PGMA's Speech during the 2nd Mindanao Budget Summit

EDSA Shangri-la Hotel, Ortigas, Mandaluyong City (22 June 2002)
THANK YOU VERY MUCH SECRETARY JESS DUREZA.

ACTUALLY, THE REASON WHY MANNY PINOL AND JESS DUREZA HAD TO BE CALLED AGAIN TO THE MICROPHONE TO THEIR SURPRISE IS THAT THEY WERE STILL INPUTING MY SPEECH IN THE TELEPROMPTER BECAUSE I JUST FINISHED WRITING MY SPEECH AS I WAS DRIVING DOWN THE DRIVEWAY TO THE HOTEL.

ANYWAY, I WOULD LIKE TO THANK YOU ALL AND I WOULD LIKE TO GREET MAYOR DONGKOY EMANO WHO'S THE LEAD CONVENOR OF THIS BUDGET SUMMIT. DONGKOY CALLED ME SO MANY TIMES ABOUT THIS SUMMIT. THEN THERE WAS ONE DAY WHEN HE SAID HE CALLED ME UP FOUR TIMES AND EACH TIME I WAS IN A MEETING, IN THE BATHROOM, TALKING TO SOMEBODY ELSE. I DON'T KNOW WHAT WAS THE FOURTH REASON, SO HE THOUGHT I WAS AVOIDING HIM. ANYWAY, IT'S A GOOD THING HE CALLED UP AGAIN THE NEXT DAY, AND THEN HE GOT TO TALK TO ME. AND HE SAID, "I THINK YOU'RE AVOIDING ME BECAUSE, BECAUSE YOU'RE IN THE BATHROOM..." WELL, MAYBE I WAS BECAUSE WHY AM I TALKING TO YOU NOW, I SAID. "MAYBE I REALLY WAS IN THE BATHROOM OR MAYBE I WAS HAVING ANOTHER MEETING BECAUSE IF I WERE AVOIDING YOU, WHY WOULD I BE TALKING TO YOU NOW." SO ANYWAY, IT WAS ABOUT THIS SUMMIT. THAT'S HOW PERSISTENT HE WAS TO MAKE SURE THAT WE WOULD BE TOGETHER HERE TODAY.

GOVERNOR PI„OL, I AM VERY HAPPY THAT YOU'RE HERE -- CONFED PRESIDENT. I WOULD ALSO LIKE TO GREET DAISY FUENTES, OUR VERY, VERY INFLUENTIAL GOVERNOR OF SOUTH COTABATO. AND FROM THE BUSINESS COMMUNITY, I WOULD LIKE TO GREET JOJI ILAGAN BIAN AND PAT SARENAS; ALSO, OF COURSE, GOVERNOR PAROUK HUSSIN, THE AUTONOMOUS REGION OF MUSLIM MINDANAO GOVERNOR; MAYOR FRANKLIN QUIJANO -- WHAT ARE YOU DOING AFTER THIS? ARE YOU GONNA HAVE COFFEE BREAK OR SOMETHING? BECAUSE ALL THESE GUYS WHO WANTED TO TALK TO ME, FRANKLIN QUIJANO... CAN ALREADY TALK TO ME DURING THE COFFEE BREAK SO WE DO NOT HAVE TO HAVE SEPARATE APPOINTMENT -- SECRETARY DATUMANONG; SECRETARY CITO LORENZO; SECRETARY MANOLET DAYRIT; PAUL DOMINGUEZ, WHO'S JUST BACK FROM A VERY SUCCESSFUL SURGERY OF HIS DAUGHTER. WE'RE VERY GLAD THAT YOUR DAUGHTER IS FINE AND THAT YOU CAN CONTINUE TO WORK FOR MINDANAO NOW; SECRETARY DANTE CANLAS.

ANOTHER LIST. AH, OUR CONGRESSMEN -- WAAY KURAT ZAMORA. THERE YOU ARE; SI FAYSAH DUMARPA, HOW ARE YOU? BEN MACARAMBON. WHERE IS BEN? HE'S NOT HERE. HE'S ANOTHER GUY I'M SUPPOSE TO TALK TO. AND JIMMY BATALANG. AND IF THERE ARE ANY MEMBERS OF CONGRESS THAT MY PROTOCOL HASN'T LISTED, GOVERNORS OR MAYORS, CITY MAYORS PRESENT HERE TODAY, SORRY ABOUT THAT BUT I'M GREETING ALL OF YOU NOW, DISTINGUISHED GUESTS, LADIES AND GENTLEMEN.

