SRI LANKA, A COUNTRY TRAPPED IN DEBT

The current issue seen about the rising involvement of China in the  development of the Philippine economy is just raised into question. Though we need partners in the development of our economy, the potentials offered by China in the channel of loans to the government should be taken into  deeper study prior any sharp actions are taken.

We cannot blame other people's thinking  of assailing the perfection of acquiring loans from China, but the same, they should undergo detailed studies and considerations regarding its viability and rate of return. This was due to the turn outs of other investments of China in other countries which had become unproductive and finds incapable of repaying those loans.

The Sir Lankan Case is one. Knowing that the massive inflows of Chinese investments into Sri Lanka that turned out to be no longer viable for that country to repay its loans, is a sign of slowing down and taking more cautious on our approaches with foreign loan applications and agreements.

The future scenario could be devastating once loans becomes mature and the country cannot take the capability to pay them. The west Philippine sea is one matter that would be at risk. Though we won in the Hague ruling, the future might overturn against our favor if because of loans these areas will be equated to debt to equity agreements. That's one risk.

The problem with china is its demand of converting loan obligation to debt to equity. A mode which they have demanded from other countries, that the same, may possibly arrive at us in the future.

SRI LANKA PROBLEM WITH CHINESE LOANS LINK

198 BILLION PHASE OUT COST OF JEEPNEY IN THREE YEARS

The reality of cost for the jeepney modernization program is appalling to know that the government can outlay such huge amount of funds to modernize the jeepney under the question of sustainability and for the advantage of the country.

The program should have been properly studied  and proposed to address the priorities of our needs and avoid stifling the quality and better position of attending to the intended jeepney modernization program under the unequivocal patriotic gains of the country in using them for our ow national car industry. 

Imagine the amount of 198 billion in three years outlay without benefits or return to our economy and industry? New jeeps will roll in the streets and it will be safer , yes, but can you check the condition of our economy if it has become safe then? There might be loans unpaid by operators and drivers under the scheme as aftermath, yet the motor industry of the country remains stuck.

The idea here is to convince our government to use such amount of funding to put into motion the car industry in the country by using the excuse of jeepney modernization program as a mode of start.

There is no more difficulty of technology used  as perpetual reason of our people not to enter in the industry of car making. If Indonesia has overcome the odds, then why can't we? This reasoning of our inability in the fronts of technology is no longer acceptable. Such were repeatedly given as excuses for so long.

Its bad to see that the Japanese will benefit in the amount of transaction for the 198 billion pesos phase out program, it must be made of use rightly for the greater interest of the people translating them to jobs, skills, bigger economic activity, reduced importations, and strengthening the peso, making us able to serve our foreign loans and obligations.

THE SENSIBLE JEEPNEY PHASE OUT

The Indonesian made car, a smack to the integrity of the Philippines.

This is to relate the jeepney phase out program in the country under the funding of the government of 27 billion pesos, a subsidy amount that can make a difference for our economy.

The qualification of Toyota and Mitsubishi Motors as Japanese car makers are of no question. The question really is how can we relate such monumental funding into realizing the car industry in the country. Such huge amount is an opportunity, and make use of it for long term pusposes like initiating our own national car program that would spur commercial activity in the country, and that will revolutionize industries and industrialize formally our economy by establishing machine and metal industry which is lacking presence here.

The example of the Indonesian pride of national car is an envy to us at the moment. They have conquered what they saw was impossible from the beginning but with determination of the government, national car becomes a reality. The same that we should take the opportunity that the jeepney phase out program will convert our hearts to lay the foundations of car industry int he country and liberate us as trade captors by Japan.

The 27 billion pesos will just go to the pockets of the Japanese car makers that they will give the benefits to the Japanese economy.

Take the opportunity of the jeepney program   into a sustainable industry that will provide jobs, and reduce inflation of the country, and further reduce the falling of our peso against the dollar.

The awarding of the funding, subsidy, that will benefit Japanese car makers is a "betrayal" of Filipino interest in this sense due to the financial capabilities of the government will be affected and reduced even more without replenishment.

