VP proposes five ways to ease poverty

from the Inquirer

By Cynthia Balana

MANILA, Philippines -- Vice President Noli de Castro has proposed a five-point strategy to remove the country from economic and social uncertainties.

During the Philippine Development Forum (PDF) in Pampanga recently, De Castro said the truth behind the Philippine economic and social condition was "not in black and white but in shades of gray."

Among the first things to be done, he said, was to ask development planners to refocus some of the country's programs away from welfare activities and toward sustainable income generation.

"While welfare-type programs are effective in addressing short-term problems, we could not rely on them to provide the building blocks for long-run improvement in the living conditions of the poor," he said.

Instituting mechanisms to address the reality of globalization and its impact on food prices was also necessary.

De Castro explained that in 2007, world prices were up by 75 percent from 2000. Since food is the biggest item in the consumption basket of the poor, he said, any increase in food prices will surely affect their standard of living.

A third proposal involved preserving the country's economic gains and ensuring there is no backsliding.

De Castro noted that in the previous PDF, the improvements in the local economy were highlighted due to the strong fiscal performance. He said reforms in revenue generation and government expenditures have been instrumental in promoting macroeconomic stability.

"We have passed the first hurdle. Let us not be lulled into complacency in managing our fiscal sector," he said.

De Castro also called for greater accountability and transparency in governance, including a new procurement law and government accounting system to be adopted by all development agencies.

Lastly, De Castro called on development planners to work meaningfully with all sectors to strengthen their commitment to eradicate poverty and pursue genuine development.

In this regard, he called for adherence to the Paris Declaration on aid effectiveness adopted in 2005.

He said the declaration stressed the need for “ownership” by the government of development projects; “alignment” of the country's systems and procedures; and “harmonization” of the work of development agencies in support of the country's priorities.

"The Philippines has been a strong proponent of the principles of the said Paris Declaration. The Philippine Development Forum clearly proves this," De Castro said.

"With the Philippine Development Plan as the platform to harmonize and coordinate efforts to address key challenges and support shared priorities among government, development agencies, civil society, and the business sector, we actually see the principles and commitments in the Paris Declaration put into best practice," he added.