Resolving the political crisis and undertaking a peaceful, constitutional transfer of power restored confidence in government. With the people's full backing and the constitutional mandate as ruled by the Supreme Court, the Administration won support from Congress, business, the cross-section of society and the community of nations. Building on this legitimacy, the President took urgent steps to rebuild the authority dissipated in the last months of Joseph Estrada's rule:

• A Selection Committee, drawn from the Constitutional Transition Team who drafted the President's First 100 Days Agenda, helped recruit a Cabinet team of proven integrity, competence and commitment to the Administration's values.

• To involve the people in governance and harness their collective energies, the government established partnerships with civil society. In her first 100 days, the President held dialogues with various sectors in over 100 localities. Following that example, government departments are opening their doors to constituents.

• The government opened peace initiatives with political and ideological adversaries to address security threats that hampered development at the grassroots. Talks are now moving forward with communist and Muslim rebels to bring them back to the fold of the law and enlist them as comrades in the war against poverty.

• The rule of law is being restored. Authorities moved to fight smuggling, kidnapping and high-level corruption. The Ombudsman filed plunder and corruption charges against ex-president Estrada and his associates, further underlining the government's commitment to the rule of law.

Moral standards, high performance and simple, dignified living are promoted as the foundations of good governance:

• Top officials signed a Pledge to the Filipino People to aim for ethical standards, high performance and public consultations in official and personal conduct.

• Anti-corruption measures were implemented, starting with Administrative Order No. 1 barring the President's relatives and top officials from contracts with government.

• The new Presidential Anti-Graft Commission will work to promote integrity among leading officials, especially presidential appointees.

• A generally accommodative monetary policy to keep inflation low while providing liquidity for growth. Inflation has stayed within the 6%-7% target

• Treasury bill rates down from 12.2% to 9.9%, spurring credit to productive sectors

• New micro-financing guidelines to make loans available to the poor

• Banking reforms to promote transparency, enhanced competition, financial soundness and modernization with the help of expanded foreign participation in domestic banks.
  
  Combined with the restoration of confidence, sound economic policies have lured back capital:

• Foreign equity investments leapt 162% in the first quarter. The Bangko Sentral estimates a net capital inflow of $23 million from January 1 to March 9, reversing a net outflow of $143 million in the same period last year.

• BOI and PEZA reported a 111.97% leap in newly approved investment projects, measured by cost, in the first 100 days of the Administration. Several top multinationals like Intel, Kraft Foods and Ford are eyeing the country for expansion.

• The government has joined hands with business to spur ventures harnessing the country's strengths in information and communications technology (ICT), while promoting rural industries. Four out of five BOI projects favored the countryside.

• Government entities outside certain priority areas have to cut non-personnel expenses by 10% (5% for social services, agrarian reform and tourism). All are to rationalize the purchase, use and disposition of motor vehicles. State firms have to remit 50% of their annual earnings to the national government.

• The Medium Term Expenditure Framework was adopted to strengthen fiscal discipline and ensure strategic prioritization of public resources.

• Mechanisms were employed to make tax collection more efficient, targeting P408 billion for BIR and P105 billion for Customs this fiscal year.

• The Finance Department is strictly monitoring local government remittances, intensifying audit and tax administration reforms, including computerization; and creating a Tax Study Group to draft measures to improve collection.

• The government is selling idle properties, luxury assets and corporate shares. Privatization is expected to raise P7 billion in 2001.

• "Land for the landless" programs for tenant farmers and displaced squatters

• Upgrading of major slums and sites to provide basic facilities for the poor

• Financial assistance for housing of OFWs, low-salaried employees and AFP/PNP personnel

• Restructured home loan schemes to better address housing problems, particularly among people with no pension funds to borrow from

• P20 billion in spending for agricultural modernization to boost productivity and incomes among poor farmers and fisherfolk

Human Development Services. The government continues to strengthen departments and agencies to facilitate the development of human capital. The state has significantly improved health and education services, now channeled directly to areas and communities of greatest need.

Social Protection. Anti-poverty efforts pay special attention to vulnerable groups, such as women, children, youth, the elderly, the disabled, and refugees from armed conflicts. More resources are being made available to give them a bigger chance to improve their lives:

• People's Credit & Finance Corporation and other micro-finance sources have been re-oriented and revitalized to serve the poor or groups catering to them.

• The private sector has also responded to the Administration's call to augment the Microfinance Fund for Poverty Alleviation.

• The government has conducted entrepreneurial and livelihood seminars and training for rural workers, working women, working youth and union members.
  
  

More Livelihood Opportunities. Efforts to promote a stable policy climate, a level playing field and lower business costs is attracting foreign investors and big business, as well as the poor eager for micro-entrepreneurial and livelihood activities:

• The P38.7 billion worth of new investments approved by BOI and PEZA in the first 100 days are  expected to provide 17,000 jobs.

• The Trade and Industry Department issued 51,000 business name certificates and facilitated loans  totaling P127 million to promote enterprise productivity.

• The government has also provided employment assistance, placing 110,000 local workers and 230,000 Filipinos overseas.

• Innovative financing schemes for viable agricultural projects will provide start-up resources for farmers  with no collateral. High-yield seeds were procured and distributed.
  
  

The accomplishments of the Macapagal-Arroyo Administration's first 100 days reflect government's determination to provide efficient service to our people and fight poverty. The war against destitution is a continuing battle. Government therefore has to put the political and economic house in order amidst diverse problems and obstacles. Fiscal prudence has been observed while maintaining needed programs. The fruits of globalization have been welcomed but its adverse impact on marginalized sectors is also being addressed. Government policies and programs are continually reviewed and upgraded to meet the needs of the society.

United as a nation and upholding the overarching goals of poverty alleviation, high moral standards, new politics and leadership by example, the Macapagal-Arroyo Administration is leading the Philippines to peace, development, justice and true democracy for all.

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