Overseas Filipino Workers
(OFW) and other Philippine News
News Articles
> SAIPAN:
PINOY WORKER PLEADS GUILTY TO GIRLFRIEND'S MURDER
> COLUMN: IF YOU WANT
TO LEAD THE PEOPLE, SHOW US A PLAN FOR OUR COUNTRY'S FUTURE
> CONSTITUTIONAL
REFORM: A LONG-DISTANCE RUN OR A HUNDRED-METER DASH?
> 1st OF SERIES ARTICLES:
THE IDEAL PLATFORM OF GOVERNMENT
> DOLE REPORT: JOBLESS
YOUTHS REACH 2.5 MILLION
> OFW REMITTANCES
UP 4.8% TO $6.9-BILLION
> READERS' VIEW OF
AN ECONOMY IN DISREPAIR
> THE GOOD NEWS:
DOLLAR EARNINGS FROM EXPORT ZONES RISE BY 24 PERCENTT
SAIPAN: PINOY WORKER PLEADS GUILTY
TO GIRLFRIEND'S MURDER
SAIPAN, NORTHERN MARIANAS, January 10, 2004 (STAR) By Ulysses Torres
Sabuco - A 38-year-old Filipino construction worker pleaded guilty
this week to the bloody murder of his Filipina girlfriend, a case
that outraged this small Pacific island community.
Jealousy prompted Larry Aguilar to attack Leonor Miranda, a
38-year-old mother of three, in front of her six-year-old daughter
with an air
rifle and a machete in their home nearly five months ago.
Clad in a jail-issue orange jumpsuit and escorted by a police
officer, a tearful Aguilar changed his plea to guilty in the first
degree
murder charge — a capital offense that carries a maximum penalty
of life
imprisonment — last Wednesday in exchange for a lighter sentence.
The Attorney General’s Office likewise agreed to recommend
the
dismissal of the other charges in exchange for the plea bargain.
Aguilar is also charged with second degree murder, aggravated assault
and battery, two counts of assault with a dangerous weapon, assault
and
battery, assault, and two counts of disturbing the peace.
Chief Public Defender Masood Karimipour, who represented Aguilar,
signed the plea agreement with Assistant Attorney General Philip Tydingco,
who represented the Northern Marianas Commonwealth government.
Commonwealth Superior Court judge Mona V. Manglona set the sentencing
for April 7. Under the plea bargain, Aguilar could get between 20
and
50 years’ imprisonment.
Only twenty minutes by air from Guam, Saipan is part of the small
Northern Marianas island group in the Pacific some 1,500 kilometers
east
of the Philippines. It is home to some 35,000 Filipino expatriate
workers who comprise half of the local population.
Seeking greener pastures, Miranda left her two children with her
parents in her native San Fernando, Pampanga, about 10 years ago for
this
US territory.
Prior to her death, Miranda was leaving Aguilar for a former
boyfriend, who fathered her six-year-old daughter there, according
to court
records.The ex-boyfriend, a hotel owner there, initially provided
child
support. When the support stopped, Miranda sought court action.
The businessman said he was willing to provide child support,
including for Miranda’s two children in the Philippines, if
she separated from
Aguilar.
Miranda discussed the matter with Aguilar and had agreed that she
would move out.
However, on the evening of July 14, after a drink with neighbors,
Aguilar attacked Miranda in a fit of drunken rage inside their apartment
in the island’s San Jose district. Miranda had just moved her
belongings
to another apartment that day.
Miranda’s sister, Maria Fe, 35, who was living in the same
apartment
building, heard screams and ran out to find her sister bleeding
profusely from her left wrist — her hand nearly severed.
A shaken Miranda told her that Aguilar tried to kill her. Her
daughter, terrified, was screaming "Help my mom! Help my mom!"
While her boyfriend helped her sister get medical attention, an
enraged Maria Fe went to Miranda’s apartment, found Aguilar
standing beside
the couch and began pummeling him with her fists.
Aguilar, apparently dazed, was surprised to see her and he fled
in a
pickup truck. Police found him hiding in an abandoned shack in a remote
area two days later.
Maria Fe told the court that Aguilar found Miranda and her daughter
asleep on the couch in the living room.
