The 2011 State of the Nation Address Technical Report

8/6/2019 The 2011 State of the Nation Address Technical Report

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The 2011 State of the Nation Address Technical Report

INTRODUCTION

Tuwid na Daanor the Straight Path is a phrase repeatedly mentioned by President Benigno S. Aquino III to pertain to hisgovernance direction for the country.

Essential to this concept ofTuwid na Daanis the battle cry Kung Walang Corrupt, Walang Mahirap.The administrationbelieves that corruption is the root cause of the countrys woes, and eliminating corruption will necessarily lead to renewedinvestor confidence, eventual growth and development, poverty reduction, and attainment of peace.

The straight path, however, does not only pertain to the Presidents anti-corruption campaign. It also encompasses a wayof doing things right, where the process is participatory; the programs are holistic; growth is sustained; the peace policy iscomprehensive; and development is sustainable. Through the living examples of our leaders, led by the President, this reawakened sense of right and wrong continues to be translated to economic value.

It is in this light that the accomplishments of the Aquino Administration, since the first State of the Nation Address (SONAin July 2010, are being highlighted:

A. GOOD GOVERNANCE AND ANTI-CORRUPTION

Taking the initial step in the achievement of Kung Walang Corrupt, Walang Mahirap , where eradicating corruption isseen as the key approach to development, President Aquino laid the foundations for a clean, transparent, and responsivegovernment. Key reforms continue to be instituted to reduce red tape, enforce anti-corruption and anti-red tape laws, andpenalize those who violate these laws. The government is also fixing the incentive structures to recognize merit and

reward good performance with the aim of ensuring the sustainability of the Aquino reform agenda. These and otherinitiatives are presented below:

1. Institutionalizing Public Accountability

1.1. Reforming the budgeting and project identification processes

1.1.1. Governments prudent expenditure management was a result of the use of the Zero-Based Budgeting (ZBB)approach in 2010. The ZBB enables the government to identify and terminate programs that are no longer deliveringintended outcomes. The savings generated from these terminated programs were channelled to programs that areperforming well and to other priority programs to address critical gaps in education and health. As part of the ZBBapproach, the Department of Budget and Management (DBM) is also gradually transferring Special Purpose Funds backto the departments for greater accountability and making the Priority Development Assistance Fund (PDAF) moretransparent.

Due to the prudent management of public funds, the government has been able to provide P12 billion in funding for otherkey social and economic services that were not included in the 2011 General Appropriations Act, including:

P850 million for the salaries of 10,000 registered nurses hired and deployed to poor rural communities in the country;

P4.2 billion to build 20,000 houses for the military and the police; and

P423 million for the acquisition of the US Hamilton-class cutter, which will help strengthen the perimeter security withinthe Malampaya area

1.1.2. In an effort to address issues about the quality of road projects, the Road Board strengthened the identification andselection of projects funded by the Motor Vehicle Users Charge through the proper use of the Highway DevelopmenManagement version 4 (HDM-4), a planning tool that prioritizes or selects projects based on actual needs and economicconsiderations.

The Road Board also implemented standard unit costs nationwide that is 30% lower than previous cost estimates; andclearly defined the design and specification of its projects to make these conform to international standards, wherepreviously, Programs of Work were not required.

1.1.3. The President directed the DBM to establish a comprehensive database of government manpower through anenhanced Government Manpower Information System (GMIS). The GMIS shall provide a complete and accuratedatabase of all positions, incumbents, and authorized compensation in the Executive, Legislative, and Judicial Branchesof the government, including Government-Owned or Controlled Corporations (GOCCs), Government Financial Institutions(GFIs), and Constitutional Offices. The GMIS shall also be linked with the personnel information systems of concernedagencies such as the Civil Service Commission (CSC) and the Government Service Insurance System (GSIS).

1.1.4. To eliminate wasteful spending and fund conversion in the military, the DBM changed its previous policy ofreleasing Personnel Services (PS) allotments in full to agencies. Now, releases of PS are done for filled positions only.This means that no amount is released to the agencies on top of their actual PS requirement.


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1.1.5. Moreover, the DBM launched on 20 July 2011 the Electronic Transparency and Accountability in Lump-sum FundSystem (eTAILS). The eTAILS is a management information system that digitizes the processing of lump-sum funds andsupports the timely disclosure of lump sum fund release information on the DBM website. This helps the government keeptrack of information on the release, while enabling the public to scrutinize how their money is being allocated.

1.2. Upholding transparent and competitive bidding

Allegations of collusion in the bidding of public works projects are being addressed through transparency reforms andstrict adherence to public bidding rules. The DPWH now posts all projects on its website. The DPWH has also simplifiedbidding procedures by reducing the required 20 documents to just five (5) documents. It has also adopted a new coststructure for determining the approved budget cost (ABC), which minimizes leakage by reducing the allocation for indireccosts by as much as 8%. To cite an example, the DPWH was able to bid out the 7.53-km Plaridel By-pass Road ContracPackage No. 2 in Bulacan for only P543 million in 2010, at one-third of the cost of the slightly longer 7.93-km ContractPackage No. 1 that was bid out in July 2008. While the two projects are of the same road specifications, the cost ofContract Package No. 1 was 8.5% above the approved agency estimate while Contract Package No. 2 cost 23% lowerthan the agency estimate, saving a total of P163.2 million.

As a result of these reforms, the DPWH generated savings of P2.51 billion in taxpayers money from the 3,692 projects(civil works, goods, and consultancy services) from July 2010 to June 2011. The DPWH expects total savings of roughlyP6 to P7 billion by the end of this year as a result of transparent and competitive bidding. The savings can then beutilized for other priority development projects.

The P2.51 billion savings generated by the DPWH includes the P1.07 billion saved from the review and bidding ofcontracts under the Post-Ondoy and Pepeng Short-Term Infrastructure Rehabilitation Project (POPSTIRP).

On 26 May 2010, the DPWH was granted a loan by the JICA worth P5.05 billion for 79 contract packages under thePOPSTIRP. Of these contracts, 19 were cancelled due to lapses in the process. The 19 contracts were approved andsigned even prior to the release of the Special Allotment Release Order (SARO) for the project, which is againstgovernment procurement laws.

Likewise, the government has conducted open and competitive bidding for the reinsurance needs of the National PowerCorporation (NPC), the Power Sector Assets and Liabilities Management Corporation (PSALM), the National GridCorporation of the Philippines (NGCP), and the Metro Rail Transit Corporation (MRTC). This generated savingsamounting to over US$8 million or about P370 million from the lower bids of the winning re-insurers compared to theapproved budget for the contract and last years premium. Moreover, the insured agencies get improved coverage byhaving lower deductibles that allow them to claim for losses or damages at lower participation limits.

1.3. Ensuring transparency and accountability in local governance

1.3.1. The DILGs full disclosure policy, issued in August 2010, required all Local Government Units (LGUs) to be

transparent to the public by posting in local bulletin boards, newspapers, and websites information on the utilization ogovernment funds and the implementation of projects. As of 31 May 2011, a total of 1,473 LGUs (68 provinces, 119 citiesand 1,286 municipalities) or 86% of the 1,714 LGUs nationwide have fully complied with this policy. For purposes oftransparency, the DBM also posted the annual internal revenue allotment (IRA) from 2006 to 2010 per region from theprovincial down to the barangay level on its website.

1.3.2. The DILG also awarded the LGU Performance Challenge Fund (PCF) to LGUs that have earned the Seal of GoodHousekeeping. These LGUs have exhibited strong performance along the four (4) core governance areas, as follows:

Sound fiscal management, i.e., growth in local revenues over three (3) years, and no adverse report from theCommission on Audit (COA);

Transparency and accountability, i.e., strict adherence to the full disclosure policy, transparent procurement processcompliance with Anti-Red Tape Law, and functioning local special bodies; and

Valuing of performance monitoring, i.e., use of performance monitoring tools and regular reports to the public. Good planning, i.e., having a comprehensive development plan and an Executive-Legislative Agenda;

In 2010, 30 or 4.85% of the 619 4th to 6th class municipalities successfully obtained the Seal of Good Housekeeping.

Beginning 2011, the coverage of the PCF was expanded to all provinces, cities and municipalities. Assessment is nowongoing and is focused on the COA audit opinion for CY 2010 and the posting of local budget and finances, bids, andpublic offerings. As of 17 June 2011, 13 or 46.43% of the 28 4th to 5th class cities and 218 or 35.22% of the 619 4th to6th class municipalities subjected to assessment may now be conferred with the Seal and have the chance to get thePCF.

1.4. Providing quality service lanes to fast-track the provision of frontline services

1.4.1. In 2010, the Citizens Charter of the PNP was recognized by the CSC as one of the fully compliant government


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agencies implementing RA 9485 or the Anti-Red Tape Act (ARTA) of 2007.[1]

Also, the DILG Project Comprehensive Response to Eliminate (CURE) Red Tape in the LGUs is successfully beingimplemented at the local level wherein 94% or 1,613 LGUs (consisting of 75 provinces, 121 cities, and 1,417municipalities) of the 1,714 LGUs nationwide have their respective citizens charters, public assistance or complaintdesks, one-stop shops and/or courtesy lanes, thus improving the efficiency and effectiveness of LGUs in the delivery ofbasic goods and services.

