Malacaņang today said that a new presidential proclamation that would extend amnesty to members of rebel groups in the country would be submitted to both houses of Congress for concurrence.

In an interview, Presidential Adviser on the Peace Process Eduardo Ermita said that the National Amnesty Commission (NAC) would brief the Cabinet early next week on the proposed amnesty proclamation.

Ermita explained that there are now a total of 2,603 applications for amnesty that the NAC could not act on because there is no applicable amnesty proclamation.

The last amnesty proclamation, issued during the term of former President Joseph Estrada, expired last August 2001, Ermita said.

According to Ermita, the offer of amnesty to members of the New People’s Army (NPA) and other anti-government groups has nothing to do with the declaration of the CPP-NPA by the United States and European Union as a foreign terrorist organization (FTO).

He said that the NAC has submitted drafts of a new amnesty proclamation in August and September this year, or even before the inclusion of the CPP-NPA in the list of FTOs by the US and the EU.

Ermita said that the Cabinet would deliberate on what kind of amnesty would be offered, whether it would be general, conditional or selective as well as when it will take effect and for how long.

On the report that the CPP-NPA has scuttled the peace process with the government, Ermita said that the government side has not received any official communication in this regard from Luis Jalandoni, official negotiator of the National Democratic Front (NDF), the political arm of the CPP-NPA.

HANOI, Vietnam—President Gloria Macapagal-Arroyo today said that the growth in exports and the continued decline in the inflation and interest rates in the Philippines are sure indicators that the country’s economy is in for a rebound.

In her remarks before members of the Filipino community here, the President said the almost 20 percent growth in Philippine exports has surprised even Thai Prime Minister Thaksin Shinawatra and business executives in the Silicon Valley.

The President starts her two-day state visit here after attending the Eighth Asean Summit held in Phnom Penh, Cambodia.

The President said that based on the reports from Manila, the inflation rate in October slowed down to 2.7 percent from the 2.9 percent in September this year.

"Ang layunin natin ay para bumuti ang ating ekonomiya at magkaroon ng trabaho ang ating mga mamamayan (Our goal is to improve the economy and provide jobs for our countrymen)," the President told her audience.

The President also cited the 40 percent growth in Philippine tourism despite the terrorist threats in the Southern Philippines and in Metro Manila.

Earlier in Phnom Penh, the President said that the country’s inflation rate is at its lowest point over a decade and the country’s economic growth is among the highest in Asia.

"We have done significant reforms, including anti-money laundering, privatization, banking asset reforms, among others," the President said.

Because of the decline in inflation rate, the President said, prices of prime commodities in the Philippines have not gone up, adding that the price of ordinary rice has been pegged at P14 to P15 per kilo while the well-milled rice is at P18 per kilo.

In a statement, the Bangko Sentral ng Pilipinas (BSP) said that the average inflation rate of 3.2 percent for the first 10 months of this year remains consistent with the BSP’s assessment of a benign inflation environment for the remainder of 2002.

"Against a backdrop of benign future inflation, the BSP believes that the current monetary policy stance remains appropriately supportive of the economy’s growth objective while guarding firmly against price pressures," the BSP said.

The President said that reports reaching her from the Department of Agriculture also indicated that there would be a bumper crop this year.

The DA said that good weather and increased government support to rice farmers are expected to push the 2002 domestic palay production to a new record of 13.11 million metric ton (MT), up by 1.2 percent from last year’s high of 12.95 MT.

Agriculture Secretary Leonardo Montemayor reported that despite initial expectations of output declining to 12.68 million MT due to a prolonged dry spell in the second quarter, government intervention is expected to lead to a rebound in the fourth quarter.

Montemayor said that sufficient rainfall in the third quarter, coupled with the government’s quick turnaround (QTA) planting scheme for rice, is expected to increase palay production in the fourth quarter by as much as 440,000 MT.

A National Statistics Office (NSO) said that year-on-year inflation slowed down to 2.7 percent in October from 2.9 percent in September this year as the inflation rates of food, beverages and tobacco (FBT) and housing and repairs (H & R) went down, comparatively taking into account the 5.5 inflation rate a year ago.