After an argument, Aguilar then dragged Miranda by the hair to the
bedroom, where he clubbed her with an air rifle, shot her in the head
and
then attacked her with a machete. Police investigators later found
strands of hair from the victim on the floor.
Somehow Miranda managed to run out of the room and reach for a
telephone to dial the 911 emergency hotline, investigators said, but
Aguilar
nearly chopped off her left hand. Police found bloodstains on the
telephone and in the bedroom.
The case drew public condemnation because Miranda was brutally
attacked in full view of her young daughter.
Narrating her niece’s account, Maria Fe said the child was
startled
awake by an argument between her mother and Aguilar. She then saw
her
screaming mother dragged by the hair into the bedroom.
There she saw her clubbed with a rifle and shot in the head. The
child then "closed her eyes" when she saw Aguilar strike
her mother in the
back of her left shoulder with a machete. Maria Fe said her niece
was
shaking in fear as she narrated the incident.
Police said they received a "call of a disturbance" at
around 11:30
p.m. and immediately responded to find the place swarming with
onlookers.
Miranda died shortly in the hospital. An autopsy performed by Dr.
Aurelio Espinola showed that she bled to death because of her nearly
severed hand.
TOP
COLUMN: IF YOU WANT TO LEAD THE PEOPLE, SHOW
US A PLAN FOR OUR COUNTRY'S FUTURE
MANILA, January 10, 2004 (STAR) FIRST PERSON By Alex Magno - Economic
agenda: It is easy to be dazzled by all the acrobatics going on: the
somersaulting across political fences.
There is so much noise about the treachery of turncoats, the
brazenness of opportunists and the unscrupulousness of power players.
There is so much mock amazement and self-righteous indignation about
something
that is not new at all: the immense propensity of politicians to seek
the most convenient alliances in order to guarantee victory at the
polls.
Let’s hope the contrived noises – made mostly for political
effect –
dies down soon enough. There are truly important issues on which we
want to see the candidates taking clear positions. These are
life-and-death issues, they spell progress or regression for our community.
Soon enough, we should interrogate the candidates on things that
affect our own wellbeing, the capacity for prosperity of the community
we
share. There are questions that are painful to answer either way –
and
we hope that these questions will not be kept in the closets.
What should we do with the foreign debt, now larger than our GDP?
If we continue servicing the debt in the same terms as we now do,
it
will consume a large portion of the national budget. If we refuse
to
service the debt, our credit rating will fall through the floor, the
exchange rate could shoot through the ceiling and we could face fatal
financing problems.
What do we do with the chronic fiscal deficit that is now a
significant portion of our GDP?
If we impose new taxes, the people will rebel. If we trim government
to cut expenses, the bureaucrats will rebel. If we cut government
social services, there will be blood in the streets.
What do with do with the yawning infrastructure gap that discourages
investments and raises the costs of production and distribution beyond
the means of our own consumers?
The Philippines invests 3 percent of its GDP
on new facilities – the
lowest in the region. Thailand invests 6 percent on new
infrastructures. Each year, Thailand charges ahead of us. As things
stand, it is
estimated that our infrastructures are 20 years behind Thailand’s.
How can
we compete?
What do we do with the impending power shortages that threaten to
plunge our economy into the same crippling darkness we experienced
in the
late eighties?
Investors do not want to come in because our consumers do not want
to
pay for the real costs of power. Government will lose political points
if it raises power rates to make the market attractive to investments.
If nothing happens, power shortages will set in.
The same is true for other direly needed infrastructure such as
tollways. For as long as tolls remain politicized, no one will dare
invest
in our progress.
What do we do with the impending fresh water shortage?
If we raise water rates, people will riot in the streets. If we
encourage shifts in our agriculture from water-intensive crops such
as rice,
the farmers will resist.
What will we do with our international commitments to open markets
and encourage trade?
If we turn inwards and renege on our market opening commitments,
our
economy will stagnate and our people will be poorer. If we continue
on
with our commitments, weak sections of our economy will be doomed.
What do we do with our high unemployment?
If we relax the minimum wage so that more people could be employed,
the unions will go on a rampage. If we insist on a "living wage",
a
Filipino worker producing the same thing as a Chinese worker does
will be
paid five times more. Capital will migrate to China; our workers will
migrate to Saudi Arabia.
