriation Act for 2001.

De Guzman said the proposed national budget includes an increased allocation for the government’s rehabilitation and development program for Mindanao.

"So if Congress does not pass the budget, Mindanao would surely be affected," he said.

Mindanao’s share in the proposed 2001 national budget was increased to 34 percent of the total budget compared to 17 percent in previous years.

Meanwhile, Vice President Gloria Macapagal-Arroyo doubts whether the government can provide counterpart funds for official development assistance (ODA) from foreign donor countries which it hopes to tap next year to cope with national budgetary requirements.

"I doubt very much if the government can even avail itself of that ODA because we do not have sources for local counterpart (funds). Where will we get the money?," she said.

Arroyo said that unless the country regains the confidence of investors, the economy will continue to plunge, thus making it hard for the government to come up with local counterpart funds for the ODA. — Edith Regalado