President Gloria Macapagal-Arroyo returned this morning from her successful five-day visits to New Zealand and Australia "with renewed confidence that Philippine relations with these two great nations are rock solid."

The President’s chartered flight from Melbourne, Australia arrived at the Ninoy Aquino International Airport (NAIA) Terminal II in Pasay City at 5:15 a.m.

Wearing a blue baby-powder suit, the President was in high spirits and smiling as she waved while going down the escalator at the arrival area of the NAIA II.

Color guards from the Philippine Air Force, led by 2^nd Lt. Leopoldo Bacierra (PMA Class 2007), plus the PAF band, were in the area before 3 a.m. to add pomp to the President’s arrival.

Among those who welcomed the President were Executive Secretary Eduardo Ermita, Armed Forces Chief Hermogenes Esperon Jr. and New Zealand Charge d’Affaires Simon McCombie.

Those who arrived in the same plane included Foreign Affairs Secretary Alberto Romulo, Agriculture Secretary Arthur Yap, Trade Secretary Peter Favila, and Senator Miriam Defensor Santiago, chair of the Senate Foreign Relations Committee.

The President left for a three-day visit to New Zealand last Sunday, saying the Philippines "must continue to aggressively engage the world in order to modernize the nation, bolster our security, and attract new investments to lift up the poor."

She proceeded to Australia on May 30 for a two-day state visit to the Land Down Under, the first by a Philippine president in over 10 years, after the l995 state visit there by then President Fidel Ramos.

In Canberra, the President, together with Australian Prime Minister John Howard, witnessed the signing of a Status of Forces Agreement that would allow the defense forces of both countries to undertake joint exercises, training, intelligence sharing, and education in each other’s territories.

In her arrival statement this morning, the President praised and thanked New Zealand and Australia "for their leadership in interfaith dialogue, and for also extending the hand of friendship to help" the Philippines wipe out its lingering human rights issues.

"We return from New Zealand and Australia with renewed confidence that Philippine relations with these two great nations are rock solid. We stand shoulder-to-shoulder in the fight against terrorism and side-by-side in our belief that greater economic, military and cultural engagement between our nations will lift up the Philippines," the Chief Executive said.

"In New Zealand, we worked to advance greater understanding between all communities of faith. This is so essential in our quest for peace in Mindanao. We were able to forge new economic ties and promote vital investments," she said.

"In Australia, we received a huge boost in mutual security with the new Status of Forces Agreement that will help professionalize our military through training and advanced education along with the vital contribution of special sea crafts to help us fight terrorists lurking in the swamps and shadows of remote southern islands," the President added.

President Gloria Macapagal-Arroyo expressed elation today over the same price levels of school supplies this year, as she urged budget conscious bargain hunters to buy their school supply needs in Divisoria instead of the regular shops.

In her visit to the so-called hawkers’ paradise in Binondo this morning, the President said the government is closely monitoring the prices of school supplies in the wake of the opening of classes on Monday.

"Para doon sa mga mahihirap, ang ating payo ay sa Divisoria kayo mamili dahil mas mura kaysa doon sa mga bookstore," she told bargain hunters.

The President, who returned this morning from a five-day visit to New Zealand and Australia, inspected several stalls, among them the one owned by Victorina Reyes along C.M. Recto Avenue.

She was accompanied by Philippine School Pads and Notebooks Manufacturers’ Association (PHISPANO) president Gerry Lim, Philippine Stationers’ Association president Eddie Chua and Divisoria Sidewalk Vendors’ Association president Alfredo Reyes.

The President noted that the prices of school supplies this year and last year were the same for both in Divisoria and all bookstores.

"Tinitingnan natin ang presyo ng mga school supplies dahil magsisimula na naman ang pasukan pero makikita natin sa monitoring na ang presyo ng school supplies ngayon ay parehong-pareho noong isang taon. At dito sa Divisoria mas mura kesa sa mga bookstore pero kahit sa mga bookstore pareho pa rin ang presyo noong isang taon," she said.

