Archive for March, 2008
FDC In The News: People’s Development Forum and ODA
On March 17, FDC and ODA Watch held a press briefing at Muang Thai Restaurant in Quezon City to explain the plans of civil society groups vis-à-vis the upcoming Philippine Development Forum which is jointly organized by the Philippine government and the World Bank. On the very same day, GMANEws.TV published our story.
On March 25, ABC5, ABS-CBN, BusinessMirror, Inquirer.Net, and GMANews.TV covered our event—the People’s Development Forum, our alternative to the official PDF, where we presented the Citizens’ Report on the Official Development Assistance (ODA) in the Philippines.
The next day, around 100 members of FDC, ODA Watch, BISIG and KPD staged a rally in front of the Clark Freeport in Angeles City, Pampanga where the official PDF was being held. Regional beat reporters covered said event. The story came out in the Philippine Daily Inquirer and BusinessMirror.
GMANews.TV
http://www.gmanews.tv/story/85511/Civil-society-to-hold-own-forum-on-ODA-projects#
Civil society to hold own forum on ODA projects
Article posted March 19, 2008 – 06:22 PM
MANILA, Philippines – Various civil society organizations are set to conduct a separate discussion alongside government-initiated forum on projects funded by Official Development Assistance (ODA).
Government economic managers will hold the Philippines Development Forum (PDF) next week to discuss the country’s development agenda.
Civil society’s “People’s Development Forum” was organized amid scandals clouding foreign-assisted projects like the infamous national broadband network (NBN).
INQUIRER.net
Posted date: March 25, 2008
Breaking News / Nation
http://newsinfo.inquirer.net/breakingnews/nation/view/20080325-126341/3792B-ODA-over-20-years-failed-to-promote-welfare–UP-prof
$37.92B ODA over 20 years failed to promote welfare–UP prof
By Veronica Uy
MANILA, Philippines — The $37.92-billion in foreign aid to the Philippines over the last 20 years has “largely failed in its mission” to promote the welfare of Filipinos, a University of the Philippines (UP) professor said Tuesday.
In his “Citizens’ Report on Overseas Development Assistance (ODA) in the Philippines,” Dr. Eduardo Climaco Tadem of UP’s Asian Center said that from 1986 to 2000, ODA on projects related to human development comprised only 11 percent of the total assistance to the country. He said this has further gone down to 7 percent from 2001 to 2006.
Tadem, who will present his report at Wednesday’s tomorrow’s Philippine Development Forum between the government and donor agencies, said infrastructure projects took in 50 percent of the ODA from 1986 to 2000 and 67 percent from 2001 to 2006.
GMANews.TV
Article posted March 25, 2008 – 11:45 AM
http://www.gmanews.tv/story/86087/NGOs-RP-foreign-aid-system-in-crisis-due-to-NBN-ODA-projects#
NGOs: RP foreign aid system in crisis due to NBN, ODA projects
MANILA, Philippines – The foreign aid system in the Philippines is suffering from a crisis caused by a number of scandals and anomalies that involved development aid projects such as the Arroyo administration’s $329.48-million National Broadband Network project with China’s Zhong Xing Telecommunications Equipment Corp.
This was the result of the “Citizens’ Report on ODA” or the study on the state of the official development assitance (ODA) in the Philippines by about 100 nongovernment and civil society organizations under the Official Development Assistance Watch, which was presented on Tuesday during the “People’s Alternative to the Philippine Development Forum,” at the University of the Philippines’ Bahay ng Alumni in Diliman, Quezon City.
The groups were led by the Freedom from Debt Coalition, the Transparency and Accountability Network, Initiatives for Dialogue and Empowerment Through Alternative legal Services or IDEALS and the Philippine Human Rights Advocates.