I AM HAPPY TO BE WITH YOU, TO BE WITH THE PEOPLE OF MY CHILDHOOD HOME, THE PEOPLE OF MINDANAO. AND I AM GLAD THAT WE ARE HOLDING THIS, NOT IN OUR BACKYARD IN MINDANAO, BUT IN THE POPULATION CENTER OF THE PHILIPPINES. BECAUSE I BELIEVE THAT UNLESS WE, INCLUDING THE REST OF THE PHILIPPINES, UNLESS WE COME AS A PEOPLE OF THE PHILIPPINES COME TO TERMS WITH MINDANAO, WE WILL NEVER ATTAIN OUR FULL PROMISE AS A NATION, MUCH AS AMERICA HAD TO OVERCOME ITS BAGGAGE OF RACIAL INEQUITY AND PREJUDICE IN ORDER TO BECOME THE GREAT DEMOCRACY THAT IT IS TODAY. THUS, WE MUST ARRIVE AT A NATIONAL CONSENSUS ON THE PRINCIPLES TO GUIDE OUR SEARCH FOR PEACE. AND I WOULD LIKE TO TAKE THIS OPPORTUNITY TO OUTLINE TO YOU AND TO THE NATION ONCE AGAIN THE CONSENSUS THAT I HAVE BEEN OFFERING TO OUR PEOPLE .

ONE PRINCIPLE IS THAT OUR ULTIMATE OBJECTIVE SHOULD BE BOTH PEACE AND DEVELOPMENT. A SECOND PRINCIPLE IS THAT OUR FRAMEWORK SHOULD BE BASED ON CONSTITUTIONALITY, NATIONAL SOVEREIGNTY AND TERRITORIAL INTEGRITY. A THIRD PRINCIPLE IS THAT OUR SOCIETY IS A MULTI-ETHNIC ONE WHICH SHOULD BE FOUNDED ON SOCIAL JUSTICE FOR ALL, AND THE INSTITUTIONALIZED ACCOMMODATION OF ETHNIC TRADITIONS. CHRISTIAN AND MUSLIM, CHINESE AND SPANISH, TAGALOG AND CEBUANO, THESE ARE BUT A FEW OF THE NAMES TO WHICH THE FILIPINO RESPONDS IN A WONDROUS TESTIMONY TO OUR RICH AND VARIED HERITAGE AS A NATION.

TO THESE THREE BROAD STRATEGIC PRINCIPLES, I WOULD ADD A FOURTH OPERATIONAL PRINCIPLE. IN OUR SEARCH FOR PEACE, THERE IS NO ROLE FOR TERRORISM OR INHUMAN BRUTALITY. SUCH ACTS MUST BE UNIVERSALLY CONDEMNED AND ADDRESSED DECISIVELY.

IN DEALING WITH MINDANAO, AS YOU HAVE SEEN WE CARRIED OUT, OUR PRINCIPLE IS THAT ALL REASONABLE EFFORTS MUST BE EXERTED TO SAFEGUARD THE LIVES OF INNOCENT VICTIMS SUCH AS HOSTAGES. BUT WHEN IT BECOMES NECESSARY TO USE OUR POLICE AND MILITARY FORCES, WE MUST EXTEND THEM FULL MORAL AND MATERIAL SUPPORT FOR THEIR LIVES ARE AT STAKE. THUS, THERE MUST BE CLEAR OBJECTIVES THAT THE POPULATION CAN UNDERSTAND, AND THEREFORE RALLY AROUND. AND THAT IS WHY I'M GLAD WE HAVE DIALOGUES LIKE THIS.

THIS IS A GREAT DAY FOR US TO MEET, THE DAY AFTER ABU SABAYA. AND IT IS A GREAT DAY. I THINK THE LORD PLAN THIS DAY, DONGKOY. HE KEPT POSTPONING BECAUSE HE WANTED TO WAIT FOR THE DAY AFTER THE KILLING OF ABU SABAYA. BECAUSE I THINK THE LORD WANTS ME TO USE THIS OCCASION TO REAFFIRM TODAY MY DETERMINATION TO ENFORCE LAW AND ORDER. THE PEOPLE MUST BE SAFE IN THEIR HOMES AND PLACES OF WORK. THEY MUST BE SAFE NOT ONLY IN THE CITIES, BUT IN THE FARMS, IN THE HINTERLANDS.

I RENEW THIS COMMITMENT TO YOU, THE PEOPLE OF MINDANAO, THE PEOPLE WHOM YOU REPRESENT IN MINDANAO. THE ABU SAYYAF IS VIRTUALLY FINISHED, AND WE WILL NOT STOP UNTIL WE ACCOUNT FOR ALL OF THEM. THE LEADER OF THE PENTAGON GANG HAS ESCAPED, BUT WE WILL HUNT HIM DOWN.

ACTUALLY, THE MARINE BATTALION WAS SUPPOSED TO BE MOVED OUT OF SOCSKSARGEN TO GO TO SULU TO HELP CATCH THE REST OF THE ABU SAYYAF BUT BECAUSE OF THE PENTAGON LEADER'S ESCAPE, I JUST TALKED TO ANGIE REYES TO SAY THAT HE SHOULD KEEP THE MARINE BATTALION IN THE SOCSKSARGEN AREA.

