RP in last-ditch bid for millennium funds

MANILA, Philippines — After repeatedly failing to get the coveted seal of good housekeeping from the US, local authorities have teamed up with the private sector in a last-ditch attempt to unlock up to P400 billion in development funds under the Millennium Challenge Account.

As part of the alliance, six of the “most problematic” government agencies have agreed to adopt an operating framework that will help them meet governance, anti-corruption and transparency standards of the US government.

“What we’re aiming for is organizational reform in these agencies,” said Christian Zaens, the executive director of the Institute for Solidarity in Asia (ISA), which is spearheading the private sector initiative.

Problem agencies

These agencies whose failings in governance and transparency have come under intense scrutiny by the grant-giving Millennium Challenge Corp. are the Bureau of Internal Revenue (BIR), the Department of Public Works and Highways (DPWH), the Department of Transportation and Communications (DOTC), the Department of Education (DepEd), the Department of Health (DOH) and the Philippine National Police (PNP).

“These are the ones that need this governance system most,” Zaens said.

ISA will help government agencies operate under the so-called Public Governance System (PGS)—a localized version of the popular “balanced scorecard” management tool—which has been used successfully by private sector firms since the 1990s to align their activities with strategic goals.

The ISA official noted that the Philippine government has been trying—and repeatedly failing—to meet the MCC’s minimum criteria in order to tap the funds allocated by the US government for developing nations.

“We’ve been failing for past three years,” Zaens said. “If we fail again this time, that’s it. We lose our chance for good.”

A successful application of the PGS will hopefully improve governance practices and transparency at these six agencies, and convince the MCC to give the Philippines a second chance as a beneficiary of Millennium Challenge Account funds.

“The government and the private sector are now working together on this,” he said. “We need to show to MCC board that the government is serious in combating corruption.”

A Philippine delegation will leave this weekend for the US to meet with MCC officials and “show them that [the government] is serious in its efforts,” he added.

Rated near the bottom

Zaens pointed out that the Philippines needs to redouble its efforts after the country was again ranked near the bottom of an international competitiveness study two months ago.

“We didn’t qualify again [for MCC funding] because of that,” he said. –Daxim Lucas, Philippine Daily Inquirer