blueprint for a viable philippines

8/14/2019 Blueprint for a Viable Philippines

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DRAFT-07

Blueprint for a Viable Philippines

HIGHLIGHTS

1. The nation is in crisis:

a) The economy is not growing fast enough to meet theneeds of a rapidly multiplying population.

b) On top of this, the economy is extremely vulnerableto external conditions because of its excessivedependence on earnings from overseas workers andon foreign loans and investments.

c) Political stability remains elusive because of mass

poverty and the exclusion of a large number of ourpeople from meaningful participation in the nationslife.

d) Crime and insurgency continue to rise because ofglaring inequalities in life chances andopportunities.

e) The future of our young people is bleak because ofthe deterioration in the quality of public and privateeducation.

f) Unbridled corruption and cynicism are rampantboth in the public and private sectors.

g) The credibility of our electoral process is fastdiminishing because of massive vote buying andelectoral fraud.

h) Our confidence is declining in the ability of thepresent political leadership to lead the country outof the rut it is in.


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i) The government is increasingly unable to makeboth ends meet, as indicated by chronic budgetdeficits.

j) The government is also increasingly unable toservice the public debt without having to take out

new loans.k) There is corruption of the justice system at alllevels.

l) There is an alarming rise in criminality andcriminal syndicates (drugs, kidnap-for-ransom,smuggling, and trafficking of human beings).

m) Public morale is declining as shown by rising ratesof emigration.

n) Armed conflict persists in Mindanao and thecountryside.

o) Morale is low among government employees and

ordinary soldiers.p) Public infrastructure is deteriorating.q) The natural environment is being degraded.r) Our culture suffers from a lack of cohesiveness,

purpose, and vitality.

2. The Blueprint is meant to be a comprehensive andcoherent strategy to address the crisis, arrest publiccynicism, and reverse the rapid decline of the State as aninstrument for achieving the collective goals of the

national community.

3. The Blueprint requires for its realization andimplementation a Strong Developmental State. This Stateis strong not in the sense of being authoritarian orarbitrary, but in the sense of being willful in theenforcement of its laws and resolute in the pursuit of itsprograms. Its principal object is to toughen ourinstitutions and restore public confidence in them, freethem from captivity by vested interests, and enshrine the

rule of law in our society. Equally important, the StrongDevelopmental State aims to establish the conditions forsustained and equitable economic growth, so that privateenterprise may flourish hand in hand with, rather than atthe expense of, the realization of vital social objectives.The Blueprint prioritizes the fulfillment of the peoplesminimum basic needs, the termination of patronage as amode of governance, the curbing of corruption at all


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levels, and the application of the full force of the lawagainst drug and organized crime syndicates, smugglers,land-grabbers and illegal loggers. The Blueprint isinformed by a moral vision of social justice, solidarity,freedom, and peace. It places at the center of its

framework the development of the Filipino people to theirfullest potential, and the responsibility of the State inensuring this.

4. The Blueprint seeks to establish at the grassroots level,as a counterfoil to any authoritarian tendencies thatmight arise from a strong state, the foundations ofdeliberative democracy. Set forth and devised by ProfessorJames Fishkin of Stanford University, it is an idea that astrong democracy is contingent upon informed, active

citizens, and on public judgment rather than publicopinion. (Public judgment is an enlightened opinionarrived at through dialogue, engagement, and theconsideration of multiple perspectives.)

5. Work-in-Progress: The Blueprint for a Viable Philippinesin its present form is merely a first draft and by no meanscomprehensive nor complete. It merely puts forward inbroad strokes the basis of what the proponents perceiveto be the primary steps that can be taken for the country

to survive to enable the citizenry to pull themselves out ofthe deep rut they are now in. It has been observed that allour problems are linked internally and internationally.As such, proposed programs must therefore respond toone central objective: that of taking back the control ofour national resources (natural, manpower, financial,state, etc.) so that we may, with full sovereignty,determine the path of development which will secure thegreatest welfare for the greater number of Filipinos.

6. The Blueprint describes the current situation, offers analternative analysis of our national problems, and, on thebasis of the analysis, outlines a set of responses orapproaches to these problems. The best way to presentthe Blueprints distinctive features is to contrast itsanalysis and recommendations with those offered by thepresent government and/or other conventionalframeworks.


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ANALYSIS AND RECOMMENDATIONS

A. STRUCTURES AND FORMS OF GOVERNMENT

The Situation: The current view tends to treat the shift to theparliamentary and federal system as a cure-all for the nationsills. The change to the parliamentary mode is expected to freelegislation from the gridlock in which it is presently trapped,and to make the President more accountable to other politiciansand more easily replaceable if necessary. The shift to the federalsystem on the other hand is meant to release resource-richregions from the restraints of centralized government, offer a

solution to the Muslim insurgency in Mindanao, and allow thediverse regional communities of the nation enough leeway todefine their respective paths to development.

BLUEPRINT Analysis: The choice of structure and form ofgovernment is secondary to the need for a strong, autonomous,and willful State that can carry out a development program forthe whole country. There is a danger that the decentralization ofpolitical power may just provide powerful regional elites,unchecked by national institutions, the occasion to enlargetheir power base. Given the urgency of our developmental

problems today, it is unwise to weaken State authority at thisjuncture by dispersing its powers.