I SHALL STENGTHEN THE CAPABILITY AND DISCIPLINE OF OUR MILITARY AND POLICE FORCES. BUT AS FAR AS THE ESCAPE OF THE PENTAGON GANG IS CONCERNED, I HAVE ALREADY TOLD JOEY LINA, LARRY MENDOZA AND JUN EBDANE THAT THEY MUST IMMEDIATELY DISCHARGE THE GUARDS WHO WERE IN-CHARGE OF GUARDING THE PENTAGON GANG. ASIDE FROM CHARGING THEM CRIMINALLY. BUT MORE THAN THAT, EBDANE HAS ACCEPTED MY CHALLENGE THAT HE MUST ELIMINATE KIDNAPPING WITHIN ONE YEAR. AND HE HAS PUT HIS JOB ON THE LINE IN HIS PROMISE TO COMPLY WITH THAT CHALLENGE.

YOU HAVE SEEN THE EXCELLENCE OF OUR TROOPS IN 'OPERATION DAYBREAK' LEADING TO THE RESCUE OF GRACIA BURNHAM. AND YOU SAW AGAIN THE EXCELLENCE OF OUR TROOPS IN THE BATTLE OF YESTERDAY. YOU HAVE WITNESSED THE BRAVERY OF OUR SOLDIERS UNDER HEAVY FIRE ON LAND OR AT SEA. THEY STAND ON GUARD IN FARAWAY DETACHMENTS. AND AS I SAID, AS FOR THE ESCAPE OF THE PENTAGON GANG LEADER FROM CAMP CRAME, JOEY LINA, PNP CHIEF MENDOZA, AND NAKTAF CHIEF EBDANE WILL DISCHARGE SUMMARILY THOSE WHO GUARDED HIM. BECAUSE I FEEL THAT THE MOVE THEY MADE TRANSFERING THE POLICEMEN OF PASAY AND PUTTING THEM ALL UNDER TRAINING IS GOOD BUT IT'S WEAK. THEY SHOULD HAVE DISMISSED IMMEDIATELY THE ONES WHO WERE DIRECTLY INVOLVED. AND THAT IS GOING TO BE OUR NEW ETHIC IN THE DRIVE FOR PEACE AND ORDER. ANYBODY WHO MAKES SOME BLUNDER WILL BE DISCHARGED AS WELL AS CHARGED IMMEDIATELY.

MENDOZA AND EBDANE HAVE VOWED THAT THE FUGITIVE WILL SOON BE ACCOUNTED FOR. AND AS I SAID, EDBDANE IS STAKING HIS INCOMING POST AS CHIEF OF THE PNP ON PUTTING A STOP TO KIDNAPPING IN ONE YEAR.

WE SHALL UPGRADE THE HIGH QUALITY OF SOLDIERY WE ALREADY HAVE. WE SHALL PUT THE POLICE BACK IN THE HIGH REGARD OF THE PUBLIC. WE SHALL MODERNIZE EQUIPMENT AND FACILITIES. I THINK WE WOULD NOT HAVE BEEN ABLE TO GET ABU SABAYA YESTERDAY OR EVEN RESCUE GRACIA IF WE HAD NOT BEEN ABLE TO AVAIL ALL THE MODERN FACILITES OF THE U.S. FORCES IN BALIKATAN. WE SHALL CONTINUE TO TRAIN WITH OUR FOREIGN ALLIES.

WE SHALL STRENGTHEN LAW AND ORDER BECAUSE WE WANT TO FREE OUR PEOPLE FROM THE TYRANNY OF LAWLESSNESS AND TERRORISM. I AM NOT SPEAKING ONLY OF THE RICH OR PRIVILEGED. I AM SPEAKING OF ORDINARY PEOPLE WHO GET HELD UP IN JEEPNEYS OR WHO GET VICTIMIZED BY SNATCHERS IN THE STREETS. I AM SPEAKING OF THE LIKES OF EDIBORAH YAP WHO HAD TO ENDURE POVERTY ONLY TO FALL INTO THE HANDS OF TERRORISTS. I AM SPEAKING OF THE PEOPLE OF MINDANAO WHO EARN THEIR MONEY THROUGH SWEAT, ONLY TO BE TAKEN BY BANDITS.

OUR PROBLEM IN MINDANAO IS ROOTED IN ECONOMIC EXCLUSION. AND THE AXIS OF POVERTY IS OFTEN CROSSED BY THE AXIS OF TERRORISM. I AM NOT SAYING THAT POVERTY IS THE CAUSE OF TERRORISM. EVIL IS THE CAUSE OF TERRORISM. BUT POVERTY AND THE SENSE OF POWERLESSNESS IT BRING ARE THE SPAWNING GROUNDS WHERE TERRORISM CAN MORE EASILY SPREAD ITS EVIL IDEOLOGY. THUS, THE WAR AGAINST TERRORISM IS ALSO A WAR AGAINST POVERTY.

