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Updated Philippine

Development Plan
2017-2022
© 2021 by the National Economic and Development Authority

All rights reserved. Any part of this publication may be used and reproduced,
provided proper acknowledgement is made.

Updated Philippine Development Plan 2017-2022

Published by:

National Economic and Development Authority


12 St. Josemaria Escriva Drive, Ortigas Center, Pasig City 1605 Philippines
Telephone: (+632) 8631 0945 to 56
Email: [email protected]
Website: www.neda.gov.ph

ISSN: 2243-7576

Printed in the Philippines


Table of Contents
Foreword xii

Preface xiv

Part I Introduction

Chapter 1 Overview 5

Chapter 2 Global and Regional Trends and Prospects 21

Chapter 3 Overlay of Economic Growth, Demographic Trends, and 37


Physical Characteristics

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework 57


Part II Building a High-trust Society (“Malasakit”)

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and 71


Clean Governance

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice 87

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan 97

Part III Transforming Towards Equity and Resiliency (“Pagbabago”)

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries 111


and Ensuring Food Security

Chapter 9A Expanding Economic Opportunities in Industry 129

Chapter 9B Expanding Economic Opportunities in Services 147

Chapter 9C Expanding Access to Economic Opportunities in I&S for 159


Startups, MSMEs, and Cooperatives

Chapter 10 Human Capital Development Towards Greater Agility 171

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities 205


of Filipinos

Chapter 12 Building Safe, Resilient, and Sustainable Communities 221


Part IV Increasing Growth Potential (“Patuloy na Pag-unlad”)

Chapter 13 Reaching for the Demographic Dividend Across All Regions 233

Chapter 14 Vigorously Advancing Science, Technology, and Innovation 245

Part V Enabling and Supportive Economic Environment

Chapter 15 Ensuring Sound Macroeconomic Policy 265

Chapter 16 Promoting Competition 285

Part VI Foundations for Sustainable Development

Chapter 17 Attaining Just and Lasting Peace 297

Chapter 18 Ensuring Security, Public Order, and Safety 309

Chapter 19 Accelerating Infrastructure Development 323

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment 351

Part VII Protecting the Rights, Promoting the Welfare, and


Expanding Opportunities for Overseas Filipinos

Chapter 21 Protecting the Rights, Promoting the Welfare, and 373


Expanding Opportunities for Overseas Filipinos

Acronyms 383

Glossary 389

References 463

Updated PDP 2017-2022 Plan Steering Committee Members 467

Updated PDP 2017-2022 Planning Committees 469

Schedule of Updated PDP 2017-2022 Consultations 499

NEDA Board 501

NEDA Secretariat 503

Updated PDP 2017-2022 Secretariat 507


List of Tables and Figures
Chapter 1 Overview

Figure 1.1 The Philippine Development Plan Framework 7

Figure 1.2 PDP 2017-2022 Reforms Instituted 8

Table 1.1 PDP 2017-2022 Headline Indicators: 12


Targets vs. Accomplishments, 2017-2019

Figure 1.3 Strategic Framework of the Updated PDP 2017-2022 14

Chapter 2 Global and Regional Trends and Prospects

Figure 2.1 GDP Growth 24

Figure 2.2 General Government Gross Debt (% of GDP) 26

Figure 2.3 Change in Population (%), 2020-2050 30

Figure 2.4 Total Dependency Ratio 31

Chapter 3 Overlay of Economic Growth, Demographic Trends, and


Physical Characteristics

Figure 3.1 Average Regional Share in GDP, 2010-2018 39

Table 3.1 GRDP Growth Rate, 2010-2018 40

Table 3.2 Per capita GRDP, 2010-2018 41

Figure 3.2 Population by Region, 2015 42

Figure 3.3 Regional Projected Population, 2015-2025 43

Figure 3.4 Population of Metropolitan Areas: 2000, 2010, and 2015 44

Figure 3.5 Population of Major Cities: 2000, 2010, 2015 45

Figure 3.6 Major Urban Centers 46

Table 3.3 Network of Settlements 47


Chapter 4 Philippine Development Plan 2017-2022 Overall Framework

Table 4.1 PDP 2017-2022 Core Indicators and Headline Targets 58

Figure 4.1 Updated Philippine Development Plan 2017-2022 60


Strategic Framework

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled,


and Clean Governance

Table 5.1 Updated Plan Targets to Ensure Responsive, People-centered, 72


Technology-enabled, and Clean Governance

Figure 5.1 Strategic Framework to Ensure Responsive, People-centered, 74


Technology-enabled, and Clean Governance

Table 5.2 Legislative Agenda to Ensure Responsive, People-centered, 83


Technology-enabled, and Clean Governance

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice

Table 6.1 Updated Plan Targets to Pursue Swift, Fair, and 88


Humane Administration of Justice

Figure 6.1 Strategic Framework to Pursue Swift, Fair, and 89


Humane Administration of Justice

Table 6.2 Legislative Agenda to Pursue Swift, Fair, and 94


Humane Administration of Justice

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan

Table 7.1 Updated Plan Targets to Promote Philippine Culture and Values 98

Figure 7.1 Strategic Framework to Promote Philippine Culture and Values 99


towards Bayanihan

Table 7.2 Legislative Agenda to Promote Philippine Culture and Values 106
towards Bayanihan
Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry,
and Fisheries and Ensuring Food Security

Table 8.1 Updated Plan Targets to Expand Economic Opportunities in 113


Agriculture, Forestry, and Fisheries and Ensure Food Security

Figure 8.1 Updated Strategic Framework to Expand Economic Opportunities in 114


Agriculture, Forestry, and Fisheries and Ensure Food Security

Table 8.2 Legislative Agenda to Expand Economic Opportunities in 125


Agriculture, Forestry, and Fisheries and Ensure Food Security

Chapter 9A Expanding Economic Opportunities in Industry

Table 9A.1 Updated Plan Targets to Expand Economic Opportunities in Industry 131

Figure 9A.1 Strategic Framework to Expand Economic Opportunities in Industry 132

Table 9A.2 Legislative Agenda to Expand Economic Opportunities in Industry 143

Chapter 9B Expanding Economic Opportunities in Services

Table 9B.1 Updated Plan Targets to Expand Economic Opportunities in Services 149

Figure 9B.1 Strategic Framework to Expand Economic Opportunities in Services 149

Table 9B.2 Legislative Agenda to Expand Economic Opportunities in Services 156

Chapter 9C Expanding Access to Economic Opportunities in I&S


for Startups, MSMEs, and Cooperatives

Table 9C.1 Updated Plan Targets to Expand Economic Opportunities in I&S 160
for Startups, MSMEs, and Cooperatives

Figure 9C.1 Strategic Framework to Expand Economic Opportunities in I&S 161


for Startups, MSMEs, and Cooperatives

Table 9C.2 Legislative Agenda to Expand Economic Opportunities in I&S 167


for Startups, MSMEs, and Cooperatives
Chapter 10 Human Capital Development Towards Greater Agility

Table 10.1 Core Health and Nutrition Outcome Indicators: 173


Targets vs Accomplishments

Table 10.2 Use of Modern Method of Contraception 174

Table 10.3 Core Education Outcome Indicators: Targets vs Accomplishments, 175


2017-2019

Table 10.4 Core Labor Outcome Indicators: Targets vs Accomplishments 177

Figure 10.1 Strategic Framework to Transform Human Capital Development 179


towards Greater Agility

Table 10.5 Updated Plan Targets to Improve Health and Nutrition Outcomes 180
for All

Table 10.6 Updated Plan Targets to Ensure Lifelong Learning Opportunities 189
for All

Table 10.7 Updated Plan Targets to Increase Income-earning Ability and 194
Enhance Adaptability of Filipinos

Table 10.8 Legislative Agenda to Transform Human Capital Development 199


towards Greater Agility

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities


of Filipinos

Table 11.1 Updated Targets to Ensure Food Resiliency and 207


Reduce Vulnerabilities of Filipinos

Figure 11.1 Strategic Framework to Ensure Food Resiliency and 210


Reduce Vulnerabilities of Filipinos

Table 11.2 Legislative Agenda to Ensure Food Resiliency and 218


Reduce Vulnerabilities of Filipinos

Chapter 12 Building Safe, Resilient, and Sustainable Communities

Table 12.1 Updated Plan Targets to Build Safe, Resilient, and Sustainable 222
Communities
Figure 12.1 Strategic Framework to Build Safe, Resilient, and Sustainable 223
Communities

Table 12.2 Legislative Agenda to Build Safe, Resilient, and Sustainable 228
Communities

Chapter 13 Reaching for the Demographic Dividend Across All Regions

Table 13.1 Updated Plan Targets to Reach for the Demographic Dividend 234

Figure 13.1 Strategic Framework to Reach for the Demographic Dividend 236

Table 13.2 Legislative Agenda to Reach for the Demographic Dividend 242

Chapter 14 Vigorously Advancing Science, Technology, and Innovation

Table 14.1 Updated Plan Targets to Vigorously Advance Science, Technology, 247
and Innovation

Figure 14.1 Strategic Framework to Vigorously Advance Science, Technology, 249


and Innovation

Table 14.2 Legislative Agenda to Vigorously Advance Science, Technology, 259


and Innovation

Chapter 15 Ensuring Sound Macroeconomic Policy

Table 15.1 Revised Plan Targets to Sustain a Sound, Stable, and 268
Supportive Macroeconomic Environment

Figure 15.1 Strategic Framework to Sustain a Sound, Stable, and 271


Supportive Macroeconomic Environment

Table 15.2 Updated Legislative Agenda to Sustain a Sound, Stable, and 281
Supportive Macroeconomic Environment

Chapter 16 Promoting Competition

Table 16.1 Updated Plan Targets to Promote Competition 287

Figure 16.1 Strategic Framework to Promote Competition 288

Table 16.2 Legislative Agenda to Promote Competition 292


Chapter 17 Attaining Just and Lasting Peace

Figure 17.1 Strategic Framework to Attain Just and Lasting Peace 299

Table 17.1 Legislative Agenda to Attain Just and Lasting Peace 305

Chapter 18 Ensuring Security, Public Order, and Safety

Figure 18.1 Strategic Framework to Ensure Security, Public Order, and Safety 311

Table 18.1 Legislative Agenda to Ensure Security, Public Order, and Safety 319

Chapter 19 Accelerating Infrastructure Development

Table 19.1 Updated Targets to Accelerate Infrastructure Development 325

Figure 19.1 Strategic Framework to Accelerate Infrastructure Development 328

Table 19.2 Legislative Agenda to Accelerate Infrastructure Development 347

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment

Table 20.1 Updated Plan Targets to Ensure Ecological Integrity, Clean and 353
Healthy Environment

Figure 20.1 Strategic Framework to Ensure Ecological Integrity, Clean and 355
Healthy Environment

Table 20.2 Legislative Agenda to Ensure Ecological Integrity, Clean and 366
Healthy Environment

Chapter 21 Protecting the Rights, Promoting the Welfare, and


Expanding Opportunities for Overseas Filipinos

Figure 21.1 Overseas Filipino Worker (OFW) Deployment, Land-based, 374


2011-2019

Figure 21.2 OFW Deployment by Destination Country, 2019 375

Table 21.1 Updated Plan Targets to Protect the Rights, Promote the Welfare, and 375
Expand Opportunities for Overseas Filipinos to Contribute to the
Country’s Development
Figure 21.3 Updated Plan Targets to Protect the Rights, Promote the Welfare, and 377
Expand Opportunities for Overseas Filipinos to Contribute to the
Country’s Development

Table 21.2 Legislative Agenda to Protect the Rights, Promote the Welfare, and 382
Expand Opportunities for Overseas Filipinos to Contribute to the
Country’s Development
Foreword

More than four years ago, this


administration embarked
on a bold campaign to end
poverty in the country by the
year 2040. Since then, we have
implemented major reforms aimed at
correcting long-standing institutional
issues that hindered our nation’s growth.
These reforms include the Build, Build,
Build Program, the Tax Reform for
Acceleration and Inclusion Act, the
Rice Tariff ication Law, the national ID
system, free tertiary education, and
universal healthcare, among others.

xii | Updated Philippine Development Plan 2017-2022


Our economy has been steadily gaining I am therefore directing all government
strength until the COVID-19 pandemic agencies to ensure the efficient and timely
struck. To save our nation, we made the implementation of the strategies laid
difficult decision to impose life-saving out in this Plan. I have no doubt that we
community quarantines that bought us can accomplish these goals and, with the
precious time to improve our healthcare cooperation of the Filipino people, eventually
capacity. Like other countries, our economy heal, recover and rise as one nation.
suffered and our people faced serious loss
of income and livelihood.

We recognize that, to keep our long-term


strategies responsive to our present realities,
we need to recalibrate our actions. This
Updated Philippine Development Plan
2017-2022 thus reflects our determination
to persevere in our goal of ending poverty
despite the setbacks caused by the pandemic.

RODRIGO ROA DUTERTE


President
Republic of the Philippines

Foreword | xiii
Preface
In 2017, the NEDA Board approved
the Philippine Development Plan
(PDP) 2017-2022. This was anchored on
the government’s zero to 10-point socioeconomic
agenda and geared towards the achievement of
our long-term vision: Isang matatag, maginhawa,
at panatag na buhay para sa lahat. Over the last
three years, we conducted the midterm update of
the PDP, building on the achievements from the
first half of President Duterte’s term.

President Duterte’s policy of fiscal prudence and


his push for tax reforms enabled us to achieve the
highest revenue-to-GDP ratio of 16.1 percent,
and the lowest debt-to-GDP ratio of 39.6 percent
in 2019. We earned an unprecedented upgrade
in our credit rating, which granted us access to
more funding sources for our priority programs
at concessional rates and favorable terms.

These allowed us to sustainably fund the Build,


Build, Build program and provide more and
better social services for the people. As a result,
both the unemployment and underemployment
rates also fell to historic low levels. In other words,
we had realized better economic outcomes for the
Filipino people.

Earlier in 2018, we achieved a record low poverty


rate of 16.7 percent of the population, achieving
our target of lifting some six million Filipinos
out of poverty four years ahead of schedule. If
not for the COVID-19 pandemic, we would have
become an upper-middle income country at the
end of 2020, two years ahead of our 2022 target.

xiv | Updated Philippine Development Plan 2017-2022


However, COVID-19 temporarily disrupted Our prospects for recovery are promising.
our growth momentum and development With the roll-out of the COVID-19 vaccines
trajectory. To address this unprecedented in the Philippines and other countries,
crisis and save lives, the government made the road remains challenging but there is
the difficult decision of imposing community now light at the end of the tunnel. With
quarantines in order to protect communities the productive sectors of the economy
from the virus and beef up our healthcare strengthened by our fiscal and economic
system. This disrupted the majority of our reforms, and by our infrastructure program,
economic activities, leading to loss of income we see no reason why the economy cannot
and jobs and temporarily reversing some of bounce back as we safely reopen the
our economic gains from the first half of this economy and implement the strategies in
administration. the Plan.

Given this, we enhanced the PDP to The government is committed to deliver


respond to the challenges brought about by adequate, prudent, and timely policies
the pandemic. This was a result of public and responses to help restore income,
consultations held among key stakeholders. opportunities, and jobs. The Updated PDP
Guided by the AmBisyon Natin 2040, the 2017-2022 will lead us back to our vision of
PDP 2017-2022 was formulated to lay down a strongly rooted, comfortable, and secure
the foundation for inclusive growth, a high- life. We assure the Filipino people we will not
trust and resilient society, and a globally waste this crisis. Like before, we will turn this
competitive knowledge economy. crisis into an opportunity to recover strongly,
and collectively build a better normal and a
Through these, the strategies in the Plan have more inclusive society for many years ahead
been organized into a strategic framework until our AmBisyon Natin 2040 vision where
containing three main pillars: Malasakit no one is poor is attained.
(Building a high-trust society), Pagbabago
(Transforming towards equity and resiliency),
and Patuloy na Pag-unlad (Increasing growth
potential).

KARL KENDRICK T. CHUA


Socioeconomic Planning Secretary

Preface | xv
PART I

INTRODUCTION
01 Overview
CHAPTER 1

Overview
The long-term vision remains the same, and has become
even more pronounced with the emergence of new threats

Every Filipino aspires to enjoy a “matatag, maginhawa, at panatag na buhay.” This is


AmBisyon Natin 2040. Sensitive to these aspirations, the Duterte administration has
embraced the mission to enable and empower every Filipino to achieve his or her AmBisyon.
The Philippine Development Plan (PDP) 2017-2022 has been formulated to lay down
the foundation for inclusive growth, a high-trust and resilient society, and a globally-
competitive knowledge economy. This foundation is intended to be strong enough for the
next three development plans to build on.

During the first three years, a number of needed reforms have been enacted. The reforms have
been game-changing and the desired social and economic outcomes were achieved, even
surpassing the targets at times. This primarily stems from the conscious effort to include
social protection components as part of the reform program. This was done to cushion
the expected adverse though temporary effects, thereby increasing support to the reform.

Almost four years in, the Philippines was on its way to becoming an upper-middle-
income country, until the once-in-a-century global pandemic, caused by COVID-19,
struck. The immediate response was to save lives by first restricting social and
economic activities to limit the spread of the virus, while improving the country’s
health system capacity.

The health system capacity has since been substantially improved. However, the social and
economic restrictions had adverse social and economic consequences. The challenge at hand
is to muster, as quick as possible, an economic turnaround. And much depends on being
able to manage the risks and transition to the “new normal.”

Even at this time of COVID-19 global pandemic, the country has been benefitting from the
reforms enacted and already implemented (e.g., Rice Tariffication Law [RTL Law], Sin Tax
Reform Law, Ease of Doing Business and Efficient Government Service Delivery [EODB-EGSD]
Act, Tax Reform for Acceleration and Inclusion [TRAIN] Law, Telecommuting Act, Social Security
Act of 2018, Balik Scientist Act, etc.). A more accelerated timeline concerning the other reforms
would have substantially built up the country’s resilience (e.g., PhilSys Act, Universal Health
Care [UHC] Act, Philippine Innovation Act, entry of a third telecommunications provider, Free
Internet in Public Spaces Act [PSA], etc.). This pandemic also lends urgency to crucial reform

Chapter 1 Overview | 5
initiatives that will encourage strategic industries to locate in the country (e.g., amendments
to the Foreign Investments Act [FIA], Public Service Act [PSA], Retail Trade Liberalization Act
[RTLA], and the Corporate Recovery and Tax Incentives for Enterprises [CREATE]). Over the
immediate term, there is a need to address financial risk that may have worsened because of
the mobility restrictions imposed to contain COVID-19. The proposed Financial Institutions
Strategic Transfer (FIST) and Government Financial Institutions Unified Initiatives to Distressed
Enterprises for Economic Recovery (GUIDE) laws are designed to manage such risks.

We are 20 years away from 2040. While there seems to be ample time to catch up on the
targets related to AmBisyon, recent developments have shown that social and economic gains
can easily be reversed. Hence, together with economic recovery, building resilience is now
the urgent and important development objective. Being resilient, after all, is an essential
component of the AmBisyon: having a secure future (panatag na buhay).

Embracing AmBisyon Natin 2040


Early into his administration, President Rodrigo AmBisyon Natin 2040 reveals the many dimensions
Roa Duterte issued Executive Order No. 5, s. 2016 of well-being that Filipinos value the most: strong
“approving and adopting the twenty five-year long- family and community ties, a comfortable lifestyle,
term vision entitled AmBisyon Natin 2040 as guide and a secure future. It should then be the mission
for development planning.” of government to steer development processes to
enable and empower every Filipino to achieve these
AmBisyon Natin 2040 represents the collective aspirations.
aspirations of Filipinos to enjoy a “matatag,
maginhawa at panatag na buhay.” This was the result The same EO adopted the following vision for the
of various focus group discussions and nationally- Philippines:
representative survey undertaken by the National
Economic and Development Authority (NEDA) in
early 2016. By 2040, the Philippines shall have been a
prosperous, predominantly middle-class society
where no one is poor; our peoples live long and
healthy lives, are smart and innovative, and live
in a high-trust society.

A Plan with a Vision:


The Philippine Development Plan 2017-2022
The strategic framework of the PDP 2017-2022 growth, a high-trust and resilient society, and a
(Figure 1.1) is guided by AmBisyon Natin 2040. globally-competitive knowledge economy.
The goal is to lay down the foundation for inclusive

6 | Updated Philippine Development Plan 2017-2022


Figure 1.1 The PDP Framework

The strategies to achieve this objective are organized The Patuloy na Pag-unlad pillar is about increasing
under the three major pillars of “Malasakit,” potential growth. It consists of strategies to enhance
“Pagbabago,” and “Patuloy na Pag-unlad.” the factors necessary to accelerate and sustain
growth and development through 2040. It is about
The Malasakit pillar is about enhancing the social promoting science, technology, and innovation.
fabric. The strategies aim to build the foundations It also covers strategies to reap the demographic
for a high-trust society by ensuring a clean, efficient, dividend.
and people-centered governance; guaranteeing swift
and fair administration of justice; and increasing Supporting these pillars are policies and programs
awareness of the different cultures and values across to ensure sound macroeconomic fundamentals
Philippine society. and promote healthy competition. Furthermore,
realizing the importance of rectifying or improving
The Pagbabago pillar is about effecting inequality- initial conditions that are the foundations for
reducing transformation. It consists of strategies to sustainable development, the PDP 2017-2022
expand economic opportunities, accelerate human contains policies and programs to ensure peace,
capital development, reduce vulnerability, and build security, and public order and safety; accelerate
safe and secure communities. infrastructure development; and address
environmental concerns.

Chapter 1 Overview | 7
This PDP also gives deliberate attention to the maginhawa, at panatag na buhay.” Special focus
special circumstances of overseas Filipinos (OFs) is given to their eventual reintegration and active
and their families, with the aim of empowering participation into the country’s development
them to achieve their aspirations for a “matatag, processes.

Reforms Instituted
Running on a platform of change, the Duterte given initial trade-offs. However, a feature of these
administration has introduced a number of much- reforms is the deliberate inclusion of safety nets to
needed and long-awaited reforms, some of which cushion the sectors that might be adversely affected,
have been institutionalized through legislation. though temporarily, by the reform.
These game-changing reforms are expected to
yield net benefits to society and even provide a Figure 1.2 re-draws the strategic framework of
robust foundation on which to build resiliency. the PDP 2017-2022, to indicate major reforms
Some reforms were admittedly radical and were undertaken. This is followed by a discussion of
expected to result in short-term negative effects the major reforms that can be used as basis for
greater resilience.

Figure 1.2 PDP 2017-2022 Reforms Instituted

8 | Updated Philippine Development Plan 2017-2022


The PhilSys Act establishes a national digital appropriation of PHP10 billion for six years to
ID system that will provide every Filipino with fund programs on farm mechanization, seed
proof of identity. This national ID will facilitate development, propagation and promotion, credit
transactions in business and with government assistance, and extension services, which were
by providing a credible but easily accessible specifically identified to improve the productivity
instrument for “know your customer” protocols. of rice farmers, reduce production cost, and link
This will also fast-track financial inclusion and them to the value chain. The excess from the
facilitate the provision of targeted transfers from PHP10 billion tariff revenue collection will still
government, as the need arises. be given to rice farmers and appropriated by
Congress the following year for the direct financial
The EODB-EGSD Act, meanwhile, directs all assistance to rice farmers, titling of agricultural
agencies in government to streamline government rice lands, expanded crop insurance program, and
processes, particularly those concerning business crop diversification program. The fund provides
to government (B2G) and consumers to government assistance to rice farmers in the form of farm
(C2G), and rationalize or even harmonize machinery and equipment, high-yielding seeds,
regulations. Under the “new normal,” businesses access to affordable credit, and skills training
need to reconfigure processes or change product programs on farm mechanization and modern
lines altogether, and these may require a new set farming techniques. The impact on consumers was
of permits. This law requires government to be evident – the retail price of rice went down by about
facilitative so that businesses can quickly undertake 9 percent in 2020 from its average in 2018, before
the changes and new investments required. the law was enacted. The impact on rice farmers,
on the other hand, will require a more extensive
Farmers and fisherfolk are expected to benefit impact evaluation. What is clear though, is that
from the Sagip Saka Act which provides various the palay subsector grew by 7.2 percent during
forms of assistance to improve (a) production the second quarter of 2020, amid the very strict
and productivity; (b) access to financing and economic lockdown, from the same period in 2019.
better technologies; and (c) business support
and development services. Access to finance is To further facilitate investments, the Revised
further increased with the Agricultural Free Corporation Code of the Philippines eliminates
Patent Reform Act which makes agricultural barriers to entry of both small and large
free patents tradable and bankable instruments. enterprises by permitting the formation of
one-person corporations and by allowing
A major reform in the agriculture sector stockholders or members to exercise their rights
is the RTL. This is a long-awaited reform through remote communication and in-absentia
designed to open the market for rice trade. The voting, among others. As remote communication
previous regime of quantitative restrictions on becomes part of the new normal, this amendment
imported rice provided price support to the rice of the Corporation Code will ensure that business
farmers but this made the retail price of rice meetings and voting can proceed.
expensive as a result. Despite the price support,
rice farming in the Philippines has been As part of human capital development, the
unprofitable, especially when compared to other Universal Access to Quality Tertiary Education
countries in Asia (Bourdey et. al., 2016). To balance Act provides free tuition in state universities and
the interests of farmers and those of consumers colleges, free technical and vocational education
toward overall efficiency and economic growth, and training, tertiary-education subsidy, and
the law (a) replaces the quantitative restrictions on student loans. On the other hand, the Philippine
imported rice with tariffs of 35 to 40 percent and Qualifications Framework Act reinforces and
(b) establishes the Rice Competitiveness strengthens the recognition of knowledge and skills
Enhancement Fund (RCEF) coming from the acquired outside the formal education systems
tariff revenues. The RCEF consists of an annual through a system of pathways, equivalencies, and

Chapter 1 Overview | 9
credit transfers. To further increase employability, governance, etc. Operationalizing these innovations
the Tulong Trabaho Act provides free training requires an ecosystem covering science,
fees and additional financial aid to qualified technology, and innovation (STI). Four landmark
beneficiaries enrolling in selected training laws were recently enacted to help establish
programs (STPs). These reforms ease the financial the ecosystem. These are (a) the Philippine
burden of acquiring tertiary education, reskilling, Innovation Act which establishes the National
and retooling programs, which the workforce Innovation Council (NIC), an inter-agency and
will also need to adjust to the new normal. multisectoral committee that effectively elevates
policy and planning on STI to the highest levels
The Pantawid Pamilyang Pilipino Act of government; (b) the Innovative Startup Act
institutionalizes the Pantawid Pamilyang Pilipino which provides incentives and monetary and
Program (4Ps) to reduce the vulnerabilities of operational support to innovative and technology
children in poor families. The program provides startups to foster an innovative entrepreneurial
cash transfers to family beneficiaries conditional culture; (c) the Philippine Space Act which
on health, nutrition, and education outcomes for a provides the institutional framework to enable the
maximum of seven years. Other features of the law country to reap the benefits from the development
also provide effective ways of engaging with poor and use of space technologies; and (d) the Balik
families even for information and communication Scientist Act which further encourages Filipino
campaigns, which will be useful to help them adjust experts, scientists, inventors, and engineers who
to the new normal, among others. are currently abroad to share their knowledge and
expertise in the country.
The UHC Act aims to provide health care
coverage to all Filipinos, when and where The entry of a third telecommunications player,
needed, without having to bear huge meanwhile, will create a more competitive
financial burden. It is a package of health care environment to help ensure affordable and
reforms centered around health care financing. reliable internet services in the country. This is
Among others, it replaces the fragmented system expected to accelerate digital transformation.
of health care provision with a network approach. Further reforms in the PSA and FIA will open the
This is to be funded by taxes on tobacco sector more.
and alcohol.
The TRAIN Law corrects the inequity of the tax
The Social Security Act of 2018 strengthens the system by reducing personal income taxes while
Social Security System (SSS), which is an important broadening the tax base. The resulting increase
institution in building resilience. It also provides in revenues allowed for the expansion of
economic support to workers who have been infrastructure and social services budget. Various
involuntarily displaced. expenditure management reforms have also
been introduced to address underspending while
The creation of the Department of Human ensuring the effective and efficient delivery of
Settlements and Urban Development (DHSUD) public services. These reforms were instrumental
reorients housing policies and programs towards in improving the country’s credit rating to BBB+,
building communities, in addition to building the highest rating it has achieved so far. In turn,
houses. These policies and programs must now this has enabled the government to mobilize
consider resiliency and sustainability conditions. resources for a massive social assistance package
during the COVID-19 pandemic.

The new normal will definitely require innovative The signing and subsequent ratification of the
ways of production, socialization, consumption, Bangsamoro Organic Law marks a historic and

10 | Updated Philippine Development Plan 2017-2022


significant milestone in the decades-long struggle Conservation Act establishes a framework
for self-governance and peace in Mindanao. for institutionalizing energy efficiency and
This has paved the way for lasting peace, which is conservation, and promoting the use of energy-
an essential pre-condition for building resilience. efficient technologies. All these are important in
encouraging investments in the new normal which
The government has embarked on the Build Build may require more geographically-dispersed areas
Build (BBB) program, which is an ambitious of production, including home-based production.
infrastructure program that increases spending
for infrastructure from 4 percent of gross The Free Internet in Public Places Act aims to
domestic product (GDP) in 2016, based on actual provide free, secure, and reliable internet service
disbursement, to 5.5 percent in 2021, and 4.3 in public places across the country. Prior to this,
percent in 2022. the National Broadband Plan (NBP) was
approved in 2017, which called for the government
A National Transport Policy (NTP), together to also initiate investments in broadband
with its implementing rules and regulations (IRR), infrastructure to complement private sector efforts
has also been adopted. Among others, the policy in the delivery of universal, fast, reliable broadband
prioritizes the movement of people, rather than internet services towards a digital economy.
of vehicles, and provides the basis for offering These are critical initiatives to bridge the digital
alternative means of mobility. divide in order to ensure that no one is left behind
even while we transition to the new normal.
In the energy sector, reforms have been
enacted to encourage investments and reduce The current pandemic has demonstrated the link
the electricity bills of consumers. To facilitate between ecological integrity and human health—
the processing of investment applications in from the need for better ventilation and sunlight,
the energy sector, EO 30, s. 2017 was created. to ensuring that human activities do not encroach
Another law, the Energy Virtual One-Stop Act, on animal habitats (as a means of preventing
was created to simplify and speed up permitting zoonotic diseases). The Expanded National
processes for new power generation, transmission, Integrated Protected Areas System (ENIPAS)
and distribution projects. The Murang Kuryente Act expands the coverage of the country’s national
Act was enacted in 2019 to help reduce consumers’ protected areas (3.1 million hectares), strengthens
monthly electricity bills and strengthen consumer institutional arrangements for the management of
welfare protection through the utilization of the protected areas, and streamlines the process for
government’s share from the Malampaya Fund accessing the Integrated Protected Area Fund
to pay for the National Power Corporation’s (IPAF) for additional financial resources and
(NPC) stranded contract costs and stranded economic opportunities in the sites.
debts. Furthermore, the Energy Efficiency and

Results Delivered
In addition to the reforms instituted, the Duterte competitive knowledge economy. Table 1.1 shows
administration has committed to a set of targets the headline outcome indicators, the targets, and
that indicate progress towards inclusive growth, the accomplishments during the first three years of
a high-trust and resilient society, and a globally- the administration.

Chapter 1 Overview | 11
Table 1.1 PDP 2017-2022 Headline Indicators: Targets vs. Accomplishments, 2017-2019

PLAN TARGETS ACCOMPLISHMENTS


BASELINE VALUE
INDICATOR
(YEAR) 2017 2018 2019 2017 2018 2019

GDP (growth rates [g.r.]) 7.1


6.5- 7.5 7.0- 8.0 7.0- 8.0 6.9 6.3 6.1
sustained (2016)r

Gross National Income


4.5
(GNI) per capita (g.r.) 4.5 5.0 5.0 5.2 4.3 3.9
(2015)
increased

Poverty Incidence 23.5


- 17.3-19.3 - N/A 16.7 N/A
(% of Population) reduced (2015)r

Rural Poverty Incidence 34.0


- 25.6 - N/A 24.5 N/A
(%) reduced (2015)r

Subsistence Incidence 9.1


- 6.8 - N/A 5.2 N/A
(%) reduced (2015)r

Food Inflation (%) 1.7


2.0 - 4.0 2.0 - 4.0 2.0 - 4.0 3.2 6.6 1.8
kept stable (2016)a

Human Development Index 0.701


Increasing Increasing Increasing 0.708 0.711 0.718
(HDI) improved (2015)

Unemployment Rate 5.4


5.1-5.4 4.7-5.3 4.3-5.3 5.7 5.3 5.1
(%) decreased (2016)r

Employment Generated n.a. 900,000- 900,000- 900,000-


-664,000 823,000 1.27 Mn
increased (2016) 1.1 Mn 1.1 Mn 1.1 Mn

Youth Unemployment Rate 11.5


11.0 10.4 9.8 11.9 13.3 12.9
(%) decreased (Oct 2016)

Underemployment Rate in
19.7
areas outside NCR 18.3-20.3 17.8-19.8 17.4-19.4 17.1 17.7 15.1
(2016)
(%) decreased

54 out
Global Innovation Index 74 out of 128 73 out of 127 73 out of 126
Increasing Increasing Increasing of 129
(GII) (rank) improved economies (2016) economies economies
economies

Note: r – revised; a – adjusted original target set in 2016 will be retained

On accelerating economic growth. GDP grew by On improving employment numbers. The


6.9 percent in 2017, well within the target growth Duterte administration has delivered on its
rate for the year. Consequently, GNI per capita rose promise of improving employment numbers. In
by 5.2 percent on the same year. Beginning 2018, 2017, unemployment rate increased, but has since
the target was to grow between 7 and 8 percent. declined. In 2018, unemployment rate is estimated
However, the country’s GDP growth moderated to at 5.3 percent; in 2019, it went down further to 5.1
6.3 percent in 2018, and 6.0 percent in 2019. This percent, both within target.
was due to global headwinds marked by increased
tendencies towards protectionism, especially The net job loss in 2017 can be explained by the
coming from the developed economies. The higher school participation rate among the youth
reenacted budget in 2019 also contributed to the aged 15-24 years, resulting from the required
less-than-targeted economic growth. additional two years of basic education and
further encouraged by the tuition fee assistance

12 | Updated Philippine Development Plan 2017-2022


for higher education. This also explains the increase in 2018, while rural poverty incidence declined
in youth unemployment rate from 11.9 percent dramatically from 34.0 percent in 2015 to 24.5
in 2017 to 13.3 percent in 2018. This, however, percent in 2018.
improved to 12.9 percent in 2019.
The reduction in poverty incidence in 2018 was
In 2018, net jobs generated reached almost achieved despite the high food inflation. This
900,000. This further increased to 1.27 million was because of the higher number of paid jobs
in 2019, which is more than the target, as the generated and a deliberate effort to cushion the
BBB program implementation gained traction. poor from the adverse, though temporary, effects
of the TRAIN law and infrastructure program.
Underemployment rate in areas outside the This was done by providing transfers to low-
National Capital Region (AONCR) reflected the income families (estimated at 10 million) through
increase in full-time jobs outside Metro Manila. the Unconditional Cash Transfer (UCT) program,
This remained within target, at 17.1 percent and which has been implemented for three years. In
15.1 percent in 2017 and 2019, respectively. addition, the HDI was estimated by the United
Nations Development Programme (UNDP) to
On ensuring that economic growth benefits the have increased from 0.699 to 0.712. This marks the
poor. Food inflation rate remained low in 2017 at first time that the country joined the category of
3.2 percent, but escalated to 6.6 percent in 2018 high-level HDI.
due to the mismanagement of the country’s rice
supply. Food inflation then dropped to 1.8 percent From a baseline ranking of 74 (out of 128
in 2019, primarily due to the implementation of the economies) in 2016 according to the GII, the
RTL. country jumped to rank 54 (out of 129 economies)
in 2019. The country is considered as among the
What would be considered a significant innovation achievers, having scored above average
accomplishment of the Duterte administration in most innovation dimensions relative to other
is the rapid decline in overall and rural poverty lower middle-income countries.
incidence beyond targets. Overall poverty incidence
declined from 23.5 percent in 2015 to 16.7 percent

Directive for the Next Two Years:


Focus on Recovery and Resilience
Further demonstrating the resolve to enable and Social Amelioration Program (SAP), respectively.
empower every Filipino to achieve his or her Meanwhile, the Small Business Wage Subsidy
Ambisyon, the government has implemented (SBWS) program benefitted 2.1 million workers
two major initiatives: Bayanihan to Heal as One employed by small businesses that were adversely
(Bayanihan 1) and Bayanihan to Recover as One affected by quarantine restrictions.
(Bayanihan 2).
Bayanihan 2 will sustain the efforts to improve
Bayanihan 1 provided funds to address the health system capacity, particularly on contact
requirements of COVID-19 for tracing, testing, and tracing, testing, and isolation protocols. It will also
treatment while assisting low-income families and provide financial assistance to the sectors that were
returning OFs who were economically displaced adversely affected by the pandemic – transportation,
because of the quarantine restrictions. Some tourism, education, and micro, small, and medium
17.6 million and 14 million low-income families enterprises (MSMEs). Assistance will also be given
received the first and second tranches of the to the agriculture sector, in the form of credit, farm

Chapter 1 Overview | 13
inputs, and training, and skills training, particularly To sustain this, the PDP has been updated to focus
on digital skills, to the displaced workers. Both its strategies towards having a healthy and resilient
initiatives include provisions to build resilience. Philippines while facilitating economic recovery
(see Figure 1.3).

Figure 1.3 Strategic Framework of the Updated PDP 2017-2022

The updated PDP presents a comprehensive These are integrated into the previous strategies,
environmental scan of the political, economic, as will be discussed in Chapter 4.
social, technological, ecological, and legal
dimensions under the new normal (Chapter 2). Health system improvement. The UHC Act
provides a comprehensive framework for health
The National Spatial Strategy (Chapter 3) is also system improvement. The reform calls for a
updated to meet the demands of the new normal. paradigm shift in the provision of care, from
being fragmented and facility-based, to having
Moreover, this updated PDP contains five major a network of care with primary care facilities
programs designed to build the resilience of acting as the gatekeeper. The lessons from
individuals, families, businesses, government, and the COVID-19 pandemic would then add
society under the new normal: (1) health system strengthening of health care outreach services and
improvement, (2) food security and resiliency, even home-based care. Health promotion also needs
(3) learning continuity, (4) digital transformation, to be a prominent feature of health care. More
and (5) regional development through the Balik importantly, there needs to be a careful assessment
Probinsya Bagong Pag-asa Program (BP2). of the current state of health care promotion and

14 | Updated Philippine Development Plan 2017-2022


provision in the country, and a plan and investment In parallel, government will ensure the safety and
program over the medium-term on how to improve security of digital transactions, including digital
it to become better prepared for any future health payments. The framework for consumer protection
crisis, which we hope does not come. will also be reviewed to encompass the new normal
way of transacting.
Food security and resiliency. Food security is about
access to safe and affordable food at all times. Regional development. While this has been the
Food resiliency is having food security during goal of the original PDP, the COVID-19 pandemic
times of crises or emergencies. During the has made regional development an urgent matter.
imposition of the enhanced community quarantine We have seen that the virus could be transmitted
(ECQ), data shows that while 86 percent of farmers rapidly in densely-populated areas. This has
were able to continue their agricultural work, only highlighted the need to have well-ventilated
65 percent were able to sell their produce. On living quarters, workspaces, and public spaces.
the other hand, people in the cities found it very It is also important to have more green outdoor
difficult to access fresh produce. Over the next two public spaces.
years, policies and programs will be guided by a
food value chain approach – from farm to plate. A major initiative to decongest urban areas is
In addition to programs to improve agricultural the BP2. The program encourages Metro Manila
productivity, there will be investments in storage residents, especially informal settlers, to return to
facilities, post-harvest, cold chain, and even their home provinces. BP2 will provide assistance for
technologies that prolong the shelf-life of food. transportation expenses, livelihood, housing, and
Urban residents also need to attain some level of education, among others. Over the medium-term,
food sufficiency. there will be various investments in infrastructure,
agriculture, business, transportation, and access to
Learning continuity. The big challenge under the health care. These investments will reduce inequality
new normal is to build 21st century knowledge, in the quality of life across the various regions.
skills, and competencies in a way that is safe for
learners and teachers as even modern pedagogical We have also seen the benefits of having well-
approaches are centered around participation, planned communities where people’s places of
teamwork, and collaboration. Added to this is the residence are close to where they work, where
problem of the digital divide that, if not addressed, there is nearby access to health care facilities and
will translate to inequality in access to education food, and so on. All these underscore a need
and may even worsen inequality in the longer to review the different Comprehensive Land
term. Education sector agencies will thus design Use Plans (CLUPs) and local development
inclusive mechanisms that deliver quality education. plans. At the same time, disaster risk reduction
Lifelong learning will remain a priority strategy, and management (DRRM) plans need to
but especially focusing on digital skills training. be revised to include the occurrence of
pandemics in the whole framework.
Digital transformation. Government will
accelerate its digital transformation agenda, The BBB program will remain a major strategy
beginning with the implementation of the National for economic recovery. The list of infrastructure
Broadband Plan (NBP) and the Free Wi-Fi program. flagship projects (IFP) has recently been
More government transactions will be enabled updated considering the new priorities listed
using the digital platform. Similarly, there will above. The foundational role of infrastructure
be technical and financial assistance programs to development in achieving the goal of having a
help businesses, especially MSMEs, to transition healthy and resilient Philippines is recognized. At
towards greater digitalization. the same time, the employment to be generated
by the implementation of BBB projects will be
instrumental in accelerating economic recovery.

Chapter 1 Overview | 15
Enact the Remaining Reforms
To ease financial capital demonstrated that there are limits to the country’s
infrastructure and investment capacities. Moreover,
constraints resulting from these limits may be due to restrictive policies
the pandemic that limited the entry of FDIs. Some of these
restrictions can be addressed by amending laws or
regulations such as the PSA, FIA, and the RTLA.
The restrictions on mobility and business
operations that were imposed to prevent the The CREATE will usher in a more competitive
spread of COVID-19 while health systems were tax and incentive regime for businesses –
being improved exacted pressure on the cash flow corporate income tax rate will be reduced
and financial position of businesses and families. (by 10 percentage points [ppts] for small businesses
An online survey conducted by NEDA in early and by 5 ppts for all others). The incentive
April 2020, three weeks into the imposition of ECQ structure can be nuanced depending on the type
in Luzon and other regions of the country, show of investment, location, and subject to agreed
that while about two-thirds of businesses did not performance targets. CREATE is expected to
operate during the ECQ, more than three-fourths encourage investments in strategic industries
continued to pay wages to their pre-ECQ pool of that are especially needed by the country to
workers. This cash flow problem could negatively build resilience.
affect significant portions of the business sector,
as payments to suppliers were being deferred, With respect to infrastructure provision, public-
and ultimately to financial institutions, as loan private partnerships (PPP) will remain an option
repayments were being postponed. This could lead to address infrastructure gaps in various social and
to a rise in nonperforming loans and a heightened economic sectors, while still recovering from the
reluctance of banks to extend credit. If the situation economic shock due to COVID-19.
is prolonged, this will delay economic recovery.

Two important pieces of legislation are being To ease human capital


proposed to address the aforementioned problem:
(a) the FIST bill, which seeks to create special
constraints
purpose vehicles to help financial institutions offload
their COVID-19-induced non-performing assets In addition to attracting additional external
and (b) the GUIDE, which creates a special investments, it is important to begin developing
investment vehicle that would infuse capital into the country’s knowledge economy. Related to this,
key enterprises while preserving employment (and the Philippines needs to improve its capacity for
talents) therein. intellectual property rights protection. In the next
two years, increasing knowledge and improving
the knowledge ecosystem to improve health
and building resilience should be prioritized to
To increase strategic improve education and health outcomes.
investments, including Foreign
Direct Investments (FDIs)

While the accomplishments with respect to


social, economic, and environmental outcomes
have been impressive, the past three years has

16 | Updated Philippine Development Plan 2017-2022


To improve governance over To improve the governance
the management of resources over the environment

As population increases, as the economy grows, and The more robust way to address environmental
as growth centers expand, there will be greater and degradation is to effect behavioral change. This
competing demand for land resources. A national becomes even more important as we see the
land use framework needs to be established to close links between human health and quality
define the indicative priorities for land utilization of the environment. To this end, NEDA has
and allocation across residential, infrastructure, formulated the Philippine Action Plan for
agricultural, and protective uses. The framework Sustainable Consumption and Production which
will also guide efforts, monitor developments consists of a package of actions with respect to
related to land use, and evolve policies, regulations, policy and regulation, research and innovation,
and directions of land use planning processes. infrastructure, and education and promotion.
It also encompasses the issues of waste
Another critical concern today, which is bound management, sustainable business and lifestyles,
to worsen over the immediate future, is the and efficient use of resources.
access to and quality of water supply. The NCR
and CALABARZON (Cavite, Laguna Batangas,
Rizal, and Quezon) are already under a state of To expand market linkages
absolute water scarcity; Ilocos Region, Central for MSMEs
Luzon, and Bicol Region are under water scarcity;
and MIMAROPA (Mindoro, Marinduque,
Romblon, and Palawan) and Central Visayas As MSMEs are encouraged to innovate and
are under water stress. New sources of drinking participate in the global market, they need to
water need to be developed. Equally important comply with international quality standards.
is to institute governance reforms in the sector, Currently, the need is to develop the personal
where the institutional set-up is weak and protective equipment (PPE) ecosystem to afford
fragmented. There is a need to create an apex the country’s health care system a reasonable level
body that will act as the single lead agency to of security over the supply of PPEs. Prescribing the
oversee/coordinate overall policy and project/ country’s National Quality Infrastructure covering
program implementation. The creation of a Water standardization, metrology, testing analysis, quality
Regulatory Commission is also proposed to management, certification, and accreditation
harmonize regulatory practices, processes, and fees is an important step to gain access to markets,
in the water sector. especially global markets. Beyond harmonized
rules and procedures, the testing laboratories need
to be strategically dispersed across the country
to provide MSMEs easy access to the facility.

Keeping the Long View


We now realize that twenty years until 2040 is a In the remaining Plan period, the Duterte
long time and many challenges may come at any administration is renewing its commitment to
time and place obstacles along the way. COVID-19 enable and empower every Filipino to enjoy each
may just be one of these. It is important to quickly and every one of his or her aspirations—a matatag,
recover lost ground, ensure sustainability of the maginhawa, at panatag na buhay.
gains by building resilience, then get back on track
towards AmBisyon Natin 2040.

Chapter 1 Overview | 17
02
Global and
Regional Trends
and Prospects
CHAPTER 2

Global and Regional Trends


and Prospects
While some of the trends identified three years ago remain relevant, the COVID-19 pandemic
is expected to exert an unprecedented impact on global and regional developments over the
next few years. The Philippines will have to nimbly maneuver through the following health,
environmental, economic, social, political, and technological trends as it pursues development
towards a healthy and resilient Philippines.

Health and Environmental Trends


The COVID-19 pandemic high, and collectively these two regions contribute
over half of new cases and deaths observed globally.
New cases are driven mainly by France, United
Since it was first reported in China in December Kingdom, Spain, Italy, Russia, Czechia, Germany,
2019, confirmed cases of COVID-19, caused by the Poland, and Netherlands in Europe; United States of
novel coronavirus SARS-CoV-2, have exceeded 42 America, Brazil, Argentina, Colombia, and Mexico
million individuals in over 200 countries, leading in the Americas; India, Indonesia, and Nepal in
to over 1.1 million deaths over a period of 11 Southeast Asia; Iran, Iraq, and Morocco in Eastern
months.1 Some estimates, based on serosurveys, Mediterranean; Philippines in the Western Pacific;
indicate that the actual number of infections could and South Africa in Africa.4
be 7 to 27 times larger than the confirmed cases.
Similarly, the number of deaths may be double the The majority of countries in Africa, Eastern
official estimate.2 In any case, early results from Mediterranean, Europe, and the Americas continue
seroepidemiologic studies indicate that in most to report community transmission of COVID-19. In
cases, less than 10 percent of the population have contrast, most countries in Southeast Asia and the
been infected with COVID-19, likely far below the Western Pacific are reporting only either clusters of
level that would confer herd immunity.3 cases, sporadic cases, or even no active cases. Only
four countries (Bangladesh, Indonesia, Philippines,
As of late October 2020, a rapid rise in cases and and Papua New Guinea) in the two regions are still
deaths was reported in Europe. More gradual uptick reporting community transmission.
was also observed in Africa, Eastern-Mediterranean,
and Western Pacific regions. Declines continued to Despite the overall uptrend in cases, incidence of
be reported in the Americas and Southeast Asia, deaths has remained relatively stable, possibly due
although the incidence of new infections remains to better case management. The results of several

1
World Health Organization (WHO), “Coronavirus Disease (COVID-19),” WHO Website, October 12, 2020.
2
The Economist, “The Covid-19 Pandemic is Worse than Official Figures Show,” September 26, 2020.
3
WHO, “COVID-19: Serology, Antibodies and Immunity,” WHO Website, December 31, 2020.
4
WHO, “COVID-19 Weekly Epidemiological Update,” WHO Website, October 18, 2020.

Chapter 2 Global and Regional Trends and Prospects | 21


clinical trials for other novel and repurposed efforts to equitably distribute 2 billion vaccine doses
therapies are expected in the last quarter of 2020 by 2021 to immunize health care workers and the
and first quarter of 2021. At the same time, the vulnerable.13 However, as of late September, less
long-term impact of the disease is still not well than 7 percent of the USD38 billion total funding
understood. To improve detection, World Health needed, has been pledged.
Organization is evaluating over 50 diagnostic tests,
including several potentially game-changing rapid The COVID-19 pandemic is a stark reminder of
diagnostic tests.5 the rising risks from infectious disease outbreaks.
Between 2011 and 2018, WHO tracked 1,483
As of mid-October 2020, there are around epidemic events in 172 countries. Climate change,
200 candidate vaccines, 44 of which are now urbanization, and the lack of water and sanitation
undergoing human trials, while 10 have reached are all factors that contribute to fast-spreading,
Phase 3 trials of safety and efficacy.6 Some of the catastrophic outbreaks. Antimicrobial Resistance
leading trials may report results in the last quarter (AMR) also poses a significant and growing threat.
of 2020.7 The Philippines is participating in the The Global Preparedness Monitoring Board had
WHO Solidarity Vaccine Trials, with 12 hospitals previously warned that the world is not prepared
around the country designated as trial sites. Aside for a fast-moving, virulent respiratory pathogen
from these, the country is also studying results of pandemic. Previous World Bank (WB) and WHO
clinical trials of vaccines from six companies from analyses indicate that most countries would need
China, Russia, Australia, and Taiwan.8 Phase 3 to spend on average between USD1 to 2 per person
vaccine clinical trials are set to begin in November per year to reach an acceptable level of pandemic
20209 (see Chapters 10, 11, and 14 for additional preparedness.14 (Improvements in the Philippines’
information). health care system are discussed in Chapters 1, 4, and
10)
Global production capacity is estimated at 1 billion
doses by end-2020, rising to an estimated 8 billion
by end-2021.10 Other estimates note that while there Climate change
is a high probability that at least one vaccine will be
approved by 2021, it will likely take over a year to Human activities are estimated to have resulted
produce enough doses for healthcare professionals in a 1.0 degree Celsius (°C) global warming above
worldwide, and that it could take at least until pre-industrial levels. If it continues to increase at
2023 before there are enough doses to cover current rate, the world is expected to be warmer by
most of the world population.11, 12 An important 1.5°C between 2030 and 2052. In such a scenario,
challenge therefore is ensuring equitable access warming of extreme temperatures in many regions;
to vaccines, therapeutics, diagnostics, and other increases in frequency, intensity, and/or amount
essential products (including personal protective of heavy precipitation in several regions; and an
equipment and oxygen). WHO is coordinating increase in intensity or frequency of droughts in

5 WHO, ACT-Accelerator Status Report & Plan, September 2020 – December 2021, WHO Website, September 25, 2020.
6
WHO, “Draft landscape of COVID-19 candidate vaccines,” WHO Website, October 19, 2020.
⁷ WHO, “COVID-19: Serology, Antibodies and Immunity.”
⁸ Department of Science and Technology, “DOST Prepares for WHO Solidarity Trials,” Press Release, October 9, 2020.
⁹ Department of Health, “DOST-led Sub-TWG on Vaccine Dev’t Gears Up for Vaccine Trials in the Philippines,” Press Release, October 10, 2020.
10
World Bank (WB). “From Containment to Recovery: Economic Update for East Asia and the Pacific, October 2020.”
11
Center for Global Development, “COVID-19 Vaccine Predictions: Using Mathematical Modelling and Expert Opinions to Estimate Timelines
and Probabilities of Success of COVID-19 Vaccines,” CGD Policy Paper 183, October 2020.
12
Stephanie Findlay and Anna Gross, “Not Enough Covid Vaccine for All until 2024, Says Biggest Producer,” Financial Times, September 14, 2020.
13
WHO, ACT-Accelerator Status Report.
14
Global Preparedness Monitoring Board, A World at Risk: Annual Report on Global Preparedness for Health Emergencies, World Health
Organization, September 19, 2019.

22 | Updated Philippine Development Plan 2017-2022


some regions are expected. The number of hot days Countries in the tropics and Southern Hemisphere
is projected to increase in most land regions, with subtropics are projected to experience the largest
highest increases in the tropics.15 impacts on economic growth due to climate change
should global warming increase from 1.5°C to 2°C.
Global emissions are reaching record levels and Indeed, the WB and Climate Analytics have cited the
show no sign of peaking. The last four years have Philippines as one of the countries most vulnerable
been the hottest on record, and winter temperatures to climate change with its high exposure to extreme
in the Arctic have risen by 3°C since 1990. In weather events and long coastlines subject to
effect, sea levels are rising, coral reefs are dying, rising sea levels.18 The Department of Science and
air is becoming more polluted, and there are more Technology-Philippine Atmospheric, Geophysical
heatwaves and risks to food security.16 and Astronomical Services Administration (DOST-
PAGASA) reported a warming of an average rate
The Intergovernmental Panel on Climate Change of 0.1°C per decade and will continue to increase
(IPCC) projects that global mean sea level will rise in the future. Projection shows that the country
to 0.26 meters to 0.77 meters with global warming will experience an average temperate increase by
of 1.5°C by 2100. Sea level will continue to rise well as much as 0.9°C to 1.9°C in a moderate emission
beyond 2100, and the magnitude and rate of this scenario and 1.2°C to 2.3°C in a high emission
rise depend on future emission pathways.17 scenario in 2036 to 2065. By the end of 21st century,
this increase could range from 2.5°C to 4.1°C if
The IPCC also expects that “global warming of 1.5°C there is no concerted effort to cut greenhouse gas
will shift many marine species to higher latitudes and emissions19 (see Chapters 3, 18, 19, and 20).
worsen the damage to many ecosystems. Furthermore,
the loss of coastal resources will increase, while the The United Nations (UN) IPCC also projects
productivity of fisheries and aquaculture will be that risks from some vector-borne diseases, such
reduced. For example, coral reefs are seen to decline as malaria and dengue fever, will increase with
by a further 70 percent to 90 percent.” warming from 1.5°C to 2°C.