These are only a few of the questions that need to be asked of people
who want to lead us. I need not go further. I think the point has
been
made: on the key questions regarding our development strategy and
economic agenda, there are now easy answers.
This is obviously the reason why most of the candidates are shying
away from laying down a clear and detailed economic program of
government. They would rather enthrall us with motherhood statements
promising "hope" for the nation or indulge in the unfounded
spin about "character."
It is easy to dwell on things where there is general agreement:
the
need to peace and order in our communities, the desirability of clean
and transparent government and a boundless love for the poor. Politicians
have done that since the dawn of democratic choice.
But today, we find our nation on slippery slopes. One major policy
error and we slide into the abyss. A major failure in governance and
investor confidence evaporates. One stupid utterance and there will
be
massive speculation against our currency.
We must demand from our candidates a plan.
Pray tell, if you want to lead our people, do you have a roadmap
to
the future?
Granted, it is more interesting to see mudslingers do their thing.
It
is immensely more entertaining to dwell of scandals and imagine
conspiracies of every sort.
But if we allow ourselves to be so entertained, we might lose sight
of the real value of elections: they are occasions for a political
community to come to a consensus about what we want to do together.
That consensus will enable leaders, whoever they might be, to take
painful but ultimately beneficial decisions. That consensus will
encourage acceptance of policies that will bring us to a more secure
future.
Without that consensus, our leaders, whoever they might be, will
be
constantly haunted by whimsical public support, contested legitimacy
and
endless turbulence. Without that consensus, we will not have decisive
leaders, regardless of who those leaders might be.
Which is why we should demand from those who want to lead us: show
us
the plan.
Let’s agree on something, not just somebody. If we do so,
our future
might become more manageable regardless of who that somebody might
be.
TOP
CONSTITUTIONAL REFORM: A LONG-DISTANCE RUN
OR A HUNDRED-METER DASH?
MANILA, January 10, 2004 (STAR) FROM A DISTANCE By Carmen N. Pedrosa
- Is constitutional reform a long- distance run or a hundred-meter
dash? It is both. We have been running since the First Republic. The
roots
of our drive for a parliamentary system go back to heroic days when
our
European-educated forefathers tried to cobble a government based on
their experience and inclination. I suspect American colonizers were
too
deep in competition with Europe to relinquish an obvious point to
their
Spanish predecessors. At the time America had already resolved to
outdo
Europe as a world power. The new colonizers understandably wanted
a
country made in their image.
To understand today’s drive for parliamentary system we should
go
back to those roots. From that point of view, it is a long-distance
run.
We’ve been running ever since, but some kept the light burning
that one
day we would accomplish what our forefathers only dreamed about –
our
own government and our chosen system rather than the wish of a
colonizer. The names of illustrious men have time and again been associated
with this desire – Claro M. Recto, Felipe Calderon, Raul Manglapus,
among
others. Others tell me the 1987 Constitutional Commission was working
up
to a parliamentary system but lost by one vote at decision time. So
we
have the hybrid situation of a multiparty system better suited to
a
Parliament than a presidential system. At this point, I might add
that all
of the countries in Europe have parliamentary government. With a few
exceptions, so is it also in Asia.
From the point of view of the present Congress, when we are so close
to fulfilling a dream then it is and should be a hundred-meter dash.
We
may never have the same opportunity again. Constitutional reformists
worked closely with the House led by Speaker Jose de Venecia, because
he
and 186 congressmen/women were in favor of bringing the reforms in
the
fastest and least expensive way. A constituent assembly would have
done
that. With a convention in the offing it would be good if this group
of
eminent persons, because they are not politicians, should be appointed
to the convention. Senators resisted and refused cooperation because
"they want a convention". So now the House has capitulated
to a
convention. I wonder what the naysayers will say this time? Critics
follow a
pattern since 1935. I am surprised nationalists who claim love of
country
want to keep the status quo that has put us at the bottom of the Asian
league of countries.
The question boils down to whether we retain
a system designed to
elect persons at large with a generally apolitical and ignorant
electorate. That is the sure formula for putting showbiz personalities
in charge
of the country. Our elections are personality contests, not of
programs. I am sorry but reports that FPJ is being tutored
by UP professors in
preparation for the presidency is a joke. Remember how far Erap’s
business advisory group of top economists and businessmen went. It
did not
solve the problem. Will a man like FPJ with so little knowledge be
able
to discriminate between good and bad advice?
