Significant economic reforms that Rodrigo Duterte’s administration achieved during his term will stand to benefit the country’s next president if the latter understands the good fortune brought in his/her way, and does not negate the intent of the reforms by contrary actions.

(An mga importante pagbabagong pang ekonomiya na nagibo kan administrasyong Duterte durante kan saiyang torno an nakatalaan na makinabang an masunod na president kon maiintindihan nya an marhay na kayamanan na dinara sa saiyang agihan, asin dai mabaliwala an katuyuhan kan mga reporma sa paagi nin salungat na mga paghiro.)

Duterte’s economic reform achievements. During much of his term of office, popular support for President Duterte was high. Despite the fact that his main programs were more focused on issues of peace and order, the war against drugs, and other political issues, his accomplishments on economic reform legislation surpasses those that recent leaders have been able to accomplish.

(An mga nagibong pagbabagong pang ekonomiya ni Duterte. Durante kan mas halawig na torno sa opisina, an bantog na suporta para ki Presidente Duterte halangkaw. Ini apesar kan katotohanan na an saiyang mga mayor na programa naka tutok sa isyu kan paz y orden, an laban kontra sa droga, asin iba pang isyung political, an saiyang mga naginibo sa mga pagbusol nin lehislasyon o ley lampas duman sa mga nagibo kan mga nainot saiyang mga lideres.)

Upon assumption in office, President Duterte pushed the focus on strengthening the infrastructure building program by speeding up the decision-making procedures and by increasing the available project choices in the Build Build Build program.

(Kan pagtukaw niy sa opisina, Ibinusol ni President Duterte an pagtutok sa pagpakusog kan mga pagpatugdok nin mga programang pang-infrastruktura sa paagi nin pagpaparikas sa mga sistema nin paggibo nin desisyon asin sa paagi nin pagdagdag kan yaon na mga pagpipiliang proyekto sa lindong kan Build Build program.)

To strengthen the fiscal base, a program of tax reform accomplished with great speed the revenue-raising reforms that permitted higher budgetary public spending. Unlike in the past when budgetary politics was a cause of major delays in funding government programs, the yearly national budget under Duterte’s government was swiftly passed and without undue delays by Congress.

(Tanganing pasarigon an basing finansyal, an program sa reporma sa pagbubuwis guminibo nin marikas na mga reporma na nagtaong dalan nin mas halangkaw na pampublikong paggastos nin pondo. Bakong arog kan nakaagi kon saen an pulitika sa pagtagama nin pondo iyo an dahilan nin mayor na pagkahaloy sa pag bugtak nin pondo sa mga programa kan gobyerno, mantang an taonan na pondo sa lindong kan gobyernong Duterte an marikas na ipinapasar asin wara nin dai man kaipuhan na pagka haloy sa Kongreso.)

Quicker decision-making that involved the infrastructure and social programs undertaken by the government was matched by the accomplishments in economic reform legislation.

(An mas marikas na paggibo nin desisyon na kasabay an infrastruktura asin mga programang sosyal na pigpaotob kan gobyerno tinampadan nin mga nagibibohan sa reporma sa lehislasyon pang ekonomiya.)

Significant legislation covered major areas: (1) Tax reform. (2) Investment incentives reforms. (3) Food security issue, especially with import policy and, (4) amendments to liberalize the attraction of foreign direct investments into the country, specifically in regard to, namely, the retail trade law; the public service act, and the foreign investment law.

(An mga importanting lehislasyon minasakop nin mayor na mga parte: (1) Reporma sa pagbubuwis; (2) Pagbabago sa mga insentibo sa pangapital sa negosyo; (3) Isyu sa siguridad sa pagkaon, lalo na sa polisiya sa pag angkat, asin, (4) mga kambyada nganing buksan an pagdagka nin direktang pangangapital sa nasyon, lalo na an tungkol sa, mga sinambit na ini, an retail trade law; public service act, asin an foreign investment law.)

The economic reforms were not easy. These legislative reforms were not achieved at the same speed in becoming laws of the land. There was great resistance to their passage. Strong interests blocked progress, especially in the Senate. Progress in the legislation was achieved only at the cost of compromise. Only the tax reform to improve revenues was undertaken with remarkable speed in passing Congress. The legislation on food security (or the Rice Tariffication Law, which abolished the NFA importation monopoly on rice) became law only by the fourth year of the Duterte administration, also, with great resistance.