BLUEPRINT Recommendations: If we are serious aboutchanging our form of government, we should first prepare theground on which the new forms could grow. For example, aneffective parliamentary system requires the participation ofmature political parties that are not dominated by strongpersonalities and dynasties. By promoting and improving theexisting party-list system, we may be able to develop the kind ofpolitical parties we want. A federal system, on the other hand,

demands the prior existence of stable institutions and matureconstituencies at the local level. We should do so even now bydeepening the base of political participation. But mostimportantly, any attempt to design new forms of governmentmust draw its wisdom from the democratic participation of thepeople. All these cannot be merely legislated into existence.Constitutional revision in a time of cynicism may be a fatalmistake.


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B. DEBT

The Situation: The current approach to this problem is tohonor all existing obligations, regardless of how and under what

circumstances they were incurred, in the hope of negotiatingthe best repayment terms possible. These debts are paid bothfrom annual budgetary allocations and from the proceeds ofnew debts incurred by the government.

BLUEPRINT Analysis: The process of securing new loans to payoff old debts reduces our ability to explore new avenues forgrowth. Moreover, allotting a growing portion of the nationalresources just to meet interest and principal payments is nolonger sustainable. It sacrifices the basic needs and well beingof the masses of our people just to satisfy our creditors. This is

slow suicide, and it is immoral.

BLUEPRINT Recommendations: Government will initiate acomprehensive debt audit aimed at uncovering the hiddenhistory of our indebtedness and assigning responsibility for thisnational burden. In line with this, government will investigatethe settlement offraudulent and behest loans, highlighting thecomplicity of international institutions and creditor banks inthe contracting of odious debts as well as the role of localagents (e.g. law firms and government offices). It will form amulti-sectoral panel to re-negotiate official debts with other

governments and multilateral institutions, with the end in viewof securing a minimum 5-year relief from interest payments.This will give us sufficient space in which to grow and attend tothe needs of the very poor. As in the case of private sectorborrowings, issuance of sovereign guarantees for governmentowned and controlled corporations will be discontinued. TheDebt and Risk Management Unit will be strengthened. Theprime objective is to reduce the debt stock and secureadvantageous terms for the government.


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C. PUBLIC FINANCE AND FISCAL CRISIS

The Situation: The existing approach is limited to improvingtax collection, notably by raising and expanding the scope of theValue Added Tax. The main object is to impress the

international credit rating agencies about the countrys abilityto pay its obligations in order to improve the governmentsaccess to foreign credit. This in itself is not a bad idea providedthe larger share of the burden is not borne by those who arealready poor.

BLUEPRINT Analysis: Tax leakage and corruption are themost important constraints to governments ability to improvethe fiscal picture. VAT is the easiest to implement but it isbasically anti-poor. Allotments for social services have alreadybeen cut to the bone and cannot be pared down any further.

The guiding principles must be based on good taxadministration, progressivity, and equity. Revenue generationmust also be guided by sustainable development objectives.Too many fiscal incentives have also resulted in massiveforegone revenues. Large savings can be made if non-performingGOCCs are abolished or merged, and the governmentbureaucracy is streamlined. Successive administrations haveretained non-performing GOCCs as milking cows and asinstruments of political patronage.

BLUEPRINT Recommendations: Protect and increase

expenditures allotted basic social services and social justiceprograms as these benefit the poor and serve as the foundationfor long-term growth. Shift to a simplified, universal andequitable gross taxation system. Shift from specific to advalorem taxes in the case of liquor and cigarettes and petroleumproducts, carefully guarding against clever transfer pricingschemes aimed at avoiding payment of higher taxes. Instead ofthe administration-sponsored VAT bill that was recently passedby Congress, address the leakage problem. This includesarresting the losses of the National Power Corporation (NPC) byjunking the administrations populist policy and renegotiating

NPC contracts with independent power producers (IPPs). Endthe financial hemorrhage of the Metropolitan WaterworksSewerage System (MWSS), which includes immediate drawing ofMaynilads performance bond (amounting to US$120 million).Support the BIRs administrative reforms that address leakage.Broaden the over-all tax base. Explore presumptive taxation.Practice the polluters pay principle by putting in place atargeted petroleum tax targeted at the car-owning middle


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classes and the rich. This can be supplemented by a carbon taxso that dirty power is more heavily taxed. Impose an across-the- board import surcharge which addresses declining BOCrevenues and maximizes revenues from tariff rates that areconsistent with WTO commitments. Rationalize fiscal incentives

and phase out special economic zones that have no backwardor forward links to the domestic economy (while ensuring safetynets for workers to be displaced). Reduce and reform porkbarrel funds including the biggest pork barrel the Presidentsnon-transparent huge discretionary funds.Abolish or mergelosing and heavily subsidized GOCCs. Sell all sequestered orsurrendered assets from the Marcos era. Impose higher taxeson various forms of luxury consumption and real property.Rationalize fiscal incentives. Streamline the governmentbureaucracy. Compel revenue-generating agencies to promptlyremit earnings to the National Treasury.