We are fighting against time with a burgeoning population needing
jobs, homes, education, medical care. If we cannot have capable leaders
under the present system, then we must look to another direction for
a
solution. How can we have competent people to govern our country?
The
answer is to restructure our politics. A parliamentary system will
mean,
whether for national or local authority, voters are close enough to
a
candidate to be able to judge him or her for their qualities. An
incumbent should be judged for what he has done for his constituency
and if a
new aspirant, what he can do. A presidential candidate elected at
large
has no meaning. A parliamentary system is structured into definable
constituencies. Members of parliament answer to a specific community,
as a
governor told me, "if they do not perform they can throw stones
at his
house, if necessary." Likewise a prime minister is immediately
answerable to his constituency in Parliament. Only an ignoramus will
equate
Congress in a presidential form and a Parliament in a parliamentary
system. They are not the same.
What is better – actors who do not know
anything about governance
wanting to become presidents or a proven good manager of the House
aspiring to be prime minister? Why are we unable to judge so
obvious a fact?
We cannot even see with hindsight that orchestrated virulent press
attacks on JDV as a trapo blinded so many from the incoming tragedy
of an
Erap presidency. They told us then that Erap would learn, that he
will
have the best advisers. Ay naku. We shift to parliamentary because
that
is the only way we can avoid disaster for our country, not because,
JDV
can become prime minister. Indeed all those who want to become prime
minister should vie in Parliament, among people who are most aware
of the
capabilities of candidates, Fernando Poe, Jr. included. If we do not
even hear him in a presidential contest, what about in a parliament
where
he must defend his program of government everyday?
The future of peace. A book weighing two kilos on The Future of
Peace
in the 21st Century was sent to me during the holidays by James R.
Mancham, KBE, founding president of Seychelles. The book is about
war and
peace – from international conflicts to terrorist activities
and
published on the 100th anniversary of the Nobel Peace Prize. An introduction
was written by Oscar Arias, president of Costa Rica (1986-1990) who
was
himself a Nobel Peace Laureate and the preface by Jehan Sadat, widow
of
Egypt’s Anwar Sadat. Among the essays in the book are: "Why
War – A
letter to Albert Einstein" by Sigmund Freud, "Perpetual
Peace" by Immanuel
Kant, "Peace and Jihad in Moslem History" by Majid Khadduri,"
The
Realities of War" by Carl von Clausewitz. James Mancham’s
contribution is
"If you plant a mango seed, you will get a mango tree."
Third Eurasian media forum in Kazakhstan. I was reading about Halford
Mackinder’s paper in 1904 before the Royal Geographical Society
in
London on ‘The Geographical Pivot of History when an invitation
came from
Kazakhstan. Mackinder argued Central Asia held the key to the control
of
global events. "Whoever held that region, stretching roughly
from the
oil-rich Caspian Sea through Afghanistan to western China would be
able
to control the entire Eurasian landmass." President Nursultan
Nazarbayeva will open the confab. Topics are: The Changing Political
and
Economic Trends in Asia, The Influence of China, The isolation of
North Korea.
It will provide a forum to debate how the media can contribute to
public understanding of East-West and global questions. Some 300 invited
delegates from 40 countries attended the conference last year.
* * *
E:mail: cpedrosa@edsamail.com.ph
TOP
1st OF SERIES ARTICLES: THE IDEAL PLATFORM OF
GOVERNMENT
MANILA, January 12, 2004 (STAR) By Atty. Romeo G. Roxas - First
part: In this season of political campaign for the May 2004 elections
it is
apparent that personalities have taken precedence over platforms,
qualifications and issues. Popularity and mass
appeal are the overwhelming
criteria for presenting oneself as a candidate before the people.
But as
important as the candidates’ attributes or lack of it, is his
or her
plan of governance should he or she win. A wise and discerning electorate
must scrutinize the party’s and the candidate’s platform
of government.
