President Gloria Macapagal-Arroyo today announced the arrest in Cotabato City of two suspects in the Sasa Wharf bombing and at the waiting shed of the Davao City International Airport by joint elements of the Armed Forces of the Philippines (AFP) and Philippine National Police (PNP).

The President made the announcement during the testimonial parade and review in honor of outgoing AFP Chief of Staff, General Dionisio Santiago and the formal turnover of command to new AFP Chief of Staff, Gen. Narciso Lazo Abaya. The ceremonies were held in Camp Aguinaldo in Quezon City this morning.

"I am happy to take this opportunity to announce that at 7:30 in the morning today in Cotabato City joint operations by the AFP and PNP elements led to the arrest of two personalities involved in the Davao City bombings," the President said.

The President identified the two suspects as a certain Toto, the man who allegedly planted the bomb at the Sasa Wharf, and Tahome Urong.

According to the President, based on the report she received from police authorities, both Toto and Urong were also allegedly involved in the bombing last month of the waiting shed of the Davao City airport where many innocent civilians were killed and seriously injured.

The President said that the two suspects were arrested by virtue a warrant of arrest issued by a judge in Cotabato City.

She said that the arrest of the two suspects was a "good welcome present" for new AFP Chief of Staff.

The President also said that based on reliable intelligence reports some Indonesian nationals were involved in the recent spate of terrorist activities in Mindanao.

Because of this, the President directed Abaya to work closely with the Indonesian government to address the issue.

The President ordered Abaya to consolidate and tighten regional vigilance and to inform the people about the presence of Indonesian nationals who have links with Al Qaeda terrorist group.

President Gloria Macapagal-Arroyo today said she continued to pray that the resistance to the United States-led coalition forces now in Iraq can be converted into cooperation so that the war can end and humanitarian work can begin.

In her policy speech at the formal turnover of command of the Armed Forces of the Philippines (AFP) to Gen. Narciso Abaya in Camp Aguinaldo in Quezon City, the President said that humanitarian crisis should now be placed "on the top deck of priorities" and that reconstruction work can begin in the embattled country, both in the physical and psychological plane.

Earlier, the President has said that the Philippines is ready to provide peace-keeping and humanitarian assistance to Iraq. The Philippine is a member of the US-led "coalition of the willing" but it has no combat troops in Iraq

"It is time to think of how best to help the Iraqi people recover from the ravages of war, and to restore their economic and political institutions," the President said.

The President said that she looks forward to the day when freedom and dignity can be restored to the Iraqi people that they "will regain their time-honored prestige and democratic power in the Middle East and the world."

President Gloria Macapagal-Arroyo has appointed Manuel R. Sanchez as chairman of the Energy Regulatory Commission (ERC) for a term to end on July 10, 2008.

Earlier, the President appointed Fe Barin, former ERC chairman, to the Monetary Board.

A lawyer by profession, Sanchez has served at various times as Congressman of the first district of Rizal, undersecretary of the Department of Interior and Local Government (DILG), Press Undersecretary, undersecretary of the Department of the Environment and Natural Resources (DENR) and, immediately prior to his appointment, as chairman of the Laguna Lake Development Authority.

Sanchez is married to the former Ildemira Andres by whom he has two children.

The President has also appointed Robert C. Nacianceno as General Manager of the Metropolitan Manila Development Authority (MMDA), the same position he held during the administration of President Fidel V. Ramos.

Nacianceno has been the commissioner for finance of the Metro Manila Commission, MMDA’s forerunner, from l986 to l990.

The welfare of the people comes first.

This, according to President Gloria Macapagal-Arroyo is foremost in the entire government strategy and approach to the dreaded killer pneumonia, more popularly known as SARS or severe acute respiratory syndrome.

In her speech at the turnover ceremonies of the Armed Forces of the Philippines in Camp Aguinaldo in Quezon City, the President emphasized that substance, not form is a primary consideration in approaching the SARS crisis which, she said , runs parallel to the government’s institutional approach to all socio-economic issues.

She also stressed that the full force of the government agencies will have to be consolidated to counter the menace which has already claimed the lives of 100 people worldwide.