AS A CHILD GROWING UP PARTLY IN THE TOWN OF SAN JUAN, THEN PART OF RIZAL AND PARTLY IN MY GRANDMOTHER'S FARM IN LANAO, IN MINDANAO, I SAW THE WORLD OF DIFFERENCE BETWEEN THE LIVES OF THE MIDDLE-CLASS SUBURBANITES IN SAN JUAN AND THE IMPOVERISHED TENANTS AND FARMERS IN LANAO. I SAW THE GRINDING POVERTY IN THE MUSLIM AREAS, THE SAME POVERTY WHICH STILL PERVADES THE MUSLIM AREAS IN MINDANAO, WHICH TODAY REMAIN THE POOREST AREAS WITHIN OUR COUNTRY, WHICH TODAY CONTINUE TO HAVE THE LOWEST HUMAN DEVELOPMENT INDEX IN OUR COUNTRY. AND IT IS DOUBLY TRAGIC FOR THEM THAT THEY LIVE NEXT TO THRIVING COMMUNITIES LIKE DAVAO, GENERAL SANTOS, CAGAYAN DE ORO AND ZAMBOANGA CITY. UNDOUBTEDLY, POVERTY IS AT THE ROOT OF OUR NATIONAL SECURITY PROBLEMS IN MINDANAO. IN FACT, POVERTY IS OUR MOST BASIC NATIONAL PROBLEM, JUST AS IT WAS WHEN I WAS A CHILD.

AND THAT IS WHY FOR ME WHAT I WANT TO DO IS TO FIND JOBS, JOBS, JOBS FOR OUR PEOPLE IN ORDER TO BE ABLE TO FIGHT POVERTY. THAT IS THE REASON WHY I TRAVEL. MANY OF YOU HAD BEEN WITH ME TO LOOK FOR INVESTMENTS, O.D.A AND JOBS FOR OUR PEOPLE. THAT IS WHY I AM DOING POWER SECTOR REFORM BECAUSE WHEN I BECAME PRESIDENT, AS I BECAME PRESIDENT, OUR POWER RATES ARE THE SECOND HIGHEST IN THE REGION, SECOND ONLY TO JAPAN. WE NEED THIS POWER SECTOR REFORMS BECAUSE NAPOCOR HAS BEEN SO INEFFICIENT ALL THESE YEARS BECAUSE GOVERNMENT IS NOT A GOOD MANAGER. AND ITS DEBTS HAVE BEEN A MAJOR CONTRIBUTOR TO OUR PUBLIC SECTOR DEFICIT. THAT'S WHY IT MUST BE PRIVATIZED. AFTER THE FILIPINOS, IN GENERAL, WILL SEE THEIR ELECTRIC BILLS IN JULY COME DOWN -- BECAUSE I HAVE TOLD NAPOCOR SINCE LAST MAY 8 THAT THEY SHOULD BRING DOWN THEIR POWER PURCHASE COST ADJUSTMENT (PPCA) WHICH IS PART OF PPA -- WHEN I TOLD NAPOCOR TO BRING IT DOWN TO 40 CENTAVOS, THIS WILL NOW BE REFLECTED IN THE JULY BILLINGS. AND WHEN THIS IS REFLECTED IN THE JULY BILLINGS ALL THE BAG OF OUR CONSUMERS FROM NUMBER TWO IN THE REGION, WE WILL NOW GO DOWN TO NUMBER SIX AS THE MOST EXPENSIVE ELECTRICITY RATES IN THE REGION. WE WILL JUMP OVER FOUR OTHER COUNTRIES IN TERMS OF COMPETITIVENESS.

IN MY STATE OF THE NATION ADDRESS LAST YEAR, I SAID I WILL BRING OUR WAR AGAINST POVERTY TO RURAL MINDANAO, TO AREAS AFFECTED ESPECIALLY BY PAST CONFLICTS.

I THINK THE REASON WHY DONGKOY THOUGHT THAT ON THAT DAY WHEN HE CALLED ME UP FOUR TIMES WHEN I COULDN'T TALK TO HIM, HE THOUGHT I WAS TRYING TO AVOID HIM SO THAT I WON'T HAVE TO ACCEPT THIS INVITATION. THE TRUTH IS THAT, NOT THAT I WAS AVOIDING HIM BECAUSE I REALLY WAS NOT AVAILABLE ON THOSE DAYS. BUT THE TRUTH IS AND I HAVE TOLD DONGKOY THAT I WAS RELUCTANT TO ACCEPT YOUR INVITATION TO BE WITH YOU TODAY BECAUSE I FELT THAT I MIGHT NOT BE ABLE TO RESPOND INSTANTANEOUSLY TO WHAT YOU MIGHT ASK FROM THE NATIONAL BUDGET. BUT HE SAID, I COULD LEAVE THAT TO MY TECHNOCRATS PARTICULARLY EMY BONCODIN, BUT WHERE IS SHE? (LAUGHTER) ANYWAY, BUT THEY'RE ALL HERE ALL THE DEPARTMENTS THAT YOU NEED SUPPORT FROM. ANYWAY, LET ME JUST THEREFORE MENTION A FEW PROJECTS WHERE I PERSONALLY HAD A HAND IN WORKING OUT.

