am posting this as it NEGATES the claims of PeNOY & his minions!... calling for unity under a president who argues that an administrative code is more valid than a Supreme Court decision???!!!.my goodness!!.. Not a grafter/fights corruption daw,..SUSME!!! Try being informed & not just opinionated!!!!....and be honest!!! dont support cuz of your relationship with him; whether it be by affinity, or for other purposes!!.. (Reuters) - The biggest political crisis that Philippine President Benigno Aquino has faced in four years in power could damage his image as a crusader against corruption and undermine his ability to deliver on reforms to sustain strong economic growth. The Supreme Court this month declared partly illegal a 145 billion pesos ($3.34 billion) economic stimulus fund that Aquino created in 2011 from budget savings, sparking a storm of controversy that has distracted the government from its work. Economists are also concerned the controversy is slowing public spending because officials are more wary about accusations of recklessness and are subjecting decisions to more scrutiny, putting at risk big infrastructure projects. If this leads to a slowdown in spending, the risk to growth is on the downside, Shanaka Jayanath Peiris, International Monetary Fund resident representative in the Philippines, said on Friday. The IMF on Friday cut its Philippine growth forecast to 6.2 percent from 6.5 percent set in March, partly because of slower spending after the stimulus scandal broke. The government has set a target of 6.5 to 7.5 percent gross domestic product growth this year, after 7.2 percent last year.First quarter GDP growth was at its slowest in two years, in part because of weaker state spending which grew an annual 2 percent in the period against 10 percent growth a year earlier. Henry Schumacher, vice president at the European Chamber of Commerce of the Philippines, said any more delays to much-needed infrastructure would be a disaster. There is an over-carefulness in a number of government offices not to move before they are absolutely sure that every angle where integrity could be compromised has been looked at, Schumacher said. CHILLING EFFECT Jose Rene Almendras, secretary to the cabinet, told a local television station last week the Supreme Court ruling on the stimulus fund had a chilling effect on everyone. Under the stimulus facility, Aquino spent funds saved from canceled projects on housing and relocation of slum residents, radars for the weather bureau and infusing capital to the central bank to help it with its market intervention, among other activities. A portion of the funds was distributed to senators to use on projects of their choice. The Supreme Court said aspects of the stimulus were unconstitutional. It did not call any actions criminal, though lawyers say the ruling could open the way for complaints alleging wrongdoing. Critics said the allocation of funds to senators for their projects cast doubt on Aquinos commitment to stamp out corruption. And the controversy is having an impact on how officials proceed. Everyone who has to sign a document now has to be doubly sure, Almendras said in the television interview..... reuters/article/2014/07/27/us-philippines-aquino-idUSKBN0FW0R120140727
Posted on: Tue, 29 Jul 2014 13:48:44 +0000
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