"I ask the people for their continued cooperation, support and sobriety," she said. "Together in mind and heart we will beat this menace."

The President has earlier announced the allotment of P1.5 billion contingency fund for the disposal of the SARS crisis management team headed by Health Secretary Manuel Dayrit for measures to block the entry of the disease in the country.

So far, the Philipines has remained SARS-free although there has already been a reported death of a Filipina overseas worker in Hong Kong due to the disease.

In a related development, the President reminded the SARS management team to "make sure that there are no gaps" in preventive measures to keep SARS from spreading to the Philippines and enforce all quarantine requirements in all major ports of the country.

The President was reacting to reports that quarantine officials at the Laoag International Airport, where most travelers from Taiwan enter the country, were lax in screening passengers.

Dayrit immediately denied this, saying that the quarantine services at the Laoag airport were ‘in fact, strict."

Newly sworn-in Armed Forces Chief of Staff Gen. Narciso Abaya today sternly warned insurgents and terrorists against denting state moves to build a strong Republic, saying the military was ready to quash any group that employs fear and violence to further their vested interests.

Abaya said the Armed Forces of the Philippines (AFP) "will not allow – and shall never allow – the dismemberment of this Republic whatever the cost or sacrifice."

In a speech during the turnover of the AFP command from Gen. Dionisio Santiago at Camp Aguinaldo, Abaya said the AFP mission was clear, that is "to march to the beat and cadence of the clarion call" of President Gloria Macapagal-Arroyo for a strong Republic.

He said the AFP, tasked to protect the people and to secure the sovereignty of the state and the integrity of the national territory, would remain "at the forefront of efforts to fight terrorism and insurgency and enforce peace in our land."

"We shall protect every Filipino community as if it were our very own family," he added.

Abaya cited two principles that the President has laid out as essential to building a strong Republic.

The first, he said, is independence from class and sectoral interests so that the Republic would stand for the interests of the people rather than a powerful few.

The second is the capacity, represented through strong institutions and a strong bureaucracy, to execute good policy and deliver essential services, he added.

Abaya also vowed to maximize the AFP’s manpower and budget, placing them "in favor of service or where they are needed most."

He said the AFP modernization would be prioritized on the more pressing needs of the country’s internal security concerns "but mindful of other defense and security imperatives."

However, the AFP would cut on non-mission-essential activities and generate savings that could be channeled into mission-essential ones.

Simultaneously, he promised to gear the AFP into efforts to win the war against poverty.

He disclosed that day care centers for children of military men have been put up and maintained. So were financial assistance given to children of enlisted men for their college studies.

Members of the AFP would be role models for a strong Republic, Abaya said, adding that soldiers would be fortified with the "values of duty, honor, valor, loyalty and solidarity."

Besides these, AFP officers and men are expected to reflect the values of honesty, integrity, professionalism, camaraderie, teamwork and cohesion, Abaya said.

Abaya likewise disclosed that he had developed the AFP’s military doctrines and what had been tested in the Southern Command, his former post, would be carried out in the AFP.

Acting on the joint recommendation from the Department of Foreign Affairs (DFA) and the Department of Labor and Employment (DOLE), President Gloria Macapagal-Arroyo today ordered the lifting of the ban on the deployment of overseas Filipino workers (OFWs) to Saudi Arabia, Kuwait and Israel.

The presidential directive was arrived at based on reports from the Philippine embassies in the three countries and Special Envoy Roy Cimatu declaring the situation in Kuwait, Saudi Arabia and Israel as "calm and normal."

All travel to Iraq, however, remains suspended. Foreign Affairs Secretary Blas F. Ople said the Philippine government is committed to help address the humanitarian concerns of the Iraqi people in the post-war rebuilding of Iraq, jointly with other members of the international community.

In a previous order, the DFA and DOLE imposed a ban on travel and work in the Middle East except for OFWs staying in Manila on vacation leave and those who fell under any of the following categories:

• Those whose families remained at the worksite;

• Those whose work sites are situated far enough from the battle areas; and

• Those whose work visas are about to expire.

President Macapagal-Arroyo has decided to lift the ban to enable workers who have completed all their travel and work documents after the outbreak of war to leave for the Middle East. She, however, instructed the DFA and DOLE to continue monitoring the situation in the Middle East.