1.4.2. The Department of Trade and Industry (DTI) also improved its mechanisms for redress. From 2010 until the firstquarter of 2011, 91,828 consumer complaints were received by its Consumer Welfare Desk, 90,577 or 98.7% of whichwere resolved.[2]

2. Addressing Graft and Corruption

2.1. Addressing allegations of corruption in the military and implementing reforms in the AFP.

2.1.1. In order to ensure transparency in the use of funds, apart from regular audits, the AFP has conducted five (5)unprogrammed or special audits on cash examinations and retiring special disbursing officers. Three (3) of these are on-going, one (1) report is being drafted, and one (1) completed.

The AFP-Office of Ethical Standard and Public Accountability (OESPA) noted 100% compliance with accountabilitymeasures, such as the filing of SALNs.[3] In compliance with the rules and regulations to minimize discretion ongovernment deposits, particularly in line with the provisions of Executive Order (EO) No. 338, the AFP transferred a totaof P159 million of the residual UN Reimbursement Fund (UNRF) to the Bureau of Treasury (BTr) on 28 February 2011. Todate, the total UNRF amount deposited with the BTr is P426 million. Moreover, all reimbursements from the UN are nowdirectly being deposited to the BTr by the DFA.

2.1.2. From July 2010 to June 2011, the AFP filed cases before the Sandiganbayan against 31 AFP officers forcorruption-related charges while the cases of 21 AFP officers are with the Office of the Ombudsman.

2.1.3. The government also pursued the cleansing[4] of the AFP Retired and Veterans Pension Lists, which resulted infund recoveries amounting to P4.685 billion. This amount was used to pay governments current pension obligations andarrears to the veterans and pensioners. Moreover, through the anti-fixer campaign, three (3) Philippine Veterans AffairsOffice (PVAO) employees have been dismissed, 27 cases have been filed, and three (3) cases resolved.

2.1.4. On 14 June 2011, the Office of the Deputy Executive Secretary for Legal Affairs (ODESLA) formally chargedOmbudsman Special Prosecutor Wendell Sulit with acts and/or omissions constituting graft and corruption and betrayal opublic trust. The case involves her entering into a Plea Bargaining Agreement with Maj. Gen. Carlos Garcia, wherein GenGarcia was allowed to plea to the lesser offense of indirect bribery and facilitating money laundering. The Ombudsmanalso ordered Gen. Garcia to restore to the government the amount of P135 million despite being accused of plunderingP350 million.

Special Prosecutor Sulit was placed under preventive suspension for 90 days. The Office of the President will form apanel that will conduct the formal investigation on the case.

2.2.Addressing abuses and irregularities in government agencies

2.2.1. Arrested the abuses and funds misuse in the Autonomous Region in Muslim Mindanao (ARMM). An Audit of theARMM Office of the Regional Governor covering the period January 2008 to September 2009 revealed that the fundsreceived by the ORG for its operations were not properly utilized and managed and that transactions amounting to P1.003billion could not be considered as valid and legitimate. Also, a total of P866.51 million in cash advances, or 80% of totadisbursements made by the ORG, were released to the disbursing officers, in violation of the general rule that paymentsmust be made by check.

As a result of these findings, the current ORG stopped the payment order against all checks drawable against the bankaccounts of the ARMM Regional Government, terminated all contractual and co-terminus employees hired by the previous

Regional Governor, conducted inventory reports on personnel and assets, and posted bids and awards and the ARMMbudget on the ARMM website.

Likewise, the DILG recommended the filing of administrative charges against some ARMM officials and personnel fodishonesty, abuse of authority, gross misconduct, and conduct prejudicial to the best interest of the service. The DILGalso recommended the filing of criminal cases because of the abuse of regional government resources.

An audit of the Province of Maguindanao had similar findings: that financial transactions amounting to P865.88 millionwere considered to be fictitious, as these were either denied by suppliers or supported with spurious documents.

Meanwhile, the DPWH-ARMM failed to properly utilize, manage, and record public funds amounting to P1.12 billion.Moreover, the COA found that the utilization of funds and implementation of programs and projects by the ARMM SociaFund Project Project Monitoring Office (ASFP-PMO) fell short of the desired improvements as the purpose intended was


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not maximized and the implementation was found deficient.

A DILG-proposed roadmap aims to bring ARMM to the sustainable path of good governance. This entails thstrengthening of bureaucratic reforms, sustained transparency and performance, improved ORG oversight and assistanceto LGUs, stricter COA and Civil Service Commission (CSC) oversight on ARMM and LGU implementation of developmenprojects, stepped up peace and order initiatives, and reforms in the electoral process.

The postponement of the August 2011 ARMM elections (as mandated by RA 10153) will provide an opportunity for ARMMto pursue this roadmap.

2.2.2. Suspended Local WaterUtilities Administration (LWU A) officials. The Office of the Ombudsman found the LWUA

Chairman and two other officers of the LWUA guilty of Grave Misconduct and of violating Republic Act (RA) No. 6713(Code of Conduct and Ethical Standards for Public Officials and Employees) for the alleged unlawful investment of LWUAfunds in the amount of P780 million in Express Savings Bank, Inc. (EXSBI), [5] without securing prior approval of theMonetary Board. On 4 July 2011, the Ombudsman ordered the dismissal of the LWUA Chairman and the two LWUAofficers.

Administrative complaints were also lodged with the Office of the President against five members of the LWUA Board ofTrustees, including the Chairman, for grave misconduct arising from the acquisition of shares of stock of EXSBI. TheOffice of the President placed the members of the Board of Trustees on preventive suspension for 90 days.

2.2.3. Rationalized GOCC bonuses. Early in the term of President Aquino, the administration discovered that officers andboard members of several GOCCs enjoyed questionable bonuses and allowances. For example, a COA report disclosedthat Metropolitan Waterworks and Sewerage System (MWSS) employees received more than P150 million in improperlyauthorized allowances and bonuses in 2009. Also, the current Board of the PNCC has reviewed actions by the previous

members of the Board who allegedly benefited from undue privileges and bonuses during their tenure. The current PNCCBoard has also reduced manpower, terminated unnecessary positions, and rationalized administrative and supportservices. These cost-saving measures and reforms have resulted in the reduction of monthly expenses from about P22million to P11 million.

The President thus ordered a comprehensive review culminating in the signing of the GOCC Governance Act of 2011The Act strengthens governments oversight of GOCCs through the creation of a Governance Commission for GOCCs.

As a result of the Department of Finances (DOF) better oversight, GOCCs remitted a total of P34.47 billion to the nationagovernment, inclusive of P27.29 billion in dividends, as of May 2011. This is one of the highest remittances made byGOCCs to date. In contrast, GOCC remittances in 2010 amounted to 26.99 billion.

2.2.4. Reforming the National Food Authority (NFA). The Food Staples Self-Sufficiency (FSS) Program and NFARoadmap were formulated to attain self-sufficiency in the countrys staple and to implement fundamental reforms in NFAOperations. NFAs role is focused at maintaining buffer stocks of rice (30 days) and providing price support to small

farmers. Stocks for buffer stocking are accumulated by increasing domestic procurement while reducing the volume oimportation by encouraging the private sector to participate more on importation. NFAs policy of buy high-store long-sellow has shifted to a policy where NFA selling prices of rice are gradually increased to approach market levels with sociawelfare agencies handling subsidized rice if needed but buying stocks from NFA at market prices.

A system audit was conducted with the help of the private sector in order to evaluate the previous administrationsunusually large NFA rice importations and evaluate the agencys legacy problems, with the end in view of not onlyferreting out the truth but to recommend prescriptive measures to rehabilitate and strengthen the NFA.

2.3. Investigation of Disadvantageous Projects and Contracts

2.3.1. Addressed PCSOs exorbitant spending for advertisements. The Philippine Charity Sweepstakes Office (PCSOoverspent its advertising budget by more than P2.14 billion from 2004 to 2010.[6] To conceal the expenses, parts of theamounts were debited to different accounts. Despite COAs repeated recommendations to cut PCSOs advertisingexpenses, the former PCSO Board still authorized more advertising expenses during the campaign period. The PCSO

also sponsored concerts and produced a full length movie. These were done despite having unrecorded payables to TVradio, and other media companies in the amount of P740 million. As a result of these anomalies, the current PCSO Boardstopped the production of the television dramas, which saved P110 million; and, reduced its 2011 advertising budget by40.8% from P928.3 million to P549.02 million. The current PCSO board was also able to obtain a 25% discount on aloutstanding and valid advertising contracts. The savings from these reductions can now be rechanneled to moremeaningful charitable projects.

The PCSO also spent an estimated P325 million for its intelligence funds from 2008 to 2010. The intelligence funds wereallegedly used to pay for anti-juetengoperations, blood money, and for other discretionary uses. This practice has beendiscontinued by the present Board.

2.3.2. Cancellation of the Laguna Lake Rehabilitation Project. On 17 June 2011, the President cancelled the P18.5 billionLaguna Lake Rehabilitation Project (LLRP) due to inconsistencies between the project components and its intended


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objectives; and the lack of transparency in the review and approval of the project. A DENR study found out that due toheavy deforestation and erosion, the areas to be dredged would end up being silted again in three (3) years withoutmassive rehabilitation of the watersheds. The DENR further noted that the approval of the supply contract was donewithout any thorough review. In addition, the Projects Economic Internal Rate of Return (EIRR) of 7.04%, which considersonly the projects quantified economic benefits, does not meet the 15% minimum hurdle rate or the minimum acceptablerate of return. In the end, despite the laudable objectives, the questionable project components of the LLRP justified itscancellation.