(An mga repormang pang ekonomiya bakong facil. Ining mga repormang lehislatiba dai nagibo sa parehong rikas na maging ley kan nasyon. Igwa nin dakulang pag kontra nganing maipasar an mga ini. An mga pusog na intereses pig-uulang an progreso, lalo na sa Senado. An progreso sa mga lehislasyon nangyayari sana sa kantindad nin pakipag- kompromiso. Solamente an reporma nganing mapakarhay an pagbubuwis an nagyari na may reparong rikas sa pagpasar sa Kongreso. An lehislasyon sa seguridad sa pagkakan (o an Rice Tarffication Law, na nag-tunaw kan monopoliya kan NFA na mag angkat nin bagas) na naging ley sana sa ika-apat na taon kan administrayong Duterte, siring man, grabe an mga pag-kontra.)

These two major reforms, however, have already shown significant beneficial impact. The tax reform or (1) has substantially raised the level of government finances. It involved the reduction of high individual income tax rates and the increase of excise taxes on energy and on “sin” taxes, which were mainly on tobacco, e-cigarettes and alcohol.

(Alagad and duwang ining mayor na reporma an nagpahiling na nin signipikanting marhay na epekto. An reporma sa pagbuwis o (1) an may mating paglangkaw sa lebel kan kwarta kan gobyerno. Minasabay ini kan pagbaba kan halangkaw na individual income tax rates asin an pag dagdag kan excise taxes hali sa enerhiya asin sa “sin” taxes, gikan sa tabako, e-cigarettes asin alkohol.

The tax reform helped to expand government spending capacity, both for ordinary needs of the government and to generate support of the public investment programs. It has enabled contributing substantially to the financing of the Build Build Build program.

(An mga reporma sa pagbubuwis nakatabang nganing mas humiwas an kapasidad kan gobyerno na gumastos, pareho sa ordinaryong mga pangangaipuhan kan gobyerno asin makakuang suporta kan mga programa sa public investment. Nakatabang ining dakula sa pagpondo kan programang Build Build Build.)

The reform on food security or (3), has helped to stabilize the domestic price of rice at retail by steadying the nation’s rice supplies through competition among by importing private traders. Before, the government’s sporadic and periodic decisions on rice imports only created artificial scarcities that bred undeserved rents and profits for those favored by the regulations of the government agency (NFA) and the loss of government revenues while precipitating instability of the retail price of rice, the nation’s principal food staple.

(An reporma sa siguridad sa pagkakan o (3), nakatabang nganing maging estable an presyo kan paroy sa tingi sa paagi nin dai paghiro kan suplay kan bagas sa nasyon sa paagi nin kompetisyon kan mga pribadong negosyanteng importador. Kan inot, an waragas asin sa pa abot-abot na desisyon sa pag-angkat nin bagas nag result sana sa artipisyal na kakulangan na nag ogbon nin dai man maninigong pag arkila asin delehensya kan mga napaboran kan mga regulasyon kan ahensya kan gobyerno (NFA) asin pagkalugi kan nakolektang kwarta kan gobyerno mantang mas nahidali an bakong establing tinging presyohan kan bagas, na iyo an mayor na pagkakan kan nasyon.)

We face the presidential elections this May with rice prices being much more stable and secure for 110 million Filipinos.

(Hahampangon ta an pirilian presidensyal ngonyan na Mayo na an presyuhan kan bagas mas estable asin salbado para sa 110 milyon na mga Pilipino.)

With the abolition of the government import monopoly, the government now collects tariff revenues on the imported rice (at 30 percent ad valorem). A major part of the revenues collected go back as support to the domestic rice industry to improve its productivity, including help to poor farmers.

(Sa pagtunaw sa monopoliya kan gobyerno sa pag-angkat nin bagas, an gobyerno sa ngonyan mina-kolekta nin tariff revenues sa pag-angkat na bagas (sa 30 porsyentong ad valorem). An dakulang rehas sa mga nakolektang buwis ibabalik bilang suporta sa domestic rice industry nganing pa-uswagon an pagproducir kaiyan, kasarabay na an mga tabang sa pobreng mga paraoma.)

The other economic reforms will find major implementation of their provisions only as the next president of the country reaps the benefits that can come from them.

(An iba pang mga pagbabagong pang-ekonomiya makakakua nin mayor na pagpa-otob kan mga probisyones kaini sana, mantang an masunod na president kan nasyon maani kan mga benipisyo na magikan sa mga repormang ini.)

The reform of investment incentives or (2), took three years of material time to pass Congress. Inevitably, the reform of investment incentives is integral to the comprehensive tax reform program. The objective of the reform was to rationalize the numerous investment incentives and to make them more accountable and transparent in promoting new investments. The fiscal investment incentives are mainly, but not entirely, taken against the corporate income tax by incentive-receiving business entity. They are an aspect of tax reform.