"We are optimistic that the conflict in Iraq will not spread to other places in the Middle East. Our posts abroad are maintaining a tight watch on the war in Iraq and its effects on other Middle East countries," Ople pointed out, adding that the lifting of the ban will be periodically reviewed based on events unfolding in the Middle East.

Acting Labor Secretary Manuel Imson and the DOLE will issue the necessary orders to the Philippine Overseas Employment Administration to process contracts of Middle East bound OFWs. "Most of these workers have a deadline to meet with their employers and further delay in the issuance of their contracts would severely hamper their employment opportunities." Imson said.

Meanwhile, Cimatu said the Middle East Preparedness Team is actively involved in helping Filipino workers in the region deal with the outbreak of war. "The Filipino workers here in Kuwait and other Middle East countries are generally calm. They are more worried about the anxiety of their families over the Iraq war." Cimatu added.

President Gloria Macapagal-Arroyo has ordered the Armed Forces of the Philippines (AFP) and the Philippine National Police (PNP) "to prevent and suppress acts of terrorism and violence" in Southern and Central Mindanao regions.

The President, in issuing General Order No. 3 last April 3, also stressed that in carrying out the order, the AFP and the PNP should give "due regard to the constitutional rights of every individual."

She issued the order in accordance with the powers vested in her under Article VII, Section 18 of the Constitution as President and Commander-in-Chief.

The President noted that lawless elements have once again launched bomb attacks in the two regions, most recently at the Sasa wharf in Davao City, resulting in the loss of lives and destruction of property.

They have continued to threaten and perpetuate acts of terrorism and lawless violence in open defiance of duly constituted authorities, she said, adding that it was imperative for government to respond immediately and effectively "to avert further loss of innocent lives."

In a related Memorandum Order 94, the President called for coordination between the Department of National Defense (DND) and the Department of the Interior and Local Government (DILG) to deploy military and police personnel against terrorist groups in Regions 11 and 12.

Likewise, she asked the DND and the DILG to cooperate with local authorities in intensifying community and barangays defenses and in formulating and implementing anti-terrorist action plans.

The President enjoined all local government units in Regions 11 and 12 to lend their fullest support and cooperation to government moves against terrorists.

She directed the intelligence services of the AFP and the PNP to jointly intensify and focus their operations against persons or groups responsible for committing or conspiring to commit acts of violence.

The President also ordered the:

• Department of Justice to closely coordinate with the PNP in the immediate arrest, without bail, and the prosecution of all persons or groups engaged in terrorism.

• Department of Social Welfare and Development to extend emergency relief assistance to bombing victims and other acts of terrorism and lawless violence.

• Office of the Presidential Adviser on the Peace Process and the Presidential Adviser for Special concerns to strengthen existing back channels to enlist the full support of all stakeholders against terrorism in Mindanao.

President Gloria Macapagal-Arroyo today gave outgoing Armed Forces of the Philippines chief of staff, Gen. Dionisio Santiago, a big salute for giving her administration some of the greatest victories against terrorism and insurgency and welcomed Gen. Narciso Abaya by describing him as a "worthy successor."

In a Change of Command ceremony at Camp Aguinaldo, the President lauded both Santiago and Abaya for drawing up 14 operational manuals and primers in response to her directive of modernizing the Philippine doctrine that neutralized several ranking Abu Sayyaf members.

According to the President, Santiago, during his watch as chief of staff, cut the size of the Abu Sayyaf into half and dealt the notorious terrorist group a crippling blow.

She said Santiago slowed down the expansion and recruitment of the New People’s Army (NPA) even as he stepped up the soldiers’ involvement in building basic infrastructure, helping rehabilitate victims of the conflict and natural disasters and intensifying the AFP’s participation in the government’s Kabuhayan Laban sa Kahirapan (KALAHI) program.

"Because of this, Dionet (Santiago) won more hearts and minds in our fight against terrorism and poverty," the President said.

In her speech, the President lauded Santiago for giving her administration the most "expansive" victory in the campaign that covered Colombo, President Roxas and Sultan Kudarat. She cited in particular the Battle of Buliok where she said Santiago gave the greatest victory to her administration.

