TACLOBAN CITY – President Gloria Macapagal-Arroyo Saturday transferred to the Municipal Finance Corporation (MFC) all project assistance to Local Government Units (LGUs), except for strategic infrastructure and national programs.

At the same time, the President said that under the proposed 2005 General Appropriation Act (GAA), the Internal Revenue Allotment (IRA) of LGUs would be treated as automatic appropriations.

The President made the announcement during the annual regional convention of the Vice Mayors League of the Philippines (VMLP) Eastern Visayas Chapter. The Chief Executive addressed the convention which was held at the Kanhuraw Convention Center in this city.

"Aside from the automatic appropriation on the IRA, another innovation that we have done to devolve responsibility more to the local governments and relieve the national government of having to have more deficits to finance local projects is that we have transferred the projects that directly assist local government to a new corporation called the Municipal Finance Corporation," the President said.

Except for strategic infrastructure and national programs, local projects needing assistance from the national government would go through the MPC, she added.

Local officials hailed the President’s announcement, saying the automatic appropriation of the IRA and the establishment of the MPC were significant steps that would bolster local autonomy.

The President stressed that the MPC projects would be "fully backed up by budgetary resources that will efficiently flow down to the communities without getting into the pockets of crooks in the bureaucracy."

She said under the proposed 2005 national budget, the social sector would be given priority in the allocation of funds, with education topping the list of priorities, followed by the economic and infrastructure sectors.

The President also told the local officials that during the 19^th anniversary celebration of Edsa I last Friday (Feb. 25), she signed the ratification papers of the United Nations Declaration Against Corruption.

"We’ve made strong gains against corruption and our determination and action to clean up the government won’t relent. We’re committed to stamp our graft and corruption in the same degree, we’re committed to raise revenues and grow the economy to create jobs," the President said.

The fight against corruption, the theme of the 19^th anniversary of celebration of Edsa I, took center stage in the observance of the historic People Power revolution which toppled the Marcos dictatorship.

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Jenny Rosales epitomizes the modern Filipino -- highly competitive, goal-oriented and blessed with extraordinary skills and unsinkable talent.

We commend her for her victory and wish her the best of luck in all future golf tournaments.

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TACLOBAN CITY—President Gloria Macapagal-Arroyo Saturday called on the vice mayors of Region 8 to help ensure the success of the government’s responsible mining program to protect the environment, and at the same time raise funds for vital development projects.

In her address before the Regional Convention of the Vice Mayors League of the Philippines (VMLP) Eastern Visayas Chapter, the President said that already in the pipelines are mining projects that would generate $10 billion for the country.

She said aside from the progress being made in agri-business and tourism, the mining industry is one of the leading economic sectors that is attracting foreign investors.

There are now 37 mining projects nationwide, some of which are in Region VIII, she said.

"I call on you vice mayors, let’s pursue responsible mining with built-in safeguards to protect the environment, empower local governments and guarantee community welfare," the President said.

Aside from the mining industry, other positive developments are taking place in Central Philippines and in the Eastern Visayas region, notably in the tourism sector, she said.

The President noted that the regions are enjoying an influx of local and foreign tourists as shown by the heavy booking by airline companies in their flight schedules.

The Central Philippines tourism beltway covers the whole of the Visayas region, the provinces of Bicol and Palawan, northern Mindanao, Camiguin and Surigao.

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President Gloria Macapagal-Arroyo leads tomorrow the groundbreaking ceremonies of the new, P1.3 billion motorcycle manufacturing plant of Honda Philippines, Inc. in Sto. Tomas, Batangas.

The new plant sits on a 20 hectare lot at the First Philippine Industrial Park in Sto. Tomas.

Koji Nakazono, general manager of Overseas Operation No. 2 Asia and Oceana, Honda Motors Co., Ltd., said the new manufacturing plant signals a major and long-term commitment by Honda Motor Company to the development of the Philippines’ automotive industry.

"With an investment of P1.3 billion and initial annual capacity of 500,000 units, with considerable potential for further expansion to one million units, this new Honda Philippines, Inc. motorcycle manufacturing plant will generate significant additional employment opportunities," Nakazono said.

He pointed out that the "accelerated transfer of Honda’s advanced technologies" is part of the benefits the Philippines stands to gain when the new plant starts operation in January 2006.

Nakazono expressed confidence that other parts manufacturers would be enticed to invest in the Philippines because of the strong local demand for motorcycles.

"The Philippines’ motorcycle market appears to have entered a period of strong and sustained growth and as demand moves beyond the 500,000 units mark annually, Honda expects that a growing number of parts manufacturers will be attracted to invest in the Philippines, thereby raising the local content ratio, multiple employment opportunities and the possibility of exporting a number of models which are unique to this market," he said.

The Philippines’ love affair with the Honda motorcycle began in 1964 when Mariwasa Distributors, Inc. marketed completely built up (CBU) Honda motorcycle units.