D. INDUSTRIALIZATION

The Situation: There is no real industrialization strategy ormaster plan to speak of today. The existing economic programis highly dependent on the investments and technologiesbrought in by foreign firms, whose business activities havenegligible linkages to domestic industries.

BLUEPRINT Analysis: The main problem we have is the poortechnological capability and backward product and processtechnologies of our domestic industries. As a result they are notcompetitive in the global market. The processes andtechnologies they use are also highly damaging to theenvironment. We need a National Industrialization Strategy andMaster Plan.

BLUEPRINT Recommendations: Pursue an industrializationstrategy that is synergistically linked to the modernization ofagriculture and the service sectors. From export-processingenclaves that merely exploit cheap labor, the country will shiftto regional and provincial industrial clusters. Foreign directinvestments will be invited to seed or stimulate the growth ofsuch industrial clusters. The main object will be to promote thedevelopment of homegrown but globally competitive industries.The continuous upgrading of human resources and


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technologies to international benchmarks and the developmentof basic capital goods and engineering industries will make thispossible. The strategy will also seek to upgrade mature ortraditional domestic industries (e.g. housing, coco-chemicalindustry, etc) even as the country searches for niche

opportunities (like electric vehicles and biotechnology, maritime,materials, software, pharmaceutical, and mass transportindustries) to which it can leapfrog. The State will prohibitenvironmentally unsound and risky technologies. It willpromote the inherent creativity of Filipinos by encouraging themto think locally and act globally. The key to all these is themobilization of the States enormous regulatory andprocurement powers to promote entrepreneurship and upgradethe technological capabilities of domestic firms.

E. AGRICULTURE

The Situation: Despite the governments claim of relativelyhigh agricultural growth rates, there is no discernible increasein rural jobs and incomes. The rates of unemployment andunderemployment have become worse. Our farmers suffer fromhigh costs of fertilizer (twice the world prices), seeds (muchhigher than Thailand, Vietnam, India, and China), and highpost-harvest losses (much higher than our neighbors). The

Philippines has become a net importer of agricultural goods, instark contrast to the performance of net exporters like China,Indonesia, Malaysia, Thailand and Vietnam. Philippineagriculture trails far behind its ASEAN counterparts in terms ofcomparative yield, production costs, and prices of agriculturalcommodities. Indiscriminate liberalization has threatened thesurvival of our farmers in the rice, corn, poultry, and vegetablessectors.

BLUEPRINT Analysis: The absence of adequate budgetarysupport for agricultural modernization has retarded Philippine

agriculture. Lack of coordination, waste, and inefficiencyhamper the effectiveness of our agricultural research andextension agencies. The lack of dynamism and competitivenessof the countrys agriculture is also due to the continuingdominance of monopolies that control capital formation in thecountryside. The continuing absence of any planning frameworkto integrate and strengthen the various strands of the nations


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agriculture is bound to sink agriculture even further, andconsequently drive more people to the cities.

BLUEPRINT Recommendations: Increase rural folks accessto productive resources. Complete the implementation of the

agrarian reform program, and strengthen land and asset reformby bringing back reformed lands into the circuit ofcommerce. Pump-prime agricultural modernization byincreased investments in irrigation, post-harvest facilities, andother support infrastructure. Insure optimal access to ruralcredit by making available a P300 to P400 billion fund to atleast 5 million of the poorest rural families. These funds will besourced from the full and focused compliance with the existingAgri-Agra Law (PD717), as well as from official long-term softloans. Integrate agro-based industries into a network ofcorporate and cooperative business clusters that will create a

synergy of initiatives from farmer and fisherfolk communities,micro, small and medium enterprises. Reorganize andstrengthen all the agencies and institutions central toagricultural and rural development with a view to making themeffective instruments of rural transformation and agriculturalmodernization. Improve the complementation between theDepartment of Agriculture and the local government units.Strengthen Philippine representation in the World TradeOrganization through regular consultations and joint initiativeswith similarly situated and disadvantaged nations. Expandbilateral trade and technology exchange with other countries.

F. SCIENCE AND TECHNOLOGY

The Situation: While we have an agency called Department ofScience and Technology, this body is in no position toimplement a comprehensive program to upgrade the scientificand technological capacity of the country. Its functions areresidual and auxiliary to the requirements of a development

program dependent on imported technology. The resources atits disposal are marginal and way below UN benchmarks forless developed countries. The promotion of science andtechnology occupies a very low position in the governmentsscale of priorities.


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BLUEPRINT Analysis: The declining productivity of thecountrys industries is directly attributable to the lack of anynational program to upgrade technological capabilities on asustained basis. This situation predisposes locals firms toimport all their technological requirements. There is no way the

country can industrialize and catch up with its neighborswithout a national science and technology development strategyand catch-up plan for technology.

BLUEPRINT Recommendations: Formulate and implement aNational R&D Portfolio and Technology Roadmap aimed atgenerating or acquiring technologies that conform to thenations Industrial Master Plan. Integrate the countrys S&Tsystem and production system within an innovation-driveneconomic development program. Pursue a leapfrogging catch-upstrategy of S&T development aimed at raising the countrys

capabilities to globally competitive levels in selected fields.Develop the countrys S&T resources to minimum UNbenchmarks.