Philippine Daily Inquirer
27 March 2008, Page A6
Inquirer Headlines / Regions
http://newsinfo.inquirer.net/inquirerheadlines/regions/view/20080327-126670/Some-120-protesters-picket-Clark
Some 120 protesters picket Clark
By Tonette Orejas
Central Luzon Desk
CLARK, PAMPANGA—Around 120 protesters picketed the main gate of the Clark Freeport minutes before President Gloria Macapagal-Arroyo delivered the keynote speech at the Philippine Development Forum Wednesday.
Members of the Freedom from Debt Coalition and Kilusan para sa Pambansang Demokrasya (KPD) hoisted placards and streamers bearing the messages “No aid for illegitimate GMA government,” “Cancel illegitimate debts of illegitimate government,” “No aid for trade,” and “No tied aid.”
The two groups called their protest action an “alternative forum” to the gathering at the Fontana Leisure Park that was attended by representatives of foreign funding institutions like the International Monetary Fund, World Bank and Asian Development Bank.
BusinessMirror
27 March 2008, Page A5
http://www.businessmirror.com.ph/03272008/economy01.html
Donors urged to stop giving Arroyo government financial aid
By Cai U. Ordinario
Reporter

DEBT activists have urged donor countries and agencies to stop providing the Arroyo administration with loans and aid to prevent government corruption through a rally at the ongoing Philippine Development Forum (PDF) in Clark, Pampanga.
In a joint statement, activists led by the Freedom from Debt Coalition said the recent spate of anomalous projects funded through official development assistance (ODA) has already tainted foreign aid.
“The scale of new exposés on ODA misuse brings to mind the dark days of Marcos’ authoritarian rule when foreign assistance had acquired the vile reputation for corruption, bribery, human-rights violations and environmental degradation, among other social evils,” the groups said. “Plug the funneling of funds from loans and aid which is the source of kickbacks that are being used by this corrupt and illegitimate administration for political survival.”
Add comment March 27, 2008
FDC In The News: The Illegitimate Debt Forum Series
BusinessWorld
http://www.bworld.com.ph/BW031808/content.php?id=074
Read the original article here.
GMANews.TV
http://www.gmanews.tv/story/85241/Group-calls-for-temporary-suspension-of-NorthRail-project#
Group calls for temporary suspension of NorthRail project
Article posted March 17, 2008 – 11:44 PM
By Marian Grace S. Ramos, BusinessWorld
MANILA, Philippines – Pending the resolution of controversies surrounding the multimillion-dollar North Luzon Railways Corp. (NorthRail), nongovernmental group Freedom from Debt Coalition (FDC) on Monday pushed for its temporary suspension.
On the sidelines of a forum, FDC Vice-President Lidy Nacpil told BusinessWorld, “The very least and prudent thing [for the government] was to suspend it in view of the investigation in the Senate and the hanging questions.”
Last week, the Bangko Sentral ng Pilipinas signed a supplemental $90-million facility from London-based Barclays Bank Plc. to finance NorthRail’s phase 1, sections 1 and 2.
Add comment March 18, 2008
End Arroyo’s fiscal dictatorship—FDC
FOR IMMEDIATE RELEASE
16 March 2008
Contact persons:
Milo Tanchuling, FDC secretary general, + 63 920 9018711
Bobby Diciembre, FDC media campaigner, +63 920 905 9856

End Arroyo’s fiscal dictatorship—FDC
The Freedom from Debt Coalition (FDC) strongly denounces Mrs. Gloria Macapagal-Arroyo’s fiscal dictatorship for issuing a veto on the entire item of the appropriations covered under Debt Service-Interest Payment in Republic Act 9498 or the General Appropriations Act of 2008 that would have prohibited wasteful allocations of the people’s hard-earned and limited resources.
While we are not surprised over the veto, we believe that her decision to oppose the proposal of civil society and the Congress to reduce the appropriations for debt service and the re-allocation of these funds to social and economic services is another act of treachery to the Filipino people. It is in fact the commonsensical action of a President who has a penchant for doing the opposite of the people’s will. It is an action of a leader who is more concerned in protecting the government’s credit rating in the global community than providing the basic needs and promoting the welfare of the people.