2.3.3. Reviewed the anomalous procurement of second-hand helicopters for the PNP Special Action Force. In 2009, thePNP procured three (3) Light Police Operational Helicopters (LPOH) for P104.99 million on the assumption that these

were brand new. However, in 2011, the PNP Directorate for Logistics discovered that two (2) helicopters supplied by theManila Aerospace Products Trading Corporation (MAPTRA) were previously owned by Asian Spirit, which leased thesame to Lion Air, Inc. The PNP further discovered that two (2) helicopters, which were supposedly brand new, were usedfor five (5) years prior with flying times of 536.3 hours and 489.9 hours, respectively.[7]

The PNP Procurement Office also failed to recognize that MAPTRA was not an eligible supplier because it was just anewly-registered corporation at the time it transacted with the PNP. Thus, it had no record yet of completing a singlecontract similar to the contract to bid and of good standing as a supplier, which are requirements set by the law. [8] Therewas also an absence of authorized observers during the entire procurement process.[9] Lastly, the members of theinspection and acceptance committee (IAC) failed to exercise their duties with diligence as they did not possess thetechnical qualifications to perform the duty of the IAC that resulted in the acceptance of inferior goods.

2.4. Increasing Civil Society Participation in Governance

2.4.1. Implemented participatory budgeting. Six (6) national government agencies and three (3) GOCCs have piloted

participatory budgeting with civil society organizations (CSOs), namely: the Department of Agriculture (DA); theDepartment of Agrarian Reform (DAR); the Department of Education (DepEd); the Department of Social Welfare andDevelopment (DSWD); the Department of Health (DOH); the DPWH; the National Housing Authority (NHA); the NFA; andthe National Home Mortgage Finance Corporation (NHMFC). Participatory budgeting helps increase governancetransparency by engaging CSOs in the determination of the expenditure priorities of government.

The DPWH conducted its first CSO budget consultation for FY 2012 on 28 April 2011. CSO participation included thereview, assessment, and evaluation of DPWH projects programmed for 2012. A Budget Partnership Agreement (BPAwas signed between the DPWH and Bantay Lansangan (Roadwatch) on 15 March 2011 to ensure a continuous budgetconsultation process with the private sector. As of May 2011, at least 46 CSOs had been accredited as partners of theDPWH, while 52 others had pending accreditations prior to their submission and completion of the required documents.

2.4.2. Forging an integrity pact between government and the private sector. A private sector initiative to forge a pact ointegrity between the government and the private sector is rapidly gaining momentum. As of June 2011, ten (10) agencies

have signed on to the Integrity Initiative, namely: DTI, DBM, DepEd, DOF, DOLE, DND, DPWH, DOT, DOE, and DOTCas well as 550 private companies. The Integrity Initiative aims to reduce corruption in the public and private sectorsthrough the voluntary enforcement of good governance norms based on a mutually agreed code of conduct. Agencies wilsoon ask suppliers and bidders to sign on to their agency integrity pacts.

On 22 February 2011, the DepEd forged an integrity pact with more than 80 of its suppliers and civil society partners topromote ethical, clean, and transparent business transactions, particularly with regard to the procurement of basiceducation goods and services.

2.4.3. Entered into a Memorandum of Agreement (MOA) with civil society groups and non-government organizations(NGOs) on the Conditional Cash Transfer (CCT) Program.As of 22 July 2011, 222 national and local non-governmenorganizations (NGOs) and civil society organizations (CSOs) signed a MOA with the DSWD to empower their activeparticipation in the implementation of the CCT Program to ensure good governance and transparency.

2.4.4. Invited CSO participation in monitoring infrastructure projects. The DPWH has also entered into a Memorandum of

Understanding (MOU) with a broad coalition of CSOs, NGOs, church organizations, and the academe for the purpose ofmonitoring the implementation of DPWH projects.

3. Professional, Motivated, and Energized Bureaucracy and Armed Forces

The government is committed to support the combat readiness and effectiveness of the Armed Forces; recruitment andretention of quality personnel; and upliftment of soldier morale and family wellness.

From July 2010 to June 2011, a total of P21.37 million was used to repair and maintain various AFP housing units;P39.60 million was also released for the housing assistance of AFP battle casualties; another P15.19 million has beenreleased to support AFP battle casualties; and a total of 4,535 dependents of killed in action/wounded in action wereawarded educational assistance.

3.1. The President committed to provide at least 20,000 housing units for the AFP and PNP in 2011. In this light,


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Administrative Order (AO) No. 9 Directing the National Housing Authority to Formulate, Implement and Manage Housing Program for the Military and Police Personnelwas issued on 11 April 2011, which authorized the NHA to adoptthe Community Initiative Approach Program (CIAP) to implement the housing program.

Under the NHAs Socialized Housing Program, a soldier with a rank of Private, receiving a P400 monthly quartersallowance, will now be able to acquire a housing unit in any of the twelve (12) housing project sites in Brgys. (1) BuenaVista and (2) Biclatan in Gen. Trias, Cavite; (3) Brgy. Conchu, Trece Martires, Cavite; (4) Brgy. Timbao, Bian City,Laguna; and Brgys. (5) Looc and (6) Kay-Anlog in Calamba City, Laguna; (7) Brgy. Gaya-Gaya, San Jose Del Monte CityBulacan; (8) Brgy. San Mateo, Norzagaray, Bulacan; and Brgys. (9) Batia and (10) Tambubong in Bocaue, Bulacan; and(11) Brgy. Pinugay, Baras, Rizal and (12) Brgy. San Isidro, Rodriguez, Rizal. A housing beneficiary is required to pay the

housing unit for 30 years, with a monthly amortization of at least P200.00 for the first five (5) years. The AquinoAdministration will subsidize P35,000.00 for each housing beneficiary.

The ground breaking of the AFP-PNP Housing Project in Barangay Batia, Bocaue, Bulacan was held on 23 May 2011The first 4,000 Certificates of Land Entitlement and Lot Allotment (CELA) were awarded and 90 housing units were turnedover to AFP and PNP personnel in Brgy. Looc, Calamba City, Laguna; Brgy. Batia, Bocaue, Bulacan; Brgy. Gaya-GayaSan Jose Del Monte, Bulacan; and Brgy. Pinugay, Baras, Rizal on 15 July 2011.

3.2. The President signed EO No. 15 on 20 December 2010, which increased the current combat duty pay of soldiersfrom P240 to P500 effective January 2011.

3.3. To further unify and strengthen the AFP, the President issued Presidential Proclamation No. 75 granting amnesty toindividuals who participated in the 25 July 2003 Oakwood Mutiny, the February 2006 Marines Stand Off, and the 29November 2007 Manila Peninsula Hotel Incident.

4. Revenue Generation EnforcementIn his first SONA, the President pledged that the Bureau of Internal Revenue (BIR) and Bureau of Customs (BOC) wouldfile weekly cases against tax evaders and smugglers. Through the implementation of the Run After Tax Evaders (RATE)of the BIR and the Run After the Smugglers (RATS) of the BOC, the leaks in the governments coffers continue to beplugged. Moreover, the DOFs Revenue Integrity Protection Service (RIPS) investigated allegations of corruption in theDOF and its attached agencies.

4.1. The current administration intensified the implementation of its RATE program that in just one year, the tax evasioncases filed with the DOJ reached almost half of the 129 cases filed during the previous administration. From July 2010 to07 July 2011, the BIR was able to file 55 tax evasion cases, involving a total taxable amount of over P22 billion.

4.2. As of 19 July 2011, filed with the DOJ 39 criminal cases involving 179 suspected smugglers with a total dutiable valueof P54 billion. Of the 39 cases, one (1) has been filed in court, 21 have been submitted for resolution by the DOJ, seven(7) are under preliminary investigation, while 10 are up for preliminary investigation.

4.3. As of 19 July 2011, the DOF has filed 86 cases against allegedly corrupt government employees before the Office ofthe Ombudsman since 2003. A total of 53 officials have been suspended since the beginning of the RIPS program in2003, 17 were suspended under President Aquinos watch. A total of 19 officials have been dismissed from the servicesince 2003, three (3) of whom were dismissed under the term of President Aquino.

5. Making the Country an Attractive Investment Location.

5.1. Streamlined business name registration. The DTI successfully implemented measures to reduce the time span ofbusiness name registration from an average of 4 to 8 hours to within 15 minutes. The Enhanced Business NameRegistration System (EBNRS) simplified the application process by reducing the required information fields from 36 to 18resulting in the reduction of the application form from nine (9) pages to a single page.

5.2. Streamlined issuance of local government business permits. The DILG also signed a Joint Memorandum Circulawith the DTI to streamline the Business Permits and Licensing System (BPLS) of 480 priority cities, capital towns, and

municipalities from 2010 to 2012. Out of these 480 priority LGUs, 18% or 86 LGUs have already streamlined their BPLSMeanwhile, for all 1,634 cities and municipalities in the country, at least 21% are ready for the streamlining of their BPLS.

As a result, LGUs utilizing the new and improved BPLS offer better service to applicants for business permits in theirespective areas of jurisdiction. LGUs are encouraged to use a single or unified form in every transaction, with a maximumof five (5) steps and five (5) signatories. The outcome is a Business Friendly LGU that offers reduced processing time fobusiness permits and licenses, i.e., 10 days or less processing time for new applications and five days for licenserenewals.

5.3. Developed an electronic payment system. The PEZA has completed the development of an Electronic PaymenSystem for four (4) out of five (5) selected transactions of PEZA enterprises. PEZAs E-payment System is a cashlesspayment solution that allows clients to pay for transactions with PEZA online, 24 hours a day, and from anywhere. Thissystem promotes greater transparency and efficiency.


