WASHINGTON, D.C. (via PLDT) – The three-day state visit of President Gloria Macapagal-Arroyo to the United States that formally starts here tomorrow, Monday morning (Monday evening in Manila), is expected to boost the financial and economic cooperation between the Philippines and the United States on top of renewed vigor in the two countries’ security and defense alliance, particularly in the fight against terrorism.

In a pre-visit press briefing at the Willard Hotel here this morning (Sunday evening in Manila), Finance Secretary Jose Isidro Camacho said that in his initial discussions with officials of the US Department of Treasury and Department of Trade, they have pledged to continue to extend assistance to the Philippine government in its economic development program.

He said he briefed these officials on economic updates and the reform programs that the government had implemented, including measures to reduce the budget deficit.

Camacho was part of the advance team that facilitated the state visit here of the President.

He said that he had already met with officials of the World Bank (WB), the International Monetary Fund (IMF) and the International Finance Corporation (IFC).

When asked if the Americans expressed concerns on the peace and order situation in the Philippines, Camacho said that since there is a framework of cooperation in security and defense, the subject could not be avoided.

Camacho said that during the visit, the President would witness the signing of a number of government-to-government and private sector agreements that would generate billions of dollars in new investments for the country.

He, however, declined to name these agreements so as not to preempt the President.

But Camacho said that economic-related projects that would be finalized during the visit are those in the power sector, rural electrification, port construction, meat processing, and solar-powered irrigation systems in the countryside.

In the same briefing, Acting Press Secretary Milton Alingod also cited the political and security aspects of the state visit, particularly the alliance between the two countries in fighting global terrorism.

Alingod said that the visit is all the more auspicious in the light of continued terrorist activities in the Southern Philippines and the announced US desire to help train and equip Filipino troops so that the terrorist threat in the country can be finally eradicated.

Alingod said that the Philippines and the US have shared a long and proud history, standing shoulder-to-shoulder in conflicts from World War II, Korea and Vietnam and lately in the war against terrorism.

He said that since the closure of the American military facilities in l991, the relationship between the two countries had moved to a more comprehensive and modern framework based on mutual respect and shared values.

According to Alingod, the state visit is a testament to the new enhanced relationship between the two countries and a recognition by the US and President Bush of the many successes of President Macapagal-Arroyo in reforming the Philippine economy and society and in her deep commitment to the war against terrorism.

Earlier, in a statement the President said that a new Asian perspective on political and economic security has emerged in the aftermath of the March 20 US-led action against Iraq.

This new perspective, the President said, must be based on the recognition that while Asia must take greater responsibility for its own political and economic security, it must also recognize that strong relations with the US will contribute greatly in the attainment of regional prosperity and stability.

In her talks with President Bush tomorrow at the White House, the two leaders are expected to tackle defense and security cooperation to include US assistance to the AFP modernization program, and specific anti-terrorism and anti-narcotics measures.

The President has said that there is a need for continuing US support for her administration’s anti-poverty program that would include the following components:

• investment priorities to create jobs for the Filipino people;
• agricultural modernization program with social equity;
• social development; and
• improved public governance.

WASHINGTON, D.C. (Via PLDT) -- The long-delayed recognition by the United States of the right of Filipino World War II veterans to equal benefits is being given a big boost with the state visit of President Gloria Macapagal-Arroyo that formally starts here tomorrow (late Monday in Manila).

In an expanded bilateral meeting at the Cabinet Room at the White House, the President is expected to appeal to President Bush for help in pushing for the passage of Senate Bill No. 68, also known as the "Filipino Veterans Benefits Improvement Act," sponsored by Hawaii Sen. Daniel Inouye.

Leaders of the Filipino World War II veterans from various parts of the US have been invited to attend the arrival ceremonies for the President tomorrow at the South Lawn of the White House.

On the second day of her state visit, the President will have a breakfast meeting at the Blair House with Senator Inouye and Senator Ted Stevens, both steadfast supporters of the veterans’ equity bill in the US Senate.