Note: This is an editorial on the current situation of the country regarding the proposed and impending phase out already in placed by the government, that such program may have greater impact positively on the economy of the country if such will be used better for a new car program of the country which is long due.

WHY INDONESIA HAVE ITS OWN NATIONAL CAR.

Fed up with capitalists plundering Indonesia's riches, members of the country's second-largest Islamic group have drawn up plans to launch a "people's power" movement.

On top of their list: build a national car.

If realized, the Muhammadiyah group's ambition would revive a project launched by autocratic leader Suharto's son, Tommy, in 1996 but halted during the Asian financial crisis just two years later. As yet, though, its plans for the car are sketchy.

A century-old Islamic group in the country which has the largest number of Muslims in the world, Muhammadiyah is known mainly for its ubiquitous schools and hospitals. But it also has ambitions to break into tourism, food and the fishing sectors.

The group's push to become a force in the economic and corporate spheres has been spurred by the success of its so-called "constitutional jihad", which has dealt legal blows to private participation in the energy and water sectors and now threatens to reverse the convertibility of the currency.

Muhammadiyah, which has some 30 million followers, believes it has a mission to protect Southeast Asia's largest economy from globalization and capitalistic policies that favor foreign investors over Indonesians. But its campaign could derail President Joko Widodo's already stumbling efforts to attract desperately needed investment from abroad.

"Muhammadiyah is now in the middle of a struggle between a capitalist economic system and a socialist economic system," said Syafrudin Anhar, head of the group's economic committee.

"The world will not reach peace and prosperity through political intrigue, but rather through economic balance."

"CONSTITUTIONAL JIHAD"

Indonesia's largest Islamic group, Nahdlatul Ulama, also funds schools and hospitals, but is not overtly political.

Muhammadiyah, thee years ago, challenged parts of the oil and gas law, saying they violated a constitutional tenet that all land, water and natural resources must be controlled by the state. Its victories in that case became the opening salvo in what became known as a "constitutional jihad".

The group now has 115 laws in its sights, including legislation on foreign exchange, investment and the power sector, and also plans to challenge Widodo's decision to scrap fuel subsidies, his boldest policy step so far.

"We are not against foreign investors as long as there are clear limitations on foreign involvement in economic sectors," Anhar said.

Anhar and a small group of mainly Muhammadiyah economic professors gathered this month for a three-day conference in the town of Palembang to draft an economic battle plan for the next five years.

Once finalised, the blueprint will be submitted for approval at the group's national congress in August.

The plan is to consolidate small Muhammadiyah businesses into industry-specific companies that will receive initial funding through a network of micro-financing cooperatives.

Muhammadiyah sees opportunities to cash in on the growing demand for halal food and halal tourism in Indonesia.

As for the national car, its vocational schools have already built several proto-types of a model called the Esemka, which was used by Widodo as his official vehicle when he was mayor of the city of Surakarta or Solo.

One proto-type can run on solar energy, said Bambang Setiadji, professor at Solo's Muhammadiyah University (UMS).

"To establish such an industry, it is not that difficult," he said. "UMS has given birth to many automotive industry engineers whose quality competes with those of China's."

The group hopes to get Widodo's backing to start mass production of the Esemka this year under a partnership between an Indonesian and a Chinese company that would aim to source up to 80 percent of its components from Indonesia.

"We want our own companies and to make products for the middle and lower class," said Nadrattuzaman Hosen of the group's economic council. "The difference will be that our profits will not go to the rich overseas, but will remain at home and go to our people."

(Additional reporting by Klara Virencia in JAKARTA; Editing by John Chalmers and Raju Gopalakrishnan)

The article above is from THE INDONESIAN MADE CAR ARTICLE LINK HERE

I share this artcicle to express my appreciation on the achievement and accomplishment of Indonesia in the face of our concern of having our own national car as done by this neighboring ASEAN country where before, was behind in our economy and looked up at us as mentor. Now, the situation has reversed.

27 BILLION SUBSIDY FOR JEEPNEY PHASE OUT

Trade and Industry Trade and Investments Secretary Ramon  Lopez

The subsidy funding of 27 Billion pesos for the Jeepney phase out that had qualified Toyota and Mitsubishi car manufacturers from Japan is not good news by thinking deeper.

