The government is drawing up measures to improve competitiveness of the Philippine industry in the world market, according to Socio-economic Planning Secretary Romulo Neri.

"The private sector is willing to collaborate with the government in this effort," Neri said. Neri has proposed several measures to improve the country’s competitiveness.

"The government must adhere to the tariff reform program to lower cost of production, especially on materials used in export goods, pursue air liberalization, especially on cargo; shift to productivity-based wage; and fiscal discipline to ensure macroeconomic stability," he said.

Citing a report from the National Statistics Office (NSO), the government’s primary statistical arm attached to NEDA, Neri noted that exports increased 4.1 percent to $2.73 billion during the same month of 2003.

"This is better than the 2.3 percent growth in the same period last year although slower than the 9 percent growth in December 2003 and the full year export growth target of 10 percent," he said.

The NSO report revealed that total electronics products rose 1.3 percent while semiconductors contracted anew by 5.6 percent, after a recovery in December 2003.

The strong expansion in electronic products was due to growth in electronic data processing, or EDP, (15.54 percent), communication/radar (7.13 percent), medical/industrial instrumentation (142.68 percent), and automotive electronics (64.62 percent).

The decline in semiconductors partly reflects the shift in the filing of export documents through the automated export declaration system (AEDS) wherein some companies may be reporting only the value added excluding the consigned raw materials value of the exports. There are also changes in pricing of some companies.

SAN PEDRO, Laguna – President Gloria Macapagal-Arroyo directed Secretary Emilia Boncodin of the Department of Budget and Management (DBM) today to release P3 million for speedy computerization of the South Luzon Expressway (SLEX).

Speaking at the induction ceremony of the Women’s Group Leaders of Barangay Poblacion, San Pedro, Laguna, the President stressed the importance of good road from San Pedro to Metro Manila so that the people can travel faster.

The President said that the contract for rehabilitation of the SLEX does not include the installation of an electronic interchange.

The P3 million from the DBM will augment San Pedro Mayor Felicisimo Vierneza’s funding for installing an electronic interchange at the SLEX.

The President also directed Secretary Jose Lina of the Department of Interior and Local Government (DILG) to proclaim the Philippine National Railway (PNR) Maligaya property in San Pedro as part of the government’s Pabahay program.

The proclamation will entitle informal settlers in the area to own the lots where their houses are situated.

Malacaņang and financial authorities have expressed concern over a restructuring plan presented by opposition presidential candidate Fernando Poe, Jr. to cope with the country’s foreign debts.

Presidential Spokesman Ignacio Bunye, in a radio interview, said any administration should not act unilaterally on the debt problem. "It will have a bad impact, our standing in the financial community will suffer," he said.

Bunye said any restructuring of the country’s foreign debts must be done with the consent and in consultation with the international financial community."

"Debt is a matter of honor. We have to meet this obligation. But this will not prevent us from seeking better terms, longer maturities and a lower cost from our creditors," Bunye added.

Bangko Sentral ng Pilipinas (BSP) Governor Rafael Buenaventura has also asked Poe to explain his debt restructuring plan because it may be misconstrued and could alarm the financial markets.

"Debt restructuring treads a fine line with debt repudiation. That is why there is a need to clarify," Buenaventura said.

Buenaventura also asked political candidates to be careful with their comments about debt restructuring.

"From my perspective, what is really more important is for the incoming administration, whoever wins, to address the budget deficit in order for our debts to be sustainable," Buenaventura said.

Government workers can now avail of soft loans for their family needs, particularly for the education of their children.

In compliance with President Gloria Macapagal-Arroyo’s directive, the Board of Trustees of the Government Service Insurance System (GSIS), in an emergency meeting Wednesday, established a new P15 billion loan facility.

Presidential Spokesman Ignacio Bunye said, in a radio interview this morning, that any GSIS member with at least three years of service can apply for a loan equivalent to one month of his or her salary.

If a member has less than three years of service, Bunye said, he or she can still apply but with a co-maker who has been employed in government for at least three years.

The new loan arrangement is more advantageous to the borrower, Bunye said, adding that interest is on the outstanding balance instead of being deducted in advance as had been done previously.

Bunye said that the loan is payable on installment in 48 months.