This writer, though not a candidate himself, wishes to forward and
present before the people a doable platform of government that, if
followed, will surely lead the country through the road of economic
progress
for the next six years While most, if not all, platforms that will
be
presented to the people in this campaign will invariably include the
usual motherhood statements and rosy promises that the people hear
every
election time but which are not implemented when the party or candidate
comes into power, the vision for governance here presented is no empty
promise as it contains not just the program of what is to be done
but,
more importantly, of how it is to be accomplished. This platform is
doable precisely because it includes the mechanism to finance the
program,
which is the most vital component of any project, if it is to be viable
at all.
By way of synthesis, an ideal platform of
government must have the
following program and component: job for the jobless; land for the
landless; home for the homeless; food security; access to quality
education;
affordable health care; environmental protection and enhancement;
development of all infrastructure and utilities all over the country;
development of new master-planned towns and cities; maintenance of
peace and order; and the creation of a favorable economic environment
for
Filipino companies and businessmen to thrive, prosper and grow.
Jobs For The Jobless/Access To Quality Education
A government is truly successful only if it has created the most
favorable economic environment whereby all able-bodied citizens have
jobs.
In other words, a situation of full-employment.
In order to create jobs, government in partnership with the private
sector must embark on a massive construction and development of all
the
infrastructure and utilities all over the country. The Philippines
as
yet being largely undeveloped in the countryside, it is essential
that
we build more roads, highways, bridges, seaports, airports, and a
mass
transit system to interconnect the entire country through land, sea
and
air and to be able to efficiently move goods and people anywhere in
the
archipelago. As critical as well is the construction of schools,
hospitals, markets, government buildings and the establishment of
adequate
water, power and telecommunications facilities.
These projects and undertakings will naturally produce tremendous
jobs and employment requirements that our citizenry and labor force
can
readily supply. Perforce, our labor force must be equipped with the
skills and technical knowledge to do the job properly.
In this regard, government should see to it that our people are
adequately trained and skilled in their respective lines of discipline.
Corollary thereto, our educational system, including
that of adult
education, should be formed in such a manner that everybody shall
have ready
access to quality education through a "study-now pay-later"
program.
Under this scheme everyone can choose his dream profession, acquire
the
knowledge and skills thereon through the "study-now pay-later"
program,
and then subsequently pay-off his educational expenses as he becomes
gainfully employed.
Then can we truly have a literate and educated citizenry with no
one
being deprived of quality education and training by reason of poverty.
Land For The Landless/Home For The Homeless
In a country such as ours where there is so much idle and
unproductive public land, it is a wonder that there are so many squatters
and
people with neither land nor homes of their own. A multitude of informal
settlers congest themselves in the urban centers yet there is so much
public land in the countryside waiting to be worked on and be made
productive.
A vital component, then, of an ideal platform of government is a
program of "land for the landless" and "home for the
homeless". By this we
do not mean the present agrarian reform program where private land
is
taken by government and distributed to the farmers, while the landowners
are paid only in bonds of 20-year maturity such that he cannot even
turn around and invest in vital businesses. The "land for the
landless"
program we are espousing is for the idle, public lands in the countryside
which we have so much of to be sold at nominal prices and at a 30-year
long-term period to the mass of our landless brothers and sisters
so
that they can finally have a patch of land of their own which they
can
make productive and on which they can build their own homes, again
through government financing on a long-term, low-interest credit basis.
This way, government is able to reverse urban
migration by attracting
the squatters and informal settlers in the congested metropolis and
returning them to the countryside where they can now live and work
on
their own land.
Next week’s article will discuss the other essential components
of
the master-planned platform of government as well as its most vital
component, that is, financing.
You may write your comments / suggestions at 15/F Equitable Bank
Tower, Paseo de Roxas, Makati City or through e-mail at HYPERLINK
"mailto:rgroxas@lawyer.com" rgroxas@lawyer.com)
(Editor’s note: Atty. Roxas is writing a limited series of
articles
dealing with financial matters and other important business topics.
He
is available for speaking engagements on the subject matter of his
articles.)
TOP
DOLE REPORT: JOBLESS YOUTHS REACH 2.5 MILLION
MANILA, January 12, 2004 (STAR) By Mayen Jaymalin - The number of
jobless Filipino youths has reached 2.5 million and will likely increase
this year, the Department of Labor and Employment (DOLE) reported
yesterday.
