Press Release
October 22, 2008

No to subsidies, Loren tells government

Should the government attend to the people's pressing needs by way of subsidies?

Senator Loren Legarda raised this question yesterday in reaction to the government's call for the realignment of P33 billion in the proposed 2009 budget from capital spending to direct subsidies for education, food, and health services.

While saying there is nothing wrong with the move to realign a budget to benefit primordial concerns, Legarda said she doesn't believe it should be to fund subsidies.

"As the axiom goes, 'teach men how to fish, and they will eat fish the rest of their lives,'" Legarda said, referring to the government pole-vaulting strategy to address poverty.

"Needless to say, we must help people overcome poverty, and not turn them mendicants,' she explained.

"at best, subsidies are mere palliatives solutions," she said.

According to Legarda, the government can fight poverty by inculcating into the people the value of returning to the basics.

This, she said, can be done by redirecting the people's goals in life, and making them understand the many enterprising opportunities waiting for them in the provinces. She cited the need to stop the massive urban migration.

She explained that the people can turn their backyards into vegetable garden in the provinces, while venturing into livestock- and poultry-raising.

"People should be encouraged to consider these self-managed tasks which are indeed enterprising," she said, while citing the fact that Manila has the highest incidence in hunger in the past two quarters of the year.

The Philippine is an agricultural country that 70% of its population depends on farming and other allied livelihood undertakings.

"It's time social justice is given emphasis by instituting lasting reforms in agriculture, education and health sectors," Legarda said.

Latest Social Weather Station (SWS) survey revealed that 3.3 million Filipino families or 18.4 percent went hungry at least once in the last three months, which was higher than the 16.3 recorded in June 2008.

The number of households experiencing hunger has been highest in Metro manila for the past two quarters, with the latest figure at 23 percent or 530,000 families.

The latest survey, according to Legarda, should give the government clear idea to review its economic policy, as well as its poverty-alleviating programs.

"We know the government's intention, but how long can the government hold on this scheme? Said Legarda, the chair of the Senate Committee on Economic Affairs.

"If the government is indeed sincere on what it is doing, the agricultural sector which is part of the pillars in the economy should be one of its primordial concerns, while not forgetting investments," she said.

"While those measures aiming to provide short-term relief are indeed necessary, the government must not forget to consider economic structuring as part of the long-term solutions."

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