G. TRADE

The Situation: External trade has been the principal driver ofthe economy since the advent of trade liberalization. The era of

import-substitution, which promoted the growth of localmanufacturing, was terminated in favor of an export-orientedpolicy. This policy attained its full realization with the countrysadmission into the World Trade Organization, at a time whenlocal industries and agriculture had been severely emasculatedand rendered unfit to meet the challenge of global competition.Once the Asian continents second most promising economicpower (after Japan), the Philippines has since lagged behindmost of its Asian neighbors.

BLUEPRINT Analysis: Having failed to modernize agriculture

in the years prior to WTO, the Philippines has become a netimporter of agricultural products, perennially unable to produceenough for its own people. The program of export-orientedindustrialization, on the other hand, created not sustainableindustries but import-dependent re-export businesses thatthrived on cheap labor and lavish tax incentives. ThePhilippines is today largely a consumer society that imports itsmost of its requirements and pays for its consumption with the


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earnings of its OFWs. It may register some growth from time totime because of the expansion of the service sector, but this isalmost always a jobless form of growth.

BLUEPRINT Recommendations: Trade policy will be adjusted

to the requirements of the countrys long-term economicgrowth, rather than made to serve as its principaldriver. Commitments to further trade liberalization, whethermultilateral, regional or bilateral, will be frozen pending a fullreview of the impact of indiscriminate trade liberalization on thecountrys economy. Without violating WTO commitments,selectively raise tariffs for industrial and agricultural imports.Adopt urgent measures against dumping and import surgesthat kill local industries. Strengthen the countrys participationin South-South initiatives, especially within the WTO.Strengthen ASEANs function as a mechanism of regional

industrial cooperation and growth. Apply draconian measuresto stop all forms of smuggling. Reduce the cost of doingbusiness in the country by curbing corruption and facilitatingnew investments. Tap the full potential of the domestic marketas a base for a self-sustaining dynamic economy.

H. LABOR AND EMPLOYMENT

The Situation: Given the present state of the economy and thegrowing number of young Filipinos entering the labor forceevery year, the rate of unemployment has steadily gone up. Themost favored response of government to this situation has beento accelerate the export of Filipino labor. Accordingly, the mainfunction of the government has been to locate all types of jobopportunities for them outside of the country, totally obliviousof the perils of cross-cultural employment, the extreme dangersto which our OFWs are exposed, and the social effects on thefamilies they leave behind. Meanwhile, the process of de-industrialization has taken its toll on the domestic labor front in

the form of low wages, job casualization, and the denigration ofthe role of trade unions in both the public and private sectors.

BLUEPRINT Analysis: The overseas employment programwhich has enticed whole generations of Filipinos to look forwork abroad has produced both positive and negativeconsequences for our people. There is no way to stop it at thispoint, but a lot can be done to manage it so that its most


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pernicious effects are avoided. With respect to the domesticlabor force, the main problem is dealing with a situation wherethe bargaining power of labor is weak under present conditions.

BLUEPRINT Recommendations: The government shall insist

on minimum guarantees for its nationals by forging bilateralagreements with governments of host countries. Where suchagreements do not exist, the government will discourage itsnationals from seeking or accepting employment in thesecountries. Our embassies and consulates abroad will bemobilized and reorganized so that the protection of the rights ofour OFWs becomes their principal mandate. The governmentwill train returning OFWs to become entrepreneurs, and to helpthem invest their earnings wisely. On the domestic front, thegovernment shall encourage the formation of workerscooperatives. It will promote industrial harmony by encouraging

companies to come up with wage extenders to help workerscope with the rising cost of living. It will promote the settlementof industrial disputes through arbitration and conciliation. Itwill initiate regular dialogues between labor and business with aview to encouraging long-term investments and stableemployment.

I. ENERGY

The Situation: The existing government strategy in the energysector revolves around the privatization of the National PowerCorporation, which in essence entails the dismantling of all themechanisms of State control over energy. The instrument toachieve this is the EPIRA Law, which is premised on theexpectation that private investors can be prodded to add newcapacity into the existing energy supply of the country. This, aswe know, has not happened. Meanwhile, the Napocor is nolonger authorized to contract new capacity. The prospect of asevere energy shortage in the very near future haunts the

country.

BLUEPRINT Analysis: The supply of energy is too important tothe countrys economic growth to be left entirely to the vagariesof the market. New capacities need to be started even now if weare to avoid the kind of power outages that bedeviled thecountry when the economy started to pick up in the early 90s.Right now, the country is too dependent on imported fuel


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products. This may be unavoidable in the transport sector, butwe should be able to reduce our dependence on fuel oil for ourindustrial needs.

BLUEPRINT Recommendations: The government will

formulate and implement a strategic energy development planthat, as it measurably reduces its dependence on coal, will (1)pursue efficient operation and maintenance of existing thermalpower plants and effective energy conservation in the shortterm; (2) seek technological self-reliance in the design andconstruction of power-generating plants and other power-related equipment in the medium term; and (3) strive to attainnational energy security and self-sufficiency in the long termthrough the full development and exploitation of the countrysrenewable energy resources including geo-thermal energy, solarenergy, bio-energy, and wind energy resources as well as non-

renewable energy resources such as petroleum, natural gas,and coal, even as it ensures the protection of the environmentin the choice and use of energy.