When the funding of such a monumental amount will involve the name of replacing the iconic jeepney in the country, it would instill national pride. Thus the titles of Toyota and Mitsubishi as Japanese car makers will not dignify solidly the Jeepney's status symbol for the country. Such great respect will come if we have the national brand of car maker initialized  due it that will help the economy of the country bringing more that pride.

Then-mayor of Solo Joko Widodo poses with a locally made Esemka car in this February 25, 2012 

The example of Indonesia that had made its own car is a case for study in the Philippines. They made their own car to liberate themselves from importations of Japanese cars over the years, the same that we should develop such thinking of protecting our industry and economy by instituting car industry in the country.

The funding and subsidy amount of 27 billion pesos is more than enough to accelerate ourselves into a car making status. Awarding the manufacturing to Toyota and Mitsubishi will forever make us consumers of the Japanese draining our dear foreign reserves.

The Inquirer article on the subsidy of 27 billion by the governemnt

Why not turn the subsidized amount into a whole car plant onshore in the country? The accomplishment of Indonesia cannot  give us any negative answers anymore. 

Indonesia has already accomplished car manufacturing way back year 2000's, and we are letting them overtake us in industrialization.

INDONESIAN CAR INDUSTRY AND THE PHILIPPINES

Then-mayor of Solo Joko Widodo poses with a locally made Esemka car in this February 25, 2012 

The information about the Indonesian car industry that is taking off runs smack against the stature of the Philippines who defies onshore and National brand of Filipino car that should become the pillar of our economy. The development of the car industry in Indonesia in its willingness to put up and liberate itself from its dependence from Japanese made cars  is a sign that they want to rake benefits from the industry and harvest its effects of employment, and the spur  commercial activities in their country.

From many experiences in the social media in the advocacy of car industry by the super Pilipinas, a variety of opinion speaks about our inability and incapability to engage using the excuse that we don't have the know how and technology. The opinion is an unacceptable admission that we are hopeless in the front of technology and heavier industries that would liberate us also from the onslaught of car products from Japan.

Indonesia has already overtaken us in many fronts of industry primarily in car making that they had already accomplished. The Philippines had not yet engaged properly in car industry that the investments of Mitsubishi, Toyota, among others are just assembly plants of knocked down parts from Japan. The aim of national brand of Filipino Car is not yet in the drawing board (not sure if the government has started), and Indonesia is already far ahead.

The Jeepney Modernization program is a very good excuse under this car manufacturing plants to get off the ground. The phase out of Jeepney that wil be relpaced by new, safe, and modern vehicles are just the right timing to bring the matter up for resolution or legislation by Congress. The intervention of Congress is critical due to the project will entail huge subsidy and funding by the government and the manufacture of new jeepney cars will require manufacturing onshore of 100 percent filipino brand.

The information of subsidy by the government in the jeepney phase out amounting to 27 billion is something that will kick start car manufacturing in the country.


The Editorial of the Indonesian car manufactruing

WHY REFUSE NEW EU GRANTS

What are the reasons why should we reject new EU grants?

As far as I understand we are struggling of funds to make our government function effectively, because without it, there will be no public services and projects of the government that can be served to the people.

I am not familiar of the reason why this rejection was connected to "meddling" of the EU with our own political affairs. Firstly, they think it's about human rights relative to EJKs on-going in the country.

Other reasons made were about EU's alleged  destroying the government's image on war on drugs, and spreading wrong information like fake news.

The aftermath of Marawi terrorism is a humanitarian matter, and the alleged new grants is like intended for it. If so, why should the government connect the humanitarian support to sovereign matters between EU and the government when such was not the intentions.

The government should not judge in advance the new grants as critical to the policies  of the government. Being described as new, they should be open and discuss proportionately if those grants are for the rehabilitation or not of Mindanao, not against the policies of the state. Even so, those can be treated for talks and discussions in civil manner.

Issuing statements in advance perceived only as premature, is  a conduct unbecoming of a civilized nation.