This, according to her, is a result of the low inflation rate recorded at 2.9 percent which is lower compared to Australia’s 3.5 percent inflation rate.

The President thanked the school supplies retailers in Divisoria and the bookstore owners for maintaining the price levels.

President Gloria Macapagal-Arroyo is scheduled to leave on Saturday afternoon for a four-day visit to Italy and Portugal in an effort to forge closer religious, cultural, friendly and economic ties with the two European nations.

The President’s visit to Rome will be highlighted with her attendance at the celebration of the canonization of the Blessed Marie Eugenie, the foundress of the Religious of the Assumption, on June 3 at St. Peter’s Square.

The President is also scheduled to hold a meeting with the administrative officials of the Holy See.

President Arroyo’s presence during the canonization rites of Mother Marie Eugenie is very significant to her personally and to the Filipino people. The President is an alumna of the Makati-based exclusive school, Assumption College, having attended her elementary and high school years there.

For the Filipino people, the historic event is quite meaningful not only due to the fact that the Philippines is the world’s largest Catholic country in Asia, but also because the miracle attributed to the Blessed Marie Eugenie concerned Filipino child Risa Bondoc, who was born with a condition that prevented the two halves of her brain to join.

Experts said that normally, such children have very little ability to walk or talk, but it was different in the case of Risa. Her family and the Assumption sisters prayed for Blessed Marie Eugenie’s intercession. Twelve years have passed and the two halves of Risa’s brain have not joined yet but she can now talk, walk and go to school, a phenomenon experts could not explain scientifically.

From Rome, the President will fly to Portugal’s capital city of Lisbon, where she is scheduled to meet Portugal President Anibal Cavaco Silva and visit the Assembly of the Republic, a unicameral parliament composed of 230 deputies elected for four-year terms and now headed by Prime Minister Jose Socrates.

The President’s visit to Portugal is her first since she assumed the presidency in 2001. It is expected to bolster the friendly ties between the Philippines and Portugal as well as enhance bilateral trade and investments.

While in Portugal, the President will visit the Shrine of the Our Lady of the Rosary of Fatima, whose 90^th anniversary was celebrated last May 13, coinciding with the day the Blessed Mother appeared to three poor shepherd children --Lucia Santos and her cousins Jacinta and Francisco Marto -- near Fatima and entrusted to them secret visions.

President Gloria Macapagal-Arroyo led today the groundbreaking of the Northrail-Southrail Linkage Project Phase 1 that would reduce air pollution, decongest traffic condition, and provide fast, efficient and cheap means of transportation to the Filipino people.

The Northrail-Southrail Linkage is one of the priority landmark flagship projects of the Arroyo administration that would provide interconnectivity to the mass transport system.

Upon her arrival at the Philippine National Railways (PNR) Buendia Station in Makati City, the President was briefed by PNR General Manager Jose Maria Sarazola and South Korean Ambassador to the Philippines Jong Ki Hong on the importance of the project.

In her brief statement, the President admitted that she’s very happy that after five years of waiting, the interconnection of the South Rail and North Rail is now on the road to realization.

She said that after the pain of raising taxes, the government can now afford to invest in human and physical capital through the successful implementation of fiscal and reforms measures, as well as sustainable and irreversible investment to human and physical infrastructure.

"I’m very happy that today, we’ll start the construction of this project and I’m very happy to say that in 12 months, June 1, 2008, let’s all be back here again for the inauguration," the President said.

For his part Sarazola said that the realization of the project is part of the socioeconomic responsibility of the administration.

"I hope this project would help not only decongest traffic in Metro Manila but also reduce air pollution," Jong told the President.

The Linkage Project Phase 1 from Caloocan City to Alabang in Muntinlupa City spans 34 kilometers with a total project cost of $50.42 million.

The funds for the construction and rehabilitation of the existing PNR rail road from Caloocan to Alabang will be sourced from the Economic and Development Cooperation Fund (EDCF), the Government of Korea, and the Korean Export-Import Bank.

The rehabilitation and construction of the North Rail and South Rail Linkage Project started today up to June 1, 2008.