THE PHILIPPINES’ medium-term goals and economic strategy have found a “fortuitous” convergence with China’s Belt and Road initiative, the Finance department said.

“The nations of Southeast Asia stand to benefit hugely from the Belt and Road initiative. That complements our own efforts at regionalization. It will help make regional integration and economic cooperation more intensive,” Finance Secretary Carlos G. Dominguez III said in a speech during the 7th  Executive Board Meeting of the China-ASEAN Inter-Bank Association last week.

“The convergence is perhaps most fortuitous for the Philippines. The economic strategy of the Duterte administration aims precisely to achieve high and equitable growth for its people through the modernization of infrastructure,” Mr. Dominguez said.

The government plans to embark on an P8.4-trillion infrastructure spending program over the medium term.

Such projects are expected to shift the country’s economic engine from consumption to investment.

The government expects the infrastructure program to drive growth to seven to 8% in 2018-2022 from a 6.2% average in the past six years. It is also expected to cut unemployment to three to 5% from 5.5% in 2016, and reduce the poverty rate to 14% from 21.6% in 2015.

“This convergence is the central dynamic that will shape the development of the region’s economy through the length of this Asian Century,” Mr. Dominguez said.

“The Belt and Road initiative is the most significant enterprise since the construction of the Great Wall. Unlike the Great Wall, however, this initiative enhances cooperation instead of repelling interaction,” he added.

China plans to inject massive infrastructure aid in countries along the Asia-Europe-Africa trade routes, in a bid to revive its Silk Road trading arrangements.

The plan covers 65 countries representing about 60% of the world’s population and around a third of the global economy. — Elijah Joseph C. Tubayan

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