The NSO said that the country’s merchandise export performance increased by 16.8 percent this September, with both electronics component and manufactured goods accelerating by 17 percent and 17.1 percent, respectively.

The NSO report noted that the inflation rate in the National Capital Region (NCR) decreased by 0.3 percentage point to 2.6 percent in October from 2.9 percent in September, the lowest inflation since February 2000. This was brought about by the slowdown in the inflation rates of FBT, H&R and fuel, light and water (FLW).

Inflation rate in areas outside the NCR remained at its September rate of 2.8 percent as mixed trends were observed in the regions.

The NSO report also said that for September 2002, merchandise exports earnings went up by 16.8 percent to $3.190 billion from $2.731 billion during the same month a year ago.

The top four export earners as of September this year are:

• Electronic components, accounting for 53 percent of the aggregate export revenue for the month, increased by 17.0 percent to $1.690 billion from $1.445 billion last year;

• Apparel and clothing accessories remained as the country’s second top earner with a combined share of 8.1 percent and an aggregate receipt of $257.62 million or 39.4 percent higher than $184.82 million a year ago;

• Products manufactured from materials imported on consignment basis, ranked third with a total revenue of $50.51 million reflecting a 21.3 percent increase from $41.64 million last year;

HANOI, Vietnam (Via PLDT)—President Gloria Macapagal-Arroyo arrived at the Noi Bai International Airport at exactly 10:00 a.m. (Hanoi time) on board a chartered Philippine Airlines plane from Phnom Penh where she attended the Asean Summit.

The President and her delegation were received warmly at the airport by ranking officials of the Vietnam government.

In her two-day state visit here, the President is accompanied by Foreign Affairs Secretary Blas Ople, Press Secretary Ignacio R. Bunye, Presidential Management Staff Head Secretary Silvestre Afable, Jr., Foreign Affairs Undersecretary Lauro Baja, and Anthony Abad, former National Food Authority administrator and now the president and CEO of the Philippine International Trading Corporation (PITC).

From Noi Bai International Airport, the President and her official party motored to the Melia Hanoi Hotel, where they are to be billeted.

Upon arrival at the hotel, the President took a one-hour rest before meeting the members of the Filipino community here.

In her impromptu speech, the President informed the 100 Filipinos, who attended the meeting, on the ongoing programs and developments of her two-year-old administration.

After the Fil-com meeting, the President motored to the Presidential Palace for a courtesy call on President Tran Duc Loung.

Immediately after her call, the President will have an expanded bilateral meeting and signing ceremony at the Presidential Palace.

She is also expected to meet with Prime Minister Phan Vai Khai at the Government’s Office.

The President will also meet Nong Duc Manh, general secretary of the Communist Party.

At 8:00 tonight, she will be the guest at a state banquet hosted by Vietnamese President Loung.

On the initiative of President Gloria Macapagal-Arroyo, per instructions she gave on the day she departed 24 October 2002 for the APEC Meeting, the Philippines is hosting an International Conference on International Terrorism and Tourism Recovery to be held 8-9 November 2002.

Participants are senior officials from Asean countries (Malaysia, Indonesia, Thailand, Singapore, Vietnam, Brunei, Myanmar, Cambodia, Laos and the Philippines) and the U.S., China, Japan, South Korea, Hong Kong, Canada, U.K., Australia. Interpol will also participate.

Tourism Secretary Richard Gordon will be the presiding officer in the session on Tourism, which will discuss the effects of terrorism on tourism.

National Security Adviser Roilo Golez will be the presiding officer in the session on International Terrorism which will discuss the terrorism threats and what measures can be taken by the participating countries and entities.

The discussions on terrorism will revolve around the presentations to be given by a powerhouse panel of presentors, namely:

• Head of the Terrorism Directorate, Interpol to make a presentation on Global Threat Assessment

• Head of the Counterterrorism Center of the US Department of State

• Ambassador for International Counterterrorism Cooperation of Japan

• Deputy Chief of Criminal Investigation of Indonesian National Police (who is the one overseeing the investigation of the Bali bombing)

• First Assistant Secretary, International Security Division, Department of Foreign Affairs and Trade, Australia

• DILG Secretary Jose Lina, Jr., on the 10-point Police Community Anti-Terrorism Plan of the Philippines

• Ambassador of U.K. to discuss Counterterrorism: the British Experience

• Assistant Director General, NSC, Philippines, on the 14-point Counterterrorism program of the Philippine government

The immediate and positive response of the participating countries on such a very short notice is indicative of the leadership of President Gloria Macapagal-Arroyo in the region in the fight against international terrorism.