In 1973, Mariwasa Distributors, Inc. signed a joint venture with Honda Motor Co., Ltd. which gave birth to Mariwasa-Honda, Inc.

The partnership then started assembling and distributing Honda motorcycles.

Honda Phils., Inc. was born in 1983 after Honda Motor Japan assumed 99 percent equity in the company.

From its initial production of 4,700 units in 1973, Honda now corners 43 percent of the motorcycle parts market.

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TACLOBAN CITY – A member of the prominent Romualdez political clan in Leyte has reaffirmed his support for President Gloria Macapagal-Arroyo and her 10-point pro-poor legacy agenda.

In his welcome remarks at the Regional Convention of the Vice Mayors League of the Philippines (VMLP) Eastern Visayas Chapter, Tacloban City Mayor Alfredo Romualdez Sr. assured the President that she could count on his support and that of his family’s.

"Madame President, among the Romualdezes, it is the mayor, and his immediate family who supported your administration. In fact, during the last presidential campaign, you were on our ticket. We set up a headquarters for you Madame, in one of the major thoroughfares in the city," Romualdez said.

The city executive also reiterated the commitment of the local officials to support the President’s programs to build a strong republic.

"Madame President, we are one with you in fulfilling your 10-point agenda. We strongly support your thrust in the improvement of tax collection," Romualdez said.

The city executive also vowed full support for the government’s fight against terrorism and graft, peace and order and corruption. Romualdez expressed elation that there have been no major problems in Tacloban City and the whole Leyte province.

"With the 10-point program of the President, along with the projects that we have initiated, surely with your help, experience, intelligence and commitment as a hardworking President, we will be successful in this endeavor," Romualdez added.

Romualdez, popularly known as "Bejo," is the brother of former First Lady Imelda R. Marcos.

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Malacaņang said today the government is providing adequate food supplies, care and protection to civilians displaced by the fighting in Sulu between government troops and renegade members of the Moro National Liberation Front (MNLF) and their Abu Sayyaf allies.

"Our countrymen, who were affected by the ongoing clashes between our troops and the rebels, are getting adequate assistance from the Department of Social Welfare and Development in their daily needs at the relocation centers," Press Secretary Ignacio R. Bunye said in a radio interview.

He explained that civilians in the conflict-affected areas were taken to temporary evacuation centers to keep them out of harm’s way. "There are no more civilians in the immediate area of conflict," he added.

Bunye, who is also presidential spokesman, defended the military offensive against the MNLF renegade group and Abu Sayyaf terrorists as a last resort to maintain peace and order in the area.

"The ongoing operations against MNLF rebels and the Abu Sayyaf is meant to restore and maintain law and order in the area," he said.

Bunye said if the government had ignored the rebel-initiated assault on a military position, more military outposts would have come under attack.

"If punitive action was not taken against rebels, they would have kept attacking our forces as they would have been emboldened by the government’s refusal to return fire," he said.

President Gloria Macapagal-Arroyo on Saturday ordered the military to continue its operations against the MNLF renegades and Abu Sayyaf in Jolo.

But she also directed Armed Forces of the Philippines (AFP) Chief of Staff Gen. Efren Abu to go to Jolo, Sulu to assess the situation on the ground.

She issued the directive to Abu following calls from some quarters for the cessation of the fighting. The President said she would wait for Abu’s recommendation.

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President Gloria Macapagal-Arroyo is banking on the support of the private sector in the crusade against corruption.

"The President underscored the importance of the citizens’ participation in the anti-corruption campaign because with their help, our efforts to locate and prosecute corrupt officials in government will be more effective," Press Secretary Ignacio R. Bunye said in a radio interview this morning.

The involvement of the private sector would greatly improve the effectiveness of the government in going after corrupt officials, he added.

Bunye said the Coalition Against Corruption (CAC), which signed an anti-corruption agreement with seven government agencies during the commemoration of the 19^th anniversary of the EDSA I People Power revolution last Friday (Feb. 25), called for greater involvement by the citizenry in the government’s anti-corruption campaign.

"They will monitor the different government dealings such as the bidding and award of projects, procurement of supplies and other transactions," he said.

Other government transactions to be closely monitored include the acquisition and supply of textbooks of the Department of Education (DepEd), purchases and supply of medicines of the Department of Health (DOH), and the utilization of the Internal Revenue Allotment (IRA) of Local Government Units (LGUs).

The government is represented in the CAC by the Department of Budget and Management (DBM), Department of Public Works and Highways (DPWH), Office of the Ombudsman, Presidential Anti-Graft Commission (PAGC), Department of Interior and Local Government (DILG), Bureau of Customs (BOC), and the Bureau of Internal Revenue (BIR).

Members of the Makati Business Club, the Catholic Bishops Conference of the Philippines (CBCP), and its National Secretariat for Social Action, the Bishops-Businessmen’s Conference for Human Development (BBCHD), Caucus of Development NGO Networks, National Movement for Free Elections (NAMFREL), and the Transparency and Accountability Network represent the private sector in CAC.

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