NEDA seeks exemption of top projects from poll ban

MANILA, Philippines — The National Economic and Development Authority (NEDA) urged the Commission on Elections (Comelec) to approve the proposed exemption of 145 priority infrastructure projects from the election spending ban to lessen the negative impact on growth of the re-enacted national budget.

“We’re earnestly hoping Comelec will soon approve the 145 projects we submitted last February for exemption from election ban. It would at least attenuate the negative effect the re-enacted budget on GDP growth, employment creation and poverty reduction,” said Socio-economic Planning Secretary Ernesto Pernia in a post on his social media account late Friday.

President Duterte’s economic team has petitioned the Comelec to exempt from the spending ban ahead of the May 13 mid-term election at least 145 priority infrastructure projects, some of which are already underway.

These include projects implemented by national government agencies as well as those carried out by government-owned corporations. Foreign-assisted projects, meanwhile, are already exempt from the election spending ban.

Election rules prohibit spending for public works from March 29 to May 12.

The ban on the release of funds and delivery of materials for public construction works is implemented amid a prevailing impasse on the passage of the 2019 national budget that saw the reenactment of last year’s budget until now.

NEDA warned this week that growth might slow down between 4.2 percent to 4.9 percent this year if the government operates on a re-enacted budget for the entire year.

The socio-economic planning agency said implementing a reenacted budget until April would bring down the full-year gross domestic product (GDP) growth to between 6.1 percent and 6.3 percent.

On the other hand, if the budget is passed in August, growth is expected to be around only 4.9 to 5.1 percent.

He noted that a re-enacted budget would delay the implementation of new and ongoing infrastructure projects, as well as the implementation of public social services such as the unconditional cash transfer and Pantawid Pasada programs.

This, in turn, will prevent the government from creating more jobs.