Economic Trends
Weaker economic outlook global economy into a recession in 2020, shrinking
by -4.4 percent. After rebounding by 5.2 percent in
amid COVID-19 and the 2021, global growth is expected to gradually slow
great lockdown down again to about 3.5 percent in the medium-
term.20 Most countries in the region are expected
After relatively weak global growth in the past to contract, with the notable exception of China.
three years, the International Monetary Fund Within the ASEAN-5, only Vietnam is expected to
(IMF) projects that the pandemic and resulting post positive growth. Malaysia and Indonesia’s GDP
restrictions in economic activities will push the are expected to recover to pre-pandemic levels by
2021, while Thailand and the Philippines will do so

15
United Nations Intergovernmental Panel on Climate Change (UN-IPCC), Special Report: Global Warming of 1.5C, World Meteorological
Organization, Geneva, 2018.
16
UN, “2019 Climate Action Summit,” United Nations, 2019.
17
UN-IPCC, Global Warming of 1.5C.
18
Climate Analytics, “Country Profile: Philippines. Decarbonising South and South East Asia,” May 2019.
19
Philippine Atmospheric, Geophysical, and Astronomical Services Administration, “Climate Change in the Philippines,” DOST-PAGASA, 2018.
20
IMF, “World Economic Outlook,” October 2020.

Chapter 2 Global and Regional Trends and Prospects | 23


only by 2022.21 (The impact of the pandemic on the as governments take on higher fiscal spending/
Philippines’ growth prospects are discussed further in debt and as financial markets diverge from the
Chapter 4) real economy, destabilizing policy and geopolitical
developments (e.g., Brexit, Hong Kong, North
While oil prices are expected to pick up after Korea, and China-India conflict), trade war
dipping in 2020, the IMF now expects it to remain escalation and uncertainty, renewed stress towards
below USD60 even by 2025, amid subdued financially vulnerable countries, and sharper-than-
aggregate demand. Downside risks abound expected slowdown in key economies (i.e., China
from the following: multiple waves of COVID-19 and European Union [EU]). Upside risks include
pandemic outbreaks, slower than expected recovery supply shocks from geopolitical tensions (e.g., Saudi
as lockdowns are gradually lifted and consumers Arabia Oil Tanker Attack).
adapt to ‘new normal,’ potential financial crises

Figure 2.1 GDP Growth

Source: IMF World Economic Outlook, October 2020

Slower global trade amid shifts slowing to less than 1 percent in 2019. However,
with the pandemic, the IMF projects that global
in supply chains and rising trade will shrink by 8 percent in 2020, before
protectionism recovering by 7.9 percent in 2021, and gradually
easing to 3.5 percent in the medium-term.22 For
Global trade experienced strong growth in 2017 the ASEAN-5, the average decline in exports is 7.4
to 2018 at an average of 4.5 percent growth, before percent in 2020, before recovering by 12.2 percent
in 2021. For 2020, a double-digit decline is expected

21
The IMF baseline projection assumes that social distancing will continue into 2021 but will subsequently fade over time as vaccine coverage
expands and therapies improve. Local transmission is assumed to be brought to low levels everywhere by the end of 2022.
22
IMF, World Economic Outlook database, October 2020, Raw data.

24 | Updated Philippine Development Plan 2017-2022


in Indonesia, Malaysia, and the Philippines, with a The pandemic is also expected to have a sharp and
full recovery expected only by 2022 for Malaysia, prolonged impact on services trade, particularly on
Thailand, and the Philippines. Slowing global trade travel and tourism. International travel restrictions,
is compounded by weaker external demand, terms- together with consumers’ fear of exposure to the
of-trade losses, and supply chain disruptions (e.g., virus, are likely to subdue tourism activity. The
due to production restrictions or border delays). International Air Transport Association (IATA)
Indeed, the World Trade Organization (WTO) projects air transport demand to decline by over
notes that sectors with more complex value chains23 66 percent in 2020, and that it may take some
as well as services trade will be most affected by the 5 years for passenger demand to return to pre-
COVID-19 pandemic. COVID levels.25 Similarly, the UN World Tourism
Organization expects tourism arrival declines of 58
The slowdown in trade is happening amidst rising to 78 percent for 2020, with full recovery possibly
protectionist tendencies over the past decade. by 2024.26 (Strategies to address the impact of the
Trade restrictions by WTO members have reached pandemic on Philippines’ goods and services trade are
historic highs. The stockpile of import restrictions discussed in Chapter 9)
implemented since 2009, and still in force, is
estimated to affect around USD1.7 trillion or 8.7
percent of world imports.24 While trade facilitation Global investment flows to
measures have likewise been introduced, these have remain below pre-pandemic
been outpaced by restrictive measures.
levels
Given the pandemic, there may be some shifts
in supply chains with rising political pressure to After fully recovering and peaking at USD2 trillion
re-shore production to reduce perceived in 2015, global foreign direct investment (FDI)
vulnerabilities from reliance on foreign producers. has been declining again, reaching USD1.3 trillion
Firms may also reconfigure their global production in 2018 and USD1.5 trillion in 2019, with the
networks to manage the risks of production contraction mostly coming from US multinationals
disruptions better. The pandemic may also induce repatriating earnings from abroad due to policy-
protectionist measures to shield local firms given driven tax reforms.27
weakening local economies or limit exports given
domestic needs. In contrast, FDI inflows to developing Asia have
been broadly steady, with a minimal decline of 5
Over a period of seven months to mid-May 2020, percent to USD474 billion in 2019.28 For ASEAN-5,
WTO members implemented 363 new trade and FDI inflows actually increased by around 30 percent
trade-related measures, 256 of which (about 71%) between 2015 and 2018, exceeding inflows to China
were linked to the pandemic. Of the pandemic- in the last three years.
related measures, 47 facilitated trade and 109
restricted trade. Some of the export restrictions on Given the pandemic, UN forecasts that global FDI
surgical masks, gloves, medicine, and disinfectant flows will fall by 40 percent bringing FDI to USD1
have started to be eased during the latter part of the trillion in 2020. From there, FDI is projected to
period though. further decrease by 5 percent to 10 percent in 2021.

23
World Trade Organization (WTO), “Trade Set to Plunge as COVID-19 Pandemic Upends Global Economy,” Trade Statistics and Outlook, Press
Release, April 8, 2020.
24
WTO, Report to the TPRB from the Director-General on Trade-Related Developments, July 10, 2020.
25
International Air Transport Association (IATA), “June Data and Revised Air Travel Outlook,” July 28, 2020; Brian Pearce, Downgrade for Global
Air Travel Outlook, IATA, September 29, 2020.
26
UN World Tourism Organization, “UNWTO World Tourism Barometer and Statistical Annex, August/September 2020,” UNWTO World
Tourism Barometer 18, no. 5 (2020): 1-36.
27
United Nations Conference on Trade and Development (UNCTAD), “Global Foreign Direct Investment Slides for Third Consecutive Year,” June
12, 2019.
28
  UNCTAD, “World Investment Report 2020,” June 16, 2020.

Chapter 2 Global and Regional Trends and Prospects | 25


Despite a potential initial rebound in 2022, FDI Sovereign debt levels to rise
flows are not expected to return to pre-COVID
levels. For developing Asia, FDI is projected to fall significantly
by 30 percent to 45 percent in 2020. The pandemic
is expected to accelerate pre-existing trends As economies slow down, revenue collections
towards rationalization of international operations, are expected to fall. Together with an increase in
reshoring, nearshoring, and regionalization.29 spending in response to the crisis, the IMF expects
(Strategies to address the impact of the pandemic budget deficits and sovereign debt-to-GDP ratios
on FDI flows into the Philippines are discussed in to increase over the medium-term. In advanced
Chapter 9) economies, government debt is projected to rise by
about 20 percentage points (ppts) to 124 percent
of GDP by the end of 2022. Over the same period,
sovereign debt in emerging markets and developing
Asia is projected to rise by more than 17 ppts to
about 70 percent of GDP. For the ASEAN-5, a 12
ppts increase to over 50 percent of GDP is projected
over the period. (Strategies to address the impact
of the pandemic on Philippines’ fiscal position and
public debt are discussed in Chapter 15)

Figure 2.2 General Government Gross Debt (% of GDP)

Source: IMF World Economic Outlook, October 2020

  UNCTAD, “World Investment Report 2020.”


29

26 | Updated Philippine Development Plan 2017-2022


Broad-based monetary worth USD3.8 trillion so far in 2020, helping yields
on long-term government debt remain close to zero
easing bias despite the increased deficit and debt levels.30

Over the past three years, central banks across both In fact, interest rates are projected to fall further. In
developed and emerging markets have largely taken turn, borrowing rates that stay lower for longer will
an accommodative monetary policy stance given help cushion the expected increase in debt burdens31
slowing global growth and subdued inflation. Amid as a result of similarly expansive fiscal policy.
the COVID-19 pandemic, countries across the (Strategies to address the impact of the pandemic on
globe are further easing monetary policy to support the Philippines’ monetary and financial sectors are
growth. By some estimates, the US, UK, Japan, and discussed in Chapter 15)
the Euro Area, together, have injected liquidity

Political Trends
Rising populism, separatism, For the UK, an extended period of uncertainty is
likely even after Brexit. Apart from the economic
and geopolitical tensions fallout from leaving the EU, the UK may face
increasing internal pressure from rising separatist
The shift away from multilateralism, towards sentiments in certain areas. China and India face
populist and inward-looking policies has gathered similar challenges.32
steam and may persist over the next three years. This
shift has had a substantial impact on international Moreover, geopolitical tensions are on the rise
policy discussions in the areas of trade, migration, with North Korea missile talks and disputes over
environment, and security, among others. Iran’s nuclear program. This has increased global
uncertainty, dampened investor and business
In addition, the outcome of the elections in the US sentiment, and have consequently clouded the
is likely to have a significant impact on the direction outlook for global growth moving forward.
of its policies. That said, most political analysts (Strategies to address the impact of geopolitical
expect that tensions between the US and China tensions are discussed in Chapters 9 and 18)
are likely to persist given their growing rivalry in
various fields.

30
  The Economist, “The Eternal Zero,” October 8, 2020.
31
  Paul Dales and Neil Shearing, “Global State of Play,” Capital Economics Webinar, June 11, 2020.
32
  Gideon Rachman, “The Coming Surge of Separatism,” The Economist (The World in 2020).

Chapter 2 Global and Regional Trends and Prospects | 27


Social and Demographic Trends
33

Unemployment is expected The nearly simultaneous decline in economic


activities globally, though, is likely to subdue the
to remain elevated counter-cyclical tendency of remittance flows in the
short term.
With the contraction in economic activities, the
IMF expects unemployment rates to increase and Nonetheless, over the long term, the main drivers
remain elevated over the next three years across of migration – diverging demographic trends and
both advanced and emerging market economies. In the related wide gap in wages and incomes – are
the USA and Euro area, unemployment is projected unlikely to change significantly.
to rise to 8.9 percent in 2020, before easing to 5.7
percent in 2022 for the USA. For the Euro area, it will International migration has become a major factor of
increase further to 9.1 percent in 2021 before easing population dynamics. Europe and North America,
to 8.4 percent in 2022. Unemployment rates in Australia and New Zealand, and Western Asia have
several emerging market economies are projected to experienced net inflows of international migrants.
increase significantly this year. The main exception On the other hand, Central and Southern Asia,
seems to be China and Thailand. (The impact of Eastern and Southeastern Asia, Latin America, and
the pandemic on the Philippines’ labor markets are Sub-Saharan Africa have experienced net outflows
discussed further in Chapter 4. Strategies to address of migrants over the past two decades.
the impact of the pandemic on the Philippines labor
markets are discussed in Chapter 10) The largest outflows are driven by demand for
migrant workers (such as from Bangladesh, Nepal,
and Philippines) or violence, insecurity, and armed
Migration and remittance conflict (such as Myanmar, Syria, and Venezuela).

flows are expected to decline Belarus, Estonia, Germany, Hungary, Italy, Japan,
sharply in the medium-term, the Russian Federation, Serbia, and Ukraine will
experience a net inflow of migrants over the next
but long-term factors are likely decade, helping to offset population losses caused by
to persist an excess of deaths over births. (Strategies to address
the impact of the pandemic on migrant Filipinos are
discussed in Chapter 21)
The WB projects global remittances to decline
by 20 percent in 2020. Remittance flows are
expected to fall across all regions, most notably
in Europe and Central Asia (27.5%), followed by
Sub-Saharan Africa (23.1%), South Asia (22.1%),
the Middle East and North Africa (19.6%),
Latin America and the Caribbean (19.3%), and
East Asia and the Pacific (13.0%). In 2021, WB
estimates that remittances to low- and middle-
income countries will experience a weak recovery
of only 5.6 percent. Despite a sharp decline in
remittances early in the lockdown, there are some
signs of recovery.

  United Nations Department of Economic and Social Affairs (UNDESA), World Population Prospects 2019: Highlights, June 17, 2019.
33

28 | Updated Philippine Development Plan 2017-2022


Global demographic trends Ageing and shrinking
will remain broadly the same34 populations in some regions

The UN expects over 47 million women in 114 As a result, the old population is fast increasing.
low- and middle-income countries to lose access The UN also expects the share of the population
to modern contraceptives, some seven million who are over the age of 65 is expected to rise from
unintended pregnancies are projected to occur if 9 percent in 2019 to 16 percent by 2050. In line
the pandemic-induced lockdowns persist for six with this, working-age population has fallen in
months.35 Nevertheless, long-term demographic proportion, consequently putting pressure on social
trends are expected to remain broadly the same protection systems (health care, pensions, and
despite the pandemic. social protection).

The UN projects that global population will The speed of population aging is fastest in Eastern
increase by 2 billion persons in the next 30 years and South-Eastern Asia, particularly in South
from 7.7 billion in 2019. However, growth rates Korea, Singapore, Taiwan, Macao, Thailand, Hong
vary greatly across regions. Nine countries will Kong, and Brunei. These countries will experience
make up more than half the projected growth of an increase in the share of the older person by
the global population between now and 2050: between 16.5 ppts to 23.0 ppts.
India, Nigeria, Pakistan, Congo, Ethiopia, Tanzania,
Indonesia, Egypt, and the USA. Around 2027, India Since 2010, 27 countries or areas have experienced
is projected to overtake China as the world’s most a reduction of one percent or more in the size of
populous country. their populations. Per the UN, this drop is caused
by sustained low levels of fertility. The impact of low
Life expectancy at birth for the world’s population fertility on population size is reinforced in some
reached 72.6 years in 2019, an improvement of more locations by high rates of emigration. Between 2019
than eight years since 1990. Further improvements and 2050, populations are projected to decrease by
in survival are projected to result in an average one percent or more in 55 countries or areas, of
length of life globally of around 77.1 years in 2050. which 26 may see a reduction of at least 10 percent.
The largest relative reductions in population size
Global fertility rate fell from 3.2 births per woman over that period, with losses of around 20 percent
in 1990 to 2.5 in 2019. It is projected to decline or more, are expected in Lithuania, Bulgaria, Latvia,
further to 2.2 in 2050.36 (Demographic trends in the the Wallis and Futuna Islands, and Ukraine.
Philippines are further discussed in Chapters 3, 10,
and 13) Countries in the region that will see significant
declines in population between 2020 and 2050 are
Japan (-16%), South Korea (-9%), Taiwan (-6%),
Thailand (-6%), and China (-3%). In contrast, all
ASEAN member states, except Thailand, will have
increases in population led by the Philippines
(32%), followed by Cambodia and Lao People’s
Democratic Republic (at about 30%).

34
 UNDESA, World Population Prospects.
35
  United Nations Population Fund (UNFPA), Impact of the COVID-19 Pandemic on Family Planning and Ending Gender-based Violence, Female
Genital Mutilation and Child Marriage, UNFPA, April 2020.
36
  Fertility level of 2.1 births per woman is needed to ensure replacement of generations and avoid population decline over the long run in the
absence of migration.

Chapter 2 Global and Regional Trends and Prospects | 29


Figure 2.3 Change in Population (%), 2020-2050

Source: UNDESA

Demographic window is In Southeast Asia (SEA), UN Department


of Economic and Social Affairs (UNDESA)
opening for some regions projections37 indicate that the share of working-
age population in Brunei, Singapore, Thailand, and
In most of sub-Saharan Africa, and in parts of Vietnam will drop between 2020 and 2050. For the
Asia and Latin America and the Caribbean, recent rest of SEA, including the Philippines, it is expected
reductions in fertility have caused the number of to increase. Consequently, the total dependency
the working age group (25-64 years) to grow faster ratios38 for Brunei, Singapore, Thailand, and
than the rest. Vietnam will increase, while it is expected to decline
in the rest of SEA, including the Philippines, for the
same period. (Strategies to take advantage of the
Philippines’ demographic window are discussed in
Chapter 13)

 UNDESA, World Population Prospects 2019, Custom data.


37

  Ratio of population aged 0-24 and 65+ per 100 population aged 25-64.
38

30 | Updated Philippine Development Plan 2017-2022


Figure 2.4 Total Dependency Ratio

Total Dependency Ratio ((Age 0-24 + Age 65+) / Age 25-64) De facto population as of July 1 of the year indicated.
Source: UNDESA

Progress in reducing global For 2021, global extreme poverty rate is expected
between 8.9 percent and 9.4 percent – a return to
poverty will be delayed the 2017 global poverty rate. This means that the
world could lose some three to four years in the
The WB expects that the pandemic will push 88 to fight against poverty. Over the longer term, even if
115 million people into extreme poverty or those per capita income growth returns to pre-COVID
living below or on less than USD1.90 a day in 2020, rates, extreme poverty is projected to decline to
or a rise in global extreme poverty incidence to 6.7 percent by 2030, more than twice the target of
between 9.1 percent to 9.4 percent in 2020, from 8.4 3.0 percent.39 (The impact of the pandemic on the
percent in 2019. Most of the additional extreme poor Philippines’ fight against poverty are discussed further
will come from South Asia (49 to 56 million people) in Chapter 4. Strategies to address the impact of the
and Sub-Saharan Africa (26 to 40 million people). pandemic on poverty in the Philippines are discussed
The bulk will come from middle-income countries in Chapters 5, 8, 10, 11, and 12)
(72 to 94 million people). Many of the new poor are
likely to be engaged as paid employees in informal
services, construction, and manufacturing, live in
urban areas, with better access to infrastructure,
and more educated than the chronic poor.

  WB, “Poverty and Shared Prosperity 2020,” October 15, 2020.


39

Chapter 2 Global and Regional Trends and Prospects | 31


Technological Trends
Technologies for the next cash payments with companies such as Alibaba
and Tencent dominating the field. Indeed, with the
production revolution40,41 COVID-19 pandemic and the ensuing ‘new normal,’
e-commerce and contactless digital transactions are
Technological developments have been catered expected to become the norm.
towards solving global concerns such as slowing
productivity growth, ageing populations, climate Additive manufacturing: 3D printing is rapidly
change, globalization, and adapting to the ‘new expanding, with falling prices for printers
normal.’ However, the speed and uncertainty and materials, quality improvements and other
of technological change present a challenge to innovations. Recent innovations include 3D printing
governments in terms of oversight to prevent with novel materials, such as glass, biological cells,
inappropriate applications. and even liquids (using nanoparticles); robot-arm
printheads that allow printing objects larger than
Artificial Intelligence (AI): In the pharmaceutical the printer itself (opening the way for automated
industry, AI is expected to become the “primary-drug construction); touchless manipulation of print
discovery tool” by 2027. It has likewise improved particles with ultrasound (allowing printing electronic
the affordability of certain medical procedures such components sensitive to static electricity); and hybrid
as genome sequencing and disease detection – indeed, 3D printers, combining additive manufacturing with
the National Human Genome Research Institute computer-controlled machining and milling. Research
estimates that as many as two billion people will have is also advancing on 3D printing, with materials
their genome sequenced by 2025.42 programmed to change shape after printing. Most
3D printing is used to make prototypes, models, and
AI is already being used in industrial settings to tools. Currently, 3D printing is not cost-competitive
identify and recommend solutions to production at volume with traditional mass-production
problems, operate autonomous machines, design technologies, such as plastic injection moulding. The
buildings, discover new materials, and predict costs of switching from traditional mass-production
maintenance needs. It is also being used for real-time technologies to 3D printing are expected to decline in
fleet-management, optimizing energy consumption, the coming years as production volumes grow.
digital security, office task automation, and workforce
training. Green technology: Amidst concerns of climate change
and diminishing resources, green technology has also
Blockchain: While its potential applications been on the rise. Among the advancements made
could be transformative, blockchain remains an are bio-refineries (aimed at reducing greenhouse gas
immature technology. Challenges include the need emissions), industrial biotechnology, and bioeconomy
for fundamental changes in business practices, and (production of goods from renewable biomass/
slower transaction speeds. Nevertheless, “blockchain synthetic biology such as biofuels and artificial
as a service” is already being offered by a few firms. photosynthesis), gene-editing technologies, synthetic
Blockchain technology has made advancements biology, and electric vehicles. Indeed, major car
in the financial sector with the establishment of companies such as Volkswagen and Volvo aim to be
cryptocurrencies and financial technology (fintech). all-electric by 2021 to 2026.43
China, in particular, is seen to take the lead in digital

40
  Organisation for Economic Co-operation and Development (OECD), Science, Technology and Innovation Outlook 2018 (Paris, OECD
Publishing, 2018).
41
  The Economist, “Of Anniversaries and Climate Change, 2019 in Review: Science and Technology,” December 29, 2019.
42
  John Thornhill, “Three Technological Trends That Will Shape the Decade,” Financial Times, January 6, 2020.
43
  Ed Oswald, “Welcome to the 2020s. Here’s the Tech That Will Shape the Next Decade,” Digital Trends, January 1, 2020.

32 | Updated Philippine Development Plan 2017-2022


New materials: Materials with entirely novel Space Travel and Tourism: Several space missions
properties are emerging: solids with densities were launched in 2020. Despite the pandemic, the
comparable to the density of air; super-strong USA, China, and United Arab Emirates (UAE)
lightweight composites; materials that remember managed to launch their respective missions to Mars
their shape, repair themselves, or assemble themselves in July. On the other hand, Europe’s Mars mission
into components; and materials that respond to light has been pushed back by two years.44 Likewise,
and sound, are now realities. commercial suborbital flights planned this year were
delayed to at least 2021 given the pandemic.45, 46
Nanotechnology: Advanced nanomaterials are
increasingly used in manufacturing high-tech Digital technology in the New Normal: The nature
products (e.g., to polish optical components). Recent of COVID-19 has brought about the need for
innovations include nano-enabled artificial tissue, social distancing, contactless procedures, as well as
biomimetic solar cells, and lab-on-a-chip diagnostics. work and study from home arrangements in light
of the new normal. Across the world, economies
High Performance Computing (HPC): This involves are shifting towards online shopping, digital
computing performance far beyond that of general- banking, e-governance, telehealth and contact-tracing
purpose computers. It is increasingly important applications, remote learning, and virtual meetings.
to firms in industries ranging from construction
to pharmaceuticals, the automotive sector, and That said, such technological advancements
aerospace. Small and medium-sized enterprises carry underlying risks particularly for privacy,
(SMEs) could potentially use HPC for prototyping, infrastructure, and employment. Labor concerns
testing, and design. have been raised with the advent of automation.
Indeed, McKinsey sees automation displacing jobs by
5G Networks: Statista forecasts that 5G mobile as early as the 2030s.47 Likewise, greater connectivity
network will have reached 40 percent of the global because of IoT and 5G ubiquity, as well as shift
population – further enhancing the internet of towards new normal digital services, raise concerns
things (IoT) and general technological connectivity of reduced privacy, increased surveillance, and
and efficiency. Likewise, there is a need for further cybersecurity. This is a particular concern for contact-
improvements in internet and connectivity capacity tracing applications and increased online financial
as the workplace and schools shift towards remote transactions (Strategies for the Philippines to take
services and education. advantage of technological advancements are discussed
in Chapters 5, 6, 7, 8, 9, 10, 11, 14, 19, and 20).

44
  Kenneth Chang, “NASA Launches Perseverance Rover, Capping Summer of Missions to Mars,” The New York Times, July 30, 2020.
45
Justin Bachman, “Virgin Galactic Delays Key Flight,” Bloomberg, August 4, 2020.
46
Christian Davenport, “Jeff Bezos’s Secretive Space Venture Launches a Rocket to the Edge of Space for the First Time in Months,” The
Washington Post, October 14, 2020.
47
Peter Gumbel, Interview with Michael Chui and Susan Lund, “How Will Automation Affect Jobs, Skills, and Wages?” New World of Work,
Podcast transcript, McKinsey Global Institute. March 23, 2018.

Chapter 2 Global and Regional Trends and Prospects | 33


03
Overlay of
Economic
Growth,
Demographic
Trends, and
Physical
Characteristics
CHAPTER 3

Overlay of Economic Growth,


Demographic Trends, and
Physical Characteristics
The Philippine Development Plan (PDP) 2017-2022 incorporates a national spatial strategy
(NSS) that sets the direction of the physical development of the country. It promotes sustainable
human settlements development, access to social services, integration of leading and lagging
regions, and building resilience. The health risk brought about by the COVID-19 pandemic
has given prominence to the need to improve living standards in cities and promote regional
development, ensure connectivity and safe mobility, and manage disaster risks—which are
addressed to a large extent by the NSS. As a planning framework, the NSS is complemented
by more detailed sectoral plans such as those for transport and other infrastructure, as well
as master plans for specific metropolitan areas.

The complexity of development problems, policy agenda-setting, current institutional


setups, and financial resource availability and allocation are major challenges that need to
be addressed. It is crucial that each government entity understands and seriously takes on
its role, with technical, managerial, and financial assistance from development partners, in
implementing the NSS to enable all Filipinos to enjoy comfortable and secure lives wherever
they choose to locate.

Supporting regional agglomeration. The NSS seeks to decongest the National Capital Region
(NCR) and direct growth to regional centers where high growth potentials have greater chances
of being realized sooner. In urban areas where population and enterprises concentrate, the
NSS will support agglomeration by making cities livable and efficient. Strategies will thus aim
to expand and improve social services, fast-track investments in transportation infrastructure,
and promote “smart city” principles in urban development.

The COVID-19 pandemic has also amplified other vulnerabilities of the current geospatial
structure of cities. We have seen the dangers of high population density, poor air quality, and
lack of green spaces. During the lockdown, people in the cities have become food-vulnerable,
largely because of difficulty in access to food. These additional considerations will be factored
in enhancing the NSS.

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 37


Increasing connectivity. Increasing connectivity between production areas and market centers,
and providing the missing links for municipal/city, provincial, and national road networks
are some of the goals under the NSS. The approved National Transport Policy (NTP), which
envisions a Philippine transport system that is “safe, secure, reliable, efficient, integrated,
intermodal, affordable, cost-effective, environmentally sustainable, and people-oriented,” will
be an important instrument in achieving this goal. The subsequent formulation of a transport
system master plan will guide the rational development of an intermodal transport network in
the country.

Reducing vulnerability. Considering the climate change projections and threats of geologic
hazard events, as well as public health emergencies, the government will continue to invest
in disaster risk reduction (DRR) and climate change adaptation (CCA) initiatives to reduce
vulnerability to multiple hazards. Recent disaster and risk information generated by science
agencies and the evaluation of COVID-19 response will lay the groundwork for institutional
and community-level resilience for prospective optimality of result.

In the remaining years of the implementation of the updated PDP 2017-2022, the government
will continue to pursue the NSS to promote inclusive and sustainable growth, and enable
Filipinos to live comfortable lives wherever they choose to locate.

Economic and Demographic Trends


The population size and distribution determine These imply that certain locations tend to
the magnitude and structure of an economy. This generate more economic activities as they
can result in varying concentrations of production attract establishments and people looking for
and consumption in cities and municipalities, and opportunities. Thus, economic growth also tends
in their respective regions. For the Philippines, the to be concentrated in few locations, leaving other
noticeable trends are as follows: areas behind. Yet, growth in urban areas can also
cause pollution and congestion, as seen in NCR
• Total population continues to increase. While despite the slowdown in its population growth in
the overall growth rate is decreasing, population recent years.
will remain high given the large base population
of the country.
Regional shares
• NCR has the highest share in gross domestic
product (GDP), but its growth is slower
Accounting for 37 percent of GDP from 2010 to
compared to some other regions.
2018, NCR had the highest average regional share
• Most regions with larger population also have in the national economy for the same period;
larger gross regional domestic product (GRDP), CALABARZON had the second largest share
with few exceptions. The cities or group of with 16 percent, followed by Central Luzon with
cities within these regions contribute largely 9 percent. These regions account for 62 percent
to the regions’ population size and economic
development.

38 | Updated Philippine Development Plan 2017-2022


of the GDP while the rest of Luzon, Visayas, and Caraga Region and NCR also grew higher than the
Mindanao contributed 11 percent, 12 percent, and 6.3 percent national average, at 6.8 percent and 6.4
15 percent, respectively. percent, respectively. The slowest growth rates were
observed in MIMAROPA (3.8%), Bangsamoro
Central Visayas, which posted an average growth Autonomous Region in Muslim Mindanao
rate of 7.8 percent from 2010 to 2018, was the (BARMM) (3.1%), and Eastern Visayas (2.7%).
fastest-growing economy among the 17 regions.
This was followed by Central Luzon and Davao
Region which both grew at an average of 7.7 percent.

Figure 3.1 Average Regional Share in GDP, 2010-2018

Source: Philippine Statistics Authority (PSA)

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 39


Table 3.1 GRDP Growth Rate, 2010-2018

GRDP GROWTH RATE Average


REGION 2010-
2010 2011 2012 2013 2014 2015 2016 2017 2018 2018

Philippines 7.6 3.7 6.7 7.1 6.2 5.9 6.9 6.7 6.2 6.3

NCR 7.4 3.2 7.0 9.1 5.9 6.6 7.4 6.2 4.8 6.4

Cordillera
Administrative 6.5 1.3 (2.9) 5.4 3.3 3.7 2.3 12.2 7.3 4.3
Region (CAR)

I (Ilocos Region) 6.8 2.5 7.2 7.0 6.4 5.0 8.5 5.8 6.5 6.2

II (Cagayan Valley) (0.8) 5.7 7.2 6.6 7.2 3.7 3.8 7.1 3.3 4.9

III (Central Luzon) 10.0 7.1 7.2 4.5 9.3 5.3 9.5 9.2 7.1 7.7

CALABARZON 11.7 1.6 7.0 6.6 5.1 5.9 4.8 6.7 7.3 6.3

MIMAROPA (0.3) 3.1 4.1 1.3 8.3 1.7 2.6 5.2 8.6 3.8

V (Bicol Region) 3.5 1.9 8.8 8.2 4.3 8.4 5.5 5.0 8.9 6.1

VI (Western Visayas) 4.5 6.2 7.0 3.4 5.2 8.3 5.9 8.6 6.1 6.1

VII (Central Visayas) 12.9 6.8 9.4 7.4 7.8 4.8 8.6 5.2 7.6 7.8

VIII (Eastern Visayas) 3.0 2.1 (6.8) 4.6 (2.4) 3.9 12.0 1.8 5.9 2.7

IX (Zamboanga
1.4 0.1 12.4 4.2 6.6 7.2 4.6 2.4 6.3 5.0
Peninsula)
X (Northern
6.5 5.8 6.5 5.4 7.1 5.5 7.5 5.8 7.0 6.3
Mindanao)

XI (Davao Region) 5.6 3.7 7.0 6.7 9.3 7.9 9.5 10.7 8.6 7.7

SOCCSKSARGEN 2.2 5.3 7.3 8.4 6.2 3.3 4.9 8.3 6.9 5.9

Caraga 10.7 8.5 11.5 8.2 9.4 4.2 2.0 3.6 3.2 6.8

BARMM 6.7 (0.3) 0.0 3.8 3.0 (0.8) 0.4 7.5 7.2 3.1

Source: PSA

Real per capita GRDP 2016 (PHP13,366). Following BARMM, Bicol


Region and Caraga Region posted the lowest real
per capita GRDP in 2018 with PHP29,369 and
NCR had the highest per capita GRDP in 2018 at
PHP36,651, respectively. The three lowest-ranking
PHP253,893, which was nearly thrice the national
regions have consistently fared poorly in terms
average of PHP86,370. It increased by 8 percent from
of per capita GRDP. This indicates that inequality
PHP232,739 in 2016. CALABARZON and CAR
in per capita GRDP across regions persists over
have also posted per capita GRDP higher than the
time. As such, the government has been increasing
national average, with PHP104,708 and PHP87,722,
efforts in pushing for policies that will improve the
respectively. On the other hand, BARMM had the
socioeconomic conditions in lagging regions.
lowest real per capita GRDP among the regions in
2018 with only PHP14,657, a slight increase from

40 | Updated Philippine Development Plan 2017-2022


Table 3.2 Per capita GRDP, 2010-2018

REGION 2010 2011 2012 2013 2014 2015 2016 2017 2018

NCR 171,442 173,975 181,748 195,070 202,904 218,987 232,739 244,589 253,893

CAR 74,107 73,945 70,156 72,759 73,971 75,048 75,401 83,153 87,722

I 37,819 38,287 40,325 42,588 44,894 46,180 49,474 51,703 54,434

II 30,851 32,167 33,816 35,462 37,645 38,436 39,344 41,571 42,387

III 50,207 52,766 55,163 56,528 60,670 63,641 68,634 73,863 78,016

CALABARZON 79,699 78,966 81,562 84,687 86,644 92,184 94,811 99,346 104,708

MIMAROPA 37,002 37,540 38,239 38,138 40,706 39,575 39,837 41,069 43,715

V 21,004 21,112 22,502 24,005 24,719 25,770 26,686 27,487 29,369

VI 31,927 33,499 35,139 35,874 37,289 39,653 41,420 44,368 46,440

VII 49,966 52,528 56,061 59,211 62,743 64,846 69,322 71,743 76,024

VIII 36,694 37,006 33,850 34,952 33,771 33,771 37,144 37,121 38,598

IX 34,245 33,726 37,077 37,991 39,887 41,873 43,043 43,326 45,265

X 48,940 50,838 52,842 54,678 57,609 60,290 63,771 66,408 70,000

XI 48,487 49,431 51,657 54,188 58,256 61,335 65,913 71,621 76,378

SOCCSKSARGEN 36,688 37,813 39,417 41,814 43,493 44,178 45,459 48,277 50,644

Caraga 26,504 28,362 30,985 33,037 35,672 35,553 35,679 36,235 36,651

BARMM 14,588 14,348 14,052 14,380 14,613 13,646 13,366 14,012 14,657

Source: PSA

in 2018. Using the regional estimates based on 2015


Human Development Index (HDI) and 2017 data, NCR recorded the highest HDI in
2015 with 0.750 and even improving in 2017 with
The Philippines’ HDI, a measure of average 0.759. Other regions with HDI values higher than
achievement in key dimensions of human the country’s HDI were CALABARZON (0.724),
development (health, education, and standard CAR (0.722), Central Luzon (0.712), and Ilocos
of living), increased from 0.693 in 2015 to 0.712 Region (0.705). BARMM had the lowest HDI value
in 2018. The Philippines ranked 106th out of 189 at 0.583. These results point to the need to improve
countries, an improvement from its rank of 115th in and equalize access to basic services to improve the
2015. There is no available HDI estimates by region quality of life across regions.

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 41


Figure 3.2 Population by Region, 2015

Source: PSA

42 | Updated Philippine Development Plan 2017-2022


Population trends (7.5 million). CAR was the least populated region
with a total population of 1.7 million. Other less
populated regions were MIMAROPA (3 million)
Based on the 2015 Census of Population, the and Caraga (2.6 million).
country’s population was 100,979,303. This is
expected to increase to 115 million by 2025 Projections show that CALABARZON will still
despite the projected slowdown in average annual have the largest population with 17.5 million in
population growth rate from 1.73 percent (2010- 2025, followed by NCR (14.5 million), and Central
2015) to 1.41 percent (2020-2025). By region, Luzon (13.2 million). CAR will remain as the least
CALABARZON had the largest population with populated region with 1.9 million by 2025.
14.4 million, followed by NCR (12.9 million),
Central Luzon (11.2 million), and Western Visayas

Figure 3.3 Regional Projected Population, 2015-2025

Source: PSA

Population growth of NCR had the largest population with 12.9 million
among the metropolitan areas in 2015, followed
metropolitan areas and by Metro Cebu (2.9 million), Metro Davao (2.5
major cities million), and Metro Cagayan de Oro (1.4 million).

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 43


Figure 3.4 Population of Metropolitan Areas: 2000, 2010, and 2015

Source: PSA

In the same year, cities with the highest population in Outside of NCR, Davao City (1.63 million), Cebu
NCR were Quezon City (2.94 million), Manila City City (922,611), and Zamboanga City (861,799) were
(1.78 million), and Caloocan City (1.58 million). the most populated cities in the country.

44 | Updated Philippine Development Plan 2017-2022


Figure 3.5 Population of Major Cities: 2000, 2010, 2015

Source: PSA

With few exceptions, more populated regions also Given these economic and population trends, it
have larger shares in GDP and real per capita GRDP, is important to manage the development process
and have higher HDI value. This can be observed such that access to social services and growth
in NCR and its neighboring regions that have the opportunities will be more equal across areas and
highest population and economic development at that the economy and the people are resilient.
the same time.

The National Spatial Strategy


The NSS aims to contribute to inclusive growth shows the areas where growth has been taking place
by improving physical connectivity and providing and the characteristics of these growth centers.
equal access to quality social services across regions. This guides the identification and development
It also seeks to decongest NCR and direct growth of strategic solutions such as the location of
to key centers throughout the country where the transportation linkages, high-quality urban
benefit of agglomeration can have greater potential services, as well as social development programs to
of being realized. An overlay of the geographic improve the quality of life of Filipinos.
characteristics, population, and economic growth

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 45


Implementing the NSS requires cooperation Figure 3.6 Major Urban Centers
across national and local governments to ensure
coherence of development plans and efforts. The
NSS also provides a basis for identifying more
specific projects that can serve as the catchment
and market or service areas of the various centers.
It can then be a reference for sectoral plans, spatial
development frameworks of Regional Development
Plans (RDPs), provincial development and physical
framework plans, and Comprehensive Land Use
Plans (CLUPs) of cities and municipalities.

Network of settlements

The country has a three-tiered network of


settlements: (a) metropolitan centers; (b) regional
centers; and (c) sub-regional centers. These centers
form an efficient network of settlements with
distinct functional roles contributing to the flow of
economic activities within the network.

Metropolitan centers

Metropolitan centers provide higher forms


of economic services and facilities, including
innovation and advanced services, culture and center outside of the NCR, and, in case of a disaster,
tourism, education and research, transportation and a recovery center and back-up administrative
trade, manufacturing, and technology development. center. It has the locational advantage of being at
the convergence points of North Luzon Expressway
Metro Manila, Metro Cebu, and Metro Davao are (NLEX), Subic–Clark–Tarlac Expressway (SCTEX),
the three major metropolitan centers in the country Gapan-San Fernando-Olongapo (GSO) road, the
that serve as centers of commercial, financial, and Manila-North Road, and the new North-South
administrative activities. Metro Manila continues Commuter Railway.
to function as the country’s premier metropolitan
center—the seat of the national administration and Second to NCR is Metro Cebu which serves as the
the center of commerce and trade. Metro Manila’s natural economic, commercial, and logistics center
influence to its adjacent cities and municipalities for the Visayas. The Metro Cebu Development
has become more evident with new and important and Coordination Board has completed its road
developments in the past three years. Notable of map study for urban development highlighting
these is the New Clark City in Central Luzon, competitiveness, mobility, livability and
which is proposed to be a major business district metropolitan management. It has also identified
with complete facilities for offices, housing, and its priority project packages such as the Mega
sports and leisure. Moreover, Executive Order (EO) Cebu expressway, Cebu bus rapid transit, the new
No. 119, s. 2020 mandated the establishment of Cebu international container port, the third Cebu-
the national government administrative center in Mactan bridge, and coastal road.
Capas, Tarlac to serve as an integrated government

46 | Updated Philippine Development Plan 2017-2022


The third metropolitan center is Metro Davao, Regional centers
which is a major international gateway and serves
as Mindanao’s premier commercial hub and center
for education and health services. This role will be Regional centers serve as regional markets and
enhanced by the construction of the first phase of service centers to several provinces. Markets can
the Mindanao Railway Project in the first quarter support a range of services and investments and
of 2021. Furthermore, the institutionalization of have direct linkages to metropolitan centers. They
the Metro Davao Development Authority will host government administrative centers, industrial
strengthen coordination among the component and commercial areas, and transportation and
cities and municipalities in the planning, tourism hubs.
implementation, and monitoring of priority
projects.
Sub-regional centers
By 2025, Metro Cagayan de Oro is expected to be the
fourth metropolitan center. It currently functions Sub-regional centers connect to, and serve as service
as a major gateway and transshipment hub and a centers of, smaller provincial and local centers.
key educational center in Northern Mindanao with Considering the network of settlements listed
potential growth of banana, rubber, bamboo, cacao, below, the Updated PDP 2017-2022 will continue
coco coir, coffee, agribusiness, and tourism. to pursue regional agglomeration, connectivity, and
vulnerability reduction.

Table 3.3. Network of Settlements

NETWORK REGION/PROVINCE/CITY/MUNICIPALITY

Metropolitan Centers • NCR • By 2025, Metro Cagayan De Oro (CDO City, Jasaan, Villanueva,
• Metro Cebu Tagoloan, Claveria, Manolo Fortich, Opol, El Salvador, Alubijid,
• Metro Davao Laguindingan, Gitagum, Libertad, Initao)

Regional Centers • Laoag City • Malolos City • Tagbilaran City


• San Fernando City • Dasmarinas City • Tacloban City
• Dagupan City • Antipolo City • Ormoc City
• Tuguegarao City • Calamba City • Zamboanga City
• Santiago City • Batangas City • General Santos City
• Baguio City-La Trinidad- • Lucena City • Butuan City
Itogon-Sablan-Tuba-Tublay • Calapan City • Cotabato City
• Eastern Kalinga (Tabuk City- • Puerto Princesa City • Dipolog City
Pinukpuk-Rizal) • Legazpi City • Jolo
• Cabanatuan City • Naga City (Camarines Sur) • Surigao City
• Tarlac City • Iloilo (Iloilo City -Pavia- Oton- • Pagadian City
• Subic-Olongapo City Leganes, Santa Barbara- • Koronadal City
• Balanga City Cabatuan-San Miguel ) • Tagum City
• Clark (Angeles City-San • Bacolod (Bacolod City-Bago
Fernando City-Mabalacat City- City-Talisay City-Silay City-
New Clark City) Murcia)
• Baliuag

Sub-regional Centers • Alfonso Lista (Potia) • Flora • Pidigan


• Banaue • Kiangan • Pudtol
• Bangued • La Paz (Abra) • San Jose City
• Bauko • Lamut • San Jose del Monte City
• Besao • Langiden • San Miguel (Bulacan)
• Bontoc (Mountain Province) • Luna (Apayao) • Santa Maria (Bulacan)
• Danglas • Peñarrubia • Bacoor City

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 47


NETWORK REGION/PROVINCE/CITY/MUNICIPALITY

Sub-regional Centers • Baras (Rizal) • Ilagan City • Roxas City


• Biñan City • Santa Ana (Cagayan) • Malay
• Cabuyao City • Arayat • San Carlos City (Negros
• Cainta • Capas Occidental)
• Gen. Mariano Alvarez • Concepcion (Tarlac) • Malaybalay City
• General Trias City • Hagonoy (Bulacan) • Valencia City
• Imus City • Lubao • Digos City
• Trese Martires City • Mabalacat City • Polomolok
• Lipa City • Marilao • Midsayap
• Nasugbu • Mariveles • Mati City
• Santo Tomas (Batangas) • Mexico • Kidapawan City
• Kabankalan City • Meycauayan City • Gingoog City
• Estancia • San Fernando City • Bislig City
• Dumangas (Pampanga) • Tandag City
• San Jose (Antique) • San Ildefonso (Bulacan) • Tacurong City
• Miag-ao • Binangonan (Rizal) • Bongao
• Catbalogan City • Rodriguez (Montalban) • Parang (Maguindanao)
• Calbayog City • San Mateo (Rizal) • San Francisco (Agusan del
• Jordan • San Pablo City Sur)
• Kalibo • San Pedro City • Tubod (Lanao del Norte)
• Dumaguete City • Santa Rosa City • Maramag
• Bogo City • Sariaya • Ipil
• Toledo City • Silang • Glan (Saranggani)
• Tubigon • Tanauan City • Malita
• Iligan City • Tanza • Laguindingan
• Passi City • Taytay (Rizal) • Isabela City - Lamitan
• Panabo City • Boac • Aurora (Zamboanga del Sur)
• Marawi City • Romblon (Capital) • Bayog
• Ozamiz City • San Jose (Occidental Mindoro) • Buug
• Sadanga • Daet • Dumalinao
• San Isidro (Abra) • Iriga City • Dumingag
• Santa Marcela • Ligao City • Kabasalan
• Tayum • Masbate City • Mahayag
• Tubo • Matnog • Margosatubig
• Alaminos City • Pili • Molave
• Urdaneta City • Sorsogon City • Sindangan
• Vigan City • Tabaco City
• Cauayan City • Virac

Functions of centers (Pampanga), Calapan City, Tacloban City, Iloilo


City, Butuan City, Pagadian City, and Koronadal
City
The metropolitan centers of NCR, Metro Cebu, and
Metro Davao provide domestic and international • International gateways (examples): Iloilo City,
services and facilities. Meanwhile, regional and sub- Bacolod City, Metro Clark Area, Zamboanga
regional centers have distinct sizes, services, natural City, Legazpi City, Laoag City, Puerto Princesa
physical features, and strategic locations that enable City, and General Santos City
them to host certain activities or functions.
• Tourism hubs (examples): Legazpi City, Naga
Regional Centers City, Calapan City, Puerto Princesa City, Laoag
City, Tagbilaran City, and Surigao City
• Regional administrative centers: Baguio City,
Tuguegarao City, San Fernando City (La Union),
Calamba City, Legazpi City, San Fernando City

48 | Updated Philippine Development Plan 2017-2022


Sub-regional Centers traffic, enhance competitiveness, improve safety
and disaster response, and contribute to sustainable
• Tourism hub (examples): Alaminos City, urban development of the areas covered.
Matnog, Malay, Kalibo, Jordan, and Tubigon
Other master plans are now being formulated for
• Agri-industrial centers (examples): Midsayap, 11 cities which will guide the preparation and
Mati, Cauayan City, Polomolok, Kidapawan implementation of programs and projects for
City, Bislig, Tacurong City, and Calbayog City sustainable infrastructure development (see Chapter
19). These plans also adopt the smart city principle
• Industrial centers (examples): Biñan City, Sta. in urban mobility, natural and built environment,
Rosa City, Lipa City, Tanauan City, San Carlos sustainable energy, and economic competitiveness.
City, Iligan City, Subic, and Mariveles The implementation of these plans will require
retooling of current government institutions and
• Higher education (examples): Marawi City and
advancements in planning approaches and urban
Dumaguete City
management practices.
These centers share the same characteristics as
Pursue sustainable rural development and ensure
some of the existing economic zones identified in
better access to opportunities. The development
the Special Economic Zone Act and the tourism
gap between urban and rural areas manifests in the
circuits identified in tourism plans.
lack of economic opportunities and access to social
services and facilities including health, education,
and water and sanitation in the countryside. These
Regional agglomeration are issues that the government needs to address
to ensure that no one is left behind, whether they
Regional agglomeration aims to improve urban live in urban or rural areas. Balancing regional
efficiencies and maximize the benefits of scale and development entails the transformation of rural
agglomeration economies. It recognizes the role of communities into productive agri-industrial or
cities as engines of growth and sites of innovation. tourism areas with improved delivery of social
It will build on the current trends of growth such services including education, health, and housing
as the faster growth in some regions. The spatial (see Chapters 8, 9, 10, and 12).
strategy aims to manage the growth of key centers
in the country for them to function more efficiently. With this in view, the Balik Probinsya, Bagong
Pag-asa (BP2) program was created through EO
Manage the growth process through an integrated No. 114, s. 2020 to bring about a more equitable
approach to urban planning. Cities face various distribution of wealth, resources, and opportunities
urban challenges such as congestion, pollution to the countryside. It involves the convergence of
and waste, lack of green spaces, and increasing national government and local government unit
demand for social services including housing, (LGU) programs and projects that will not merely
health, sanitation, and education. Addressing these bring back people to the provinces, but promote
requires an integrated approach to urban planning sustainable communities in the countryside.
and development. To this end, master plans have
been formulated to address urban inefficiencies Linking rural areas to urban areas physically
and guide sustainable urban development. The through transportation systems or virtually through
Roadmap for Transport Infrastructure Development information and communications technology (ICT)
for Metro Manila and its Surrounding Areas and will enable people in rural areas to gain more access
the Urban Transport Master Plan of Metro Cebu to alternative opportunities for employment, and
and the Davao City Infrastructure Development bigger markets for their products. Moreover, better
Plan and Capacity Building Project (IM4Davao) connectivity will make it easier for people in rural
in Metro Davao are being implemented to reduce areas to have access to higher levels of services such

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 49


as universities and specialized health institutions by promoting healthier lifestyles, environmental
which may not be feasible in smaller communities. consciousness, and sustainable urban design. The
government will pursue and apply “smart city”
Increase investments and spending efficiency to principles such as urban mobility to include cycling
expand and improve the quality of social services lanes and walking paths, greener city, sustainable
to meet growing demand. Growth centers attract energy, public safety, and economic competitiveness
people seeking better opportunities and access to achieve sustainable urban development. This will
to amenities. To meet growing demands that require new or higher level technical, executional,
come with continuous increase in population, the and financial management skills among national
government will expand and improve facilities and agencies and local governments. Capacity building
provide additional human resources in the sectors will therefore be encouraged through partnerships
of housing, health, sanitation, and education (see with academic and training institutions, private
Chapters 10, 12, and Chapter 19). As centers of sector, and international development agencies.
consumption, cities are also the main producers of
waste, hence, the need to promote waste reduction Improve social service delivery of LGUs. LGUs
and management. need to be able to provide access to adequate and
high-quality social services, set up appropriate
Fast-track investment in transport infrastructure facilities, and institute waste management schemes.
and traffic management system to reduce The national government and development
congestion and ensure mobility. The government partners will be able to provide technical and
will continue to fast-track investment in financial assistance to them. Collaboration and
transportation infrastructure to reduce traffic complementation between national and local
congestion and shorten distance and travel times governments will be crucial to ensure coherence of
between business and industrial centers, tourism development plans so that there will be no gaps in
areas, services, and residential areas. The immediate service delivery.
remedial measures will be the enforcement of traffic
laws, traffic management measures, and transport
demand management schemes. Application of Connectivity
intelligent transportation systems will also be
explored to help manage traffic flow in growth As agglomeration takes place, socioeconomic
centers efficiently, minimize accidents, and provide inequalities across space can be reduced through
transport and traffic information to passengers and improved inter-connection of settlement areas.
decision-makers (see Chapter 19). Rather than forcing a uniform dispersal of
development which can create inefficiencies, the
Adopt “smart city” principles and increase strategy is to establish better transport networks
technical, managerial, and financial capability that will enable urban centers with high growth
of national and local institutions to implement potentials to further expand growth while providing
such. Improved urban environment and quality better access to opportunities to lagging areas.
of life will be pursued through urban renewal With more efficient network of settlements, more
and urban redevelopment projects. The current opportunities for production and employment are
pandemic has brought greater consciousness on expected to be generated, thus increasing family
urban development designs and housing standards, incomes and savings for investment and growth,
considering that the most number of cases are in and reducing poverty. Beyond physical connectivity
cities with higher population densities and where through transport systems, investments in
physical distancing is a challenge. This does not telecommunications, technology, and innovation
necessarily invalidate the agglomeration strategy as will ensure that even lagging or conflict-affected
co-location promotes efficiency in service delivery, areas will have access to services and employment
land use, and urban development. However, the opportunities.
aspect of livability will be given more emphasis

50 | Updated Philippine Development Plan 2017-2022


Flesh out and swiftly implement policies and Develop an efficient logistics system. The
plans for promoting connectivity and guiding COVID-19 pandemic has brought forth the
infrastructure development in the country. The importance of efficient logistics system, particularly
NEDA Board has already approved the NTP which in ensuring undisrupted delivery of food and
will guide the rational development of an intermodal essential goods. Efficient transport systems are also
transport network, promote sub-regional critical in times of crises. Moreover, concerned
cooperation on multimodal transport system, and agencies such as the Department of Agriculture
create a transport database. Harmonized efforts of (DA) and the Department of Trade and Industry
various government agencies and instrumentalities (DTI) will collaborate in mapping out supply chains
will be key in ensuring that such policies will be in their respective sectors and identify bottlenecks
properly implemented. Timely completion of and the corresponding measures so that the goods
transport infrastructure projects under the Build will be delivered to their destinations on time (see
Build Build (BBB) program will be pursued by Chapter 9). Private logistics companies can also
addressing implementation bottlenecks under the utilize ICT to monitor incidents that can delay
new normal (see Chapter 19). or disrupt the movement of raw materials and
manufactured products, including medicines and
Identify the remaining missing links in local medical equipment.
and national road networks. An integrated
approach to transport planning and project Increase investment in ICT infrastructure.
implementation will be pursued through closer Reliable ICT infrastructure has become vital
engagement between national transport agencies in ensuring continued government and private
and LGUs. With their expertise, the Department sector services, particularly as physical distancing
of Public Works and Highways (DPWH) and the and quarantines have prevented on-site activities
Department of Transportation (DOTr) can provide (see Chapter 19). Hence, connectivity under the new
assistance in coming up with their local transport normal will rely more on digital infrastructure to
and traffic management programs that are aligned support online businesses and personal transactions,
with national priorities (see Chapter 19). These can as well as online education and health services
then be integrated in the spatial and development (see Chapters 9 and 10). Flexible work arrangements
plans of LGUs. For hazard-prone areas, road such as work from home and compressed work
networks for redundancy have to be constructed to weeks in government and private sector offer relief
establish alternative routes for disaster response and to the congested transport networks but will also
evacuation. require more ICT investments for faster digital
connectivity.
Ensure the accessibility, availability, affordability,
convenience, and reliability of public transport
(e.g., railway, bus, etc.). This will involve Reduction of vulnerability
rationalization of the public transport design or
transport routes to serve new and emerging origins The NSS seeks to make vulnerability reduction
and destinations. Public transport terminals that an integral part of development. This involves
integrate different modes of public transportation instituting prevention and mitigation measures to
will be established in strategic locations. The reduce the impact of climate change and disasters.
nautical highway of the country will be strengthened These measures include redundancy routes to
through the improvement of existing Roll-on, provide access to areas affected by disasters.
Roll-off (RORO) ports and the establishment of
new ones. Improvements and expansion of airport Due to its geographical location, the country is
facilities across the country will also be continued susceptible to geologic and hydrometeorological
to meet the demand and improve the quality of air hazards. Disaster risk is also aggravated by
travel (see Chapter 19). uncontrolled development, particularly within
ecologically-sensitive and hazard-prone areas.

