Thinking Beyond Politics
Victor C. Manhit
In a society that has subsisted on political continuity, the change-driven mind-set of the Duterte administration has rocked the boat. With regard to our economy, the promise of deep-seated change could not come at a more opportune time. The government needs to address our overflowing roads and underflowing investments.
On Monday afternoon, even our President, who has focused less on the inner workings of the economy and more on his campaign for law and order, made the link between basic security and investor confidence.
It is a humongous task, to be sure.
For it to succeed, the government’s efforts must be sustained through this administration and sustainable even beyond. Now that the President has passed one year in office, it is good to hear how our government will prioritize long-term economic reforms.
RADICAL INFRASTRUCTURE BUILDING
On Monday’s SONA, the President returned to the administration’s goal of increasing infrastructure spending from 5% in 2017 to 7% in 2022 (around P8-9 trillion). This increase would make Philippine infrastructure spending on a par with other countries in the region and bring the level closer to the international standard. His efforts to engage internationally on this point — such as the two bridges that have been promised by China across the Pasig river — are positive, although they do not replace the tremendous efforts to come from the government itself.
In terms of connectivity, President Duterte announced that 15 new RoRo vessels are plying major nautical routes and that the shipping routes connecting Davao-General Santos and Bitung, Indonesia, have been launched. The government has also modernized the Cagayan de Oro, Iloilo, General Santos, and Zamboanga ports.
To address the worsening traffic, President Duterte directed the MMDA and the LGUs of all metropolitan hubs to clear the roads of all obstruction.
It is unfortunate, however, that the President did not present more progress on mass transit projects and on the railway networks that will benefit a far larger section of the beleaguered urban population.
If we want to move more people more efficiently, we must move away from a car-centered focus in our urban planning.
STREAMLINING AND MODERNIZING
All these projects will require the government to rationalize our antiquated tax system, especially the personal income tax.
At the SONA, President Duterte commended the House for their adoption of the first of five tax packages, but also called on the Senate to support tax reform in full and pass it as quickly. With regard to stopping tax evasion, the President had one quick win to offer: Mighty Corp.’s tax settlement of P25 billion.
The President needs to work with both the legislature and the judiciary to ensure that his projects see the light of day within his term. He appealed to the Supreme Court not to put temporary restraining orders (TROs) on government projects, calling TROs the bane of efficiency and giving the painful example of wasted money in implementing the RH law. Even more importantly, he urged Congress to review existing procurement laws that hinder the prompt delivery of public services.
As an anti-red tape measure, the President also recommended that Congress pass a law to “right-size” the government — the bill is intended to reduce overlaps among different agencies. President Duterte can be commended for these steps.
IMPROVING PUBLIC SERVICES
On a positive note, President Duterte also used the SONA to cite initiatives that brought the government closer to the people, such as the establishment of the government hot lines (911 and 8888). Duterte says that the government has enhanced education training programs, and has invested in higher education, skills training, and alternative learning systems. The government is pushing for the full-implementation of the K-12. These are important, long-term investments in our human capital that should better prepare our youth for the future.
For all of us, the government has also expanded the health insurance coverage and benefits, and strengthened the implementation of the No Balance Billing policy. Duterte has also signed Executive Order No. 26, imposing a ban on smoking in public places.
Finally, the government has passed the National Broadband Plan and provided free Wi-Fi and Internet in public places. President Duterte said that the National Government Portal has made the delivery of public services easier, while the Digital Terrestrial Television Broadcasting Migration Plan will provide better information dissemination during calamities. These are under-appreciated steps, especially in terms of bringing government services into the Internet age, that should be a focal point for ever-better service delivery.
SOUND GOVERNANCE
By and large, government institutions operate in the spirit of public service. Their political authority evolves and matures behind the promotion of public interest. These interests cannot be nurtured when the government operates on a friends-and-family first basis. Political culture is such a critical factor in institutional reforms. I think all Filipinos must share in the objective of developing our institutions, rather than focusing on personal relationships.
The government work force can easily be swayed in a political arena filled with powerful and influential stakeholders.
Challenging as it may be, their ability to decide and implement fair-handed policies, based on evidence, will build their authority with the people and add prestige to the institutions they represent.
Only with political authority can our government and its leaders provide the strategic leadership we desire. After all, sound governance is the foundation of our economy.
Victor Andres “Dindo” C. Manhit is the founder and managing director of the Stratbase Group and president of its policy think tank, Albert del Rosario Institute for Strategic and International Studies (ADRi). Prof. Manhit is a former chair and retired associate professor of Political Science of De La Salle University. He has authored numerous papers on governance, political, and electoral reforms.