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5.4. Promoted competition. The President issued EO 45 on 9 June 2011, designating the DOJ as the CompetitionAuthority. This will encourage competition and open markets. EO 45 mandates the DOJ to conduct investigations, enforcecompetition laws, and prosecute violators. It also authorizes the DOJ to supervise competition in the markets; monitor andimplement measures to promote transparency and accountability in the markets; and to call on government agencies tosubmit reports and provide assistance to the agency. With this EO, the government will be able to strengthen itsenforcement of existing antitrust laws and policies to promote a level playing field, while Congress deliberates on thepending antitrust bills.

B. ECONOMIC DEVELOPMENT

1. Sustaining Economic Growth and Employment

In the first quarter of 2011, real GDP grew by 4.9%, slower than the 8.4% growth in the same period in 2010 but veryclose to the 5.0%-6.0% forecast of the Development Budget Coordination Committee (DBCC) for the year. Furthermorethis growth is within the NEDAs forecast for the first quarter of 4.8%-5.8% and higher than the growth rate of Malaysia,Korea, and Thailand[10] for the same period. The strong performance of the industry and agriculture sectors, increasedinvestments in capital formation, and increased household final consumption expenditure boosted growth.

In April 2011, the unemployment rate went down to 7.2%, significantly lower than the 8.0% rate in April 2010 due tostronger growth of agricultural employment. The number of unemployed persons decreased by 228,000 from 3.099 millionin April 2010 to 2.871 million in April 2011. Employment level grew by 4.0% in April 2011, translating to a net addition of1.408 million employed persons in the private sector.

1.1. Expanded Trade and Investments.Crucial to the goal of generating jobs is the promotion of key investment areas andexpansion of trade and investment activities where the country could be globally competitive (e.g., tourism, business

process outsourcing and information technology, among others).1.1.1. Increase in Philippine Exports. Exports increased by 33.7% from $38.4 billion in 2009 to $51.4 billion in 2010, evensurpassing the $50.27 billion record set in 2007. The 2010 export growth is the highest in 11 years since 1999. Exportsgrew by 7.5% from US$19.2 billion from January to May 2010 to US$20.6 billion in the same period in 2011.

1.1.2. Increase in Investments. For the period July 2010 to May 2011, the BOI and PEZA approved a total of P535.19billion worth of investments, a 73% increase compared to the P309.87 billion approved investments in the samecomparative period in 2009 and 2010. The P535.19 billion investments are expected to generate 137,118 employmentopportunities once fully operational.

The larger part or 68% of the total investment approvals during the period July 2010 to May 2011 came from localinvestors with committed investments worth P366.62 billion, 95% larger than the P187.53 billion in July 2009 to May 2010Foreign investors contributed a total of P168.57 billion or about 32% of the total.

Just looking at the first five months of 2011, the strong business confidence, particularly from local investors, was evidentas overall domestic investments soared by 258% to a total of P224.57 billion from the P62.78 billion level posted duringthe same period in 2010. The bulk of these domestic investments went into manufacturing (e.g., refined petroleumproducts, metals, and electronic products), power, and real estate activities, among others.

1.1.3. Investments in Major Sectors. The following major investments in key sectors form part of the approvedinvestments for the period July 2010 to May 2011:

Manufacturing. The manufacturing sector tops the list of sectors with the highest committed investments worth P283.07billion during the period July 2010-May 2011, a 131% increase compared to the P122.30 billion posted in thesame period in 2009-2010.

Electronics. The Semiconductor and Electronics Industries in the Philippines (SEIPI) reported that electronicsinvestments in the country broke an all-time record high as fresh capital expanded by 369% from $484 million in2009 to $2.27 billion in 2010. This is also the 7th year the industry hit over $1 billion in investments. As a result,

24,552 direct jobs will be generated. Of the 100 companies, which registered in 2010, 10 are expansions whilethe rest are new projects. The industry hopes to double its exports in six (6) years from $22 billion in 2009 to $50billion in 2016. The industry is bullish for 2011 as its exports are expected to hit over $31 billion noting that theelectronics sector will continue to be the driver of growth of Philippine exports.

Information Technology Business Process Outsourcing (IT-BPO). A total of 30,198 IT-BPO jobs were created for thefirst quarter of 2011. At least 84,000 more jobs are expected to be generated in the BPO industry within 2011The BPO industry includes call centers, legal and medical transcription, accounting services, softwaredevelopment and animation, and other services for overseas principals. To help fill up the projected vacancies,the Technical Education and Skills Development Authority (TESDA) will offer free six-month training courses forprospective BPO workers. Graduates will be absorbed by the BPO companies. TESDA has allotted a total of P20million for the free training of workers.


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Shipbuilding. Investments in shipping increased because of foreign investors access to 100% ownership of companiesengaged in shipbuilding and repair.

Mining. The mining and quarrying sectors recorded the highest increase in approved FDI, from P0.6 billion in 2009 to P6.0 billion in 2010. The 2010 investments in mining are about nine times larger than the 2009 mining investments.

Mass Housing. Investments are huge at P59.02 billion. These investments, which represent about 50,000 units, arealso expected to generate around P900 billion[11] worth of investments in related industries.

Energy. On 30 June 2011, the DOE launched the fourth Philippine Energy Contracting Round (PECR4), the biggest ofall contracting rounds, in which 15 blocks with a total area of more than 10 million hectares were offered. The

PECR4 is envisioned to address the countrys energy supply through the exploration of local indigenousresources. This will help the country meet its daily demand and reduce the importation of petroleum andpetroleum products.

The PECR4 road shows have attracted at least 140 independent and large-scale international exploration companiesexpressing their interest to tender bids in the offered blocks. The DOE expects around US$300-500 million for eachservice contract[12]. Interested investors will have until December 2011 to signify their intent to bid while the contracts areexpected to be awarded next year.

1.2. Improved fiscal consolidation

1.2.1. The government deficit in 2010 was at P314.40 billion, 3.23% lower than the P325 billion programmed deficit for theyear.[13] The lower deficit was due to the implementation of measures to improve collections and spend wisely.

1.2.2. For the f irst five months of 2011, the government posted a deficit of P9.54 billion, 94.11% lower than the

P162.107 billion deficit in the same period in 2010. However, excluding interest payments on debt, the NationaGovernment (NG) incurred a primary surplus[14] of P108.26 billion as of May 2011 due to increased revenues and soundspending, along with the strict observance of the principles of zero-based budgeting.

1.2.3. Revenue collection increased to P1.21 trillion in 2010, 7.5% higher than the P1.12 trillion in 2009. The BIRscollections increased from P750.30 billion in 2009 to P822.60 billion in 2010. The BOCs collections increased by 17.7%from P220.30 billion in 2009 to P259.2 billion in 2010.

1.2.4. Revenues grew by 16.30% from P500.01 billion in the first five months of 2010 to P581.50 billion in the same periodof 2011.

1.2.5. The government lowered its disbursements by 10.73% from P662.12 billion in the first five months of 2010 toP591.04 billion in the same period of 2011 due to more prudent planning and sound spending of agencies. Governmentdisbursed P1.52 trillion in 2010, or about 94% of the P1.62 trillion programmed for that year.

1.3. Other important initiatives to improve the fiscal position include the following:

1.3.1. Congress prompt enactment of the 2011 General Appropriations Act (GAA) on 27 December 2010, the first budgepassed on time since the 1999 National Budget. The P1.65 trillion 2011 national budget is in favor of the poor and thevulnerable, as social services were allotted the lions share (34%). The budget is based on the principle of zero-basedbudgeting, the objective of which is to cut wastage.

1.3.2. The 2012 Budget preparation is ahead of schedule, again, the first budget prepared ahead of schedule since 1998As early as 30 December 2010, the DBM had already issued National Budget Memorandum (NBM) No. 107, s. 2010providing all heads of departments, agencies, bureaus, offices, commissions, state universities and colleges, and otherinstrumentalities of the national government the overall policy framework and thrusts for the FY 2012 Budget. The NBMalso set specific guidelines for the budget preparations.

1.3.3. Liability Management. Various upgrades in the countrys ratings were obtained. Debt watcher Standard & Poorsrevised its long-term foreign currency credit rating for the Philippines upwards to BB stable from BB- last November

reflecting the countrys strong fiscal fundamentals. The Moodys Investors Service and the Japan Credit Rating AgencyLtd. also raised their outlooks for the Philippines from stable to positive in January and April 2011, respectively. Theupgraded outlook from Japan reflects greater possibility that the Philippine economy will resume momentum for thimproving trend of its fiscal position after successfully weathering the challenges of the world financial crisis.For thesecond time in 2011, Moodys Investors Service has upgraded the Philippines Ba3 foreign and local currency long-termbond ratings to Ba2, with a stable outlook, on the back of sustainable fiscal consolidation process of the Aquinoadministration. On 23 June 2011, Fitch Ratings upgraded the Philippines Long-Term Foreign Currency Issuer DefaulRating (IDR) to BB+ from BB, with a stable outlook, just one notch below investment grade. This rating was lastachieved in 1997 just before the Asian financial crisis. With the upgrade, the country is now one step closer to attaining aninvestment grade rating, which is crucial in further lowering borrowing costs and attracting more foreign directinvestments.

The Aquino administration moved early in executing its first Global Exchange last September 2010 wherein a total o


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US$2.29 billion worth of short-term, high coupon U.S. dollar bonds were exchanged into less costly but longer datedRepublic of the Philippines (ROP) global bonds. This represented one of the largest liability management exercises froman emerging market issuer at the time and was immediately followed by the P199 billion domestic bond swap inDecember 2010, which offered 10 and 25-year securities to holders of maturing bonds.