Calling Gen. Abaya a worthy successor, according to the President, is an understatement.

"From the early months of my term as President, I could already see that many of his seniors recognized his potentials as chief of staff," the President said. "I could already see that many of their young officers looked up to Gen. Abaya as their eventual leader."

The President said Abaya was a high school valedictorian, the highest ranking Filipino cadet officer in the history of West Point, topnotcher in the engineering board exams and a military officer who possesses a magnificent battle record as field commander.

"On top of all that, he has a faultless reputation for integrity," she said. "No wonder then that much is expected of him."

President Gloria Macapagal-Arroyo today stressed the role of science and technology in government efforts to carve a niche for the Philippines in the field of global Information and Communications Technology (ICT) in the 21^st century.

The President noted the drive of Science and Technology (S&T) Secretary Estrella Alabastro to keep the country at par with other nations in improving information access quality by 2004.

During a meeting of the National Economic and Development Authority (NEDA) Executive Committee that she also chairs, the President said enhanced S&T programs could push higher productivity and competitiveness.

The meeting in Malacanang discussed the state of S&T in the country and where it would be in 2004 and the key commodity road maps of the Department of Agriculture.

Meanwhile, Agriculture Secretary Luis Lorenzo, Jr. informed the President that the key commodity road maps covered trading programs for the country’s agricultural sector in the next 15 months.

Lorenzo said it also discussed assessments for supply and demand, imports and exports, benchmarks of competitiveness, the supply chain, strategy formulation and growth areas.

He disclosed a food highway action plan of five specific commodities – rice, corn, livestock, vegetables and aquaculture.

The rice program road map is aimed at closing the import gap, while increasing the productivity and income of farmers.

The corn program road map aims to reduce the logistic cost from P1.81 kilogram to P1.14 kilogram and of the price of corn to at most P8 kilogram to the end-user from P8.64 kilogram.

It is also geared to increase the income of a corn farmer to at least P16,000 per hectare from P7,112 per hectare.

The local production of the livestock and poultry industries for the next 15 months will be maintained at commercial farms; with backyard production rising to 4.55 percent overall.

Lorenzo said that at the current peso-dollar exchange rate and current out-quota tariffs, local production of pork, beef cuts and chicken could "compete" with or substitute for imports.

The vegetable road map will likely bring down imports. Industry growth is expected with the reduction of post harvest losses to 7 percent, while improving prices from assured product quality and product exports.

In the field of major aquaculture commodities, Lorenzo said programs would:

• Ensure the cheap supply of quality tilapia and bangus fingerlings;

• Provide jobs and raise the income of fisher folk;

• Increase production of tilapia by 37,000 metric tons, bangus production by 25,000 metric tons; and seaweeds by 151,000 MT; and

• Promote value added for the three selected aquaculture commodities for export.

President Gloria Macapagal-Arroyo today announced that she has ordered the Department of Foreign Affairs (DFA) to craft an executive order that would put up a 500-member Philippine task force which would provide humanitarian aid to post-conflict Iraq.

The President, who made the announcement during the regular teleconference at the Presidential Briefing Room, said the task force aims to assist Iraq from the ravages of war and restore its economic and political institutions as soon as possible.

The President said the task force is envisioned to be in Kuwait immediately to join humanitarian groups from other countries.

She said the Department of National Defense is the lead agency in such undertaking. The department would put up a committee which would form the task force.

President Gloria Macapagal-Arroyo today said she is inclined to favor the recommendation of Philippine meat associations to suspend, if not ban, the importation of meat from China.

Several meat associations have said this move could prevent contamination of the Severe Acute Respiratory Syndrome (SARS), which, the World Health Organization has said, might have come from livestock. The virus is believed to have originated from a Southern China province.

During a teleconference at the Presidential Briefing Room in Malacanang, the President said she has talked to Agriculture Secretary Luis Lorenzo and informed him that she would prefer such recommendation.

SARS has killed more than 100 people and has caused a global health scare.

Reports said WHO is working on a theory that the virus has its source in farm animals in southern China.