Another big break for the final approval of this bill was the introduction of another legislation in the US House of Representatives that would provide additional health care benefits for the Filipino veterans, all of them now in the twilight of their years.

The bill was introduced last week by Rep. Rob Simmons (R-Connecticut), chairman of the US House veterans’ affairs sub-committee on health benefits.

The President said that benefits provided by the US government should apply to all veterans and their survivors regardless of their country of residence.

Earlier, Filipino World War II veterans in the United States appealed to the President to urge President Bush to support the Inouye bill that would provide equitable package of benefits to 11,000 US-based and 34,000 veterans in the Philippines.

In an open letter to the President, the American Coalition for Filipino Veterans (ACFV) said that her three-day state visit to Washington, D.C. "could be the historic opportunity to settle our Filipino WW-II veterans’ claims once and for all."

If passed into law, the Inouye bill would allow Philippine-based veterans to receive $43 million annually in medical benefits and $100-a-month disability pension, while Filipino veterans in the US could get $17 million every year.

"With your successful partnership with President Bush and the grassroots support of two million plus Filipino-Americans, we can win our veterans bill, a legacy of your administration," the coalition said.

WASHINGTON, D.C (via PLDT)—The leaders of both the Senate and the House of Representatives have shown their unqualified support for the objectives of the three-day state visit here of President Gloria Macapagal-Arroyo that formally starts tomorrow (late Monday evening in Manila).

Senate President Franklin Drilon, Speaker Jose de Venecia, Jr., and Congressmen Teodoro Locsin, Oscar Moreno and Monico Fuentebella are part of the official delegation of the President that would attend state functions, including the state dinner hosted by U.S. President George W. Bush and First Lady Laura Bush at the White House.

From the Executive Department, the members of the official entourage include Executive Secretary Alberto Romulo, Foreign Affairs Secretary Blas Ople, Finance Secretary Jose Isidro Camacho, Agriculture Secretary Luis Lorenzo, Jr., Defense Secretary Angelo Reyes, Trade and Industry Secretary Manuel Roxas II, Energy Secretary Vincent Perez, Jr., Tourism Secretary Richard Gordon, National Security Adviser J. Roilo Golez, Philippine Ambassador to Washington, D.C. Albert del Rosario, and Ambassador Roberto Romulo for International Competitiveness.

The local governments were represented in the official delegation by Batangas Governor Hermilando Mandanas, Sulu Governor Yusoph Jikiri and Pampanga Vice Governor Juan Miguel "Mikey" Arroyo.

Both Senate President Drilon and Speaker de Venecia would sit in with other Cabinet members in the expanded meeting with President Bush and his Cabinet at the White House where the two sides would discuss issues of vital interests to their two countries.

WASHINGTON, D.C. (via PLDT)--Sulu Governor Yusoph Jikiri is part of the official entourage of President Gloria Macapagal-Arroyo in her state visit to the United States to emphasize the need for a strong RP-US alliance in the fight against terrorism, especially in Mindanao.

Jikiri and the other Muslim leaders in Sulu have earlier signified their approval for the holding soon of the Balikatan 03-1, a joint Philippine-US military training, in the Sulu.

The Balikatan military exercises are aimed at wiping out the threat of terrorist groups, like the Abu Sayyaf, and other criminal elements in Mindanao.

Like in the Balikatan 02-1 held last year in Basilan, the Sulu Balikatan will also have its socio-civic component that would include the construction of roads and other infrastructure projects as well as livelihood programs.

Aside from helping train Filipino troops, the United States, notably the US Aid for International Development (USAID), had also pledged to improve the lives of the rural poor and former combatants in Mindanao.

The inclusion of the Filipino Muslim leader in the official delegation of the President would also show that despite cultural differences, there is solidarity and brotherhood among Muslim and Christian Filipinos.

WASHINGTON, D.C. (via PLDT)—Finance Secretary Jose Isidro Camacho today said that the focus of assistance by American financial institutions is on the development of Mindanao, especially in conflict areas in Muslim Mindanao.