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 51


Based on the 2019 World Risk Index, the Philippines and risk assessment that provides a visualization
ranked 9th among countries with the highest through maps and charts.
disaster risk, a slight improvement compared to
2018 where the country ranked 3rd. This can be Given the significant accomplishments of the
attributed to the country’s continuous effort to national government in generating scientific
strengthen its capacity to prepare for and mitigate information on hazards and disaster risks, the
the negative effects of disasters and climate change. continuous data build-up and updating of relevant
databases and platforms of DOST and other
Despite this gain, the country still needs to maintain agencies will be pursued and supported. Disaster
substantial investments in vulnerability reduction risk assessments will be undertaken, utilizing
initiatives given the level of risk. According to the more recent information on hazards and elements
latest Philippine Atmospheric, Geophysical, and exposed to it. These will be used to update local
Astronomical Services Administration (PAGASA) development and sectoral plans. These updated
climate change projections, we can expect (a) assessment results can also guide adjustments or
continuous warming at a rate of 0.1˚C per decade; recalibrations of DRR and CCA interventions.
(b) increasing trends in annual rainfall and seasonal
rainfall in many parts of the country associated LGUs and citizens must be able to access, appreciate,
with extreme rainfall events; (c) minimal increase and make full use of these information technologies
in the frequency of very strong tropical cyclones for disaster preparedness and mitigation actions.
exceeding 170 kilometers per hour; and (d) a In this regard, LGUs will be trained and assisted
20-centimeter increase in sea level rise by the end using these for planning and identifying, designing,
of the 21st century. financing, and implementing the initiatives to
increase their resiliency. Inter-LGU cooperation
Mainstream DRR and CCA in identified growth will also be pursued to address the impacts of
centers, considering the expected increase in natural hazards that affect multiple municipalities,
population and economic activities in these areas. cities, and provinces.
Locations of new development projects and urban
expansions will be guided by hazard maps and Build capacities to mitigate and respond to
information to minimize exposure to hazards. This disease outbreaks and pandemics. Past efforts on
will also entail ensuring that alternate or redundant disaster risk reduction and management (DRRM)
access are in place to prevent isolation during have focused on geologic and hydrometeorological
disasters, and ensure that there are properly placed hazards. COVID-19 has exposed the need to build
and designed evacuation sites. the capacities of national and local governments
to prepare for and respond to a disease outbreak
Promote extensive use of recently developed of such a magnitude of pandemic. The traditional
information technologies to manage disaster DRRM and crisis management frameworks will
risks. The Department of Science and Technology– be reviewed and updated to ensure the country’s
Philippine Institute of Volcanology and Seismology readiness to prepare, mitigate, and respond to
(DOST-PHILVOLCS) is currently implementing public health emergencies, given also the possibility
its GeoRiskPH program. The HazardHunter that disease outbreaks can occur simultaneously
application developed under this initiative with natural hazards such as typhoons or floods.
can quickly generate an initial geologic and Disaster management agencies such as the Office of
hydrometeorological hazards assessment for Civil Defense (OCD), and LGUs will be adequately
specific locations. Its GeoMapper feature, which provided with equipment and medical supplies and
stores hazard and disaster exposure information, evacuation centers and quarantine facilities that will
is intended to serve as the central source of be designed and constructed to meet the varying
information for accurate disaster risk assessments, requirements of such hazard events.
and its GeoAnalytics application performs hazards

52 | Updated Philippine Development Plan 2017-2022


Providing the Spatial Directions to the Balik
Probinsya Bagong Pag-asa (BP2) Program
The BP2 program was established in May 2020 The NSS will guide the implementation of the BP2
through EO 114. The program aims to promote program by providing the trends in settlements
balanced regional development and equitable development and the roles of various urban centers in
distribution of wealth, resources, and opportunities. the country. These will inform more detailed planning
This involves complementary strategies of enabling and analysis of BP2 interventions such as the possible
economic growth in areas with high potentials, and locations of agri-industrial areas, housing projects,
providing better opportunities to the countryside, and infrastructure facilities that will address the
thereby achieving inclusive growth. immediate needs of communities, the connectivity
among urban centers and production centers, and
The program, which will have short-, medium-, and other critical spatial functions that will determine
long-term components, will provide the mechanism comparative advantages of specific areas.
for convergence among regional agencies and
local governments in investing in sustainable rural
development projects. Specifically, the BP2 program
is expected to evolve from government-assisted
relocation to voluntary relocation of people from
congested urban communities to more progressive
rural communities. This can be achieved through
empowering local industries, enhancing agricultural
productivity, providing quality and efficient social
services, and upgrading infrastructures.

Chapter 3 Overlay of Economic Growth, Demographic Trends, and Physical Characteristics | 53


04
Philippine
Development
Plan 2017-2022
Overall
Framework
CHAPTER 4

Philippine Development Plan


2017-2022 Overall Framework
The Philippine Development Plan (PDP) 2017-2022 is the first of four medium-term plans geared
towards the realization of AmBisyon Natin 2040, the collective long-term vision and aspirations
of the Filipino people for a matatag, maginhawa, at panatag na buhay para sa lahat (strongly-
rooted, comfortable, and secure life for all). In the first three years of PDP implementation, critical
reforms were put in place to ensure that development is steered to enable all Filipinos to attain
their AmBisyon and that economic growth is inclusive and sustainable to improve quality of life.
At the midterm of the Plan implementation, the world experienced the COVID-19 pandemic which
will have an indelible effect on the socioeconomic development of the country. Thus, the PDP has
been updated to build on the gains in recent years and consider the imperatives for recovery and
adapting to the new and better normal state of affairs. Moving forward, the health and resiliency
of Filipinos will be prioritized as the foundation for achieving AmBisyon Natin 2040.

Updated Headline Targets


Core indicators and corresponding headline targets considering major disruptions in the programs,
were identified to achieve the desired outcomes projects, and activities (PPAs) of the government
for the Plan period. Chapter 1 presented the and the private sector. Adaptive planning was done
accomplishment per core indicator vis-à-vis targets to prioritize urgent requirements to address the
set during the preparation of the PDP. As discussed adverse impact of the pandemic.
therein, accomplishments from 2017 to 2019 have
been mixed – in most cases, targets were achieved The Inter-Agency Task Force for the Management of
in certain years, but fell short in others. In general, Emerging Infectious Diseases (IATF-EID) created
substantial accomplishments have been achieved the Technical Working Group on Anticipatory
towards a more inclusive growth, a high-trust and Forward Planning (TWG-AFP) to assess
and resilient society, and a globally-competitive the impacts of the pandemic and the resulting
knowledge economy. During the first half of the Plan community quarantine on various sectors of society
period, key reforms have also been instituted which and provide recommendations on rebuilding
are expected to bear fruit in the succeeding years. national confidence and adjust to the new normal.
The resulting “We Recover As One” report of the
The immediate socioeconomic impact of the TWG-AFP identified the immediate and critical
pandemic in 2020 is substantial. This will most PPAs of the different agencies in order to cushion
likely spill over to 2021 and 2022. Taking this into the impact of the pandemic on the population,
consideration, some targets for 2021 and 2022 have particularly the vulnerable sectors. It should also
been revised downwards. Since the updating of be noted that budgets of most government agencies
the PDP happened in the second half of 2020, the were reduced in order to fund the immediate health
targets for 2020 were maintained. It is expected and social protection requirements for the most
that a number of these targets will not be achieved affected sectors of the population.

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework | 57


Table 4.1 PDP 2017-2022 Core Indicators and Headline Targets

BASELINE VALUE PLAN TARGETS


INDICATOR
(YEAR) 2017 2018 2019 20202/ 2021 2022

GDP (growth rates) 7.1


6.5- 7.5 7.0-8.0 7.0-8.0 7.0-8.0 6.5-7.5 6.5-7.5
sustained (2016)r

GNI per capita 4.5


4.5 5.0 5.0 5.0 5.0-6.0 5.0-6.0
(growth rates) increased (2015)

Poverty incidence 23.5


- 17.3-19.3 - - 15.5-17.5 -
(% of population) reduced1/ (2015)r

Subsistence Incidence (%) 9.1


- 6.8 - - 5.0-7.0 -
reduced1/ (2015)r

Food inflation (%) 1.7


2.0-4.0 2.0-4.0 2.0-4.0 2.0-4.0 2.0-4.0 2.0-4.0
kept stable (2016)a

0.701
HDI improved Increasing Increasing Increasing N/A Increasing N/A
(2015)r

Unemployment rate (%) 5.4


5.1-5.4 4.7-5.3 4.3-5.3 3.8-5.2 7.0-9.0 7.0-9.0
decreased (2016)r

Employment generated NA 900,000-1.1 900,000-1.1 900,000-1.1 900,000-1.1


2.4-2.8 Mn 1.0-1.2 Mn
increased (count) (2016) Mn Mn Mn Mn

Youth unemployment rate 11.5


11.0 10.4 9.8 9.2 14.5-16.5 20.5-22.5
(%) decreased (October 2016)

Underemployment rate
19.7
in areas outside NCR (%) 18.3-20.3 17.8-19.8 17.4-19.4 16.9-18.9 16.0-18.0 15.5-17.5
(2016)
decreased

74 out of 128
GII (rank) improved Increasing Increasing Increasing Increasing Increasing Top one-third
economies (2016)

Note: r – revised; a – adjusted original target set in 2016 will be retained;


1/
No target/data since FIES is conducted every three years. The next FIES will be conducted in 2021.
2/
The 2020 PDP targets set in 2016 will be retained

The medium-term goal remains the same: by the Economic growth. With an expected contraction in
end of 2022, more Filipinos will be closer to their 2020, economic growth in 2021 and 2022 is expected
AmBisyon of living a matatag, maginhawa, at panatag to be slightly lower than the initial target. For 2021
na buhay. The health and resilience of Filipinos will and 2022, growth in terms of Gross Domestic
be prioritized in the medium term as the foundation Product (GDP) is expected to be within 6.5 percent
to achieving this aspiration. The following are the to 7.5 percent. The goal of reaching upper middle-
headline targets over the remaining Plan period. income status for the country will most likely be
achieved by 2022 or earlier. Gross National Income
(GNI) per capita targets are 5.0 percent to 6.0 percent
in 2021 and 2022, respectively.

58 | Updated Philippine Development Plan 2017-2022


Poverty incidence. The substantial decline in overall beginning late 2020 and on to 2021. In addition, the
poverty from 2015 to 2018 will not be sustained labor force will substantially increase in 2022 as the
over the period in 2018 to 2021,1 given the impact first batch of K to 12 graduates will be graduating
of the COVID-19 pandemic. Hence, the target for from college and are expected to join the labor force.
2021 is 15.5 percent to 17.5 percent, compared to Hence, unemployment targets in 2021 and 2022 are
16.7 percent in 2018. While the next set of poverty revised to 7 percent to 9 percent. This implies that
estimates is expected in 2023, the initial target of 2.4 to 2.8 million jobs in 2021 and 1.0 to 1.2 million
14 percent by 2022 is still achievable. The same can jobs in 2022 are expected to be created. As the
be said for subsistence poverty, with a substantial bulk of the labor force are among the younger age
decline in the proportion of subsistence poor group, youth unemployment is expected to increase
individuals from 9.1 percent in 2015 to 5.2 percent from 14.5 percent to 16.5 percent in 2021 and 20.5
in 2018. The revised target for 2021 is 5 percent to 7 percent to 22.5 percent in 2022. On the other hand,
percent, which is within the 2022 target of 5 percent. the target for underemployment in areas outside
Food inflation will be sustained at 2 percent to 4 National Capital Region (AONCR) is 16 percent to
percent in 2021 and 2022. 18 percent in 2021 and 15.5 percent to 17.5 percent
in 2022.
Human development. The human development
index (HDI) of the Philippines has gradually Innovative society. The Philippines’ rank in terms
increased from 2015 to 2019. The trend is expected of the Global Innovation Index (GII) significantly
to continue until 2022. improved in 2019, ranking 54th out of 129
economies; then further up to 50th rank out of 133
Unemployment. There has been a sustained countries in 2020. This is expected to increase with a
improvement in employment levels from 2017 to target for the country to be among the top one-third
2019. The increase in unemployment in 2020 due (40th to 42nd rank) by 2022.
to the pandemic is expected to gradually recover

Strategic Framework
The PDP 2017-2022 strategic framework was trust society); Pagbabago (transforming towards
updated to align it with the imperatives for recovery equity and resiliency); and Patuloy na Pag-unlad
and the new and better normal within the overall goal (increasing growth potential). There are crosscutting
of a healthy and resilient Philippines. The strategies strategies to support the other interventions, and
to achieve the abovementioned targets fall under the bedrock strategies to provide a solid foundation for
three major pillars of Malasakit (building a high- all strategies to work.

1
  The Family Income and Expenditure Survey (FIES) used to estimate poverty will be conducted in 2021 and will be done every two years
thereafter.

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework | 59


Figure 4.1 Updated Philippine Development Plan 2017-2022 Strategic Framework

Strategies
For Malasakit, the aim is to and effective institutions resulting in efficient
delivery of public services and high public trust.
regain the people’s trust in Over the past three years, major reforms in the
public institutions and cultivate governance sector increased the access to and
quality of frontline services. The next step is to
trust among Filipinos. expedite the implementation of these laws. In light
of the COVID-19 pandemic, the government will
Ensuring Responsive, People-centered, Technology- accelerate its shift to digital platforms for citizen
enabled, and Clean Governance (Chapter 5) engagement, service delivery, capacity-building, and
focuses on building transparent, accountable, accountability and anti-corruption mechanisms.

60 | Updated Philippine Development Plan 2017-2022


Public service continuity plans will be formulated For Pagbabago, economic and
across government agencies. Local government units
(LGUs) will be capacitated for the implementation social opportunities will be
of the Supreme Court ruling on the Mandanas case. ensured for all, to transform
Pursuing Swift, Fair, and Humane Administration society and achieve equity and
of Justice (Chapter 6) aims to adopt a sector approach resiliency.
from a fragmented mode of delivering justice, thus,
streamlining and harmonizing processes across the
Expanding Economic Opportunities in Agriculture,
different agencies in the executive and judiciary
Forestry, and Fisheries and Ensuring Food Security
branches of the government. Since the start of the
(Chapter 8) targets small farmers, fisherfolks, and
Plan period, higher case disposition and clearance
micro, small, and medium enterprises (MSMEs) to
rates due to process improvements and increased
ensure that the groups that lag behind will benefit
number of prosecutors, public attorneys, and courts
from these opportunities. The first half of the
contributed to swift administration of justice.
Plan implementation was focused on improving
The COVID-19 pandemic emphasized the need
the delivery of support services prioritizing
for justice sector agencies to maximize the use of
small farmers and fisherfolk on financing,
digital platforms in ensuring swift, fair, and humane
insurance, technologies, and intensified market
administration of justice amidst such disruptions.
matching, complemented with major policy
Coordination and cooperation among justice
reforms that created opportunities to pursue
sector agencies will further be strengthened and the
diversification and overall rural development. The
agencies will continuously streamline and improve
COVID-19 pandemic and community quarantine
processes within the different pillars of the justice
has put greater emphasis on food security in the
system.
transition to the new and better normal. Thus, to
contribute to the goal of achieving a healthy and
Promoting Philippine Culture and Values
resilient Philippines, the agriculture, forestry, and
towards Bayanihan (Chapter 7) highlights
fisheries sector will focus on ensuring availability,
increasing awareness and promotes the value of
accessibility, and affordability of nutritious
the country’s cultural diversity and shared heritage
food while continuously addressing persistent
among Filipinos. This is a new chapter in the PDP,
challenges faced by the sector. These challenges
and this recognition has provided a venue for the
include constraints to land and water resources,
culture sector to take stock of challenges and pursue
vulnerability to climate change and disaster risks,
strategies to address them. The government’s greater
long-standing institutional problems related to weak
awareness and recognition of the role of culture in
extension services, over-centralization, and lack of
the country’s socioeconomic development prompted
coordination and overlapping functions within and
significant foundational efforts in the sector. Moving
among agencies.
forward, the government will ensure that initial
gains will be sustained to eventually establish
Expanding Economic Opportunities in Industry
sustainable mechanisms for cultural development
(Chapter 9A) aims to increase the sector’s output by
from the national to local levels. The Filipino spirit
leveraging Industry 4.0 technologies and to usher in
of bayanihan will be invoked to enable the whole-
the growth of the digital economy. In the past three
of-government and whole-of-society response and
years, the industry sector’s contribution to overall
recovery from the pandemic by promoting cultural
growth remains within its 10-year average, although
awareness and understanding, inculcating values for
the recent decline in output reflected lower domestic
the common good, advancing creativity for social
demand exacerbated by supply chain disruptions
impact, and strengthening culture-sensitivity in
and policy uncertainty. Moving forward, the sector
governance and development.
will operationalize the Inclusive, Innovation, and
Industrial Strategy (i3S), to boost capacity of local

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework | 61


enterprises, adopt inclusive business models, and a serious challenge that can undermine previous
strengthen the startup ecosystem. The government accomplishments. For the rest of the Plan period, the
will prioritize reforms to support the digital economy government will focus on addressing challenges that
as these are essential elements for the new normal. hamper the full realization of the Filipino people’s
full potential, such as malnutrition, early pregnancy,
Expanding Economic Opportunities in Services quality of education, and disruptions brought by the
(Chapter 9B) aims to maximize the sector’s role as pandemic and other disasters.
an integral backbone to a wide range of domestic
and global industries. The services sector has Ensuring Food Resiliency and Reducing
established its position in recent years as the main Vulnerabilities of Filipinos (Chapter 11) focuses
driver of economic growth, top GDP contributor, on the provision of social protection for vulnerable
and biggest employer of the country. However, with groups. Social protection programs have provided
the sudden halt of major subsectors such as tourism considerable contributions in the reduction
and transport services, a shift to more digital-based of poverty, inequality, and vulnerability in the
services is needed to propel the services sector as country. The current pandemic has amplified the
part of the supply chain of high-value services in importance of social protection programs and the
the global market. Hence, the necessary reforms need to enhance distribution systems. For the rest
to attract investments and push relevant services of the Plan period, the government will focus on
sub-sectors to become more competitive will be proactively minimizing Filipinos’ exposure to risks
prioritized. and increasing their capacities to manage shocks,
such as setting up registries for vulnerable sectors,
Expanding Access to Economic Opportunities expanding coverage of the Social Security System
in I&S for Startups, MSMEs, and Cooperatives (SSS), and instituting employment insurance
(Chapter 9C) aims to promote business inclusion schemes.
among groups that lag behind. In the past three
years, critical policy reforms have been established Building Safe, Resilient, and Sustainable
to assist startups, MSMEs, and cooperatives to gain Communities (Chapter 12) shifts the focus
access to finance and production networks, as well as from socialized housing to human settlements
enhance their productivity, efficiency, and resilience. development in line with the new urban agenda
Moving forward, the government and the business of developing integrated neighborhoods and
sector will pursue the full implementation of these sustainable communities. The creation of the
reforms while addressing the adverse impacts of Department of Human Settlements and Urban
the pandemic, by providing assistance to enable Development (DHSUD) through Republic Act
enterprises to reconfigure business operations and 11201 is a major reform to effect better policy
build their resiliency to address the constraints of and program coordination, reform advocacy,
operation under the new and better normal. and implementation. The urgency to address the
growing need for adequate housing in well-planned
Transforming Human Capital Development communities has never been a matter of survival until
Towards Greater Agility (Chapter 10) ensures the country confronted the COVID-19 pandemic.
that individuals and groups will have more options The rapid increase of the spread of the virus is
to develop their full potential. From 2017 to 2019, evident in various highly-dense communities, given
reforms in nutrition and health were institutionalized the difficulty to observe safe social distancing in
through the passage of landmark legislations such as congested spaces and inadequate access to household
the Universal Health Care (UHC) Act and the First water and sanitation. Moving forward, the housing
1,000 Days Act. Similarly, access to education at all and urban development sector will pursue building
levels was expanded through the K to 12 Program safe, resilient, and sustainable communities through
and the Universal Access to Quality Tertiary the Building Adequate, Livable, Affordable, and
Education. However, Filipinos’ poor health-seeking Inclusive Filipino Communities (BALAI) program,
behavior and the fragmentation of health service in partnership with the private sector, the LGUs, and
delivery systems, exacerbated by the pandemic, pose the communities.

62 | Updated Philippine Development Plan 2017-2022


For Patuloy na Pag-unlad, future An enabling and supportive
growth will be accelerated and economic environment
sustained. supports the Pagbabago and
Patuloy na Pag-unlad pillars.
Reaching for the Demographic Dividend Across
All Regions (Chapter 13) and maximizing the
Ensuring Sound Macroeconomic Policy (Chapter
full harvest of this dividend will require aggressive
15) aims to promote a responsive fiscal policy by
efforts to ensure that families will be of the size that
enabling budget policies and revenue measures,
they can adequately care and provide for. Towards
enhanced LGU capacity, improved private sector
this end, policies and programs to accelerate the
participation, and recalibrated debt and contingent
demographic transition along with improving
liability management. It seeks to foster a resilient
access to health and education services were
and inclusive financial system amid the COVID-19
instituted. However, the socioeconomic impacts
pandemic through targeted supervisory actions and
brought about by the COVID-19 pandemic can
reforms, particularly in developing a more inclusive
possibly reverse these gains. To prevent this, the
digital finance ecosystem, encouraging innovation
government will implement programs that will
in microfinance and microinsurance, and expanding
mitigate the pandemic’s short and long term effects
consumer protection. As for the external sector,
while continuing to address persistent issues on
it promotes sustainability and resiliency through
malnutrition, access to health services, and quality
scaled up and diversified products and markets,
of graduates for employment. These will allow the
and targeted comprehensive packages of support
country to still reach the demographic dividend and
for specific products and services sectors. This is to
build a healthy and resilient Philippines.
take advantage of the shifts in business processes
and consumer preferences under the new and
Vigorously Advancing Science, Technology,
better normal. Furthermore, key reforms such
and Innovation (Chapter 14) is a major strategy
as the Corporate Recovery and Tax Incentives
to sustain and further accelerate growth in the
for Enterprises (CREATE) Act, the Financial
future by graduating to a knowledge economy.
Institutions Strategic Transfer (FIST) Act, and
This is a new chapter introduced in the PDP 2017-
the Government Financial Institutions Unified
2022, which recognized the need to strengthen
Initiatives to Distressed Enterprises for Economic
the country’s weak science, technology, and
Recovery (GUIDE) Act will be actively pursued and
innovation (STI) ecosystem. Moving forward, the
implemented. These reforms aim to lower corporate
government will focus the sector’s efforts towards
income tax and rationalize incentives, ensure a
health and resiliency. This will include the rollout of
sound financial sector, and provide liquidity, equity
technologies that will help address the pandemic and
infusion, and credit guarantees to sectors affected
its impacts. Various government support services
by the pandemic. The country’s strong and stable
for startups and MSMEs will also be ramped up to
macroeconomic fundamentals complemented with
help them become more innovative and resilient in
these strategies and responsive reforms will enable
times of crisis. In pursuit of a more inclusive STI
prompt recovery from the downturn caused by the
ecosystem, the creative arts will also be included
COVID-19 pandemic towards a healthy and resilient
in these efforts. The establishment of the National
Philippines under the new and better normal.
Innovation Council (NIC), which is seen to guide
the country towards long-term STI development,
Promoting Competition (Chapter 16) reinforces
will also be fast-tracked.
the Philippine Competition Act through strategies
that aim to foster an environment that penalizes
anti-competitive practices, facilitates entry of
players and creates an economic playing field where
these players operate and grow, supports regulatory

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework | 63


reform to address restrictive laws and regulations that Ensuring Security, Public Order, and Safety
hamper competition, and improves trade policies (Chapter 18) focuses on building the foundation for
to stimulate investments and innovation and boost inclusive growth, a high-trust and resilient society,
competitiveness. With the recent issuance of the and a globally-competitive knowledge economy.
National Competition Policy (NCP) through Joint Criminality has been reduced over the past three
Memorandum Circular No. 1 issued by the NEDA years, but efforts to address the prevalence of illegal
and the Philippine Competition Commission (PCC) drugs still need to be intensified. In terms of external
on July 30, 2020, the government will ensure that security, successful negotiations for the formulation
its responses and interventions follow competition of the ASEAN-China Code of Conduct in the South
principles to address market failures. China Sea is seen to ensure security and stability in
the region. Moving forward, the government will
continue to strengthen the capabilities of its security
Foundations for sustainable forces to ensure that the Philippine territory and
development are the bedrock sovereignty is defended. It also remains committed
in its campaign against all forms of criminality,
strategies that support all the illegal drugs, transnational crimes, trafficking-in-
three pillars of the PDP 2017- persons, and violent extremism. During times of
health emergencies, the whole of the security sector
2022. will be mobilized to adequately respond to the needs
of the people, including the provision of support
These strategies will ensure that all the strategies to sectors that bring food, basic necessities, and
identified above are implemented to achieve the essential services to them.
intended outcomes.
Accelerating Infrastructure Development (Chapter
Attaining Just and Lasting Peace (Chapter 17) 19) aims to support a higher growth trajectory and
emphasizes that peace is imperative for economic improve the quality of life in both urban and rural
growth to be sufficiently buoyant, sustainable, and communities. It will plug the infrastructure gap
inclusive. The enactment and ratification of the to catch up with peers in the ASEAN region. Since
Bangsamoro Organic Law marked a milestone in the 2017, the country’s infrastructure development has
peace process while the government institutionalized been continuously founded on a robust pipeline of
the whole-of-nation approach to end local forward-looking infrastructure projects through
communist armed conflict. Despite the successes, the BBB agenda. In 2018, infrastructure spending
there is still a need to ensure that the gains of the exceeded the benchmark 5 percent of GDP which
peace processes are sustained towards community is twice the average spending over the past five
resilience and to avoid further escalation of conflicts. decades. However, the challenges brought by the
These can be achieved by implementing a smooth pandemic will alter the overall infrastructure
transition process in the BARMM, capacitating development agenda. The resource requirements of
local governments to undertake localized peace the response to the pandemic is expected to reduce
engagements and strengthen convergence of national the fiscal space initially allotted for the portfolio of
government agencies to end communist insurgency, investments and could slow down the movement
and delivering the remaining commitments under and implementation of programs and projects.
closure agreements. Interventions in conflict-affected Accordingly, the government reassessed its strategies
and conflict-vulnerable areas will be sustained while and targets for the remaining Plan period to ensure
being mindful of new health protocols to ensure that these remain relevant and achievable in the face
that the socioeconomic impacts of the COVID-19 of the new and better normal and in pursuit of a
pandemic will not aggravate the fragile situation in healthy and resilient Philippines. Even while facing
these areas. constraints brought about by the pandemic, the
government will remain mindful of the long-term
development goals requiring early interventions.

64 | Updated Philippine Development Plan 2017-2022


Ensuring Ecological Integrity, Clean, and for OFs while upholding the commitments under
Healthy Environment (Chapter 20) guarantees an the Global Compact for Safe, Orderly, and Regular
ecosystem that provides services; supports growth Migration. With the COVID-19 pandemic and the
and performance of other services including subsequent global recession, the unprecedented
agriculture, fisheries, industry, and services; and volume of OFs who lost their jobs has heightened the
provides livelihood especially to resource-dependent government’s efforts in supporting repatriated and
communities. The pandemic and the mobility returning OFs, and those who remain overseas. The
restrictions that were imposed have redirected capacity of OF-serving agencies are being scaled up
attention to the most basic needs of air quality and to be able to serve and assist affected OFs. Further,
food, and how these relate to human health. Hence, the government is conducting skills retooling and
the shift towards sustainable development has now upgrading programs, employment assistance, and
become an urgent matter of survival. Building on short-term employment programs to facilitate local
the reforms and accomplishments in the past three re-employment of OFs who have returned. The
years of Plan implementation, the government will pandemic has highlighted the urgency of strategies
continue to improve the state of the environment already being pursued by the government in the
and natural resources. Alongside this is increasing first three years of the Plan implementation: (a)
the resilience of resource-dependent and vulnerable protecting the rights and improving the well-being
communities against the converging risks arising of OFs; (b) facilitating the reintegration of returnees
from natural and biological hazards under a and expanding opportunities for OFs to participate
changing climate. The sector’s goals and targets will in the country’s development; and (c) strengthening
be realized by addressing the long-standing issues OFs’ engagement in governance.
on governance, monitoring, and evaluation.
The succeeding chapters will provide specific details
Protecting the Rights, Promoting the Welfare, for each strategy per pillar. Each chapter begins with
and Expanding Opportunities for Overseas an assessment of previous accomplishments and the
Filipinos (OFs) (Chapter 21) focuses on the special lessons learned. This is followed by an enumeration
circumstances of OFs and their families, and aims of the medium-term targets, noting those indicators
to empower OFs towards inclusive and sustainable and targets that have been duly revised. The specific
development. From 2017 to 2019, there have been strategies and legislative agenda to meet these
significant developments in International Migration targets are then elaborated.
and Development (IMD). For this PDP midterm
update, a separate chapter on IMD has been added to
ensure greater coherence and comprehensiveness in
discussing issues, relevant indicators, and strategies

Chapter 4 Philippine Development Plan 2017-2022 Overall Framework | 65


PART II

BUILDING A
HIGH-TRUST
SOCIETY
(“MALASAKIT ”)
05
Ensuring
Responsive,
People-centered,
Technology-
enabled,
and Clean
Governance
CHAPTER 5

Ensuring Responsive, People-


centered, Technology-enabled,
and Clean Governance
Transparent, accountable, and effective institutions enable efficient delivery of public services
and generate high public trust, which are crucial in achieving a healthy and resilient Philippines.
In the first half of Plan implementation, significant accomplishments in the governance
sector came in the form of the enactment of several laws that will improve the way the
government delivers its services to the people. In light of the COVID-19 pandemic, the
government will expedite its shift to digital platforms for citizen engagement, service
delivery, capacity building, and accountability mechanisms.

For the rest of the Plan period, reforms will focus on: (a) proactively seeking citizens’
perspectives to ensure the responsiveness of government interventions; (b) expediting the
implementation of the Ease of Doing Business and Efficient Government Service Delivery
(EODB-EGSD) Act of 2018 (Republic Act [RA] 11032) and the Philippine Identification
System (PhilSys) Act (RA 11055); (c) building the capacities and preparing systems of local
government units (LGUs) for the implementation of the Supreme Court (SC) ruling in the
Mandanas case (General Register No. 199802, July 3, 2018);1 (d) formulating public service
continuity plans; and (e) tapping technologies to strengthen anti-corruption mechanisms.

Assessment and Challenges


Assessment: Major reforms in the governance For instance, some LGUs adopted electronic business
sector have brought about increased access to and permit and licensing systems. The validity of the
quality of frontline services. Legal frameworks have passport was extended to 10 years. The National
been institutionalized, such as the EODB and EGSD Economic and Development Authority (NEDA) has
Act and PhilSys Act to streamline processes and developed the Public Investment Program Online
increase access to government services. Initiatives to (PIPOL) System for submission of programs and
automate processes are also being implemented for projects.
transactions between government and businesses,
government and citizens, and government and Challenges: Physical distancing measures necessitate
government. the adoption of alternative work arrangements and

1
The ruling significantly expands the tax base for LGUs’ share in national taxes to include not only national internal revenue taxes but also customs
duties and fees.

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 71


digital transactions, which require the revision of online platforms demand that the government
existing government rules and regulations. With the establish security mechanisms against incidences of
increasing use of online forms of citizen engagement cybercrimes and cyberattacks. With the greater role
and the use of big data analytics, the rise of fake of the LGUs, as first responders and frontline service
news and misinformation, lapses in transparency, delivery units in times of crises, their varying levels
and issues on human rights pose challenges in of institutional capacity, readiness, and leadership
strengthening social cohesion. Relatedly, these affect the pace of delivering services.

Targets
Targets are retained for the rest of the Plan period Development Index (EGDI) was included as a new
except for the Worldwide Governance Indicator indicator to capture the progress in the adoption of
(WGI) - Regulatory Quality2 and the Global e-governance, which is crucial in the new normal.
Competitiveness Index (GCI),3 which were lowered Scores on global indicators will also be reported
by one percentile rank due to the economic to monitor progress of the country’s year-on-year
contraction caused by the pandemic and based performance.
on the historical performance of the country.
The United Nations’ (UN) Global e-Government

Table 5.1 Updated Plan Targets to Ensure Responsive, People-centered, Technology-enabled,


and Clean Governance

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Sector Outcome: Responsive, people-centered, technology-enabled, and clean governance

None
Score in the national governance index improved Increasing Increasing Increasing Increasing
(2015)

Subsector Outcome: Participatory governance broadened

Percentile ranking in the 51


60 60 60 60
WGI – Voice and Accountability improved (2015)

64/100
Open Budget Index score improved 67/100 71/100 71/100 71/100
(2015)

2
The WGI-Regulatory Quality captures perceptions on the ability of government to formulate and implement sound policies and regulations
that permit and promote private sector development. Given the economic slowdown due to the impact of COVID-19 and enhanced community
quarantines, it is expected that there will be reduced private sector development. Thus, the targets were decreased.
3
The Global Competitiveness Report analyzes competitiveness along 12 pillars: institutions, infrastructure, macroeconomic environment,
health and primary education, higher education and training, goods market efficiency, labor market efficiency, financial market development,
technological readiness, market size, business sophistication, and innovation. Given the economic contraction brought by the pandemic, the
targets were lowered.

72 | Updated Philippine Development Plan 2017-2022


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Subsector Outcome: Seamless service delivery ensured

Percentile ranking in the 52


60 59 59 59
WGI – Regulatory Quality sustained (2015)

59
Percentile ranking in the GCI sustained 62 61 61 61
(2016)

0.6/1.00
Score in the Global e-GDI improved 0.7/1.0 N/A 0.7/1.0 0.7/1.0
(2016)

Percentile ranking in the WGI – 57


60 60 60 60
Government Effectiveness improved (2015)

Subsector Outcome: Public accountability and integrity strengthened

Percentile ranking in the WGI – 40


50 50 50 50
Control of Corruption improved (2015)

Percentile ranking in the Corruption Perceptions 43


50 50 50 50
Index (CPI) improved (2015)

35/100
Score in the CPI improved 37/100 38/100 38/100 38/100
(2015)

*2020 original targets set/approved in 2016/prior to the pandemic retained

Strategic Framework
The revised strategic framework (see Figure 5.1) Specifically, the government will: (a) sustain
maintains a culture-sensitive perspective, gender- the automation of government processes for
sensitive paradigm, and rights-based approach to corruption-free, people-centered delivery of
public service. The framework has been expanded services through the full implementation of the
to mainstream technology across all subsector EODB and EGSD Act; (b) increase the people’s
outcomes and to improve the agility of the access to these services through reconfigured
government to adapt to the new normal. Further, government systems pursuant to the PhilSys Act;
a whole-of-society approach will be implemented and (c) strengthen the capacities of the LGUs,
to strengthen convergence in achieving the civil society organizations (CSOs), and other
sectoral outcomes. Rather than looking at each local stakeholders to ensure readiness for the
subsector outcome as agency-led initiatives, for implementation of the Mandanas case ruling in
the rest of the Plan period, greater coordination the midst of other multidimensional risks.
and complementation amongst agencies and non-
government sectors will be pursued to drive the
achievement of these outcomes.

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 73


Figure 5.1 Strategic Framework to Ensure Responsive, People-centered, Technology-enabled,
and Clean Governance

Strategies
At the national level, the NEDA and the Philippine for each program, project, and initiative can be
Statistics Authority (PSA), with other agencies, mined for higher-level analysis (if possible) and
will develop and institutionalize a National future planning.
Governance Index (NGI). The NGI will consider
relevant Sustainable Development Goal (SDG) To enhance anticipatory planning, the government
16 4 indicators and other measures of governance will conduct ex-post evaluation of the various
and competitiveness. interventions rolled out during the imposition of
the enhanced community quarantine (ECQ) and
Relatedly, a monitoring and evaluation (M&E) general community quarantine (GCQ) to determine
system for the sector will also be institutionalized lessons learned, share best practices across different
to track the accomplishments and challenges in agencies and the LGUs, and influence future
the sector and to formulate strategies that will policies.
address bottlenecks. A standard way of collection,
organization, and analysis of indicators will also
be developed and prescribed so that indicators

4
SDG 16: Promote peaceful and inclusive societies for sustainable development, provide access to justice for all, and build effective, accountable,
and inclusive institutions at all levels.

74 | Updated Philippine Development Plan 2017-2022


Broadening participatory The government will develop programs for
people to participate in the promotion of citizen
governance empowerment in their respective locality. Platforms
will be provided to enable citizens and CSOs to
The government will promote a culture of informing, participate in local government processes such as
engaging, and empowering citizens. Thus, adequate development planning, budgeting, implementation,
and genuine representation of civil society in and M&E. Development of mobile apps, utilization
local development councils and other advisory of media platforms, and application of geotagging
bodies will be ensured. Response and feedback technologies will also be implemented to facilitate
mechanisms will also be localized and expanded. broader participation such as Development Live
Electoral reforms will be intensified while observing (DevLive).6 With the institutionalization of the
risk mitigation protocols for the citizenry. Citizen Participatory Audit (CPA), citizens and
LGUs will be capacitated on the auditing process and
Government programs, projects, and public policies the importance of CPA in minimizing corruption
will be made more inclusive and responsive to the and enhancing public accountability.
needs of the different sectors. The government will
ensure that overseas Filipinos, micro, small, and Furthermore, these initiatives will be implemented:
medium enterprises (MSMEs), and the vulnerable
and marginalized sectors, such as indigenous • Encourage volunteerism to promote shared
groups (IPs) and persons with disability, are responsibility and accountability in achieving
involved in development planning. Frontline development goals. The government will
agencies will be trained on mainstreaming human reinforce and strengthen the practice of
rights-based approach to development planning to volunteerism in the delivery of social services,
enable them to assist and provide the public with provision of technical assistance, response
better government services. to disaster, and undertaking humanitarian
efforts, especially in remote and unserved
Proactively seek citizens’ perspectives for areas. Encouraging volunteerism will also be
responsive government interventions. Agencies explored as a criterion in the Seal of Good Local
will proactively solicit comments and suggestions Governance (SGLG).
from citizens using a three-pronged approach:
(a) providing adequate venues for engagement; • Ascertain the functionality and quality of
(b) communicating in clear language; and (c) local special bodies. Further advocacy will be
collaborating with other sectors. The “outside-in” conducted to encourage more CSOs to apply
approach5 will be adopted by actively listening for accreditation, as outlined in the Department
to the people and understanding their needs and of the Interior and Local Government’s
expectations. This brings the voice of the citizens (DILG) Memorandum Circular No. 2019-
into the decision-making for and design of public 72. 7 Existing guidelines of other agencies on
services. Several platforms will be provided to CSO accreditation will also be harmonized.
enable ordinary citizens to take an active role in The selection process and criteria for CSO
information sharing, public resource management, members will be upgraded to ensure unbiased
policy and regulation review, and other related and fair representation in local special bodies.
processes. A whole-of-society approach in national
and local planning will be instilled.

5
An approach where service providers place themselves in the position of their clients and view themselves from their clients’ perspective. In this
manner, services will be designed to be more responsive and easily accessible to the clients.
6
Developed by the DILG and the United Nations Development Programme (UNDP), DevLive is a mobile application where citizens can report
status of projects in their communities that allows greater transparency, accountability, and efficiency in the implementation of government
infrastructure projects.
7
Guidelines on the accreditation of CSO and selection of representatives to the local special bodies, which became effective starting June 11, 2019.

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 75


Further, the DILG will capacitate and evaluate The National Government (NG) and the LGUs
the functionality of these bodies to ascertain will maximize the use of online platforms
the legitimacy of representatives and sectoral to provide timely and responsive public
concerns in the planning process. information including policies, advisories,
statistics, and other government data. At-a-
• Upscale existing governance initiatives. The glance, information on government services
government will continue to implement and will also be provided in a comprehensive,
upscale efforts in fulfilling the commitments accessible, and timely manner.
to the Open Government Partnership (OGP)
Action Plans and Participatory Governance Aside from these, the government will utilize
Cluster Performance and Projects Roadmap other platforms to reach a wider audience and
(2017-2022). Best practices from the engage citizens to generate more feedback
partnership will be shared with other on the quality of government services. These
government agencies through the conduct platforms include social media, text messaging,
of regular, online peer learning sessions. The call centers, and mobile apps, which will be
national government will also develop and institutionalized at the local level, as much as
issue a unified policy on citizen engagement possible. Crowdsourcing will be explored as
in governance to consolidate fragmented another form of public consultation, while
guidelines, institutionalize best practices, collaboration with non-government sectors will
and ensure sustainability of existing open be facilitated. Mechanisms will be improved
and participatory governance reforms. To and simplified to ensure that the feedback loop
complement these mechanisms, national is closed – citizens who submit complaints
agencies will sustain compliance with the must be given real-time updates on their issues
Transparency Seal. Agencies will also engage to show that their concerns matter.
and partner with the private sector, academe,
civil society, and other stakeholders for The Report Card Survey (RCS), now under the
service innovations, technologies, and Anti-Red Tape Authority’s (ARTA) purview,
research and development. will be expanded and revamped to incorporate
more measures of citizen satisfaction using
Ensure public access to transparent, strategic risk a leaner, simpler tool. This will allow the
communication. The government will continue to identification of priority areas for service
pursue the passage of the Freedom of Information improvement, comparison, benchmarking
(FOI) Bill to enable the public to have access to across agencies, and recognizing best practices
government data through online means, among for replication. The RCS will be cross-
others, free of charge and in an open format. With referenced and, if possible, harmonized into a
the right information, the public can provide single survey with other existing stakeholder
insights and possible solutions that the government satisfaction surveys such as the Development
can use in crafting policies, plans, programs, and Academy of the Philippines’ (DAP) Customer/
projects. Specific initiatives include: Business/Stakeholder Satisfaction Surveys and
the DILG’s Citizen Satisfaction Index System.
• Mainstream the use of technology in informing,
consulting, involving, collaborating, and • Develop and implement a framework for
empowering citizens. Adequate information privacy, personal data protection, and security
and communications technology (ICT) in the use and application of ICT. While
infrastructure will be pursued through programs for an ICT-enabled government are
provision of free Wi-Fi access in all public being accelerated, the government will also
places and rollout of programs included ensure that data privacy rights of citizens remain
in the Department of Information and protected under these e-programs. Safeguards
Communications Technology’s (DICT) against cybercrimes and data privacy breach
e-Government Masterplan. will be enhanced by strengthening the capacity

76 | Updated Philippine Development Plan 2017-2022


of the DICT. The government will also revisit Strengthen the whole-of-government approach
the Data Privacy Act of 2012 (RA 10173) to in the delivery of key services. A whole-of-
examine its safety measures and determine government approach entails interoperable
its sufficiency in balancing concerns on data government processes and systems in delivering
privacy and public welfare. Privacy impact key services (e.g., provision of healthcare,
assessment will be conducted with guidance access to basic social services, and utilization of
from the National Privacy Commission (NPC). the PhilSys, among others). Effective service
Data sharing agreements will be enforced to delivery to overseas Filipinos (OFs) will also be
facilitate information sharing, where possible. pursued (see Chapter 21). Coordination among the
NG, the LGUs, private sector, and civil society will
Intensify organizational and electoral reforms. be enhanced by automating systems and linking
Spearheaded by the Commission on Elections government services. To increase public satisfaction
(COMELEC), the government will push for political and confidence in the government, initiatives will be
and electoral reforms to integrate new election implemented on the use of evidence-based service
protocols such as, but not limited to, automation quality standards, performance excellence, and best
and online system of voter registration, digitization practices in citizen-centered public service delivery.
of voters’ list, enhancement of voting measures Complementing efforts at the national level, LGU
for senior citizens and persons with disabilities, capacities on the implementation of infrastructure
and establishment of additional polling places for projects and the delivery of devolved services will
indigenous groups (see also Legislative Agenda). also be enhanced to take advantage of the increase
Rules and regulations on party-list development, in their resources following the Mandanas case
anti-political dynasty, and campaign financing will ruling. A communication, outreach, and standards
also be pursued. development for devolved services and roadmap
to manage the transition will be formulated and
To ensure a more responsive and resilient electoral implemented by the time the ruling takes effect in
process, appropriate risk mitigation measures 2022.
against COVID-19, or any other pandemic, will be
developed for the 2022 elections. Voter education Aside from these, the following initiatives will be
activities will be intensified to include information pursued:
on safety protocols during elections. Similar to
previous initiatives, there will be partnership with • Expedite implementation of the EODB and
state universities and colleges (SUCs) and open EGSD Act. Implementation of the law must
universities for the development of education cover the: (a) issuance and extension of validity
modules and dissemination of information. Online of permits and licenses; (b) reduction in the
platforms will also be utilized to inform voters. number of signatories and requirements; and
(c) use of online filing and payment platforms
of government agencies. As much as possible,
Ensuring seamless service government procedures and processes will
delivery be automated through either full migration
to online systems or utilization of a common
All of government will be engaged in streamlining platform such as the National Government
policies, processes, and procedures, while ensuring Portal (NGP). This platform will also include
interoperability to facilitate the shift towards a standard, full suite of common government
e-governance. Better service delivery strategies and processes (i.e., human resource management
new programs will be co-created among related and procurement) to minimize duplication
agencies, relevant stakeholders, and citizens. of efforts by various agencies. The ARTA will
be fully operationalized and agencies will be
trained to identify transaction complexity

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 77


of government procedures for appropriate bank account opening/ownership for which
response times. PhilSys ID will be an acceptable proof of
identity. To facilitate this, bank account
• Fast-track the digitalization of frontline opening will be co-located with registration
services and contactless transactions with areas. Further, functionality of PhilSys will
the government. Digitalization will entail also be harnessed in the development of the
electronic and paperless systems, zero-contact country’s digital economy through its secure
policies, online transactions, and new channels identification and verification platforms.
for service delivery. The government will invest
in ICT to enable remote government operations • Implement the community-based monitoring
and to strengthen and harmonize existing online system (CBMS). As provided for by the CBMS
platforms. Aside from preparing the necessary Act (RA 11315) and the recent promulgation of
ICT infrastructure, the DICT will also fast-track its implementing rules and regulations (IRR),8
the implementation of its Digital Government the CBMS will be conducted to ensure that the
Program to develop key solutions for national LGUs have regularly updated facts, figures, and
government agencies (NGAs) and the LGUs maps on the different dimensions of poverty at
that will enable them to remotely perform the local level. Given current health and safety
their mandates and implement their programs, protocols, such conduct must be done through
projects, and activities. These include providing computer-assisted personal interviewing. The
reliable and secure connectivity, collaboration NG and the LGUs will utilize CBMS-gathered
tools, videoconferencing applications, cloud data for seamless and targeted distribution of
platforms, cloud hosting, and digital signatures. social assistance and other public services. The
Moreover, the DICT will enforce the Philippine PhilSys will be integrated with the CBMS to
e-Government Interoperability Framework harmonize LGU data and further streamline
(PeGIF) which defines a common language, administrative processes.
principles, and standards that the NGAs should
adopt in designing their technology-enabled • Formulate and enforce national and local
platforms to ensure cohesion of ICT systems for preparedness and response frameworks for
the whole of government. disease outbreaks and pandemics. Existing
frameworks for disaster risk reduction and
• Accelerate the implementation of PhilSys. management (DRRM) and crisis management
As registries of program beneficiaries and the at the national and local levels will be updated
use of digital payments have become critical and harmonized based on robust assessment,
in this new normal, implementation of PhilSys surveillance, and monitoring of hazards, risks,
will be accelerated by increasing registration and diseases. The IRR of the Philippine DRRM
kits. To achieve its targeted registration of 116 Act of 2010 (RA 10121) will be revised to
million population by 2023, the PSA will fast- explicitly identify public health emergencies
track the completion of registration guidelines such as pandemics in the definition of disaster
and protocols, recruitment and training of field events. These frameworks will be enforced at
registration personnel, and establishment of the local level to ensure proper planning and
registration centers. Use cases for the issued implementation of interventions intended to
identification (ID) called the PhilSys ID, will address health and other state emergencies.
be identified, particularly in facilitating more
efficient provision of key services (e.g., pension, Enhance regulatory quality. The EODB and
conditional cash transfer, farmer assistance, EGSD Act institutionalizes the regulatory impact
health coverage, among others). A primary use assessment (RIA) in the bureaucracy, which
case, especially for low-income households, is mandates the thorough review of regulations

8
Signed and approved on May 20, 2020.

78 | Updated Philippine Development Plan 2017-2022


prior to their issuance. Other reforms will also be the services that must be complied with by
intensified to reduce unnecessary regulatory burden LGUs based on existing laws and issuances.
while simplifying processes: This checklist can then be used by the DILG
for the SGLG, by constitutional bodies for the
• Expand the National Effort for the exercise of their functions, and by Congress
Harmonization of Efficient Measures of Inter- for policy triggers.
related Agencies (Program NEHEMIA) for the
pursuit of a whole-of-government approach to • Accelerate the adoption of RIA. Priority will
service delivery. Program NEHEMIA will be be given to the development of a national
sustained to supplement efforts in eliminating and sectoral framework for RIA, including
red tape in the government by reducing the drafting of proportionality analysis
time, cost, requirements, and procedures in guidelines. Regulatory agencies, the legislative
sectors of economic and social significance branch, the LGUs, and the decision-makers
by 52 percent within 52 weeks. Its scope will will be trained to undertake RIA. Courses
be expanded to other sectors taking off from on compliance cost assessment and public
the first phase, which included common consultation will also be conducted to support
tower and connectivity, housing, food and an effective RIA implementation. Online
pharmaceutical, logistics, and the energy training and assessment platforms will be
sectors. developed in this regard.

• Reduce administrative burden within the • Revisit and strengthen the results-based
government. To support remote government performance management. The Results-Based
operations, oversight agencies, such as the Performance Management System (RBPMS)
Department of Budget and Management will be intensified by refining performance
(DBM), the Government Procurement Policy measurements, strengthening M&E systems
Board (GPPB), the Commission on Audit of performance targets, and making the link
(COA), and the Civil Service Commission to performance incentives more explicit. The
(CSC), among others, will review and rationalize criteria and conditions of the performance-
their rules, regulations, and requirements to based bonus (PBB) will complement the
allow for electronic transactions, alternative desired reforms (e.g., digitization, contactless
work arrangements, and procurement of off- transactions, and productivity increase)
the-shelf software 9 in the public sector. This and the achievement of desired sectoral,
likewise applies to intra-agency documentary societal outcomes, and results that are
requirements of offices. relevant to ordinary citizens. In particular,
the possibility of delinking the RBPMS from
Pre-existing issues with the IRR of the the PBB will be explored. Organizational
Government Procurement Reform Act (RA rewards such as capital investments will be
9184) (e.g., tedious process) and the COA rules granted rather than individual incentives to
(e.g., uniform application) will be addressed encourage agency-wide collaboration. Further,
through the review and amendment of these information on the rationale of the PBB as
regulations, as necessary, while making these a reform measure to improve performance
responsive to the new normal. and productivity both at individual and
organizational levels will be cascaded.
There will also be a review of agency-specific
and sector-wide policies to improve internal Boost capabilities of the LGUs as first
and sectoral efficiency. At the local level, a responders and frontline service delivery
standard checklist will be developed containing units. In a time of crisis, program convergence

9
Regular procurement rules will apply after the Bayanihan Act lapses in effectivity.

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 79


and coherent coordination between and among Developing smart and resilient
the NG, the LGUs, private sector, and CSOs,
are crucial particularly in transitioning to the public organizations and
new normal. Proper change management on the future-ready public servants
devolution of services will be observed through
collaboration between various government Capacity-building interventions and infusion of
agencies and the LGUs, and timely dissemination technology in human resource (HR) management
of information to the LGUs. This includes a review will enable smart and resilient public sector
of national policies and regulations such as auditing organizations as well as develop and sustain a
rules for more effective control mechanisms, corps of smart and future-ready public servants.
pertinent provisions of the Local Government The advent of the Fourth Industrial Revolution
Code, and position qualification standards for (FIRe) entails the automation of HR processes
capacity issues. and the integration of HR systems that are aligned
with government masterplans. Essential to these
The government will craft the transition plan for will be the development of a bureaucracy-wide
implementing the Supreme Court (SC) ruling in the HR Management Information System (MIS),
Mandanas case, which, upon its rollout, will provide propelling a shift from transactional to strategic HR
the LGUs greater access to funds to implement management.
devolved services. Guidelines on the use of the
internal revenue allotment (IRA) for development Strengthen competencies for innovation,
projects will also be revisited to facilitate investments anticipatory planning, risk management, and
in community health programs and facilities. In emergency response. Since the new normal
light of disruptions to local economies, the LGUs is characterized by volatility and uncertainty,
will be empowered to shift towards new income public sector organizations need to be agile and
opportunities and revive local industries as early future-ready, with strong adaptive capacity. To
as 2021 and update their Local Investments and ensure productivity of the public sector, initiatives
Incentives Codes accordingly. will focus on fostering innovation and futures
thinking. Public sector organizations will be
The LGU capacities on forward planning, budgeting, assisted in applying design-thinking principles
implementing, monitoring, and evaluating and strategic foresight tools. These interventions
government projects, such as infrastructure, will be complemented with institutionalizing
and the delivery of devolved services will be better knowledge management practices and
enhanced. In this regard, the NEDA will take on encouraging knowledge sharing and collaboration
a bigger role by working with the DILG, the DAP, between agencies. Online modules and training
different SUCs, the Local Government Academy on risk management and emergency response
(LGA), and other training institutions to will be developed and provided to civil servants
deliver the necessary training and other capacity to cope with the new normal.
development interventions. The DILG will also
ensure that the LGUs are provided with necessary Comprehensive and multimodal learning
capacity development to prepare them for opportunities will also be provided for public
bigger responsibilities and accountability given managers, high level officials, and local chief
their increased share from the national wealth. executives through the DAP's Public Management
Development Program. The DAP will likewise
continue its Capability Building on Innovative
Leadership for Legislative Staff Program, which
aims to capacitate senior executives, managers, and
technical staff members of the Legislative branch.

