Foreign banks were even more optimistic in declaring a more dramatic recovery of the peso after the May polls, saying it could bounce back to its early 2003 level of P52 to the dollar.

This was after the Bangko Sentral ng Pilipinas had earlier predicted a recovery of P54 to the dollar level in the aftermath of the election which is expected to be tightly-fought between incumbent President Gloria Macapagal-Arroyo and opposition standard bearer Fernando Poe Jr.

"It’s not far-fetched, we see that as a possibility," said John McGowan, treasury chief of the Hong Kong and Shanghai Banking Corp. (HSBC) Philippines.

According to McGowan, the market, however, would be watching the appointment of new officials to key positions on the fiscal and monetary departments.

"A hundred day honeymoon is usual while everyone is watching out who will be appointed into the economic team," McGowan said." It doesn’t really matter who will win, the important factor is the removal of the uncertainty.

He said foreign banks have no expectations of who will win the presidency, but he admitted that in a close fight, the incumbent with political machinery would win.

The peso began recovering this week, appreciating to as high as P55.66 to the dollar for the first time since January after results of opinion polls showing President Gloria Macapagal-Arroyo surging to a significant three-percentage lead over actor Fernando Poe Jr. were released.

Malacaņang today reiterated President Gloria Macapagal-Arroyo’s belief that a one-on-one presidential contest between the administration and the opposition in the May 10 polls would enable the electorate to make a better choice.

Presidential Spokesman Ignacio R. Bunye welcomed, in a radio interview with the RMN Network this morning, a possible united opposition that could emerge from the "make or break" talks between presidential candidates Fernando Poe Jr. and Senator Panfilo "Ping" Lacson, scheduled for tomorrow (Monday).

"Ang nasabi ng ating Pangulong Gloria, siguro ay mas maganda kung magkasama na sila para maginging talagang one-on-one race ito (What President Gloria (Macapagal-Arroyo) has said it might be better if they (Poe and Lacson) unite so that this would be a one-on-one race)," he said.

Bunye explained that, in a one-on-one contest, the voters would see the difference in both platforms of government offered and conduct of the political campaign being waged by the administration and the opposition.

On the part of the President, he said, she could demonstrate how her political campaign is conducted "at a high plane and in a civilized manner." This is in marked contrast with the mudslinging campaign style by the opposition, he added.

"Maipapakita rin niya iyong contrast noong maliwanag at specific programs hambing doon sa programa ng kabila na very general, motherhood statements at walang maliwanag na patutunguhan (She would also be able to show her clear and specific programs compared with those of the opposition, which are very general, motherhood statements and without clear goals)," he said.

Malacaņang refuses to comment on the possibility of former Senator and Education Secretary Raul Roco withdrawing from the presidential race for health reasons.

"We won’t enter into any speculations on this matter," Presidential Spokesman Ignacio Bunye said this morning in a radio interview.

If Roco can’t really go through with his candidacy for health reasons, his supporters are all mature and know what is best for them, Bunye said.

"Maybe they are now thinking whom they will choose. We leave it to them. They know what will be best for our country," Bunye offered.

Bunye admitted President Gloria Macapagal-Arroyo talked with Roco through the phone before the Alyansa ng Pag-Asa’s standard bearer left for the United States early last week.

But that was only to express her concern for his health and wish him a speedy recovery. After that, Bunye said he knows of no other communications between the President and Roco.

Roco has admitted he may withdraw from the presidential race if his health fails. However, he feels he can go on.

"If I find out that I would no longer be able to serve the Filipino people efficiently, I would tell them not to vote for me. But so far what the doctors are telling me is that I can still engage anyone in a debate the moment I return, even without sleep," Roco was quoted as saying from Houston, Texas where he is undergoing tests at an undetermined hospital to determine what really is his ailment.

‘The fight is on and I will try to be there before the end of the month," Roco also said from Houston.

All its obligations have been fulfilled in releasing the required logistics for the May 10 elections, Malacaņang stressed today.

Citing Budget Secretary Emilia Boncodin, Presidential Spokesman Ignacio Bunye said all the necessary funds have been forwarded to the Commission on Elections (Comelec) except for the honoraria of public school teachers who will man the precincts.

The funds for the teachers’ poll duty pay, which have been increased and will be given them in advance, will be available on or before April 26 as scheduled, Bunye clarified.

