Favila bats for change in Constitution to attract foreign capital

MANILA, Philippines – Trade Secretary Peter B. Favila is pushing for constitutional amendments to encourage more foreign firms to invest in the country.

Favila said there is a need to take a look at the economic provisions of the Constitution. He pointed out that the global economy is highly competitive and that the country needs to be dynamic.

Favila urged lawmakers to look beyond their own political agenda and focus on the economy.

Earlier, the Philippine Chamber of Commerce and Industry (PCCI) expressed support for constitutional amendments if it would improve the country’s economic interest.

“If the proposed amendments to the Constitution are premised on specific provisions that aim to enhance the country’s competitive position globally, business will be willing to support it,” PCCI president Edgardo Lacson said.

The business group called on the government to focus on the economy amidst opposing views on the proposed amendments to the Constitution. PCCI noted the need for the country to carry on the current momentum of the economy, especially in light of the global economic crisis.

However, Lacson said that the change in Constitution at this time would give a negative vibe and turn off foreign investors, thus, disrupting the country’s economic activity.

“Executing change in the Constitution is good especially if it is to amend certain laws that are no longer attuned to the present economic needs of the country,” Lacson noted.

He acknowledged the need for a systemic change that is vital if the Philippines is to grow at a sustained pace and achieve long-term stability.

He said changes in the Constitution should focus on the economic provisions for the Philippines to move forward, create more jobs, alleviate poverty, and face global competition.

Lacson emphasized that pushing for charter change before the 2010 elections is divisive and would only cause political unrest as it gives the perception that the current administration is using this for term extension. This political instability would drive away potential investments.

“We must show the world how serious we are in positioning the country for growth and stability,” he added. –Ma. Elisa P. Osorio (The Philippine Star)