Debt exchanges and the issuance of longer-termed securities increased the average maturity of government debt to8.8 years in December 2010 from 7.9 years in June 2010.

The debt-to-GDP ratio dropped from 57% in 2009 to 55.4% in 2010, well within the 2010 target of 56.5%. This means thathe Philippine government is in a better position to settle its liabilities.

The government decreased debt servicing by 2.14% year-on-year from P339.34 billion in the 1st quarter of 2010 toP332.07 billion in the first quarter of 2011 as the Aquino government cut down on interest payments.

1.4. Ensuring Monetary and Banking Stability

The government maintained an effective balance on policies to preserve price stability and support economic growth. As aresult, inflation for 2010 averaged at 3.8%, which was within the Governments 2010 inflation target of 3.5%-5.5%. Theinflation rate for the first five months of 2011 averages at 4.2%, which was likewise, within the Governments target of 3%5%.

1.4.1. Government also ensured a stable, market-driven peso. The peso appreciated by 6.8%, from P47.46/US$1 averagein July-December 2009 to P44.45/US$1 in July-December 2010. The peso appreciated by 4.8%, from P45.66/US$1average in January to May 2010 to 43.55/US$1 average in January to May 2011. The sustained foreign exchange inflowsof portfolio and direct investments, overseas Filipinos (OF) remittances, receipts from exports, BPO, and travel continuedto support the pesos strength.

The countrys international reserves were built up, taking advantage of the strong inflows of foreign exchange to cushionthe economy from external shocks. As a result, the countrys gross international reserves (GIR) grew by 44% fromUS$47.7 billion in end-May 2010 to $68.8 billion as of end-May 2011.[15] The country is expected to achieve the 2011GIR target level of $70 billion as it anticipates sustained foreign exchange inflows from portfolio and direct investmentsOF remittances and receipts from exports, BPO and travel.

1.4.2. The government continued to pursue reforms and implement new regulations to maintain the soundness andstability of the banking system. The total resources of the banking system rose by 9.4% to P7.1 trillion as of end-March2011, spurred by the robust growth in bank deposits which grew by 9.3% to P5.0 trillion.

Asset quality continued to improve with the non-performing loan ratio[16] of universal and commercial banks falling to2.95% as of end-April 2011. This is well below the pre-1997 crisis level of 4%. The banking systems overall capitalizationalso remained strong, with a 17% capital adequacy ratio (CAR) [17] as of end-September 2010. This is way above theBSP regulatory requirement of 10% and the Bank for International Settlement (BIS) standard of 8%. With stability andample liquidity in the banking system, banks continued to perform their critical function of channeling credit to theproductive sectors of the economy. Bank lending grew at a healthy pace of 14.2% as loans for production activitiesincreased by 15.7% in April.

1.4.3. Stock Market. Since the start of the Aquino Administration, the Philippines Stock Exchange Index (PSEi) hit all-timehigh levels on seven (7) different occasions: on 20 July 2011 at an all-time high of 4,507.04 points; 19 July 2011 at4,485.65 points; 18 July 2011 at 4,476.01 points; 15 July 2011 at 4,458.74 points; 5 July 2011 at 4,439.61 points; 4 July2011 at 4,421.56 points; and 4 November 2010 at 4,397.30 points. Mining and Oil, holding firms, and industrial sectorsare among those industries that outperformed their own previous performances in the stock exchange.

2. Ensuring Vital Infrastructure and Energy Sufficiency

2.1 Improved infrastructure support to sustain economic growth. The following are some of the major infrastructureprojects completed during the first year of the Aquino Administration:

Name of Project Amount Completion Date

Valderrama Bridge andApproaches, Antique (UK-ODA)

P53.07 million 28 March 2011

Bugo Bridge and Approaches,Antique (Austria-ODA)

P148.17 million 31 March 2011

EstrellaPantaleon Bridge and Approaches, Makati andMandaluyong City (GOP and

P189.32 million 15 January 2011


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Austria-ODA)

Butuan City Bypass Road (Bonbon-Banacasi Airport Section andLemon-Antongalon Section),

Agusan Del Norte

P177.96 million 30 April 2011

Butuan City-Cagayan de Oro-IliganRoad (Agusan-Misamis Road),

Agusan del Norte

P105.12 million 26 October 2010

Tiniwisan-Maguinda Road (Lemon-Pigdaulan Section), Agusan delNorte

P335.03 million 23 April 2011

Metro Iloilo Radial (R4) BypassRoad and Iloilo City-Sta.BarbaraRoad

P1.21 billion 23 April 2011

ODA and partnerships with the private sector augment governments infrastructure spending to ensure the timely and fulcompletion of our infrastructure priorities. The DPWHs management philosophy of Doing the right projects at the righcost and right qualityalso resulted in increased savings.

The DPWH aims to use these savings for prioritization of other development projects. For 2011, P16.20 billion or 24.3% othe total DPWH Capital Outlay has been allocated for infrastructure development in Mindanao. This will help facilitateeconomic growth in the region.

2.2 Upgrading the quality and safety of national roads.

2.2.1 Strictly enforced the anti-overloading program pursuant to RA No. 8794 (MVUC Law). The DPWH deployedadditional mobile weighing stations to augment the 22 weighbridge stations nationwide. Out of 92,279 weighed trucks inthe 22 weighbridge stations nationwide, 37% or 34,026 trucks were overloaded and apprehended from January to May2011, while 4,188 trucks or 3% of 143,928 weighed trucks in the 13 mobile weighing stations in Metro Manila wereapprehended from February to May 2011.

2.2.2 Enhanced road safety and minimized traffic congestion on major roads. A total of 757,809 violators of transport lawsand regulations were apprehended for the period July 2010-April 2011. This is 45.79% higher than the DOTCs target toapprehend 519,780 errant drivers for the same period.

2.3 Working Towards Energy Sufficiency

2.3.1 Energy Efficiency and Conservation. The DOE took the following initiatives to promote the conservation and efficienutilization of energy resources:

2.3.1.1 Established the Wholesale Electricity Spot Market (WESM) in Visayas, which immediately stabilized electricitysupply and eliminated the manual load dropping of customers. WESM Visayas has also provided good market signals forinvestors. Currently, there are already 180 market participants for the integrated Luzon and Visayas market. On the otherhand, the Effective Settlement Price (ESP) in the WESM for both Luzon and Visayas from January to April 2011 rangedfrom a high of P3.33/kWh in February to a low of P2.30/kWh in March 2011. These prices are lower than the NPCregulated price of P4.6727/kWh. This is a big reduction from the 2010 ESPs which ranged from a high of P10.63/kWh inMarch 2010 to a low of P3.63/kWh in August 2010. This means that the more players in the market translate to a morestable and reliable supply of electricity, as well as better power pricing for the benefit of consumers.

With the commercial operations of the WESM in the region, power outages were eliminated as it allowed even the powerplants generating capacity not covered by bilateral contracts to be dispatched by trading its capacity in the power spotmarket. This kind of set-up provides better market condition and structure to entice more investors to address future

power needs.

2.3.1.2 Increased the Visayas generation capacity by 610 MW with the commissioning of new power plants in the Visayasregion. These power plants are the 246 MW coal-fired power plant of the Cebu Energy Development Corporation (CEDC)the 164 MW clean coal-fired power plant of the Panay Energy Development Corporation (PEDC), and the 200 MW coal-fired power plant of the KEPCO Salcon Power Corporation. This gave the Visayas surplus power of about 600MWIncreased and constant investor interest, in turn, will provide a long-term solution in terms of power sustainability for theregion.

2.3.1.3 A Shareholders Agreement was recently signed to develop a 600-MW circulating fluidized bed coal-fired powerplant project within Subic Bay Freeport Zone. The project consists of two (2) 300-MW generating units. The total cost othe project is estimated at US$1 billion and its commercial operations is scheduled in October 2014 (for the first 300-MWunit) and April 2015 (for the second unit). Said power plant will use an environment-friendly clean coal technology known


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worldwide to cut down environmental impacts of operating a coal fired plant. The power facility is expected to augmengeneration capacity of the Luzon Grid.

2.3.1.4 Promoted the Don Emilio Abello Energy Efficiency Awards[18], whose recipients, including some 61industrialized, commercial, and transport companies, were able to post total savings of 156 million liters of oil amountingto P5 billion, and reduced carbon emissions equivalent to 269,000 tons.

2.3.1.5 Conducted 12 energy audits[19] for industrial, commercial, academe, and government buildings to ensure theefficient use of energy. Total energy savings reached P24.6 million after the conduct of such audits.

3.Achieving Food Security for More Equitable Economic Growth

The country has been highly dependent on the importation of food staples. To lessen the nations dependenceon imports, Government has placed top priority on agricultural development.

3.1 The Agriculture sector (Agriculture, Hunting, Forestry and Fishing) grew by 4.2% in the first quarter of2011from a negative growth of1.08% in the first quarter of2010. The Bureau ofAgricultural Statistics (BAS) reporteda 4.04 million metric ton (MT) palay production in January to March2011, 15.6% higher than the 3.49 million MTproduced in the same period in 2010.

The yield per hectare is estimated to reach 3.8 MT from January to June 2011, a 4.3% improvement from the 3.64 MT pehectare in the same period in 2010. As such, the farmers profit per hectare would reach P14,782.00 from January to June2011, a 4% improvement from the P14,159.00 profit per hectare in the same period last year.

Expansion in palay harvested area, availability of irrigation water and services, and aggressive advocacy of thDA in the implementation of its Rapid Seed Supply Financing Project, which distributes high quality seeds to

qualified palay farmers, contributed to the increase in palay output.