FOR INSTANCE, WE ARE FAST-TRACKING NEGOTIATIONS WITH THE WORLD BANK FOR THE ARMM SOCIAL FUND FOR PEACE AND DEVELOPMENT, AND THE KAPIT-BISIG OR KALAHI PROGRAM FOR NON-ARMM AREAS. THIS IS OUR MAJOR WORLD BANK PROJECT FOR THE YEAR. AND WHILE IT USUALLY TAKES THE WORLD BANK A COUPLE OF YEARS TO WORK IT OUT. WE HAVE TO WORK OUT OUR BUDGET COVER AND THE WORLD BANK IS WILLING TO BEGIN IT THIS YEAR. THESE PROJECTS WILL BE OUR CORE POVERTY REDUCTION PROGRAMS IN MINDANAO.

MY VISIT TO PRESIDENT BUSH WAS THE OCCASION FOR THAT WORLD BANK COMMITMENT. THAT VISIT ALSO RESULTED IN A DOUBLING OF THE HELP OF USAID, WHICH HAD DWINDLED TO A TOKEN AFTER THE REMOVAL OF THE U.S. BASES.

YOU KNOW, I JUST COME NOT FROM BICOL AS JESS THOUGHT BUT FROM NORTH LUZON WHERE WE HAVE MANY DYNAMIC LGUs WHO ARE VERY ACTIVE GETTING MONEY FROM THE O.D.A. SOURCES. ANYWAY, THEY KNEW THAT GLOBALLY WE HAD A DOUBLING OF OUR USAID BUDGET AS A RESULT OF MY VISIT TO PRESIDENT BUSH. SO THEY TRY TO ACCESS FROM THAT FUND ONLY TO BE TOLD, "SORRY, THE BULK OF THE INCREASE IS FOR MINDANAO." SO, ACTUALLY I JUST HAD COME FROM A GRIPPING SESSION FROM THOSE WHO SAY THAT TOO MANY RESOURCES ARE GOING TO MINDANAO.

NINE MONTHS AGO, I INAUGRATED THE DIVERSION DAM OF THE MALMAR IRRIGATION PROJECT. AND I HOPE BY THIS TIME THE SYSTEM CAN NOW SERVICE 5,600 HECTARES OF NEW RICELAND. AND I UNDERSTAND 1,700 HECTARES ARE NOW ACTUALLY BEING PLANTED. NEEDLESS TO SAY, MY CHOICE, MY PERSONAL CHOICE, AND HE IS NOW THE ONE FOR N.I.A. WAS AND IS A SON OF MINDANAO -- JESS PARAS OF CAGAYAN DE ORO RIGHT HERE WITH US TODAY.

THE MODERNIZATION OF KEY TRANSPORT FACILITIES IS EVIDENCED BY THE MINDANAO INTERNATIONAL CONTAINER TERMINAL AT PHIVIDEC IN MISAMIS ORIENTAL. AND THAT'S DONGKOY'S PET PROJECT. AND AS DONGKOY WILL TELL YOU THAT THE WORD VERBAL PROMISES GIVEN IN THE PAST, FUNDS DON'T MOVE ON WORDS. FUNDS MOVE ON DOCUMENTS AND ACTUAL BUDGET RELEASES FOR COUNTERPART AND BUDGET COVER. AND SO IT WAS IN MY ADMINISTRATION THAT THIS PROJECT WAS ABLE TO BEGIN. HOW MUCH, DONGKOY? HUNDRED MILLION DOLLARS FROM JBIC, RIGHT?

THEN WE HAVE CONSTRUCTION OF THE AIRPORTS IN TAWI-TAWI, COTABATO, PAGADIAN, BUTUAN, DIPOLOG. THIS WAS DELAYED FOR FIVE YEARS, RIGHT MAI? BECAUSE OF PROBLEMS OF LAND ACQUISITION. AND SO, THE ASIAN DEVELOPMENT BANK EXASPERATED BY THE FIVE-YEAR DELAY ACTUALLY GAVE NOTICE OF PROJECT CANCELLATION. BUT WE HAVE BEEN ABLE TO SAVE DIPOLOG. HAVE WE BEEN ABLE TO SAVE BUTUAN? OKEY. AND WE ARE TRYING TO SAVE PAGADIAN AND COTABATO. SO YOU CAN SEE THAT YOU DO NEED TO HAVE SOME TECHNICAL COMPETENCE TO BE ABLE TO BRING DEVELOPMENT NOT ONLY VERBOSE PRONOUNCEMENTS AND STRONG WORDS OF SUPPORT AND BRAGGADOCIO.