80 | Updated Philippine Development Plan 2017-2022


To optimize investment in HR development, the ensure consistency and quality of trainings.
Philippine Civil Service Academy (CSA) will be Development of these modules will also be cross-
fully reactivated, which, under Presidential Decree referenced with the results of the National Values
(PD) 1218, will be responsible for the planning, Survey commissioned by the NEDA and the Study
formulation, and implementation of training on Filipino Values commissioned by the National
and other career development programs for first Commission for Culture and the Arts (NCCA)
and second level positions of the career service. to ensure that Filipino values are integrated in all
The CSA will also formulate policies that will levels of civil service. The Public Service Values
govern all locally- and foreign- funded scholarship Program will be revisited to strengthen inculcation
programs in the government. of patriotism, integrity, excellence, and spirituality
in public servants and officials (see also Chapter 7).
Various forms of alternative learning and The CSC will tap accredited learning and
technology-enabled platforms in enhancing development institutions in the conduct of these
capacities and competencies of local chief values-oriented interventions. Technology-enabled
executives will be explored in preparation for the platforms will be widely used to raise awareness on
increase in LGU expenditure responsibilities due civil service values and norms.
to the full implementation of the Mandanas case
ruling in 2022. The DILG and the LGA will work Integrate risk assessment and anticipatory
with the NEDA in conducting training programs response in HR policies, programs, and systems.
on policy, planning, programming, budgeting, To ensure that gains and developments in the
implementation, and M&E of devolved services and government are guarded from disruptions caused
the basic standards of service delivery. by crises, the government agencies will formulate
and rehearse their public service continuity plans.
Continue training and capability advancement Occupational safety and emergency response
of government executives and high-level civil standards in the government will be enforced
servants. The government will maintain an efficient to keep the workforce intact, productive, and
and talented bureaucracy, promote innovation, motivated. In crafting these continuity plans,
teamwork, reform-orientation, and outcome relevant stakeholders will be engaged and
focus among government personnel, and break consulted to ensure their buy-in and support to
the silo mentality. These will be done through a the implementation of these plans.
Career Executive Service Development Program
for government, such as the Public Management Current HR policies, programs, and systems will
Development Program, the Leadership Certification be reviewed and revised to ensure responsiveness
for Middle Managers, and the Public Financial to current times. Alternative or flexible work
Management Competency Programs. Third- arrangements will be institutionalized, with
level officials will be encouraged to complete the appropriate control and performance management
Leadership and Management Proficiency Program mechanisms. Adequate resources and other support
under the Career Executive Service Board (CESB). mechanisms will also be provided to ensure viability
of these work arrangements. HR management
Promote shared public sector values. A whole- systems of the CSC will also be modernized to
of-government and whole-of-society National adapt to the transformation to digital economy. This
Values Formation Program will be implemented entails establishment of a single comprehensive
by the government to address the anticipated HR MIS that will utilize digital tools for HR data
changes in behavior and level of social trust. analytics and support decision-making by the CSC.
Values-related training programs for civil This will enable the Commission to better and more
servants such as the Alay sa Bayan, Public effectively manage civil service nationwide.
Service Ethics and Accountability, and values
orientation workshop will be harmonized to

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 81


Strengthening public Previous prevention measures will be continued
such as the country’s commitment to the UN
accountability and integrity Convention against Corruption, other anti-
corruption programs (e.g., Integrity Management
The remaining Plan period will focus on intensified Program), and existing transparency initiatives
inter-agency and whole-of-society efforts in (e.g., Full Disclosure Policy, Transparency Seal, and
reducing corruption through education, Citizen’s Charter).
prevention, and enforcement.
Strengthen monitoring and enforcement
Engage citizens in anti-corruption drives. mechanisms for accountability. Anti-corruption
Public awareness will be enhanced through laws and issuances will be fully enforced, especially
continuous collaboration with the non- with the enactment of the EODB and EGSD
government sector (e.g., academe, media, and Act that penalizes civil servants found guilty of
civil society) and the use of technology-enabled bribery. To expedite processing of cases and other
platforms (e.g., social media). By providing administrative processes for corruption incidents
appropriate and adequate mechanisms for and allegations, agencies will utilize technologies
citizens to report incidences of corruption, to automate complaints filing and evaluation, case
citizens’ active involvement in the campaign management, and case inventory, among others.
against corruption will be heightened. Administrative investigations for corruption
To this end, the mobile and web platforms of incidents and allegations will also be streamlined.
Hotline 8888 will be reinforced, while reporting
tools will be simplified. A quick response system Citizen empowerment efforts and capacity-building
will also be established to build public trust by activities for non-government organizations
providing simplified reporting tools in various and other volunteers on monitoring and public
delivery modes, channels, and platforms. accountability will also be strengthened and
Whistleblowing programs of agencies will also expanded through open and participatory
be strengthened by increasing incentives and governance programs. The DILG’s Bantay
protection for whistleblowers. Korapsyon Program will mobilize citizens and
utilize various anti-corruption mechanisms at the
Integrate anti-corruption measures in risk local level to ensure that erring local officials will be
reduction and management framework for held accountable for committing corrupt practices
disasters and other forms of crisis. The government and failure to perform their mandated functions.
will conduct corruption risk assessments of disaster
and crisis preparedness and response. In this
regard, Internal Audit Service units of government
agencies will be capacitated to ensure effective
control systems in the bureaucracy. Safeguards will
be installed to protect the integrity of systems and
mechanisms, such as utilizing technology for the
disbursement of resources.

82 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 5.2 Legislative Agenda to Ensure Responsive, People-centered, Technology-enabled,


and Clean Governance

LEGISLATIVE AGENDA RATIONALE

Participatory governance broadened

Freedom of Information (FOI) Act This will address transparency issues on government data, thereby
promoting meaningful and increased participation of the people in
government decision-making and public accountability.

Review of the Voter’s Registration Act This will allow for online registration and online voting, and facilitate risk
of 1996 (RA 8189), Automated Election mitigation procedures for the 2022 National and Local Elections.
System Act (RA 9369 amending RA
8436), and Fair Elections Act (RA
9006)

Seamless service delivery ensured

Budget Modernization Act This will support the expansionary fiscal policy of the government in
response to COVID-19 through (a) streamlining the cash budgeting
system; (b) strengthening the Bureau of the Treasury’s (BTr) oversight
function over government bank accounts; (c) providing the legal basis for
upholding the validity of online financial transactions; (d) giving the DBM
it's power over internal audit standards; and (e) instituting participation in
government budgeting.

National Planning and This will strengthen horizontal and vertical coherence of policies, plans,
Development Act and programs among agencies and across administrative units, as well as
the functional translation of plans into investment programs, budget, and
implementation.

Smart and resilient public organizations and future-ready public servants developed

Amendments to the Telecommuting This will institutionalize flexible and alternative working arrangements for
Act of 2018 (RA 11165) employees in the public sector providing non-frontline public services.

Chapter 5 Ensuring Responsive, People-centered, Technology-enabled, and Clean Governance | 83


06
Pursuing Swift,
Fair, and Humane
Administration of
Justice
CHAPTER 6

Pursuing Swift, Fair, and Humane


Administration of Justice
In pursuit of swift and fair administration of justice, the Philippine Development Plan (PDP)
2017-2022 outlines strategies aimed at enhancing the country’s civil, criminal, commercial,
and administrative justice systems and improving efficiency and accountability in the justice
sector. The gains achieved during the past three years set the stage for further improvements
in terms of the institutional, policy, and process framework of the justice system.

Access to justice and the protection of human rights are fundamental outcomes that need to
be guaranteed in order to protect and improve the well-being of Filipinos.

In light of the COVID-19 pandemic, the government will maximize the use of digital platforms
to ensure swift, fair, and humane administration of justice. It will further strengthen the
coordination and cooperation among justice sector agencies, and continuously streamline
and improve processes within the different pillars of the justice system.

Assessment and Challenges


Assessment: Streamlined processes, increased Challenges: Congestion of case dockets and penal
human resources and courts, increased jail and facilities and other resource deficiencies are among
prison personnel and improved facilities, revised the most critical challenges in the justice system,
judicial rules and procedures, and sector-wide particularly affecting the provision of timely and
collaboration resulted in higher case disposition effective remedy and resolution of cases. The
rates. These were complemented by information COVID-19 pandemic highlighted the persisting
and communications technology (ICT)-enabled problem of overcrowding in jails and prisons and the
systems. Improvements in the legal framework need to strictly enforce health and safety protocols
were made through legislative and executive actions in penal facilities. Addressing these concerns is
relative to the criminal justice system. With the essential towards achieving a responsive, humane,
onset of the COVID-19 pandemic, justice sector and inclusive justice system.
agencies will increasingly rely on ICT to facilitate
access to justice particularly on the conduct of
judicial and investigation procedures.

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice | 87


Targets
The country’s performance in the World Governance strategic framework of the sector. Original targets
Indicator and World Justice Project Rule of Law for the percentile rank of the core indicators
(WJP-ROL) Index will continuously be monitored. were retained. Country scores in WJP-ROL sub-
For the PDP 2017-2022 midterm update, the core indicators were also added as targets.
indicators are rearranged in line with the updated

Table 6.1 Updated Plan Targets to Pursue Swift, Fair, and Humane Administration of Justice

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 **
2021 2022 END OF PLAN

Subsector Outcome: Criminal, civil, and economic justice processes ICT-enabled and streamlined

WJP-ROL Index improved

Sub-indicator on Fundamental Rights improved

26.55
Percentile rank 28.00 29.00 29.00 29.00
(2016)

0.50
Score Increasing Increasing Increasing Increasing
(2016)

Sub-indicator on Civil Justice improved

23.01
Percentile rank 25.00 27.00 27.00 27.00
(2016)

0.45
Score Increasing Increasing Increasing Increasing
(2016)

Sub-indicator on Criminal Justice improved

25.66
Percentile rank 27.00 29.00 29.00 29.00
(2016)

0.36
Score Increasing Increasing Increasing Increasing
(2016)

Subsector Outcome: Sector efficiency and accountability improved

Percentile rank in the World


43.27
Governance Indicator - Rule of Law 46.00 50.00 50.00 50.00
(2015)
improved

*2020 original targets set/approved in 2016 prior to the pandemic retained

88 | Updated Philippine Development Plan 2017-2022


Strategic Framework
The revised strategic framework (see Figure 6.1) and program convergence at the national and local
supports the pursuit of a whole-of-sector approach levels; (b) further increasing human resources and
and streamlined interdependence among the justice courts to enhance access to justice; (c) pursuing
sector institutions. Additional emphasis is given to ICT-enabled systems to streamline or harmonize
the pursuit of a more humane justice system. processes and facilitate information sharing; (d)
expanding and maximizing the use of Alternative
The government will sustain current reforms being Dispute Resolution (ADR); and (e) addressing
undertaken, and strengthen existing structures congestion in penal facilities through infrastructure
and systems. These will be done by (a) sustaining development and expedient criminal justice
and institutionalizing justice sector coordination processes.

Figure 6.1 Strategic Framework to Pursue Swift, Fair, and Humane Administration of Justice

Strategies
Streamlining ICT-enabled enabled systems will be expanded for investigation,
prosecution, and adjudication, harmonization of
criminal, civil, and economic procedures, and improving evidence management.
justice processes
Initiatives to improve the criminal investigation
system will be pursued. These include legislation
Streamline processes for speedy resolution of being proposed by the Department of Justice
criminal and civil cases. The justice sector agencies (DOJ) to streamline the criminal investigation
will maximize the use of available technologies for processes among prosecutors and law enforcers, as
the speedy resolution of criminal and civil cases, and well as improvements in existing court rules and
community and economic disputes. The use of ICT- procedures on criminal investigation and better

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice | 89


coordination with the Supreme Court (SC). The to be covered are the continuous trial system and
Witness Protection Program will be strengthened ICT-enabled systems such as videoconferencing
and a whistleblower protection program will be facilities and the e-Courts system. Initiatives on
established to facilitate case buildup, investigation, online filing of cases, petition of bails, and electronic
and prosecution, especially on heinous crimes testimony will also be institutionalized. The SC
and high-profile cases. International cooperation will enhance and expand the Family Courts Act
on criminal justice will also be pursued including of 1997 and pursue the drafting, finalization, and
mutual legal assistance and transfer of sentence. approval of its Implementing Rules and Regulations
(IRR). A review of the design and implementation
Investigation and prosecution of cases involving of the Justice on Wheels will also be pursued to
illegal drugs, human trafficking, cybercrime, and make it more relevant and accessible to the people.
grave human rights violations will remain a priority Lastly, the coverage of small claims courts will be
for the justice sector. As such, the government broadened by further promoting it to the public and
will establish and/or improve appropriate policies, expanding its coverage to more court users.
interventions, coordination, and specialized
procedures. Ensure access to justice by the poor, vulnerable,
and marginalized groups. To ensure access to
The ADR will be strengthened at all levels. justice, the government will prioritize strengthening
Specifically, the Katarungang Pambarangay will of the justice sector agencies’ capacity to deliver
be promoted as the primary mechanism of local legal and victim assistance. To increase access of
governments for resolving community-level the poor, vulnerable, and marginalized sectors to
disputes. The Department of the Interior and legal aid, plantilla positions will be increased, and
Local Government (DILG) will expand its awards the recruitment of investigators, prosecutors, public
program, while the DOJ-Office for ADR will attorneys, judges, and other legal or court officers
enhance and expand the scope of its mediation will be expedited. Support will also be provided to
capacity building for the Lupong Tagapamayapa all personnel nationwide.
in coordination with the DILG. In addition to its
regular functions on the provision of legal aid Apart from the regular services of the PAO, other
services, the Public Attorney’s Office (PAO) will legal aid programs will also be sustained and
sustain its services on mediation and conciliation improved such as the implementation of the Revised
of disputes. The DOJ will also continue to build the Law Student Practice Rule (Rule 138-A) of the SC
prosecution-level mediation procedures as an ADR and the DOJ Action Center Program. The justice
mechanism in the National Prosecution Service. sector agencies will also explore and implement
Measures to further expand and mainstream the legal internship and practice programs to augment
use of ADR in relation to criminal justice will be the limited manpower for legal services and facilitate
explored, specifically to include law enforcement the recruitment of competent personnel.
agencies, indigenous and community-based
justice systems, and restorative justice. Given the Safe and convenient access to legal and victim
requirements for the post-COVID new normal, the assistance will be established through online
government will promote the use of online dispute and other communication platforms. Moreover,
resolution mechanisms at all levels. sustained physical access to free legal assistance and
victim support services of agencies concerned will
The SC will sustain the review and enhancement of be ensured even during pandemics and other public
judicial rules and procedures with the promulgation emergency situations.
and effectivity of the amendments to the Revised
Rules of Evidence (A.M. No. 19-08-15-SC) and to Assistance and support for victims of crimes and
the Revised Rules on Civil Procedure (A.M. No. 19- human rights violations, including gender-sensitive
10-20-SC), which took effect on May 1, 2020. Also and child-friendly procedures and facilities, will

90 | Updated Philippine Development Plan 2017-2022


be improved and strengthened. These include health monitoring will be provided to PDL, along
increasing the compensation of victims of unjust with provision of basic needs and services.
imprisonment and victims of violent crimes through Security facilities will be modernized to prevent
the amendment of RA 7309.1 Referral procedures escapes, violence, and illegal activities. Jail and
for legal assistance and victim support in relation to prison management policies will be continuously
applicable frontline services will be integrated into reviewed, improved, and harmonized. These include
the manuals of operations, Citizen’s Charter, and procedures in terms of admission, classification,
public assistance or complaint desk mechanism of security, health, medical treatment, visitation,
agencies concerned. transfer, transportation, and release. Authorities
will ensure that these standards are gender- and
The Commission on Human Rights (CHR) will child-responsive for PDL and visitors. Appropriate
continue its efforts to facilitate access to justice interventions will be put in place for radicalized
particularly on addressing human rights violations, PDL and those charged or convicted of heinous
empowering the marginalized to seek response crimes.
and remedies for injustice, and improving legal
protection awareness and aid, among others. Its Access to legal assistance for pre-sentence and
Legal Clinic Caravan will sustain its developmental sentenced PDL will be provided and facilitated. The
and legal assistance and counselling. These include Bureau of Jail Management and Penology (BJMP)
increasing human rights awareness, capacity will continuously improve and update its paralegal
building and training on basic human rights, and program for PDL in local jails, which the Bureau
raising public awareness on the role, mandate, and of Corrections (BUCOR) can adopt for national
services of CHR, and other relevant human rights penitentiaries. The e- Dalaw facility will be sustained
laws. and introduced in more jails and prisons to enable
off-site interface of PDL and their families, subject
Pursue jail decongestion and corrections reform. to appropriate security protocols and available
Jail decongestion and corrections reform will be resources.
pursued in terms of program, institutional, and
legal framework. This will be achieved by enforcing The Judiciary will sustain and expand its lead role
the right of persons deprived of liberty (PDLs) to in the Task Force Katarungan at Kalayaan as an
bail in appropriate cases and their right to speedy inter-agency forum to address jail congestion and
trial.2 Construction and repair of penal facilities will facilitate timely resolution of cases involving pre-
also be prioritized to improve living conditions of sentence detainees. The pilot implementation of the
PDL and facilitate offender rehabilitation, welfare, Task Force has been rolled out in the court stations
and development. The use of teleconferencing or of Manila, Quezon City, Makati City, Pasay City,
online hearings during court proceedings will be and Muntinlupa City. Innovative approaches on
expanded for PDL and other similarly situated facilitating the conduct of trial for PDLs will also be
parties (e.g., complainants, witnesses, and victims explored and pursued, including transfer of venue
who are constrained from physically appearing in in authorized cases for valid grounds and on-site
court) to facilitate faster resolution of cases. trial.

Alongside efforts to decongest penal facilities, The CHR will likewise continue its efforts in
the government will continue to intensify efforts operationalizing the Interim National Preventive
to ensure drug-free penal facilities and will put Mechanism (NPM) against torture pursuant to the
in place necessary health and safety protocols to State obligation under the United Nations (UN)
ensure humane living conditions of PDL. Regular Optional Protocol to the Convention against torture

1
  An Act Creating a Board of Claims under the DOJ for Victims of Unjust Imprisonment or Detention and Victims of Violent Crimes, and for
Other Purposes, RA 7309, 1992.
2
  Supreme Court of the Philippines, Administrative Memorandum No. 12-11-2-SC on Guidelines for Decongesting Holding Jails by Enforcing the
Rights of Accused Persons to Bail and to Speedy Trial, March 18, 2014.

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice | 91


and other cruel, inhuman, or degrading treatment or establishment criteria, monitoring and evaluation,
punishment. This aims to improve the human rights and possible alignment with other regional and
situations of PDL, the conditions of the detention local structures.
facilities, and the prevention of torture cases.
Respective justice sector agencies will implement
In partnership with other organizations, the CHR the Justice Sector Convergence Program, under the
will provide legal assistance to PDL and conduct leadership of the JSCC within the agreed strategic
regular case monitoring to facilitate early and timely framework. Initiatives will be anchored on individual
release of qualified PDL. agency mandates, programs, projects, functional
  competencies, and institutional independence.
The DOJ and the DILG will also coordinate with the
Congress to revisit and improve the country’s legal The current COVID-19 pandemic presents a new
and policy framework relating to the penal system dimension in coordinated justice sector approach.
and restorative justice, taking into consideration the A business continuity plan will be drafted to
state obligations on the rights of PDL, offenders, and ensure sustained administration of justice. This
victims, public safety, and national security. This includes the formulation of a sector-wide national
will include custody, reformation, and reintegration emergency preparedness and response framework.
of PDL, as well as improving the institutional Coordination with and guidance from justice
framework of penology and corrections. sector agencies during emergency situations will
be facilitated relative to the legal framework,
With the revised IRR of RA 10592, also referred to administration of justice, and protection of human
as the Good Conduct Time Allowance (GCTA) Law, rights.
strict implementation will be ensured particularly
on the exclusion of heinous crime offenders and The justice sector will sustain the implementation
inclusion of transparency and accountability of the National Justice Information System, with
mechanisms. Non-custodial measures will be the support of the Department of Information
maximized, including release on recognizance and and Communications Technology (DICT) and
community service for arrested and charged persons, in compliance with the requirements of the Data
and probation, parole, and executive clemency for Privacy Act. The DOJ, as the lead agency, will
convicted persons. Rules and guidelines relative to update the Single Carpeta System to conform to
probation, parole, and executive clemency will be the new IRR of the Expanded GCTA Law. The
reviewed and improved in the interest of restorative development of an information exchange platform
justice for the offender and the victim. will be pursued with the DICT towards streamlining
inter-agency processes within the justice sector. The
Philippine Crime Index will also be made available
initially to justice sector agencies to harmonize
Improving sector efficiency crime and criminal justice data for legal research
and accountability and as reference for policy development.

While the development of criminal justice


Strengthen justice sector coordination. information exchange is underway, the SC,
Coordination within the justice sector at the Philippine National Police (PNP), BJMP, BUCOR,
national and local levels will be strengthened and Bureau of Immigration (BI) will proceed with
through the Justice Sector Coordinating Council the development and implementation of systems
(JSCC) and its Justice Zones. The JSCC will establish and procedures for electronic transmittal and
additional sites subject to a thorough evaluation and documentation of warrants, hold departure orders,
calibration of implementing arrangements. This will and commitment, mittimus, and/or release orders.
include the governance mechanism, selection and

92 | Updated Philippine Development Plan 2017-2022


Moreover, the justice sector agencies will continue management, and administrative support processes,
to participate in other established inter-agency including monitoring and evaluation. The
mechanisms at the national, regional, and local development and use of the system for electronic
levels, with respect to governance, economic, and transmittal of warrants and court orders to agencies
social development, peace and order, public safety, concerned is ongoing. The Enhanced e-Warrant
and poverty alleviation. System was launched by the SC and the PNP on
Enhance sector efficiency. Justice sector agencies September 8, 2020.
will continue to review and improve their systems
and procedures in the context of the government’s Increase transparency, accountability, and citizen
quality and performance management policies, engagement. Justice sector agencies will continue
and in compliance with RA 11032.3 Sustained to participate in multi-sectoral mechanisms such as
administration of justice and delivery of services established committees, councils, and engagements
will be ensured amid public emergency situations. with civil society organizations (CSOs), for
purposes of planning and policy development.
Further, these agencies will work towards optimal The agencies will work together through the JSCC
access to and management of human, financial, in consolidating and harmonizing their available
and material resources. Efforts will be undertaken data for better public information. This includes
to improve the staffing structure and increase the provision of timely public information, reports,
the number of investigators, prosecutors, public and statistics for government and non-government
attorneys, judges, jail and prison personnel, stakeholders, such as cases and services relative to
parole and probation officers, support, and other the COVID-19 pandemic and other emergencies.
personnel, especially at the regional and local levels.
Public information on the justice system, including
Justice sector agencies will establish a sustained access to legal remedies and assistance, will be
and ICT-enabled competency framework and continuously improved through agency websites
development programs in accordance with civil and other media and communication platforms.
service policies, especially for prosecution, law Online judiciary information platforms (i.e.,
enforcement, court, legal service, frontline, court locator, judicial application scheduler, and
management, and vital support personnel. public assistance helpdesk) will be sustained and
Specialized trainings and other capacity building maximized, including the accessibility of court
activities will be harmonized among justice sector details, to ensure easier facilitation of online filing
agencies to align with their functional mandates of complaint and grant of bails.
and competencies. For lawyers, these will be
harmonized with their mandatory continuing legal The National Economic and Development Authority
education. (NEDA) and the Philippine Statistics Authority
(PSA) will develop and implement governance
Coordination within the sector and with measurement and crime victimization surveys,
infrastructure oversight and land management incorporating national and local surveys to engage
agencies will be improved specifically on planning, the citizens in measuring the performance of the
development, funding, project implementation, and justice system.
maintenance of agency infrastructure.

Sector agencies will maximize the use of


available ICT resources for the development and
implementation of their respective application
systems for core and frontline services, case

  The Ease of Doing Business and Efficient Government Service Delivery (EODB-EGSD) Act of 2018, RA 11032, 2018.
3

Chapter 6 Pursuing Swift, Fair, and Humane Administration of Justice | 93


Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 6.2 Legislative Agenda to Pursue Swift, Fair, and Humane Administration of Justice

LEGISLATIVE AGENDA RATIONALE

Criminal, civil, and economic justice processes ICT-enabled and streamlined

Streamlining the criminal This initiative seeks to redefine the role of prosecutors in relation to case buildup
investigation process, including by law enforcers and preliminary investigation in relation to the courts, and
the review of the standard of increase the threshold for filing criminal cases in court.
proof in determining probable
cause

Amendment of the Expanded The proposed amendment aims to clarify the applicability to heinous crime
GCTA Act (RA 10592) offenders; include transparency procedures; establish checks and balances,
including the role of higher and court authorities (i.e., apart from jail and prison
authorities); and provide for corrective measures in cases of erroneous grant of
GCTA and release on account thereof.

Sector efficiency and accountability improved

Creation of New Courts Under this initiative, the distribution of courts under the Judiciary Reorganization
Act will be reviewed, in relation to the population per proposed court location,
historical volume of filings, and the existing dockets of the courts in that
particular location. Where necessary, the existing courts may be redistributed
and new courts created as needed.

Strengthening of the Victims Amending its enabling law, RA 7309 will help increase compensation for victims
Compensation Program of unjust imprisonment or detention and victims of violent crimes as well as their
access to the program, and improve its administration.

Establishment of the This will help strengthen the CHR as a National Human Rights Institution
Commission on Human Rights (NHRI), compliant with the requirements of the UN Paris Principles affecting
Charter NHRIs worldwide. Among the requirements is ensuring NHRI’s independence,
including full fiscal autonomy.

Establishment of a Unified This action will address the fragmentation on the institutional framework of the
Penology and Corrections penology and corrections system.
System

Strengthening the Witness This will encourage coverage for more witnesses as well as maintained coverage
Protection and Whistleblower for them towards successful prosecution, especially of heinous and high-profile
Protection crimes. Likewise, the Whistleblower Protection Program will encourage and
protect whistleblowers.

94 | Updated Philippine Development Plan 2017-2022


07
Promoting
Philippine
Culture and
Values towards
Bayanihan
CHAPTER 7

Promoting Philippine Culture


and Values towards Bayanihan
Culture is a dynamic and multidimensional aspect of development that spans across various
sectors and social groups, shaped by their histories, knowledge, and traditions. Values, on the
other hand, are the ideals shared by a group or a community regarding what is good or bad,
desirable or undesirable, acceptable or unacceptable. The pandemic disrupted the collective
way of life of Filipinos and the way they interact with one another. Physical distancing meant
limited social gatherings and, for some, isolation from their communities. It may be too
early to determine long-term effects of the pandemic to overall social capital. Yet, Filipinos
never get tired of finding ways to inspire each other through creative works and creative
solutions to respond to the crisis.

In building a high-trust society towards a healthy and resilient Philippines, the Philippine
Development Plan (PDP) 2017-2022 acknowledges the role that culture and values play
in development. Having a set of values that is shared within a society provides a common
ground where greater cohesion can be cultivated. Under the Malasakit pillar, this chapter
invokes the Filipino spirit of bayanihan to enable the whole-of-government and whole-of-
society response and recovery from the pandemic by promoting cultural awareness and
understanding, inculcating values for the common good through a National Values Formation
Program, advancing creativity for social impact, and strengthening culture-sensitivity
in governance and development. Hence, culture is the background while shared values
are the guiding principles by which policies and programs will be developed to achieve
inclusive, sustainable, and people-centered development.

Assessment and Challenges


Assessment: The government’s greater awareness as tourism and sports and fitness, were among the
and recognition of the role of culture in the country’s hardest hit due to the closure of businesses during
socioeconomic development prompted significant the community quarantine period. These businesses
foundational efforts for the sector. However, the have traditionally operated around crowds and will
unprecedented impact of the pandemic exposed need to be reinvented to operate under the new
major policy gaps in the existing governance normal.
framework for cultural development and the
appreciation for diverse cultural expressions. For Challenges: Incidences of discrimination and
one, creative and cultural workers and enterprises, prevalent disinformation have been reported, due in
which include the arts, entertainment, and part to lack of awareness of our diverse cultures. The
recreation sector, along with allied sectors, such Philippines has consistently shown generally weak

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan | 97


interpersonal trust even under the “old normal.” which also includes institutional trust and civic
Major behavioral shifts, such as the implementation engagement, among other components.
of physical distancing measures and increased
citizen engagement online, are expected to further In transitioning to the new normal, cultural
impact on social cohesion and level of societal trust. and creative enterprises and workers, especially
However, it may be too early to tell the long-term freelancers in the gig economy, remain vulnerable.
effects of the pandemic to overall social capital,

Targets
Recognizing the difficulties in measuring culture outcomes as proxied by the previous set of indicators,
a new set of core indicators and corresponding targets have been identified as follows:

Table 7.1 Updated Plan Targets to Promote Philippine Culture and Values

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

92.2
Pride of being Filipino increased (%)a N/A N/A N/A Increased
(2013)

Legatum Prosperity Index (LPI) - 59.4


60.5 61.5 62.5 62.5
Social Capital pillar score improvedb (2016)

83
LPI - Social Capital pillar percentile rank improvedb Top 15% Top 15% Top 15% Top 15%
(2016)

World Intellectual Property Organization (WIPO) - 22.1


22.6 Increased Increased Increased
Creative Outputs score improvedc (2016)

25.0
WIPO - Creative Outputs percentile rank improvedc 27.0 Increased Increased Increased
(2016)

Number of Regional Development Plans (RDP) with 0.0


17.0 17.0 17.0 17.0
culture components increased (cumulative) (2016)

Percentage of local government units (LGU) with


22.5
Local Culture and Arts Councils (LCAC) increased: 36.0 47.2 58.3 58.3
(2018)
Threshold = 1,715 (cumulative)d

Percentage of LGUs with local cultural inventories 3.7


55.8 75.5 94.8 94.8
submitted increased: Threshold = 1,715 (cumulative)e (2018)

Percentage of LGUs with Indigenous Peoples Mandatory


21.4 f
Representation (IPMR) increased (cumulative; Threshold 44.2 44.0 56.5 56.5
(2015)
of P/C/M = 1,406)
Notes: 2020 targets were set prior to onset of the COVID-19 pandemic and retained in the midterm update. the 2021, 2022, and end of plan targets were adjusted to
take into consideration the effects of the COVID-19 pandemic.
a
This indicator is taken from the Philippine Statistics Authority’s (PSA) Functional Literacy, Education, and Mass Media Survey (FLEMMS), which is only conducted
every five years. Results of 2019 FLEMMS will be used as baseline for next Plan period. Reporting on FLEMMS-generated indicators with no comparable 2013 figures
will be deferred to the next Plan period. The next round of FLEMMS is expected to be conducted in 2024.
b
New indicator included during the midterm update as proxy for “tolerance and respect for others enhanced.” The Legatum Prosperity Index (LPI) is the identified
source for the “Social capital index” adopted by the World Economic Forum’s (WEF) Global Competitiveness Index (GCI) 4.0 indicators. This pillar measures
performance in terms of social cohesion and engagement (bridging social capital), community and family networks (bonding social capital), and political participation
and institutional trust (linking social capital).
c
New indicator included during the midterm update as proxy for “level of awareness of cultural diversity increased.” This sub-index of the World Intellectual Property

98 | Updated Philippine Development Plan 2017-2022


Organization’s (WIPO) Global Innovation Index (GII) represents the contribution of creativity to the overall innovation-based economy. This pillar measures
performance in terms of: intangible assets, creative goods and services, and online creativity.
d
Replaced the indicator “number of arts organizations and arts councils established per region.” LCAC are mandated to draft an annual cultural development plan to be
integrated in the local development plan.
e
Replaced the indicator “number of cultural conservation management plans developed across all levels of government.”
f
Revised baseline during the midterm update from 7.0 percent to 24.1 percent. The 2015 baseline of 7.0 percent (a total of 2,707 LGUs) was based on actual
accomplishment upon approval of the Implementing Rules and Regulations (IRR) on IPMR in 2009 until 2015. Revisions to the IPMR Implementing Guidelines were
finalized in 2018.

Strategic Framework
Establishing high trust among peoples and in Filipino spirit of bayanihan to enable a whole-of-
institutions and focusing on the common good are government and whole-of-society response and
key aspects in our pursuit of a socially-cohesive recovery. This will be done by raising awareness
society that will be vital in building a healthy and and understanding of our diverse cultures,
resilient Philippines. Recognizing the basic mission implementing a National Values Formation
of culture and heritage to strengthen values and Program based on our shared values, nurturing
identity and enhance the quality of life, the revised Filipino creativity for social impact, and
strategic framework highlights the promotion mainstreaming culture-sensitivity in governance
of Philippine culture and values towards the and development.

Figure 7.1 Strategic Framework to Promote Philippine Culture and Values towards Bayanihan

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan | 99


Strategies
Inculcating values for the exemplify the highest standards of patriotism,
integrity, excellence, and spirituality to increase
common good public trust in institutions (see Chapter 5).

A clearer understanding of our core values can Values of malasakit, bayanihan, resilience and
inform the appropriate interventions to influence pakikipagkapwa will likewise be emphasized
people’s attitudes and behavior towards cultivating through the use of various channels for values
a sense of shared responsibility and building inculcation all throughout the country, such
a high-trust society. as formal and informal education systems,
information campaigns, and values orientation
Government will utilize the findings from the two seminars, among others. Volunteerism across
recently completed studies on Filipino values1 and various aspects of community life will be vigorously
the We Recover as One report for this purpose. promoted and pursued, in collaboration with
LGUs. This includes advocating the principles
Implement a whole-of-government and whole- and practices of volunteering within the family,
of-society National Values Formation Program. community, workplace, and greater society.
Ongoing values formation programs formulated
and implemented by different government Finally, as much as values start within the family,
agencies will be streamlined under a National values inculcation initiatives will be reinforced
Values Formation Program that will focus on through education beginning at children’s formative
the core values which are shared by Filipinos years. Values such as cooperation, discipline,
and which contribute to the achievement of the and a sense of shared responsibility as citizens
country’s development goals. Based on the National are also better practiced in constant dealings
Commission for Culture and the Arts (NCCA) with others outside the family. Hence, under this
Study on Filipino Values, these include valuing program, culture and values will be mainstreamed
family, education, faith, health and wellness, in the curriculum within the basic, technical-
basic needs, self, work and livelihood, peace and vocational, and higher education systems.
development, honesty and integrity, resilience,
life and purpose, human rights, environment,
love for country, happiness, kapwa, governance, Valuing our diverse cultures
culture, arts and sciences, and creative excellence.
Adopt resilience measures in the design and
Concerted action on values formation by all
use of cultural assets across the country,
levels of government, in partnership with
including historic and cultural infrastructures,
various sectors, such as mainstream media,
to address the new normal. Although strict
the LGUs, and civil society organizations
physical distancing measures will limit the use of
(CSOs), will ensure greater societal impact.
existing public cultural structures (i.e., museums,
libraries, and performance venues), they can still
Under this program, the Civil Service Commission
be reconfigured for other purposes such as for
(CSC) through its Civil Service Institute, will work
heritage preservation and conservation or as
toward ensuring that public officials and civil servants
workspaces for cultural workers who may not fully
not only embody Filipino core values, but

1
The study commissioned by the NCCA titled “NCCA Study on Filipino Values,” identified a set of values shared by Filipinos which contribute
to the attainment of AmBisyon Natin 2040, while the study commissioned by the NEDA titled “A Study on the Dimensions of Philippine Culture,”
measures aspects of culture that influence the achievement of national development goals.

100 | Updated Philippine Development Plan 2017-2022


transition to digital processes. Spaces that will not consolidate research works by relevant government
immediately reopen to the public may be redesigned agencies and independent organizations will be
for such purposes, notwithstanding digitization established to ensure that all documentations
efforts in these institutions. is captured and used as bases for government
interventions. The involvement of the academe
To ensure safe reopening of cultural spaces and and other research institutions in partnering with
eventual resumption of cultural and creative indigenous cultural communities (ICCs) and IPs
activities, cultural agencies will coordinate with as primary participants in indigenous knowledge
the Department of Health (DOH), the Department systems and practices (IKSPs) documentation
of Labor and Employment (DOLE), and the initiatives will also be encouraged. This is while
Department of Trade and Industry (DTI), in crafting ensuring that researchers are properly briefed
health and sanitation guidelines. These include on the free, prior, and informed consent (FPIC)
safety protocols for production shoots, cinema and process and communal intellectual property rights.
exhibition venues, museums, and libraries, among On the other hand, the National Commission
others, to minimize the risk of transmission of on Indigenous Peoples (NCIP) will continuously
COVID-19. review and enhance the guidelines on research and
documentation of IKSPs, as well as the FPIC process
The redesign or establishment of cultural structures, to balance the protection of IPs while implementing
especially open-space cultural parks or hubs in projects. At the same time, NCIP will continue to
the regions, will be supported. This will be done work with agencies and other partner-stakeholders
in collaboration with concerned agencies, such to facilitate and implement necessary reforms to
as the NCCA, the Film Development Council of safeguard cultural expressions and uphold the
the Philippines (FDCP), the National Library of cultural integrity of ICCs/IPs.
the Philippines (NLP), and the Philippine Sports
Commission (PSC) to ensure compliance with Strengthen cultural diplomacy and promotions
industry standards for such facilities and ensure overseas. Cultural cooperation agreements will be
the health and safety of the general public. The continuously forged to foster greater appreciation
establishment of culture hubs in Bohol and Davao of Philippine culture and Filipino talents overseas.
Region, and the establishment of open-space Efforts to promote Philippine culture and history,
cultural parks and hubs in other parts of the country especially among overseas Filipinos (OFs), will be
will be pursued in collaboration with LGUs. strengthened. Trainings on cultural diplomacy for
foreign service officers and foreign service staff
Intensify the development, production, handling culture diplomacy activities will also be
dissemination, and liberalization of access intensified in collaboration with the Department of
to information on Filipino culture. Relevant Foreign Affairs (DFA), the DTI, the Department of
agencies will develop resource materials more Tourism (DOT), and culture agencies.
extensively to ensure greater public access to
knowledge on culture and history. This is to curb OFs will be encouraged and tapped to serve as
the lack of understanding of the diverse Philippine cultural ambassadors in destination countries.
cultures which lead to misrepresentation, bias, Given the limitations brought by physical distancing
and discrimination, especially of indigenous peoples measures, the government will carry out cultural
(IP) and Muslim Filipinos. Technology will be used diplomacy and promotions overseas through
to ensure effective knowledge dissemination and digital means as a way for OFs to maintain their
wider reach. To this end, the development of the connection to their culture (also in Chapter 21).
Culture Portal under the National Government In cases where racism and discrimination against
Portal Project will be hastened. migrant communities escalate abroad, cultural
diplomacy programs will become vehicles in
Documentation and research on both tangible raising awareness and understanding of Philippine
and intangible heritage will be improved through culture and cultural diversity among non-Filipinos.
interagency research initiatives. Mechanisms to

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan | 101


Advancing pagkamalikhain Organisation (UNESCO) 2005 Convention on
the protection and promotion of the diversity
or creative excellence of cultural expressions will be hastened. Being a
party to the convention will provide the country’s
Promote a resilient and inclusive Philippine creative industries, artists, and culture workers with
creative economy. The creative economy roadmap opportunities to further build their capabilities and
will be completed to serve as a policy framework capacities for creative production and distribution
to strengthen resilience of cultural and creative across the world. Philippine cities, which aim
industries and address specific concerns of creative to become part of the UNESCO Creative Cities
and cultural workers, especially freelancers in Network, will also be actively and adequately
the gig economy. The roadmap will consider supported. Industry linkages with international
the challenges posed by the Fourth Industrial stakeholders will likewise be promoted as a venue
Revolution (FIRe) and the transition to a digital for the Philippine creative economy to be apprised
economy (see Chapter 9), as well as the current of global trends and to optimize opportunities for
labor situation among creatives. To ensure a whole- marketing and distribution of creative content,
of-country approach to develop and promote the products, and services.
creative industries, the establishment of appropriate
coordinating mechanisms across different agencies A national branding strategy will also be adopted
and stakeholders will be supported. as a unified framework to promote the Philippines
and the Filipino identity to the rest of the
To strengthen cultural and creative enterprises world. Different government agencies and the
and workers’ resiliency against disruptions, private sector will work toward the convergence of
capacity building interventions will be supported. various branding and promotion campaigns of the
For creative enterprises, programs such as business government for investments and trade, tourism,
continuity planning, digitizing operations, education and sports, culture, and diplomacy,
knowledge transfer, and information sharing will among others. The brand will articulate our
be implemented. For creative workers especially collective aspirations as a nation and serve as a
freelancers, skills retooling and upskilling programs consistent marketing strategy for Philippine goods
along with continuing income support programs, and services (see Chapter 15).
such as the NCCA Assistance Program and the
FDCP Disaster/Emergency Assistance and Relief, Creativity will be cultivated as a vital skill and
will be made available. integrated in other disciplines to equip an agile
workforce (see Chapter 10). Along this line, the
Proper interventions to integrate creatives into transformation of the Department of Education’s
the formal economy and ensure their welfare will (DepEd) Science, Technology, Engineering,
also be pursued. This includes coordination with and Mathematics (STEM) program to Science,
relevant agencies, such as the DOLE, the DTI, the Technology, Engineering, Arts, and Mathematics
Social Security System (SSS), and the Bureau of (STEAM) is a welcome development. Secondary
Internal Revenue (BIR), to facilitate the registration level schools that offer special program for the arts
of creatives and freelancers, and provide the creative will also be equipped with facilities and well-trained
sector greater potential for economic advancement teachers while establishing regional arts
and better social protection. academies. At the tertiary level, young people
will be encouraged to take specialized programs
The Philippines’ accession to the United Nation’s on cultural education and arts to become future
(UN) Educational, Scientific, and Cultural culture and arts managers. Graduates of culture-

102 | Updated Philippine Development Plan 2017-2022


related qualifications 2 under the Technical Strengthening culture-
Education and Skills Development Authority
(TESDA) will also be connected to industries and sensitive governance
markets to promote creative excellence and for and development
them to enjoy income security.
Pursue institutional and policy reforms for
Create platforms and mechanisms to support cultural development. Existing governance
Filipino creativity for collaboration and structures and mechanisms for culture and the
bayanihan. Creativity for social impact is a growing arts need to be strengthened. Thus, organizational
trend within the industry and will be encouraged structures within and institutional arrangements
further. As the country lays down plans and among culture agencies will be reinforced and
policies that will formally and strategically ensure challenges in coordination, especially on policy and
the economic and social benefits of supporting program implementation, will be addressed. These
the creative sector, programming will focus on are likewise seen to greatly improve government’s
ensuring that digital and online platforms are ability to protect, preserve, and promote our cultural
maximized to provide Filipino creatives due and natural heritage in line with the country’s
exposure through events, fairs, exhibits, shows, and overall development goals.
competitions. A showcase of the works of Filipino
creatives elicits national pride and increases With the inclusion of culture and arts in the
awareness and appreciation of the country’s diverse Seal of Good Local Governance (SGLG), the
cultures. As part of the online and digital shift, LGUs are expected to be more proactive in
mechanisms to address cybersecurity concerns, heritage management by incorporating heritage
such as copyright infringement, especially on preservation, protection, and promotion efforts
film and audiovisual content, will be established. into their local development plans. Land use plans
should also integrate protection and preservation of
Artistic-scientific-technological collaborations will heritage. Capacity building programs and activities
be strengthened to stimulate innovations for the to ensure the full functionality of LCAC will also
common good (see Chapter 14). Examples of be institutionalized through collaborative work
such programs are the DTI-Design Center of the among the NCCA, the LGUs, and the regional
Philippines’ (DCP) Good Design Philippines and the development councils (RDC). These include
DepEd’s National Festival of Talents. Collaboration developing capabilities for heritage documentation,
and partnerships with the academe and private cultural mapping, planning, policy-making, and
sector, including startups and creative hubs, will be development. The LGUs are especially encouraged
nurtured to facilitate the sharing of best practices to utilize a portion of their internal revenue
in technological adaption and other innovations allotment (IRA) based on the Department of
within the sector. Where possible, these linkages Budget and Management’s (DBM) Local Budget
can also serve as a venue for Filipino creatives Memorandum No. 78, s. 2019 for local heritage
to promote and distribute their works and establish management efforts. In implementing all these, the
networks with other groups. NCCA and the Department of the Interior and
Local Government (DILG) will be vigilant in
the monitoring of the LGU compliance with the
National Cultural Heritage Act (Republic Act
[RA] 10066).

2
TESDA, in collaboration with the NCCA, has developed culture-related NC II qualifications in nine areas: (1) handloom weaving (upright loom);
(2) handloom weaving (backstrap loom); (3) beadworks and accessories making; (4) mat weaving and diversified product making; (5) basket
weaving; (6) embroidery; (7) wood carving; (8) paper mache making; and (9) pottery.

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan | 103


The engagement of ICCs especially in the principle of respect for cultural diversity and
the formulation of policies and measures cultural rights, notwithstanding community
that concern their ancestral domains, will quarantine protocols that limit social gatherings.
be upheld so that IKSPs are respected and Particular attention will be given to groups with
valued in terms of ensuring environmental diminished mobility under stricter quarantine
sustainability since cultural heritage is rules and those who have limited or no access
inextricably linked to biodiversity heritage. to the internet.
This is especially important for disaster
risk reduction and building resilience in The Community-based Skills Development
communities. The effective implementation of Program for IPs and ICCs under the TESDA and
the IPs Rights Act (RA 8371) especially on the the NCCA will be supported under a blended
mandatory representation of IPs in local learning modality, as it enhances existing SLTs by
legislative councils and policy-making developing trainers from different regions. Access
bodies, will be ensured through the full to cultural resources for Muslim Filipinos will be
implementation of the new IPMR Guidelines. improved, so they can participate in cultural life
without fear of prejudice. Cultural infrastructure
Strengthen the protection of the right to access and resource materials will be made accessible
cultural resources by whole-of-society, with to PWDs through technology and innovative
special attention to the needs of vulnerable sectors design. Programs that are responsive to this
(IPs, women, youth and children, persons with strategy, such as the PSC’s children’s games,
disability [PWD], senior citizens, and Muslim differently-abled sports for Life, IPs’ games, and
Filipinos). All Filipinos, regardless of age, gender women in sports, will have to be repackaged
preference, or socioeconomic situation, must have in light of community quarantine guidelines.
access to cultural resources that enrich their minds,
develop their talents, build their identities, and Strengthen mechanisms to measure, evaluate,
promote the core Filipino values. Online and digital coordinate, and consolidate efforts towards cultural
culture, arts, and heritage programs will be designed development. The Philippine Cultural Statistics
to inspire bayanihan and support lifelong learning, Framework (PCSF) will be implemented as this
creative collaboration, mental health and well- generates the needed cultural statistics and indicators
being, and cultural and heritage tourism, among for evidence-based planning, policy-making, and
others. programming. All agencies and CSOs that are
directly engaged in any of the PCSF dimensions
Existing Knowledge Development Centers will be mobilized toward this end. Given the
(KDC), Institutes and Schools of Living Traditions vulnerability of IP culture, the conduct
(ILT/SLT), Sentro Rizal, arts centers, museums, of ethnographies of Philippine IPs will be
and cultural centers will improve on digital and a priority. Similarly, statistics on Muslim
online programs to continue their respective Filipinos will be developed. Cultural and
work of transmitting knowledge and skills and creative industry mapping will be intensified by
cultural dissemination. KDCs may already be the DTI and the NCCA to better inform planning
integrated within the system of libraries and and programming for the sector through adequate
wherever information technology (IT) resources funding and LGU-level trainings.
are accessible at the local levels, KDC online will
be pursued. Necessary modifications on the design Registries for the sector have become even more
of ILT/SLTs will be made in line with physical necessary in order to account for individuals and
distancing protocols to ensure the health and firms affected by crises and for government to
safety of culture bearers and the general public. provide them appropriate support. To supplement
the development of a registry of vulnerable
Programs designed specifically for the needs of persons, agencies such as the NCIP, the National
vulnerable sectors will be enhanced in line with Commission on Muslim Filipinos (NCMF), the

104 | Updated Philippine Development Plan 2017-2022


NCCA, the DTI-DCP, and the FDCP, will improve
the generation of registries for IPs, Muslim Filipinos,
creative and cultural workers, and freelancers, and
coordinate the same with other social protection
programs of the government (see Chapter 11).

Institutionalize and intensify heritage


conservation and management in cultural and
tourism development plans and programs.
Heritage serves as the holder of our collective
memories and identity as a nation, and a reminder
of our shared stories and experiences of resilience.
As the country transitions into the new normal,
heritage conservation will be institutionalized
through cultural and tourism development plans.
Responsible entities mandated to preserve heritage
structures and owners of cultural properties will
then ensure the development of conservation
management plans and stronger implementation
of related policies in preserving heritage structures.
Plans and programs on the development of heritage
preservation and conservation experts will be
initiated.

Chapter 7 Promoting Philippine Culture and Values towards Bayanihan | 105


Legislative Agenda
In the two remaining years of Plan implementation, the Planning Committee on Culture will exert its efforts
toward the enactment of the following key legislations:

Table 7.2 Legislative Agenda to Promote Philippine Culture and Values towards Bayanihan

LEGISLATIVE AGENDA RATIONALE

Strengthening the NCCA This will amend RA 7356 to strengthen and enable the NCCA to lead the protection,
preservation, and promotion of our cultural and natural heritage and the creative arts
for inclusive development.

The amendments will pertain mainly to (a) establishing subnational offices that
can promote, develop, and implement culture-related plans and programs at the
local level and (b) reinforcing the NCCA’s coordinative functions so that it can
more effectively shepherd and direct activities towards the achievement of culture
outcomes, including the development of cultural and creative industries.

UNESCO Convention on the Ratifying this Convention will further promote and protect the works of the creatives
Protection and Promotion in the country as the Convention focuses on the protection of the diversity of cultural
of the Diversity of Cultural expressions all over the world. It highlights the creative industries, which have
Expressions become important drivers in the cultural and economic development of nations.

Modernization Act for the Establishing the charter of the NLP will standardize public libraries across the country
NLP and ensure adequate funding to improve access to information and strengthen digital
services, thereby promoting full intellectual and cultural development of the Filipino
people.

Film Industry Development The proposed legislation seeks to encourage the production of quality films,
Act strengthen competitiveness of Filipino content and creative outputs in a digital
landscape, address concerns on the welfare and capacity building for local film and
audiovisual artists, technicians, and workers, and enhance film preservation and
archiving.

Komisyon sa Wikang Filipino The proposed amendments to certain provisions of the Commission on the Filipino
(Commission on the Filipino Language Act (RA 7104) will help strengthen the protection and conservation of
Language) Act intangible heritage (i.e., languages in the Philippines) and will also serve as the
enabling law that will operationalize Article XVI, Sections 6 and 7 or the language
provisions of the 1987 Constitution, following the recent Supreme Court ruling that
such provisions are not self-executory.
PART III

TRANSFORMING
TOWARDS EQUITY
AND RESILIENCY
(“PAGBABAGO”)
08
Expanding
Economic
Opportunities
in Agriculture,
Forestry, and
Fisheries and
Ensuring Food
Security
CHAPTER 8

Expanding Economic
Opportunities in Agriculture,
Forestry, and Fisheries and
Ensuring Food Security
While the agricultural sector’s growth has remained weak over the last three years, major policy
reforms have created opportunities to pursue diversification and overall rural development.
There has also been an improvement in the delivery of support services focusing on small
farmers and fisherfolk (SFF). In particular, the Rice Tariffication Law (RTL) (Republic Act [RA]
11203), which amended the two-decade-old Agricultural Tariffication Act of 1996 (RA 8178)
and replaces the quantitative restriction on rice imports with tariff, is considered the most
important reform in the agriculture sector. The Law will benefit the entire economy, particularly
the Filipino consumers, farmers, taxpayers and workers, and, most importantly, the poor. Rice
farmers also benefit from the Law, given the PHP60 billion guaranteed Rice Competitiveness
Enhancement Fund (RCEF), which aims to increase productivity of the rice sector. RTL will also
benefit: (a) taxpayers, as there is no need to subsidize the operations of the National Food
Authority (NFA), which has long been burdened with debt; (b) workers as it keeps inflationary
pressures low and therefore limits the erosion of real wage; (c) children, as more affordable
rice keeps them healthy and not hungry; and (d) the poor, with the availability of cheaper rice
given their limited budget. The low rice prices and lower inflation help the country achieve its
poverty reduction goals.

The country’s experience with the COVID-19 pandemic and community quarantines (CQs)
has put greater emphasis on food security in the new normal. Thus, to contribute to the goal
of achieving a healthy and resilient Philippines, the Agriculture, Forestry and Fisheries (AFF)
sector shall focus on ensuring availability, accessibility, and affordability of nutritious food
while continuously addressing persistent challenges faced by the sector, particularly the
constraints to access to land and water resources, vulnerability to climate change and disaster
risks, limited strategic infrastructure, and long-standing institutional problems related to weak
extension services, over-centralization, and lack of coordination and overlapping functions
within and among agencies.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 111
Assessment and Challenges
Assessment: The improvement in the delivery of and instant coffee. Nutritionally vulnerable groups
support services prioritizing small farmers and such as severely wasted and stunted schoolchildren
fisherfolk, complemented by major policy reforms who rely on school- and community-based feeding
(e.g., RTL, Sagip Saka Act, and Personal Property programs for healthy and nutritious food were
Security Act) created opportunities to pursue also affected due to the discontinuance of these
diversification and overall rural development in programs with the closure of schools and daycare
the long run. However, the performance of the centers during the quarantine period.
AFF sector, in the last three years, has been weak
due to climate/weather disturbances (e.g., El Niño, Challenges: The pandemic has caused a shift
typhoons), pest and animal diseases, weak global in consumers’ preference towards safe and
demand and increased competition resulting in nutritious food. As the sector moves to the new
the decrease in value of top exports (e.g., coconut), normal, the following are still expected to persist:
and weak coordination and convergence efforts (a) sporadic disruption in the agri-food supply
among government agencies and stakeholders. chain, particularly in the transport and logistics
The emergence of the COVID-19 pandemic of inputs, machinery and equipment, and farm
and subsequent implementation of community produce; (b) limited movement of people involved
quarantines also affected the sector with the in the transport of inputs and products, technicians,
disruption of agricultural activities owing to and extension workers; (c) strict regulation of the
stringent measures implemented by the local operations of wet markets, supermarkets, and
government units (LGUs) on the movement of retail food establishments; (d) increased demand
agri-food products. As a result, agri-food supply for innovative technologies for processing and
chains were affected and many farmers were packaging to keep up with the demand for processed
unable to sell their produce. The movement of food products with longer shelf-life; and (e) reduced
people involved in the transportation of inputs and demand from institutional buyers for agricultural
products, technicians, extension workers, and even food items due to the decline in tourism and dine-
agricultural workers was also affected. Despite the in services. These emerging challenges, on top of
disruptions in various agricultural activities and existing issues such as constraints to access to land
losses encountered during CQ, the AFF sector and water resources, vulnerability to climate change
remains upbeat as farmers and fisherfolk still intend and disaster risks, limited strategic infrastructure,
to continue their respective agricultural activities. and long-standing institutional problems related to
Consumers, on the other hand, had difficulty weak extension services, over-centralization, and
accessing healthy and nutritious food during the lack of coordination and overlapping functions
CQs. In particular, vulnerable groups who rely on within and among agencies will put further pressure
relief packs during the ECQ are limited to rice, on the AFF sector.
canned goods, instant noodles, powdered milk,

Targets
The updated Plan aims to increase and maintain the labor productivity is targeted for the remaining plan
AFF gross value added (GVA) within 2.5 percent to period. Table 8.1 presents the targets corresponding
3.5 percent from the baseline of -1.2 percent in 2016. to the sector outcome indicators under this chapter.
Likewise, a reversal of the negative growth for the Targets for outcome indicators on food security may
value of production in fisheries, A&F exports, and be found in Chapter 11.