J. ENVIRONMENT AND MANAGEMENT OF NATURAL

RESOURCES

The Situation: The current philosophy is to exploit the

countrys natural resources to the maximum possible in orderto create jobs and bring in needed foreign investments. Thisshortsighted view pays no heed to long-term environmentaldestruction and rapid depletion of the countrys natural wealth.This is evident in the actual priorities of the Department ofEnvironment and Natural Resources.

BLUEPRINT Analysis: The destruction of the countrysremaining watersheds continues unabated due largely to thefailure to delineate forest lands. Large tracts of productiveagricultural land are being converted to non-agricultural use.

The same degradation is happening to coastal and marineresources. Today, as a result of the Supreme Court decisionlifting the ban on mining, the countrys mineral wealth isdrawing waves of foreign investors to our shores. New miningareas are being opened up even before the old mine sites andtheir surrounding communities have been rehabilitated. Thecountry looks towards the resumption of mineral exports, the


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demand for which now seems limitless given Chinasdevelopment surge.

BLUEPRINT Recommendations: The government shallencourage the judicious use of our natural resources, support

community-based conservation efforts, and ensure theequitable and rational sharing of the fruits of their use anddevelopment. It will enforce a strict logging ban on all remainingnatural forests, and rehabilitate severely degraded criticalwatersheds. It shall institute a new land management policy tosupplant the Public Land Act of 1936 and the PropertyRegistration Decree of 1978. It shall uphold the ancestral rightsof indigenous communities at all times. It shall determine thecountrys mineral resource base. It shall require miningcompanies to link up with mineral processing industries in thecountry. It shall rationalize small-scale mining and identify

areas exclusively reserved for small-scale miners. Thegovernment will jointly manage and monitor projectsundertaken by foreign firms to safeguard the governmentsshare and protecting the environment. It shall immediately stopthe dumping of toxic wastes into Philippine waters. And finally,the government shall adopt and implement a comprehensivewaste management system for each town and city. It willlikewise initiate a national program to clean up the countryslakes, rivers, bays, and coastal areas, and rid them of fishpens.

K. CULTURAL COMMUNITIES AND AUTONOMOUS

REGIONS

The Situation: There is no national program to protect thenations cultural communities. The constitutional provisionssafeguarding the rights of our indigenous peoples and, in thecase of the Cordillera and Bangsamoro peoples, establishingautonomous regions, have remained empty promises. Our tribalcommunities are among the most shabbily treated minorities in

the world. There is no respect for their traditions, and no valueassigned to their cultures.

BLUEPRINT Analysis: Like the poor in almost every region ofthe country, the indigenous minorities are looked upon asdispensable members of the national polity. They are seen asobjects of charity, people who should merely be taught to catchup with the rapid pace of modernization. This is a misguided


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policy, one that is driven by the greed of politicians andeconomic elites.

BLUEPRINT Recommendations: Concrete steps will be takento actualize the indigenous peoples constitutional rights to

preserve and develop their own way of life. The ancestral areasfrom which they draw their livelihood and in which theircultures are rooted will be respected. The remaining obstaclesto the full recognition of the right to ancestral domain will beremoved. The concept of autonomous regions shall be givenflesh in full consultation and coordination with the indigenouspeoples of Mindanao and the Cordilleras. All practicesreminiscent of internal colonialism will cease.

L. POPULATION

The Situation: There is no recognition by the government ofthe seriousness of the population problem. All populationprograms have been delegated to the local governments, atwhich level they either languish in neglect due to lack ofresources or due to outright hostility to such programs byincumbent local officials. Population policy suffers from benignneglect from the national government.

BLUEPRINT Analysis: Government officials have tended tobow to pressure from the Catholic hierarchy because the latterhas threatened to campaign against all officials endorsingartificial means of birth control. The fact is that many poorfamilies are not deterred by Church preaching on the matter.They are anxious to plan their families and control pregnanciesbut, given their poverty, the means to do so are not available tothem.

BLUEPRINT Recommendations: The government willpromulgate a population policy that addresses the main issues

of unmet needs in relation to desired family size and populationmomentum. The government will also actively take the lead infinancing and implementing a population program based on thesafest and most effective means available. It is understood thatabortion is out of the question here. It will also invite theCatholic Church to a dialogue aimed at coming to anunderstanding of the urgency of the population problem. They


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can promote the natural family planning method as it does notgo against the teachings of the Church.

M. HEALTH

The Situation: Public health has remained very low in thescheme of priorities of the government. This is especially so inthe light of the fiscal crisis. There is no meaningful preventive orprimary health care program to speak of at the local level.Existing health services are hospital-based, and access to themhas been made dependent on the acquisition of PhilHealthcards, which have become instruments of political patronagerather than a matter of right. Severe malnutrition has

aggravated the health problems of our people.

BLUEPRINT Analysis: The distribution of hospitals is highlyuneven. With the devolution of health services, the quality ofmany provincial hospitals has deteriorated. The government hastended to favor corporate interests over public welfare. It hasbeen unable to regulate the quality and cost of health servicesand products. Of the minimum basic needs, health care is themost basic to rebuilding the countrys productive capacity.