On the part of Malacaņang, everything that has to be done has been done, according to Bunye who stressed President Gloria Macapagal-Arroyo’s determination to have clean, honest, peaceful and credible elections.

Bunye also issued an appeal for the citizenry to stay calm, cast their votes and make sure their ballots are counted in the wake of disputes between the National Movement for Free Elections (Namfrel) and the Comelec.

BORONGAN, Eastern Samar - President Gloria Macapagal-Arroyo ordered Education Secretary Edilberto De Jesus today to ask the DepEd provincial director to provide a lot in the vicinity of the Eastern Samar National Comprehensive High School (ESNCHS) for a Day Care Center building.

The President issued the directive during the Pulong Bayan held at the ESNCHS gymnasium in response to the need of Barangay-C residents for a site for a Day Care Center building.

She also ordered the DepEd to fast track studies to improve the quality of teaching in the day care centers.

The President told a crowd of 5,000 from multi-sectoral groups who attended the Pulong Bayan, part of the plan of her ongoing Bridge School program is to develop and improve the teaching system in the Day Care Centers.

And to uplift the lives of residents, the President told them she has tasked the Philippine Tourism Authority (PTA) to put up quality hostel facilities in Guiwan town.

Known for its white sands, Guiwan can be developed like the world famous Boracay island beach resort to attract local and foreign tourists, the President observed.

If Guiwan is developed as a tourist spot, it would provide jobs to residents here, the President said.

The President also said she provided financial assistance for an irrigation project in Dolores Valley, the second biggest town in Eastern Samar.

CEBU CITY—President Gloria Macapagal-Arroyo batted here on Saturday for a stronger partnership between the government and the labor sector based on a continuing policy of consultation, friendship and cooperation.

In a speech delivered at a general assembly of the Association of Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) at the Waterfront Hotel here marking their 50^th anniversary, the President said she was so happy "to formalize our alliances."

The presidential address came on the heels of the ALU-TUCP endorsement of Mrs. Macapagal-Arroyo’s candidacy in the May 10 elections.

The President said the manifesto of support has "made it very clear that ALU-TUCP is part of our coalition Koalisyon ng Katapatan at Karanasan sa Kinabukasan (K-4)."

President Macapagal-Arroyo described the 1.2 million strong ALU-TUCP alliance as the "biggest labor federation in the country."

In her speech, the Chief Executive also called on organized labor to help maintain industrial peace in the country by doing away "unreasonable wage demands."

Democrito Mendoza and Cecilio Seno, national president and executive vice president, respectively, of the federation, presented the "Manifesto of Solidarity" with President Macapagal-Arroyo wherein they pledged unequivocal support to her candidacy.

The federation cited the President’s contribution to the promotion of welfare of workers, particularly in health care, housing, labor relations and other concerns and expressed confidence that her leadership would continue preserving and promoting investment climate, business confidence and job security of workers.

SORSOGON CITY—President Gloria Macapagal-Arroyo today presided over a groundbreaking ceremony for a P219-million New Sorsogon City Hall which will form part of a 21-hectare Satellite City in this capital of Sorsogon Province.

The ambitious project, to be funded by the Sorsogon City government, would establish a City within a City Complex that would include a modern City Hall, integrated transport terminal, public market, and an employees housing project.

President Macapagal-Arroyo who flew here from Catarman, Samar this afternoon, was joined by Sorsogon Governor Raul Lee, Sorsogon City Mayor Sally Lee and other provincial and city government officials at the proposed site of the new City Hall in Barangay Cabid-an, Sorsogon City.

"As landmark decision after a series of consultations, the integrated project will simultaneously construct a city hall, integrated transport terminal, public market and socialized housing project. All this shall be built in one lot area for acquisition by the city government. The site shall be dubbed the Satellite City," according to project plan distributed to media by the Office of the City Mayor.

Koalisyon ng Katapatan at Karanasan sa Kinabukasan (K-4) vice presidential bet Senator Noli de Castro would join President Arroyo in a Pulong Bayan at Sorsogon City Gymnasium, scheduled after the ground breaking rites.

The "Gloria – Kabayan" tandem is expected to tackle important issues affecting economic activities, peace and order and government services not only for Sorsogon but also for the whole of Bicolandia.