THE LAGUINDINGAN AIRPORT WAS A LANDMARK PROJECT OF THE CAGAYAN DE ORO-ILIGAN CORRIDOR AREA DEVELOPMENT, WHOSE MASTERPLAN I SUPERVISED MORE THAN TEN YEARS AGO WHEN I WAS STILL UNDERSECRETARY OF TRADE AND INDUSTRY. AND AS PRESIDENT I AM DISMAYED THAT IT IS NOT YET ON THE GROUND. SO I AM INSTRUCTING INCOMING SECRETARY OF TRANSPORTATION LEANDRO MENDOZA TO GIVE IT THE HIGHEST PRIORITY.

SPEAKING OF D.O.T.C., THE P.P.A AND THE D.O.T.C., IN COORDINATION WITH THE D.A. HAVE INITATED STEPS TO IMPLEMENT THE LOGISTICS COST REDUCTION PROGRAM THAT SHOULD LOWER THE COST OF TRANSPORTING MINDANAO PRODUCTS TO THE REST OF THE COUNTRY. NOW I WANT CITO LORENZO, DEPUTY CORD FOR REGION 10, TO SEE THIS NEGOTIATION THROUGH WITH A WIN-WIN SOLUTION BECAUSE ON THE ONE HAND YOU HAVE THE BUSINESS USERS, ON THE ONE HAND YOU HAVE THE PORT WORKERS. AND THERE MUST BE A WIN-WIN SOLUTION FOR THEM. AND WE WILL PUT CITO LORENZO IN-CHARGE OF THAT -- START OF OVERSEEING, I MEAN, THE NEGOTIATIONS.

THE ZAMBOANGA-PAGADIAN ROADS IS THE LONGEST PHILIPPINE ROAD NOT IN TERMS OF KILOMETERS BUT IN TERMS OF CONSTRUCTION TIME. I HAVE TRAVELLED THIS ROAD MANY TIMES IN VARIOUS POSITIONS BECAUSE IT'S BEEN SO LONG AND I HAVE VARIOUS POSITIONS OVER THESE YEARS. AND I HAVE TRAVELLED THEM AS DTI, PRIVATE CITIZEN, SENATOR, VICE PRESIDENT. SO I KNOW HOW IMPORTANT THE ROAD IS, I ALSO KNOW HOW BAD THE ROAD IS. KNOWING THAT EVEN THEN WHEN I WAS A BRAND-NEW SENATOR IN 1992. BRAND-NEW, KAYA MAYABANG, PASIKAT, MARAMING DISKURSO. THERE WAS A LEGISLATIVE-EXECUTIVE MEETING ABOUT THE PUBLIC WORKS ACT, AND AS PART OF MY ASSERTING MY INDEPENDENCE AS A SENATOR I SAID, "I WILL NOT SUPPORT ANOTHER FLYOVER IN METRO MANILA UNLESS THE ZAMBOANGA-PAGADIAN ROAD IS CONSTRUCTED." I SAY THAT THEN, THANK GOD IN MY PRESIDENCY IT WILL BE COMPLETED BY 2003.

THE CONSTRUCTION OF THE SECOND MAGSAYSAY BRIDGE -- THAT'S BUTUAN CITY BYPASS ROAD, SIM -- I THINK THAT'S SUPPOSED TO BE FOR NEXT YEAR, RIGHT? ANYWAY, DON'T WORRY ABOUT SIM. HE IS FROM MINDANAO. IF YOU COULD PUT 100 PERCENT OF THE BUDGET IN MINDANAO, HE WOULD. ONLY HE DOESN'T WANT TO FACE THOSE PEOPLE FROM NORTHERN PHILIPPINES WHO ALREADY GAVE ME THEIR GRIPES TODAY.

AND SPEAKING OF ROADS, THE ADB HAS ALREADY PLEDGED FUNDING FOR THE CONSTRUCTION OF THE BASILAN CIRCUMFERENTIAL ROAD, THE COTABATO DIVERSION ROAD AND THE LAKE LANAO CIRCUMFERENTIAL ROAD. THIS LAKE LANAO CIRCUMFERENTIAL ROAD IS VERY CLOSE TO ME PERSONALLY BECAUSE IT WAS MY FATHER WHO STARTED THAT CIRCUMFERENTIAL ROAD. AND I REALLY WOULD LIKE TO BE ABLE TO CONTINUE IT. MY FATHER ALWAYS USE TO SAY THAT LAKE LANAO IS MORE BEAUTIFUL THAN LAKE GENEVA. AND I, AFTER TRAVELLING, I ALSO HAVE ADDED THAT DANSALAN MARKET CAN BE MORE BEAUTIFUL THAN MARAQUESH MARKET. SO WE HOPE THAT WE CAN FAST-TRACK THAT LAKE LANAO ROAD, SIM. AND OF COURSE, THE BASILAN ROAD WHICH HAS BEEN THE ASPIRATION OF THE PEOPLE OF BASILAN ALL THESE YEARS. IF THEY HAD THE BASILAN ROAD ALL THESE YEARS, THE ABU SAYYAF WOULD NOT BE ABLE TO ACT AS KINGS IN THOSE HINTERLANDS THE WAY THEY HAVE BEEN DOING BEFORE THE KILLING OF ABU SABAYA.

