No new taxes under Erap

No new taxes under Erap
By Iris Gonzales
The Philippine Star

MANILA, Philippines – Promising not to impose new taxes if he gets elected as president again, Pwersa ng Masang Pilipino standard-bearer Joseph Estrada said his administration will negotiate with creditors to restructure the country’s debts, like what Argentina did in 2002.

In a round table with The STAR editors on Friday night, Estrada said the savings from debt restructuring would be used in infrastructure projects for food security such as farm-to-market roads and irrigation facilities.

“We can talk to our creditors like what Argentina did. If they were able to do debt restructuring, why can’t we?” Estrada said.

Estrada was referring to the move by recession-hit Argentina to finance its large foreign debt by swapping 76 percent of its defaulted bonds with discounted new ones at a longer maturity rate.

The center of Estrada’s economic agenda is food security because the country cannot compete in manufacturing, except in the canning industry.

He noted that the Philippines only assembles imported materials.

“My priority is food security and agriculture, “ Estrada said.

In line with his food security agenda, he promised to make the country self-sufficient in rice, but did not lay down specific measures to achieve that goal.

On the issue of agrarian reform, Estrada said he would push for the repeal of the Comprehensive Agrarian Reform Law of 1988.

“Agrarian reform is a total failure in the last 20 years since it was made into law,” he said.

Estrada said there are too many factors that prevent it from succeeding, such as middlemen who prey on farmers who own the land and the regular typhoons that damage crops.

In the area of tourism, Estrada said the Philippines has many attractive tourist destinations but lack peace and order, causing tourists to prefer other countries in Southeast Asia.

“In Thailand, they attract six million tourists a year because it’s very peaceful. We can have the best platform in government and the best economics but for as long as we don’t have peace and order in our country, we’ll never move forward,” he said.

He said the problem of peace and order in the country has been the same for more than 50 years now, leading several foreign governments to issue travel advisories against the country.

“There’s bombing here, and kidnappings there,” Estrada said.

He said if there were peace and order, investments would also come in.

He said that to attract more investments, the Constitution should allow foreign ownership of land, except agricultural lands. Media liberalization should also be allowed.

To address the power supply shortage, Estrada said the government should tap geothermal energy.

Estrada, whose ouster was triggered by allegations of jueteng (illegal numbers game) pay-offs and insider trading in the stock market, said he still has no plans on how to improve the country’s corporate regulatory environment.

“I have to be honest, I haven’t studied that (improvement of corporate regulatory environment) yet,” he said.

Estrada, who runs on a pro-poor agenda, also failed to elaborate on what concrete measures he would take to make economic growth trickle down to the grassroots.

Estrada, an actor before entering politics, was the 13th president of the Philippines. He was elected in 1998 and served until his ouster in January 2001.

The ProPinoy Project