(An reporma sa investment incentives o (2), uminabot nin tulong taon nganing makapasar sa Kongreso. Dai malilikayan, an reporma sa investment incentives iyo an sa laog na parte sa komprehensibong reporma sa pagbubuwis. An katuyuhan kan reporma iyo nganing base sa tamang rason an dakol na mga investment incentives asin tanganing mas maging may panimbagan asin hiling para sa pagpromotir nin mga bagong pangangapital. An mga fiscal investment incentives an mayor, alagad bako gabos, kinua kontra sa corporate income tax kan mga incentive-receiving na mga negosyo. Parte sinda kan reporma sa pagbubuwis.)

As finally enacted, the corporate income tax rate was reduced from the 30 percent effectively to 25 percent for most businesses. However, further incentives granted to small and medium enterprises reduces the effective tax to 20 percent. The net effect of this reform is to improve the country’s corporate tax rate to be more competitive with the lower prevailing tax rate in the ASEAN by reducing the gap in rates.

(Sa ultimong lakdang sa pagpasar, an corporate income tax rate an ibinaba gikan sa 30 porsyento pasiring sa 25 porsyento sa mas dakol na mga negosyo. Alagad, an dagdag na mga insentibo sa saradit asin medium enterprises ibinaba an epektibong buwis sa 20 porsyento. An pinakang netong epekto kan pagbabagong ini iyo nganing mas mapakaray an corporate tax rate kan nasyon nganing mas maki kumpetensya sa presenting mas hababang pagbubuwis sa ASEAN sa pag ina kan pag-ultanan sa mga buwis/taripa.)

The fourth and final set of reforms have to do with easing the barriers to entry of foreign direct investments in the country. They are designed to reduce the restrictive and protective policies on foreign investments that have contributed in making the Philippines a laggard in this economic area.

(An ika apat asin ultimong grupo nin reporma igwang koneksyon sa pagpa-facil kan paglaog nin dayuhan na mga pangangapital sa nasyon. Ini pig-desenyo nganing ibaba an restrictive asin protective na mga polisiya sa dayuhan na pangangapital na nag-ambag nganing maging babloy an Pilipinas sa aspetong ini kan ekonomiya.)

In the last legislative session having to do with his presidency, the two houses of Congress have finally agreed to enact the three important pieces of legislation that President Duterte had recommended as urgent.

(Sa huring legislative session na igwang koneksyon sa saiyang pagiging presidente, an duwang harong kan Kongreso penalmenting nagka-oyon nganing ipasar an tulong importanting pidaso nin lehislasyon na irenikomenda mismo bilang “dapat hidalion” (urgent).”

The amendment to the Retail Trade Law has just recently been signed. The amendment to the Public Service Act and to the Foreign Investment Incentives Law are shortly to be signed by the president into law.

(An pagbabago sa Retail Trade Law iyo an napipirmahan pa sana. An kambyada sa Public Service Act asin sa Foreign Investment Incentives Law an madali nang mapirmahan kan president nganing maging ley.)

In short, the main responsibility for implementing the new laws easing the entry of FDIs into the country will be on the lap of the next president.

(Sa halipot na taramon, an mayor na responsibilidad para sa pagpa-otob kan mga bagong leyes na minapa-facil sa paglaog kan FDIs sa nayon yaon na sa kamot kan masunod na presidente.

The next president will still be challenged. Not all is golden, however, for the next president. Even though the reforms are battles won through legislation, the chance that opponents to some provisions of law, especially in the case of the Public Service Act, will raise the issue of constitutionality. This is the old game of delay and destruct.

(An masunod na president may mga -agyat pa. Alagad bako gabos bulawan, para sa masangling president. Maski ngani an mga pagbabago na mga ginanang laban sa paagi nin lehislasyon, an tyansa na an mga kontra sa ibang parte kan ley, lalo na sa kaso kan Public Service Act, iyo an masangat nin isyu dapit sa pagiging oyon kaini sa Konstitusyon. Ini an lumang kawat nin pagpahaloy asin pagraot.)

The next president, therefore, will have to be fortified with good leadership qualities to overcome such challenges.

(An masunod na presidente, kon siring, dapat igwa nin posog na mga kakayahan nin sarong marhay na lider nganing malampasan nya an siring na mga agyat.)

Read the original article on The Philippine Star: https://www.philstar.com/business/2022/02/09/2159430/next-president-will-inherit-significant-economic-reforms

Bicolano translation by:
Connie Calipay
Philippine News Agency