2011 a disaster

Not only did we have the floods in Central Luzon and Cagayan Valley, the landslides and 1,400 deaths in Cagayan de Oro and Iligan, 2011 has turned out to be a disaster in terms of a “feeble” economic performance with GDP dropping by half from 7.6% in 2010 to 3.7% in 2011. A United Nations report listed the Philippines as the No. 1 country hit by disasters totalling 33 major incidents in 2011.

As a necessary consequence, the number of people experiencing hunger increased to 22.5% according to the latest SWS survey. The economic disaster was man-made by government underspending and the administration spending the big portion of its time on anti GMA and anti Corona moves. 2012 is no walk in the park with the economists predicting a 5-6% growth again below the 8% GDP growth needed to uplift the masses out of poverty.

NEDA Director General Cayetano Paderanga is again blaming external factors, particularly the slowdown in Europe for our slow growth. Not valid. Our neighbors Thailand, Malaysia, Indonesia, Taiwan and even Vietnam experienced good growth rates from 5-7%.

One big question mark is the ability of the Cabinet to implement projects. DPWH Secretary Rogelio Singson was heard to complain that P70 billion worth of infrastructure projects are still to be awarded in view of the shortage of the Triple A contractors willing to do the job. Contractors are still insisting there is corruption and red tape in government projects and they would rather not have the headache in dealing with government. In addition, there is the problem of NPA taxation on construction projects.

It’s not a matuwid na daan. It is a masikip na daan with ambushers waiting in the bushes.

Zambales Congresswoman Mitos Magsaysay is on solid ground when she asked for a change in the President’s economic team.

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DAY 8. . . The Corona impeachment trial centered on the prosecution witness, Giovanni Ng, Finance Director of Megaworld Corp., testifying to the Corona purchase of the 300 sq.m. Bellagio property. The prosecution tried to establish that CJ Corona got a P10 million discount, but witness Giovanni Ng admitted upon questioning by Sen. Jinggoy Estrada that as much as 20% discount is usually given for cash purchases, that adjustments were made on the price due to defects in the unit and that further reductions can be given due to gloomy market conditions.

It should be recalled that the condominium market dropped in 2008-2009. Price at the plush Essencia Condominium dropped from P40 to P20M at that time. It is usual for VIPs to be given a courtesy discount especially if no agent is involved.

The trial went smoothly with the prosecution being able to call 3 witnesses for the day. At that rate, it will take 33 trial days to present 100 witnesses as listed by the prosecution.

The debate outside the Senate impeachment court has started on the propriety of calling Supreme Court Justices and media persons to testify.

Senator Bong Revilla took the floor for the first time and expressed concern that the trial may drag on for months and then affect the work schedule of the Senate for other matters.

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DAY 9 OF THE TRIAL. . . It was a good day for the defense. The witness presented by the prosecution, Noli Hernandez, Senior Vice President for Marketing and Sales of Megaworld explained in detail why the P24 million of the Bellagio Penthouse was reduced to P14.5 million because of: 1) The unit was damaged by a typhoon with the damage estimated at P5 million; 2) There was a 15% discount given for a cash transaction; 3) The real estate market at that time was “gloomy” and weak because of which they decided to reduce the price to P14.5 M since it was the last unit still unsold.

Big time developer Sen. Manny Villar pointed out that SMDC last December offered a 40% discount to every buyer emphasizing that different developers reduce their prices to achieve their sales targets.

Sen. Ralph Recto pointed out that the P6.8 million used in CJ Corona’s SALN was the BIR approved zonal valuation.

Witness Noli Hernandez testified that the P24-M Bellagio unit would have been sold for P14.5 million to whoever wanted to buy the property. Therefore, the fact that the Chief Justice is the buyer was not a consideration in the reduction of the price.

Sen. Bongbong Marcos questioned the relevance of the prosecution’s evidence on the discount allegedly given. Sen. Koko Pimentel and Sen. Pia Cayetano expressed the same sentiments.

The bottom line, there was no P10 million discount given to Renato Corona as a Chief Justice.

Only one witness was presented on Day 9 raising the probability again of an extended trial.

Once again, Senate President Juan Ponce Enrile had to lecture on the prosecution lawyers to interview their witnesses before presenting them.

The defense announced they are presenting 29 witnesses.

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GOOD SUGGESTION . . . It has been suggested that the economy could grow by 7.18% if priority is given to more spending for education and health, that is, if government spends for new classrooms, new teachers, more nurses, medical equipment and more medicines. That’s a sensible suggestion.

One thing sure, the P21 billion spent for conditional cash transfer payments being paid out by DSWD has so far not uplifted the poor out of poverty. If President Aquino insists on keeping the program, then maybe the P1,300 subsidy per family should be increased.

DepEd Sec. Armin Luistro has said that only 12,500 classrooms will be built this year in the 2012 budget. Why not build the 66,000 classrooms needed in one sweep?

How about hiring 10,000 more nurses for DOH and 10,000 more of the public school teachers?