The truth of the matter is that we are suffering of funds to make our economy bloom and rejections of grants for supporting our financial needs is just misguided. We'll have to be reasonable and realistic of our needs and priorities because we are a third world country suffering of finances.

The 250 million Euros, or 15.25 Billion pesos exceeded the 10 billion pesos funding of the government allotted to the Marawi rehabilitation. 

At this point, there is not statement yet if those new grants are part of "meddling" of EU in our deadly drug war. I think what we have at the moment is paranoia.

PESO FALLS TO 51.530

The continuing fall of the Peso creates further difficulty for the recovery of economy of the country. It would also mean high cost of living for everyone, and will hurt further industries, sooner people will be asking for more wage increase, and the government itself will adjust taxes to meet its obligations abroad. Thus, people will suffer more of this effect. 

Solutions should be made urgently to stop further the falling our currency. 

Industries must be strengthened locally to ease importations of products that we can built them locally. As needed, we must multiply them, and create more factories where we see we don't have domestically.

Some of these industries are machinery, metal, car making, advance technology products, communication devices, and all others which this country are lacking.

As remedy, we should encourage foreign partnerships on areas of industries that we are weak, to build them all here, and diminish excessive importations and fight  trade imbalances as major objective of our economic policies.

Without massive industries in the country, it will be difficult then to survive our falling peso and further depress the government in meeting its financial obligations offshore.

Inflation and the Falling Peso

Inflation is running into about 3.5 percent this year which is bad news for the money earned hard.

With the current situation, the Peso falls to 51 tot he dollar as of this even date.

this will result to higher cost of commodities due to we are heavy importer of goods we use domestically.

The government's statements of "there's nothing to be alarmed of." is just misleading, giving us the excuse that the rise of the peso is due to the rise of imports of "capital goods" that would soon be converted to exports, is not a stable response in explaining the falling peso.

The problem about capital goods is that they contain to about 80 percent of our export products, that when converted, it would not dampen the falling of our local currency.

PHILSTAR ARTCLE OF THE INFLATION RATE

Third Party Telco needed in the Philippines

The information about a third  foreign player in Telco is mulling entry to the Philippines,  is  good hope, and  by chance will improve  services that will benefit consumers under new competitions and alternative for a better internet service.

The two major Players currently in the country ruled by PLDT and Globe is dismal at this time, that for no apparent reason, their system and upgrades have never improved or their promise haven't materialize in years.

It was Telstra from Autralia before, but yet the entry and start remains on hold. 

China is on  the board of joining the market, yet, there's no definite info at this time.

There is perception that better internet service would mean good results for the economic due to the need of the times is  with faster communication would mean bigger growth on industries and business.

Traffic Jam Tax for Malls

The information about the Traffic Jam Tax for malls  proposed by Rep. Winston Castelo should be looked into properly by concerned sectors, experts, in the government as well as in the private and business that has something to say about the proposed additional tax burden to people and businesses.

Due to the problem is traffic, and  malls in the vicinities and locations were all along EDSA, it cannot be a worthy reasoning to convert the traffic problem into a tax matter.

Eversince, EDSA has not changed and developed over the years to accommodate and sustain the volume of  vehicles flowing along, and the transformations given along time did not alleviate to solve the traffic woes given it.

The progress of the country is indicative of the dynamism of people and roads in Metro Manila that cars and traffic jams are proof that we are improving in economy. In the course of time, the government should have before hand caused to foresee the future in traffic along EDSA and other major thoroughfares of the country, that it needs continuous studies and research on the growth of our cities and population. We have experts in these fields, and they should have been consulted and commissioned to produce those researches and plannings for use of the government.

In short, the government failed to conduct and assist the growing needs of more roads over time, and the lackadaisical attitude of our public servants missed the targets for the growing city of Metro Manila.

The proposed Tax Jam Tax is incoherent with the objectives of the nation for a sustainable growth of our economy, and should not restrict people of their activities, dynamics, and transactions they want to conduct daily that converts to a faster and growing economy of the country. What is needed is an elaborate and technical skills on the part of the government sector to assist this growth of people and the population instead of preventing their dynamism through imposing limitations which is contrary to our aims of speedy growth, instead it must be pro active with what is needed and demanded by that growth.

