CEBU CITY — Four of the flagship infrastructure projects under the “Build, Build, Build” program due for completion by 2022 are in the Visayas, in keeping with the Duterte administration’s goal to attack poverty and make growth truly inclusive and equitable across all regions, according to the Department of Finance (DOF).
These big-ticket infrastructure investmentsalready approved by the National Economic and Development Authority (NEDA) Board are the construction of additional facilities and other necessary improvements for the Iloilo International Airport, the New Bohol Airport, and the Bacolod-Silay International Airport and the construction of the new Cebu International Container Port, Finance Secretary Carlos Dominguez III said.
Dominguez said the Visayas is on “top of mind” when it comes to the government’s poverty reduction program because income disparity remains wide in the Visayan regions and several provinces there are among the poorest in the country.
This is why the government, in partnership with the Asian Development Bank (ADB), has been carrying out several major initiatives in the Visayas that include ongoing socio- economic and community development projects with the overall goal of improving the quality of life in this group of islands, said Dominguez, who chairs the Bank’s Board of Governors this year.
“When we speak of the need for equitable, more inclusive growth, the Visayas region should be top of mind,” said Dominguez in a speech read for him by Finance Undersecretary Bayani Agabin at the Marco Polo Hotel here. “The goal of President Duterte’s economic strategy is to dramatically bring down poverty rates to only 14 percent by 2022 and the poorest provinces in the Visayas are among the areas at the heart of this goal.”
Agabin represented Dominguez during the final leg here of the nationwide press launch of the Philippines’ hosting of the 51stADB Annual Meeting on May 3-6 this year.
Dominguez said the Duterte administration has anchored its economic strategy on a massive infrastructure buildup–dubbed the “Build, Build, Build” program–as this kind of investments has the highest multiplier effectson the economy, thus enabling the country to grow its gross domestic product (GDP) expansion by 7 percent or better in the near term.
“These infrastructure projects will also enable us to link local economies to the mainstream of growth, improve our efficiency and competitiveness, support the dramatic increase in tourist inflows which we anticipate, and create jobs and opportunities for our people,” Dominguez said.
He said the infra projects under the “Build, Build, Build” program will be supported by incremental revenues from the Tax Reform for Acceleration and Inclusion (TRAIN) Law—the first package of the Duterte administration’s Comprehensive Tax Reform Program (CTRP)—along with concessional financing from the ADB and other multilateral institutions, grants and official development assistance (ODA) from the Philippines’ allies in Asia.
“Over the last 50 years, our relationship with the ADB has been a productive one. The Bank, for its part, has also supported several major initiatives for the Visayas,” Dominguez said. “The institution has been a strong partner of our economic development, and we look forward to an even more beneficial relationship in the years to come.”
Besides implementing big-ticket infrastructure projects in the Visayas, the Department of Public Works and Highways (DPWH) is also working round the clock to build strategic road projects that will help relieve traffic congestion in Visayas’ highly populated urban centers and is planning to build several large bridges that will link islands within the Visayas, as well as connect the Visayas islands to Luzon.
“These bridges will provide growth corridors and ensure that none of the major islands of the Visayas will be left behind in the country’s race to progress,” Dominguez said.
Underscoring the need to address the income disparities across the country’s regions, Dominguez pointed out that poverty rates in Western, Central and Eastern Visayas are all above the national average of 21.6 percent.
Moreover, in 2016, per capita income at current prices in Central Visayas stood at P127,757, while those in Western and Eastern Visayas stood far behind at only P76,459 and P67,638, respectively, compared to the national average of P140,259.
In terms of average regional share in the national GDP from 2010-2016, Central Visayas’ share was 6.3 percent compared with only 4.0 percent for Western Visayas and only 2.3 percent for Eastern Visayas, Dominguez noted.
Dominguez said the Philippines is well positioned to discuss this year’s theme of the ADB’s annual meeting of “Linking People and Economies for Inclusive Development” as it is embarking on a massive $170-billion infra program that dovetails with the Bank’s goal of enhancing interconnectedness among its 67 member-countries, both in the form of hard infrastructure as well as through the increased use of modern information technologies.
“We look forward to meaningful discussions during the ADB Annual Meeting that will help us refine our strategies and policies,” Dominguez said. “In turn, we also hope our experience in building a high-growth economy will be instructive to other emerging economies in the region.”
ADB, which is based in Manila since its inception in 1966, is dedicated to reducing poverty in Asia and the Pacific through inclusive, environmentally sustainable growth and regional integration.
As ADB continues its firm commitment to make all of its annual meetings a sustainable event, this year’s Annual Meeting of the Board of Governors will be the first carbon neutral annual meeting ever held in Manila.
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