BLUEPRINT Recommendations: Reverse the decentralization

of the primary health care delivery system, and install a realsocial health insurance system that improves peoples access tohealth services under affordable payment schemes. Thegovernment will prioritize three programs: (1) control oflongstanding communicable disease problems (TB, malaria,leprosy, and HIV) as well as emerging new diseases; (2)immunization of all children against the major childhood killerdiseases; and (3) reproductive health and family planning. Freeup resources that can be used to rehabilitate governmenthospitals as well as to fund priority health programs. Form localhealth boards that can tap the participation of local

communities in the provision of health services. Most urgently,the government will respond to the scandal of large-scalemalnutrition by launching an extensive and sustainable feedingprogram of starving families throughout the country. Reducethe cost of medicines through price controls in the short termand through the expansion of domestic self-reliance inpharmaceutical production, in the long term.


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N. EDUCATION

The Situation: The Philippine education system has been thesubject of intermittent reviews. While other countries have

worried over the relevance of their educational curriculum tothe demands of modernity and globalization, our concerns haveremained basic: the chronic lack of classrooms and textbooksand teachers. Not enough attention has been paid yet to thequality of instruction and the relevance of the curriculum,although no doubt these are equally pressing problems.Curricula do not foster love of country nor nurture a strongsense of national identity. Compounding the basic problemsbrought about by the paucity of resources allotted to educationis the extreme poverty of our people at the bottom rungs of thepopulation. Poverty results in high dropout rates at all levels

and poor performance at school. Pressing economic need alsoforces many highly qualified teachers to seek alternativeemployment abroad.

BLUEPRINT Analysis: The country is simply not spendingenough to educate its people even at the basic primary andsecondary levels. The lack of funds is understandable in thelight of the massive allocations for debt servicing every year. Theovercrowding and deterioration in quality of public schools hasforced many middle class families to look for better facilities fortheir children in the private sector. But mediocrity and

shallowness have characterized both public and private schools.Employers who are aware of this have consequently tended todemand college degrees for jobs that objectively can be carriedout by anyone with basic functional literacy.

BLUEPRINT Recommendations: Double or triple the currentbudget for education. Develop a new curriculum that is strongin history and culture to foster patriotic and social values andnurture a strong sense of national identity. Tap the privatesector and the local communities for a comprehensive programto upgrade basic public education throughout the country.

Make the salaries of teachers and professors competitiveenough to draw the best and brightest minds to the teachingprofession. Raise professional standards for all teachers. RetainFilipino as the principal medium of instruction at the gradeschool and high school levels. Teach English and Chinese assecond languages at all levels. Reduce the number of statecolleges and universities and establish instead a National OpenVirtual University that will offer high quality and affordable


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college education to as many people as possible, especiallyworking adults. Develop non-formal education as a primarycomponent of the educational system. Establish community-based day care centers. Offer adult education programs in everycommunity center.

O. MEDIA

The Situation: The Philippine mass media has become littlemore than the handmaiden of advertising companies, theprincipal instrument of a consumerist culture. Its principal goalhas been to gather audiences, sort them out, and deliver themover to the lords of the world of consumption. The mass media

has played, in contrast, a minimal role in the formation of amature polity, in strengthening a sense of national identity, orin the development and promotion of a national culture. Inshort, it has abdicated its essential public functions. Instead,what drives it is basically the quest for private profit andpolitical influence.

BLUEPRINT Analysis: The mass media is an importantextension of the educational system. It is not only a source ofinformation; it also forms tastes and promotes certain types ofvalues. Its autonomy from the state must be preserved, but at

the same time, it must be made to assume its obligations tosociety.

BLUEPRINT Recommendations: Establish a Board ofGovernors for Media consisting of media professionals ofunquestioned integrity that will function as medias ownwatchdog and regulatory body. The Board will not only monitormedia abuse, but also will more importantly recommendmeasures that align media programming and content withsocial objectives.

P. SPORTS

The Situation: The state of sports in the Philippines isappalling. Physical education is not getting sufficient attention especially as an important means in inculcating values in thedevelopment of our youth.


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BLUEPRINT Analysis: There is no strategic education andnational sports program. Moreover, the ambiguous relationshipbetween national sports associations (NSAs) and thegovernment causes further confusion and turfing problems.

BLUEPRINT Recommendations: Develop and implement anational sports development program. Rationalize therelationship between government and the NSAs. Givepreferential support to the development of sports whereFilipinos have the potential to excel internationally such asboxing, martial arts, bowling, billiards, badminton, etc.

Q. HOUSING

The Situation: The governments neglect of this basic need isevident in the growing number of illegal settlers in every majorurban center of the country. In Metro Manila alone, no lessthan one-third of all residents are squatters. The provision ofhousing has tended to serve the middle and upper incomegroups far more than those with only marginalincomes. Government initiatives undertaken to build homes forlow-income groups cannot cope with the huge and growingnumber of poor families to be served. Every improvement of

facilities in the cities has only served as a magnet for newmigrants from the countryside. The problem goes back to thelack of job opportunities and facilities for individualadvancement in the countryside.