More infrastructure is needed, and more innovative means to create accommodate the demand of roads, its arteries, should be increased and multiplied instead of preventing and subtracting from these growth.

Limiting mall hours, preventing them to freely conduct with their business activity,  and commerce by the people  is not a productive response of the part of the government. In contrary, it must be encouraging  and give more access to the potentials it need to spur the economy.

The government on its part should start more infrastructure, like underground trains, viaducts, skyways, light trains, flyovers, point to point road destinations to make room for the demand of activity and transactions of people.

The proper state of mind of the government should be positive and outward looking for solution instead of inward and backward approach to ease traffic jams. 

We should employ the minds of Engineers and Architects to look into the problem and prevent lawyers of giving comments and suggestions for it due the matter is all about structures and fluidity  of highways, roads, and time relevant analysis,  motion studies which lawyers do not fit into.

Extreme Engineering is needed in the country, where its activation was long over delayed caused by the funding was not properly given due attention,

TRAFFIC JAM TAX FOR MALLS

Jeepney phase out without pain

The Jeepney modernization program is a long due needed action by the government in its commitment of ensuring life and safety of the riding public under the principle that these commercial passenger vehicles shall be in accordance and in conformity with engineering standards and safety required  therein.

The program must be implemented definitely, yet there are questions, and factors needed to conform conditions prior the program should be set in motion, that is, to give birth to our own auto motor industry. 

The Jeepney phase out program can be the opportunity to start the  industry that will support the phase out program yet save and even promote more industrialization, and saving our foreign reserves and generate the economy.

It must not be costly and painful, rather, it must give benefits and produce more earnings for the government and solving unemployment as result.

What was shown recently is that Japanese brands are involved in the the phase out, it will give benefits to foreign companies instead for Filipino. The idea here is to get prepared, and make use of the phase out program that should turn  comprehensive.  If it may need congressional enactment to put up a Filipino Auto Manufacturing that will answer the phase out, that solely will realize the needed migration of vehicles towards standard and pure Filipino content must be done accordingly.

Though the situation is difficult to start the modernization of our auto industry, we can accomplish them through partnerships that will eventually lead to technology transfer later on. Then, after that,  and progressively, we can go solo after know how is acquired, which is very possible.

The issue of imported capital goods becomes the problem in managing the fall of the peso, thus jeepney phase should be based on a 100 percent Philippine components, due to majority of them is assembled here made of offshore components.

Under the Filipino brand of auto makers, we can support the phase out program without pain of losing foreign reserves.

On big question about the plight of our jeepney owners and drivers are their condition of financial capabilities that the recent offer of the government of equity program are deemed difficult for them, thus, the offer becomes too stiff and unreasonable considering that the majority is operating their vehicles under boundary system. If the government can the same absorb the situation based only on their abilities to acquire through this daily boundary system, there might be a win-win solution to the problem.

The implementation of the phase out should not be abrupt, as this will cause adverse effects on driver owners of their vehicles, it should be gradual and progressive in the process.

Jeepney modernization program could provide better transportation

After effects also is the lowering of the cost of these automobiles for passengers made by the 100 percent Filipino content of these cars and vehicles will greatly contribute to the economy of the country as it will spur growth on the manufacturing and industrial sector through employment and increase commerce.

DTI TO EU, SHUN DRUG WAR REPORTS

The government is doing its best to justify its position in defending the drug war amid the impending termination of our EU preferences  on trade.

The record of drug killings is so frightening that the administration is now faced with a barraged of international criticisms and about to lose trade deals abroad.

Just recently, the president has created a team to go to the US and attract US investors to the Philippines affected by the situation of our competitiveness in the region caused by drug war.

There is no sense of ending drug war by the expense on the lives of our own people. It should be noted that people are human resources that can be tools for greater economy of the country. Instead of treating drug addicts in the marginalized sector of our society, they may have a better place for use for our growth being resources of labor and manpower to fuel our industries.