In a pre-visit press briefing held this morning (Sunday evening in Manila), Camacho said that the World Bank (WB) has led a consultative group for Mindanao.

"The focus of this WB-led consultative group is to harmonize all the different official development assistance (ODAs) for the rehabilitation and development of Mindanao," Camacho said.

Camacho has been a part of the advance team that has facilitated the state visit here of President Gloria Macapagal-Arroyo.

He said the World Bank has always been a strong partner of the Macapagal-Arroyo administration in its poverty alleviation program.

Camacho also said that the International Finance Corporation (IFC), the private sector component of the WB, has been very active in the Philippines. "Its pipeline on the Philippines is very heavy," he said.

He also clarified the reported sale of government properties in the United States, saying that there are ways of disposing these properties without necessarily selling them.

WASHINGTON, D.C. (via PLDT)—Philippine Ambassador to the United States Albert del Rosario today said that the state visit of President Gloria Macapagal-Arroyo "signals a new era in Philippines-US relations."

In a statement, del Rosario said that Philippine-American ties are no longer characterized by patronage nor transaction-driven based purely on consideration of compensation.

The relationship between the two countries, according to del Rosario, has developed into a "vigorous and quality partnership" based on shared values, mutual respect and mutual benefit.

Del Rosario said this transformation did not happen overnight as he credited the "forward-looking" foreign policy of the President for shaping and accelerating this process.

According to del Rosario, the state visit of the President "is a very much-awaited event by the Filipino-American community because it brings pride to them as a people and dignity to their native country."

Del Rosario said that this is only the third state visit accorded so far by US President George W. Bush since he assumed office and the second time that the American leader has invited the President to visit him at the White House.

In November 2001, President Bush also invited the President to the White House during a weeklong official visit to the US.

The Filipino-American community is scheduled to host a dinner tonight (early Monday morning in Manila) for the President and her official entourage.

WASHINGTON, D.C. (Via PLDT) – President Gloria Macapagal-Arroyo said here Sunday night (Monday in Manila) that her administration is not closing its doors to a possible peace with the Moro Islamic Liberation Front.

During a briefing with the media at the Willard Hotel here, the President said that in her administration, "there is always room for peace for those who turn their backs on terrorism."

"They can come individually, or they can come in groups, or they can come as one whole group. But I said they must turn their backs on terrorism publicly," she said.

"They must surrender whose among them who are guilty of the terrorist attacks that have repulsed Philippine and world opinion and they must not only stop but also explicitly renounce terrorism," the President added.

She said that although she called on the MILF to prove that it is not linked to known terrorist organizations or undertaking terrorist activities, she said she didn't set a June 1 deadline for the MILF.

"The reported June 1 deadline for the group to renounce terrorism never came from me," the President said.

"In any case, declaring or not declaring doesn't really mean much. The important thing is that we are engaging punitive actions against those who committed terrorist acts," she said.

The President noted that the individuals who committed terrorist acts "are terrorists and we are running after them."

"It doesn't mean much whether a specific organization with a proper noun is declared terrorist or not, because whatever their affiliation, if they commit terrorism, they violate the law and we run after them," she said.

The President earlier said she is awaiting the result of the meeting of the Organization of Islamic Conference (OIC) before deciding on declaring the MILF a terrorist group.

Before departing Manila for a state visit to the US, the President ordered the military to "launch aerial and artillery attacks on embedded terrorist lairs in Mindanao."

She said the order is the most forthright way to achieve peace after all warnings have come to naught.

"We will exact retribution for the slaughter of innocent civilians, and we shall not relent in our pursuit to annihilate terrorists with the help of allies in the region and the world. Our people must be calm but remain fully alert against reprisals. Threatened communities must put their contingency plans in action. We shall provide relief for those who are temporarily displaced by punitive operations," the President said.

WASHINGTON, D.C. (Via PLDT) -- President Gloria Macapagal-Arroyo announced here Sunday night (Monday in Manila) that Dean Devlin, the Filipino-American producer of Hollywood blockbuster movies like "The Patriot," "Independence Day" and "Godzilla," will help in pushing for the passage of the long-awaited equity bill for Philippine World War II veterans.

