Gov’t wants P2 T for 6-7% growth

Published by rudy Date posted on July 10, 2012

MANILA, Philippines – The Aquino administration is seeking P2.006 trillion as appropriation for 2013 to fund projects that aim to bolster the country’s bid to achieve economic growth of six to seven percent in 2013, Budget and Management Secretary Florencio Abad said yesterday.

A highlight of next year’s expenditure program is the allotment for infrastructure, which Abad said would amount to more than P400 billion as the government accelerates the construction of roads, airports and other infrastructure projects.

In a briefing on the 2013 expenditure plan dubbed as the “Empowerment Budget,” Abad said the greatest share of next year’s program would be earmarked for social services.

“The greatest share of 34.8 percent or P698.4 billion has been earmarked for social services that support the reduction of poverty to 16.6 percent by 2016. This is 13.9 higher than the sector’s P613.4-billion allocation in 2012,” Abad said.

The budget for economic services where funds for infrastructure projects and capital outlay come from has increased to P510.9 billion from P439 billion or a share of 25.5 percent from 24.2 percent this year.

Of the total budget, the government has programmed to spend P1.602 trillion for current operating expenses from P1.464 trillion for 2012, and P407.1 billion for infrastructure or capital outlays from the P328 billion allocated for the year.

The P407.1-billion infrastructure budget includes additional infrastructure subsidy for government-owned and controlled corporations (GOCCs) amounting to P29.8 billion.

On the other hand, the share of debt servicing in the budget will decrease to 16.6 percent or P333.9 billion in 2013.

To accelerate the implementation of the disbursement of the budget, Abad said DBM has put in place “recalibrated budget execution and accountability mechanisms.”

He said the Department of Public Works and Highways (DPWH) would now be tasked to implement infrastructure projects of different agencies.

“Budgets for classrooms, hospitals and farm-to-market roads will be transferred for implementation by the DPWH. With this, line agencies should be able to focus on core mandates, such as the Department of Agrarian Reform and land acquisition and distribution,” Abad said.

As another measure to accelerate the implementation of the budget, the department has also mandated the agencies to conduct their pre-bidding activities right after the submission of the proposed budget to Congress on July 24.

The idea is to award the project contracts by November, Abad said.

With higher disbursements of P2.021 trillion planned for 2013, the government hopes to raise P1.780 trillion in revenues next year and trim the budget deficit to P241 billion or two percent of gross domestic product (GDP) from the programmed P279.1 billion or 2.6 percent of GDP for the year.

‘Explain IMF loan’ Meanwhile, a group of Filipino workers said yesterday President Aquino has a lot of explaining to do in his State of Nation Address (SONA) on July 23, particularly about his decision to lend $1 billion to the International Monetary Fund (IMF).

John Leonard Monterona, Migrante-Middle East regional coordinator, said millions of Filipino workers abroad also want Aquino to deliver the real state of the nation and define his administration’s policies and strategies on dealing with various issues affecting the Filipino people.

“The signs of economic hardships are quite revealing. One is the continued exodus of 4,200 Filipinos daily, people who are forced to leave their families hoping to find jobs in foreign lands even without job security and protection. The number of unemployed and underemployed Filipinos is on steady figures and the Aquino administration is not generating local jobs with decent pay and benefits,” Monterona said.

Cha-cha possible?

A key Palace official, on the other hand, hinted yesterday that Malacañang is now having a change of heart and has indicated its openness to amendments to the 1987 Constitution.

“We are not closing the door on the possibility of Charter change, but any proposal must undergo rigorous evaluation and must be shown to be in line with and indispensable towards achieving the administration’s reform objectives,” Secretary Ronald Llamas said.

In a text message, the presidential adviser on political affairs said Charter amendments “cannot be simply about Charter change for its own sake.”

“Specific proposals will have to be assessed and evaluated. If they fit with President’s reform agenda and are necessary, then they can be considered,” Llamas said.

Just yesterday, deputy presidential spokesperson Abigail Valte told a news briefing in Malacañang that there are no changes in the policy of the Aquino administration, echoing the previous line that a stable economy, not Cha-cha, would bring in investments.

Senate President Juan Ponce Enrile and Speaker Feliciano Belmonte Jr. earlier hinted they will be meeting to discuss ways on how to effect changes to the 25-year-old Constitution, and probably update the outmoded economic provisions in the Charter.

Sona security

More than 6,000 policemen will be deployed to secure Batasan Pambansa and roads leading to it when President Aquino delivers his third SONA.

Quezon City Police District director Chief Superintendent Mario de la Vega yesterday said they are already prepared to secure the Batasan while also maintaining peace and order amid expected protests on Commonwealth Avenue and other areas.

In an interview yesterday, De la Vega said part of the police deployment will focus on the usual anti-criminality efforts of the QCPD. This will be composed of 1,739 policemen. Superintendent

Richard Fiesta, head of the QCPD’s District Operations and Plans Division, said a civil disturbance management contingent will be composed of 818 policemen to secure the areas where street protests will be held, particularly along Commonwealth Avenue.

A reserve team composed of 150 personnel will be on standby. –-Iris C. Gonzales (The Philippine Star) with Delon Porcalla, Reinir Padua, Mayen Jaymalin

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