The situation of china is an example of substantial human resources, by the use of its billion of people, made them to accommodate and support every new factories, industries by the resources and availability of its labor. 

Europe is accepting migrants due to the cause of its low birth rates. They have no more people for their factories, and the anomaly of migrants is the underlying reason.

In the Philippine setting, we have to manage resources, be it in low and impoverished sector, in addiction, all of them can be manageable and profitable for the country.

It is improper to treat everyone as worthless, the incidence of addiction is surmountable.

The only problem is to find the real drug war, its source, not the people, users, addicts rendered as victims. 

We need trade, and we are losing EU preferences made by the errors of drug war.

DTI TO EU, SHUN DRUG WAR REPORTS, INQUIRER

Carpooling and vehicle reduction in EDSA

The proposal in reduction, car-pooling, and more number codings in the cities is defiant to the factual responsibilities of the government for public service. Growth is needed by this country and the private sector is doing its share, therefore proportionately, the government should respond to that growth by their innovative public service thru more interactive infrastructure projects in sustaining growth.

Instead, the counter response becomes negative and deductive, instead of being proactive, responsive and assistive to the dynamism of the people, the government becomes retardate in performing its job..

There's no place for negativity in growth, find productive solution, not hampering the business activities of people.

INQUIRER NEWS ABOUT CARPOOLING

All Made in Japan

Majority of cars running in the Philippines are all from Japan, and we know what it means when converted it to monetary value that had caused defeat to our economy over the years via trade and commerce.

Data no longer needed, but certainly, in half a century, categorically show the advantage of Japan over our economy as enormous. 

This becomes the reason why we should talk about the matter of industrializing our country and prevent other economies dictate our own.

The expense of our dollar reserves should be abated and this can be done by entering into the same industry that Japan has built over the years. In so doing, a counter industry would reduce importations of Japanese cars and redistribute the saved foreign exchange to other needed investments for the country.

90.3 percent investment Decline

The situation needs direct attention to abate the continued erosion of investments to the country and should be addressed properly by institutions like senate to find remedy and promote more the country as haven for business fighting the stiff competition offered by Vietnam at the moment.

A rewarding atmosphere must be built and furthering the interest of trade and commerce to spur growth by means of more exports.

Peso fall and Capital goods

Talking about our current performance on trade and exports  that would make a change in the condition of our economy for the progress and development needed, we should be very keen on the situations that would affect anything specially speaking about the dollar exchange rates.

The government continuously speaks  about the condition of the dollar rates going up these days, and simply  appease the people on the situation with their comments, interviews that any movement of it is nothing to be alarmed or worried about. But actually, it is always hard to explain or justify the killing of the peso by the dollar due its effect will never be good both ways we think of its effects, that  based on the performances of the peso in the last 12 months that it has not recovered categorically, yet, it even deteriorated without any indication of recovery at all. This is the alarm that they are hiding, our inability to recover is a fact base on history. Ever since we've started, from the start of our government, one dollar to  two pesos, and to Marcos when seven peso to a dollar.

The Capital Goods excuse:

When our authorities speak about the rise of the dollar, they explain it in an optimistic way about the mention of "Capital Goods". They reiterate that the trend in the imports that caused the rise of the dollar is due to the performance of imports citing rise in Capital Goods have good effects for the economy, and eventually will make a recovery for the peso. The subject of the imported capital goods has been chronic already, that it has nothing to do, or very slightly can it do something to revert the rate of the dollar into its former condition after awhile. If it is true that capital goods will in turn result to make the decrease of the dollar, the result was just negative, it did not affirm the condition but instead continued to hurt further the condition of the peso.

The reality about capital goods represents imported component for our export sectors, which these component requires dollar, and since it represents to about 60 to 80 percent of our products aimed for abroad, its effect to recover the peso cannot make any imprint and effect, practically it results to nothing the explanation of the capital goods.

CHINA IS JUST LAUGHING AT US

With the massive projects going on in China, there is no doubt that she is now taking the place as the most richest country in the world, maybe in just a short time. Money and wealth has been directly converted into gigantic infrastructure projects that even America cannot even equal the gargantuan mega projects being build in China.