3.2 Completed projects to strengthen the agricultural sector

3.2.1. Under the continuing regular fund from the DA, a total of 1,814 kilometers of Farm to Market Roads (FMRs) werecompleted from July 2010 to May 2011, out of the targeted 2,567 kilometers. In addition, 687 kms more FMRs werecompleted under the locally-funded and foreign assisted projects. Overall, a total of 2,501 kms of completed FMRsprovide better access to markets and social services and boost economic activities by allowing goods and products to flowin and out of the barangays. FMRs also help reduce transport costs, spoilage and deterioration of quality of agriculturalproducts, and facilitate delivery of farm inputs.

3.2.2. From July 2010 to June 2011, a total of 65 tramlines were completed connecting remote areas to FMRs. A totaof 67 agricultural tramlines were completed since project start-up in 2009, which is 63% of the targeted 107units to becompleted by December 2011. The use of these tramlines cuts the cost of hauling by half from P2 to P1 per kilogram ofproduce and reduces hauling time significantly from hours to just a few minutes.

Inaugurated on 13 April 2011 at Twin Peaks, Tuba, Benguet, a 400-meter tramline has reduced hauling time from 2 hoursto five minutes. Farmers pay P1 per kilo of produce to cover the cost of diesel fuel, engine maintenance and other repairsand allowance for the tramline operator.

On 25 February 2011, a tramline built by DA-Philmech at a cost of P1.6 million was inaugurated in La Paz, ZamboangaCity, a barangay located 970 meters above sea level. A 370 meter distance between the barangay and the closesnational road used to take 12 hours to traverse. With the tramline, travel time over this distance has been reduced tothree minutes. A local group, the La Paz Farmers Association operates the tramline collecting a fee of one peso for aload of 350 kilos of corn and vegetables.

3.2.3. All in all, in the first 11 months of the Aquino Administration (July 2010 to May 2011), 11,611 hectares of new areaswere irrigated, 40,053 hectares were restored, and 171,910 hectares were rehabilitated both for current and carry oveprojects. Restoration entails repairing the irrigation facility that is currently not functional while rehabilitation meansupgrading or improving the facility, which is currently working but has not attained the maximum or designed irrigation

efficiency.

3.2.4. Put up the following post-harvest facilities:

One hundred eighty seven (187) food terminals from July 2010 to April 2011 benefiting 1,155 small farmers and fishersThese food terminals provide affordable basic food commodities to around 457,859 households who are able tosave not only from low-priced commodities but also from cuts in transportation expenses and reduction omiddlemen costs. The savings on transportation cost ranges from P8P200 for every trip to the market.

Thirteen (13) or 68% of the targeted 19 Corn Post Harvest Trading Centers (CPHTC) in major corn producing areasnationwide. These centers ensure continuous supply of corn even during the wet season, guarantee premiumquality, and open opportunity for other investments in the corn industry.

A total of 1,342 small scale composting facilities in the different regions nationwide, reaching 100% of the target, and


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generating 5,368 jobs. This forms part of the governments promotion of organic farming through the OrganicFertilizer Production Project, which will enable farmers to produce their own organic fertilizer to reducedependence on expensive synthetic fertilizers.

A total of 56 units of flatbed dryers from July 2010 to April 2011, attaining 100% of the target and generating 402 jobsThese will reduce post-harvest losses during the drying stage of palay and ensure quality drying during the rainyseason.

Four (4) cold chain facilities[20] from July 2010 to May 2011 would enable farmers of high value crops to store theirfruits and vegetables in the appropriate temperature and prolong the quality and shelf life of perishable crops,obtaining for the farmers a better selling price for their produce. These facilities were turned over to three (3)cooperatives in Benguet, Palayan City, and San Jose City, benefiting 139 farmers.

Ten (10) units of Village-Type post-harvest facilities as of June 2011, in key corn production areas and strategicdemand sites nationwide. Thirty-one (31) more units are expected to be completed and operational by the end o2011.

3.3. Fostered a culture of self-reliance

3.3.1 Some of the strategies under the Food Staple Self-Sufficiency program include the termination of direct inpusubsidies to farmers and front-loading of irrigation investments in 2012 and 2013 to increase output as early as possible,thus decreasing the need to import rice. These actions are already bearing fruit as seen in the bumper crop harvest fromJanuary to March 2011.

3.3.2 The countrys rice importation dropped significantly by 80% from an import volume of 2.02 million MT from July 2009to June 2010 to 386,243 MT from July 2010 to June 2011. The decrease in volume of actual rice import arrivals can be

attributed to the good harvest and the comfortable stock position of the country. Likewise, rice shipments were scheduledbetter. From here on, NFA buffer stocks will consist mainly of palay purchased from local farmersa long standingdemand of the rice farmers. From January to June 2011, the government through the NFA has procured some P7.64billion worth of palay from all over the country. This is 16% of the NFA stock. The NFA targets to increase this volumefrom the harvest from the main cropping season later this year.

The total rice imported in 2010 was 2.38 million MT. For 2011, the government shall import 64% less or 860,000 MT, with200,000 MT imported by the government, and 660,000 MT by the private sector. For 2012, rice imports shall furtherdecline to 500,000 MT, with 100,000 MT imported by the government and 400,000 MT imported by the private sector.

3.3.2. The government was able to increase the average farm gate price of palay by 2.89% within a short period, therebyimmediately increasing the farmers income. Strategic reserves and placements made it possible for the price of rice toremain stable, thereby assuring the affordability and availability of rice to the public.

3.3.3. Production in the crops subsector was also up by 8.19% and the main contributors were palay, corn, sugarcaneand banana. The country has regained its status as net sugar exporter for the current crop year, having recovered fromthe sugar shortage in 2009-2010 when the country imported raw and refined sugar.

3.3. Other Agribusiness Interventions

Livestock.Today, the Philippines is both avian flu-free and foot-and-mouth disease (FMD) free. The OIE[21], or the WorldAnimal Health Organization, last May 2011 certified the Philippines as FMD-free without vaccination. This accreditationopens the gates for the countrys hog raisers to export meat products.

4. Improving National Productivity and Competitiveness

4.1. National Competitiveness Council (NCC).NCC was reconstituted through the issuance of EO No. 44, s. 2011. NCC isworking on improving the Philippine standing on competitiveness indicators where the Philippines had the lowest rankingsincluding infrastructure, governance, and ease of doing business.

4.2. Tourism Industry. In 2010, visitor arrivals surpassed the 3.3 million target for the year reaching an all-time high of3.52 million, 16.67% higher than the 2009 visitor arrivals of 3.01 million. In just the first year of the Aquino administration,a 15.60% increase in visitor arrivals was recorded from 3.2 million arrivals in the period July 2009-June 2010 to 3.7 millionarrivals in the period July 2010-June 2011.

More particularly, in the first six months of the Aquino Administration, visitor volume grew by 21%, faster than the firstsemester of 2010s 12% growth. Total receipts from visitors increased by 11.3% from $2.24 billion in 2009 to $2.49 billionin 2010. This may be attributed to the confidence in the new administration, as well as the improved economic conditionsin tourist source markets.

The continued growth in visitor volume is the result of sustained marketing and promotions efforts undertaken jointly bythe public and private sectors in key source markets, such as attendance to travel fairs, invitational programs and veryselective advertising.


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The Civil Aeronautics Board (CAB) granted new permits to operate regular air services to the following: Korean Airlines,Gulf Air, Continental Airlines, Pakistan International Airlines, which are expected to provide weekly seat capacity of 12,090from Korea, Bahrain, Guam, and Palau. The CAB also granted permits to Jin Air, Jetstar Airways, Air Busan, Mandarin

Airlines, Air Nippon Airways, and Jeju Air. These airlines are expected to bring in 1,498 and 2,265 tourists weekly fromJapan and Korea, respectively.

The DOT further estimates that there will be an additional 37,623 potential Japanese tourists and 56,888 potential Koreantourists in the country with these additional seat capacities.

It may be noted that in 2010, Korean tourists accounted for the biggest chunk of visitor arrivals or 21.04% (740,622) whileJapanese visitors accounted for 10.19% (358,744) of total tourist arrivals.

4.3. Pocket Open Skies Policy. EO Nos. 28 and 29 were issued on 14 March 2011, which aims to reorganize thePhilippine Air Negotiating Panel and Philippine Air Consultation Panel; and authorize the CAB and the Philippine AiPanels to pursue more aggressively the international civil aviation liberalization policy. The Implementing Rules andRegulations (IRR) was approved by the CAB Board and published in Manila Bulletin on 09 May 2011. It is also availablein the CAB website.

4.4. Encouraging Local Innovation. The DOST is concentrating its efforts on innovating and promoting technology aseconomical solutions to exigent socio-economic matters that affect our country. This includes the development of theovicidal/larvicidal (O/L) trap. This is a simple tool to lessen the incidence of dengue. The O/L trap consists of a tin cancontaining an organic solution that attracts and terminates the eggs and larvae of mosquitoes. As of May 2011, the DOSTdistributed four traps per household or a total of 200,000 O/L traps to 50,000 households nationwide.

Another innovation that the DOST is developing is a prototype of the Automated Guideway Transit (AGT) System, a

monorail-type rapid mass transit system that employs a rubber tire on concrete form of conveyance. Unlike the commonlight-rail type train systems available in the country, the AGT System requires less space for its structural support, makingit suitable for the narrow spaces that are available in the cities. It is also cost-efficient, Philippine-made, andenvironmentally-friendly.