Even as DOLE admitted the rising unemployment rate, Senate President
Franklin Drilon called on the government to develop a master plan
that
would generate more jobs for the swelling ranks of the unemployed.
Drilon said DOLE must come up with a comprehensive plan that would
arrest the increasing number of jobless Filipinos due to the decrease
in
the availability of overseas jobs.
A study undertaken by the DOLE-Bureau of Labor and Employment
Statistics (BLES) showed that the number of unemployed Filipino youths
has been fast increasing for the past five years.
Results of the study indicated that jobless youths belonging to the
15
to 24 age group rose from 2.01 million in 1998 to 2.5 million in 2002.
Most or three out of five unemployed youths were males living in
urban
areas. Half of them have completed high school while those who had
completed college education comprise 39.5 percent of the group.
The high youth unemployment was attributed to their being unqualified
for the job market owing to their lack of skills or training while
the
others are simply too lazy to work.
Based on the research, only one-third of the total number of unemployed
youths actually engaged in job hunting despite the greater number
of
respondents who signified their interest to look for a job.
Labor officials explained the disparity was due to the inability
of
most youths to fit the available jobs due to lack of requirements
or being
unskilled for a particular type of work.
Officials cited the results of the recently concluded "Kasama
ka
Kabataan" jobs fair which revealed more than half of the applicants
were not
qualified for the job openings.
The studies also show that the length of time spent by young job
seekers went up from 7.2 weeks in 1998 to 8.5 weeks in 2000. The duration
of
job search extends longer as the applicants grow older.
The same study revealed that less than five percent of the unemployed
youths sought government assistance despite DOLE’s efforts to
help them
through public employment agencies.
The most common method is to directly approach prospective employers
while others rely on tips from relatives or friends for job openings,
whether domestic or abroad.
Drilon said a recent report made by the Commission on Filipinos
Overseas (CFO) revealed that the number of registered Filipino migrant
workers
declined by eight percent to 31,543 in the first six months last year
compared to 129, 022 in the same period in 2002.
"What is more alarming is that the emigrants belonging to the
class of
professionals, including technical workers, have declined by 18.7
percent from 4,967 to 4,038 during the same period. The professional
group
includes nurses, teachers, computer programmers and engineers,"
Drilon
said.
In the face of these developments showing a decline in the number
of
overseas jobs available to Filipinos, Drilon stressed DOLE and other
related government agencies should now draw up contingency plans to
provide
more jobs for the unemployed in our country.
"If this trend continues, we would expect our unemployment rate,
which
currently stands at 13 percent, to swell further. It would also mean
less income for the country from overseas remittances," he said.
Drilon sees the continuing trend in the future citing the spate of
violence rocking the Middle East region, particularly in Iraq and
Israel,
as well as the growing tension in Saudi Arabia caused by recent
terrorist attacks.
"The exodus of manufacturing industries from industrialized
countries
like the United States, Japan and the European Union to China, where
there is a large pool of unemployed workers from the rural areas,
also
threatens the traditional sources of overseas jobs for Filipinos,"
Drilon
said.
The Senate leader said that government could step up its support
for
the establishment of small and medium industries to absorb more workers.
He said this has been done in Thailand where its government was able
to
generate more jobs by providing financial and credit support to small
and medium scale industries.
"The government should start planning seriously to create more
domestic
jobs for our workers in coordination with the private sector. If we
don’t want unemployment to worsen and possibly threaten to further
destabilize state and society in our country," Drilon said.
Drilon also urged the government to step up efforts to attract more
foreign investments in manufacturing industries through joint venture
to
open up more employment opportunities.
"However, a long term solution would be the adoption of an
industrialization program that would modernize the economy through
mechanization and the employment of high technology in industrial
production. At any rate, we must do some hard thinking to cope with
a serious social problem that this would bring," Drilon said.
-With Jose Rodel Clapano
OFW REMITTANCES UP 4.8% TO $6.9-BILLION
MANILA, January 16, 2004 (STAR) By Des Ferriols - Dollar
remittances
from overseas Filipino workers (OFWs) went up by 4.8 percent to $6.9
billion in 2003 from $6.6 billion in 2002, the Bangko Sentral ng
Pilipinas (BSP) reported yesterday.