Speaking before the Filipino community gathering at the Capitol Hilton Hotel, the President said Devlin is willing to produce a video that would seek support for the Filipino veterans bill.

Devlin's plan surfaced, the President said, during a dinner meeting with the producer at the Regent Beverly Wilshire Hotel in Los Angeles.

The President said Devlin earlier produced a video documentary on Filipino veterans and revealed that he's willing to do another to help the veterans’ cause.

The President also announced that there will be a film festival showcasing the movies of four Filipino-American Hollywood artists such as Devlin, Lou Diamond Phillips, Tia Carrere and Rob Schneider.

"Many Filipino do not know that these icons in mainstream Hollywood are Filipino-Americans," the President said.

She noted that the film festival would be held during the Philippine-American Friendship Week in July. Proceeds of the festival could go to the lobby funds for the equity bill.

"This is a great way to showcase Philippine-American ties. We should be proud of those Hollywood stars and big Hollywood producers who are very, very proud of their mothers who are Filipinos," she said.

The President said she would raise the issue of the equity bill for Philippine veterans during her talks with President George W. Bush.

She said she is confident that at least as a beginning, President Bush will support legislation, extending full rate service-connected disability compensation, eligibility for burial at national cemeteries, burial benefits for new scouts lawfully residing in the United. States, full rate dependency and indemnity compensation to the survivors of new scout, commonwealth army veterans and guerillas who lawfully reside in the US and the reauthorization for the regional veterans affairs in Manila.

"As a beginning, these benefits will come with an appropriation of $75 million," she said.

The President also announced that she has appointed Jerry Adevoso, the son of famous guerilla Terry Adevoso, to be the representative to the US of the Philippine Veterans Administration.

WASHINGTON, D.C. -- Filipino-Americans here today paid visiting President Gloria Macapagal-Arroyo a tribute, citing her "courage, intelligence and foresight" in leading the Philippines.

Speaking in behalf of the 700 representatives from various Filipino-American organizations all over the United States, Irene Natividad, head of the Philippine American Foundation, cited the President's resolve in improving the peace and order situation and the country's economy.

"You have been determined in stamping out violence against Filipino civilians at home from Mindanao to Manila," Natividad said.

She also cited the fact that the President was among the first Asian leaders to express support to the US-led war against Iraq.

Natividad likewise noted the accomplishments of President Arroyo's administration in "trying to turn around the economy by instituting fiscal reforms and inviting investors from all over the world to invest in the Philippines."

"Most importantly, this President has been working to address poverty in the Philippines which is the root cause of conflict and terrorism," she stressed.

Natividad noted that it is not only the Filipino-American community that recognizes the accomplishments of the Arroyo administration, but even the US government, which has exhibited this recognition with an invitation for a state visit.

"She is only the third to be honored during the tenure of this (US) President," Natividad said.

Filipino-American businesswoman Loida Nicolas Lewis, on her part, noted that while the President has been determined to fight the war in Mindanao, she has not neglected the plight of the civilians victimized by violence.

WASHINGTON, D.C. (via PLDT)—President Gloria Macapagal-Arroyo and her official delegation arrived at the Dulles International Airport here at about 5:00 p.m. (5:00 a.m. Monday in Manila) from Los Angeles, California, the first leg of her state visit to the United States.

The President and her official party, that included Senate President Franklin Drilon and Speaker Jose de Venecia, Jr., were welcomed at the airport by Ambassador Donald Ensenat, US chief of protocol, and Philippine Ambassador to the US Albert del Rosario.

The President’s official entourage, which included some Cabinet members and congressmen, took a chartered aircraft on their flight to the US capital from Los Angeles.

From the airport, the President, First Gentleman Jose Miguel Arroyo and 18 other members of her party were ferried by two helicopters provided by the US government to Fort McNair where a preliminary welcome ceremony was held for them.

The formal arrival ceremonies will be held Monday at the South Lawn of the White House where the President will be welcomed by President George W. Bush and First Lady Laura Bush.

