P.Noy’s SONA 2012: “Fight Poverty and Corruption!”

Malacañang said the SONA 2012 address would be a narration of what happened in the past year with respect to his key programs—poverty alleviation and the anti-corruption campaign.

 

 The State of Poverty In The Philippines

WEAK government spending and political uncertainty are just some of the reasons why the Philippines has been outperformed by most of its Asian neighbors, a study sponsored by the International Monetary Fund showed.
The 25-page working paper, The Determinants of Economic Growth in the Philippines: A New Look, compared the Philippines to 23 emerging markets for the period 1965­2008 to analyze the factors behind per-capita GDP growth in the Philippines.
A previous study noted that in the 1950s, the Philippines had the second highest per capita GDP in Asia. Today, its Southeast Asian neighbors Malaysia, Indonesia, Thailand, and Vietnam are described as high performing economies that are targeting first world statuses, while the Philippines was operating on a low-growth trajectory.
“The Philippines’ mediocre performance in a number of indicators “particularly relative to its Asian counterparts” illuminates some of the existing pieces of the Philippine growth puzzle, Willa Boots Tolo, author of the report and now a bank officer at the Philippines’ Bangko Sentral, said.
Among the factors blamed for the country’s weak economic performance were weak agricultural productivity, high government debt, low public, private, and foreign investment, weak research and development spending, low spending on education, lackluster tourism sector, relatively high income inequality, high corruption, strong population growth, more episodes of financial crisis, and political uncertainty.
It suggested that the Philippines lacked a sustained period of relatively strong economic reforms.
Tolo said that, in order to catch up with its East Asian counterparts, the Philippines would need to maintain macroeconomic stability, expand its fiscal space, and redirect public spending to agriculture, infrastructure, and research and development.
“Expansion of the fiscal space and thus scaling up spending on public investment requires raising tax revenue through both administrative and selective tax policy measures. This would include strengthening tax administration, reform in excise taxes, rationalization of fiscal incentives, and addressing exemptions in value-added taxation,” she said.
The study said better irrigation, access to fertilizers, farm-to-market roads, and storage facilities could support development in the agricultural sector.
The government’s focus on public-private partnerships for traditional and non-traditional infrastructure investments would also maximize the returns to development, while strengthening the focus of education on the sciences in all levels would encourage future researchers and scientists who would be instrumental in nation building.
Reasons why PH is poor, according to the IMF
WEAK government spending and political uncertainty are just some of the reasons why the Philippines has been outperformed by most of its Asian neighbors, a study sponsored by the International Monetary Fund showed.
The 25-page working paper, The Determinants of Economic Growth in the Philippines: A New Look, compared the Philippines to 23 emerging markets for the period 1965­2008 to analyze the factors behind per-capita GDP growth in the Philippines.
A previous study noted that in the 1950s, the Philippines had the second highest per capita GDP in Asia. Today, its Southeast Asian neighbors Malaysia, Indonesia, Thailand, and Vietnam are described as high performing economies that are targetting first world statuses, while the Philippines was operating on a low-growth trajectory.
³The Philippines¹ mediocre performance in a number of indicators‹particularly relative to its Asian couterparts‹illuminates some of the existing pieces of the Philippine growth puzzle,² Willa Boots Tolo, author of the report and now a bank officer at the Philippines¹ Bangko Sentral, said.
Among the factors blamed for the country¹s weak economic performance were weak agricultural productivity, high government debt, low public, private, and foreign investment, weak research and development spending, low spending on education, lackluster tourism sector, relatively high income inequality, high corruption, strong population growth, more episodes of financial crisis, and political uncertainty.
It suggested that the Philippines lacked a sustained period of relatively strong economic reforms.
Tolo said that, in order to catch up with its East Asian counterparts, the Philippines would need to maintain macroeconomic stability, expand its fiscal space, and redirect public spending to agriculture, infrastructure, and research and development.
³Expansion of the fiscal space and thus scaling up spending on public investment requires raising tax revenue through both administrative and selective tax policy measures. This would include strengthening tax administration, reform in excise taxes, rationalization of fiscal incentives, and addressing exemptions in value-added taxation,² she said.
The study said better irrigation, access to fertilizers, farm-to-market roads, and storage facilities could support development in the agricultural sector.
The government¹s focus on public-private partnerships for traditional and non-traditional infrastructure investments would also maximize the returns to development, while srengthening the focus of education on the sciences in all levels would encourage future researchers and scientists who would be instrumental in nation building. From PREDA

The Philippines still have to address undernourishment, though the country posted a 6 percent decline in poverty over a three-year period, the Asian Development Bank .

The bank noted in its “Food Security and Poverty in Asia and the Pacific” report that the number of poor Filipinos living on $1.25 (around P52.5) a day has declined by 6.19 percent from 2006-2009.

However, the multilateral lender citing a 2011 United Nations report said the general population is suffering from undernourishment.

“These findings imply that hunger eradication does not necessarily follow from poverty reduction, suggesting that policies that drive down income poverty alone may not be enough to reduce hunger,” the report read.

The Philippines’ main driver of poverty reduction was higher income, while food and non-food prices pushed the poverty rate, the bank noted.

“While food insecurity and poverty are closely interrelated, growth alone may not suffice to ensure food security,” it said.

The report said that Philippines needs to give its food security initiatives more importance, as it will have a “profound impact on global food consumption” in the future due to its ballooning population.

The National Statistics Office estimates that the Philippine population, growing at a rate of 1.9 percent, has reached 92.337 million in 2010 and will likely hit the 100-million mark in 2014. From GMA News

 Children in a Philippines slum queue for free meals
(Photo: Reuters)

The Human Right To Adequate Food

United Nations Report: “Freedom from want”

The past 25 years have seen the most dramatic reduction in extreme poverty that the world has ever experienced. Spearheaded by progress in China and India, literally hundreds of millions of men, women and children all over the world have been able to escape the burdens of extreme impoverishment and begin to enjoy improved access to food, health care, education and housing.

Yet at the same time, dozens of countries have become poorer, devastating economic crises have thrown millions of families into poverty, and increasing inequality in large parts of the world means that the benefits of economic growth have not been evenly shared. Today, more than a billion people — one in every six human beings — still live on less than a dollar a day, lacking the means to stay alive in the face of chronic hunger, disease and environmental hazards. In other words, this is a poverty that kills. A single bite from a malaria-bearing mosquito is enough to end a child’s life for want of a bed net or $1 treatment. A drought or pest that destroys a harvest turns subsistence into starvation. A world in which every year 11 million children die before their fifth birthday and three million people die of AIDS is not a world of larger freedom.

For centuries, this kind of poverty has been regarded as a sad but inescapable aspect of the human condition. Today, that view is intellectually and morally indefensible. The scale and scope of progress made by countries in every region of the world has shown that, over a very short time, poverty and maternal and infant mortality can be dramatically reduced, while education, gender equality and other aspects of development can be dramatically advanced.

Who will feed them?
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