The objectives of the conference are:

1. To learn from the experience of countries, particularly those who have been victimized by terrorist attacks.
2. To reach a common position on the threat of terrorism.
3. To forge cooperation among countries in the fight against terrorism (i.e. framework for a crisis plan)
4. To identify doable projects to counter terrorism

This was the argument raised by President Gloria Macapagal-Arroyo in Tuesday night's press conference at the Hotel Intercontinental here after the signing of Thailand's accession to the agreement on exchange of information among the Philippines, Malaysia and Indonesia.

Even before its accession to WTO agreements, the President said "China has in fact assured us that she is not interested in gobbling up all our countries. She is interested in being a good citizen of the international trading community."

The framework signed between Asean members and China opens the gateway to further talks for a free trade agreement that is expected to allow Southeast Asian nations to penetrate the Chinese market which has a combined gross domestic product of US$15 trillion to US$2 trillion and two-way trade of US$1.2 trillion.

But she was quick to add that "of course, we will protect ourselves against the threat by maximizing the flexibilities that we asserted during the negotiations."

Trade Secretary Manuel Roxas II earlier explained that under the framework, Asean member-economies will be able to harvest or benefit from free trade earlier than China.

Ople also cited the forging of the landmark agreement to promote Asean as a single tourist destination with improved security and favorable conditions for all travelers, as a dramatic response to adverse travel advisories being issued by the United States and other countries.

HANOI, Vietnam (Via PLDT) — The Department of Foreign Affairs today said at least 19 countries have already confirmed that they are taking part in the International Conference on International Terrorism and Tourism Recovery to be held in Manila on Friday and Saturday.

Foreign Affairs Undersecretary for Political Affairs Lauro Baja said leading the list of countries attending the conference are the nine other members of the Association of Southeast Asian Nations, the United States, Canada, Australia, New Zealand, Japan, South Korea and China.

Aside from the Philippines, the other Asean members are Indonesia, Malaysia, Thailand, Singapore, Brunei, Cambodia, Myanmar, Laos and Vietnam.

HANOI, Vietnam (VIA PLDT) – President Gloria Macapagal-Arroyo today pledged the Philippine government’s continued support to the Socialist Republic of Vietnam’s bid into the World Trade Organization (WTO).

In her opening statement during the bilateral meeting with Vietnamese President Tran Duc Luong at the Presidential Palace here, the Chief Executive said the Philippines will continue to strongly endorse Vietnam’s bid for admission into the WTO.

She added that Vietnam’s admission as a WTO member would further enhance its pursuit of integration and competitiveness in the global economy.

The President, however, said that the struggle for economic competitiveness of both the Philippines and Vietnam need a foundation of security – an environment where people and commerce can feel safe as they go about the business of nation building.

In this connection, the President urged President Tran Duc Luong to work together with the Philippine government to eradicate the murderous destructiveness of terrorism.

President Macapagal-Arroyo stressed that in light of present realities, there is a dire need for greater cooperation in combating terrorism.

She invited Vietnam to accede to the Agreement on Information Exchange and Establishment of Communication Procedures which the Philippines signed together with Indonesia and Malaysia last May, and which was acceded to by Cambodia last July and by Thailand yesterday (November 5) during the Eighth Asean Summit in Phnom Penh, Cambodia.

The President stressed that the agreement is a model tool for transnational cooperation in the common fight against terrorism. She added that this would be logical for Vietnam, which has been very active in the international community of nations.

She likewise thanked Vietnam for its support to the Philippine effort to formulate a framework to guide the behavior of stakeholders in the South China Sea with the signing of the Regional Code of Conduct.

She also expressed the hope that the two countries can finally resolve the issue of the remaining Vietnamese nationals in the Philippines.

The President noted that many of them have expressed their desire to settle in the Philippines. But there are also those who wish to return to their homeland, she added.

"We hope that Vietnam will continue to accept and facilitate the process of repatriation," the President said.