At Fort McNair, the President was accorded with simple welcome ceremonies that included the playing of the national anthems of both countries.

She was also introduced by Ambassador Ensenat to the ambassadors of the Asean member-countries and other US officials.

Before being escorted to their vehicles for the motorcade to Blair House where she will stay during her visit here, the President shook hands with about a hundred members of the Filipino-American community here.

WASHINGTON, D.C. (Via PLDT)—The highly-prestigious Washington Post, featured in its Sunday edition the state dinner that US President George W. Bush would tender Monday at the White House for visiting President Gloria Macapagal-Arroyo.

In her article entitled "When’s Dinner? In May," Post staff writer Roxanne Roberts said that in contrast to his predecessors, Bush has only hosted three state dinners for the past three years of his presidency, or only once a year.

With the article’s subtitle, "On W’s Formal Menu, Everything is Rare," Roberts said that "if you’re not invited to this one, don’t hold your breath."

She said that Bush’s dislike for formal events is an open secret "and terrorism and war have certainly put a damper on glitzy presidential socializing."

But even so, Roberts said, this was a sharp departure from the traditional displays of international friendships that characterized previous US governments.

She said President Reagan hosted more than 50 state dinners during his eight years in office; President Bush’s father held more than 20 dinners in just four years; and President Clinton over 30 during his two terms.

The only other two world leaders who have been accorded state dinners by Bush were Mexican President Vicente Fox in 2001, and Polish President Aleksander Kwasnievski in 2002.

According to Roberts, Monday’s state dinner at the White House is Bush’s way of saying "thank you" to President Macapagal-Arroyo, to the Philippine government and the Filipino people for their "stalwart efforts" in fighting terrorism and as a reliable ally of the United States.

"The President wants to express the gratitude and appreciation of the American people and himself by hosting a state visit," Roberts quoted White House Press Secretary Ari Fleischer as saying in an earlier press briefing.

In a brief item on its World News section, the Post also published an AP wire report that said the President Macapagal-Arroyo has authorized the Philippine military to use bombing and artillery attacks on terrorist cells in Mindanao.

The wire report said that the President made the announcement in live television interview just hours before she left for the state visit to the US.

Feeling the heat.

That probably best describes the on-the-run Moro Islamic Liberation Front (MILF) at the onset of the punitive military attacks on selected rebel lairs in Mindanao today as the Armed Forces of the Philippines revealed several surrender feelers from top rebel commanders.

Southern Command chief Lt. Gen. Roy Kiamco confirmed in a press briefing that MILF commander Asis Marumadla, alias Kumander Tropikal, has already surrendered to the commanding officer of the 47^th Infantry Battalion in Maguindanao.

Marumadla, commander of the Third Battalion of the 103^rd Brigade of the Bangsa-Islamic Armed Forces, surrendered with four assorted high –powered firearms, according to Kiamco.

Kiamco said other surrenderees, whose names were withheld for their safety, were also received in Davao, far from the target areas, and Lanao, along with their firearms.

"In Maguindanao, there are also feelers but in the Lanao area, there are already firearms in the possession of our people who have received the surenderees," Kiamco explained.

The Southcom chief refused to mention any specific timetable for the crackdown ordered by President Gloria Macapagal-Arroyo on armed groups that have been staging terrorist acts in Mindanao.

Instead, what he is happy about is how civilians are making things easier for the military to hunt the rebels because of their cooperation.

"If they (the rebels) continue to stay there, with the people’s participation, I would say the operation would be accelerated and it would be faster," he said.

In the same briefing, Kiamco reported the capture of the headquarters of MILF Brigade Commander Bravo and Division Commander Yaya Luksa Datu in Munai.

Munai is a rebel base where Bravo, Yaya Luksa Datu and their men withdraw after every terrorist act they make in the populated communities.

WASHINGTON, D.C.---President Gloria Macapagal-Arroyo today witnessed the signing of two agreements aimed at boosting the development of small and medium enterprises (SME) in the Philippines, and providing assistance to distressed Filipino nationals in the United States.