More so, her decision to reject the provision requiring the Bangko Sentral ng Pilipinas and the Department of Finance to “submit a quarterly report of actual foreign and domestic debt service payments to the House Committee on Appropriations and Senate Committee on Finance within one (1) month after each quarter” is an open attack on the constitutional mandate of the Philippine Congress of the power of the purse. By once again acting as the schoolyard bully, she completely exposed the Executive Department’s enormous fiscal powers put in the service of the country’s debt management that is primarily beholden to creditors.
Mrs. Arroyo’s fiscal dictatorship must stop.
Missed Opportunity
In a time when our country is undergoing a serious political crisis brought about by the same issue which the special provisions are trying to avert in the future, Mrs. Arroyo’s approval of the entire item under the debt service section could have been a welcome respite.
In her veto message, Mrs. Arroyo cited that it has been eight years since a President vetoed a provision for debt service-interest payment. However, she mocked and insulted the people by saying “[m]uch as I bemoan this act, I, as President, have to assert the rule of law and hereby veto the entire item of the appropriations covered under Debt Service-Interest Payment” so as to “prevent the encroachment of constitutional guarantees on non-impairment of contracts.”
Really? Her bleeding heart is with us, yet she must follow the “rule of law”– hence forcing us to pay illegitimate debts? How crudely hypocritical!
FDC has said time and again, not everything legal is right and just. As the ongoing investigation into the ZTE-NBN contract reveals, there are just so many hidden players with un-moderated greed in the non-transparent process of contract negotiations that would have passed on bloated contract costs to be shouldered by the Filipino people. Had vested interests agreed to “moderate their greed,” this particular contract could have been legal!
We would like to jog Mrs. Arroyo’s memory that as President of this country, she and other national leaders have the power not only to protect and implement the laws of the land but more importantly, they also have the duty and responsibility to change laws that are deemed archaic if not critical obstacles to genuine development.
The Philippine Congress, which is the chief architect of our laws and regulations, has recognized this with their passage of the 2008 Budget together with the special provisions. However, Mrs. Arroyo, the truth-challenged President whose legitimacy continues to be questioned, is so callous and blind to see this.
Manipulated Timing
Furthermore, we equally condemn the crafty and manipulated timing of the issuance of Mrs. Arroyo’s veto message on the day Congress adjourned for the holy week. Obviously, it was deliberate to forestall any serious initiative by lawmakers to override the veto.
With this, FDC challenges Congress to avenge this unmistakable Executive infringement on their right to plan and manage the people’s resources.
We challenge our legislators to deliver a strong message against Mrs. Arroyo’s fiscal dictatorship by mustering the needed political will to repeal the Automatic Debt Servicing Provision from the Revised Administrative Code of 1987 (formerly PD 1177)—the law which provides the institutional and legal mechanisms of prioritizing debt service over and above the urgent needs of the Filipino people.
Freedom from Gloria
We also call on the people not to let the treachery of Mrs. Arroyo go unpunished. We enjoin the Filipino people to join us together with other social movements in our collective struggle to free our nation from the clutches of a make-believe President.
Let us free ourselves from debt domination. Let us start this process by joining our voices to the call—Gloria Macapagal Arroyo must go, NOW!
Add comment March 16, 2008
FDC In The News: ABI Press Conference on 2008 Budget
The Freedom from Debt Coalition joined the Alternative Budget Initiative consortium’s press conference on the 2008 NG budget yesterday, 12 March 2008, at the UP NCPAG. Fr. Ben Moraleda represented the Coalition and was interviewed by ABS-CBN 2 and GMA 7. Below is the article that came out in the front page of BusinessMirror today.