"I assure you that we welcome them because they have become law-abiding and productive members of Philippine society and a reminder of the friendship and fraternity between our two countries," she added.

Earlier, President Macapagal-Arroyo thanked the Vietnamese leader for the warm and gracious hospitality that the people and government of Vietnam have accorded her and her official delegation.

She also congratulated the Vietnamese leader for his country’s good economic performance and congratulated him for the successful conduct of in Vietnam with a 100-percent voters turnout. The President was referring to the re-election of a number of key officials of Vietnam, including President Tran Duc Luong.

President Tran Duc Luong described the Filipino leader’s two-day state visit to Vietnam as coming at a "crucial time for both our countries in the context of changes in regional and in work situation."

He said the President’s visit is "a wonderful opportunity for a new momentum for the growth of our relations."

HANOI, Vietnam (Via PLDT)—President Gloria Macapagal-Arroyo today lauded the 500 professional Filipino workers here for their contribution to the development of Vietnam and the Philippine economy.

In her speech before members of the Filipino community here, the President said: "Nagpapasalamat ako dahil sa maganda ninyong kontribusyon sa ating ekonomiya at sa ibinibigay ninyong tulong sa pag-unlad ng Vietnamese government (thank you for your contribution to our economy and for your help in the development of the Vietnamese government)."

The President also informed the members of the Filipino community, many of whom occupy top managerial and executive positions in the big corporations in Hanoi and Ho Chi Minh City, of the passage of the absentee voting bill by both the Senate and the House of Representatives.

The President said the absentee voting bill is now in the bicameral conference committee of the Congress.

Based on the record of the Philippine Embassy, the Filipino workers here include engineers, accountants, managers, singers and garment factory workers

The President also told the Filipino community here that despite the economic slowdown in the world after the terrorist attack in the United States last year, the Philippines and Vietnam have posted the highest growth rates in Asia.

She added that the tourism industry in the Philippines is now enjoying a 40 percent growth rate after the Abu Sayyaf Group was neutralized by the Armed Forces of the Philippines and the Philippine National Police.

President Macapagal-Arroyo also told the Filipino here that her administration is seriously pursuing an anti-corruption campaign in the government.

HANOI—The Philippines and Vietnam today agreed to resolve the issue involving the 1,600 Vietnamese refugees who fled their homeland during the Vietnam war in the 1970s.

The commitment was sealed in the Framework of Bilateral Cooperation between the Philippines and the Socialist Republic of Vietnam in the Next Quarter Century and Beyond.

Signed at the Presidential Palace here this afternoon, the agreement covers a wide range of issues, including economic and defense cooperation, as well as other concerns such as the refugees issue.

Before the signing, President Gloria Macapagal-Arroyo told top Vietnamese officials here that the Philippines appreciates their willingness to welcome home their countrymen who have fled their homeland years ago.

"For those who wish to come home to Vietnam, we hope that you will continue to accept them and facilitate the process of their repatriation," the President said during her expanded bilateral meeting with Vietnamese officials at the Presidential Palace.

According to Foreign Affairs Undersecretary Lauro Baja, Jr. over 1,500 Vietnamese refugees are still in the Philippines, and have not been accepted by the host countries in the West where they had applied for asylum.

"They were supposed to go to third-party countries like the United States, Australia, Scandinavian countries, but somehow, along the way, they were not able to fulfill certain requirements for entry," Baja said.

Under the framework, the two countries declared that they "will cooperate in resolving the Remaining Vietnamese Nations (RVN) issue and in implementing the Orderly Departure Program (ODP)."

ODP involves the sending by Vietnam of a mission to the Philippines to examine the identities of the refugees and determine whether they are indeed Vietnamese.

If found to be Vietnamese, Baja said they will be interviewed whether they are interested in coming home to Vietnam.

"They are interviewed if they want to return home. The mission determines whether they are Vietnamese, and second, if they have something or somebody to return to, in Vietnam," Baja said.

HANOI — The Philippines and Vietnam today signed a landmark agreement identifying the areas of cooperation the two countries will explore in the future, further strengthening their economic and diplomatic ties.

In the same framework, the two countries declared their determination to "continue with the process of confidence-building despite territorial disputes among various parties in the South China Sea."