ANYWAY, IN THE MEANTIME, THE AMERICAN SEABEES ARE HELPING BUILD THE BASILAN ROAD. THE MILITARY EXERCISES OF BALIKATAN 2-1 WILL END ON JULY 31st AS SCHEDULED. BUT I HAVE SAID TODAY, I TALKED TO ROY CIMATU AND ANGIE REYES BECAUSE ON THURSDAY ROY CIMATU, THE CHIEF OF STAFF OF THE ARMED FORCES AND HIS COUNTERPART THE CHIEF OF STAFF OF THE PACIFIC COMMAND ADMIRAL FARGO WILL BE HAVING THEIR MUTUAL DEFENSE BOARD MEETING IN HAWAII AND WILL BE TALKING ABOUT THIS. SO I TOLD HIM AND REYES TO MAKE SURE THAT IT GOES DOWN THE LINE WHILE THE MILITARY PORTION OF THE MILITARY EXERCISE OF THE BALIKATAN WILL END JULY 31, THE SEABEES AND THEIR SECURITY ESCORTS MAY CONTINUE TO WORK ON THEIR CONSTRUCTION PROJECTS. BEFORE JULY 31 OR MAYBE ON JULY 31, WE WILL INAUGURATE THE BASILAN AIRPORT THAT THE SEABEES UPGRADED BEFORE THE SPECIAL FORCES GO.

TONIGHT PRESIDENT BUSH WILL CALL ME UP ABOUT MANY THINGS BUT I'M SURE THE BALIKATAN WILL BE PART OF IT. BUT I HAVE ALREADY SAID THAT EVEN THROUGH HIS OTHER OFFICIALS THAT WHILE THE MILITARY TRAINING PORTION OF BALIKATAN 2-1 WILL END ON JULY 31, WE CAN START THE NEXT BALIKATAN IMMEDIATELY BECAUSE THE MUTUAL DEFENSE BOARD IS MEETING ON THURSDAY, ANYWAY. SO BY THE TIME THAT JULY 31 COMES, I HOPE THEY HAVE THEIR NEXT BALIKATAN ALREADY WORKED OUT. THOUGH OF COURSE, AS A RESULT OF THE CLAMOR FROM PEOPLE ALL OVER THE COUNTRY, THIS TIME THE BALIKATAN WILL BE MORE GEOGRAPHICALLY SPREAD OUT, UNLIKE THIS BALIKATAN WHICH UPON MY REQUEST HAD BEEN CONCENTRATED IN BASILAN.

OVER THE PAST YEAR, WE HAVE ALSO MOVED TO PUT THE BIMP-EAGA BACK ON TRACK. THE TRAVEL TAX EXEMPTION WHICH I HAVE EXTENDED UNTIL 2004 I HOPE HAS SPURRED THE INCREASE IN THE MOBILITY OF PEOPLE WITHIN THE REGION, ALONG WITH THE OPENING UP OF THE DAVAO-MANADO, INDONESIA AIR ROUTE BY AIR PHILIPPINES, AND THE ZAMBOANGA-BONGAO-SANDAKAN-SABAH SEA ROUTE.

ENHANCING SECURITY COOPERATION IN THE GREATER FRAMEWORK OF ASEAN AND WITHIN EAGA IS CRUCIAL IN RESTORING INVESTMENT CONFIDENCE. THE TRILATERAL AGREEMENT WE SIGNED WITH INDONESIA AND MALAYSIA SHOULD STRENGTHEN BORDER CONTROLS AND ENABLE THE COUNTRIES' SIGNATORIES TO APPREHEND CRIMINALS AND TERRORISTS PLYING OUR COMMON WATERS. WHEN PRIME MINISTER AND I WITNESSED THE TRILATERAL AGREEMENT SIGNING IN KUALA LUMPUR THEN HE TOLD ME, "OKAY, NOW LET'S WORK ON OUR BORDER PATROLS." AND I WAS TALKING TO SECRETARY ANGELO REYES JUST THIS MORNING IN MY CAR ON MY WAY HERE FROM THE AIRPORT. I TOLD HIM WE SHOULD WORK OUT IMMEDIATELY THE JOINT PATROLS WITH OUR TWO NEIGHBORS. SO THAT WE WILL PREVENT ANOTHER HIJACKING OF TUGBOATS THE WAY IT HAPPENED A FEW DAYS AGO.

