Metro Manila, Calabarzon need to transition to MGCQ 'quickly' — Dominguez
MANILA, Philippines — If the head of the government’s economic team has his way, Metro Manila and the neighboring Calabarzon region should have quarantine controls relaxed further and “quickly” to revive a shrinking economy.
More than three months since lockdowns were enforced, economic damage from the coronavirus disease-2019 (COVID-19) and restrictions imposed to keep it at bay are becoming more palpable, worrying Finance Secretary Carlos Dominguez III.
“We have to face the new reality. The reality today is that the virus is not going to go away. And we will have to live with it for a long period of time,” Dominguez told President Rodrigo Duterte during a televised address.
“I really believe, we really should begin opening,” he added.
Tuesday’s announcement of new quarantine measures bore some of Dominguez’s wishes. Most of the archipelago are now under modified general community quarantine (MGCQ), under which most firms can operate at 50% capacity, except the National Capital Region (NCR) and most of Calabarzon. Cebu City remains under the strictest enhanced community quarantine.
“You know, you put (National Capital Region), Calabarzon (under lockdown) that is where the economy is based. About 60% or 67% of our economy is based on that area,” Dominguez said.
“That should move more to the MGCQ as quickly as possible because people have to start working,” he added.
Economic managers led by Dominguez are already resigned to an economic recession last quarter, indicating that the 0.2% gross domestic product (GDP) slip in the first three months likely persisted, and worsened, in the April-June period.
That was a hefty price which they said they were willing to pay to save lives. But as COVID-19 appears to be far from getting under control, Dominguez said there is a need for a more targeted approach to lockdowns, which did not only slow the virus spread, but also hammered down the economy with it. More than 7 million Filipinos, for instance, were left jobless as of end-April.
“Of course, for me, if… We should monitor it on a — maybe on a barangay level and if you know, the cases go up, just close it down,” Dominguez said.
“But do it on a place to place. And do it also on a company-to-company basis. So if the company has big spike, close it down also,” he added.
MGCQ 'useless' without public transport
Sought for comment, Sergio Ortiz-Luis Jr., president of the Employers Confederation of the Philippines, an industry group, agreed with Dominguez on economic reopening, but added such will be “useless without public transportation.”
“The problem is the government is not able to cope with the demand for public transportation that came with the reopening. Up to now, they do not have a viable plan for public transport so people cannot go to work,” Ortiz-Luis said in Filipino during a phone interview.
Around 55,000 traditional jeepneys in NCR remained parked and unable to ply routes over fears of transport officials passengers cannot practice social distancing when riding them. In other regions, “roadworthy” jeepneys have started operating back this week, but guidelines on how jeepneys will get regulated under a pandemic remained unclear a month into GCQ in NCR.
“While it is ideal to relax (quarantine), if the problems of public transport will not be resolved, then nothing will happen to the economy,” Ortiz-Luis said in Filipino.
Asking private firms to shoulder the costs of shuttling their employees to and from work is also unpractical, he said, considering that 98% of local firms are micro, small and medium enterprises that do not have financial capacity to rent costly shuttles.
“We all want to transition to MGCQ, but up to now officials are useless because public transport and testing cannot catch up with quarantine easing,” he said.
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