112 | Updated Philippine Development Plan 2017-2022


Table 8.1 Updated Plan Targets to Expand Economic Opportunities in Agriculture, Forestry, and
Fisheries and Ensure Food Security

BASELINE VALUE TARGETS


OUTCOME/INDICATOR
(2016) 2020a/ 2021 2022 END OF PLAN

Sector Outcome 1: Sustainable and Resilient Production and Food Availability Ensured

Growth of GVA in AFF increased


(1.2) 2.5-3.5 2.5-3.5 2.5-3.5 2.5-3.5
(year-on-year at constant prices, in percent)

a. Crops (3.2) 2.0-3.0 2.0-3.0 2.0-3.0 2.0-3.0

b. Livestock 4.6 3.0-4.0 2.0-3.0 3.0-4.0 3.0-4.0

c. Poultry 1.3 3.0-4.0 2.0-3.0 3.0-4.0 3.0-4.0

d. Forestry (7.6) 2.0-3.0 2.0-3.0 2.0-3.0 2.0-3.0

Growth in value of production of fisheries increased (year-on-year at constant prices, in percent)

a. Commercial (7.8) 2.5 1.0 1.0 1.0

b. Municipal (4.9) 1.0 3.0 3.0 3.0

c. Aquaculture 0.5 5.0 5.0 5.0 5.0

Growth in labor productivity of farmers and fisherfolk


(2.2) 4.7-6.2 5.2-6.4 5.4-6.6 4.9-6.0
increased (year-on-year at constant prices, in percent)

Sector Outcome 2: Access to Markets of Small Farmers and Fisherfolk Increased

Growth in the value of A&F exports Increased


(0.1) 9.0 9.0 9.0 9.0
(year-on-year, FOB value, in percent)

Sector Outcome 3: Access of Consumers to Nutritious, Affordable, and Safe Food Improved

Prevalence of moderate or severe food insecurity in the population based on the food insecurity experience scale (see Chapter 11 RM)

5.1
a. Severely Food Insecure N/A N/A 0.0 0.0
(2019)

39.1
b. Moderately Food Insecure N/A N/A 25.8 25.8
(2019)
Source of baseline data: Philippine Statistics Authority (PSA)
a/
The original 2020 targets, approved in 2016 prior to the pandemic, were retained.

Strategic Framework
In the remaining Plan implementation period, production and food availability, expanding access
the AFF sector will adopt a holistic value chain to markets by SFFs, and improving access of
approach, guided by science-based decision support consumers to nutritious, affordable, and safe food.
tools, towards ensuring sustainable and resilient

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 113
Figure 8.1 Updated Strategic Framework to Expand Economic Opportunities in Agriculture, Forestry,
and Fisheries and Ensure Food Security

114 | Updated Philippine Development Plan 2017-2022


Strategies
To achieve the Plan’s targets, the following adoption of these science-based decision support
outcome-specific and crosscutting strategies will be tools, different extension delivery modalities will
implemented (see Figure 8.1). Some of the strategies be used depending on AFF stakeholders’ capacity
in this chapter are cross-referred to other chapters. and access to information and communication
technology (ICT). These will include the use of
blended learning platforms, such as web-based
courses and applications, provision of offline
Ensuring sustainable and versions of these applications, particularly for those
with limited access to the internet, face-to-face
resilient production and training in areas where it is applicable, and the use
food availability of traditional media (e.g., radio, TV, print, etc.).

Pursue an ecosystems approach to fisheries


Improving AFF productivity within ecological management, including operationalizing
limit fisheries management areas (FMAs)4 to provide
for a science-based, participatory and transparent
Optimize the use of science-based decision governance framework, and mechanism to
support tools and methodologies to improve sustainably manage fisheries. With the issuance of
resilience and productivity within ecological Fisheries Administrative Order (FAO) 263, policies
limit, and increase the income of farmers and in managing fisheries will be based on the status
fisherfolk. The existing National Color-Coded and capacity of the stocks within the FMAs, taking
Agricultural Guide (NCCAG)1 Map will be cascaded into consideration its impact on the economic well-
to the LGUs to assist farmers and other stakeholders being of fisherfolks. To support this, the Bureau
in identifying areas where crops could ideally be of Fisheries and Aquatic Resources (BFAR) will
grown based on soil type, climatic conditions, and intensify its efforts in establishing and convening
bio-physical requirements. Promotion of existing the multisectoral Management Bodies (MB)5 in the
crop management decision support tools, such as FMAs, and develop the Ecosystem-Approach to
the Rice Crop Manager (RCM)2 and other farm Fisheries Management Plan (EAMP) guided by the
management tools (e.g. AgriDoc App, MOET App, result of the National Stock Assessment Program of
etc.),3 will also be intensified to provide timely, the National Fisheries Research and Development
location-specific crop and nutrient management Institute (NFRDI). A Scientific Advisory Group
recommendations to more farmers to improve their (SAG) composed of scientists, researchers, and
yield and increase farm income. To increase the technical representatives will also be established to

1
  Launched in March 2017. Thematic maps used were obtained from BSWM for the soils map, WorldClim and DOST-PAGASA for climate data,
DENR-MGB for geo-hazard maps, and PSA and NAMRIA for political boundaries. The NCCAG includes data on crop suitability, agro-ecological
zone, ground water availability, rainfall, temperature, poverty incidence, and farmers’ demographics, among others.
2
  Based on research trials, RCM can increase yields and added net benefit when farm lots normally yield below 7 tons/ha at 14% moisture. For
farm lots with normal yield of 7 tons/ha and above at 14% moisture, benefit from RCM could be very small or negligible.
3
  The AgriDoc App developed by PhilRice is a farm management tool which can keep records on expenses and farm activities. It also allows
farmers to view their farm area through Google Maps. The Minus-One Element Technique application (MOET App) is an Android-based app
developed to complement the soil diagnostic tool MOET kit. It computes for fertilizer recommendations and yield estimates based on the pot-
based fertilizer trial to identify significant nutrient elements lacking in the soil.
4
  Based on FAO 263, FMA is a bay, gulf, lake, or any other fishery area which may be delineated for fishery resource management purposes. It
provides that for purposes of sustainable fisheries management, 12 FMAs in Philippine waters are established, based on considerations of stocks
boundary/range/ distribution, structure of fisheries, as well as administrative divisions, and undertaken through consultation based on stocks and
fisheries distribution. (BFAR, FAO 263, s. 2019, Establishment of Fisheries Management Areas for the Conservation and Management of Fisheries in
Philippines Waters)
5
  MB in FMAs is composed of representatives from multi-sectors of fisheries such as LGUs, municipal and commercial fisheries, aquaculture,
processors and traders, academe, NGOs, indigenous peoples, and other relevant NGAs.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 115
provide policy support and technical advice to the and animal raising, and community gardening
MBs (see Chapter 20). through the establishment of community gardens
in barangays and schools with vacant areas. The
Strengthen the promotion of intercropping community/backyard gardens may serve not only
and integrated farming systems. Promotion as a source of nutritious food and livelihood but
of intercropping (e.g., corn or pineapple under also as additional income for those who will sell
coconut, etc.) and integrated farming systems, their surplus. Production inputs such as seeds/
such as livestock-crops (e.g., integrated rice- seedlings, soil, compost, and initial stock (e.g., small
duck farming system6, crops-livestock-fish ruminants, chicken, ducks, etc.) will be provided
(e.g., Palayamanan),7 and agro-forestry will be as start-up kits, complemented with skills training
strengthened to maximize the use of land, improve on sowing of seeds and proper management,
resiliency, and enhance sustainability. SFFs shall composting, and pest disease management, among
be provided with capacity-building and retooling others. Registration processes and reporting
on appropriate cropping systems and technologies requirements will need to be streamlined for more
(e.g., suitable crops or combination of crops/ efficient assistance to investors/firms pursuing
livestock/fish, and management techniques, urban agriculture, particularly modern methods
etc.) to help them not only in increasing their of growing plants and fish, such as hydroponics,
productivity and income but also contribute to the aeroponics, and aquaponics (see Chapter 11).
sustainable and efficient use of natural resources,
and increase resilience. With intercropping Effectively implement RCEF in a timely manner
or integrated farming, there will be increased to assist rice farmers during the transition period
diversity which can result in lower risk of pest given the removal of the quantitative import
and disease problems (i.e., better management of restrictions (QRs) on rice. The RTL aims to
pest outbreak), increase insect and soil microbial make rice accessible and affordable to all Filipinos,
diversity, and higher probability that at least particularly the poor who spend about 29 percent
one species or crop can withstand the weather of their total food expenditure on rice. It also
disturbances. Likewise, viable technologies on established a Rice Competitiveness Enhancement
sustainable land management, such as soil health Fund (RCEF), with an annual allocation of
management through balanced fertilization to PHP10 billion for six years, to enhance the
improve soil quality and land productivity will be productivity and competitiveness of rice farmers
made accessible to SFFs. by providing them: (a) farm machinery and
equipment; (b) high-yielding seeds; (c) low-
Intensify the promotion of urban agriculture, interest credit; and (d) skills training programs
backyard/household gardening of edibles on farm mechanization and modern farming
and backyard animal raising, and community techniques. The tariff collection, in excess of
gardening. Given the importance of ensuring PHP10 billion, will still be provided to rice
a steady supply of food, urban households and farmers for (a) cash transfer program; (b) titling
communities will be encouraged to produce fresh of rice lands; (c) crop insurance; and (d) crop
and healthy food from their backyards and spaces. diversification. For the cash transfer program, it
The DA, in partnership with other government will be a short-term measure of the government
agencies, the LGUs, and the private sector, shall while the rice industry is in transition and will
intensify the promotion of urban agriculture, prioritize farmers most affected by the drop in
subsistence backyard/household gardening farmgate prices.

6
  The integrated rice-duck farming system grows rice and ducks together in an irrigated paddy. The paddling movement of the ducks stimulates
plant growth, while duck manure naturally fertilizes the soil. The ducks also eat the harmful insects and weeds, thus eliminating the need for
pesticides and herbicides.
7
  Palayamanan is a model of diversified integrated rice-based farming system developed and established by PhilRice composed of synergistically-
compatible farming ventures such as rice, onion, poultry, livestock, and aquaculture. Under this system, the livestock transform plant residues and
by-products into edible high-quality protein and manure, which is then applied to crops as organic fertilizer to increase crop productivity.

116 | Updated Philippine Development Plan 2017-2022


Intensifying development and adoption of Intensify the provision of appropriate farm
modern, climate- and disaster-resilient and fishery machineries, equipment, and
production technologies facilities. The government will intensify its
efforts in facilitating the use of farm and fishery
Accelerate irrigation development, especially the machinery, equipment, and facilities based on the
construction of disaster- and climate-resilient appropriateness of technology to local needs and
small-scale irrigation systems and retrofitting conditions to raise the efficiency of farm operations
of existing ones, to be guided by a National and reduce production costs and post-harvest
Irrigation Master Plan (NIMP). This includes the losses. In consideration of the new normal, more
financing of the modernization of priority irrigation farm machinery and equipment will need to be
systems, quick response for restoration works provided, in lieu of manual labor, given the need
in disaster-prone areas, and regular preventive to limit the movement of people and sustain the
operations and maintenance for optimal production practice of social distancing.
for the year-round cropping (see Chapter 19). In
addition, to support sustainable consumption and In line with the implementation of the Agriculture
production (SCP) initiatives, proper use of water- and Fisheries Mechanization (AFMECH) Law,
saving and water-harvesting technologies such as the Agriculture and Fisheries Mechanization
alternate wetting and drying (AWD), rotational Engineering Resource Network (AFMechERN)
method, rainwater harvesting, and solar-powered will be regularly updated to provide timely
irrigation8 will also be promoted in areas where it and reliable data on existing agri-fishery
is applicable. The protection, rehabilitation, and machineries, equipment, and facilities, as well as
management of critical watersheds for irrigation other mechanization-related information. The
are critical counterpart interventions to ensure Agricultural Machinery Testing and Evaluation
sustainable water supply (see Chapter 20). Center (AMTEC)9 in Los Baños, Laguna will
be capacitated to expand its services for testing
Intensify research and development (R&D) and evaluation of: (a) imported machinery and
activities for AFF, including the development and equipment for domestic distribution; and (b)
commercialization of appropriate technologies to locally-developed machinery and equipment
improve productivity, reduce post-harvest losses, prior to its commercialization as mandated by
and enhance risk resilience. Implementation the AFMECH Law (see Chapter 9). The local
of activities supporting the development and manufacturers of equipment and machinery will
commercialization of climate- and disaster- also be supported by providing them with training
resilient technologies, such as high-yielding and on the design, fabrication, operation, testing, and
stress-tolerant crop varieties, fish species, and evaluation of equipment and machinery, and
animal breeds, will be intensified. Innovators providing appropriate incentives.
and discoverers of these mature technologies will
be linked with prospective investors to facilitate Enhance the capacity of farmers and fisherfolk to
technology transfer and adoption (see Chapter adopt new and better technologies. This will be
9). Advanced and emerging technologies (e.g., done through a ladderized approach that includes:
biotechnology, genomics, nanotechnology) will (a) establishment of technology demonstrations or
also be explored to address the challenges and learning sites to introduce and showcase the success
vulnerabilities of the AFF sector. of new or innovative technology using blended

8
  AWD is a water-saving technology that farmers can apply to reduce their irrigation water consumption in rice fields without decreasing yield.
Rainwater harvesting is the collection of rain or runoff for productive purposes. Solar powered irrigation uses the sun’s energy to power a pump
which supplies water to crops.
9
  AFMech Law designated AMTEC as the premier and reference testing center of agricultural and fisheries machinery in the country. The law
further states that AMTEC shall assist in the formulation of quality, safety, and performance standards of agricultural and fisheries machinery and
provide technical assistance in the establishment of testing centers in other parts of the country.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 117
learning platforms; (b) scaling-up of successful Increasing and protecting access of small
learning sites to serve as strategic demonstration farmers and fisherfok to land and water
areas for innovative and sustainable farming and resources
fishing; and (c) development of these learning sites
and expansion to farm tourism sites as additional Fast-track and complete the parcelization10 of
livelihood opportunities for farmers and fisherfolk. collectively-titled awarded lands and generation
SFFs will also be provided with quality advisory of individual titles to address investor uncertainty
and technical services which include on-demand and facilitate investments in agrarian reform
knowledge-sharing and advisory on production areas. The incomplete land ownership transfers
and post-production technologies through blended to agrarian reform beneficiaries (ARB)–from
learning platforms. collective to individual titles–has been a long-
standing issue which erodes investor confidence on
Strengthen the AFF extension system as a whole. lands awarded under the Comprehensive Agrarian
To facilitate diffusion and increase adoption Reform Program (CARP). The parcelization
of modern, climate- and disaster- resilient/ process has encountered delays in the validation
responsive technologies, an effective AFF extension of individual ARBs listed in the collective
system should be in place. To support this, the Certificates of Land Ownership Award and in the
implementation of the following strategies will identification of actual occupants of the subject
be strengthened: (a) improve competencies of landholdings. Legal issues are likewise confronted
agriculture extension workers (AEW), trainers, such as in the reconstitution of titles and inclusion/
and other extension agents through continuous exclusion cases. To address this, the coordination
provision of capacity-building and retooling to and collaboration of the Department of Agrarian
enhance their knowledge and skills on recent AFF Reform (DAR) with CARP implementing agencies
trends, technologies, and sustainable practices (e.g., (IAs) should be strengthened with the intent of
organic agriculture, integrated farming systems, streamlining the parcelization process. In addition,
etc.); (b) develop new or modify existing extension the DAR and CARP IAs should be capacitated
modalities, methodologies, and approaches that are on the latest modern survey technologies and
fit to the changing extension contexts (e.g., use of equipment to fast track the documentation and
combinations of digital technology and traditional reconstitution of lost/missing titles and those with
media or blended learning platforms, instead of erroneous land surveys.
face-to-face training); and (c) intensify accreditation
of private extension service providers and training Strictly enforce and monitor the implementation
facilities to serve as partner organizations and of existing laws, rules, and regulations on
venues. The DA will also engage in joint ventures land reclassification and conversion. The Joint
and convergence with other government agencies Memorandum Circular11 on the implementation
(e.g., TESDA, LGUs, etc.), the business community, of Memorandum Circular (MC) 54 should be
and other stakeholders in upgrading the operation, revised to strengthen the land use reclassification
and improving the effectiveness of the AFF process and the functions of concerned agencies.
extension system and enhancing inter-institutional The inter-agency committee with representatives
linkages between R&D and extension. from the DA, the DAR, the Department of Human
Settlements and Urban Development (DHSUD),
the NIA, the Department of Environment and

10
  Parcelization of landholdings with Collective Certificate of Land Ownership Award (CCLOA) is the process of subdividing and determining the
exact metes and bounds of the areas, allocation of lots to ARBs in a CCLOA, determination of common use areas, portions with common service
facilities, and establishment of areas capable of being alienated and disposed of by the government. (DAR, Administrative Order No. 02 s. 2019)
11
  HLURB, DAR, DA, and DILG, Joint Memorandum Circular, Prescribing the Guidelines to Implement MC 54 (The Authority of Cities and
Municipalities to Reclassify Lands Within the Limits Prescribed by Section 20 of RA 7160 Otherwise Known as the Local Government Code of 1991),
March 21, 1995.

118 | Updated Philippine Development Plan 2017-2022


Natural Resources (DENR), the Department Expanding access to markets
of the Interior and Local Government (DILG),
and the NEDA, among others, should also be of small farmers and fisherfolk
reactivated. A database system will be developed
as a repository of land reclassification information Increasing access to digitally-supported
and as a tool for decision-making by the inter- value chains
agency committee. A MC on Section 65 of the
Comprehensive Agrarian Reform Law (RA 6657) Provide efficient transport and logistics systems
also needs to be issued to streamline and harmonize to link production areas to markets and
the actions of stakeholder government agencies on ensure unhampered movement of A&F goods
the land-use conversion process. These proposed and services. This involves the establishment/
measures will be accompanied by additional construction of sufficient and strategically-located
manpower both at the national and sub-national facilities such as wholesale food terminals and
(i.e., regional, provincial) levels to enforce the trading centers, warehouses, cold storage and
rules and procedures and fast track the processing refrigeration facilities, mobile storage, mobile
of land use reclassification and conversion. marketplaces, rolling stores, foodbanks, and
processing facilities that are linked with an
Issuance of the guidelines by the BFAR on the interconnected transport system to ensure the
delineation of municipal waters for LGUs with continuous flow of A&F goods and services.
off-shore islands (see Chapter 20). Transport options should also be expanded to
include the use of tramlines, cable lines, and
Establish a regulatory framework and formulate animals to transport agricultural products as cost-
specific guidelines on implementing usufruct12 effective alternatives, especially for linking remote
arrangement for AFF purposes. While usufruct upland communities to markets.
rights have been used in the Philippines for
housing projects (e.g., Southville 3 Muntinlupa For fisheries, more Community Fish Landing
Housing Project and Taguig City Social Housing Centers (CFLCs) will be established in strategic
Project),13 this arrangement may also be explored areas that will serve as landing and fish trading
for AFF purposes to aid in the optimal utilization hubs. CFLCs will have post-harvest equipment and
of existing lands. However, there is a need to facilities to enable fisherfolk to preserve the good
establish a regulatory framework and formulate quality of their fish and fishery products and sell at
specific guidelines to clearly define the usufruct a competitive price. CFLCs will also be opened as
arrangement for lands to be used for AFF purposes venues for skills training on fish processing, value-
in order to protect the rights of farmers as well as adding, and fisheries conservation and protection
the property owner. (see Chapter 20 and Chapter 9).

In addition to domestic logistics systems,


international trade processes for A&F goods
and services will be streamlined and enhanced
to ensure non-disruption of flow of goods and
services (see Chapter 9 and Chapter 15).

12
  Usufruct is the right to enjoy the property of another, with the obligation of preserving its form and substance, unless the title containing it or
the law provides otherwise. (Article 562 Civil Code of the Philippines)
13
  Anna Marie Karaos, Gerald Nicolas, and Gladys Ann Rabacal, Innovative Urban Tenure in the Philippines: Challenges, Approaches and
Institutionalization, UN Human Settlements Programme, 2012.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 119
Strengthen online marketing of agriculture and Link small farmers and fisherfolk groups
fishery products, including the establishment of to government nutrition programs (e.g.,
online or digital channels for transactions and supplemental feeding programs, etc.), hospitals,
delivery services. With the continuing policy to and other facilities, as suppliers. Safe and nutritious
practice social distancing under the new normal, A&F products such as fruits, meat, fish, vegetables,
supermarkets and retail establishments of A&F and dairy products can be supplied by SFF groups
products will be encouraged to establish online to school children or individuals and families
or digital channels for transactions and delivery affected by any disaster by linking SFF groups to
services. The DA can expand the reach of the supplementary feeding and relief programs of the
recently launched eKadiwa14 to urban areas outside government. The national government and LGUs
Metro Manila and expand the mode of payment will be encouraged to directly purchase from
and delivery service providers. In areas where food SFF groups to supply their food requirements
and grocery deliveries are not available, an online for supplementary feeding programs and relief
service delivery system where buyers send a list of operations. Technical assistance, in terms of
items to buy to a pabili service provider may be market matching and guidance in the government
explored as an option. Parallel to this, a registry procurement process, should be provided. (see
system for online sellers or deliveries should be Chapter 11)
established to monitor and regulate the movement
of people engaged in such transactions. Farmers Intensify the implementation of the Philippine
and fisherfolk should likewise be encouraged to Competition Law and the Price Act to regularly
make use of digital payment systems (i.e., online monitor the price of food and essential
or app-based financial technologies), particularly commodities and address anti-competitive
in receiving/accessing payments for their produce. trade practices and illegal price manipulation.
  The Philippine Competition Commission (PCC)
Organize small farmers and fisherfolk (SSF) into will be vigilant in monitoring anti-competitive
formal groups and promote farm and fishery practices that affect fair trade such as cartels,
consolidation and clustering arrangements price-fixing, and market division/allocation,
to bring about economies of scale. Farm among others, to ensure fair competition in the
consolidation (e.g., sugarcane block farming, etc.) market for the benefit of both consumers and
and clustering arrangements among small and businesses. The DA and the Department of Trade
medium growers will be promoted, particularly in and Industry (DTI), in coordination with the
production, processing, and value-adding activities LGUs and accredited consumer groups, will also
to take advantage of communal inputs and intensify monitoring and enforcement activities to
economies of scale. By organizing SFFs into formal protect consumers from illegal price manipulation
groups, this will increase access to support services to ensure that prices of basic necessities (e.g.,
(e.g., formal credit, modern farm technologies and rice) and prime commodities,15 which include
machinery, capacity building, livelihood projects, agricultural products, are at reasonable levels at all
etc.) and enable them to meet the demand of larger times.
agribusiness enterprises and institutional buyers.

14
  The digital marketing platform of the DA’s Kadiwa ni Ani at Kita which provides an easier and safer way for farmers and fisherfolk to sell their
produce and access to fresh and nutritious agri-fishery products for consumers.
15
  According to the Price Act (RA 7581), basic necessities include rice; corn; bread; fresh, dried and canned fish and other marine products,
fresh pork, beef and poultry meal; fresh eggs; fresh and processed milk; fresh vegetables, root crops; coffee; sugar; cooking oil; salt; laundry soap;
detergents; firewood; charcoal; candles; and drugs classified as essential by the Department of Health (DOH). Prime commodities, on the other
hand, include fresh fruits; flour; dried processed and canned pork; beef and poultry meat; dairy products not falling under basic necessities;
noodles; onions; garlic; vinegar; patis; soy sauce; toilet soap; fertilizer; pesticides; herbicides; poultry; swine and cattle feeds; veterinary products
for poultry, swine and cattle; paper; school supplies; nipa shingles; sawali; cement; clinker; GI sheets; hollow blocks; plywood; plyboard;
construction nails; batteries, electrical supplies; light bulbs; steel wire; and all drugs not classified as essential drugs by the DOH.

120 | Updated Philippine Development Plan 2017-2022


Increasing AFF-based enterprises the capacity of technical personnel and other
stakeholders relative to the intellectual property
Strengthen AFF sector linkage to industry sector component of GIs, and formulate the regulations
through innovative production, processing, for GIs (see Chapter 9).
value-adding, and marketing schemes. Pursue
contract-growing arrangements, corporate farming, Establish and/or update, and increase access of
and other forms of linkages to integrate small farmers SFFs and other AFF stakeholders to timely and
and fisherfolk and micro, small, and medium reliable agricultural market information systems.
enterprises (MSMEs) into larger agribusiness This should include the provision of information
enterprises. Consolidating or clustering SFFs and on prices, buyers, suppliers/sellers, and providers
MSMEs will also allow product consolidation, of ancillary services (e.g., trucking, packaging,
expand supply to existing markets, and open up warehousing, etc.) through the use of digital
new markets, thereby increasing their income. To platforms and other appropriate media. This
further enhance market access, the government will guide their market decisions and facilitate
will strengthen the conduct of market-matching networking among players in the value chain (see
activities, such as local (national, provincial, and Chapter 9 strategy on supporting business-matching
regional) and international trade fairs, roadshows activities).
and exhibits, business trade missions, and other
promotional activities (see Chapter 9). The utilization of ICT tools such as the Supply
Chain Analytics (SCAn) Dashboard and SCAn
Capacitate small farmers, fisherfolk, and Reporter should also be encouraged among AFF
MSMEs in diversifying into commodities with stakeholders to ensure the unhampered flow of
high value-adding and market potential. The goods and inputs. The SCAn Dashboard is an
transition period brought about by the liberalization important tool for both the government and
of the rice industry offers an opportunity where private sector to be aware of ground-level issues
uncompetitive rice farmers can pursue more identified by supply chain players that need to be
profitable farm commodities. To support this, addressed. SCAn Reporter can help stakeholders
capacity building activities for diversifying into report problems encountered in the supply chain
commodities with high-value adding and market (e.g., quarantine control point problem, permit-
value will be provided to SFFs and MSMEs. These related problem, regulations, goods overpricing,
activities will include processing, understanding and real-time road closures, traffic, and accidents)
markets, proper product handling and packaging, and submit such information to the dashboard.
and ensuring food safety and quality standards.
For instance, for coconut-based exports, the Encourage the private sector to invest in agri-
development of high-value by-products such based enterprises. Particular attention will be
as coco water, coco sugar, and other emerging given to the development of local and export
product lines will be supported to maximize their markets for agricultural products (i.e., Halal and
export potential and help manage and reduce the organic products). Public-private partnerships
impact of shocks brought about by volatility in will be employed to pursue the establishment of
domestic and world prices (see Chapter 15). agro-industrial hubs, A&F business incubators,
and regional technology parks to support an
Adopt geographic indications (GIs)16 to improve environment that would foster innovation and
the marketability and traceability of products and technology transfer to facilitate a vibrant A&F
ensure quality standards. This is to increase and technology-based entrepreneurial system.
create awareness and knowledge on GIs, improve

  Geographical indications are signs which identify a good as originating in a particular region or locality, where a given quality, reputation, or
16

other characteristic of the good is essentially attributable to its geographical origin. GIs are considered a useful tool for economic growth and
sustainable development, particularly in rural areas.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 121
The implementation of the Sagip Saka Act of Continue to implement credit programs with
2019 (RA 11321) will also be fast-tracked to low interest and flexible terms for SFFs and
provide SFFs with greater opportunities to AFF-based enterprises. The government will
engage in entrepreneurial activities through the continue to develop and implement innovative
implementation of the Farmers and Fisherfolk and affordable financing facilities, such as the
Enterprise Development Program under the law. Production Loan Easy Access and Survival and
Aside from providing various forms of assistance Recovery Assistance programs of the DA, which
to SFFs (e.g., improvement of production and prioritizes loans for marginalized SFFs at low-
productivity, improvement of producers’ and interest rates, minimal or no collateral, and fewer
entrepreneurs’ access to financing, access to documentary requirements. The DA can also
better technologies, and provision of business expand the Kapital Access for Young Agripreneurs
support and development services), RA 11321 (KAYA) to finance the capital requirements of
also encourages private sector partnership or start-up or existing projects of young agripreneurs
alliances between farmers and fisherfolk to engage which intend to reach out and convince Filipino
in enterprise development and improve market youth to engage in AFF ventures. Moreover, SFF’s
access of producer groups. awareness of available innovative and affordable
credit programs will be increased through
Strengthen community-based enterprises in marketing and promotion activities (e.g., radio
upland communities. The government will and TV plugs and guestings and print collaterals).
continue to implement and monitor programs
and projects that foster community-based Expand agricultural insurance coverage. The
enterprises in upland areas. Provision of training institutional capacity and capitalization of the
and extension support services in these areas will Philippine Crop Insurance Corporation (PCIC)
be through a farmer-to-farmer approach where need to be strengthened and augmented to expand
farmers serve as extension agents and are part of the provision of agricultural insurance services.
technology generation and dissemination. With its current manpower and budget, the PCIC
was able to provide insurance coverage for only 3.1
million farmers and fisherfolk in 2019, as compared
Increasing access to innovative, affordable,
to the 10 million registered in the Registry System
and adequate financing
for the Basic Sectors in Agriculture (RSBSA). Also,
because of limited budget and subsidies, increasing
Provide access to affordable formal credit to
penetration rate among farmers has an apparent
start, restore, sustain, and expand AFF-based
trade-off on the amount of insurance coverage,
livelihood activities and businesses. The outreach
which is inadequate to cover production costs.
of formal private sector credit and other financial
Despite this, the PCIC will continue to expand
services will be extended through the facilitation
coverage by engaging in partnership agreements
of data sharing among lending institutions to
with more LGUs, with the latter paying the
determine the financial needs of SFFs, and target
insurance premium of farmers and fisherfolk not
and prioritize areas where such interventions
covered by RSBSA, while the registry is being
are most needed. Corollary to this, the financial
updated. The PCIC can also expand coverage for
literacy and credit worthiness of SFFs and agri-
other causes of default such as income loss from
based MSMEs will be enhanced to help them
not being able to sell/market their produce and
avail of formal credit. Credit enhancement will be
low prices. In terms of facilitating faster payouts
provided by the Philippine Guarantee Corporation
of indemnity claims, the PCIC will continue to
(PhilGuarantee) through intensified advocacy and
develop and commercialize the implementation of
expansion of its agricultural guarantee services, as
innovative index-based insurance programs.
well as the establishment of more credit surety funds
spearheaded by the BSP. Creation of the personal
property security registry under the Personal
Property Security Act will also be pursued (see
Chapter 15).
122 | Updated Philippine Development Plan 2017-2022
Improving access of institutions, state universities, and colleges in
producing safe, nutritious, medicinal, therapeutic,
consumers to nutritious, and well-packaged agri-food products that are
affordable, and safe food commercially viable. Partnerships and joint
projects with the DA, DOST, DTI, and the private
sector may be explored to develop agri-food
Enforcing food safety standards and processed products with enhanced nutritional
regulations content and longer shelf-life.

Strictly implement food safety measures,


quarantine procedures, and other existing rules
and regulations in managing risks and addressing Cross-cutting strategies
food safety and quality standards. Recognizing that
risks may abound in all segments of the value chain, The following cross-cutting strategies will also be
producers, processors, transporters (including implemented:
online deliveries), vendors, and consumers will
adopt food safety, quality, and quarantine measures. Strengthen coordination and convergence of
The measures allow traceability of products to government agencies in undertaking joint
support the targeting of regulations and regulatory planning, monitoring, and budgeting for
actions to specific sources of risks. There is also a priority programs and projects. Joint planning,
need to strengthen, harmonize, and streamline monitoring, and budgeting among AFF-related
regulatory services and develop standards to ensure agencies will be pursued to ensure complementation
safe and quality products, facilitate trade, and in the implementation of priority plans, programs,
promote ease of doing business. This will include and projects. For instance, the DA, DTI, and other
the rationalization and strengthening of national related agencies, in consultation with AFF/industry
and regional laboratories to guarantee accurate players, will work together in the formulation of
data on crucial laboratory test requirements commodity/industry roadmaps to complete the
for regulatory and enforcement purposes and linkage between the AFF sector and the industry.
standards development. Corresponding skills and
competencies needed by the AFF stakeholders (e.g., Utilize and regularly update the A&F management
SFFs, extension workers, etc.) on areas of sanitation information systems as a strategic targeting
and hygiene, good manufacturing practice mechanism for identification and prioritization
(GMP), good agricultural practices (GAP), good of beneficiaries and agriculture-related
aquaculture practices (GAqP), and good animal programs and services (e.g., RSBSA, ABEMIS,
husbandry practices (GAHP) will be provided to etc.). Existing management information systems,
ensure food safety and quality standards. such as the RSBSA, should be used as a primary
reference in targeting beneficiaries of agriculture
Increasing development and adoption of food and fishery programs and projects. The RSBSA will
preservation technologies also be regularly updated, harmonized, and cross-
referenced with existing registries, such as the
Develop processing and packaging technologies Municipal Fisherfolk Registry (FishR) of BFAR,
to prolong shelf-life and improve nutritional Listahanan or the National Household Targeting
content of agriculture and fishery products. The System for Poverty Reduction (NHTS-PR) of the
shift in consumer preferences to healthier diets Department of Social Welfare and Development
and the increased demand for processed food with (DSWD). These registries will also be cross-
longer shelf-life calls for further expansion of R&D referenced with the Philippine Identification
programs focused on innovative technologies System (PhilSys) when it becomes available.
for processing and packaging. This can be done
by intensifying support for public research

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 123
The DA initiative on establishing an online improving the resiliency of AFF to climate and
platform for transparency, inter-agency data disaster risks. In addition, the following shall be
sharing, and a science-based approach to considered:
farm to market road (FMR) planning and
implementation will be enhanced to develop an • Integrate climate and disaster risks in the design
Integrated Road for Agriculture Development of AFF programs and projects. For example,
(IROAD) that will store, consolidate, and manage local climate change trends and projections
GIS-based data of all FMR projects implemented should be considered in the construction of
by the government. This will address issues on disaster- and climate-resilient farm structures
FMR locations and interconnectivity and eliminate and retrofitting of existing ones (e.g., small-
duplication of activities – ultimately enabling scale irrigation systems);
farmers and other stakeholders to fully utilize and
benefit from long, completed, and strategically- • Intensify AFF extension services that will
linked roads. It may further be harmonized with increase adoption of climate- and shock-
the Agricultural and Biosystems Engineering resilient technologies (e.g., smart greenhouses,
Management Information System (ABEMIS) varieties that are short-maturing, high-yielding,
of the Bureau of Agricultural and Fisheries flood/drought-tolerant, and stress-resilient,
Engineering (BAFE) which contains geotagged etc.), animal breeds, and best practices (e.g.,
data on machineries and equipment provided, AWD technology, integrated pest management,
postharvest and logistics facilities established, and diversified/integrated farming, etc.);
FMRs completed. These systems should be made • Enhance the decision support tools of
available, accessible, and easily understandable by concerned agencies by providing timely and
the AFF stakeholders to help them make informed site-specific weather and climate advisories
decisions and guide future investments. and utilize advanced and appropriate ICT
to make it more available and accessible to
Institutionalize the El Niño Task Force as a stakeholders;
permanent body rather than an ad-hoc task
force, to ensure the preparedness of the AFF • Develop and mainstream the use of early
sector. warning systems and other anticipatory
mechanisms (e.g., PRISM, etc.) that can help
Promote agribusiness courses and training anticipate potential hazards and disturbances
programs (e.g., farm tourism, enterprise which can disrupt production operations.
development, etc.) under collaborative schemes For instance, the use of drones and the
with the academe, government, and business subsequent information generated by the
sector; and integrate agriculture, including the DA, before, during, and after disasters will be
use of modern technologies (e.g., drones, smart further enhanced and promoted to increase
greenhouses, and smartphone applications) in preparedness and response efficiency; and
the elementary and high school curriculum to
encourage the youth to engage in agriculture • Provide non-farm livelihood options
and fisheries (see Chapter 10). Support, in terms especially to seasonal and disaster-affected
of financing of start-up or existing agri-based farm and fishery workers, SFF, and their
projects of young entrepreneurs and agri-fishery families. Seasonal workers/farmers will be
graduates, will be provided to transform them into trained on off-farm and non-farm activities to
agripreneurs. enable them to take advantage of alternative
employment opportunities, including
Intensify activities on increasing resilience of involvement in farm tourism, fabricating
the AFF sector to climate and disaster risks (see fiberglass boats, mangrove forest reforestation,
Chapter 20). There is a need to intensify efforts in and mushroom production.

124 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
The following legislative measures are necessary to support the actions of the executive branch:

Table 8.2 Legislative Agenda to Expand Economic Opportunities in Agriculture, Forestry, and Fisheries
and Ensure Food Security

LEGISLATIVE AGENDA RATIONALE/DESCRIPTION

National Land Use Bill Under this bill, prime agricultural lands shall be protected through proper
and rational delineation, classification or reclassification, allocation,
establishment, utilization, and management. This will ensure the viability
and sustainability of on-farm employment and rural development by
determining a socially-acceptable minimum agricultural land requirement
that would maintain a level of agricultural industry in a given economic or
spatial context at a given point in time (see Chapter 20). Likewise, the bill
will harmonize and/or strengthen the enforcement of land use policies on
the conversion and reclassification of agricultural lands to non-agricultural
use.

Establishment of the Coconut Farmers The bill aims to consolidate all assets and benefits emanating from the
and Industry Trust Fund* coconut levy and create a Coconut Farmers and Industry Trust Fund to
exclusively benefit coconut farmers and farmworkers. It will create a
Trust Fund Management Committee consisting of representatives from
oversight agencies, that is distinct from the PCA Board, to remove the
conflict of interest in the previous vetoed version of the bill where PCA is
both the approving agency and utilizing agency of the proposed trust fund.
A Coconut Farmers and Industry Development Plan will also be drafted to
set the directions and policies for the development and rehabilitation of
the coconut industry in the long-term.

Strengthening of the PCIC There is a need to reorganize the PCIC and increase its authorized capital
stock to cater to the demands of SFFs more effectively.

Magna Carta for Young Farmers This measure aims to promote and protect the rights of young farmers,
establish programs for young farmers, and institutionalize young farmers’
representation in agricultural decision-making and policy-making processes.
This would address the declining interest of the youth on agriculture and
fisheries.

*
Enacted into law on February 26, 2021.

Chapter 8 Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and Ensuring Food Security | 125
LEGISLATIVE AGENDA RATIONALE/DESCRIPTION

Strengthening the Agricultural This bill aims to amend the Agri-Agra Reform Credit Act of 2009 (RA
and Rural Financing System in the 10000) by expanding the list of eligible projects and activities that can
Philippines be funded by banks, as well as broaden the existing modes of alternative
compliance, to allow banks to comply with their agricultural lending
obligations. Diversifying the banks’ lending portfolios will provide them
with more options for investments and financing that will, in turn, increase
the flow of finance and credit in the sector. It also aims to address the
challenges in accessing formal credit by the agricultural sector owing to
issues on bankability of projects, lack of technical expertise of financial
institutions in agricultural financing, and the high levels of risk exposures
of the sector.

Imposing Progressive Idle Land Tax This is to promote the productive use of the idle lands, even if temporary, but
without prejudice to the rights of owners to security of tenure.

Amendment of the Rice and Corn Law This law places an unnecessary burden on foreign companies engaged
(PD 194) in rice and corn by placing a time limit (30 years) on how long they may
operate as 100 percent foreign-owned entities. After expiration of the
allowed period, they are expected to divest in whole or in part (at least 60%)
to Filipino citizens/local interests. There is a need to amend this law to
attract foreign investments in the agriculture sector that will also provide
employment opportunities to Filipinos.
9A
Expanding
Economic
Opportunities
in Industry
CHAPTER 9A

Expanding Economic
Opportunities in Industry
The country’s vulnerabilities were put in sharper focus with the occurrence of natural
disasters1, water supply constraints2, and the global health crisis caused by the COVID-19
pandemic at the beginning of 2020, requiring the government’s urgent and strategic responses.
This unprecedented period called on government to play a larger role in implementing
appropriate stimuli to revive consumer and business confidence in the near-term and
initiate measures that will enhance socioeconomic resilience in the medium-term. The
refined Industry sector strategies are based on the need to operate under this new normal by
leveraging Industry 4.0 technologies and ushering the growth of the digital economy.

To establish a healthy and resilient Philippines, the industry sector needs to rapidly
operationalize the strategies under the Inclusive Innovation and Industrial Strategy (i3S,
pronounced eye-cube-s). The i3S serves as a guide in setting a collaborative environment
for and implementation of innovation-centered initiatives to boost the capacity of local
enterprises. As a means to further improve consumer and business confidence in the
medium-term, the i3S underscores the need to build up our human resource to utilize
technologies, adopt inclusive business models to link smaller domestic-based firms to larger
enterprises, strengthen the startup ecosystem to assist tech-based startups, particularly
those inclined to develop health or industrial solutions in response to the current pandemic,
and formulate business continuity plans (BCPs) for enhanced supply and value chain
resilience. The urgent passage of structural reforms that cut across multiple sectors is
needed to fast track a national digital transformation responsive to the current crisis.

Assessment and Challenges


Assessment: Over the past 3 years (2017 to 2019), manufacturing GVA as a proportion of GDP,
the industry sector delivered tempered growth employment generated by the industry sector,
amid challenges in the external and domestic and manufacturing employment as a proportion
front. While industry gross value added (GVA) of total employment – missed their respective
grew within the annual target range for 2019, targets. In terms of employment, an average of
the rest of the core industry-related indicators – 267,000 net employment has been created in 2019,

1
Taal volcanic eruption occurred in January 2020. In the quarter leading to this, periodic seismic activities have been recorded in Mindanao and
select areas across Luzon and Visayas.
2
Challenges in water resource management has put in doubt the water supply sufficiency of the country’s capital.

Chapter 9A Expanding Economic Opportunities in Industry | 129


higher than 110,000 employment generated in 2016. Challenges: Recent decline in industry output
However, it failed to reach its 2019 plan target reflected lower domestic demand exacerbated
of 437,000. The construction sector (287,000) by supply chain disruptions. Further, policy
significantly accounted for the industry uncertainty related to institutional delays in the
employment creation in 2019 while the passage of reforms (e.g., Corporate Recovery and
manufacturing sector recorded employment losses Tax Incentives for Enterprises [CREATE] bill,
(-4,000) mainly attributed to the weak external etc.) contributes to halted investment decisions.
environment during the period. High innovation cost has also been a hindrance
for the industry sectors to adopt new technologies,
The country’s overall ranking in the World Bank- thereby limiting their capacity and potential to
International Finance Corporation’s (WB-IFC) upgrade to the production of higher-value goods.
Ease of Doing Business (EODB) Report exhibited a Attracting new foreign direct investments (FDIs)
rapid decline in the past three years, amid the more is hampered by existing policies limiting foreign
aggressive stance of other economies in advancing participation in critical support services sectors,
reforms and facilitating ease of doing business. which also curtails industry growth. The COVID-19
On a positive note, this trend was reversed in 2020, pandemic highlights the gaps in healthcare services
with the country jumping 29 notches up to 95th (see Chapter 10 for strategies to strengthen the
out of 190 economies in the EODB Report. This is country’s health care system), which affect the
made possible by the government’s policy initiative country’s competitiveness and ability to attract
in protecting minority investors and improving the investors and locators. New opportunities
process of granting construction permits. On the and challenges are also created with shifts in
consumer front, Filipinos’ level of awareness of their consumer preference and production towards
basic consumer rights remains low, exacerbated essential goods and services. Lastly, industries
by the country’s archipelagic geography, which have limited flexibility to respond to the impact
provides access to information on basic consumer of the pandemic, particularly in instituting
rights difficult for those in remote and rural areas. new work protocols including repurposing
and reconfiguring business operations.3

Targets
The government faces significant obstacles in new assumptions in the period, as recognized and
meeting its succeeding industry-related annual approved by the Development Budget Coordination
targets. Given this, the industry sector GVA Committee (DBCC) in July 2020.4
growth has been adjusted downward, considering

3
Some businesses were able to promptly undertake repurposing and reconfiguring activities to take advantage of shifts in consumer demand.
For instance, the garments, electronics, and other manufacturing companies responded immediately to the need to produce COVID-19 critical
products. The CONWEP (Confederation of Wearable Exporters of the Philippines) group shifted to the manufacturing of coveralls, gowns, and
shoe and head covers while electronics firms repurposed operations to manufacture surgical masks and infrared thermometers. Liquor companies
manufactured isopropyl alcohol and plastics firms produced face shields.
4
The DBCC projects the country’s Gross Domestic Product (GDP) to contract by 2.0% to 3.4% in 2020. (Department of Budget and Management
(DBM), “DBCC Revisits Medium-Term Macroeconomic Assumptions and Fiscal Program Amid the COVID-19 Pandemic,” Press Release, May
13, 2020.)

130 | Updated Philippine Development Plan 2017-2022


Table 9A.1 Updated Plan Targets to Expand Economic Opportunities in Industry

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Economic opportunities in industry across regions including the digital economy expanded

8.2b
GVA growth rate in the industry sector improved (%)a 8.0-9.0 9.8-10.8 6.3-7.3 6.3-7.3
(2016)

Market production expanded

Manufacturing GVA as a proportion of GDP 19.1


24.7-25.3 16.6-16.7 16.8-17.0 16.8-17.0
increased (%)c (2016)

Production capacities increased

Employment generated by the industry sector 180


440 400-500 200 2,303-2,403
increased (‘000s)d (2015)

Manufacturing employment as a proportion to 8.3


10.9 8.0-8.6 8.3-8.6 8.3-8.6
total employment increased (%)e (2016)

Competitiveness, innovativeness, and resilience increased

Top 54%
Philippine overall ranking in the (103 out of 189
Top 40% Top 40% Top 33% Top 33%
WB-IFC Doing Business Report improved economies)
(2016)

Consumer access to safe and quality goods and services ensured

Level of consumer awareness of basic consumer rights 74


78 75 78 78
increased (%)f (2016)
a
GVA at constant 2018 prices. GVA growth rate in Industry for 2019 and 2020 are based on the original DBCC targets as of July 2019. Note that Industry GVA growth
rate for 2021 and 2022/end of plan (EOP) are consistent with the DBCC-revised figures as of July 2020.
b
National Income Accounts (NIA) as of August 2020.
c
Baseline (2016) and targets (2021 and 2022/EOP) are in line with the revised DBCC-approved GDP estimates (see Chapter 15) in the same period and rebased at
constant 2018 prices. These are also within the Department of Trade and Industry Board of Investments (DTI-BOI) proposed targets (16.4-19.8% in 2021 and 16.9%-
20.2% in 2022/EOP).
d
Employment generated refers to additional employment generated from the preceding year. Annualized employment generation for 2014 and 2015 refer to the average
of estimates for April, July, and October survey rounds which excluded data of Leyte province. Further note that revision of target employment generation in industry
for 2021 and 2022 is consistent with the revision of target total employment generation (see Chapter 4) and revision of labor productivity in industry (see Chapter 10)
in the same period.
e
Revised manufacturing employment as a proportion of total employment for 2021and 2022 is in line with the revised labor productivity in Industry (see Chapter 10)
in the same period. These are also somewhat within the DTI-BOI proposed targets of 8.0% in 2021 and 8.4% in 2022/EOP.
f
Revised downward targets in 2021 to 2022/EOP is due to operational constraints faced by the DTI-Consumer Protection and Advocacy Bureau (CPAB) in carrying out
consumer advocacy efforts.

Chapter 9A Expanding Economic Opportunities in Industry | 131


Strategic Framework
Under the new normal, the focus will be to revive As the economy further adjusts, reformulated
business and consumer confidence in the immediate strategies in the medium-term will harness the
term. In the manufacturing sector, production of ability of the academe, the private sector, and the
merchandise goods will favor necessities such as government to maximize the opportunities of the
food, beverages, medicine, pharmaceutical and digital economy. This will require accessing new
other chemical products, and other essential and technology and innovation, building innovative
complementary goods. Construction will now talent, and encouraging entrepreneurship that uses
include building quarantine and other health technology-enabled business models to leverage
facilities and rehabilitating existing ones to increase opportunities and growth of budding small-scale
the capacity of the health care system. There may enterprises.
even be increased construction demand in the rural
areas, as urban dwellers realize the advantages of
less dense areas.5

Figure 9A.1 Strategic Framework to Expand Economic Opportunities in Industry

5
Inter-Agency Task Force for the Management of Emerging Infectious Diseases – Technical Working Group for Anticipatory and Forward
Planning (IATF-TWG), We Recover As One (WRAO), National Economic and Development Authority (NEDA), 2020.

132 | Updated Philippine Development Plan 2017-2022


Strategies
Expanding economic reduce transaction costs as it enables farmers,
manufacturers, and suppliers to also gain
opportunities in industry access to domestic and external markets (see
across regions Chapters 8 and 9C).

• Strengthen domestic investment promotion


Expanding market production and support business-matching activities at
the local level. Investment Promotion services 8
Facilitate business-matching activities across offered under Full Service Negosyo Centers will
regions via technology-enabling platforms. be scaled-up.9 Coordination between the LGUs
and relevant national government agencies
• Ensure efficient supply chain distribution (NGAs) and its regional line agencies will also
and network across regions. Support services be enhanced to conduct business-matching
will be provided to farmers, agro-processors, initiatives (e.g., procurement matching) to link
manufacturers, and exporters to facilitate MSMEs to LEs in the region (see Chapter 9C).
the movement of goods in the domestic
• Encourage the LGUs to adopt and implement
and external markets. The Supply Chain
their Local Investment and Incentives Code
Regulatory Impact Assessments and Supply
(LIIC) (see Chapter 9C)
Chain Analysis (SCAn) Dashboard or other
supply chain modeling system or framework
Support the repurposing of manufacturing
for agricultural commodities will be utilized
production.
to monitor and address supply bottlenecks
across the country coupled with close
Prolonged uncertainty will sustain a shift in
coordination among the implementing
consumer preference towards essentials. While
authorities, local government units (LGUs),
demand is likely to decline for traditional major
and the private sector6 (see Chapter 8).
export products, there are new opportunities for
• Provide technical assistance in mapping out the country to be part of the production network
value chains across primary, secondary, and for essential products (e.g., medical testing kits,
tertiary industries to determine alternative personal protective equipment, surgical masks, etc.)
suppliers and address production bottlenecks. (see Chapter 15 on Trade).
To complement the formulation of BCPs, the
government will facilitate partnerships between • Establish a registry of firms that are or will
micro, small, and medium enterprises (MSMEs) be engaged in the manufacture of essential
and large enterprises (LEs) in the process of goods. This will ensure that targeted support
identifying alternative domestic suppliers in and assistance will be provided and will
lieu of external ones for enhanced value chain not overlap or duplicate with interventions
resilience. 7 Utilizing digital platforms will being provided by various NGAs.10

6
IATF-TWG, WRAO.
7
The implementation of the Supplier Development Program (SDP) of the DTI-BOI and World Bank-IFC for the automotive, electronics, and
aerospace sectors is a concrete example of how government can facilitate partnerships between local auto parts and electronics suppliers and the
automotive and aerospace industry. The SDP links and capacitates the upstream segments to supply and comply with the technical requirements of
the downstream industries.
8
On investment promotion, the following requires close coordination of the DTI-BOI and various IPAs with the LGU: (a) identify investment
opportunities; (b) invite local investors to participate in investment-related activities; (c) disseminate investment-related information; and (d)
invite local proponents to participate in the organized missions and matching.
9
Investment Promotion service only accounts for 0.03% of the total services rendered under Negosyo Centers.
10
The DTI Consumer Protection and Advocacy Bureau (CPAB) already has a registry of manufacturers of basic necessities and prime commodities
which can be expanded.

Chapter 9A Expanding Economic Opportunities in Industry | 133


• Provide assistance in re-configuration of Increasing production capacities
production areas, taking into consideration
minimum public health standards for Improve access to new technology and
COVID-19 mitigation. Across industries, innovation.
reconfiguring work protocols in observance
of proper sanitation, disinfection, and social • Support research and development (R&D)
distancing will be a challenge for sectors applications in the manufacturing sector as part
with higher concentration of employees per of the shift in business processes. Recent studies
work area, such as in manufacturing and point out that high fixed capital and licensing
construction. The government will regularly costs are the biggest barrier to technology
conduct dialogues with the private sector to upgradingfor producers in the electronic
understand and respond to industry needs. It and electrical (E&E) subsector.12 However,
will also facilitate businesses’ adoption of health the current environment underscores the
protocols in the workplace to regain business urgency of technology upgrading in the
normalcy while trying to flatten the infection manufacturing sector.13 As part of government
curve. Adequate investments to enhance the support, an array of technical and financing
country’s information and communications options will be made available, particularly for
technology (ICT) capabilities (see Chapter those inclined to develop health or industrial
19) and strengthen the country’s healthcare solutions in response to the current pandemic.
system (see Chapter 10) will also be prioritized. Technical support will include refocusing
public-funded R&D to the application of
• Reduce transaction costs by streamlining innovative industrial solutions. Targeted
complex rules and regulations affecting fiscal incentives (e.g., tax credits for R&D
business operations of companies that are activities) will also be considered in line with
repurposing. Streamlining procedures for the provision of the CREATE bill. The patent
firms that will be repurposing their activities search services14 of the Intellectual Property
towards the production of essential goods and Office of the Philippines (IPOPHL) will also
delivery of critical services will be prioritized. be promoted to connect with the R&D units of
Clear and transparent rules and guidelines enterprises.
will be drafted and implemented in the
process of obtaining licenses and certificates. • Address constraints in the energy and
In addition, a regulatory framework for the water sectors by leveraging innovation. As
production of these essential goods (e.g., the rapid pace of urbanization continues,
PPEs) will also be formulated and enforced. the country’s major cities will keep facing
constraints in the use and management of
basic resources (i.e., electricity, gas, and water).
Maximize opportunities in bilateral, regional,11 Public-private partnerships (PPP) will be
and global integration and optimize the encouraged to invest ahead using available
utilization of existing FTAs (see Chapter 15). technologies. While long-term water supply
and resource management is being improved,

11
Startups from the Philippines may reach out to the ASEAN Business Incubator Network (ABINet) which enables startups to network with other
startups in ASEAN, and even provides potential contact with venture capitalists.
12
World Bank (WB), Philippines Digital Economy Report 2020 : A Better Normal Under COVID-19 - Digitalizing the Philippine Economy Now,
World Bank, 2020.
13
For instance, R&D support is needed by semiconductor firms to be able to customize electronic components in order to supply automobile spare
parts needed by domestic producers of e-vehicles.
14
IPOPHL’s patent analytics and landscaping efforts, and patent information search initiatives are means of assisting innovative enterprises and
research and development institutions as well as government agencies that create policies and grant science and technology funding. IPOPHL
will scale up the capacity of business enterprises and other R&D institutions to conduct search while it innovates on its processes and modes of
delivery of patent search services.