While last year’s figure was slightly higher than the 2002
remittances, it was lower than the expected inflows of $7.6 billion.
The BSP said the latest weakening of the peso against the dollar
encouraged higher remittances from OFWs but this was offset by the
decline
in the number of deployed workers abroad which had raised alarm among
labor and finance officials since the country depends heavily on Overseas
Filipino Workers remittances.
According to the BSP, the number of deployed land-based workers
declined by 6.7 percent to 600,620 workers in 2003.
The number of sea-based workers, on the other hand, went up 2.6
percent to nearly 210,000 in 2003.
The BSP said foreign portfolio investments were also up in 2003,
rising by 29 percent to $1.644 billion from $1.227 billion in 2002.
BSP data showed that one transaction propelled the country’s
net
foreign portfolio investment inflow in 2003 to a three-fold increase
over
the previous year, reaching $675.8 million.
According to the BSP, the Globe-Deutsche Telekom transaction booked
sometime in November 2003 was the main reason for the remarkable
performance of net portfolio investments which translated to a significant
increase over the $211.7 million recorded in 2002.
Outflows, however, amounted to $968.4 million, nearly wiping out
the
inflows for the whole year. This, however, was already an improvement
compared to outflows in 2002 which amounted to $1.065 billion.
The foreign portfolio inflows was propped up mainly by the net inflow
in November which reached $147.7 million, the highest monthly total
for
the year, due primarily to sizable inflows for settlement of block
purchases of Globe Telecom shares.
Positive factors during the month included expectations of higher
third quarter corporate earnings, the acceleration in export growth
in
September, the lower than-programmed budget deficit in October, and
the
higher-than-expected GDP growth.
TOP
READERS' VIEW OF AN ECONOMY IN DISREPAIR
MANILA, January 16, 2004 (STAR) BIZLINKS By Rey Gamboa - Time out
today to give the floor to some of our more expressive and inspired
readers. We picked out two of them, with excerpts of their letters
in
succeeding paragraphs, talking about various ways and means to help
repair
and save the economy. Here goes.
Rico Xeres of Greenhills writes: "The Philippines is one of
the two
nations in Asia that have stagnated during the last 30 years, the
other
(being) Burma (Myanmar). The Philippines was then second only to Japan
as the most progressive country in Asia, with the trappings of a modern
industrial state. Burma also had the makings for rapid progress.
"The other Asian countries were dirt poor at that time, (and)
countries like China and India even had occasional famines where millions
died. Now many Asian countries have rapidly progressed leaving the
Philippines and Burma behind."
Xeres then offers a reason: "The policies undertaken by the
so-called
dragon economies of South Korea, Taiwan, Singapore and Hong Kong were
very simple. These countries used ... whatever little taxes ...
productively by concentrating them on education, infrastructure, and
peace and
order.
"There are many theories why the Philippines
stagnated, but the main
reasons are very simple: taxes were not spent on something productive
... and instead were wasted on building up a big political establishment
and huge and bloated bureaucracy which is very unproductive.
"We have too many governors, mayors, councilors, etc. We also
have a
1.8-million strong bureaucracy, which is one of the largest in the
world today. Instead of reducing the size of our political establishment,
we are still building it up with the addition of party list
representatives in Congress.
Becoming A Feudal State
It is absolutely criminal that we are wasting our budget on
politicians and bureaucrats to the detriment of the rest of the 80
million
Filipinos. The Philippines has become a feudal state. It used to have
only
less than 30 provinces but the politicians keep on dividing the country
.... Cotabato, which used to be one province, has been split into
five
provinces.
"The country with a population of 80 million has 79 provinces.
(This
is) the highest number of provinces (for a country) in the world,
with
one governor for every million people. India, with a population of
1.1
billion, has only 28 states, with one governor for every 40 million
people. China, with an even bigger population of 1.3 billion, has
only 23
provinces with one governor for every 56 million people.
"Furthermore, the budget of the provincial
governors, mayors and
congressmen do not come from taxes collected from their provinces
or
districts. The money for their budgets comes from the National Government,
and most of these come from taxes collected from Metro Manila. Hence,
(politicians) have little interest in the development of their province.
"In fact, it is to the interest of political dynasties to keep
their
respective provinces poor (since) a progressive province could spawn
prosperous businessmen who could be their political rivals during
elections.