BLUEPRINT Analysis: It is obvious that the housing problemin its present form cannot be addressed simply by allowing theplay of demand and supply in a free market system. For one,studies show that regular housing produced by the privatesector (with government financing or guarantees) is notaffordable to many people. Second, data show that those in the

middle to high-income bracket have captured a significantpercentage of housing subsidies. Also, one factor that haspushed up the price of housing is overpriced land as a result ofproblems in the distribution and rationalization of land. Properdelineation and zoning of land should be made. In any event,cities like Metro Manila have to be decongested. Any initiative inthis area, as in education, requires massive resources that thegovernment may not be able to raise in the short term.


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BLUEPRINT Recommendations: Recognizing that access tohousing is a right, the government should increase itsbudgetary allocation for housing. However, given scarce publicfunds, targeted subsidies to the poor should be prioritized andthe leakage of subsidies to middle and high-income groups

should be plugged. Formulate a clear land use policy at thenational level. Improve security of tenure of land and landregistration. Impose a higher tax on idle land. Embark on aBalik-Probinsiya Program to discourage in-city migrationthrough a relocation assistance program complemented with anemployment generation program in the rural areas. Housingand employment must be tackled as an integratedproblem. Professional squatting syndicates that prey on smalllot owners and helpless squatters will be pursued andprosecuted. Industries that relocate to non-agricultural areasoutside the cities will be given special incentives. The provision

of low-cost housing will be given more priority. To reduce thecost of housing for the poor, the government will adopt amodular house construction approach in which housingdesigns will be standardized and modularized housingcomponents will be easily assembled.

R. JUDICIAL SYSTEM

The Situation: The practice in almost every administration hasbeen to pack the judiciary, just like any other branch ofgovernment, with individuals whose most importantqualification is their political connection. The continuingeducation of judges and government prosecutors, whileimportant, is not enough to cure the ills brought about by theappointment of mediocre and incompetent judges. The existenceof corruption in the judiciary is also a prevalent concern.

BLUEPRINT Analysis: Case congestion, delay, and the lack ofappreciation of the potential contribution of a more informed

interpretation of the law and the Constitution in the Philippinesetting, continue to be the main problems of the justice system.Within such a system, corruption is easy; where the poor andpowerless are involved, justice is seldom delivered.

BLUEPRINT Recommendations: Appointments to theSupreme Court should be the result of a professional evaluationof the candidates credentials in legal interpretation and court


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management. Their integrity should be beyond reproach. TheSupreme Court should be more judicious in its choice of cases.It should focus more on cases with policy implications. Theappointment to the judiciary shall be transparent and open topublic scrutiny. Judges who make wrong decisions because of

incompetence or corruption shall be liable to civil damages aswell as administrative and criminal sanctions. The bar examswill be made less important than they are today by opening newvenues for training, like apprenticeships. The use of Filipino incourt procedures will be actively promoted to make the lawmore accessible to the poor. There will be a program to translateand disseminate statutes in Filipino. The Commission onHuman Rights shall be given prosecutorial powers.

S. INTERNATIONAL RELATIONS

The Situation: Our countrys external relations have notserved our long-term national development goals. Effectiveexternal policies can play a vital role in promoting the countryseconomic, political, security, and socio-cultural interests. Theycan open up markets for Philippine products and services andhelp create an environment of peace and security conducive tohuman development.

BLUEPRINT Analysis: The present political leadership has notmanifested a reliable understanding of the complex globalchanges that affect the national community. It has failed toidentify the countrys fundamental interests and to strategizethose interests in the complex global setting. Lacking in long-term vision and direction, the Philippines has been at thereceiving end of strategies alien to the interests of the nationalcommunity. Issues requiring urgent review are the following: (1)the definition of Philippine territory which poses security andenvironmental problems for the country; (2) economic migrationand the broader phenomenon of globalization which have a

powerful impact on the economy; and (3) Philippineparticipation in the US-led global war on terrorism policy, whichposes important problems for national security and RP-USrelations.

BLUEPRINT Recommendations: The Philippine governmentwill prioritize effective governance over its territory and peopleby developing the capability to defend and maintain control over


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its territory. The Department of National Defense (DND) shalldefine its policies, plans, and programs in a conscious bid tofree itself from the singular influence of any foreign country.The push toward regionalism, especially within ASEAN, and theASEAN Plus 3 countries China, Japan, and South Korea

will be pursued. Regionalism will strengthen Philippine leveragein economic and security negotiations. The Philippines shalldevelop closer ties with South countries and engage in moreSouth-South cooperative ventures and initiatives. It will alsodeepen its participation in global initiatives on the environment,women, population, HIV-AIDS, and social development.

T. MILITARY

The Situation: Since 1972, when Marcos declared martial law,the military has become increasingly politicized. This has led todemoralization, disunity, and corruption in the AFP. In the faceof the incompetence and corruption of the civilian politicalleadership, more and more young officers and enlisted men areinclined to actively intervene in the nations governance.