Under the first agreement, the Philippine-American Chamber of Commerce of the Metropolitan Washington DC area (PACC-DC) committed to undertake a program to support the development of SMEs in the Philippines.

The commitment was embodied in a memorandum of understanding (MOU) between the PACC-DC and the Counterpart International, Inc., (CPI), an organization composed of members of the Filipino community here.

Under the MOU, the PACC-DC commits to undertake projects selected from a list to be provided the CPI.

The second agreement signed between Foreign Affairs Secretary Blas Ople and National Federation of Filipino-American Associations (NAFFAA) chair Loida Nicolas-Lewis and Philippine-American Bar Association of Greater Washington, DC Inc. president Miriam Bustamante provides for a framework by which the Consular Posts in the US could collaborate with interested Filipino-American community organizations in providing protective consular assistance to Filipinos in distress.

"It aims to address the constraints and limitations on the resources of the government in providing consular assistance to Filipino nationals by involving the vast network of Filipino-American organizations," a briefing paper on the agreement stated.

A Liaison and Joint Working Group shall be established to provide a better channel of communication between Consular Posts and the community organizations to be able to provide more dependable assistance to distressed Filipinos.

The government’s rehabilitation efforts in war-affected areas in Pikit, North Cotabato and Pagalungan, Maguindanao continue amid the heat of ongoing punitive military actions against the separatist Moro Islamic Liberation Front (MILF) and the terrorist Abu Sayyaf kidnap-for-ransom group.

National Anti-Poverty Commission (NAPC) lead convenor Teresita Deles said relief and rehabilitation efforts included the construction of the road straddling Pikit and Pagalungan, major entry points of residents in the two adjacent towns to the Liguasan Marsh.

"The construction of the road is ongoing and almost to be completed so that the Liguasan Marsh will be accessible," Deles said during a briefing in Malacanang.

Deles, who heads the rehabilitation in Pikit, said that while the hostilities are ongoing, concerned government agencies proceeded with the infrastructure project under guard by government troopers to ensure that work could continue and livelihood projects put in place.

She added the land tenure instruments for occupants to enable ownership or control of their respective areas in the Liguasan Marsh are being reviewed.

During the briefing, Social Welfare Secretary Corazon Juliano-Soliman said the agency has focused relief and rehabilitation efforts in Pikit which was declared earlier as a zone of peace by President Gloria Macapagal-Arroyo.

Soliman said relief operations continue in evacuation centers in Pikit even as some residents in affected barangays have started harvesting produce from their areas.

"We already began buying from the internally displaced people (IDP) who have returned," she said.

She added that some P100,000 worth of mongo beans and P350,000 of "pangos" (dried fish) have been bought from the farmers in the Liguasan Marsh.

"So instead of sardines and noodles, we’re already giving out mongo beans and pangos fashioned and harvested by the IDPs themselves," Soliman said.

She added the Department of Agriculture (DA) also handed out 25 bancas to affected residents in the Liguasan Marsh.

Madam President, Attorney Arroyo, members of the Philippine delegation, members of Congress, and distinguished guests: On behalf of the American people, Laura and I welcome you to the United States.

This is the first state visit by the leader of an Asian country during my administration. You honor the American people with your visit, because our two nations share special ties of history and friendship and family. And we share a commitment to the defense of democracy and the advance of freedom.

Just over a century ago, Americans and Filipinos worked side by side to liberate the Philippines. Nearly half a century later, in a world war, our soldiers fought and died together in places like Bataan and Corregidor. And on this foundation of common sacrifice, America and the Philippines built an alliance that remains strong, an alliance that is essential to the peace of the Pacific.

In this new century, both our nations are threatened by terrorism, and we are determined to fight that threat until it is defeated. Our diplomats, and law enforcement and intelligence officers are working arm-in-arm to disrupt terror plots, to cut off terrorist financing, and to bring the terrorists to justice.