134 | Updated Philippine Development Plan 2017-2022


real-time water quality monitoring as well of laboratory equipment needed for RD&I
as small-scale water recycling systems in the activities of state universities and colleges (SUCs)
interim will be explored to effectively service and research and development institutions (RDIs).
households and businesses in major urban Technology managers from the public sector
areas. As regards energy, the government will will be capacitated to promote, negotiate transfer
ensure continuous supply of power through of technologies particularly for government-
increasing the country’s dependable capacity funded R&Ds, and spot anti-competitive clauses
(in megawatt) (see Chapters 9C and 19). in technology transfer agreements (TTA).17 The
innovation and technology support offices (ITSOs)
• Reduce online participation costs for within the universities, other higher education
businesses and consumers. Adopting institutes, and research and development institutes
technology-enabled business models offers under the ITSO 2.0 program18 of the IPOPHL
significant opportunities for manufacturing will also be scaled up. Further, the IPOPHL’s
firms, particularly MSMEs, as it offers an designation as an international authority
alternative means to access markets (see under the Patent Cooperation Treaty (PCT)
Chapter 9B). Foremost, digital connectivityand will facilitate the entry of Filipino innovations to
infrastructure will be improved to reduce the global patent system (see Chapter 14).
the cost of broadband and internet services15
(see Chapters 9B, 9C, and 19). Consumer Monitor and scale-up efforts to support
rights protection in e-commerce and innovation capacities of startups and MSMEs in
cybersecurity enforcement activities will also the regions by expanding the Regional Inclusive
be strengthened to build consumer and Innovation Center (RIIC) pilot areas. The RIICs,
business confidence in these platforms.16 Lastly, as part of the Philippine i3S strategy, will promote
investment in the country’s logistics system will the adoption of appropriate technologies in
be scaled up (see Chapter 9B) and the security existing industry clusters. The RIICs aim to improve
of digital payment platforms will be ensured. supply chain, value-adding and agro-processing,
access to technologies, financing, regulating,
Strengthen industry-academe linkage and certifying high-value crops such as rubber,
by prioritizing market-driven research, mangoes, coffee, cacao, and coconut. Currently,
development, and innovation (RD&I) activities RIICs are being piloted in Cebu, Davao, Bicol,
and accelerating commercialization of R&D and Cagayan de Oro, for possible replication in
investments. Public sector funded R&D will other regions.
be redirected towards industrial innovations,
especially for those in response to COVID-19. In • Facilitate industry adoption of appropriate
addition, the procurement conditions set in the technologies including local R&D solutions
Government Procurement Reform Act (GPRA) and technology-enabled business models (see
will be streamlined to fast-track procurement Chapter 9C).

15
Department of Information and Communications Technology (DICT) has ongoing policies and programs that aim to reduce costs of broadband
and internet services: roll-out of the third telecommunication player’s program and Common Tower Policy.
16
DICT has a Cybersecurity Bureau that develops cybersecurity policies and coordinates with other agencies on consumer right’s protection of
citizens.
17
Technology Transfer Arrangement, by definition, is the process by which one party systematically transfers to another party the knowledge for
the manufacture of a product, the application of a process, or rendering of a service, which may involve the transfer, assignment or licensing of
intellectual property rights as defined in the Philippine Technology Transfer Act of 2009 (RA 10055). The law covers all institutions that implement
government-funded R&Ds and intends to promote and facilitate the transfer, dissemination and effective use, management, and commercialization
of intellectual property, technology and knowledge resulting from R&D funded by the government.
18
IPOPHL, in recent years, developed a network of 100 ITSOs composed of higher education and research development institutions. This program
seeks to foster creation of intellectual property in the academe and research sectors, particularly in invention and utility models, to increase the
national innovative output and to push the presence of Filipino inventions in the international patent system. It is set up to also strengthen support
for MSMEs as the ITSOs extend technical assistance to MSMEs and local inventors as regards trademark and patent searches as well as drafting of
patents, utility models, and industrial design documents.

Chapter 9A Expanding Economic Opportunities in Industry | 135


• Conduct an inventory of existing DOST- Center for Postharvest Development and
approved or government-funded production Mechanization’s (PhilMech) local accredited
technologies for possible scale-up (see Chapter partners (see Chapter 8).
14).
• Strengthen cybersecurity and data privacy
• Promote linking startups and MSMEs to measures in the public sector and build
cooperatives and LEs to enhance value and efficient digital infrastructure (hard and
supply chain resilience and spur innovation soft). To mitigate potential risks and threats,
(see Chapter 9C). cybersecurity and data protection will be
interwoven in the government’s policies and
• Integrate sustainable consumption and programmatic areas of intervention.19 Ramping
production (SCP) processes. A sustainable up investment on efficient digital infrastructure
consumption and production approach and pushing for structural reforms to allow
through the adoption of clean, renewable greater competition in these key sectors will
energy, and smart technologies in industry also be prioritized (see Chapters 9B, 16, and 19).
operations is supported (see Chapter 20
for detailed SCP strategies). Adherence to • Strongly enforce intellectual property (IP)
SCP is a unique opportunity for strategic rights to encourage firm innovation. The
marketing and branding that will set apart the enforcement of IP rights is necessary to
country’s products and services offering in guarantee that inventors and firms would be
the global market. In the construction sector, able to reap the benefits of their inventions and
the Sustainability Incentive Program will be creations.20 Moreover, strong IP enforcement
promoted to reduce greenhouse gas emissions will attract foreign industries that utilize
in built environments, and for construction of sophisticated technologies to relocate their
disaster-resilient infrastructure. Particularly for production hubs in the country (see Chapter 9C).
public infrastructure programs and projects,
applying the Comprehensive and Integrated
Strategic Environmental Assessment will be Enhance labor capacities to equip the future
advocated. R&D, in the use of alternative workforce to be Industry 4.0-ready.
sustainable materials in the construction
sector, will also be pursued (see Chapter 19). • Develop human resource development
(HRD) blueprint to equip future workforce
• Encourage the local development, to be Industry 4.0-ready. The HRD strategy
manufacturing, and distribution of farm for the entire country will be formulated
machinery through the government’s starting with priority sectors.21 The crafting
Farm Mechanization Program (FMP). of a Human Capital Development and Skills
The program will encourage the local Training Cooperation Roadmap consistent
development, manufacturing, and distribution with the Philippine i3S and its Inclusive
of farm machinery. The implementation of this Filipinnovation and Entrepreneurship
program will also hasten the commercialization Roadmap will lay a unified blueprint,
and utilization of existing farm machinery incorporating various initiatives on human
technologies already developed by the resource development and capacity-building.
Department of Agriculture (DA) Philippine

19
A unified platform with which the DICT and its cybersecurity partners from the private sector may be able to assist government agencies with
cybersecurity threats, attacks, and other issues.
20
WB, Philippines Digital Economy Report 2020.
21
The HRD blueprint can take off from the 12 priority sectors under the Philippine i3S, broadly aligned with the AmBisyon Natin 2040 priority
sectors: housing and urban development (construction), manufacturing, connectivity (ICT, transport and logistics), education services, tourism
and allied services, agriculture, health and wellness services, and financial services. (NEDA, "About AmBisyon Natin 2040," AmBisyon Natin 2040
Website.)

136 | Updated Philippine Development Plan 2017-2022


• Build innovative talent focusing on the Increasing competitiveness, innovativeness,
acquisition of soft and hard skills with focus and resilience
on science, technology, engineering, arts, and
mathematics (STEAM), ICT, and digital- Develop high value-added, competitive, and
related competencies. Digital transformation resilient sectors.
requires the reinvention of businesses’ workforce
and necessitates investment in digital education. • Strengthen the implementation of the
In the immediate term, the Technical Education Philippine i3S. The i3S aims to strengthen the
and Skills Development Authority (TESDA) linkages of agriculture, industry, and services
and other relevant government agencies, through innovation and deepen forward
including LGUs, will proactively collaborate and backward linkages across these major
with the private sector to design remote on- economic sectors and induce global value chain
the-job trainings and apprenticeship programs participation. The i3S prioritizes the growth and
to support the creation of digital careers. For development of 15 major industries identified
the future workforce, critical support in the to benefit from closer integration of agriculture,
early stages of childhood development through industry, and services and from the adoption of
the acquisition of essential life skills and innovative applications: (1) auto and auto parts;
foundational abilities with a focus on lifelong (2) chemicals; (3) agribusiness; (4) furniture,
learning will be prioritized (see Chapter 10). garments; (5) creative industry; (6) iron and
steel, tool, and die; (7) electronic and electrical
• Improve ease of labor mobility. COVID-19 manufacturing services; (8) shipbuilding and
compelled countries to restrict travel and ship repair; (9) aerospace parts and aircraft
people mobility as part of efforts to flatten the maintenance; (10) construction; (11) transport
infection curve. Once infection is managed, and logistics; (12) tourism; (13) information
labor mobility within Southeast Asia, as part technology and business process management
of the Association of Southeast Asian Nations (IT-BPM); (14) e-commerce and digital
(ASEAN) Community Vision 2025, will be economy; and (15) climate change products,
pursued. Mutual Recognition Arrangements mobility solutions, health, education, and smart
(MRAs) will help Filipino professionals acquire cities.
new knowledge and experience overseas and
create new networks for professional growth. Developing these priority sectors will increase
the country’s competitiveness amid global
market uncertainties by operationalizing the
Improve access to finance (see Chapters 9C and 15 Innovation Memorandum of Understanding
for detailed strategies). (MOU) between relevant NGAs22 and closer
coordination and collaboration with the
academe and the private sector.
Expanding access to economic
opportunities in industry
• Provide assistance and facilitate funding
including the digital economy for industries and enterprises as they create
smart factories, adopt automation, and shift
to Industry 4.0 technologies. The application of
new and smart technologies such as automation,

22
The DTI, Department of Science and Technology (DOST), DICT, NEDA, Department of Education (DepEd), DA, and Commission on
Higher Education (CHED) signed the Memorandum of Understanding (MOU) on October 2, 2018, to further the Inclusive Filipinnovation and
Entrepreneurship, a declaration of understanding by the agencies to collaborate and coordinate in formulating and implementing the Inclusive
Filipinnovation & Entrepreneurship Roadmap, which aims to develop the country’s innovation and entrepreneurial ecosystem via enhancing the
linkages between academe/research community, industry, and government.

Chapter 9A Expanding Economic Opportunities in Industry | 137


robotics, artificial intelligence (AI), industrial non-conformance to standards prescribed by
internet of things (IoTs), big data analytics, processors), challenges in logistics, warehouse
additive manufacturing, and cloud computing and storage facilities (see Chapter 9B), and
in the identified priority industries under the i3S, internal firm factors, such as lack of human
will enable firms to produce innovative goods resource capabilities (see Chapter 10) and low
and services. Support will be made available technology adoption have been identified
to firms that will invest in customization, as gaps in the country’s manufacturing
scaling-up, and adoption of new production sector. Adequate investment in acquisition of
technologies to take advantage of opportunities technology licenses, adoption of innovative and
under the new normal, in particular: sustainable manufacturing processes,24 support
for private sector investment in logistics
- Establishment of an Industry 4.0 pilot through low-cost financing and upgrading of
factory and Industry 4.0 Small and skill competencies related to manufacturing
Medium Enterprise (SME) Academy that are critical requirements (see Chapter 8 for
will serve as learning facilities providing related strategies on the agriculture, forestry, and
Industry 4.0 training and technical fisheries [AFF] sector). At the international level,
support to companies transitioning the government will continuously dialogue
to utilize Industry 4.0 technologies; with regional and global cooperation partners
to ensure non-disruption of medical and food
- Allocation of funding programs (e.g.,
supplies including eliminating tariffs and other
soft loans) and appropriate incentives to
restrictions on essential goods25 (see Chapter
support companies’ digital transformation
15).
plans and investments consistent
with the CREATE provisions; and • Reduce the cost of logistics. The high costs of
logistics account for 27 percent of revenues
- Provision of technical support in conducting of manufacturing firms in the Philippines
Industry 4.0 assessment through the compared to Indonesia (21%), Vietnam
Smart Industry Readiness Index (SIRI).23 (16%), and Thailand (11%) based on estimates
of the International Finance Corporation
(IFC). This disproportionately affects smaller
• Address industry value chain gaps by enterprises as they operate on a smaller
encouraging sustainable use of raw scale and usually face high shipping and
materials along with parts, components, delivery costs when importing smaller
and intermediate products and linking shipments.26 Strategies for enhancing
manufacturing with knowledge-intensive logistics services are discussed in Chapter 9B.
services. The lack of sustainability in production
processes, inadequate processing (resulting in

23
Smart Industry Readiness Index (SIRI) is developed in Singapore and is the first self-diagnostic Industry 4.0 tool that helps companies globally
– regardless of size and industry – determine how to start, scale and sustain their Industry 4.0 transformation. The tool serves as a benchmark for
manufacturers to assess and compare their Industry 4.0 maturity levels against those of their peers in the same industry. (https://siri.gov.sg/)
24
A concrete example in pushing forward sustainable production in the manufacturing sector is the National Ecolabelling Programme – Green
Choice Philippines (NELP-GCP). The NELP-GCP is a voluntary, third-party ecolabelling programme that follows the guidelines set by ISO 14020
and ISO 14024. Through a multi-sectoral process, the programme provides criteria for environmentally-preferable products which can be used
as a guide for consumers and institutions for product selection. Ecolabelling and green purchasing is just the first step to create awareness on
sustainable consumption and production practices. To further promote and patronize ecolabeled products and services in the public sector, the
Philippine Green Public Procurement Roadmap has been launched by the Government Procurement Policy Board (GPPB) in 2017. Encouraging
green procurement in the public sector is critical as this will create demand and will concretely lay down green purchasing policies.
(GPPB– Technical Support Office. The Philippine Green Public Procurement Roadmap. GPPB-TSO, 2017)
25
Strengthened cooperation is necessary to keep medical supply lines open and prevent harmful measures that will affect the trade of medical
goods. (Rhea C. Hernando and Emmanuel A. San Andres, “APEC in the Epicentre of COVID-19,” Policy Brief No. 31, APEC Policy Support Unit,
April 2020)
26
WB, Philippines Digital Economy Report 2020.

138 | Updated Philippine Development Plan 2017-2022


• Maximize the country’s opportunities to work arrangements will be applied as relevant
penetrate the global Halal market. The to industry operations (see Chapter 10).
Philippine Halal industry, another sector
offering opportunities for higher value-adding, • Boost infrastructure development by fast-
can be an instrument for sustainable growth tracking implementation of Build Build
and inclusive development in the Bangsamoro Build (BBB) projects aimed towards
Autonomous Region in Muslim Mindanao improving the country’s healthcare system,
(BARMM) and the rest of Mindanao. Financing digital and power infrastructure, among
and technical assistance for Halal firms’ digital- others (see Chapter 19 on Infrastructure).
based businesses will be prioritized.The • Adopt a policy framework to promote
implementation of the Philippine Halal Export geographic indication (GI) system to boost
Development and Promotion Act of 2016 production of local agricultural products
(RA 10817) will provide assistance to Halal with unique characteristics attributable
industries to ensure compliance with Halal to its geographic origin, human factors, or
technical standards and provide common indigenous knowledge (e.g., pili nuts of Bicol,
service facilities in strategic production areas. Guimaras mangoes, etc.). The GI highlights
Further, the Department of Foreign Affairs the competitive advantage of origin-linked
(DFA) Foreign Service Posts will be utilized in qualities, reputation, and other characteristics
conducting market research and intelligence of products including traditional practices or
for potential opportunities for the local know-how in their production that can
development of the Philippine Halal industry translate into economic benefit of local farmers
and other relevant information to expand or producers. As a starting point, technical
market access. capacities of relevant agencies and stakeholders
• Strengthen collaboration and monitoring will be strengthened. Information dissemination
of the implementation of various industry and creation of a policy framework on this
roadmaps. Stronger collaboration of the initiative will be pursued28 (see Chapter 8).
various industry clusters across the regions,
coupled with adoption of appropriate Encourage entrepreneurship leveraging
innovation and periodic monitoring of industry technology-enabled business models.
roadmaps will ensure that all stakeholders
are on track towards producing higher value • Allow firms in new technologies and industries
output to achieve the roadmap targets set. to test their products and business models
• Build capacity in preparing BCPs across through regulatory sandbox.29 Compliance
industries. The ability to tap alternative and regulations will be flexible and suited to
suppliers and beef up inventory capacity will the pace of growth of the most innovative
insulate enterprises against vulnerabilities. companies which will be balanced by sufficient
Support will be provided by capacitating checks to ensure consumer protection.
firms to prepare their customized BCPs27 • Provide a supportive policy environment for
(see Chapters 9C and 10). A sound legal entrepreneurs and startups. Further supporting
framework for telecommuting and alternative

27
National Wages and Productivity Commission (NWPC) commits to implement the Productivity Toolbox to sharpen the productivity perspective
of BCPs such that BCP activation should not only mitigate impact of disruption but should also unlock workforce productivity
28
The Intellectual Property Code of the Philippines (RA 8293) has already stipulated that GIs are examples of intellectual property rights. The
Bureau of Trademark under the IPOPHL is in-charge of the “search and examination of the applications for the registration of marks, geographic
indications, and other marks of ownership and the issuance of the certificates of registration.”
29
Regulatory sandboxes or testing grounds for emerging industries will require a high degree of regulatory flexibility, market openness, and a
competitive policy environment. Further supporting the growth of emerging industries may spur innovation but may also cause disruption to
traditional sectors (e.g. growth of fintech that may disrupt traditional financial sector).

Chapter 9A Expanding Economic Opportunities in Industry | 139


individuals starting up their own businesses – support restarting businesses or existing
particularly youth, women and persons with firms applying for permit renewals.
disabilities—will require a supportive policy Specific regulatory bottlenecks for the food
environment from the national and local manufacturing industry (FMI), which accounts
government. Blended finance or the strategic for more than a third of the manufacturing
use of development finance to mobilize sector, are currently being addressed.31 In the
additional funding for sustainable development construction sector, permitting and licensing
will be tapped.30 For instance, blended finance can be streamlined in line with the proposed
that offers “gender lens investing plan”— Philippine Building Act.
encouraging investment in activities that
positively affect women – will be explored and • Encourage digitalization in government
scaled-up. Access to other types of innovative processes to support industry growth. Fast-
financing for startups and MSMEs, as well as tracking the implementation of e-governance
cooperatives will also be expanded to enable them projects, especially in terms of government
to operate under the new normal (see Chapter to business (G2B) electronic services, is
9C). Technopreneurship will also be considered paramount in supporting the shift to the new
in the implementation of the Balik Probinsya normal (see Chapter 5). Full implementation of
Bagong Pag-asa (BP2) Program, to address TradeNet, the online platform for the Philippine
livelihood and job scarcity as support to regional National Single Window (NSW), will digitize
growth and development (see Chapter 18). trade processes, including online payment
systems, in simplifying trade (see Chapter 15).
• Pursue convergence among various The government will likewise fully implement
government initiatives and flagship programs the electronic Business Permits and Licensing
for startups, micro, and small enterprises and System (eBPLS) project, providing the LGUs
cooperatives (see Chapter 9C). across the country with software that digitizes
the application of business permits and licenses.
The shift to online business registration for
Improve ease of doing business to boost industry Securities and Exchange Commission (SEC),
expansion through digital transformation. DTI, and other relevant NGAs will also be
fast-tracked. Government digital platforms
• Address regulatory bottlenecks by streamlining will consider interoperability for shared access
permitting and licensing processes across by relevant national and local government
industries. Effectively streamlining regulatory units while ensuring appropriate cybersecurity
processes will attract further investments protocols. Utilizing e-payment channels for
and boost output. Further streamlining of government transactions will be prioritized.
procedures and reducing the number of
days in granting permits and other licensing • Speed up implementation of Energy Virtual
requirements, will be implemented to One-Stop Shop (EVOSS) (RA 11234) and the

30
The Australian Department of Foreign Affairs and Trade has just established the Emerging Markets Impact Investment Fund (EMIIF) which
will be accessible to financial intermediaries in countries like the Philippines. The EMIIF intends to invest in funds for SMEs, or in financial
intermediaries such as banks who, in turn, will lend to SMEs. A unique feature of the EMIIF scheme is a “gender lens investing” plan that will
encourage investment in activities that positively affect women. Thus, EMIIF will either: (a) make available non-grant instruments to invest in
SME funds, with the goal to play the role of an anchor fund from which other funds will be crowdsourced; or (b) use its funds to directly assist and
support SMEs.
31
Some of the concrete measures for improvement: (a) operationalize a one-stop processing venue for the various certifications required by various
food safety regulatory agencies (FSRAs) utilizing online platforms and digital payment channels; (b) shorten turn-around periods of processing
and issuing clearances, permits, or other required certifications to address regulatory compliance including a thorough review to streamline
the FSRA processes; and (c) update current standards and protocols for food regulation aligned with internationally recognized standards and
protocols to address product safety and quality concerns of consumers. (Nerlita M. Manalili, et. al. “Scoping Study on Reducing Unnecessary
Regulatory Burdens in the Philippine Food Manufacturing Industry,” Discussion Paper Series No. 2017-23, Philippine Institute for Development
Studies, June 2017.)

140 | Updated Philippine Development Plan 2017-2022


Energy Investment Coordinating Council (EO • Provide more dispersed access points for
30) to address delays in the implementation of common service facilities including
energy infrastructure projects. These policies laboratories, calibration, and testing
will streamline permitting processes for facilities for MSMEs especially in the regions
energy projects, including power generation, (see Chapter 9C). MSMEs across regions will
transmission, and distribution at the local level be provided greater access points to common
by utilizing online platforms (see Chapter 19). service facilities to encourage and support their
NQI compliance and adherence.

Harmonize and strengthen the National Quality • Intensify targeted awareness and information
Infrastructure (NQI) System. dissemination on the benefits of accreditation
for firms engaged in essential sectors and
• Pursue passage of the NQI Law (see Chapter emerging industries. Under the new normal,
9A Legislative Agenda). The current fragmented business accreditation and compliance with
nature of the country’s NQI System limits the domestic and international standards and
capacity of local manufacturers to comply with conformance will be promoted for essential
global technical regulations and product sectors (i.e., healthcare, food safety and food
standards.32 A unified NQI system, through testing, etc.), as well as emerging industries
passage of this law, will harmonize the country’s (i.e., manufacturing PPEs, test kits, and
standards, technical regulations, metrology, other health testing instruments, etc.).
accreditation and conformity assessment
procedures (e.g., testing, calibration, inspection,
and certification), packaging, and labeling Ensuring consumer access to safe and
to be at par with international standards. As quality goods and services
a parallel activity, the technical regulation
regime will be reviewed and adjusted, including Continue vigilance on product safety, value for
its related legislation, to meet regional and money, and access to quality goods and services.
international requirements promulgated under
the regional trade protocols, the World Trade • Strengthen institutional and human capacities
Organization Technical Barriers to Trade of key agencies to enforce regulations and
(WTO-TBT), and Sanitary and Phytosanitary enhance consumer awareness on the safety and
Measures (SPS) agreements along with other quality of products and services. The capacity
international best practices.33 The service of responsible units under the Department
delivery of the NQI is dependent on a trained of Health (DOH),34 DA,35 and DTI,36 to fulfill
and skilled workforce. Hence, developing the their mandates, to enforce and advocate
human resources necessary to support the for higher standards of safety and quality
various standardization, quality, and technical of goods produced37 will be strengthened.
regulation programs is also supported. Measures to increase consumer awareness
will be scaled-up, leveraging digital platforms.

32
An assessment of the NQI in the Philippines and the corresponding support for institutional capacity of both government and the private sector
will be pursued to ensure harmonization of domestic standards and regulations at par with global standards.
33
This will include the establishment of effective cooperation amongst the NQI institutions and the national regulatory authorities, and also with
their regional and international counterparts.
34
The DOH through the Food and Drug Administration (FDA), establishes standards for processed food, drugs, and cosmetics.
35
The DA’s Bureau of Agriculture and Fisheries Product Standards (BAFS) develops standards for agriculture and agriculture-related products
including fruits and vegetables and grains.
36
The DTI’s Bureau of Philippine Standards (BPS) formulates standards for food and other categories including building, construction, and
transport products; electrical and electronic products; and chemical and consumer products. It is mandated to develop, implement, and coordinate
standardization activities in the country and works with DOH and DA on this area.
37
Periodic exchange programmes among ASEAN Member States (AMS), for instance, will build national capacity and encourage these agencies to
pursue a higher standard of quality awareness and consumer protection in ASEAN.

Chapter 9A Expanding Economic Opportunities in Industry | 141


• Prioritize procurement of ecologically Almost three decades since the existing law
responsible products and services that are has been passed, it will be updated, to cover
domestically produced and at par with consumer protection on ICT and e-commerce
international quality and standards. In the and improve pre-adjudication consumer
public sector, enforcing Rule XII, Section redress mechanisms, including an effective
43 of the Revised Implementing Rules and return and refund policy.
Regulations (IRR) of the GPRA (RA 9183),
will help the growth of local industries • Engage relevant consumer welfare
that produce safe and quality goods and organizations. Regular engagement and
services at a competitive cost. As a whole, continuous dialogue among the government,
Go Lokal! and similar buy Pinoy initiatives non-profit consumer organizations, and other
will enable domestic industries to bounce relevant non-profit private organizations
back under the new normal. Green or will be established. These organizations
sustainable procurement will also incentivize are critical partners of the government in
greening industries that will contribute to ensuring that products and services in the
sustainable economic growth (see Chapter 20). domestic market comply with safety and
quality requirements based on the Philippine
National Standards , 38 technical regulations,
Promote and strengthen consumer protection to and other trade and industry regulations.
cover digital transactions.
• Formulate and enforce policy framework/
• Amend the Consumer Act to strengthen guidelines for online sellers and buyers to
protection for consumers. The law will be spur e-commerce growth. E-commerce will
updated to provide stronger measures that will likely remain part of the post-pandemic
enhance consumer protection from dangerous reality. To ensure safe and reliable e-commerce
and hazardous products and abusive sales transactions, updating of joint circulars issued
practices. Foremost, the DTI will be given the by the DTI, DA, DOH, and other relevant
mandate to effectively monitor the quality and government agencies that enforce consumer
safety of products being sold in the market; protection policy in e-commerce will be
halt the proliferation of substandard and prioritized (see Chapter 9B). Use of virtual
potentially dangerous products by being modes or digital platforms in handling
granted the authority to declare, motu proprio, consumer complaints and dispute resolutions
certain products as unsafe, issue preliminary will be promoted.
preventive or mandatory orders and
recommend the closure of erring businesses.

38
The Philippine National Standards (PNS) is a publication of various consumer products that follow a standard documentation format aligned
with the ISO documentation format. It also covers mandatory labelling and packaging and prescribes all the standards and required information
for domestically produced consumer products

142 | Updated Philippine Development Plan 2017-2022


Box Article 9A.1 Strengthening Economic Zone Development Program

Administrative Order (AO) No. 18 s. 2019, “Accelerating rural progress through robust development of Special Economic Zones in
the countryside”, and Executive Order No. 114, the “Balik Probinsya Bagong Pag-asa Program,” are perceived as complementary
measures. The successful implementation of both will enable the creation of more ecozones in the countryside which will boost
job generation and improve employment prospects of rural and Balik Probinsya beneficiaries.

In response to the COVID-19 pandemic, the following are proposed policy responses in support of Economic Zone Development
Program under the new normal:

• Encourage PPP, joint ventures (JVs), and other modes of partnership in building a transportation and logistics hub in every
region to encourage countryside investment.
• Address bureaucratic hurdles to reduce trade costs pertinent to logistics by fully implementing the Customs Modernization
and Tariff Act (CMTA). Under the law, the Bureau of Customs (BOC) must ensure uninterrupted 24/7 service in the ports,
including weekends and must accredit more off-dock container yards and container barge terminals, as part of its decongestion
measures. The Land Transport and Franchising Regulatory Board (LTFRB), for its part, will ensure prompt issuance of franchises
and permit to operate (PTO) to truck drivers. Lastly, the DTI’s issuance of a policy to regulate port and shipping fees for shippers
and full container load (FCL) shipments must be fast-tracked.
• Temporarily reduce export threshold for COVID-19-affected economic zone export-oriented industries, as prescribed by the
PEZA Board subject to terms and conditions as the latter may determine (RA 791639).
• Include the establishment of Medical Waste Disposal Facility and production of medical waste disposal equipment among the
eligible and priority products/activities for registration with incentives, pursuant to DTI-DOF Joint Memorandum Circular No.
2020-02.
• Rationalize the strict implementation of Department AO 2016-08, which provides additional parameters for monitoring and
compliance for wastewater discharge, with Department of Environment and Natural Resources (DENR), to undertake cost-
benefit study on the additional environmental parameters.
• Adopt digitalization with the view of harmonizing and streamlining permitting requirements of exporters and importers pursuant
to the implementation of the EODB-EGSD Act, as enforced by the Anti-Red Tape Authority (ARTA), and establish an inter-agency
committee to strengthen coordination among IPAs, including the establishment of a one-stop shop to respond to all concerns
regarding ecozone development, investment requirements, and applicable incentives, among others.

Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 9A.2 Legislative Agenda to Expand Economic Opportunities in Industry

LEGISLATIVE AGENDA RATIONALE

Competitiveness, innovativeness, and resilience increased

Amendment of the The current law needs to be updated to attract more foreign investments in
Foreign Investments Act manufacturing and other priority sectors. The following amendments are supported: (a)
reduce employment threshold from 50 to 15 direct employees and (b) exclude individual
practice of profession from coverage of the law and the Foreign Investment Negative
List (FINL).

39
The IRR of RA 7916, Section 2i allows that ecozone export enterprises, which have been registered with PEZA to engage in manufacturing,
assembling or processing activity, falling within the purview of the Act and resulting in the exportation of 100% of its production, may be allowed
a lower percentage of its production for exportation as prescribed by the PEZA Board subject to terms and conditions as the latter may determine.

Chapter 9A Expanding Economic Opportunities in Industry | 143


LEGISLATIVE AGENDA RATIONALE

Philippine Electric Vehicle This aims to highly promote, encourage, and support e-vehicle production and usage
(e-vehicle) Industry towards adopting an eco-friendly and economical transportation landscape in the
country. Support and grant for time-bound and performance-based incentives for
the manufacture, assembly, conversion, and sale of hybrid and other fuel-alternative
vehicles and the establishment of charging stations, will be pursued in accordance with
the provisions under the Corporate Recovery and Tax Incentives Reform Act (CREATE)
(see Chapter 15). This is also in support of the public utility vehicle (PUV) modernization
program of the government to make the country’s public transportation system efficient
and environment friendly.

National Quality An NQI policy will raise quality consciousness of both suppliers and consumers, as
Infrastructure (NQI) Law NQI institutions introduce, promote, and maintain a culture of safety and quality of
goods produced. The law will integrate and coordinate standardization, metrology,
testing analysis, quality management, certification, and accreditation at par with global
standards. This will ensure that goods and services emanating from or traded to the
country are designed, manufactured, and supplied in a manner that matches the needs,
expectations, and requirements of the purchasers and consumers, as well as those of
the regulatory authorities in the domestic and export markets.

National Digital Given the new normal, structural reforms that cut across multiple sectors need to be
Transformation put in place to allow a transformational shift to digital modes of conducting work and
life. This will require enhancing the foundation of the digital economy through greater
investment in ICT infrastructure and connectivity and setting up a sound regulatory
environment that promotes digital adoption.

Amendment of the This will provide a level playing field and expand opportunities to eligible and qualified
Contractor’s License domestic and foreign contractors by reducing barriers to entry of new players in the
Law 40 construction sector. Moreover, this will facilitate potential investments in quality and
climate-resilient infrastructures.

Consumer access to safe and quality goods and services ensured

Amendment of the The law needs to be updated to efficiently and effectively address consumer concerns
Consumer Act 41 and align existing business and industry practices, to be at par with international
standards and best practices, and to cover the use of technology applications (e.g.,
e-commerce).

40
Amendment of the Contractor’s License Law (Senate Bill 1008) was filed by Senator Sherwin Gatchalian on September 4, 2019, aimed at
removing government restrictions that hinder potential economic growth by removing the nationality criterion and replacing this with foreign
reciprocity.
41
Among the Consumer Act amendments being considered are: (a) stronger measure to give DTI the authority to close down establishments
caught in the act of manufacturing, distributing, selling, producing, displaying, or importing hazardous and defective products; (b) coverage on
e-commerce and ICT; (c) protection from deceptive and misleading online or digital advertisements; (d) real-time consumer hotline to be made
mandatory for all manufacturers/suppliers/final producers to respond to consumer complaints/suggestions and a stronger policy for return and
refund options; (e) requirement for foreign products with labels to have English or Filipino translation before being allowed entry into the country;
and (f) exemption of businesses offering price-discounted rates for single or bulk-purchase of products or services from the requirement to secure
sales promotion permit from DTI to facilitate growth of e-commerce, among others.
9B
Expanding
Economic
Opportunities
in Services
CHAPTER 9B

Expanding Economic
Opportunities in Services
The services sector functions as an integral backbone of a wide range of domestic and global
industries and has maintained its position as the main growth driver, top contributor to gross
domestic product (GDP), and the biggest employer of the country during the first half of the
Plan period.

However, with the sudden halt of major subsectors such as tourism and transport services
due to the global pandemic, a shift to more digital-based services may be needed to propel
the services sector. With the new normal, the government now has to establish the integration
of necessary health and sanitary protocols in daily activities to ensure that the public remains
safe in light of the current pandemic. On the other hand, reforms to attract investments,
increase competitiveness, and further improve the country’s business environment are
needed to boost recovery and strengthen the economy’s resilience.

Assessment and Challenges


Assessment: Services remained the country’s major Government Service Delivery (EODB-EGSD) Act
driver of economic growth for the first half of the of 2018 and the 11th Regular Foreign Investment
Plan period. The share of services to total GDP Negative List (RFINL).
grew to 60.6 percent in 2019 from 59.6 percent
in 2017. During the period, services generated With the global economic slowdown brought about
a full-year net employment gain of 1.3 million by COVID-19 pandemic, the Philippine economy
in 2019 in contrast to the employment loss in is expected to be in recession in 2020 due to the
2017. Average growth was the fastest relative to subsequent deceleration of most domestic economic
agriculture and industry at 7.2 percent, contributed activities. For the services sector, highly-affected
mainly by wholesale and retail trade, finance, sectors include retail trade, transportation, and
public administration, transportation, real estate, tourism-related activities. Reduced employment
information and communications technology generated in the services sector is also expected,
(ICT), as well as accommodation and food services. as the suspension of production activities for both
Tourist arrivals in 2019 reached an all-time high of goods and services resulted in business closures with
8.3 million, marking a 15.2 percent increase from many firms currently facing financial difficulties.
2018 and hitting the 8.2 million target set for the
year. Approved foreign investments recorded in the Challenges: The services sector will continue to
sector have been increasing, but actual net equity take a big hit from the COVID-19 pandemic as the
capital investments have been on a downward trend global movement of people and goods continues to
since 2017. Major reforms passed during the period be limited due to travel bans and other restrictions
include the Ease of Doing Business and Efficient imposed by countries. On the domestic front,

Chapter 9B Expanding Economic Opportunities in Services | 147


the imposition of various levels of community logistics, bottlenecks in achieving a seamless,
quarantines across the country also resulted in the uninterrupted supply chain that is efficient and
limited movement of people, goods, and delivery of reliable needs to be addressed. Demand for tourism
services. and travel, in general, will still be relatively low
until a vaccine is available. For those allowed
Amidst the debilitating impact on services brought to travel, immigration controls will be stricter
about by the pandemic, digital technologies have and health checks will be carried out frequently.
provided an opportunity for many businesses There is a heightened need for regular sanitation
to thrive. Business transactions powered by or disinfection of accommodation, public
information and communication technology (i.e., establishments, and transport services, as well
electronic trade, banking, and payments) became a as a stable provision of sanitation or disinfecting
necessity under the “new normal.” Now, consumers devices in these areas.
and merchants face an increased preference/
demand for online transactions and alternative In many service-oriented organizations in the
modes of shopping. To adjust to this behavioral private and public sectors, alternative/flexible-
change, the readiness of the country’s digital work arrangements (e.g., work from home) need to
infrastructure, as well as the strengthening be widely implemented to conform to strict social
of digital security and consumer protection, are distancing protocols. Consequently, enhanced
critical in moving forward during these times. broadband connectivity will be needed to respond
to the increased demand. The energy sector also
IT-enabled platforms that allow the financial needs to adapt to the change in electricity
system to provide secure digital banking and consumption patterns (see Chapter 19).
cashless payment systems will be important. For

Targets
For the remaining Plan period, gross value assumptions from internal and external factors
added (GVA) growth rate targets were affecting the sector. The GVA growth rate in the
adjusted based on the new assumptions in services sector is projected to expand by 5.8 percent
the period as recognized and approved by the to 6.8 percent and 7.3 percent to 8.3 percent in 2021
Development Budget Coordination Committee and 2022, respectively. In addition, the sector is
(DBCC) on July 28, 2020. The revised services targeted to create an average net employment of 4.4 to
targets, as shown in Table 9B.1, considered new 4.7 million at the end of the Plan period.

148 | Updated Philippine Development Plan 2017-2022


Table 9B.1 Updated Plan Targets to Expand Economic Opportunities in Services

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Economic opportunities in Services across regions including the digital economy expanded

8.2b
GVA growth rate in the services sector improved (%)a 6.3-7.3 5.8-6.8 7.3-8.3 7.3-8.3
(2016)

Employment generated from the services sector 578


499 1,400-1,600 600-700 4,429-4,729
increased (‘000s)c (2015)
Notes: a GVA at constant 2018 prices. Note that revised GVA growth rate for 2021-2022 is in line with the revised DBCC-approved GDP estimates last 28 July 2020.
b
National Income Accounts (NIA) as of August 2020.
c
“Employment generated refers to additional employment generated from the preceding year. Annualized employment generation for 2014 and 2015 refer to
the average of estimates for April, July, and October Labor Force Survey (LFS) rounds which excluded data of Leyte province. Further note that revision of target
employment generation in services for 2021 and 2022 is consistent with the revision of target total employment generation (see Chapter 4) and revision of labor
productivity inservices (see Chapter 10) in the same period.”

Strategic Framework
The strategic framework (Figure 9B.1) has been facilitated more effectively by maximizing the
reconfigured to include strategies that respond potential of the digital economy. Three subsector
to the rapid changes under the post-pandemic outcomes are envisioned: (a) market access
“new normal” scenario. Expanding economic improved; (b) competitiveness, innovativeness, and
opportunities and increasing access to these resilience increased; and (c) consumer access to
opportunities across regions in the services safe and quality goods and services ensured.
sector are still the main objectives. These can be

Figure 9B.1 Strategic Framework to Expand Economic Opportunities in Services

Chapter 9B Expanding Economic Opportunities in Services | 149


Strategies
For the remaining years of Plan implementation, requirements and reduce transaction costs. In
the following strategies will be implemented to addition, the implementation of the Business
achieve the sector and subsector outcomes as well One-Stop Shop (BOSS) and the creation of the
as targets: Central Business Portal (CBP) to streamline
procedures will be prioritized. Continuation of
“Project Repeal” will also be pushed to further
Expanding opportunities in eliminate irrelevant laws and regulations.
services across regions
• Prioritize the establishment of clear
enforcement rules for sectors/economic
Improving market access activities liberalized under the 11th RFINL,
in line with easing foreign equity restrictions
Maximize opportunities that expand access to to ensure that existing and new regulations are
existing and new markets under the Association of responsive to the goal of making the country
Southeast Asian Nations Free Trade Agreements more competitive.
(ASEAN-FTA) and other preferential agreements
with key trading partners (see Chapter 15). • Implement the National Competition Policy
Intensify efforts in pursuing the Master Plan on (NCP) to enhance the competitiveness of the
ASEAN Connectivity 2025 to support the recovery services sector by ensuring that regulations
of intra-ASEAN trade as a regional growth engine. promote fair competition and level the playing
field, particularly in the transportation, energy,
and telecommunication sectors (see Chapter
Expanding access to economic 16).
opportunities in services
• Undertake a comprehensive regulatory impact
including the digital economy assessment of existing regulations to ensure
that these do not impose unnecessary burden
Increasing competitiveness, innovativeness, on businesses.
and resilience
• Develop sector-specific services trade
data, including indices, to measure the
Improve the business environment. country’s services regulatory environment.
• Continue efforts to ease or remove restrictions Develop high value-added, competitive, and
in the services sector and pursue reforms sustainable sectors.
to open the sector to foreign participation
and encourage competition. Restrictions in • Support the development of high-value services
telecommunication and transportation services sectors and backbone/supporting industries
will be given particular attention, including the to strengthen linkages of the sector into the
amendment of the Public Service Act of 1936. domestic and global value chains, as well as
address agglomeration, economies of scale, and
• Further improve the business environment gaps in the supply and value chains. This will
with the full implementation of the EODB- also assist companies affected by the pandemic
EGSD Act of 2018 and the Philippine Business to diversify to more productive and relevant
Registry (PBR) and the Business Permit high-value services that can be easily integrated
Licensing System (BPLS) to minimize, if into the global value chain.
not eliminate, redundancies and overlaps in

150 | Updated Philippine Development Plan 2017-2022


• Facilitate the growth of the Information • Amend the National Accreditation Standards
Technology and Business Process Management for all tourism enterprises to include additional
(IT-BPM) industry through improved access measures related to regular sanitation,
to quality ICT infrastructure, affordable power disinfection, promotion of proper hygiene, and
and logistics costs, and an enabling regulatory responsible information sharing.
environment, among others. Alternative
working arrangements should be adopted to • Encourage tourism businesses, especially
conform to social distancing protocols. micro, small, and medium enterprises
(MSMEs), to craft business continuity plans
• Develop statistics to measure the growing (BCPs) to take into account resilience to risks
digital economy and creative industries, and health-related outbreaks, epidemics, and
including digital platforms and online disasters due to natural and human induced
work, to establish a clear and comprehensive hazards.
definition, as well as a classification system, • Revisit the Maritime Industry Development
for what constitutes a digital economy and Plan (MIDP) 2019-2028 Program 2 on
activities categorized as creative industries. A the Development of Shipping Services for
clear delineation on the criteria for classifying Maritime Tourism. Together with the National
goods and services that are considered, digital Cruise Tourism Development Strategy and
and non-digital should also be formulated. Action Plan, the MIDP Program 2 will be
reviewed to promote the Philippines as a
Accelerate the recovery of the tourism and travel regional cruise center of Asia through the
industry. establishment of design and safety standards
for construction and operation of cruise
• Aggressively pursue new air services ships, boats, and pleasure craft, facilitation of
agreements to increase access and connectivity maritime tourism investments, and promotion
to new markets and potentially benefit the of maritime tourism to global travel industry/
travelling public, tourism industry, and airline cruise tourism market, in line with the new
carriers, among others. normal.

• Revisit the National Tourism Development • Boost tourism from the Middle East and other
Plan (NTDP) 2016-2022, local tourism plans, Muslim-majority countries by supporting
as well as the Tourism Industry Training Plan, the development of the Halal industry
to ensure the development and marketing and promoting business partnerships with
of competitive products and destinations, companies from those countries. Increase the
intensify improvement of market access, conduct of Halal-related seminars and training
connectivity, transport, and infrastructure, via webinars to strengthen the Philippine Halal
and enhance tourism institutional governance industry and continue exploring the potential
and human resources, in line with the new of incorporating Halal in other sectors.
normal. In particular, the enhancement of
health and safety protocols in all tourism Improve access to technology and innovation.
establishments will be prioritized. Trainings on
initial handling of possible infectious disease • Improve digital skills, ICT infrastructure,
cases should be given to tourism personnel and and digital connectivity to ensure reliable and
a reporting system for suspected cases should affordable broadband and internet services.
be established. This will encourage more businesses and
consumers to participate in the digital economy
• Strengthen tourism data collection and and support the continuous growth of the IT-
management through the institutionalization BPM industry, as well as other IT-enabled
of the Department of Tourism’s (DOT) Local industries. Investments in ICT infrastructure
Tourism Statistics System. need to be boosted to meet the surge of online

Chapter 9B Expanding Economic Opportunities in Services | 151


transactions and the consumers’ expectations Enhance labor capacities in the services sector
for reliable and safe digital connectivity in the (see Chapter 11).
new normal.
• Pursue reskilling and upskilling of workers
• Develop the country’s digital financial and invest in human capital development
infrastructure to ensure the readiness of the based on the transformation of jobs, facilities,
financial system to shift towards a cash-lite processes, and future skills needs. Update
economy, following the widespread use of course offerings and training programs to
financial technologies (fintech), which have include skills needed to cater to higher value-
made digital financial services more accessible, added services and to diversify labor skill sets
available, and affordable for Filipinos. Critical to encourage specialization. Skilled trainers
infrastructure needed to support digital must also be readily available to ensure the
payments include the Philippine Identification quick adaptation of the labor force to current
System (PhilSys) (see Chapter 15), enhanced and emerging trends. In addition, proactive
Real-Time Gross Settlement (RTGS), Digital development of needed manpower, in line with
Banks, Open Banking Platform, and the QR the requirements of industries may be achieved
Ph (National Quick Response [QR] Code through intensified labor market information.
standard). To support MSMEs, financial
infrastructures such as digital supply chain • Address mismatch in industry needs and
financing, online collateral registry, credit risk education/skills through strengthened linkages
database, and credit information and guarantee between industry, government, and academe,
system, should be established to address review of curricula and courses offered in
fundamental issues that constrain sustained consultation with MSMEs and industries,
private sector involvement in MSME financing. and conduct a study to address the industry
needs and matching of education/skills.
• Promote digital payments in both government
and private sector. The government will engage • Implement provisions of the Transnational
key stakeholders in both public and private Higher Education Act (Republic Act [RA]
sectors to broaden the use of digital payment 11448), which allows foreign higher education
platforms and ensure that these are supported institutions to establish a commercial presence
by robust infrastructure and digital governance or provide educational services in various
standards. Among the priorities will be modes or arrangements with local partner
compelling the use of bills payment, receipt of educational institutions. As a response to
wages, social transfers, payment of government globalization and the Fourth Industrial
fees, and person-to-merchant and business- Revolution (FIRe), the law aims to modernize
to-business (B2B) payments. These will be and improve the competitiveness of the higher-
complemented by the promotion of digital education sector by bringing international
literacy, financial education, and consumer quality standards and expertise into the country.
protection policies to build consumer trust.
• Intensify benchmarking and comparability
• Pursue the full implementation of the TradeNet of qualifications under the Philippine
to facilitate contactless trade and to expedite Qualifications Framework by expanding
the processing of documents (see Chapter 15). the coverage of the ASEAN Mutual
Recognition Arrangements (MRAs) for
• Strengthen intellectual property (IP) Tourism professionals, among others. This
promotion, protection, regulation, and will enable increased access of more Filipino
enforcement (see Chapter 14). tourism professionals to tourism-related
jobs in ASEAN by establishing Philippine
qualifications at par with ASEAN standards.

152 | Updated Philippine Development Plan 2017-2022


Strengthen the Philippines’ e-commerce Information and Communications Technology
industry. (DICT). Protection of both buyers and those
delivering the service must be ensured.
• Hasten growth of e-commerce by focusing
on building up digital speed, security, and • Expand microinsurance products to include
structure to expand the market and increase non-life business insurance and increase
sales. Establish necessary policies, advocacy, business owners’ awareness on insurance.
awareness campaigns, payment systems, Encourage businesses, especially MSMEs,
and infrastructure to support its growth. to avail of microinsurance to protect their
businesses and investments and to craft BCPs
• Incorporate digital trade in the updating of the that take into account possibilities of multiple
Philippine ECommerce Roadmap 2016-2020. crises, including pandemics.
Consider inclusion of digital trade strategies to
keep abreast of emerging digital technologies • Establish secure e-payment systems and
and platforms and changing consumer habits. ensuring consumer protection online.

• Strengthen consumer/producer rights’ • Establish and institutionalize a clear and


protection in e-commerce transactions by simple digital taxation framework that is
establishing an effective dispute settlement efficient and fair. Ensure neutrality in tax
mechanism to govern and streamline processes treatment among different forms of electronic
for the resolution of complaints, which may commerce. Administrative costs for tax
involve fraud, cyber-crime, payment security authorities and compliance cost for taxpayers
issues, and security of websites, among others. should be minimal. In addition, the system
Information on the fulfillment of e-commerce for taxation should be flexible and dynamic
transactions and the resolution of transaction to keep pace with technological and other
complaints will be made available. developments and to align with the country’s
regulations, as well as with current and
• Generate official industry data to monitor emerging international regulations on digital
and measure the contribution of e-commerce taxation (see Chapter 15).
and digital trade to the economy. Create a
centralized and standardized data portal for Upgrade logistics services (see Chapter 19).
the e-commerce industry containing relevant
statistics such as market segmentation (i.e., • Develop ports near export-processing zones
mobile e-commerce, food and beverage to provide businesses with the necessary
e-commerce) and type of ownership, among infrastructure to facilitate shipment of goods
others. and services to export markets at a lower cost.
This would also decongest Manila ports—
• Support entry of new players in the delivery lessening shipment delays and lowering overall
services sector and facilitate collaboration transportation costs. Immediate promulgation
of retail and restaurant owners with delivery and implementation of regulation on
service providers. international shipping rates will be critical
in addressing high shipping costs. Increased
• Promote and regulate alternative modes for utilization of ports outside Metro Manila
shopping or retail trade through personal (e.g., Batangas and Subic ports), as well as
assistance services, with draft rules and deterrence of smuggling activities, will be
regulations for these services formulated crucial in eliminating logistical inefficiencies.
by the Department of Trade and Industry
(DTI), Land Transportation Franchising and • Revisit the Lateral Attrition Act (RA 9335)
Regulatory Board (LTFRB), and Department of to include improvement in current customs

Chapter 9B Expanding Economic Opportunities in Services | 153


procedures as part of the assessment of • Create a competent national body for
performance indicators used by the Bureau of multimodal transport. In the interim, close
Customs (BOC). policy coordination, deeper integration,
and information sharing towards potential
• Accelerate streamlining of customs procedures rationalization of functions should be developed
in terms of speed, simplicity, and predictability by the Department of Transportation (DOTr),
to avoid congestion in ports. An efficient Maritime Industry Authority (MARINA), and
system of tracking and tracing shipments must Land Transport Franchising Regulatory Board
be in place using the latest available technology. (LTFRB), to ensure greater interconnectivity
Investments in warehouses, cold storage among different modes of transport and land
facilities, and paperless transaction systems uses. Provision of franchises and permits
need to be increased. for multi-modal operations (land, sea, and
air) should be automated and streamlined.
• Revisit the management and regulation of
ports to improve efficiency of port operations • Review the existing Foreign Ships Co-Loading
and encourage competition among ports. The Act for possible amendments.
separation of the regulatory and operational
functions of port authorities and the • Support the adoption of the programs under the
subsequent establishment of a single entity for MIDP 2019-2028 to accelerate the achievement
port regulations, may increase the efficiency of nationally-integrated and globally-
and competitiveness of ports, by allowing competitive maritime industry by developing
inter-port competition and encouraging more and sustaining an organizational culture
private sector participation (see Chapter 19). and practice of leading maritime education,
innovation, technology, and sustainability.
• Pursue efforts towards the full
operationalization of the TradeNET in line • Pursue the passage of the Philippine Ship
with the country’s commitment to the ASEAN Registration Act, which will enhance and
Single Window. rationalize the Philippine maritime industry
through the establishment of a ship registry
• Upgrade the National Logistics Master system, compliant with international maritime
Plan 2017-2022 to include innovation and convention regulations and practices. The bill
strengthen its implementation to improve also proposes a shift to tonnage taxation system
the efficiency of the national logistics system. from 4.5 percent corporate income withholding
Development and diffusion of smart logistics tax to have an attractive Philippine registry
technology (e.g., drones, automation) are and generate additional revenues for the
essential to keep abreast of the changing government, as well as promote Filipino ship
logistics landscape. Use of the Supply Chain ownership instead of mere bareboat chartering.
Analytics (SCAn) Dashboard and SCAn
Reporter, which aim to troubleshoot problems
in the supply chain for goods and production Ensuring consumer access to safe and
inputs and in planning supply chain- quality goods and services
related interventions, will be promoted.
Fees and regulations imposed by local and
Continue vigilance on product safety, value for
national governments will be rationalized
money, and access to quality goods and services.
to reduce the burden for logistics industry
players. Infrastructure upgrades, particularly
• Amend the Consumer Act to broaden
construction of transport systems connected
protection for consumers (see Chapter 9A).
to logistics hubs, are critical in coping with the
increasing demand for logistics services (see
Chapter 19).

154 | Updated Philippine Development Plan 2017-2022


• Implement and monitor compliance with • Promote digital literacy to increase
the Financial Consumer Protection (FCP) sumercapability and confidence in using
Framework by the Bangko Sentral ng Pilipinas digital financial services and e-payments.
Supervised Financial Institutions (BSP- With the new economy ushering in greater
BSFIs).1 The FCP Framework recognizes the digitalization of the financial system, an
emerging risks associated with digital financial intensified digital literacy program is needed to
products and services and provides flexibility increase awareness and capacity to use digital
for the BSFIs to strategize its consumer financial services, as well as protect consumers
protection approach commensurate with its from potential risks and threats arising from
business model, corporate structure, and risk their usage.
profile. Thus, the enhanced principles-based  
framework aims to institutionalize consumer • Pursue the passage of the FCP Bill, which
protection practices that adopt standards to aims to provide the regulatory framework
strengthen fair and responsible treatment for financial services and products offered by
of financial consumers, protection of client financial institutions, including digital financial
information, disclosure and transparency services, to protect the interest of financial
of information, provision of effective consumers and invigorate confidence in the
recourse, and financial education in BSFIs. financial markets. This measure also seeks to
enhance the supervisory powers of financial
Promote consumer protection. regulators to include adjudicatory powers over
consumer concerns, affording stronger redress
• Strictly enforce standards and regulations mechanisms for financial consumers. The
to protect and empower consumers against FCP Bill will amend the Consumer Act of the
unfair trade practices and fraudulent schemes. Philippines (RA 7394) and carve out from the
Intensify market monitoring of product same, the provisions of Title IV (Consumer
standards across the region to ensure consumer Credit Transaction) and have in place a
protection. standalone statute governing FCP. The bill is a
result of collaboration among members of the
• Encourage financial institutions to implement Financial Sector Forum, namely, the Securities
better cybersecurity measures and regulations and Exchange Commission (SEC), Insurance
for online transactions. Commission (IC), Philippine Deposit Insurance
Corporation (PDIC), and BSP.2
• Promote awareness on insurance policies
through various information and education • Establish an easy-access business verifier
campaigns. containing an online database of duly
registered businesses with valid licenses to
operate.

