SUGGESTIONS: the philippine economy!!!!

[jem]

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bumaba nalang ang nasa itaas at aangat ang nasa ibaba..

[Wind Shear]

Nuke 'em.

[JoRed]

[img width=500 height=349]http://www.tribune.net.ph/pics/edi01.jpg[/img]

Sunday, 07 24, 2005


A resolution of the current political crisis, without doubt, is urgent for Filipinos to start crossing yet another — the debt crisis which is spawning multifarious problems for the country, only one of which is the fiscal crisis that was worsened by Gloria Arroyo administration's ineptitude in managing the budget.

There is no doubt, however, that tomorrow, with Gloria delivering her state of the nation address, it will all be lollipops and roses she will be painting for the people.

Yet Department of Finance (DoF) data show government debt payments are rising over the years since Mrs. Arroyo grabbed office in 2001 from duly-elected President Joseph Estrada.

Gloria, instead of improving efficiency in government to enhance revenues through tax collections and other means, resorted to massive borrowings to feed, most of the time, excessive expenses.

Gloria's addiction to debt, the quickest of quick fix solutions on government financing, resulted in a vicious cycle of progressively growing borrowings to pay for what is owed and at the same time answer the needs of government.

Since she took over, it would be a rare month that government would be within target.

The Arroyo administration since 2001, when it took office, has borrowed from the domestic and overseas markets a total of P2.076 trillion. An increasing portion of government borrowings is being alloted for debt payments.

In 2001, the government borrowed a total P274.84 billion, P99.6 billion of which was used for debt payments. From then on, the proportion of borrowings to debt payments has escalated. In 2002, borrowings totaled P436.26 billion, P172.1 billion of which went to debt payments.

By 2003, debt payments totaled P243.6 billion against borrowings of P530.4 billion.

Last year, debt servicing took up P340.8 billion of the total P583 billion the government borrowed.

Until June, the government shelled out P143 billion for debt payments out of P252.1 billion in borrowings.

The trend debunks claims of Mrs. Arroyo's economic officials that the debt situation is manageable because debts contracted were mostly of long maturities.

The sheer enormity of the country's P4-trillion debts had been pushing the government to spend more of its resources for debt servicing.

The preferred source of foreign borrowings of the government was the issuance of sovereign bonds, which totaled an equivalent of P148.2 billion last year and P123 billion up until June this year.

Since the government relies heavily on borrowings to also finance its budget shortfall, the need to ramp up borrowings becomes more pronounced.

DoF data showed the government began relying heavily on foreign borrowings to pay for the budget starting in 1998, the last year in former President Fidel Ramos' term. Prior to that year, in 1997, the government even had a financing surplus of P27.1 billion, meaning the government paid out more in debts than loans it acquired.

In 1998, the government had a net financing of P88.9 billion, P181.7 billion in 1999, P186.6 billion in 2000, P175.2 billion in 2001, P264.2 billion in 2002, P286.8 billion in 2003.

The heavy reliance on debts was the effect largely of declining government revenues. As percentage of the gross domestic product, revenue collections have been dropping progressively since 1997.

Reasons for Gloria to leave the seat of power thus go beyond cheating and abuse of her position, if those are not enough.

A more urgent reason is that she has buried the country in debts from which generations of Filipinos will not be able to dig themselves out.

[reklamador]

ok ra ang capitalism kung kontrolado ug dili maglabi ang ka-dalo.

[giver_bert]

GOOD GOVERNANCE is the key towards economic development.. it will simply be a matter of chain reaction which goes either way depending on how the current administration is doing..

actions must also be geared towards gaining confidence of investors in and out of the asian region.. the former paragraph being a major prerequisite..

[riseendreev]

FEDERALISM is the best system this country should ever push thru... a regionalized system for greater devlopment will help philippines in crawling back its ailing economy.. it will lessen its national budgets a hundred folds thus making all significant project to push thru without much intervention from corrupt politicos in the north...

[janvier]

Yah..FEDERALISM is the best...........

[my_pet_monster]

That might work. I think the suggestion for a change in government is a parliamentary-federal though.

One good example of a federal form of gov't is that of the U.S.A.'s. States were formed and acknowledged but all of them recognizes One Amercia. Since they're big a continent, they really have to divide in smaller sectors/States for a better management of concerns.

We're but a city in one State of US', but this could work. Why? For one, the country is an archipelago, composed of islands and islets. We may all be pinoys in nationality but we differ in values and views due to different religion, breeding, and exposure to environment. Our country may be subdivided into three Major States (Luzon, Visayas and Mindanao) or into 9 or whatever since Luzon has Central, North, South etc. same as other major island.

If in case this will be implemented, it might favor those who have similar values and views learned from their hometown. There might be less friction and less rallies which would result to a peaceful and progressive State.

And of course, this "yabangan" mentality that we have in our culture. Expect the "patalbugan". I just hope it wouldn't be a ningas-kugon thing. Whoever becomes the head of each state will surely work hard to prove himself worthy and aim for the betterment of his region and his constituents. He/She wouldn't want to be left behind by his/her counterparts. He/She will be more pressured to work effectively.

In a parliamentary form of government, the people will be more empowered and need not go to the streets anymore if they are not satisfied with their leader. A vote of no confidence will oust its present leader expeditiously. While reforms will be faster implemented since the legislative and executive branch would be working as one body.

[Meganda]

Ang P'nas og na sakit pa, cancer.-----------



hhehhe..for me Alzheimer’s disease..jud..
Alzheimer’s disease leads to the following conditions as well:

Changes in behavior --------after ka daug sa companya hambogero na dayun..
Changes in personality ------ dli na mka masa.. stardom...
Changes in abilities or skills ----daghan mahimong sidelines wid pork barrels and taxes...

ambot na lng ang ekonomiya...

[Bolshoi]

Meganda, compliment lang ni ha'
Beauty lagi na imu avatar, imu na pic? hehehehe