President Arroyo has welcomed American troops to train and advise their Philippine counterparts in Philippine-led anti-terror operations. And she has been a leader in building broader cooperation against terror throughout the Asian Pacific region.

Madam President, for all you have done to make our world safer, America thanks you.

Last week's terrorist attacks in Saudi Arabia that killed innocent civilians from the United States, the Philippines, and many other nations, remind us that the war on terror continues. The world's free nations have the courage and the determination to fight this war. And together, we will defeat the forces of global terror.

President Arroyo also recognizes the threat posed by weapons of mass destruction. And she spoke with strength and conviction of the need to disarm the Iraqi dictator and to liberate the Iraqi people. Now the Philippines is helping Iraq take its place among free nations by sending military police and medical personnel. The President and I both recognize that a free and secure Iraq is good for the Philippines, is good for America, and is good for the world.

We share great goals in the world. We are committed to opening markets in Asia and around the world to bring more people into an expanding circle of development and prosperity. And we are committed to adding the moral and material resources of our countries to the global fight against poverty and hunger and disease.

The partnership between our nations is sustained by the friendship between our peoples. More than 2 million Americans trace their ancestry back to the Philippines, and they enrich our national life. Many Filipino Americans serve in our military, and I'm proud to recognize one of them today. Army Lieutenant General Edward Soriano is one of the highest-ranking Filipino Americans in the history of America's military. He brings pride to both our countries, and we honor his service in the cause of freedom.

President Bush, Mrs. Bush, Vice President Cheney, Mrs. Cheney, Secretary Powell, Mrs. Powell, Secretary Rumsfeld, General Myers, officials of the U.S. government, excellencies of the diplomatic corps, ladies and gentlemen. Thank you, President Bush, for inviting me to this state visit. It only confirms that relations between our two countries are deeper and warmer today than they have been in a very long time.

Today our two countries have a revitalized and maturing alliance, rooted in shared history, shared values, a common interest in global peace and prosperity, and a real commitment to combating terrorism and advancing freedom.

Our alliance abides strong as ever, even as the world today requires a new perspective on political and economic security in Asia Pacific. This new perspective must recognize that while Asia must take greater responsibility for its own political and economic security, it must also recognize that strong relations with the U.S. will contribute greatly to regional peace and prosperity, stability and security, especially from terrorism.

Thus we, your friends, must find a way to support continued and active engagement with the U.S. at a time when there are some forces in my region working against such a relationship. Although wisdom counsels commitment, in the face of terror the temptation to disengage is strong. We must fight that temptation, because the answer to fear is confrontation. Indeed, we must close ranks and stand firm against terrorist threats, however grave, however armed, and from whatever quarter.

To spare themselves, some countries might prefer an accommodation with terrorism. The Philippines has chosen to fight terrorism. We compensate for such modest means as we command with an unshakable resolve to defeat terrorism once and for all, and with faith in the justice of our cause and our friendship with the United States.

Our war on terrorism has made significant gains, but the threat is far from over. The war is not yet won. But it will be won, there can be no doubt. How long and at what cost are the only things in doubt. As the terrorist attack in Riyadh, which took both Filipino and American lives, shows, for the Philippines, the new perspective on economic and political security in Asia Pacific must take into account the over seven million of our men and women who, in seeking a better life abroad, contribute greatly to the development of economies around the world, not least that of the United States.

I am proud of these Filipino Americans. I am proud of the contributions that Filipinos and Filipino Americans make to the American economy and society. In a quiet, but equally substantive way, we can compare it to the contribution made by Philippine World War II veterans to the defense of our common freedom and security.

I also take pride in the robust economic and trade ties that bind the Philippines and the United States. The Philippines is pursuing long-needed economic reforms. The current and continuing reforms will strengthen the Philippine republic. They will make easier Philippine and American economic cooperation, and they will promote the cost of fighting world poverty.

I appreciate the help of President Bush in our work to alleviate poverty and other socio-economic ills from which terrorism draws its strength. Like the fear on which it feeds, terrorism can be contagious, and it will not be contained unless we agree on a comprehensive approach for defeating it in Southeast Asia.