BLUEPRINT Analysis: The only antidote to militaryintervention today is the stabilization and modernization of theinstitutions of governance. Young officers see themselves as

agents of political modernization. Widespread corruption ingovernment, mass poverty, and the mockery of the electoralprocess will make military intervention probable. But themilitary cannot be an effective instrument for social reformunless it is first reformed.

BLUEPRINT Recommendations: Purge the AFP of scalawags,and raise the salaries of soldiers to realistic levels. The AFPshould be downsized into a lean and mean force, equipped withmodern weaponry. Promoting the local manufacture of arms,ammunition, and communication and transport facilities will

end dependence on the US in the quest for modernization. Astrong Navy and Air Force shall be established. Instead of aReservist Force, defense militias similar to the Swiss militiasshall be organized in every community to complement the AFP.


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BLUEPRINT Analysis: A strong professional civil service is thepillar of any democracy. So long as there is a politically neutralpublic bureaucracy, the nation will be able to withstand themost severe political storms. Such a civil service is whatguarantees continuity of government programs despite changes

in administration. The present bureaucracy is not only plaguedby corruption and saddled by incompetent political appointees;it is also burdened by its size. Many government offices andagencies have overlapping functions.

BLUEPRINT Recommendations: Streamline the bureaucracyby abolishing redundant offices and merging agencies andorganizations with overlapping functions. Trim down thenumber of government personnel by offering attractive optionalretirement packages. Merging those with complementaryfunctions will reduce the number of government departments.

Promotions will be based not just on credentials but moreimportantly on demonstrated competency. Review the SalaryStandardization Law with a view to upgrading the salary levelsof crucial categories of government personnel. Presidentialappointments to the bureaucracy will be confined to thesecretary level and no more than one-half of theundersecretaries in every department. All other offices below theundersecretary shall be career positions. Train the nextgeneration of civil servants by active recruitment among thebest and brightest young Filipinos.

W. INFRASTRUCTURE(Construction, Transportation,Communication)

The Situation: The countrys underdevelopment isimmediately visible to any outsider by the sad state of its urbanmass transport system, its domestic air transportation, andinter-island maritime system. It is also seen in the lack ofadequate sewerage, waste management, flood control, and

traffic management systems. The advent of cellular phones hassomehow eased communication throughout the country, butwithout this, conventional telecommunication remains grosslyinadequate to a developing countrys needs. Without a solidprogram to modernize the countrys infrastructure, nomeaningful development can possibly take place.


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BLUEPRINT Analysis: Poor infrastructure (construction,transportation, communication) is a major concern. Issuesrelated to these are: poor and inadequate mass transportsystem in urban areas, road and railway systems, domestic airtransport system and inter-island maritime system. There is

also a problem with sewerage systems, waste management,flood control, and traffic management as well as poor designand workmanship of buildings, roads, bridges, airports, piers,etc. Private contractors and public officials are rarely heldcriminally liable for failed, defective, and overpriced projects.There is no long-term and comprehensive planning andcoordination in road construction, traffic management, vehicleregistration, and public transportation franchising andregulation.Existing telecommunications systems do not meetinternational standards. All these are result of managementweaknesses: lack of strategic planning, compounded by

corruption in our bureaucracy.

BLUEPRINT Recommendations: Create a modern,comprehensive, integrated and efficient mass transport systemin urban areas, and install more effective traffic managementsystems. Develop a modern and extensive railway and highwaysystem in Luzon, Mindanao and other major islands. Expandthe roll in, roll out domestic shipping system and modernizethe countrys inter-island maritime system. Formulate a masterplan to interconnect the countrys major islands by maritimehighways, bridges and tunnels. Install modern sewerage

systems in urban areas (e.g. prohibit the use of open-trenchdrainage systems along roads and buildings, adopt effectiveflood control systems). Upgrade to international standardsthrough international benchmarking and R & D the design andconstruction of roads and buildings, the domestic air transportsystem, and the telecommunications system. Create a moderncomprehensive, integrated, and efficient mass transport systemin urban areas, install more effective traffic managementsystems, reduce the number of buses and jeepneys in cities,and phase out the highly polluting two-stroke tricycles. Promotetropical and green architecture in the design of buildings and

houses. Consolidate the DPWH, MMDA, LTO, LFRB and othersimilar agencies into a Department of Public Works and LandTransportation. Ensure accountability and transparency ofgovernment officials (e.g. replace government bidding systembased on the lowest bid with the longest warranty period).Should a project fail or become defective within the warrantyperiod, make criminally liable involved government officials,contractors, and other relevant private parties.


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FINAL NOTE

The Blueprint for a Viable Philippines is a work-in-progress. Itis just a first draft, neither comprehensive nor complete. Itmerely puts forth in broad strokes the primary steps that can

be taken that will enable our country to survive, to give backhope to a citizenry whose lives have slowly been sapped ofvitality and energy.

For years we have followed Western prescriptions favored by theelite. For years our masses only got mired deeper in povertywhile the wealth of the elite continued to grow. It is time for anew approach.

All proposed programs are focused on one central objective:taking back the control of our national resources (natural,

manpower, financial, state, etc.) so that we may, with fullsovereignty, determine the path of development which willsecure the greatest welfare for the greater number of Filipinos.

blueprint for a viable philippines

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