Press Release
March 27, 2009

CHIZ: LACK OF BUDGET TRANSPARENCY SPAWNS CORRUPTION

Sen. Chiz Escudero said President Arroyo's decision to veto the transparency clause in the 2009 budget will lead to more corruption.

"I am disappointed with that decision because I believe that transparency is the best prescription for fighting rampant corruption in this administration. Transparency equals accountability," Sen. Chiz the opposition senator said.

Malacanang reiterated the President was being consistent with her past actions and that due regard should be given to legally and judicially established regulations.

Mrs. Arroyo also said that some measure of confidentiality needs to be enforced on certain matters and that with every office having the right to control its operations it may regulate the manner by which the public can examine or copy any public record.

The transparency clause seeks to prevent the Executive branch from reallocating funds for one project to another without informing the Legislative, or allowing the public to scrutinize such allocations.

Escudero recalled that in a study done last year by the Washington-based think-tank International Budget Partnership, the Philippines was seen as not having initiated ways to make it easy for citizens to track its spending, revenue collection and borrowing.

He also said that the money wasted on corruption by government annually could have been spent on education and social services, health and agriculture.

"The Presidential Anti-Graft Commission recently disclosed that 20% of the country's annual budget goes to corruption. With the 2009 budget set at P1.415 trillion, one can only imagine the amount that will go to the pockets of others," he noted.

In 2008, the budget for education was P145 billion, social services P5.5 billion, health P1.66 billion, and agriculture P21.7 billion.

Escudero said such sums would be paltry compared to what is lost to corruption.

The opposition senator said Mrs. Arroyo's veto decision makes it harder to hold government accountable for cases involving abuse, misuse, and corruption of public funds.

As chairman of the Committee on Constitutional Amendments, Revisions of Laws and Codes, Escudero has already taken steps to address corruption.

In trying to make Republic Act 9184, otherwise known as the Government Procurement Reform Act, more effective, he filed Senate Bill 1963 that sought to put treaties, bilateral arrangements, and executive agreements under the coverage of the procurement law.

Escudero noted that the charges filed this week against 17 former and current DPWH officials in connection with the anomalous bidding for World-Bank funded road projects only underscores the need for more transparency.

"It is the duty of any government to have all information on the budget available to the public so that scandals like this can be prevented," he said

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