"Palagay ko ay marami sa ating mga miyembro and mag-a-apply, lalong lalo na ‘yong may pangangailangan para sa may anak na magtatapos o doon sa mag-e-enroll pagdating ng bagong school year (Many GSIS members will apply, specially those who have children that will graduate or will enroll in the next school year)," he said.

SAN PABLO CITY—President Gloria Macapagal-Arroyo today said foreign investments continue to pour into the country as a gesture of trust and confidence in the Philippine economy under her administration.

Speaking before various groups of women here, the President announced that some $330 million worth of new investments would be infused by Japanese car manufacturers into the country, particularly in the province of Laguna.

"Next week babalik na naman ako dito sa Laguna para sa darating na $330 million investment," (Next week, I’ll be back in Laguna for the upcoming $330 million investment)," the President said during the oath-taking ceremony of different ladies groups held at the Balibago Gym in Sta. Rosa, Laguna.

According to the Chief Executive, she expects more investments to come in once she is given a fresh six-year mandate.

Among the Japanese firms that have decided to infuse fresh capital and would implement expansions are Nissan, Mitsubishi, Honda, Isuzu, and Toyota.

"Sa dami ng car manufacturers na nag-expand at nag-invest, ang Sta. Rosa ay magiging Detroit of the Philippines, (Because of the many car manufacturers expanding their investments, Sta. Rosa is becoming the Detroit of the Philippines)," the President said.

Aside from the Japanese investors, President Macapagal-Arroyo said American car makers, like Ford, will also put in new investments amounting to $50 million.

President Gloria Macapagal-Arroyo today said the May 10 elections would be decided on the basis of leadership issue.

The President indicated that the Filipino electorate would have to choose between an experienced leader and a beginner.

"This forthcoming (presidential) election is all about leadership. It is a choice between moving forward and turning back; a choice between a tested leader and a fresh starter; and the primacy of substance over the glitter of fame," Mrs. Macapagal-Arroyo said in a speech at a press conference for the Asian Business Leader Awards 2004 held at the Shangri-La Hotel in Makati City.

In her address delivered for her by Presidential Spokesman Ignacio Bunye, the Chief Executive warned against making the wrong choice.

"I pray that our people would not so easily forget the glaring political lessons of the recent past. Individuals or groups who are unaccountable to the people cannot ghostwrite good governance. We had that before and it almost led us to economic ruin," the President stressed.

Mrs. Macapagal-Arroyo pointed out that companies grew because their managers are commonly committed to specific goals, and work hard to attain those goals. She added that such business leaders do not tolerate mediocrity "because they want to be Number One."

"I believe that true leaders should learn not only how to cope with change, but more importantly, on how to fight for it," the President added.

Mrs. Macapagal-Arroyo recalled that when she took over the presidency in January 2001, the economy was in shambles while the people have been dispirited by the impeachment trial of then President Joseph Estrada.

Under her leadership, the government worked hard for the attainment of a strong republic, she said.

"Today, I am proud to say that we have made enough down payments for a brighter and more comfortable future," President Macapagal-Arroyo said. She cited her peace initiatives with both the Muslim and communist rebels, creation of three million jobs and supply of potable water in blighted urban areas as among the high-impact accomplishments of her administration.

CALAMBA, Laguna—President Gloria Macapagal-Arroyo today welcomed a joint statement issued by two large religious organizations justifying her gesture extending "humane and fair treatment" to jailed former President Joseph Estrada.

Adverting to her State of the Nation Address (SONA) in July 2001, the President said it is imperative to provide justice to respondents while their cases are still being tried.

In their joint statement, the Iglesia ni Cristo and the El Shaddai supported Mrs. Macapagal-Arroyo’s humane treatment of the jailed former President.

The Chief Executive clarified that the welfare of the respondents should be considered even as the legal proceedings are still going on.

"For the sake of the many poor who see the personal situation and circumstances of former President Joseph EStrada as a mirror of the oppression that they themselves get, it is important to be considerate of his (Estrada’s) personal circumstances," she said during the press briefing held this afternoon at the Montevista Resort here.

"It is for the sake of the many, many poor who see in him the mirror of their own oppression. It is not for the sake of one but it is for the sake of the many poor," she said.

