MANILA, Philippines — Members of President Rodrigo Duterte's Cabinet appear to have issued differing statements on the Philippines' withdrawal of its application for a second grant from the Millennium Challenge Corporation.
On Tuesday, presidential spokesperson Harry Roque said that the decision to withdraw from the US-backed grant was due to the urgent priority of the Duterte administration to rebuild Marawi City.
Specifically asked whether the Philippines had withdrawn because of conditions that MCC may have set on grants, Roque said this was not the case.
"Nothing, it’s just that we have to earmark funds also because these are projects with counterpart funds and of course this will also focus on previously identified projects and we have decided our resources and our priority will be the rebuilding of Marawi for the time being," Roque said.
Budget Secretary Benjamin Diokno, however, said in state-run Philippine News Agency report that the withdrawal from the application for the grant was for policy independence.
Diokno said that the president wants to implement projects without "external intervention."
Funding from donors should also be given "out of the goodness of [the] heart," according to the Budget chief.
Not getting the grant from the MCC is not a loss for the country as various countries, such as Japan, China and South Korea continue to fund the Philippines, Diokno also said. He further claimed that these countries compete to fund projects under the Duterte administration.
Despite the withdrawal, Roque said the Philippines hopes that the "Americans can and still contribute towards the rebuilding of Marawi in some other ways."
Diokno, in the same PNA report, said that being considered as a possible beneficiary of the US poverty reduction agency is already a plus.
“We should be happy with that,” Diokno said.
Hours after the Philippines announced that it has withdrawn from its application for a second aid package from the MCC, the US agency announced that it has selected Timor-Leste for a five-year grant program designed to spur economic growth and reduce poverty.
The US agency also noted the Philippines' withdrawal from the aid package.
"MCC is proud of the achievements of our first compact with the Philippines, and both MCC and the United States are proud of our longstanding positive relationship," the US agency said.
The first grant of the MCC to the Philippines, which was implemented from May 2011 to May 2016, was worth P434 million.