If politicians afflicted with chronic crab mentality want to pull down President Arroyo, they should do it without dragging down the nation with her.
Certain opposition politicians can actually take some credit for the approval of the expanded value-added tax, but they think it’s political suicide to claim even partial responsibility for a bitter pill. They should not blame the administration if it takes credit for benefits that may arise from the EVAT.
The administration, for its part, should temper its self-congratulation. We’re a long way from being out of the woods, we’re still a regional economic laggard, and we haven’t seen the end of political turbulence.
Banking officials see the peso stabilizing at 52 to the US dollar this year, even with political turmoil factored in. That doesn’t translate into a hefty boost in purchasing power, especially if the higher value-added tax next month triggers inflation.
The strong peso is also hurting exporters, and unless they have products that the Chinese cannot copy, produce faster and sell at lower prices, the exporters are in trouble.
Local manufacturers must invest in efficiency to improve the quality of their products. It’s not just dirt-cheap labor that has made China the dominant force in the global apparel market. Better machinery and production systems have also helped the Chinese flood the world with their products, from infant booties to underwear and suits.
The survivors are those in the luxury apparel industry, whose innovative designs the Chinese can only imitate… so far. The Chinese — and the Indians, for that matter — are not lacking in creativity, so watch out, world.
Should the world also watch out for Philippine products? Why not? Local designers produce exquisite furniture and Christmas decorations that the Chinese cannot imitate… so far. There must be a bigger market for San Miguel Beer and the appliances of Concepcion Industries.
If the Singaporeans can dominate the Philippine market for bread with the Gardenia brand and Bread Talk chain, why can’t our local companies go multinational?
There is no short-term relief in sight here as politicians continue to toe the Catholic Church line on birth control. President Arroyo, who insists that her personal beliefs rather than pressure from the Church made her go slow on family planning, is unlikely to change her stand. She owes the Church big time after it refused to endorse her ouster amid charges of vote rigging and corruption.
In a perfect world, we should have no problem heeding the biblical admonition to go and multiply. But we’re not living in Shangri-la, development cannot keep pace with population growth, and there are too many irresponsible men who think pregnancy can happen only if a woman wants it.
No one is advocating abortion, but the government must present couples with options for planning the size of their families. Women need control over their reproductive health. The government’s failure to provide even information on family planning discriminates against the poor, because educated women are aware of their options and can afford artificial contraception.
Until development can outpace population growth, the fruits of economic progress will not be felt at the grassroots.
Growth, however, is stunted by political instability. Investments that are necessary for rapid growth are discouraged by red tape and corruption. In the case of the Philippines, there are additional investment disincentives: a poor regulatory environment, unpredictable economic policies, and a weak justice system that makes redress for unfair business practices uncertain.
These problems the nation can address this year, except for the political instability. Even Malacañang officials have admitted that they are bracing for more turmoil this year. Proponents of constitutional amendments are hoping that Charter change will reduce the decibel of political noise, but this is a big if.
Even with a political stalemate, however, the nation can work on other problems. Last year lawmakers set aside political bickering to pass several fiscal reform measures pushed by Malacañang, including the EVAT law.
This can be done again. Laws can be passed against racketeering, which can discourage corruption arising from illegal gambling operations. Those jueteng inquiries should bear some fruit.
With Malacañang and Congress cooperating, it is possible to strengthen the regulatory environment and reduce red tape.
The new man at the helm of the Supreme Court, Artemio Panganiban, was in charge of judicial reforms when he was an associate justice, and he can intensify the pace of reforms during his one-year watch.
We must make the nation safe not just for foreign investors but also for everyone, locals and visitors alike. Law enforcers must be given the equipment, training and new legislation that will allow them to confront threats to public safety in the 21st century.
It is tempting for opposition politicians to derail initiatives of the administration to promote economic growth, believing that economic gains will be credited to President Arroyo and her success will weaken political enemies.
But the people are not stupid; they can see through legitimate criticism of government policies and plain sabotage.
The people can see who are truly working for national interest, and will give credit where it is due.