Mrs. Macapagal-Arroyo asserted that she should not be sued for doing what is right and proper.

"I'm glad that they (INC and El Shaddai leaders) understand the principle that I have been very consistent about since year 2001," she said.

CALAMBA, Laguna – President Gloria Macapagal-Arroyo today said she increased government subsidy during her term to ensure that the benefits of the universal health insurance law get to the masses.

In a press conference at the Monte Vista Resort at Barangay Pansol here, the President said that because of lack of funds, not all local governments could implement the law passed when she was still a senator. That is why when she took over as President, one of her first moves was to increase the subsidy to get most of the poor enrolled in the Philippine Health Insurance Corp. (PhilHealth) coverage, the President said.

Her administration has vigorously pursued the cause since 2001 so that the target to reach majority of the families has been achieved.

Still, the President was not content so she widened the PhilHealth coverage last month with the Philippine Charity Sweepstakes Office (PCSO) footing half the bill, the President said.

She shrugged off criticisms thrown against her because of her concern for the health of the poor Filipinos. "This is the only time giving away health insurance cards to the poor is being criticized because it’s campaign time," the President said.

Those covered by PhilHealth will receive free or subsidized hospitalization, depending on the amount of the bill. This includes payments for room, doctors, medicine, laboratory fees and surgery.

The President earlier swore in the officers and members of Laguna women’s groups in San Pedro and Sta. Rosa who expressed their full support for her bid in the May 10 elections through Laguna Gov. Teresita Lazaro.

The women’s groups include the Karilagan Ladies of San Pedro, Kapit Kamay Ladies Laban sa Kahirapan and Samahang Kababaihan of San Pedro and Sta. Rosa.

The President also met Laguna residents and their officials in a Pulong Bayan at the Lajara Lina Auditorium in Calamba.

President Gloria Macapagal-Arroyo’s order for the Government Service Insurance System (GSIS) to act on GSIS members’ complaints has borne fruit. As instructed by Malacanang, the GSIS Board has approved key measures to immediately address the problems of its more than 1 million members.

The GSIS action is in compliance with the President’s March 9 statement, as follows: "Today, I am ordering the GSIS management and Board of Trustees to take immediate and decisive action to address the concerns of our government work force and report to me within the week steps that will be taken to immediately alleviate the financial burden of government workers….Over the next few weeks, I therefore expect that the financial needs of GSIS members will be given priority, especially with the onset of the graduation season and, soon after that, the opening of the new school year. To this end, I am ordering the cooperation and support of al concerned."

In accordance with the President’s instruction, the GSIS Board has approved the following key measures for its members to immediately avail of loans and other benefits:

1. The Board decreed that the service and remittance records in government agencies shall be the basis in reconciling GSIS records with those of the agencies. Thus, if members’ accounts with the GSIS are missing some data on remittances of premiums and repayments, the agencies’ records on remittances duly receipted by GSIS shall be sufficient to correct any discrepancy/error in individual accounts.

The GSIS is now speedily working with government agencies to reconcile their records on agency accounts and lists of remittances. In addition, GSIS is relaxing the rules that suspend loan privileges due to failure of agencies to remit premium and loan payments. This will insure that members shall enjoy their full benefits with no encumbrance due to delinquent remittances.

2. The GSIS has instituted an Enhanced Salary Loan Program, under which the first year’s interest will no longer be deducted immediately from loans. This will mean bigger net proceeds on borrowings to be taken out by members. Instead, the first year interest and those for the remaining term of the loan are integrated into the monthly amortization based on the diminishing balance of the loan.
3. To assist members with delinquent loans, GSIS is undertaking a Salary Loan Condonation and Restructuring Program which would cancel penalties and surcharges on salary loan accounts which are in default. The repayment period for restructured debt is stretched to 2, 3, or 4 years depending on the choice of the borrower.
4. A P15-billion Supplemental Loan Facility will be made available to all GSIS members starting 15 March 2004. It will provide a one-month salary loan payable in four years. This program will be open to any government employee with at least 36 months of service. This loan is distinct and independent from the regular loan program of the GSIS. No deduction except service fee and premium for salary loan redemption insurance shall be made on the loan.