The two countries are among the six claimants to the Spratly Islands. The other claimants are China, Brunei, Malaysia and Taiwan.

"While seeking a long-term fundamental solution to these disputes, the parties will refrain from any action that may further complicate the situation and negatively affect the friendship and cooperation between the two countries," the document stated.

Under the framework of bilateral cooperation between the government of the Republic of the Philippines and the government of the Socialist Republic of Vietnam, the two countries set the direction of their diplomatic, economic and security ties in the next 25 years.

The framework agreement was signed by Foreign Affairs Secretary Blas Ople for the Philippines and Foreign Minister Nguyen Dy Nien, in the presence of Philippine President Gloria Macapagal-Arroyo and Vietnam President Tran Duc Luong at the Mirror Room of the Presidential Palace here.

The signing was set just hours after the President and her official delegation arrived at the Noi Bai International Airport here, from a three-day visit to Cambodia where she attended the 8th summit of the Association of Southeast Asian Nations (Asean).

In an interview, Senior Foreign Affairs Undersecretary Lauro Baja, Jr. said the framework would serve as the guidespot for negotiations for future agreements on matters involving the two countries' economic and security relations.

Under the agreement, the two countries committed to promote cooperation in the field of defense "with a view to enhancing mutual understanding and trust, building closer relations between the two countries' defense institutions and armed forces and expanding cooperation in security and crime control between the two governments and their security and police forces."

The defense cooperation outlined in the framework include exchange of information on anti-piracy as well as search-and-rescue operations.

The two countries also agreed to strengthen and expand their bilateral cooperation in the fields of agriculture, fishery, education and training, culture, science and technology, civil aviation, taxation, healthcare, labor and employment, telecommunications, information technology, tourism and sports.

"The parties attach great importance to their economic development and agree to strengthen and expand the bilateral cooperation in above- mentioned areas of exchanging information and expertise, and by organizing joint promotion programs targeting specific markets in North America, Europe and other potential regions," the document read.

At the same time, the two countries committed to "pursue mutually beneficial joint ventures in order to benefit from various Asean economic cooperation schemes such as the Asean Industrial Cooperation (AICO), and Asean Investment Area (AIA)."

Among the areas identified in the agreement where the two countries would engage in joint ventures are manufacturing, agriculture, forestry, fishery and mining.

HANOI, Vietnam (Via PLDT) – President Gloria Macapagal-Arroyo today said that her two-day state visit to the Socialist Republic of Vietnam added another "new step" in the development of the friendship and cooperation between the Philippines and Vietnam since the establishment of diplomatic relations 26 years ago.

Meeting Prime Minister Phan Van Khai of the Socialist Republic of Vietnam at the Government Office here this afternoon, the Chief Executive indicated that her visit shows the government’s continuing commitment to promote stronger and greater bonds of friendship and cooperation between the Filipino and Vietnamese people.

She also congratulated the Vietnamese government and its people on the holding of peaceful, fair and democratic elections for members of the National Assembly last May.

She also expressed sympathy for the victims of floods in the Central provinces in Vietnam.

On regional issues, President Macapagal-Arroyo told the Vietnamese Prime Minister that with the recent developments, it has become even more imperative for individual nations of Southeast Asia to work together and speak as one.

She added that it is in this context that the Philippines’ commitment to Asean regionalism has become even stronger.

The President mentioned to the Vietnamese leader the successful outcome of the just-concluded Asean Summit in Phnom Penh.

She also reiterated the Philippines’ commitment to the attainment of Asean’s objective of narrowing the development divide between its older and newer members.

According to the President, the signing of the Asean-China Declaration on the Conduct of Parties in the South China Sea is an important achievement, saying that it shows the steadfast consistency of Philippine-Vietnam taking the same position that led to the signing of the Declaration of the Regional Code of Conduct to achieve peace and security in the region.

The draft regional code of conduct was initiated during the Asean Summit in Hanoi four years ago under the Hanoi Plan of Action.

The Prime Minister said the most important event that took place this afternoon here was the signing of the Framework of Bilateral Cooperation Between the Government of the Republic of the Philippines and the Government of the Socialist Republic of Vietnam in the next quarter century and beyond.