WE MUST VIGOROUSLY UNDERTAKE MEASURES TO CONTAIN THE NEGATIVE IMAGE OF MINDANAO AND REFLECT THE TRUTH THAT MINDANAO AS A WHOLE IS SECURE, AND TOURISTS AND INVESTORS SHOULD FEEL REASSURED WHEN THEY VISIT OR INVEST IN MINDANAO. I HAVE BEEN TELLING THE WHOLE WORLD ABOUT HOW SURIGAO'S CRIME RATE IS 2 OUT OF 100,000 WHEN THE WORLD'S STANDARD IS 8 OUT OF 100,000. SO THERE ARE MANY PLACES IN MINDANAO WHERE STATISTICALLY YOU CAN PROVE THAT MINDANAO IS SAFER THAN MANY PARTS OF THE WORLD.

I AM ALSO INSTRUCTING THE D.A. -- WALA SI LEONY; THE NIA -- NAND'YAN SI JESS; THE DPWH -- NAND'YAN SI SIM. DALAWA NA RIN ANG NAND'YAN PAREHONG TAGA-MINDANAO; THE DILG; THE DENR; THE DOTC AND OTHER CONCERNED AGENCIES TO REALIGN ALL THEIR REGIONAL BUDGETS WITH AREA-BASED DEVELOPMENT PROGRAMS SUCH AS THE DAVAO INTEGRATED DEVELOPMENT PROGRAM, THE SOCSKSARGEN AND THE METRO COTABATO DEVELOPMENT ALLIANCE. THEY SHOULD NOT MAKE THEIR OWN REGIONAL PROGRAM SEPARATE FROM THESE AREA DEVELOPMENT PLANS. I'M SAYING THIS BECAUSE I OBSERVED WHEN I BECAME PRESIDENT THAT THE REASON WHY YOUR AREA DEVELOPMENT PLANS WERE NOT BEING FUNDED WAS THAT THE DEPARTMENTS WERE DOING THEIR OWN REGIONAL BUDGET PRIORITIES SOMETIMES IN CONSULTATION WITH LOCAL GOVERNMENT OFFICIALS OR THEY WOULD SAY WHAT ARE YOUR PROPOSED PROJECTS OUTSIDE OF THE IDP. WHAT ARE YOUR PROPOSALS OUTSIDE OF SOCSKSARGEN. IN OTHER WORDS, OUTSIDE THE DEVELOPMENT AREAS BECAUSE THEY THOUGHT THE DEVELOPMENT AREAS WILL HAVE THEIR OWN SPECIAL BUDGET FROM OUTSIDE THEIR DEPARTMENT WHICH WAS NOT SO. SO LET ME MAKE IT VERY CLEAR. THESE AREA DEVELOPMENT PLANS MUST BE THE REGIONAL DEVELOPMENT PLANS OF THE NATIONAL DEPARTMENTS AS WELL.

BECAUSE THE GOVERNMENT HAS EXTREMELY LIMITED FUNDS, WE HAVE TO EXERCISE FISCAL DISCIPLINE AS A STRATEGY FOR DEVELOPMENT. THE FISCAL DISCIPLINE THAT I EXERCISED LAST YEAR WAS THE LITMUS TEST FOR THE CAPITAL MARKETS. AND IT WAS THE REASON WHY WE GRADUATED FROM NEGATIVE TO STABLE IN THE INTERNATIONAL CREDIT RATING AGENCIES. IT WAS ALSO THE REASON FOR OUR PRESENT LOW INTEREST RATES, OUR PRESENT LOW INFLATION RATE, AND OUR PRESENT STABLE PESO. IF WE BLOAT OUR BUDGET DEFICIT IN THE NAME OF MORE PROJECTS EVEN IT IS PROJECT FOR MINDANAO, IT WILL BE COUNTERPRODUCTIVE. IT WILL RESULT IN RUNAWAY INFLATION, SKY HIGH INTEREST RATES AND PESO DEVALUATION. THEN IT WOULD BE NOT WORTH ALL THOSE PROJECTS.

I HOPE, THEREFORE, THAT THE MINDANAO LEADERS -- AND I CONSIDER MYSELF A MINDANAO LEADER BECAUSE OF MY CHILDHOOD IN MINDANAO -- I HOPE WE WILL ALL CONTINUE TO HELP FIND SOLUTIONS TO THE MANY CHALLENGES OF PEACE, DEVELOPMENT, SOVEREIGNTY AND SOCIAL JUSTICE.

MAAYONG BUNTAG KANINYONG TANAN UG DAGHANG SALAMAT.

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