"Provinces, cities and towns should be consolidated, (and)
political
offices should be cut to 10 percent of the present number of political
offices. The huge bureaucracy should be trimmed and many functions
of
government should be privatized. A Federal government with eight states
would be ideal for the Philippines."
Debt Bomb Ready To Explode
Xeres continues: "What is alarming is that we are incurring
a huge
budget deficit mainly financed by foreign borrowings to support the
indecently huge CDF (countryside development fund) of our ... bloated
bureaucracy. We have only perhaps three to four years before this
debt bomb
explodes and causes a total economic collapse.
"Our debt is now equivalent to 70 percent of our GDP (gross
domestic
product) and soon will be unsustainable. This is the highest in the
world in proportion to GDP; already 30 percent of our budget goes
to the
payment of interest alone. We cannot sustain this indefinitely.
"Few people ... understand the implication
of a total economic
collapse. This means the government will be unable to pay its debts,
causing
many of our banks to close since a big part of their resources are
invested in government Treasury bills. They will not be able to refund
the
money of their depositors.
"In such a case, even some of the rich will go bankrupt and
the
middle class could be wiped out. This has already happened in Argentina
early this year when the government defaulted on its debts causing
the
economy to collapse. People were not able to withdraw their funds
...
causing instant poverty to a big portion of the population."
Increase Taxation!
Another reader, Brian Lewis of Paranaque, has this to say: "Given
the
extremely poor situation regarding investment in infrastructure in
the
Philippines and the deteriorating level of resources devoted to
education, it looks as if the Philippines should
endeavor to raise taxes on
those who can pay.
"... government income needs to be raised by about P300 billion
to be
on par with tax levels in many other countries. The right political
direction might be to increase taxation every year over 10 years ....
"An increase in taxation must translate ... almost immediately
to new
schools, the provision of free milk and food to malnourished children,
and above all on books with which to expand young imaginations. It
is
no good raising taxes that apparently leave no immediate identifiable
mark on the daily lives of humble citizens and their children.
"So whatever the future holds for the Philippine economy, it
is quite
clear that more capital has to be invested in infrastructure, in
schools, (and) in maintaining and improving existing structures ...the
Philippine government has no real choice but to move in the direction
of
increasing taxation and reducing corruption – slowly and surely
over the
next 10 years. There is always an alternative – revolution!"
Need more be said?
TOP
THE GOOD NEWS: DOLLAR EARNINGS FROM EXPORT
ZONES RISE BY 24 PERCENT
MALACANANG, January 17, 2004 (OPS) The Philippines’ dollar
earnings
from export zones went up by 23.39 percent to $25.086 billion in the
first 11 months of 2003 compared with only $20.335 billion for the
same
period in 2002.
Philippine Export Zone Authority (PEZA) director general Lilia B.
de
Lima said that electronic companies located in different PEZA economic
zones contributed to the bulk of export receipts from January to
November last year.
De Lima said that the local electronics industry disputed earlier
export figures for January to November 2003 indicating a drop in
electronic exports.
Based on PEZA records, de Lima pointed out, it is evident that the
electronic sector has started to make a rebound and that prospects
for
continued growth look brighter than ever.
The electronics industry is forecast to grow by at least 10 percent
this year due to an expected rise in global demand.
The government said that the projected growth rate is significantly
higher than the five percent posted last year when shipments stood
at
$25.47 billion.
Of the PEZA economic zones, four are public economic zones, which
were able to export $6.380 billion worth of goods during the period.
These
are the Bataan Ecozone, the Baguio Ecozone, the Mactan Ecozone and
the
Cavite Ecozone.
Likewise, the value of information technology (IT) investments
approved by the PEZA reached P2.69 billion during the period spanning
January
to August 2003, or nearly three times the P822 million posted in 2002.
The continued surge of IT investments is due mainly to the investment
perks offered by the PEZA that include:
four to eight years of income tax holiday (ITH);
five percent tax rate discount after the lapse of ITH period;
tax and duty exemption on imported capital equipment;
exemption from wharfage dues;
and unrestricted employment of foreign nationals
The Department of Trade and Industry (DTI) said that the Philippines,
next to India, is a major source of IT services in Asia for the US
and Europe.
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