BusinessMirror
13 March 2008, Page 1
http://www.businessmirror.com.ph/03132008/headlines05.html
Next step: Watch spending
By Fernan Marasigan
Reporter
WHILE civil-society groups recognized the signing of the P1.23-trillion national budget for 2008 as a major gain because of the people’s participation in it, they called on the people to be vigilant and continue guarding the fund so as to end, and not just moderate, the corruption which usually occurs during spending.
“Kailangan natin itong bantayan baka saan na naman mapunta ang budget na ito na ipinagyayabang na mataas na mataas, kasi [kahit] i-approve ito, ang fiesta dito ay sa pag-release ng pera. Ang pag-release ng pera ay hindi transparent. Hindi natin alam kung ano ang detalye sa pag-release ng pera, ano ang basehan sa pag-prioritize ng projects etc.,” said Prof. Leonor Briones of the Alternative Budget Initiative (ABI) during a news conference at the University of the Philippines Diliman, Quezon City, Wednesday.
“Kailangan i-monitor natin ito. So we call on the people to continue guarding the fund. Finally, bantayan natin na hindi mahulog sa korupsyon itong P1.2 trillion na ito. We might have an increased budget but we also have increased opportunities for corruption and stealing. Only continued vigilance will end and not just moderate the corruption that is prevalent in these times,” Briones added.
Add comment March 13, 2008
FDC In The News: Debt service provisions in 2008 budget
BusinessMirror
11 March 2008, Page A10
http://www.businessmirror.com.ph/03112008/opinion01.html
EDITORIAL:
Torpedoing the cuts in debt-service budget
THE question raised over the weekend by Senate Minority Leader Aquilino Pimentel Jr. should jolt us anew to the realization that allowing too much political noise in the air—without truly intelligent, definite directions—comes with one danger: that of overlooking such basic issues as the national budget.
The senator wondered, quite rightly, why more than a month after the Senate and the House of Representatives approved the final version of the bill on January 28, the President’s signing of the appropriations measure was being unduly delayed.
Lawmakers have a reason to gripe: the Senate exerted extra efforts to pass the bill before the Christmas break last year.
BusinessMirror
11 March 2008, Page 1
http://www.businessmirror.com.ph/03112008/headlines05.html
GMA will sign P1.23-T budget for 2008 today
By Mia M. Gonzalez and Fernan Marasigan
Reporters
AFTER an opposition senator worried why the 2008 budget bill had not been enacted and the country continues to operate under last year’s spending law, President Arroyo announced Monday she will sign Tuesday the P1.227-trillion national budget that had been transmitted to the Palace about two weeks ago.
The President, speaking at the fourth Mindanao Cooperative Summit in Cagayan de Oro City Monday, said, “Tomorrow, we will sign the budget….It is a budget that reflects the will of the government to invest in the people and keep the economy on a strong, stable path.”
Budget Secretary Rolando Andaya Jr. took exception to the allegation of Senate Minority Leader Aquilino Pimentel Jr. that Malacañang is deliberately delaying the signing of the 2008 national budget to suit its interests, and noted that Congress only transmitted the budget to Malacañang on February 27.
GMANews.TV
http://www.gmanews.tv/story/84164/Defend-provisions-on-debt-service-FDC-urges-Congress#
Defend provisions on debt service, FDC urges Congress
Article posted March 10, 2008 – 07:24 PM
MANILA, Philippines – On the eve of the signing of the P1.227-trillion General Appropriations Act for 2008, a debt watchdog group urged Congress Monday to protect from presidential veto the provisions on debt service.
The Freedom from Debt Coalition (FDC) made the appeal in a letter to Congress, as it anticipated President Arroyo’s vetoing of the provision on debt service.
“Should Mrs. Arroyo veto specific stipulations on debt service reduction, we urge the leaderships of both Houses of Congress to once again rise to the occasion by defending the said special provisions by means of a Congressional Override,” stressed FDC secretary general Milo Tanchuling.
Add comment March 10, 2008