1
BSP, Circular No. 1048, Series of 2019, BSP Regulations on FCP; Guidelines and Procedures Governing the Consumer Assistance and Management
System of BSFI; and Amendments to the Manual of Regulations for Banks and Non-Bank Financial Institutions, September 6, 2019.
2
In the House of Representatives, the Financial Products and Services Consumer Protection Act was passed on Third Reading June 2, 2020, and
Engrossed Bill (House Bill [HB] 6768) was transmitted to Senate on June 3, 2020.

Chapter 9B Expanding Economic Opportunities in Services | 155


Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 9B.2 Legislative Agenda to Expand Economic Opportunities in Services

LEGISLATIVE AGENDA RATIONALE

Public Service Act Proposed amendments in the bill will include the definition of public utility, which limits its scope to
only three main industries, distribution of electricity, transmission of electricity, and water pipeline
distribution system or sewerage pipeline system. This will enable higher foreign equity participation
(over 40%) in other key areas such as telecommunication and transportation services. Other notable
proposed amendments are on the increase in the applicable penalties and fines to deter poor service
delivery, the introduction of rate-setting methodologies to promote efficiency, a mechanism to
review and prohibit foreign investment in public services in the interest of national security, and a
comprehensive baseline survey on regulatory governance and substance.

Retail Trade Act Proposed amendments to the Law relevant to the services sector will reflect the relaxation of barriers to
foreign investments in the retail sector through lowering the minimum paid-up capital to USD200,000
from USD2.5 million and removing the USD250,000 paid-up capital per store for enterprises engaged
in high-end or luxury products, among others.

Foreign Investments Proposed amendments in the Act aim to reduce the minimum employment requirement from 50 to 15
Act direct local hires for small- and medium-sized domestic enterprises established by foreign investors
with paid-in capital of at least USD100,000. It will also exclude the practice of professions from the
coverage of the foreign investment negative list.

Open Access in Data This initiative aims to level the playing field in the data transmission and telecommunications market.
Transmission Act Its passage will strengthen the value chain linkages in the industry and services sectors and facilitate
the realization of the full potential of e-commerce and digital trade.

E-Commerce Act of The law will be revisited to make it more comprehensive in detailing e-commerce transactions,
2000 specifying the rights of consumers, strengthening the imposition of penalties on service providers,
and requiring service providers to provide high-security measures to ensure safety from possible
breaches on data processing and money handling.

Internet The Law defines the scope and coverage of internet transactions, apart from the sale or exchange of
Transactions Act digital products, and lays down the code of conduct and qualifications for businesses who wish to
engage in e-commerce. It also proposes the creation of an E-commerce Bureau to handle complaints
on internet transactions, protect consumers’ rights, and facilitate the speedy resolution of complaints,
among others.

National Digital This measure seeks to establish a legal framework for the “gig economy” that will map out strategies
Careers Act to promote and strengthen digital careers, as well as provide the needed institutional support. Also,
it recognizes the emergence of new forms of employment, such as work on digital platforms, and
requires the government to extend the social protection system appropriate to this new mode of work,
especially in times of economic downturns caused by calamities and public emergencies.

Fair and Transparent The Act mandates the MARINA to promote standardized destination and shipping charges among
Destination and freight forwarders and agents of international shipping lines operating in the Philippines. This will also
Other Shipping mandate DTI, Philippine Competition Commission (PCC), BOC, Bureau of Internal Revenue (BIR), and
Charges Act other relevant agencies to assist the MARINA in facilitating competition, commerce, and an honest
revenue system, among others.

156 | Updated Philippine Development Plan 2017-2022


9C
Expanding
Access to
Economic
Opportunities
in I&S for
Startups,
MSMEs, and
Cooperatives
CHAPTER 9C

Expanding Access to Economic


Opportunities in I&S for Startups,
MSMEs, and Cooperatives
Critical policy reforms1 have been introduced in recent years to assist startups, micro, small, and
medium enterprises (MSMEs), and cooperatives in gaining access to finance and production
networks, as well as enhance their productivity, efficiency, and resiliency.

However, full implementation has been impeded by the unprecedented spread of COVID-19.
Based on the government’s rapid assessment survey for businesses conducted during
the initial phase of the community quarantines in major urban areas of the country, a less
optimistic business outlook is reported across firms of different sizes, with the most
pessimistic in the education (36%), tourism (35%), and transport (34%) sectors. This is likely
in recognition of the fact that business operations would have to be reconfigured and social
distancing protocols will remain in place indefinitely until a cure is found. Smaller enterprises
have expressed a strong clamor for government assistance given that they have less
capacity to handle large shocks with their limited asset size, lack of economies of scale, and
structural inefficiencies, evident even prior to the onslaught of the pandemic. In response, the
government has formulated urgent interventions to revive consumer and business confidence.2
Focusing on laying down a healthy and resilient Philippines, the medium-term strategies
will leverage the digital economy and put in place antifragility measures. This will address
the constraints of operating under the new normal, attract further investments, and increase
the resilience of startups, MSMEs, and cooperatives.

Assessment and Challenges


Assessment: The legal framework essential for Among the significant legislations passed were,
startups, MSMEs, and cooperatives to access Ease of Doing Business and Efficient Government
finance and production networks and strengthen Service Delivery (EODB-EGSD) Act of 2018,
the startup ecosystem was institutionalized. Personal Property Security Act (PPSA) of 2018,

1
These include the enactment of the following legislations: Personal Property Security Act of 2018 (Republic Act [RA] 11057), Amendment of
the Cooperative Development Authority (CDA) (RA 11364), Revised Corporation Code of the Philippines Act of 2019 (RA 11232), Philippine
Innovative Startup Act of 2019 (RA 11337), and Philippine Innovation Act of 2019 (RA 11293).
2
Inter-Agency Task Force for the Management of Emerging Infectious Diseases – Technical Working Group for Anticipatory and Forward
Planning (IATF-EID-TWG-AFP), We Recover As One (WRAO), National Economic and Development Authority (NEDA), 2020.

Chapter 9C Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and Cooperatives | 159
Amended Cooperative Development Authority on the creditworthiness of micro and small
(CDA) Charter of 2019, Revised Corporation enterprises. Innovation and technology
Code of the Philippines Act of 2019, Philippine adoption of enterprises remains low, and seed
Innovative Startup Act of 2019, and Philippine funds and grants available to support incubation
Innovation Act of 2019. Meanwhile, these reforms and startup development remain scarce while
have yet to gain traction as industry-related foreign venture capitalists are still limited. As further
direct investments (FDIs) significantly dropped in revealed by the current pandemic, the majority of
2019, reaching only USD0.27 billion in 2019, lower micro and small enterprises are entrenched in the
relative to the figure posted in 2016 at USD0.31 analog manner of conducting business and do not
billion. have business continuity plans (BCPs) in place in
the face of national emergencies. The majority also
Challenges: Startups, MSMEs, and cooperatives have business operations that are vulnerable to
have difficulty accessing finance due to lack supply chain disruptions. Government initiatives to
of collateral and inability to comply with enhance sectoral productivity remain fragmented.
documentary loan requirements of formal Lastly, foreign participation is restricted in critical
lending institutions, exacerbated by the lack sectors, thus, limiting competition and investment
of a credit risk database with information flow in the country.

Targets
Targets for investments and MSME-related indicators were adjusted downward considering new assumptions
in the period, consistent with the Development Budget Coordination Committee (DBCC) revised growth
targets last July 2020.

Table 9C.1 Updated Plan Targets to Expand Economic Opportunities in I&S for Startups, MSMEs,
and Cooperatives

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Total investments increased

729,000f
Total approved investments increased (PHP million)a 1,067,000 1,022,000 1,094,000 5,837,000
(2016)

8,280
Net FDI increased (USD million)b None None None None
(2016)

Access to finance improved

Percent of allocation for micro and small enterprises to 3.81d


8c Increasedc,e Increasedc,e Increasedc,e
total bank loan portfolio (%)c (2016)

5.44d
Percent of allocation for medium enterprises (%)c 2c Increasedc,e Increasedc,e Increasedc,e
(2016)
a
Baseline figure used to compute the plan targets reflects total approved investments submitted by investment promotion agencies to the Board of Investments (BOI)
and the Philippine Statistics Authority (PSA). Members of the Philippine Investment Promotion Plan (PIPP) Steering Committee approved the downward revised
target of 7 percent annual increase in Investment Promotion Agencies (IPA)-approved investments (from the original 10%) for 2021 and 2022, considering the DBCC

160 | Updated Philippine Development Plan 2017-2022


revised growth forecasts due to the COVID-19 pandemic.
b
While there were no targets set, the indicator was included in the RM for monitoring purposes. Net foreign direct investment for 2016 was recorded at USD 8.28
billion. Gross domestic product (GDP) in current prices for the same year was recorded at USD 318.6 billion.
c
In accordance with the Magna Carta for MSMEs (RA 6977 as amended by RA 8289 and RA 9501). Used as proxy indicator for “Proportion of small scale industries
with loan or line of credit” (Sustainable Development Goals [SDG] indicator 9.3.2 [Tier 3]) to measure improvement of access to finance. The Planning Committee on
Economic Development and the Plan Steering Committee (PSC) approved revision of targets last March 2020 (pre-pandemic) to “increased” given that the 10-year
mandatory credit allocation for MSMEs has already lapsed in June 2018, as stipulated under the law.
d
Baseline updated as of March 31, 2017.
e
Relative to actual accomplishment of the previous year.

Strategic Framework
Figure 9C.1 Strategic Framework to Expand Economic Opportunities in I&S for Startups, MSMEs,
and Cooperatives

Chapter 9C Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and Cooperatives | 161
Strategies
Expanding economic Retail Trade Liberalization Act (RTLA), and Foreign
Investments Act (FIA) (see Chapters 9A and 9B).
opportunities in I&S for Investment incentives will be rationalized to be more
startups, MSMEs, and efficient and effective in supporting development
priorities (e.g., encourage more venture capital and
cooperatives across regions angel investments in startups) (see Chapter 15).
Such priorities will be considered in the formulation
Increasing total investments of the Strategic Investment Priority Plan (SIPP), as
well as in the Local Investment and Incentives Code
Facilitate growth of startups and MSMEs by (LIIC).3
incentivizing their expansion and subsequent
upgrade. In restructuring the incentives (and Improve the business climate, especially by
disincentives) in the regulatory framework, creating a startup-friendly environment. The
facilitating the growth of MSMEs to eventually government will enhance business incubation
become globally competitive will be a key goal. support and accelerate services for startups, lessen
Policy shifts will take into account the following: administrative burdens and complexity of
regulatory procedures for startups, and reduce,
- Provide appropriate fiscal and non-fiscal if not eliminate, the regulatory protection of
assistance to innovative and growth-oriented incumbents (see Chapter 16). Further, national
enterprises (e.g., tech-based startups and micro and local governments will speed up streamlining
and small enterprises that are innovation- of agency processes and requirements for business
driven, etc.) appropriate with the stage of registrations and permit issuances 4 and will be
business operations; streamlined through digital platforms (see also
Chapters 5 and 9A). A one-stop-shop for startups
- Ensure that provision of grants and other and a startup green lane with Anti-Red Tape
financial or technical assistance, are time-bound Authority (ARTA) will be created. In addition,
and performance-based, as provided under the the Philippine Startup Development Program
Corporate Recovery and Tax Incentives Reform (PSDP) will support incubators, accelerators,
Act (CREATE); and and makerspaces by creating opportunities for
innovative startups to gain access to marketing and
- Streamline the regulatory environment to technical support as well as linkage to potential
reduce compliance costs for all firms. collaborators locally and globally (see Chapter 14).
A whole-of-nation approach in attaining inclusive
Relax foreign equity restrictions, rationalize and sustainable peace will also be pursued (see also
investment incentives, and promote job-creating Chapter 18). Lastly, improving quality and reducing
investments. The government will further the cost of utilities, particularly through energy and
open up the construction sector and pursue water sector reforms (see Chapters 9A and 19) will
the amendments to the Public Service Act, be implemented.

3
DILG and DTI Joint Memorandum Circular No. 2011-01 forms a guide in crafting the LIIC.
4
The Central Business Portal (CBP) and the National Business One-Stop Shop (NBOSS) were established to support the implementation of the
EODB Act. The CBP is an online system aimed at providing a faster and more convenient way of registering businesses and completing startup
requirements. It is designed to receive and capture data on business-related transactions and provide links to online registration services of various
National Government Agencies (NGAs). The NBOSS is the physical co-location where applicants can register their business and employees,
submit documents, and avail of its online services. In the same manner, the Electronic Business Process Licensing System (eBPLS) is being rolled
out to the LGUs nationwide.

162 | Updated Philippine Development Plan 2017-2022


Accelerate investment promotion activities. Philippine Innovation Act, the government
The Philippines will be promoted as a will provide technical assistance grants and
complementary host country to target companies facilitate access to finance. Appropriate
in the manufacturing industry. The conversion metrics will be established to ensure that these
and realization of existing investment leads will enterprises, as beneficiaries of government
be intensified. The retention and expansion/ support, indeed boost innovation and
diversification opportunities for current locators generate decent jobs. Access to low-cost
in the Philippines will also be pursued (see financing will also be provided to competitive
Chapter 9A). and export-oriented MSMEs, if merited
under the CREATE/Strategic Investment
Priorities Plan (SIPP) framework.6 Blended
Improving access to finance
finance or the strategic use of development
finance to mobilize funding for projects with
Support transition to the formal economy of
societal benefits, but also provide financial
micro and small enterprises.
returns to the investor will also be tapped.
• Streamline local government unit (LGU)
• Promote the development of financial
processes and requirements for registration
technology (fintech) and innovative financing
and securing business permits of barangay
alternatives. Access to mobile and digital
micro business enterprises (BMBEs) targeting
technology, as well as deepening digital fluency
informal sector operators. Streamlining LGU
will be improved to help further social equity
processes for BMBE registration and business
and financial inclusion of MSMEs.7 Other
permits5 will facilitate the transition of micro
non-traditional initiatives from the private
and small enterprises to the formal economy and
sector and startups to develop appropriate
will broaden their access to tap formal financing
financial products and services for MSMEs and
channels. Instituting a report and feedback
cooperatives will also be supported (see Chapter
system on the LGUs’ non-compliance in these
9A). Initiatives such as merchant acceptance
areas can be considered under the Department
of digital payments, digital banks, and open
of the Interior and Local Government (DILG)
banking will be pursued, to promote access
or the ARTA’s monitoring as part of efforts to
to and use of digital financial transactions 8 (see
improve the LGUs business environment (see
Chapter 9B). Government will also facilitate
also Chapter 16).
access of startups to venture financing and
angel investors (see also Chapter 14).
Facilitate access to finance of startups, MSMEs,
and cooperatives.
In line with the PPSA,9 a system for the use
of movable collateral as security for loans will
• Improve access to finance of innovative and
be put in place. The CDA with the Bangko
growth-oriented enterprises. In line with the

5
For instance, streamlining can be done by setting more reasonable standard business permit fees for micro and small enterprises and granting
leniency, particularly to informal sector operators who will register for the first time.
6
The Philippine Innovation Act of 2018, RA 11293.
7
Provision of branchless banking services with access to savings and loans through the use of mobile phones and information technology (IT)
facilities are instances of fintech startups revolutionizing the way small enterprises and cash-strapped households access finance.
8
These initiatives are under the Bangko Sentral ng Pilipinas’ (BSP) Digital Payments Transformation Roadmap (DPTR) 2020-2023. The DPTR is a
3-year roadmap that outlining the BSP’s priority policy initiatives and strategies in advancing an efficient, inclusive, safe, and secure digital finance
ecosystem that supports the diverse needs and capabilities of individuals and firms. The roadmap envisions to achieve the goal of converting 50
percent of the total volume of retail payments into digital form and onboarding 70 percent of Filipino adults to the formal financial system.
9
Under the PPSA of 2018 (RA 11057), small businesses, particularly MSMEs, farmers, and fisherfolk are granted greater access to credit by
allowing the use of non-traditional collaterals such as accounts receivables, inventory, crops, livestock, consumer goods, machinery, equipment,
and intellectual property rights, among others. This will be operationalized through the establishment of a unified and modern legal framework
for securing obligations with personal property. Under the law, a registry shall be established and administered by the Land Registration Authority
(LRA). The centralized, nationwide Registry shall contain the following information: initial notice of security interest and lien in personal
property; amendment notice providing new information or continuing the period of effectiveness of an initial notice; and termination notice.

Chapter 9C Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and Cooperatives | 163
Sentral ng Pilipinas (BSP) will promote the Carta for MSMEs (see Chapter 9C Legislative
establishment of Credit Surety Funds (CSFs) Agenda) and is suggested as part of Small
across local governments to enable more Business (SB) Corporation’s capitalization to be
MSMEs, particularly those hit hard by the funded by the national government. Ongoing
pandemic, to gain access to finance10 (see debt relief programs are being implemented,
Chapter 15). including suspension of imposition of non-
interest fees and charges on loans incurred. In
• Promote value chain and supply chain the post-community quarantine period, the
financing. The BSP, in partnership with following interventions will be monitored and
the Asian Development Bank (ADB), is extended if needed: (a) payment deferment to
implementing a pilot agriculture value chain government (e.g., deferment of tax remittance
financing (AVCF) project , 11 which aims such as withholding tax, value added tax [VAT],
to demonstrate the viability of AVCF and Social Security System [SSS], Philippine Health
encourage more banks to lend to the agriculture Insurance Corporation [PhilHealth]); (b)
sector using this approach. This initiative will payment deferment to debtor (e.g., rent, banks,
also benefit MSMEs, particularly agri-oriented utility companies); (c) tax discounts or tax
ones. The BSP also aims to promote supply credits; (d) low-interest loans from government;
chain financing (SCF) in the banking sector as and (e) low-interest loans from banks.
an innovative financing approach to improve
access to financing of smaller enterprises. A
study will be conducted in 2021 to identify
strategic interventions that can be implemented Expanding access of startups,
by BSP and other players, to develop a dynamic
SCF market in the country. MSMEs, and cooperatives to
economic opportunities in I&S
• Extend grants and soft loans to startups,
MSMEs, and cooperatives to sustain including the digital economy
business operations. On top of providing a
loan guarantee fund, existing government
programs targeting MSMEs will continue to be Improving access to production networks
implemented and monitored.12
Utilize digital platforms in mapping out value
and supply chains to find alternative suppliers
• Establish an Enterprise Rehabilitation Fund and address production bottlenecks. In providing
(ERF) and implement adjustment measures technical assistance to enterprises, digital platforms
to startups, MSMEs, and cooperatives will be useful in linking farmers, producers,
severely affected by calamities and national suppliers, distributors, and retailers to consumers.
emergencies. The proposed establishment This will further reduce information asymmetry,
of an ERF is one of the suggested revisions lower transaction costs, and enhance domestic
on the proposed Amendments to the Magna value and supply chain resilience. Integration of all

10
As part of expanding its developmental function, the CDA has created a CSF unit that will register, regulate, and regularly monitor and supervise
the operations of CSF cooperatives. This is expected to translate to growth of CSF Cooperatives.
11
Pilot is implemented with five participating banks including: (1) Rizal Microbank; (2) Rural Bank of San Leonardo; (3) Rural Bank of Sta.
Catalina; (4) 1st Valley Bank; and (5) Producers Bank.
12
Sufficient government support for MSME financing, to be funded under the General Appropriations Act (GAA) or relevant legislation, will
be considered in all forms of economic stimulus programs. This is essential to help the MSME sector to recover from the adverse effects of the
pandemic. Some of these programs which target micro and small enterprises are: (a) Livelihood Seeding Program – Negosyo sa Barangay;
(b) Shared Service Facilities Project/Fabrication Laboratories; (c) Pondo sa Pagbabago at Pag-asenso Program; (d) SB Corporation Financing
Programs; and (e) Go Lokal!.

164 | Updated Philippine Development Plan 2017-2022


relevant existing geographic information system Increase access to appropriate technology
(GIS) platforms of relevant agencies will also be including adoption of digital platforms.
pursued (see Chapter 9A). Adoption of appropriate technologies will enable
startups and MSMEs to gain access to markets and help
Create linkages between startups, MSMEs, them internationalize. For cooperatives, deploying
cooperatives, and other large enterprises (LEs) digital platforms will increase their client base and
to spur innovation and create new markets. Social improve efficiency of their operations. Consistent
enterprises and inclusive business (IB) models will with its initiatives to promote and implement the
be promoted. The government will also facilitate e-commerce roadmap, the government, through
linking micro and small suppliers to cooperatives the Regional Inclusive Innovation Centers (RIIC),
for purposes of facilitating access to finance, and will assist enterprises in adopting applicable digital
to medium and large enterprises to access/diversify platforms and digital payment channels (see Chapter
markets and enhance supply chain resilience, 9B). The government will provide appropriate
leveraging digital platforms, as appropriate. support through training programs that will help
MSMEs and cooperatives adapt to new digital
Support integration of small and medium-sized technologies and platforms, as relevant to their
enterprises (SMEs) into global value chains needs (see Chapter 9A).
(GVC). SMEs will be capacitated to address
their internal limitations 13 and unlock their Strengthen innovation capacities of startups,
potential to internationalize.14 Support will be MSMEs, and cooperatives. A Philippine Institute
provided to enhance capacities of exporters for Development Studies’ (PIDS) 2015 Survey
in sectors where the country has significant on Innovation Activities (SIA) pointed out that
comparative advantage 15 through technical large firms tend to be more innovation active
support.16,17 The government will also scale up than smaller enterprises, and rarely tap technical
efforts to facilitate access of exporting SMEs to assistance from government research institutions.18
information on foreign distribution networks and As part of implementing the Philippine i3s, the
foreign regulations, enhance access to business and RIICs will disseminate available information on
trade finance, streamline customs procedures, and local or foreign-developed technologies for
further address logistics costs, and reduce tariffs adoption, whichever is more cost-effective. The
(see box article 9A.1, Chapters 9B and 15). RIICs will also allow local enterprises to tap
the research arms of state universities and colleges
Improve logistics (see Chapter 9B). (SUCs) and research development institutions
(RDIs) and network with industry experts to
enhance their entrepreneurial knowledge and
Improving productivity, efficiency, enable them to be Industry 4.0-ready.
and resilience Further, Intellectual Property Office of

13
Lack of internal capabilities include difficulty in identifying foreign business opportunities, inadequate human resource trained to deal with
exporting, and lack of production capacity. These are some of the most challenging for SMEs to overcome.
14
Internationalization activities can be classified into six categories: (a) direct exporting; (b) direct importing; (c) investment abroad; (d) being
subcontractors to foreign enterprises; (e) having foreign subcontractors; and (f) cooperation with foreign enterprises under joint ventures, non-
equity alliances, licensing, and franchising.
15
For instance, to induce the local construction industry to globalize, construction firms who are ready to tap global and regional opportunities
will need low-cost financing or loan guarantees to undertake overseas construction proje ts.
16
Technical support can also be provided through capacity-building programs. For instance, local auto parts and electronics suppliers need
capacity building to comply with the technical requirements of domestic e-vehicles, special purpose vehicle (SPV) producers, and other producers
under the aerospace industry. In particular, the AS9100 Training Program (Aerospace Quality Management System) will enable local auto parts
and electronics suppliers to supply the technical requirements of the aerospace industry.
17
Assistance can also be extended in the ship-building industry by promoting the use of fiberglass-reinforced plastics (FRP) or steel to replace
wooden-hulled vessels.
18
Jose Ramon G. Albert, et al, “Measuring and Examining Innovation in Philippine Business and Industry,” Discussion Paper Series No. 2017-28,
Philippine Institute for Development Studies, September 2017.

Chapter 9C Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and Cooperatives | 165
the Philippines’ (IPOPHL) Intellectual Ensure that all government agencies with
Property (IP) Depot, an online portal where productivity-enhancing initiatives are
technology providers and their counterpart coordinated. Close coordination of relevant
technology adaptors may meet and match, agencies concerned with enhancing productivity,
will also be promoted to target growth-oriented efficiency, and resiliency of startups, MSMEs, and
startups, enterprises, and cooperatives. cooperatives will be pursued. The National Wages
and Productivity Commission (NWPC) and its
Promote the use of accredited certification, Regional Tripartite Wages and Productivity Boards
testing, inspection, verification, and calibration (RTWPB) will strengthen and expand partnerships
among MSMEs to ensure safety, reliability, and with concerned government agencies, industry
quality of their products and services (see Chapter associations, employer groups, and labor groups
9A). While more dispersed access points will to foster synergy in the deployment of the
be provided for these common service facilities Productivity Toolbox 20 (see Chapter 10).
especially in the regions, efforts to promote these
available services will be scaled-up, targeting Create an monitoring and evaluation
MSMEs to enhance their productivity. The (M&E) framework on government flagship
Department of Science and Technology (DOST) programs for startups, MSMEs, and
primarily provides these services through the cooperatives. Given the presence of various
One-stop Laboratory Services for Global but fragmented initiatives to assist micro and
Competitiveness (OneLab) , 19 a network of small enterprises, the effectiveness of various
laboratories aimed at broadening access to testing government flagship programs will be evaluated
and calibration services at a single touchpoint based on how they contribute to MSME
through an information technology (IT)-based development. For cooperatives, quantifying their
platform. The online referral platform system economic contribution to both national and
networks all the laboratories of DOST-Attached regional development will allow them to gain
Agencies and other government and private greater support and assistance. For startups,
laboratories for seamless handling of testing an M&E framework will be considered in the
and calibration services, which are beneficial for implementation of the PSDP targeting growth of
MSMEs, in terms of ensuring product quality and innovative and tech-based startups.
safety.
Establish relevant statistics for startups,
Improve access, quality, speed, and affordability MSMEs, and cooperatives. Regular collection
of broadband communications technology for and publication of relevant statistics on startups,
MSMEs. Improving telecommunications services MSMEs,21 and cooperatives will be pursued. This
in the country offers a myriad of benefits for will facilitate the performance tracking of these
MSMEs including improving business efficiency, sectors and become the basis for evidence-based
opening up new markets, and helping enterprises and targeted interventions. Data collection on the
adapt to changes in consumer preference brought following areas will help surface specific barriers
about by the pandemic (see Chapters 9B and 19). and unlock SMEs potential to internationalize:
(a) comprehensive data by enterprise size; (b)
information on overall business environment and
barriers to trade as experienced by SMEs; and (c)

19
For interested MSMEs, the OneLab website can be accessed through: https://customer.onelab.ph/
20
This package of training and technical assistance services is designed to help MSMEs identify and address productivity gaps through appropriate
and needs-based productivity tools and technologies. It also helps MSMEs design and implement productivity-based incentive schemes to ensure
growth in workers’ income commensurate to their productivity.
21
The DICT is working with the PIDS on an upcoming survey on the IT Business Process Management (BPM) sector (FY 2020) that shall yield
data on MSMEs in the sector.

166 | Updated Philippine Development Plan 2017-2022


information and monitoring on targeted policies, Undertake BCP and capacity-building to
best practices, and capacity-building programs enhance resilience. The adoption of BCPs will be
for exporting SMEs or those ready to enter into promoted and encouraged to help startups, MSMEs,
GVCs.22 As part of establishing comprehensive and cooperatives to prepare for and overcome
MSME financial statistics, the BSP, in partnership potential risks to business. Towards enhancing
with the ADB, is exploring the design and conduct resilience of cooperatives, the Amended CDA
of the MSME survey to generate more granular Charter (Republic Act [RA] 11364) requires all
data on MSME access to finance. The results of registered cooperatives to develop BCPs to address
this survey will provide deeper market insight for all types of business risks. In a similar manner,
financial service providers to help them market capacity-building measures will be provided,
their products and services. targeting startups and MSMEs.

Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 9C.2 Legislative Agenda to Expand Economic Opportunities in I&S for Startups, MSMEs,
and Cooperatives

LEGISLATIVE AGENDA RATIONALE

Expanding economic opportunities in I&S for startups, MSMEs, and cooperatives across regions

Amendment of the Magna The bill will establish an Enterprise Rehabilitation Fund for calamity-stricken MSMEs.
Carta for MSMEs It will also provide MSMEs with free selling space in government buildings, structures,
and open areas, as well as free selling areas or discounted rent in private malls and
other commercial selling establishments.

Government Financial The bill will provide financial assistance to firms that are strategically important to
Institutions Unified economic recovery in view of their role in providing employment and supporting the
Initiatives to Distressed Philippine economy.
Enterprises for Economic
Recovery (GUIDE) Bill

Institutionalization of the This initiative aims to institutionalize the P3 Program of the government to develop
Pondo sa Pagbabago at entrepreneurship and contribute to inclusive economic growth and provide accessible
Pag-asenso (P3) Program and reasonably-priced financing to micro entrepreneurs to help them avoid usurious
rates.

22
Tammy L. Hredzak, Overview of the SME Sector in the Asia-Pacific Economic Cooperation (APEC) Region: Key Issues on Market Access and
Internationalization, APEC Policy Support Unit, April 2020.

Chapter 9C Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and Cooperatives | 167
LEGISLATIVE AGENDA RATIONALE

Amendment of the Tax The bill seeks to amend existing provision requiring/mandating various registered
Incentives Management and business entities (RBEs) and investment promotion agencies (IPAs) to submit to
Transparency Act (TIMTA) NEDA relevant information needed to conduct economic cost-benefit analysis (CBA)
and to have the flexibility to refine scope of data requirement and data tools that will
adequately capture information relevant to the conduct of this CBA.

Expanding access of startups, MSMEs, and cooperatives to economic opportunities in I&S including the digital
economy

Amendments to the (see Chapter 14 Legislative Agenda)


IP Code

Amendment to the House Bill No. 4413 proposes to establish a central online Registry for all Warehouse
Warehouse Receipts Law Receipts, which shall be eventually integrated with other existing registries. This
will strengthen and modernize the Warehouse Receipts Law of 1912, as amended,
otherwise known as Act No. 2137.
10
Human Capital
Development
Towards Greater
Agility
CHAPTER 10

Human Capital Development


Towards Greater Agility
The country is on the right track in accelerating human capital development by prioritizing
reforms and investments in improving nutrition and health, education, and income-earning
ability. Major reforms in expanding access to nutrition health and transformative education
were instituted in the past three years. The Universal Health Care (UHC) Law was enacted
to ensure that care for all Filipinos at all life stages is guaranteed. Implementation of the
Kinder (K) to 12 Program and the Universal Access to Quality Tertiary Education Law will also
enable Filipinos to continuously develop their skills towards achieving their full potential as
productive members of a rapidly changing society.

In 2020, the Philippines’ score in the World Bank (WB) Human Capital Index (HCI) Update
report is 0.52. This was higher than the average among countries in the lower middle-income
group, which means that a child born in the Philippines today will likely reach only 52 percent
of his or her potential come adulthood. With the COVID-19 pandemic, risks and challenges in
enriching human capital have become even more significant.

For the rest of the Plan period, the government will focus on addressing challenges that
hamper the full realization of Filipinos’ full potential, such as malnutrition, early pregnancy, and
poor quality of education, in addition to disruptions in service delivery due to the COVID-19
pandemic. Efforts will focus on strengthening strategies that transform the country’s human
capital towards greater agility, for a healthy and resilient Philippines.

Assessment and Challenges


Nutrition and health Mortality among infants, based on the National
Demographic and Health Survey (NDHS), slightly
decreased from 23 per 1,000 live births (LB) in 2013
Outcomes on nutrition and health were based on
to 21 per 1,000 LB in 2017. Mortality in children
several data sources. Some progress has been made,
under five years of age declined significantly from
considering that the most recent data fell below
31 per 1,000 LB to 27 per 1,000 LB over the same
target.
period.1

  Philippine Statistics Authority (PSA), 2017 NDHS, PSA, October 2018.


1

Chapter 10 Human Capital Development Towards Greater Agility | 171


There were significant reductions observed in social and economic influences on the TB epidemic.4
the prevalence rate of stunting across age groups, Also, the increase in TB notification rate of cases
but not in the prevalence rate of wasting. For the arose from active case finding and mandatory
under five years of age, prevalence of stunting fell notification of cases by private physicians.
from 33.4 percent in 2015 to 28.8 percent in 2019;
prevalence of wasting did not show a significant Meanwhile, there was remarkable progress in
decline, from 7.1 percent to 5.8 percent over the eliminating malaria cases. The percent of malaria-
same period. Both figures in 2019 did not meet the free provinces went up from 40 percent in 2016
Philippine Development Plan (PDP) targets. Note to 62 percent in 2018. This brings us on track to
that there were no targets set for the prevalence of eliminate the disease by 2030.5
stunting and wasting for the older age groups.
Using the revised National Health Accounts, the
There were varying degrees of success with respect household out-of-pocket spending on health as
to addressing the triple burden of diseases.2 There percentage of total health expenditure has declined
was a decrease in mortality rate attributed to from 45 percent in 2016 to 42 percent in 2019. This
lifestyle-related diseases, from 462.5 deaths per may be due to the following health programs: (a) No
100,000 population (aged 30–70 years old) in 2016 Balance Billing (NBB) Policy for indigent patients;
to 453.8 deaths per 100,000 population (aged 30–70 (b) new and enhanced Philippine Health Insurance
years old) in 2018. However, there was an increase Corporation (PhilHealth) benefit packages (e.g.,
in reported cases of human immunodeficiency Z benefit packages for children with disabilities,
virus/acquired immunodeficiency syndrome (HIV- expanded primary care benefits, and newborn care
AIDS), from 9,624 newly diagnosed cases in 2016 package); and (c) Department of Social Welfare
reaching 12,778 in 2019. Incidence of Tuberculosis and Development’s (DSWD) Libreng Gamot Para
(TB) also increased from 434 per 100,000 population sa Masa (Lingap ng Masa) that provides medical
in 2016 to 554 per 100,000 population in 2018.3 assistance fund to indigent patients. Also, faster
The increase in TB incidence may be explained increase in health spending of government (11.5%)
by a combination of case-detection gaps, delays in compared to household (7.9%) was observed from
diagnosis, health system weaknesses, and broader 2016 to 2019.6

2
  Communicable, non-communicable, and urbanization- and industrialization-related diseases.
3
  World Health Organization, Philippines: Tuberculosis country profile 2017.
4
  Department of Health (DOH), National TB Prevalence Survey, DOH, 2018.
5
  DOH, “Malaria Control and Elimination Program,” DOH Website, October 26, 2018.
6
  Average annual growth rate from 2016 to 2019.

172 | Updated Philippine Development Plan 2017-2022


Table 10.1 Core Health and Nutrition Outcome Indicators: Targets vs Accomplishments

BASELINE VALUE ACCOMPLISHMENT TARGET


INDICATORS
(YEAR) (YEAR) (YEAR)

23 21 15
Infant mortality rate decreased (per 1,000 LB)
(2013) (2017) (2022)

31 27 22
Under-five mortality rate decreased (per 1,000 LB)
(2013) (2017) (2022)

Prevalence of stunting (%)

33.4 28.8 26.7


a) Below 5 years old
(2015) (2019) (2019)

31.2 25.2
b) 5-10 years old
(2015) (2019)
No targets
31.9 26.8
c) 10-19 years old
(2015) (2019)

Prevalence of wasting (%)

7.1 5.8 5.5


a) Below 5 years old
(2015) (2019) (2019)

8.3 8.0
b) 5-10 years old
(2015) (2019)
No targets
12.5 11.7
c) 10-19 years old
(2015) (2019)

Mortality rate attributed to cardiovascular disease, cancer,


diabetes, and chronic respiratory diseases decreased 462.5 453.8 367.1
(number of deaths per 100,000 population aged 30-70 (2016) (2018) (2022)
years old)

434 554 510


Tuberculosis incidence decreased (per 100,000 population)
(2016) (2018) (2022)

9,264 12,778 18,900


Number of newly diagnosed HIV cases decreased
(2016) (2019) (2022)

40 62 92.5
Percent of provinces that are malaria-free increased (%)
(2016) (2018) (2022)

Out-of-pocket health spending as percentage of 45.0 42.0 No target in 2019


total health expenditure (2016) (2019) TBD for 2022

The use of modern contraception, on average, has especially among married women 15 to 19 years of
increased marginally between 2013 (23.5%) and age (from 20.6% to 29.7%) and those 20 to 24 years
2017 (24.9%) considering all women aged 15 to of age (from 34.3% to 44.0%).
49 years. However, among married women from
the same age group, the increase was much higher

Chapter 10 Human Capital Development Towards Greater Agility | 173


Table 10.2 Use of Modern Method of Contraception

CURRENT USE OF ANY MODERN METHOD OF MARRIED WOMEN CURRENTLY USING ANY MODERN
AGE GROUP CONTRACEPTION (ALL WOMEN) METHOD OF CONTRACEPTION
2013 2017 2013 2017

TOTAL 23.5 24.9 37.6 40.4

15-19 2.4 2.9 20.6 29.7

20-24 16.2 18.7 34.3 44.0

25-29 30.6 31.2 42.3 43.2

30-34 37.7 39.6 44.9 47.0

35-39 37.7 37.5 42.5 44.7

40-44 33.9 35.7 38.8 40.0

45-49 20.2 21.4 23.5 24.4

Managing the COVID-19 pandemic exposed the by improving the capacity of target beneficiaries for
shortcomings of the country’s health care system home-based care, and use various media to deliver
particularly in terms of prevention, control, information, education, and communication
and mitigation of infectious diseases. It also services on proper nutrition and health. Moreover,
became evident that the country lacked health amid competing demands for resources, it is also
care workers and that digital infrastructure and important to ensure efficient spending and to secure
health information system were fragmented and enough funds for the full implementation of key
inefficient. The fragmentation of service delivery legislations such as the UHC Act and the Kalusugan
has made coordination and communication at Nutrisyon ng Mag-Nanay Act.
between national and local government units
(LGUs) difficult. Furthermore, since service
delivery is mostly facility-based, the ensuing
mobility restrictions threatens to worsen nutrition
Basic, higher, and technical
and health outcomes, or reverse the gains achieved education
so far. Over the near term, the involuntary shifts in
lifestyle and behavior in response to the quarantine The Philippines has institutionalized reforms to
restrictions has resulted in a rise in mental health expand access to education at all levels (i.e., K to
problems, especially among those directly affected 12 Program, Universal Access to Quality Tertiary
by the pandemic (e.g., caught the virus, lost their Education). A major accomplishment is the increase
loved ones and their jobs). of the mean years of schooling to 10.0 in 2018, which
is close to the end of plan target of 11.3. At the basic
Ultimately, the sector with its current capacity must education level, the elementary and junior high
effectively implement its programs and provide school net enrolment rates (NER) were at 94 percent
quality services both at the national and local levels, and 83 percent versus the original 2019 targets of
in pursuit of improving nutrition and health care 93.31 percent and 72.32 percent, respectively, while
outcomes, while maintaining efforts to contain and K to 6 and Grades 7 to 12 completion rates in 2019
prevent the spread of COVID-19 and to prepare for were at 97 percent and 77 percent versus the targets
massive vaccination. Moving forward, the sector will of 87.18 percent and 77.48 percent for elementary
expand its use of innovative delivery mechanisms, and junior high school.
such as telemedicine, enhance outreach programs

174 | Updated Philippine Development Plan 2017-2022


However, there remains a big gap in the quality At the higher education level, the Universal Access
of education. Compounding the problem is that to Quality Tertiary Education Act benefitted
the data on quality of learning are not comparable 1,132,620 higher education students in state colleges
over time. The 2017 National Achievement Test and universities (SUCs) and local universities and
(NAT) scores could not be compared to the 2015 colleges (LUCs) in AY 2018-2019. In technical and
baseline data because the tests have been modified vocational education and training (TVET), while
in 2017 to be more aligned with 21st century skills, certification rate remained higher than 90 percent,
as emphasized in the K to 12 curriculum. The 2017 most of the TVET courses offered are low-level
scores shown in Table 10.3 pertain to the proportion skills, seven of which are even likely to become
of students who can be considered as at least moving irrelevant as a result of automation. The passage
towards “mastery.” These are estimated at 23.11 of the 11th Regular Foreign Investment Negative
percent among Grade 6, 32.78 percent among Grade List (RFINL) and Transnational Higher Education
10, and 13.54 percent among Grade 12 students. Act (Republic Act [RA] 1148) is expected to
In 2018, the Department of Education (DepEd) improve competitiveness of education and training
changed the methodology to measure “proficiency” institutions by bringing international quality
instead of “mastery”. The 2018 NAT7 scores show standards and expertise into the country.
that only 16 percent of Grade 6, 34 percent of Grade
10, and 14 percent of Grade 12 learners scored as
“nearly proficient.”

Table 10.3 Core Education Outcome Indicators: Targets vs Accomplishments, 2017-2019

BASELINE VALUE TARGETS ACCOMPLISHMENT


INDICATOR
(YEAR) 2017 2018 2019 2017 2018 2019

Sector Outcome: Lifelong learning opportunities for all ensured

Mean years of schooling 8.9


N/A N/A N/A 9.3 10.0 N/A
increased (2014)

90.3
Functional literacy rate increased N/A TBD N/A N/A N/A N/A
(2013)

Subsector Outcome: Quality, accessible, relevant, and liberating basic education for all achieved

Net enrollment rate increased (%)

74.65 83.13
Kinder 80.46 83.37 86.28 83.70 63
(2015) (76.00)

91.05
Elementary 92.18 92.74 93.31 94.19 94.79 94
(2015)

68.15
Junior High School 70.23 71.27 72.32 75.99 81.24 83
(2015)

Senior High School TBD TBD TBD TBD 46.12 48.50 48

7
  Data is not shown in the table because it estimates the proportion who are considered at least “nearly proficient” rather than the original measure
of at least moving towards “mastery.”

Chapter 10 Human Capital Development Towards Greater Agility | 175


BASELINE VALUE TARGETS ACCOMPLISHMENT
INDICATOR
(YEAR) 2017 2018 2019 2017 2018 2019

Completion rate increased (%)

83.43
Elementary 85.31 86.25 87.18 92.41 97.15 97
(2015)

73.97
Junior High School 76.82 77.15 77.48 84.32 88.84
(2015)
77
Senior High School TBD TBD TBD TBD N/A N/A

Proportion of students performing at moving towards mastery, closely approximating mastery, or mastered increased (%)

64.93
Elementary 66.92 68.41 69.91 23.11* 97.15 97
(2015)

14.37
Junior High School 15.98 16.78 17.59 32.78*
(2015) N/A due to change in
measurement from
“mastery” to “proficiency”
Senior High School TBD TBD TBD TBD 13.54*

Proportion of students at low mastery reduced (%)

14.88
Junior High School 11.72 11.51 11.31 N/A N/A due to change in
(2015)
measurement from
“mastery” to “proficiency”
Senior High School TBD TBD TBD TBD N/A

Quality of higher education and technical education and research for equity and global competitiveness improved

Number of HEIs in reputable 4


5 6 7 8 6 8
international rankings increased (2016)

Certification rate of TVET 91.9


85 85 86 93 92 94.3
graduates increased (%) (2016)

* 2017 data not comparable with 2015 baselines due to change in methodology. There was a shift in the design of the 2017 NAT because the questions were framed, in
line with the K to 12 program’s focus on 21st century skills.

Given the huge investments in education, the collaboration to facilitate knowledge transfer may
challenge is to improve the quality of education have contributed to the low performance of the
while also anticipating the demands of the Fourth higher educational institutions (HEIs). Further, lack
Industrial Revolution (FIRe). Availability of teachers of collaboration with industry partners contributed
with specialized skills (particularly senior high to the mismatch between skills taught in schools
school [SHS]), mismatch in teaching assignments and labor market requirements.
with areas of specialization, and delayed release of Flexible learning will be adopted to continue
education inputs affect achievement of education delivery of education services during the COVID-19
outcomes at the basic education level. In higher pandemic. Major challenges like issues of
education, inadequate support and/or incentives expensive, slow, and unreliable internet connection,
to pursue graduate studies, undertake research and and added expenses for devices are needed to
publish, and limited domestic and international access online learning resources. This will also

176 | Updated Philippine Development Plan 2017-2022


require adjustment measures to reskill teachers on consistently declined beginning 2017, thus, putting
online teaching and re-orient parents and guardians the government on track, in terms of achieving its
towards homeschooling, distance education, and annual targets in reducing the share of youths-at-risk.
other modes of flexible learning.
Meanwhile, fostering women’s economic
Labor market policies participation warrants improvement, as female
labor force participation rate (LFPR) remains
Improved and increased employment opportunities modest, relative to the annual plan targets.
in the past three years led to the continuous Among the top cited reasons for deferring work
decline in unemployment rate and overall quality among women, is the assumption of household
of employment (see Chapter 1). After an initial responsibilities and duties, including childcare.
uptick of 5.7 percent in 2017, the unemployment Nonetheless, laws have been recently enacted
rate fell to 5.3 percent, meeting the upper end of the to further create an inclusive labor market
target for 2018. It declined further to an average 5.1 for Filipinos, such as the 105-Day Expanded
percent in 2019, in line with the full-year target of Maternity Leave Act, First Time Jobseekers Act,
4.3 percent to 5.3 percent for 2019. Youth inactivity, Telecommuting Act, and the Social Security
likewise, showed improvement, as the proportion of System (SSS) Act of 2018.
youth not in education nor in employment (NEE)

Table 10.4 Core Labor Outcome Indicators: Targets vs Accomplishments

BASELINE VALUE PLAN TARGETS ACCOMPLISHMENT


INDICATOR
(YEAR) 2017 2018 2019 2017 2018 2019

Sector Outcome: Income-earning ability increased

23.0
Percentage of youth NEE
(2015) 20.5-22.5 19.5-21.5 18.5-20.5 21.7 19.8 18.7
decreased

Subsector Outcome: Employability improved

Duration of school-to-work
2*
(STW) transition of college N/A N/A N/A ** ** **
(2008)
graduates reduced (years)

Duration of STW transition of


4*
high school graduates reduced N/A N/A N/A ** ** **
(2008)
(years)

Percentage of discouraged 12.5


12.5 12.0 11.5 11.6 11.5 12.6
workers reduced (%) (2014)

Labor force participation of 50.1


49.3 49.7 50.1 46.2 46.6 47.6
women increased (%) (2015)

* Based on an Asian Development Bank (ADB) Survey on Filipino Youth Labor Market Experience in 2008.
* *The duration of STW transition will be measured through rider questions in the Labor Force Survey (LFS) in 2021. Prior to this, there has been no official means of
measuring STW transition.

Chapter 10 Human Capital Development Towards Greater Agility | 177


The onslaught of the COVID-19 pandemic resulted Prior to the pandemic, the landscape of work has
in a surge, perhaps temporary, displacement of changed rapidly with the rise of FIRe. COVID-19,
workers (i.e., local workers and overseas Filipino however, has brought unprecedented challenges,
workers), as global and domestic economic activities causing firms to swiftly migrate to new working
slowed down. The enactment of the Telecommuting arrangements to safeguard workers. With the
Act and SSS Act proved to be very opportune as these intensified adoption of remote and flexible work
reforms laid out the necessary legal framework to mechanisms, technology plays a critical role in
support remedial measures to the disruption caused redesigning and transforming the way individuals
by the pandemic, including the implementation work. The challenge is to re-tool and upskill the
of various flexible work arrangements (FWAs) current workforce and develop the future workforce
both in the government and private sectors (e.g., to be able to adapt and thrive amidst the changes.
telecommuting, reduction of work hours/days, Consequently, there is a need to ensure that new
and rotation of employees) and the provision of and flexible ways of working will not reduce the
unemployment benefits. In addition, the immediate well-being of workers or expose them to forms of
digitalization of the application system of the SSS occupational hazards and health risks. Possible risks
unemployment benefit in late June 2020, resulted include performing work outside regular business
in the increased uptake of the program, catering hours, developing musculoskeletal disorders due to
to an additional 151,617 applicants from July to non-ergonomic facilities (i.e., inadequate computer
September8 compared to the 27,103 recorded workstations), and getting infected for those
applicants between March to June 2020. physically reporting to work.

  SSS data as of September 14, 2020.


8

178 | Updated Philippine Development Plan 2017-2022


Strategic Framework
Figure 10.1 Strategic Framework to Transform Human Capital Development towards Greater Agility

Chapter 10 Human Capital Development Towards Greater Agility | 179


Targets and Strategies
Improving nutrition and health cases are higher than the baseline. According to the
Department of Health (DOH), these are expected
outcomes for all due to the intensified case findings and the use of
better methods for detection. Meanwhile, modern
Nutrition and health outcomes for all will be contraceptive prevalence rate was disaggregated
improved as the government (a) guarantees to to reflect the contraceptive use of all women
provide care services at all life stages; (b) ensures of reproductive age and those women who are
a responsive and resilient health system; and (c) currently married or in union. Moreover, the
sustains equitable financing of nutrition and health proportion of fully-immunized children was added
services. The targets are given in Table 10.5, followed as a new core indicator. As part of improving the
by a more detailed discussion of the strategies to epidemiological capacity of the country resulting
achieve these targets. from the COVID-19 pandemic, the percentage of
regions with at least one Biosafety Laboratory Level
Baseline and targets for mortality rate attributed 2 (BSL2) with reverse transcription polymerase
to cardiovascular disease, cancer, diabetes, chain reaction (RT-PCR) was included in the list of
chronic respiratory diseases, and TB incidence core indicators.
were recomputed. Indicated targets relating to TB
incidence and number of newly-diagnosed HIV

Table 10.5 Updated Plan Targets to Improve Health and Nutrition Outcomes for All

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Sector Outcome: Nutrition and health outcomes for all improved

Life expectancy at birth increased (years)

69.63
a. Male ** ** 71.3 71.3
(2015-2020)

75.91
b. Female ** ** 77.5 77.5
(2015-2020)

Subsector Outcome: Care at all life stages guaranteed

Maternal mortality ratio decreased 95


** ** 108 108
(per 100,000 LB) (2016)

13
Neonatal mortality rate decreased (per 1,000 LB) ** ** 10 10
(2013)

23
Infant mortality rate decreased (per 1,000 LB) ** ** 15 15
(2013)

31
Under-five mortality rate decreased (per 1,000 LB) ** ** 22 22
(2013)

180 | Updated Philippine Development Plan 2017-2022


BASELINE VALUE TARGETS
INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Mortality rate attributed to cardiovascular disease,


cancer, diabetes, and chronic respiratory diseases 462.5
397.7 382.4 367.1 367.1
decreased (number of deaths per 100,000 population (2016)
aged 30-70 years old)

Proportion of households meeting 100% recommended 31


** 29.3 32.2 32.2
energy intake increased (%) (2015)

Prevalence of stunting among children under 5 33.4


** 29.8 28.8 28.8
decreased (%) (2015)

Tuberculosis incidence decreased 434


537 526 510 510
(per 100,000 population) (2016)

9,264
Number of newly diagnosed HIV cases decreased9 ** 17,900 18,900 18,900
(2016)

Subsector Outcome: Responsive and resilient health system ensured

Proportion of women who are using modern contraceptive methods increased (%)

Among women of reproductive age (15-49 years 37.6


** 62.0 65.0 65.0
old) who are currently married or in union (2013)

Among women of reproductive age (15-49 years 23.5


28.0 29.0 30.0 30.0
old) (2013)

68.5
Proportion of fully immunized children increased (%) 95.0 95.0 95.0 95.0
(2013)

Percentage of regions with at least one BSL2 (with 70.6


100 100 100 100
RT-PCR) (June 2020)

Subsector Outcome: Responsive and resilient health system ensured

Out-of-pocket health spending as percentage of total 45.0


** ** TBD TBD
health expenditure10 decreased (2016)

National Health Insurance Program availment rate 80.52


** ** 100 100
increased (2017)

Percentage of population covered by social health 91


100 100 100 100
insurance (2016)

* 2020 original targets set/approved in 2016/prior to the pandemic retained


**Note that the responsible agencies (e.g. DOH, PhilHealth) did not provide annual targets for these indicators as data are not available for these years (or only end-of-
plan target was provided by the concerned agencies).

9
Due to low condom use, those who have not started treatment could still inadvertently pass the infection to others, thus, the number of HIV
cases diagnosed per year is expected to grow.
10
The Philippine National Health Accounts (PNHA) was revised based on the National Accounts, with 2018 as base year. With this, baseline data
of this indicator was changed accordingly. The 2019 PNHA was released in October 2020.