Yet another important DOST innovation is the landslide sensor. A landslide sensor is an automated borehole sensorcolumn that is buried in the ground. It gathers data on ground movement and soil moisture content, and sends itautomatically to a computer that runs predictive models for landslides called Dynaslope. A landslide sensor is currentlydeployed in Benguet and there are plans to install more sensors in provinces such as Southern Leyte, Albay, and Boholwithin the year.

C. HUMAN DEVELOPMENT AND POVERTY REDUCTION

The anti-corruption call Kung Walang Corrupt, Walang Mahirapfurther serves as a means to achieve a higher endwhich is to reduce poverty and improve the quality of life of the Filipino people. It increases investments and advances

economic development to further free-up resources for much needed social interventions. Towards this end, aconvergence approach has been adopted, with opportunities for education, housing, health care, employment, andlivelihood made available. With savings arising from eliminating wasteful and corrupt practices, programs and projects forsocial intervention can be funded. These include the following:

1. Building Capacities of the Poor and Marginalized

1.1 Expanded coverageof the CCT or the Pantawid Pamilyang Pilipino Program (Pantawid Pamilya). The governmenhas reached the targeted 1 million households in 2010, and intends to cover an additional 1.3 million households for atotal of 2.3 million households by the end of 2011.

As of 10 July 2011, a total of 2,201,792 household beneficiaries, or 94.12% of the 2,339,241 million households target fo2011, have been registered in the program. The registration for the remaining 137,449 households is on-going.

As of 30 May 2011, the cash grants funded cover 1,619,974 household beneficiaries.

Overall average compliance rate vis--vis the program conditionalities in 2010 for household beneficiaries belonging toSet 1[22]and 2[23] is high, as may be observed in the following:

PROGRAM CONDITIONALITY RATE

Health Visits

(for pregnant women and children 0-5 years old)

96.16%

Education (Day Care)

95.40%


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Education (Elementary)

96.86%

Family Development Sessions

95.92%

From January to April 2011, high compliance rate to the program conditionalities was also recorded:

CONDITIONALITY January February March April

Health Visits (for pregnantwomen and children 0-5 y.o.)

90.82% 91.94% 92.86% 93.72%

Education (Day Care) 90.20% 90.95% 92.82% not available

Education (Elementary) 90.27% 90.82% 92.69% not available

Family Development Sessions 96.34% 96.47% 96.64% 96.45%

The high compliance rates with the programs conditions indicate that the people are responsive to the importance ofinvesting in health and education in order to improve their quality of life. Currently, the DSWD is converging its core sociaprotection programs (i.e., Pantawid Pamilya, the Kapit-Bisig Laban sa Kahirapan-Comprehensive and Integrated Deliveryof Social Services, and the Self-Employment Assistance-Kaunlaran Program) to ensure that poverty reduction objectivesof the Aquino Administration are accomplished.

1.2 Empowered communities through the Kapit-Bisig Laban sa Kahirapan Comprehensive and Integrated Delivery oSocial Services (KALAHI-CIDSS).

The KALAHI-CIDSS is a strategy for community empowerment and poverty reduction that employs a community-drivendevelopment (CDD) approach. KALAHI-CIDSS allows communities to identify, analyze and prioritize the projects thawould best solve their immediate needs (e.g., water systems, school buildings, day care centers, barangay healtstations, electrification, housing, access roads/trails/bridges, livelihood assistance, environmental protection/ conservatio

programs, and skills training, among others). From July 2010 to 30 May 2011, the KALAHI-CIDSS projects have beenimplemented in 10 regions, 25 provinces, 78 municipalities, and 1,759 barangays. The programs capacity buildinginitiatives have been completed benefitting the 40,112 targeted community volunteers. These initiatives cover the conductof project development and management, financial management, procurement, development planning, and infrastructureimplementation.

As of 30 June 2011, out of the 570 targeted community projects, 490 community sub-projects costing P507.94 million

have been completed, benefiting 133,439 households. The sub-projects include the construction of health and day carecenters, pre- and post-harvest facilities, roads, and bridges, among others.

1.3 Enhancing the capacity of the poor for entrepreneurship through the Self-Employment Assistance-Kaunlaran (SEA-Program. TheSEA-K is a capability building and livelihood program that aims to enable poor families to establish andmanage sustainable community-based credit organizations for entrepreneurship development.

From July 2010 to June 2011, a total of P120,058,333 was released to 21,296 families as capital seed fund at a maximumof P10,000 per family. Out of which, P40,349,333 has been released to 5,572 Pantawid Pamilya beneficiaries under theSustainable Livelihood Program of the DSWDs Convergence Strategy.

2. Advancing and Protecting Public Health

Universal Health Care or Kalusugang Pangkalahatan is the governments response to the inequities and lack of access tohealth care. It envisions providing all Filipinos with quality and appropriate health care whenever and wherever needed.

2.1. PursuedUniversal Health Care. The National Household Targeting System for Poverty-Reduction (NHTS-PR) hasidentified 5.2 million households[24] for enrolment in the Sponsored Program of the Philippine Health InsuranceCorporation (PhilHealth).

As of 19 July, all of the 5.2 million families identified by the NHTS-PR are now enrolled in PhilHealth under the SponsoredProgram. This represents 100% of the families classified by NHTS-PR as the poorest Filipino families.

Starting August 2011, PhilHealth will offer the poorest of the poor a no-balance billing package covering 22 medical andsurgical cases[25]. This means that for the poor patients who belong in the 5.2 million families identified by the NHTS-PRand enrolled in PhilHealth, no payments shall be required by the public health facility or public hospital for the treatment oillnesses such as dengue, diarrhea, pneumonia, typhoid fever or asthma, or for normal or caesarean deliveries duringchildbirth, among others.


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2.2. Upgrading the rural health units and government hospitals. A total of P7.1 billion has been allocated in 2011 for theHealth Facility Enhancement Program (HFEP),[26] P5.70 billion of which shall be used for the improvement of rural healthunits (RHUs) and barangay health stations, while P1.40 billion shall be used for the enhancement of DOH retainedhospitals.

A total of P3.70 billion was also released to various LGUs nationwide for the upgrading of health infrastructure. Theamount funded a total of 553 projects for the civil works and upgrading of equipment for Basic and ComprehensiveEmergency Obstetrics and Neonatal Care (BEmONC) in new or renovated health centers and government hospitals.

2.3. Provided more health workers to the unserved and underserved communities

2.3.1. Registered Nurses for Health Enhancement and Local Service (RNheals) Program. As of 28 June 2011, the DOHhas deployed 9,884 out of the targeted 10,000 nurses to 1,331 municipalities. This program aims to help uplift the healthconditions of the poor in the rural and underserved municipalities.

2.3.2. Doctors to the Barrios (DTTB) Program. As of 28 June 2011, 83 doctors were deployed to 83 5th and 6th classmunicipalities that had few or no medical practitioners, thereby improving access to quality healthcare.

2.3.3. Rural Health Midwives Placement Program (RHMPP). As of 28 June 2011, 173 midwives were deployed to 15regions to provide maternal and child health care services in the CCT areas, BEmONC facilities and in the unservedunderserved, and hard-to-reach 5th and 6th class municipalities.

2.3.4. Rural Health Team Placement Program (RHTPP). As of 28 June 2011, 44 dentists, 43 medical technologists and40 nutritionist-dieticians were also deployed to 105 municipalities to provide the community with a complete healthcarepackage.

2.4 Other health-related accomplishmentsTheIligtas sa Tigdas ang Pinas Program. For the period 4 April 2011 to 04 June 2011, the DOH allocated P635 million toprocure vaccines and other mobilization requirements for the nationwide door-to-door vaccination of an estimated 18million children aged 9 to 95 months old. Out of the 18 million target, 15,321,749 children or 82% have been vaccinated.

Government effort on Dengue. Due to intensive public information, preventive measures and collaboration amonggovernment and the private sector, as of July 2011, the number of dengue cases is lower by 13.8% with 34,090 comparedto 39, 556 last year.

3. Providing Access to Quality Education

3.1.Allocated a bigger budget for basic education. The government allocated P207.30 billion for basic education in 2011which is 18.46% higher than the 2010 budget of P175 billion. The budget includes P2.30 billion[27] for the 1,193,550kindergarten students for SY 2011-2012, the start of universal kindergarten under the governments K to 12 program. Thebudget also includes P5.8 billion for the Government Assistance to Students and Teachers in Private Education(GASTPE) program, which shall benefit 757,806 students for school year 2011-2012, a 9.54% increase over the 2010-2011 period. Furthermore, to ensure that more students from marginalized families benefit from the GASTPE Program,the tuition subsidy for students residing outside Metro Manila was increased from P5,000 to P5,500.

3.2. Constructed more classrooms and toilets.From July 2010 to May 2011, 2,493 new classrooms had been constructedout of the remaining 3,962 classrooms to be constructed using funds from fiscal years 2008 to 2010. The remainingclassrooms are expected to be completed from August to October of 2011. The construction of new classrooms, this timeprovided for in DepEds 2011 budget, commenced, with 9,104 out of 11,683 classrooms already in the process of biddingand procurement.

For the period July 2010 to May 2011, about 6,691 classrooms, or 75% of the targeted 8,871 classrooms due for repairshave also been rehabilitated. In addition, 2,493 toilets or 71% of the targeted 3,501 toilets have been newly installed inschools.

LGUs and private sector partners have also actively participated in the provision of new classrooms to schools. LGUshave built a total of 1,662 new classrooms in school year 2010-2011 alone. Several LGUs have also responded positivelyto the Counter-Parting for Classroom Construction Program, which was established early this year. As of June 2011,LGUs have a running commitment of P760.65 million to build 895 new classrooms this school year on top of the DepEdsregular school building program through the counter-parting scheme.