Thus, China is just practically laughing at us, even to the point that President Duterte is trying to  befriend this giant in the hope for an exchange of loans and assistance  to fuel our economic programs locally. But we need to be cautioned because the situation is not merely, China needs us more that we need them.

The money about to trickle from China is not practically free, they will be repayable, and always an interest is attached to anything we have from it, and by this due, there are always danger, adding to more dangers we had with our current loan problems.

Why not seek and self-make our riches? We cannot make our economy grown by the expense of others, we'll have to self make it and dump the excuse that we cannot stand alone without them. Activate massive manufacturing in the country, and create production lines for our raw mining products before we export them, prohibit raw exportation. Job generation is ultimate in manufacturing, that thru factories we will become self-reliant of products coming from China, instead reverse the situation, that China, or the world will need us due by our own exports and products.

China is just laughing at us with the kind of  mentality and attitude we are showing internationally. The mega projects inside China is envious, they don't need us, and by this way, we should internalize to create wealth though industrializing.

FEDERALISM IN THE COUNTRY

Federalism is a topic that Filipinos barely understand. Though this proposal of President Duterte meant to promise that the country will prosper and will solve our woes indicate that it cannot be assured. Then, how, and why we need Federal style form of government?

President Rodrigo Duterte promised in his campaign of fulfilling Federal form of government during or before his term ends.

Among these promises is the federal form of government, a concept that most Filipinos don't understand.

The hard reality is that, many Filipinos don't know what Federalism is all about.

Although there are indications that many wanted a new form of government thinking that it is a means of solving the woes of the country, many still do not understand the technicalities about this new concept. Filipinos just wanted it in the idea that they want new, approving things without thinking. 

“They (public) really want a change and a systemic change because the people realize that they have been under a presidential system of government so they want to try something new,” Malaya said on ANC’s “Early Edition.”

He explained that a federal system of government will not solve Philippines' woes but should be seen as a path to finding solutions.

“Federalism is a means towards greater development in hoping that the said system will eradicate the chronic corruption and systems that plague poverty and stunted growth of the country.  It is not the solution to all of our problems.

If approved, seen  that will make Filipinos can have better access to basic services such as more schools and hospitals because of the “greater resources and political power, is the same as that with our present system that can have that power to create wider and extensive educational system in the country if only not corrupted by our elected leaders.

Under the PDP model, a dual executive setup will be applied, with the president as the head of the state, chief diplomat, and commander in chief of the military. He also has the powers to appoint members of the judiciary, Malaya said.

The prime minister will function as the head of the government, dealing with day-to-day affairs such as domestic and economic policy. He also has the function of appointing members of the Cabinet, according to Malaya.

Malaya said PDP is open to having an “optional” vice president on the condition that both president and vice president are elected from the same political party through tandem voting.

“If the people still choose that there will be a vice president and there will be an immediate replacement for the president in case something happens to the president, we are open to that,” he said.

The country’s legislature meanwhile will maintain a bicameral setup under the PDP proposal.

Malaya said under their proposal, the second chamber, or the Senate will act as a representative body of the regions with each region being accorded with around 3-7 senators.

“We also feel that we need the system to ensure that all regions in the country get senators,” he said.

The Senate, Malaya said, will maintain its traditional roles of appointing members to the Cabinet and approving treaties with other nations.

It will, however, have the added task of going through the national budget, and matters that affect the powers and finances of the regions.

The country’s national assembly will still serve as the principal legislative body of the country and would likely maintain a membership of around 300, Malaya said.

The membership will be divided between representatives of congressional districts and party-lists, Malaya said.

If implemented, Malaya estimates a 10-year transition for the country to fully adapt the federal system of government.

In the foregoing, it can be viewed that Federalism can do something as outlined by the source from the government, but in reality the contention that Federalism is the answer to our progress is the same that can be answered by the present system only when the system at the moment was not hijack by those already had seized the power and resources of the country into their hands.
Only genuine service to the people will ever make this country great and better regardless of what system is there in placed.