Meanwhile, private sector groups committed to build 251 new classrooms. The DepEd continues to cultivate its strongpartnership with business and civil society organizations through school-building initiatives such as the BayanihangPampaaralan, which aims to significantly address the public schools systems classroom shortage within the next twoyears.

4. Providing Decent and Affordable Housing

The Aquino Administration is espousing transparency, decisive action to resolve government inefficiencies, preferentia


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action for the underprivileged, and increased partnership with stakeholders for the purpose of affording decent shelter tothose in need.

4.1 Closing the housing gap by providing secure tenure and increasing the socialized housing stock. From July 2010 toJune 2011, the Housing and Urban Development Coordinating Council (HUDCC) and its Key Shelter Agencies[28] (KSAsfocused on the review of housing policies and programs to improve the delivery of housing services. These activities haveso far resulted in the provision of decent housing to 104,903 families.

4.2 Pursued a more responsive housing loan policy. From July 2010 to June 2011, amidst the policy reforms beingundertaken by the Home Development Mutual Fund (HDMF or Pag-IBIG) to avoid fraudulent activities and make thelending program more responsive to its members, the agency approved the release of P47 billion worth of loans to a totaof 67,660 members for the purchase of new houses.

4.3 Pursued a More Comprehensive Resettlement Policy.The National Housing Authority (NHA) released P3.08 billion foresettlement and other programs from July 2010 to June 2011. This benefitted nearly 25,400 beneficiary-families. Thereview of the NHAs resettlement policies is on-going to include the provision of basic social services (e.g., schools, publicmarkets, health care centers) and livelihood opportunities at the resettlement sites.

4.4 Intensified the implementation of the Community Mortgage Program (CMP). Under the CMP, P692 million wasreleased from July 2010 to June 2011 to organized informal settler communities for land acquisition, benefiting 11,413beneficiary-families. Of this number, 8,880 families benefited in the f irst half of 2011, which already surpassed the full-yeaaccomplishment in 2010 of 7,109 beneficiary-families.

4.5 Partnering with LGUs in providing housing to the homeless. The HUDCC conducted PabahayCaravans in Region VI(Cebu), Cordillera Administrative Region (Baguio), Region III (Pampanga), Region IV-A (Tagaytay), Region VIII (Tacloban

City), Region IX (Zamboanga City) and Region XI (Davao City). The caravan brought the various housing programs andservices of the shelter agencies, to help the LGUs address their housing needs directly to the LGUs.

HLURB and HUDCC offer assistance in the preparation of the LGUs respective comprehensive land use plans and localshelter plans, respectively. The Pag-IBIG Fund has devoted a lending window for LGUs with available land for housingbut lack funds to build units. For LGUs without land for housing, the Social Housing Finance Corporation (SHFC) mayfund 75% of their housing project cost under the Localized Community Mortgage Program. Under its resettlementassistance program, the National Housing Authority (NHA) is open for joint ventures with LGUs that need to relocateinformal settlers. The LGU provides the land while NHA funds the site development.

Stronger linkages with the LGUs have started to bear fruit. The Pag-IBIG Fund has just signed a Memorandum ofUnderstanding with the Quezon City LGU for the housing project in Barangay Payatas for low-income personnel andinformal settlers occupying danger areas. Manila and San Pedro, Laguna are also set to enter into a partnership with PagIBIG Fund for their own housing projects. These projects are in the assessment stage on technical design of units,specifications and income profiling of beneficiaries.

The SHFC adopted the strategy of expanding partnership with LGUs to have a pro-active identification of areas for CMP.More specifically, it has targeted 70% of its portfolio for cities outside the National Capital Region, prioritizing HighlyUrbanized Cities, cities with high population growth rates, and the Metro cities.

4.6 Improved coordination among KSAs and other partners. For the first time in several years, the HUDCC was convenedand now holds regular quarterly meetings to discuss policies and enhance coordination not only among governmentagencies but also with Congress and the private sector. Members of Congress, notably the Chairmen of the respectiveHouses Committees on Housing and Urban Development, have participated in the Council meetings, resulting in a unifiedposition on housing policies and directions for the next six (6) years, which were adopted during the first Council meetingheld on 13 January 2011.

On the other hand, Non-Government Organizations (NGOs), such as the Gawad Kalinga and the Habitat for Humanity(HfH), have proven that affordable housing and better communities can be developed with the help of concerned private

citizens and LGUs. As such, HUDCC involved the participation of NGOs in policy making. It is worth noting that HfH waselected as one of the members of the SHFC Board of Directors.

4.7 Addressing the concerns of informal settler families.Despite the passage of Republic Act 7972 (or the UrbanDevelopment and Housing Act [UDHA]) in 1992, the rampant proliferation of informal settler families (ISFs) remains to bea perennial problem. It has become an unsightly manifestation of urban decay and intergenerational neglect. Despite thegovernments clear statutory policy of preventing the propagation of ISFs, while protecting and upholding the rights ofISFs, the conduct of illegal, forced, or unilateral demolitions and eviction activities was still witnessed, especially duringthe previous administration.

Consequently, as of 2010, the Metro Manila Development Authority (MMDA) reported that there were already 556,526ISFs in Metro Manila, 102,406 of whom live in danger areas.

Aware of the plight of the ISFs, the Aquino Administration sought the full enforcement of the UDHA by requiring all LGUs


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to conduct adequate consultation and relocation of informal settlers before any demolition or eviction is carried out. Theterm adequate means that the relocation sites should include basic services and facilities and access to employmentand livelihood opportunities, as mandated by law. Moreover, LGU officials were directed to adopt measures to effectivelycurtail the proliferation and further increase in the number of informal settlers and mendicants in their respectivelocalities,[29] and to create their respective Local Housing Board or a Local Inter-Agency Committee that shall beresponsible in eviction and demolition-related activities in their areas. About 56 cities and 102 municipalities have fullycomplied with the directive.

5. Promoting Opportunities for Decent Employment

5.1 Promoting the welfare of Filipino workers abroad

5.1.1 Institutionalized the One-DOLE Overseas Operations System. For the first time, the DOLE institutionalized anintegrated One-DOLE Overseas Operations System in deployment, financial systems, monitoring and reporting, andaccountability of the Labor Attachs, Welfare Officers, and Administrative Staff to the DOLE Secretary. Adopted in 2011this means that support services of DOLE, Overseas Workers Welfare Association (OWWA), and Philippine OverseasEmployment Association (POEA) for its operating units onsite now follow uniform selection and pre-deploymentprocedures, joint work and financial reporting system, and uniform operational guidelines on OFW case management andrepatriation. This is expected to eventually redound to better selected, trained and matched officers at the PhilippineOverseas Labor Office (POLO), more reliable performance and statistical data on overseas operations, and maximizedallocation and utilization of resources especially in POLOs where it is more needed.

5.1.2 Provided assistance through the Legal Assistance Fund (LAF).The DFA provided assistance amounting to P10.21million to 146 Filipinos in need of legal aid for the period July 2010 to 28 June 2011. Assistance through the LAF may takethe form of fees for competent private counsel, bail bonds, court fees, charges and other reasonable litigation expenses

travelling expenses, and communication expenses in connection with the legal assistance.

5.1.3 Provided assistance to OFWs in crisis areas through the Assistance to Nationals (ATN) Fund. From July 2010 to 28June 2011, assistance amounting to P281,489,716.65 was provided to overseas Filipinos in distress through the ATNFund. Government repatriated a total of 10,369 overseas Filipinos in four (4) crisis-affected areas (Egypt; Libya; Yemenand Fukushima, Japan) from 29 January to 28 June 2011.

In response to the Egypt Crisis, 93 Filipinos out of the estimated 6,569 Filipinos in Egypt were repatriated through thetimely operations of the Department of Foreign Affairs (DFA) from 29 January to 16 February, 2011. On the Libyan Crisisa total of 9,951 overseas Filipino workers (OFWs) were repatriated as of 28 June 2011 out of the estimated 29,823Filipinos in Libya. The government provided necessary travel documents and immigration assistance, and helped securetemporary visas, food, accommodation, transportation, and connecting flights of Filipinos in transit countries. Thegovernment also repatriated a total of 232 OFWs out of 1,422 in Yemen.

In response to the earthquake, tsunami, and reported nuclear leaks in Japan in March 2011, the government initiatedmandatory repatriation of Filipinos living within the 50-kilometer radius of the Fukushima Dai-ichi Nuclear Power PlantThe Philippine Embassy in Japan, through close coordination with the host government, mobilized response teams within48 hours after the 11 March 2011 earthquake to the affected regions, and conducted multiple deliveries of basic reliefgoods (water, canned goods, food items, gasoline, blankets, mattresses, etc.) to the affected cities. Of the 17,600 Filipinonationals living in Fukushima Prefecture, a total of 93 Filipinos were repatriated in April 2011. Five consular missionsrelocated 147 Filipinos to Tokyo and housed them in four relocation centers. The consular missions also provided reliefgoods to those who did not wish to be relocated.

The government also provided assistance to the 2,000-strong Filipino community in Christchurch, New Zealand who wereaffected by the earthquake in February 2011 and provided assistance to the families of ten (10) Filipinos who died duringthe earthquake. The Philippine Embassy in New Zealand was able to deliver emergency supplies and relief goods suchas water-sterilizing tablets, canned goods, snack bars, biscui

Documents

The 2011 State of the Nation Address Technical Report