Chapter 10 Human Capital Development Towards Greater Agility | 181


Guaranteeing care at all life stages women, 6-23 months old children, and children in
child development centers and public elementary
Provide quality nutrition and health care schools. This will be scaled up through expanded
interventions at all life stages. The Philippine Plan partnerships with agrarian reform beneficiaries,
of Action for Nutrition (PPAN) will continue to organizations, cooperatives, small and medium-
prioritize the selected 32 provinces (as determined sized enterprises (SMEs), among others (see Chapter
by the Human Development and Poverty Reduction 11).
Cluster) with the highest rates of poverty in its
interventions and to pay greater attention to Sexual and reproductive health services will
stunting and teenage pregnancy. The LGUs, in be intensified to address adolescent or early
coordination with the DOH and National Nutrition pregnancy. DepEd will ensure that there will be
Council (NNC), will ensure that appropriate comprehensive sexuality education in schools,
nutrition and health-related interventions and to include adolescent-friendly health service
services will be given for the first 1,000 days of life packages. Relatedly, the Commission on Population
(covers pregnancy and the first two years of life) as and Development (POPCOM) and DOH will
the so-called window of opportunity to influence spearhead and intensify demand- and supply-
the mental, productive, and health capacity and side interventions in improving reproductive
break the intergenerational cycle of malnutrition. health services, including addressing unmet need
for modern family planning (FP). These include
Addressing malnutrition in all its forms across age scaling up community- and facility-based demand
groups calls for a whole-of-government approach generation interventions, and ensuring availability
in the provision of nutrition programs, involving of FP commodities at service delivery points by
not only LGUs but also national government instituting reforms and enhancements in the FP
agencies (NGAs), such as the DOH, NNC, DepEd, logistics system. FP competency-based training
DSWD, Department of Agriculture (DA), and the for health providers will be continuously provided
Department of Science and Technology – Food (see Chapter 13). Uninterrupted provision of FP
and Nutrition Research Institute (DOST-FNRI). and reproductive health services and commodities,
Implementation of nutrition-specific interventions especially in areas under enhanced and general
at the local level, such as Nutrition in Emergencies, community quarantine (CQ), will be pursued.
Overweight and Obesity Management Prevention
Program, Supplementary and School-Based Feeding The triple burden of disease-communicable,
Program, Food Fortification, and National Dietary non-communicable, and urbanization- and
Supplementation Program will be strengthened, industrialization-related diseases will be
through intensified coordination and collaboration continuously addressed, as this remains a serious
of the LGUs with implementing agencies given new public health concern. The DOH will continue to
normal conditions. These will be complemented intensify COVID-19, TB, and HIV case-finding
by nutrition-sensitive projects (e.g., Gulayan sa activities. There will be continuous contact tracing,
Paaralan, sustainable livelihood, adolescent health timely testing, isolation, and treatment of persons
and nutrition development, farm-to-market [FMR] affected by COVID-19. Adequate TB services will
roads, and child nutrition, among others). The be provided for TB-infected patients, especially for
implementation of the Malnutrition Reduction those drug-resistant TB cases and people living with
Program of the DOST-FNRI, which provides HIV (PLHIV). Antiretroviral Therapy for PLHIV
age-appropriate complementary foods for babies will continuously be provided. Integrated services
and other vulnerable groups, will be continued. for HIV care will be expanded, by establishing
Further, nutritious complementary foods, snack social hygiene clinics, sundown clinics, and HIV
foods, and meals will continue to be produced care facilities. Moreover, TB and HIV education and
and consumed. Fortified staples will be produced promotion programs will be enhanced to increase
and included in all social safety net programs, public awareness and reduce stigma.
such as dietary supplementation among pregnant

182 | Updated Philippine Development Plan 2017-2022


The DOH will also develop or strengthen PhilHealth benefit package, such as medical
programs to address emerging and re-emerging detoxification will be expanded. More Balay
infectious diseases, such as dengue. Moreover, Silangan facilities initiated by Philippine Drug
the government will aggressively implement Enforcement Agency (PDEA)11 will also be
the National Immunization Program, including established.
measures to encourage demand and secure the
supply of vaccines and other implements. Relatedly, As indicated in the Mental Health Act (RA 11036),
the government will also guarantee effective the national government, through the DOH, will
delivery of the COVID-19 vaccine once available fund the establishment and assist in the operation
through the development and implementation of a of community-based mental health care facilities.
vaccine procurement and distribution plan, which The LGUs and academic institutions will create
includes crafting of appropriate vaccine allocation and implement mental health programs, which
framework, readying logistics channels and cold will be in accordance with the general guidelines
chain facilities, ensuring communication strategies, set by the Philippine Council for Mental Health
and setting-up monitoring mechanisms. (PCMH). These services include prevention,
promotion, treatment, and rehabilitation, including
On addressing non-communicable diseases (NCDs), psychosocial support, especially during the time of
the implementation of policies and programs pandemics.
will be intensified to reduce the prevalence of
behavioral risk factors such as tobacco use, harmful To prevent road traffic injuries, stricter enforcement
use of alcohol, physical inactivity, and unhealthy of laws and standards to mitigate risks factors (i.e.,
diet. These include sustained implementation of vehicle standards, speeding, drunk driving, wearing
smoking bans in public areas such as schools, of seatbelts or helmets), safer infrastructure, and
workplaces, sidewalks, and public vehicles; anti- enhanced post-crash care will be continuously
smoking campaigns; smoking cessation program; promoted to avoid these accidents.
and increased taxes on tobacco products, in line
with the World Health Organization (WHO) The health of the elderly will also be given priority
Framework Convention on Tobacco Control and through specific interventions, including palliative
existing tobacco policies. The Department of and hospice care.
Finance (DOF) will continue to impose excise tax
on sweetened beverages along with taxes for alcohol Promote a healthy lifestyle. A healthy lifestyle
products and e-cigarettes, and strategies to reduce is key to good health. The strategies to promote
salt consumption. The whole-of-government will a healthy lifestyle will first improve nutrition
implement and encourage wellness and fitness and health literacy, and then, the health-seeking
programs, as well as activities to promote work-life behavior of Filipinos.
balance to avoid NCDs, stress, and other mental
health effects. Policies to promote healthy lifestyle Various stakeholders, such as the LGUs, DepEd,
and diet will be pursued and implemented both in DSWD, among others, will be tapped, to ensure
the public (i.e., government offices, public schools) that nutrition and health promotion is integrated
and private sectors. in their programs. For instance, the LGUs will
be enjoined to intensify health and nutrition
Meanwhile, the PhilHealth will offer packages campaigns. The DepEd will formulate modules on
for substance and drug abuse management, health literacy and health rights to be integrated
rehabilitation, and treatment services. Existing in the school curricula and activities. More

11
  Balay Silangan is a national drug reformation program initiated by Philippine Drug Enforcement Agency (PDEA). This is reformative and
rehabilitative in nature intended for non- drug users who voluntary surrendered or availed of the Plea Bargaining Program. It provides general
interventions like continuing education and health awareness, and psychological/spiritual/physical activities such as counseling, moral recovery,
values formation, and personal and life skills. Reformers are also taught with livelihood and skills training programs.

Chapter 10 Human Capital Development Towards Greater Agility | 183


health modules can be incorporated in the Family within the health facility, support the national
Development Sessions of the Pantawid Pamilyang health public programs’ implementation, and
Pilipino Program (4Ps) of the DSWD. Government institutionalize coordination mechanism with the
instrumentalities will be mobilized for aggressive primary care provider networks.
public health education campaigns, including
effective risk communication through various media In areas where physical access to health professionals
(i.e., television, radio, social media) to encourage are limited or restricted, the country’s telehealth
social distancing, better hygiene, self-isolation, system will be strengthened and expanded by
and health-seeking behavior at the first sign of the DOH, in coordination with other agencies,
infectious disease symptoms (e.g., COVID-19). including the DICT and DOST. Telemedicine,
With the new normal, the minimum public health including primary care consultations, will be
standards (i.e., for COVID-19 mitigation) through established, so that during emergencies (e.g.,
non-pharmaceutical interventions, such as physical COVID-19 pandemic), the number of patients
distancing, ensuring proper ventilation, regular going to hospitals and health facilities will be
and thorough disinfection, provision of alcohol/ reduced. However, systems, protocols, and quality
sanitizers/soap, temperature check, use of personal control measures need to be in place so that this
protective equipment (PPE), among others, will be can be effective and not harm patients. Health
strictly implemented. technology assessment (HTA) process12 will also
be institutionalized.
To improve health-seeking behavior, the PhilHealth  
will work with private service providers to offer During emergencies, priority will be given to
preventive services, diagnostics, laboratory, ensure the supply of essential health and nutrition
medicines, dental and other medical services, as products and commodities. The DOH will institute
well as packages for regular annual check-up for all an emergency supply management and logistics
employees—public and private. system, with an adequate national stockpile of
medicines, medical supplies, PPEs, ventilators,
and related resources, including FP commodities,
Ensuring responsive and resilient health
for use during public health emergency. The
system
Department of Budget and Management (DBM)
and Government Procurement Policy Board
Ensure access to essential quality and affordable
(GPPB) will work on policies and procedures
health and nutrition products and services at
to expedite procurement of these necessary
appropriate levels of care. The passage of UHC
equipment and health supplies.
Act will ensure that every Filipino has immediate
eligibility and access to preventive, promotive,
Likewise, to ensure that proper nutrition is
curative, rehabilitative, and palliative care for
continuously provided during emergencies
medical, dental, emergency, and mental health
(especially among children, pregnant and
services. The law will address the issue on non-
breastfeeding women, and senior citizens), the
functioning and fragmented service delivery
Nutrition Cluster will issue advisories to guide
networks and weak referral system in the country
the LGUs and relevant partners on appropriate
(see Box Article 10.1). Moreover, the DOH will
nutrition response. This should be consistent with
require all hospitals to establish a public health unit
the National Policy on Nutrition Management in
that will provide navigation support to the patients

  HTA refers to the systematic evaluation of properties, effects, or impact of health-related technologies, devices, medicines, vaccines, procedures,
12

and all other health-related systems developed to solve a health problem and improve quality of lives and health outcomes (UHC Act IRR, Section
4.18).

184 | Updated Philippine Development Plan 2017-2022


Emergencies and Disasters but will be modified (e.g., provincial/city/municipal nutrition action
depending on contextual factors. The NNC and officers, barangay nutrition scholars, barangay
DOST-FNRI will also continue advocating for health workers) to achieve the appropriate health
recipes that would help transform relief goods (i.e., worker-to-population ratio.
canned goods, instant noodles) into more nutritious
meals. Accordingly, as provided for in the UHC Act, a
National Health Human Resource Master Plan will
Upgrade and equip health facilities. To address be formulated and implemented. The DOH will also
the poor conditions of public health facilities in improve the recruitment and deployment process.
the country, more public health facilities will be Pools of medical and allied health professionals will
constructed and upgraded, especially primary be mobilized, especially during health emergencies,
health care facilities (see Chapter 19). Hospitals per level of care nationwide. In addition, a
will be equipped with multi-specialty training network of community health volunteers who will
capabilities, reference laboratories, and advanced assist in providing surveillance and information
medical equipment. There will also be an increased dissemination services during health emergencies
number of fully-equipped isolation rooms will be established. These will ensure that the
and critical care beds in hospitals. Moreover, quality and supply of HRH will meet the needs of
quarantine facilities in major ports and airports the population, especially of vulnerable groups (e.g.,
need to be improved to enable the Bureau of persons with disabilities [PWD]) during health
Quarantine (BOQ) to better perform its mandate emergencies.
on ensuring health surveillance and security.
Budget for construction and rehabilitation of public Improve epidemiological and surveillance
health facilities will be effectively utilized through capacities of the country. Epidemiological and
improved procurement processes and supply chain surveillance capacities for COVID-19 and other
management. infectious diseases will be improved at the national,
regional, provincial, and municipal levels, focusing
Improve the status and supply of Human on areas near major points of entry and strategic
Resources for Health (HRH). The DOH will LGUs in a region. Specifically, an operational
ensure that there will be equitable distribution BSL2 must be present in every region, stocked
of HRH, including allied health professionals with adequate number of testing kits. Technology,
(e.g., dietitians, nutritionists, therapists, medical such as mobile applications, can be utilized to
technologists), and continuous improvement facilitate contact tracing and real-time surveillance
of their working conditions by: (a) continuing of infectious diseases particularly COVID-19.
the provision of pre-service full scholarship Moreover, local or regional Centers for Disease
program (with return service contract) to students Prevention and Control (CDC) will be established
in medical-related fields (including virology, under the supervision of a national CDC or the
microbiology, among others) offered by both Research Institute for Tropical Medicine (RITM).
national and local governments; (b) continuing The CDC will be a dedicated agency that will
augmentation, redistribution, and retention of protect public health and safety through the control
health workers in challenged priority provinces, far- and prevention of diseases.
flung municipalities, and geographically isolated
and disadvantaged areas (GIDA) through the DOH On the other hand, the DOH and LGUs should
HRH Deployment Program; (c) monitoring and also ensure strict implementation of the
revisiting the implementation of Magna Carta of Mandatory Reporting of Notifiable Diseases and
Public Health Workers by the LGUs; (d) providing Health Events of Public Health Concern Act (RA
appropriate/competitive salaries, benefits, and 11332), especially the provisions on establishing
incentives to public and private health workers, and maintaining functional disease surveillance
among others; and (e) progressively increasing the and response systems. Accordingly, the DOH will
number of permanent positions for health workers spearhead the formulation of a national infection

Chapter 10 Human Capital Development Towards Greater Agility | 185


prevention and control guidelines/strategies, along with continued imposition of excise tax on
including quarantine and disinfection protocols sweetened beverages and tobacco products.
that will guide national and local implementers,
both in the public and private sectors (e.g., hospitals, Expand health insurance coverage and improve
health facilities). The strategies and guidelines nutrition and health packages. With the UHC
will take into account the country’s experience Act, all Filipinos are automatically enrolled in
and global best practices in responding to the the National Health Insurance (NHI) Program.
COVID-19 pandemic and other infectious diseases. Existing benefit packages will continue to be
implemented and can be expanded to include
Sustaining equitable health financing dental, mental, and nutrition packages, as
well as benefit coverage for emerging and re-
Secure sustainable investment on nutrition emerging diseases, as indicated in the HTA
and health and ensure efficient and equitable process. A no co-payment policy will also be
use of nutrition and health resources. To secure implemented for those who opt to avail basic or
investments and ensure equitable use of health and ward accommodation and services. Moreover,
nutrition resources, the following strategies will be the PhilHealth will enhance provider payment
pursued: (a) provide additional resources to sustain mechanisms to ensure cost-effective quality
the implementation of the UHC Act; (b) implement health care services. These strategies will help
the Philippine Plan of Action for Nutrition’s (PPAN) reduce households’ out-of-pocket payment
LGU mobilization strategy to focus on promoting for health (see Chapter 11). Furthermore, the
strategic nutrition leadership and governance, processing and reimbursement of hospital claims
emphasizing the value for money investment in the will be monitored and fast-tracked.
first 1000 days of life; (c) promote complementation
of health financing among national government,
Cross-cutting strategies
local government, development partners, and
other stakeholders (e.g., private insurance, health
Institute a fully-integrated and interoperable
maintenance organizations); (d) progressively
health information system and database. The
increase the PhilHealth premium contribution
following measures will be implemented to improve
with corresponding increase in benefits and
the availability, timeliness, and quality of data
improvement in premium payment protocols; (e)
and to make the health information system and
focus on financial resources for nutrition and health
databases interoperable: (a) conduct training and
with high impact interventions; and (f) ensure
capacity building for local administrative health
funding for nutrition and health sector recovery
and nutrition data collection units; (b) improve
activities and programs, especially at the local/
electronic medical records in all health facilities
community level. Moreover, the Implementing
that will enable patient records to be accessible
Rules and Regulations (IRR) of the National
throughout the health system and provide real-time
Disaster Risk Reduction and Management Council
data with due regard for data privacy; (c) develop
(NDRRMC) Act will be revisited to ensure higher
a unified health information system where all
contingency budget for the management of health-
data, including those from the private health care
related emergencies.
providers, will be consolidated to have seamless
navigation and referral mechanisms between health
The Sin tax or excise tax levied on goods deemed
care providers; and (d) utilize artificial intelligence
harmful to society and individuals, will be
and big data analytics to understand the spread of
implemented continuously to curb the practice or
diseases (e.g., COVID-19) to improve treatment
augment funding for health interventions under the
methods and streamline medical care, to determine
UHC Act. Thus, increased tax on alcohol products,
the effectiveness of government response, and to
heated tobacco products (HTPs), and Electronic
allow real-time collection, consolidation, analysis,
Nicotine Delivery Systems, which include electronic
and reporting of health data.
cigarettes or vapor products, will be pursued,

186 | Updated Philippine Development Plan 2017-2022


Strengthen health research and development, existing country, regional, and global multisectoral
and evidence-based decision-making. Capacity partnerships with CSOs, academe, business, and
to conduct evidence-based policymaking, decision- development partners through the Scaling Up
making, program planning, and implementation, in Nutrition Movement networks with the “engage-
the health and nutrition sector will be strengthened. inspire-invest” slogan. Nutrition and health
Concerned agencies, including health and nutrition components will be integrated in all major flagship
research institutes (e.g., DOH, RITM, NNC, DOST- programs of the government.
FNRI, DOST-Philippine Council for Health and
Research Development [PCHRD], among others) Ensure transparency, accountability, and
will enhance their internal capacity to produce high regulatory measures in the nutrition and health
quality health and nutrition studies and researches. sector. This will be done by: (a) developing
There will be increased support for local healthcare innovative regulatory and monitoring mechanisms
scientists and higher investments in health to promote adequately fortified staples and food
researches especially on vaccine and drug discovery products, and equitable distribution of quality
and development (e.g., COVID-19 vaccine) and on and affordable health goods and services; (b)
zoonotic diseases and risk factors. A Health Impact establishing a performance monitoring unit to
Assessment (HIA) will likewise be conducted track the progress of reforms and medical audits
following the UHC Act. and to oversee third-party monitoring; (c) adopting
responsive organizational structure, staffing
Elicit multi-sector, multi-stakeholder support for patterns and skill-mix at all levels of the health
nutrition and health. Civil society organizations system; and (d) monitoring and evaluating health
(CSO), including volunteers, will be mobilized to and nutrition programs through the Monitoring
participate in budget development, service delivery, and Evaluation of Local Level Plan Implementation
and monitoring and evaluation (M&E), through (MELLPI), being conducted by the NNC member
their involvement in local development councils agencies, to ensure compliance and improvement of
and other special bodies. In addition, development nutrition status at the local level. The DILG will also
partners can also be tapped to provide official continue to offer incentives and provide guidelines
development assistance (ODA) aligned with the to ensure transparency and accountability among
nutrition and health agenda. Improved health LGUs, in delivering nutrition and health care
and nutrition outcomes can be achieved with the services, especially during health emergencies (e.g.,
help and involvement of the private sector in the pandemics).
provision of health care and nutrition services. For
nutrition, in particular, the NNC will strengthen the

Chapter 10 Human Capital Development Towards Greater Agility | 187


Box Article 10.1 The Universal Health Care Act

The UHC Act (RA 11223) was enacted into law on February 20, 2019. Its implementing rules and regulations (IRR) were
approved on October 10, 2019. The UHC Act automatically includes all Filipinos into the NHI Program and grants immediate
eligibility and access to preventive, promotive, curative, rehabilitative, and palliative care, with primary care services as
priority. All members are guaranteed zero co-payments for basic/ward accommodations in government hospitals, and
fixed, co-payment for non-basic admissions in government and accredited private hospitals.

Importantly, the UHC Act is not only limited to providing health financing services (i.e., PhilHealth insurance) but also
covers improving health service delivery, local health system, health regulation, and health governance and accountability.
For instance, under the UHC, all local health systems will be integrated into the province-wide health system to be
composed of municipal and component city health systems, and citywide health systems to refer to highly-urbanized
city-, and independent component city-wide health systems. The local health system refers to all health offices, facilities
and services, human resources, and other operations relating to health under the management of the LGUs. The said
integration will be facilitated by DOH and DILG. In addition, a “Special Health Fund” will be created to pool and manage
health resources, including income from PhilHealth and province- and city-wide health systems.

Also under the UHC Act, a National Health Human Resource Master Plan will be implemented to provide appropriate health
workforce based on population needs. The DOH will lead and institutionalize a multi-stakeholder HRH Network, composed of
both public and private organizations and agencies, to formulate and oversee the sustainable implementation, monitoring,
periodic evaluation, and reformulation of the Master Plan for the management and development of HRH. Moreover, a
National Health Workforce Support System will be established to assist LGUs in human health resource needs. Deployment
of health professionals and health workers in GIDAs will be prioritized. Existing and new allied and health-related degree
and training programs will be expanded and all allied and health-related government-funded scholars must enter into a
return service agreement with both the training institution/facility and DOH for at least three years with compensation.

Source: DOH. UHC. https://www.doh.gov.ph/UHC

Strengthen leadership, management capacities,


coordination, and support mechanisms. The
Ensuring flexible lifelong
national government will provide technical learning opportunities for all
assistance to the LGUs to improve the delivery
of health and nutrition services at the local level. Table 10.6 provides the updated plan targets in
For instance, the Barangay Health Emergency ensuring lifelong learning opportunities for all.
Response Teams (BHERT) will be trained Targets on access to basic education (net enrollment
on prevention and mitigation, preparedness, rate and completion rate) were adjusted considering
and response measures during public health the COVID-19 pandemic. Targets for basic
emergencies at the local/community level. The education quality were also revised to take into
LGUs may also initiate their own local programs account the shift from measuring mastery towards
and projects that will supplement the programs measuring proficiency, with the new indicator being
of the national government, to ensure nutrition the proportion of learners achieving at least “nearly
and health for all. This will further strengthen proficient” in the NAT, interpreted as learners with
coordination and collaboration among the national a mean percentage score in the range of 50 to 74.
and local government agencies in implementing The target on functional literacy rate is yet to be
nutrition and health programs in the country. By determined, after consideration of the effect of the
2022, the implementation of the Mandanas ruling pandemic and the quarantine restrictions.
would further strengthen the capacity of the LGUs
in delivering health and nutrition services, as some
of the functions of the national government will be
shifted to the LGUs.

188 | Updated Philippine Development Plan 2017-2022


Table 10.6 Updated Plan Targets to Ensure Lifelong Learning Opportunities for All

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Sector Outcome: Ensuring lifelong learning opportunities for all

Life expectancy at birth increased (years)

10.0
Mean years of schooling increased N/A N/A 11.3 11.3
(2018)

90.3
Functional literacy rate increased (%) N/A N/A TBD TBD
(2013)

Subsector Outcome: Quality, accessible, relevant, and liberating basic education for all achieved

Proportion of school-aged population participating in basic education (Net Enrollment Rate) increased (%)

63
Kinder 89.19 92 95 95
(2019)

94
Elementary 93.87 96 97 97
(2019)

83
Junior High School 73.36 89 92 92
(2019)

48
Senior High School 64 68 80 80
(2019)

Proportion of learners completing levels of education (Completion Rate) increased (%)

97
Kinder to Grade 6 97 97 98 98
(2019)

77
Grade 7 to Grade 12 82 83 84 84
(2019)

Proportion of learners achieving at least nearly proficient in the NAT increased (%)

16
Grade 6 26 34 44 44
(2018)

34
Grade 10 43 52 61 61
(2018)

14
Grade 12 13 19 28 28
(2018)

Subsector Outcome: Quality of higher education and technical education and research for equity and global competitiveness improved

Certification rate of technical and vocational education 91.9


86 92 92 92
and training (TVET) graduates increased (%) (2016)

Number of higher education institutions (HEIs) in 4


8 7 8 8
reputable international rankings increased (2016)

* 2020 original targets set/approved in 2016/prior to the pandemic retained

Chapter 10 Human Capital Development Towards Greater Agility | 189


Achieving quality, accessible, relevant, and century knowledge and skills and reinforce their
liberating basic education for all competencies through the National Educators
Academy of the Philippines Transformation;
Strengthen the implementation of the Early and
Childhood Care and Development (ECCD)
Program. A strengthened ECCD Program will - Engage stakeholders for support and
provide future cohorts of learners a solid foundation collaboration towards better research, analysis,
for basic education. Thus, the ECCD Council and high-level advice for strategic policy,
will build a competent workforce throughout the planning, and programming in delivering
country and ensure that child development centers quality education for all.
strictly adhere to ECCD policies, guidelines, and These reforms will need to consider the rapid change
standards. Health and nutrition will be emphasized in the education environment brought about by the
to increase the physical resistance of learners to COVID-19 pandemic. As face-to-face classes will
prevent sickness and disease and mainstream good only be allowed once a vaccine is available, other
personal hygiene practices. learning modalities will be carried out to maintain
physical distancing.
Aggressively implement reforms under Sulong
EduKalidad. The DepEd has embarked on the Implement the Basic Education Learning
Sulong EduKalidad program to raise the quality Continuity Plan (BE-LCP). In order to mitigate
of basic education by implementing aggressive the impact of the COVID-19 pandemic on learners
reforms in four key areas: and learning outcomes, the DepEd formulated the
BE-LCP in May 2020 and is fully committed to its
- Review and update of the K to 12 curriculum implementation. Under the new normal, the DepEd
in close coordination with relevant institutions will improve and expand its flexible learning options
towards a world-class curriculum that prepares identified in its LCP (i.e., modular and online
learners for the future. A Futures Thinking blended learning, homeschooling, and television-
Unit will be institutionalized within DepEd, and radio-based instructions) to continuously
to anticipate and update its curriculum to be provide learning opportunities even in the midst
responsive and adaptive to the needs of learners of a pandemic. This entails developing self-
in the future. learning modules, enhancing existing e-learning
- Improve the learning environment by platforms (DepEd Commons), collaborating
ensuring that schools, classrooms, and other with telecommunication and broadcast media
learning facilities promote productive learning companies, and training teachers for the different
experiences. Particular focus will be given to delivery modes of education and the preparation
Last Mile Schools—schools in GIDAs, which of schools under Brigada Eskwela and Oplan Balik
are not prioritized when determining the Eskwela. Guidelines and health standards in schools
needed inputs using established formulas and and workplaces need to be followed to protect the
ratios for education inputs. Improved learning school community. The BE-LCP will also accelerate
environments will utilize best practices in the country’s transition to the future of education,
inclusive education,, such as the Madrasah, which involves: (a) exploring new technologies
Special Education (SPEd) and Indigenous for remote learning; (b) reframing the curriculum
Peoples’ Education (IPEd) Programs, as well to prioritize essential/cross-cutting knowledge,
as the intensified implementation of the skills, and mindsets; embedding multi-literacies in
Comprehensive Sexuality Education (CSE) information technology (IT), science, technology,
Program to address early pregnancy. engineering, and mathematics (STEM), health,
financial, and civic literacy; (c) anticipating
- Upskill and reskill teachers through a educational opportunities from innovations;
transformed professional development (d) reinforcing learning sciences, assessments,
program that will equip teachers with 21st analytics, and knowledge mobilization; and (d)

190 | Updated Philippine Development Plan 2017-2022


“smartifying” learning spaces and resources, investments. Timely awarding of StuFAPs in higher
among others. education and TVET will be ensured, especially
among UAQTE beneficiaries, as most students
Participate in International Large-Scale may need the allowances to adjust to online and/or
Assessments (ILSA). The country’s participation blended learning.
in ILSAs such as the Trends in International  
Mathematics and Science Study, Programme for The Unified Financial Assistance System for
International Student Assessment, and Southeast Tertiary Education (UniFAST) Board will consider
Asia Primary Learning Metrics (SEA-PLM) will implementing a voucher system and improve the
be prioritized to measure learning outcomes vis- loan system to provide students their choice in
à-vis other countries and provide information to school (whether public or private) and educational
evaluate the country’s progress in improving math, tracks (whether TVET or higher education) prior
science, and literacy and build evidence for policy to the enrollment period. This would also level the
development and decision-making. playing field among quality private and public HEIs
and TVIs. Long-term student loan program will be
designed to consider factors such as affordability,
Improving quality of higher and technical
viability, and risk management. Further, support
education and research for equity and global
interventions and adequate monitoring activities
competitiveness
will be done to ensure that quality of education is not
sacrificed in the course of policy implementation
Set up joint industry and government bodies
through: (a) strong monitoring of tuition and other
for technical and vocational education and
school fees being charged by HEIs and TVIs to the
training (TVET) quality assurance. This will help
government; (b) stricter quality assurance in HEIs,
technical vocational institutions (TVI) to keep their
especially those enjoying government subsidies; (c)
regulations and competency standards up-to-date
pursuit of per student normative cost budgeting;
and responsive, and to streamline processes needed
and (d) career guidance and financial counseling
to quickly undertake program review, facilities
for student beneficiaries.14
evaluation, updating of instruction and learning
methodologies and materials, and formulation of
Boost Philippine competitiveness in international
innovative programs. This is in line with the thrust
university rankings. The Commission on Higher
of the Technical Education and Skills Development
Education (CHED) will enhance its policies
Authority (TESDA) to institute separate and
to establish a promotion system in SUCs, that
faster mechanisms to hasten the development of
incentivizes research and innovation. A quality
competency standards and training regulations of
assurance mechanism (e.g., SUC levelling and
rapidly changing jobs.13
granting of autonomous/deregulated status) will
also be institutionalized for both private and public
Enhance the implementation of Student Financial
institutions to reward international competitiveness.
Assistance Programs (StuFAP), especially the
Support will be provided to centers of excellence
Universal Access to Quality Tertiary Education Act
and HEIs with quality programs in preparation for
(UAQTE). Given huge investments in expanding
international accreditation.
access to tertiary education during the first three
years of the Duterte administration, sustainability
Develop a roadmap for academic and technical
of the program will have to be ensured. Particularly
programs responsive to the demands of FIRe.
for a college degree, it will take at least four
Continuous updating of the higher education
years to realize the returns from these education
curriculum will be implemented given the changes

13
  TESDA National Technical and Education Skills Development Plan 2018-2022: Vibrant Quality TVET for Decent Work and Sustainable
Inclusive Growth, TESDA, 2018.
14
  NEDA, Socioeconomic Report 2018, NEDA, 2018.

Chapter 10 Human Capital Development Towards Greater Agility | 191


in the basic education system and emerging fully implementing the Magna Carta of Scientists,
needs of the country. Priority programs will be Engineers, Researchers, and Other Science and
revisited and new programs (e.g., data science, Technology Personnel in the Government (RA
nanotechnology, machine learning, green/ 11312). The exclusion of SUC faculty from the
renewable energy engineering, virology, molecular Scientific Career System will also be re-evaluated
biology and biotechnology, urban agriculture, to incentivize research productivity among faculty
sustainable development, and food value chain) members. HEIs will be encouraged to tap Balik
will be developed to steer students toward fields Scientists and engage in research and development
that will cater to emerging disciplines and address initiatives in support to the National Harmonized
the country’s post-pandemic needs. The TVET Research and Development Agenda and the
sector will formulate standards and promote country’s science, technology, and innovation (STI)
TVET programs (diploma courses) that cultivate priorities, which will be outlined in the National
higher-order thinking skills to meet the demands Innovation Agenda and Strategic Development (see
of the labor market. Further, training centers and/ Chapter 14). Productive partnerships, between HEIs
or community colleges will be established at the and stakeholders in the community and industry,
local level to address regional human resource will also be intensified to integrate formal research
development requirements. Government agencies and innovation efforts with informal grassroots
will also put in place mechanisms to ensure that knowledge and innovation.
regular data on the employability of graduates is
available to guide students, educational planners,
Cross-cutting strategies
and industry.
Develop future-ready adult learning
Intensify distance-learning methods to promote
interventions. The education agencies will
learning continuity and retooling. In higher
promote adult learning through online and/or
education, a flexible learning strategy will be
flexible learning (e.g., massive open online courses,
pursued in delivering instruction by ensuring
blended training programs) to meet the growing
appropriate facility delivery system, faculty
demand for retooling and upskilling. Learning
complement, and student support, as provided
approaches will be modified to meet the needs of
in CHED COVID-19 Advisory No. 7. The legal
adult learners, especially workers displaced during
framework for distance learning is already in place
the pandemic and those in occupations that are at
through the Open Distance Learning Act of 2014
risk of being automated. Adult learning programs
(RA 10650). As such, there is a need to extensively
may also be tapped in cultivating important values
promote its implementation among HEIs. Similarly,
and functions in society, such as health-seeking
the TVET system will adopt flexible learning
behavior, financial literacy, cultural sensitivity,
delivery modes (i.e., face-to-face learning, online
gender sensitivity, climate change adaptation, and
learning, blended learning, and distance learning)
disaster risk reduction and management, among
as provided in OPLAN TESDA Abot Lahat: TVET
others.
towards the new normal. D igital modalities will
be optimized for distance learning, other options,
Modernize learning and teaching materials
such as TV, radio, printed materials, and/or mobile
and methods. While the Philippines has been
training laboratories will be made available in areas
investing in curricular reforms and expanding
with zero to limited internet access.
ICT access in schools, other countries have already
made substantial improvements in developing
Boost cutting-edge research and innovation
and adopting new pedagogical practices, such as
initiatives. The government will build a robust
artificial intelligence-enabled education, innovative
national ecosystem for knowledge production
classrooms, and gamification of learning, among
and innovation, which is critical for the country’s
others. The education sector needs to revisit
pursuit of a knowledge-based economy. Incentives
pedagogical approaches, including assessment
to researchers in government will be provided by
strategies and learning materials, to maximize the

192 | Updated Philippine Development Plan 2017-2022


potential of ICT in delivering flexible learning faculty and trainers, and policy and regulatory
options while also improving learning outcomes. frameworks will be updated. As such, the higher
Training activities will be provided to teachers, education internationalization framework will
parents, and guardians to enable them to adjust to be revisited and a TVET internationalization
flexible learning. framework will be formulated. These policy
frameworks will subsequently serve as bases of
Promote graduate scholarships and teacher guidelines and regulations to create mechanisms
training programs. The promotion of graduate that will attract prospective international experts
scholarships and teacher training programs is and partner institutions.
an important strategy to improve the quality of
education at all levels, especially as the education Develop an action plan to operationalize the
system adapts to modern and digital learning Philippine Qualifications Framework (PQF). As
environment. This will complement the DepEd’s the PQF has already been institutionalized, the
thrusts of in-service teacher development by next step is to come up with a plan or guidelines
creating a pool of teachers with advanced degrees to facilitate the efficient implementation of
ready to impart cutting-edge knowledge to students the qualifications and recognitions system.
in basic education. Initiatives will be intensified The government will ensure that there are
to increase internationally-recognized trainings, corresponding and efficient equivalencies and
graduate studies and post-doctoral opportunities recognition systems, through the PQF for TVET
for teachers and trainers. graduates and technical-vocational-livelihood SHS
graduates, should they pursue higher education
Maximize government-academe-industr y through ladderized education. This mechanism will
collaborations and international partnerships allow learners to pursue learning opportunities,
to ensure alignment of competencies and labor upgrade qualifications, and/or smoothly transition
requirements. International partnerships and through different learning pathways, whether for
government-academe-industry collaborations professional or personal goals.
will be tapped, especially in improving quality of
instruction. Such linkages will enable the education Develop an accessible sporting culture. A
sector to adapt to modern technologies, update sporting culture accessible to all Filipinos will be
curricula and develop programs or courses more developed, as an instrument to promote human
quickly, strengthen work immersion programs development and improve quality of life. This will
(i.e., on-the-job trainings, apprenticeships) being be accomplished through enhancing the people’s
implemented, and enhance complementation awareness of the role of sports for physical,
of curricular offerings among public and private emotional, and mental well-being, improving
tertiary education institutions. International and expanding the grassroots sports development
collaborations, in particular, will also be useful program of the Philippine Sports Commission
in bringing global standards in educational (PSC), and strengthening local and international
institutions. Partnerships with international linkages in sports. Sports facilities will be developed
universities and institutions will improve the and upgraded to be at par with global standards.
capabilities of teachers, enhance pedagogy, and The PSC’s human resources, management, and
help upgrade normal schools and universities, research capacities will be improved to enhance
leading to better performance of students with its ability to lead, manage, and assess the country’s
regard to proficiency standards. sports programs. The Philippine Sports Institute
will be institutionalized to direct the development
Formulate guidelines on the internationalization and linkages of the grassroots and high-
of education. Given recent policy reforms (issuance performance sports programs and the professional
of the 11th RFINL and passage of the Transnational development of sports practitioners.
Higher Education Act [RA 11448]) that enabled
the entry of international educational institutions,

Chapter 10 Human Capital Development Towards Greater Agility | 193


Increasing income-earning income-earning ability and enhancing adaptability
of the Filipino workforce. Given the looming
ability and enhancing global recession due to decreased output, lower
adaptability employment demand is anticipated in the near
term. Hence, targets for core labor indicators were
adjusted accordingly.
Table 10.7 shows the updated indicators and
corresponding revised targets for increasing

Table 10.7 Updated Plan Targets to Increase Income-earning Ability and Enhance Adaptability of
Filipinos

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Sector Outcome: Income-earning ability increased

Percentage of youth not in employment or education 23.0


17.5-19.5 18.0-20.0 17.0-19.0 17.0-19.0
decreased (2015)

Subsector Outcome: Employability improved

Duration of school-to-work transition of college 2.015


None N/A 0.75-1.0 0.75-1.0
graduates reduced (years) (2008)

Duration of school-to-work transition of high school 4.0


None N/A 0.75-1.0 0.75-1.0
graduates reduced (years) (2008)

Duration of school-to-work transition of TESDA 3.0


3.5 3.5 3.25 3.2516
graduates reduced (months) (2015)

12.5
Percentage of discouraged workers reduced (%) 11.00 11.5 11.0 11.017
(2014)

7.3
Unemployment rate of college graduates decreased (%) 7.2-7.5 10.0 8.0 8.018
(2016)

66.2
Employment rate of TVET graduates increased (%)19 72.0 68.86 69.39 69.39
(2016)

15
  Based on an Asian Development Bank Survey on Filipino Youth Labor Market Experience in 2008. Data on End-of-plan (EOP) targets will be
sourced from the Labor Force Survey. Potential discrepancy between baseline value and EOP targets may arise given changes in the source of data
reported.
16
  Lower employment demand is anticipated in the near term as a result of global and domestic economic slowdown.
17
  Increase of discouraged workers may be expected given looming global recession and decrease in output growth by end of 2020.
18
  Labor market disruption brought by the pandemic is seen to result in falling labor demand, especially among hard-hit industry sectors in the
near term. In addition, postponement of this year’s board examinations due to the pandemic may cause delay in college graduates’ employability
and will affect the employment absorption in the fields requiring professional board passers.
19
  Refers to percentage of TVET graduates for the period that are already employed over the total number of TVET graduates for the same period.
2021-2022 targets were revised based on NTESD Plan.

194 | Updated Philippine Development Plan 2017-2022


BASELINE VALUE TARGETS
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Percentage of females with advanced degrees employed 79.4


80.0 81.0 82.0 82.0
increased20 (2016)

50.1
Labor force participation of women increased (%) 50.5 48.0-50.0 48.5-50.5 48.5-50.521
(2015)

Subsector Outcome: Productivity improved

Labor productivity in the industry sector increased 2.1r


3.0-4.0 2.5-3.6 4.40-4.65 4.40-4.65
(% growth)22 (2015)

Labor productivity in the service sector increased 2.7r


4.0-5.0 (1.02-0.13) 5.35-5.61 5.35-5.61
(% growth)22 (2015)

Subsector Outcome: Labor mobility and income security enhanced

Share of employees in precarious work23 to total 18.9


18.1 18.0 17.9 17.9
employed (%) reduced (2016)

Share of wage and salary workers in precarious work to 30.7


28.5 28.4 28.3 28.3
total wage and salary workers (%) reduced (2016)

Notes: 2020 targets were retained. 2021-2022 targets for some indicators were adjusted given the impact of the pandemic in the near term.

In light of the current and emerging challenges swift and coordinated whole-of-society approach to
in the labor market, the government will further policy actions. This will be accomplished through
strengthen its efforts to raise the quality of human the following strategies:
resources and ensure that the current and future
workforce will be able to adapt to the changing Further advance skills development and
demands of the labor market. Strategies that will retooling through continuing education,
improve the ability of individuals to operate and training, and digital learning. With the
thrive in a digital environment, while at the same unprecedented disruption in the economy,
time, ensuring job quality and income security will business operations have been immensely affected,
be pursued. Overall, these are expected to improve resulting to worker displacement. The government
people’s access to employment opportunities and will take an active role in upskilling and reskilling
ensure their employability and productivity, thus, its workforce through comprehensive and
translating to increased income-earning ability and coordinated skills development and training
enhanced adaptability of the Filipino workforce. programs. Skills retooling programs through
flexible and blended training arrangements will
Improving employability be expanded in building skills critical to current
and emerging industry demand. For instance,
Ensuring employability of displaced workers, courses and modules, specifically focused on
jobseekers, and those in vulnerable sectors calls for ICT, offered under the TESDA Online Program,

20
  Percentage of females with advanced degrees is the proportion of female graduates with post-baccalaureate degree (Masters and PhD) to total
working age population of female graduates with post-baccalaureate degree.
21
  The implementation of distant online learning and blended learning modalities may affect women’s labor force participation rate as the need for
unpaid domestic care work increases (e.g., child minding, care needs for older persons) in the near term.
22
  Adjusted based on revised growth estimates and employment outlook in the near term
23
  Precarious work refers to workers whose nature of employment is short-term or seasonal or casual or those who worked for different employers
on day-to-day or week to-week basis.

Chapter 10 Human Capital Development Towards Greater Agility | 195


will be expanded to respond to in-demand skills Public Employment Service Offices (PESO) in
in the new normal. Targeted training modules the LGUs will be strengthened. Given the critical
will be developed to cater to the needs of youth, role of local governments in the management
displaced workers and repatriated OFWs, new and implementation of training and employment
entrants to the labor force, and the vulnerable programs through the PESOs, creating stronger
sector (e.g., informal sector workers, workers in mechanisms to effectively deliver services, boost
hard-hit industries, casual and gig workers). To employment, and generate jobs at the local level is
facilitate efficient and wider reach of training and needed (see Box 10.2).
retooling assistance, provision of subsidies through
issuance of training vouchers to individuals, Efforts to intensify the institutionalization of
in partnership with the private sector, through PESOs across localities nationwide will be pushed
institution-, enterprise-, and community-based, to ensure availability of funds and resources. In
or online modalities is envisioned. Procedures for particular, it is crucial to have adequate and well-
availing TESDA scholarship programs will also trained staff as well as up-to-date facilities and
be revisited to improve accessibility and reduce to keep an updated and expanded database of
difficulties in application requirements. The Mobile jobseekers and available jobs that may be accessed
Training Laboratory Program will also be expanded by other PESOs nationwide. Moreover, the PESOs
to better serve far-flung areas. Implementation will also strengthen the delivery of economic and
of the Tulong Trabaho Fund will be accelerated financial literacy programs for the vulnerable
to help fund such interventions. Meanwhile, the sectors, through intensified partnership with the
Professional Regulation Commission (PRC) will regional offices of the National Economic and
need to strengthen the Continuing Professional Development Authority (NEDA) and Bangko
Development (CPD) programs through online- Sentral ng Pilipinas (BSP). More importantly,
based platforms. firms will be encouraged to hire workers residing
in the communities, where they operate, to
Boost and expand employment facilitation reduce vulnerability to transport disruptions and
services. The pandemic has amplified the need for community quarantine restrictions. Such practices
comprehensive, well-coordinated, and accessible will also reduce the possibility of virus transmission
employment facilitation services that will better through cross-LGU mobility.
connect people to jobs and engage employers and
other stakeholders. To this end, capacities of the

Box Article 10.2. Improving the Role of LGUs in Employment Facilitation Services

Local governments play an important role in the management and implementation of skills and employment programs through the PESOs. The
core services being offered by PESOs in LGUs are mainly on employment referral and placement, counseling/career guidance, and conduct of job
fairs and pre-employment seminars. However, the success of PESOs varies highly depending on how a specific LGU implements these services.
To realize PESO’s key objectives, it is crucial that they continually innovate and find ways to deliver their services that are best suited to their local
situation.

Building a good rapport with constituents and having broad and dynamic partnerships with businesses, academe, non-government organizations
(e.g., Chambers of Commerce), and other government agencies or LGUs are critical. PESOs should regularly update their database on the labor
needs of businesses, especially in emerging industries, and supply of labor. To do the latter, skills mapping in the barangay level needs to be done
regularly. PESOs can then organize better designed and targeted skills development programs.

PESOs may also assist unorganized wage employees in forming cooperatives, link microfinance institutions with those with livelihood activities,
and develop market linkages for micro, small, and medium enterprises (MSME). PESOs may also link job seekers with PESOs in other LGUs and/
or relevant agencies for those aspiring to work abroad.

In Marikina City, the PESO partnered with the LGU Center for Excellence and City Women’s Council in coming up with a Labor Market Center,
which works as a one-stop shop for all employment-related concerns including training/skills development and wage employment and livelihood
facilitation. Meanwhile, in Bulacan, LGUs partnered with local colleges for continuing education and skills development of the workforce.

196 | Updated Philippine Development Plan 2017-2022


Amidst challenges, labor market information Ensure that flexible work arrangements allow
systems need to keep pace with the dynamic members of the workforce to balance their
and competitive labor market by enhancing household and work duties. Companies now
accessibility, expanding coverage, and fostering resort to flexible and remote work arrangements
closer coordination between employers, the (e.g., flexible schedule, compressed work week,
academe, and the government. The PhilJobNet, the alternative worksite telecommuting), in view of
government’s web-based job search, matching, and the demands of the new normal. On the one hand,
referral portal, along with the PESO Employment such arrangements may encourage women, who
Information System (PEIS) will be enhanced, previously opted not to work due to family and
through intensified promotion among stakeholders household duties, are able to join the labor force.
and improved collection of data. These platforms On the other hand, working mothers are likely to
will also be expanded to highlight online and home- be overwhelmed as they juggle household duties
based job openings. Development of e-recruitment (i.e., domestic work and family care) and work in
guidelines and intensified advocacy against online the same physical space. Given this, there is a need
illegal recruitment and trafficking will also be to ensure that such flexibility will also guarantee
pursued. work-life balance, especially among working
mothers, to prevent them from opting out of the
Strengthen and expand internship, apprenticeship, labor force. Other strategies to increase labor
and dual training programs. A highly-skilled market participation of women include, addressing
workforce is important to build competitiveness. gender bias and gender role stereotype in basic
Yet, the COVID-19 crisis poses great risks for the education curriculum materials and promoting
youth and young workers, as they bear the brunt entrepreneurship and advance economic
of the economic and social consequences of the opportunities for women through the use of digital
pandemic, which might have far-reaching effect technology.
throughout their working lives.24 Thus, there is a
need for current internship, apprenticeship, and
Improving productivity
training programs to be enhanced to respond to
the current needs of the government (i.e., contact
Enhance delivery of capacity building for
tracers, profilers, and encoders) and industry.
productivity-based incentive schemes and
These include: (a) Government Internship Program
business continuity plans. Technical assistance
(GIP); (b) JobStart Philippines program; and (c)
on enhancing productivity and developing
apprenticeship, learnership, and dual training
productivity-based incentive schemes, to
programs. Moreover, online modules on life skills
be spearheaded by the National Wages and
training, occupational safety and health, including
Productivity Commission (NWPC), will be
mental health, productivity, career guidance, and
delivered using various modes (i.e., virtual and
employment coaching will be developed under
electronic modes) appropriate to various work
these programs. The government will likewise forge
arrangements, including telecommuting or work
stronger government-industry-academe linkages
from home. The productivity toolbox will be
to provide quality workplace-based and/or remote
expanded to include the preparation of business
and technology-based training opportunities for
continuity plans (BCP).
the youth by designing academic and training
curricula that are responsive to the skills needed by
Ensure safety and health of workers amid
the industry and establishing employer-led learning
intensified adoption of flexible working
networks. Altogether, these are deemed to improve
arrangements. Due to the pandemic, firms have
employment prospects and reduce school-to-work
been forced to adopt various forms of flexible and
transition among the youth.

  International Labour Organization, ILO monitor: COVID-19 and the World of Work. Fourth edition, May 27, 2020.
24

Chapter 10 Human Capital Development Towards Greater Agility | 197


alternative working arrangements. However, there new normal (i.e., guidelines on alternative/flexible
is a need to ensure that the flexibility of work will work arrangements [FWA], fostering productivity
not affect the well-being of workers. The current and occupational safety and health [OSH] in
rules and guidelines on flexible/alternative work FWAs); (b) using radio and television broadcast,
arrangements, both in the private and public sectors, social media, and online platforms; and (c) forging
as well as the observance of occupational safety and stronger partnership through memoranda of
health (OSH), will need to be revisited in light of agreement between DOLE-Regional Offices and
the new normal. This includes ensuring existing educational institutions on the use of the DOLE-
rules and guidelines are responsive, in assuring LEES e-Learning Portal for the conduct of Labor
work-life balance as well as safeguarding health and Employment Education for Graduating
and well-being, given remote work arrangements. Students.
Moreover, as some industries require the need for
physical reporting (e.g., service-oriented sectors), Enhancing labor mobility and income security
the provision of PPEs by employers to prevent the
spread of COVID-19 and other viruses needs to be Enhance income support and emergency
institutionalized. Likewise, promoting awareness employment. The COVID-19 pandemic has shed
and expanding coverage of the Employees’ light on the importance of robust social safety
Compensation (EC) Program, by including nets to cushion workers from sudden economic
pandemic-related risks as a valid criterion to avail shocks. Apart from wage subsidy programs, the
of such program, will be pushed. Meanwhile, unemployment benefits of the SSS will need to be
guidelines on the provision of hazard pay for expanded to assist temporarily laid-off workers.
workers in the public sector will be reviewed or Furthermore, the government will seek to design
formulated, if there is none. Protection of Filipinos a more comprehensive unemployment support
working overseas, especially the low-skilled program that will provide workers more flexibility
workers, can be improved through strengthening to search for jobs by improving their skills and
bilateral labor agreements with host countries (see capacity as they re-enter the labor market (see
Chapter 21). Chapter 11). Moving forward, financial assistance
programs for displaced formal and informal sector
Nurture workplace harmony. In keeping workers will be reviewed and strengthened for
with its firm commitment to ensure conducive possible institutionalization.
workplaces and improve productivity of workers,
the government will intensify information At the same time, current efforts towards enhancing
dissemination of the recalibrated Labor and the implementation of minimum wage policies
Employment Education Services (LEES) of the (i.e., balanced, consultative, and evidence-based
Department of Labor and Employment (DOLE), approach to minimum wage determination,
which includes labor relations, human relations and rationalized number of wage rates, exclusions, and
productivity, continuing labor education seminars, exemptions per region) will be continued to protect
and labor education for graduating students. This vulnerable workers from undue low wages.
will be undertaken through: (a) developing modules
on nurturing workplace harmony in light of the

198 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
The following legislation will be required to support the actions of the executive branch:

Table 10.8 Legislative Agenda to Transform Human Capital Development towards Greater Agility

LEGISLATIVE AGENDA RATIONALE

Sector Outcome: Nutrition and health outcomes for all improved

Subsector Outcome: Care at all life stages guaranteed

Policy on the Prevention This will facilitate the development of a National Program of Action and Investment Plan for
of Adolescent the prevention of teenage pregnancy. The program of action will serve as a national framework
Pregnancy for inter-agency and inter-sectoral collaboration at all levels that will address various health,
cultural, socioeconomic, and institutional determinants of teenage pregnancy. The policy may
be in the form of either an Executive Order or a RA.

Nationwide Firecracker This will reduce fireworks-related injury, disability, and death and update law regulating
Regulation fireworks. Some of the key features of the proposed legislation are: (a) banning of individual/
residential use of both legal and illegal firecrackers, except if used as part of a community
fireworks display; (b) strengthening the enforcement on the regulation of manufacture, sale,
distribution, storage, and use of firecrackers and pyrotechnic devices; and (c) promoting public
health and safety from the use of firecrackers and pyrotechnic devices.

Subsector Outcome: Responsive and resilient health system ensured

Amendment of the law The proposed amendment will upgrade the qualification standards, incentives, and benefits and
(Presidential Decree will ensure the security of tenure of BNS. This is essential in the continuing capacity building
1569) on the Barangay and sustained delivery of quality frontline nutrition services to the community. Further, this
Nutrition Scholar (BNS) will also ensure that trained and experienced BNS are carried over by succeeding political
Program administrations.

Strengthening the Local This will ensure that the tasks of planning, implementing, and monitoring projects/activities
Nutrition Program to guarantee adequate food supply, livelihood, health and nutrition caring, and food stability
through the creation of during emergencies, among the most vulnerable population are provided. The full-time NAO
plantilla Nutrition Action will ensure that LGU nutrition policies and programs, as well as national laws on nutrition, are
Officer (NAO) position executed to promote good nutrition of the people.

DOH Hospital This aims to rationalize the distribution of capacity and capability of health facilities. Key
Bed Capacity and features of the proposed legislation include: (a) adjustment and approval of the authorized bed
Service Capability capacities and corresponding service capabilities of its retained hospitals; and (b) alignment of
Rationalization Act all adjustment in bed capacity and service capability of each DOH hospital with the Philippine
Health Facility Development Plan.

Chapter 10 Human Capital Development Towards Greater Agility | 199


LEGISLATIVE AGENDA RATIONALE

Health Facilities and This proposed measure aims to make licensing standards responsive to the needs of the
Services Regulation Act health systems. Specifically, the following will be covered by the proposed measure: (a) grant
quasi-judicial powers to the Bureau of Health Facilities and Services under DOH; (b) establish a
regional office to enforce regulatory policies and standards; (c) allow for the income retention
of the Bureau to enhance its capacity to expand and improve the quality of its services; (d)
extend the validity of health facility’s initial license to operate to three years; and (e) implement
adjusted penalties and revocation of license.

Counterfeit This proposed legislation will make the 22-year-old law responsive to the changes in the industry
Pharmaceutical and in anti-counterfeiting technologies. The measure (a) incorporates as economic sabotage
Products Prevention Act (>1M) the illegal manufacture, importation, distribution, sale or offer for sale, or possession of
(Amending the Special counterfeit pharmaceutical products; (b) includes online service/selling/pharmacy services; (c)
Law on Counterfeit updates administrative proceedings; (d) revises penalties; and (e) strengthens the rapid alert
Drugs or RA 8203) system.

Drugs and Medicines The proposed measure aims to: (a) create the Drugs and Medicines Price Regulation Board
Price Regulation that will regulate the pricing of any or all drugs enumerated in Section 23 of RA 9502; (b)
Act (Amending the mandate the display of prices fixed and approved by the Board for drugs and medicines on
Universally Accessible a clearly printed poster conspicuously placed within the retail outlet; (c) extend the value
Cheaper and Quality added tax (VAT) exemption coverage to all essential ethical medicines listed in the Philippine
Medicines Act of 2008 National Formulary; (d) standardize the prescription of all physicians (should be in generic
or RA 9502) terminology without any specific brand); and (e) designate the Philippine Pharma Procurement,
Incorporated as DOH’s and PhilHealth’s central procurement agency for drugs, medicines, and
common medical supplies.

Pandemic Preparedness This intends to strengthen the national and local response and preparedness during health
Act/Health Emergency emergencies (e.g., pandemic, epidemic). The proposed measure may institutionalize national
Act and local/regional CDC. It may also cover establishing medical reserve corps for disasters and
health emergencies and providing social assistance (i.e., social amelioration) during pandemic.

Amendment of the This aims to make the Magna Carta of Public Health Workers more responsive to the needs
Magna Carta of Public and rights of health workers. The proposed measure will provide appropriate benefits to public
Health Workers Act health workers across LGUs, regardless of LGU income classification, to promote equity in
benefits/incentives received, among others.

Philippine eHealth/
This measure will establish a National eHealth System that will direct, institutionalize, and
Telehealth System and
regulate the practice of eHealth in the country.
Services Act

Sector Outcome: Flexible lifelong learning opportunities for all ensured

Subsector Outcome: Quality, accessible, relevant, and liberating basic education for all achieved

Legislation on textbook This legislation aims to ensure timely provision and adequacy of quality textbooks in basic
development, printing, education without compromising the standards set by the DepEd. This would reduce the time
and distribution it takes for textbooks to be developed, printed, and distributed to schools, with the additional
benefit of supporting the local publishing industry.

200 | Updated Philippine Development Plan 2017-2022


LEGISLATIVE AGENDA RATIONALE

Indigenous Peoples’ (IP) This legislation proposed aims to establish IP-centric educational systems and institutions.
Education Systems Act Through this proposed law, provision and delivery of education will be in the IP’s own languages,
in a culturally appropriate manner. The development and implementation of the IP education
programs will also consider the special needs, unique histories, indigenous knowledge systems
and practices, spirituality, and value systems of the community.

Expansion of The proposed amendment on the GASTPE law aims to further expand the coverage of the
government assistance GASTPE to the elementary level and SHS teachers in private schools in recognition of the
to K to 6 learners in complementarity role of private schools in providing basic education to Filipino learners.
private schools through
the Government GASTPE aims to provide education assistance program for students and teachers in private
Assistance to Students schools under the tuition subsidy to junior high and SHS students, who wish to pursue their
and Teachers in Private studies in private schools, through the Education Service Contracting (ESC) scheme. 
Education (GASTPE)
and expansion of
the Teachers’ Salary
Subsidy (TSS) to
elementary and SHS
teachers

Amendment to the The proposed amendment aims to clarify the scope and coverage, tighten the list of eligible
Special Education Fund expenses chargeable against the SEF, eliminate provisions that are already irrelevant and
(SEF) provisions in the restate those that are confusing, and strengthen the position of DepEd in the Local School
Local Government Code Board (LSB) in decision-making.

Alternative Learning This proposed bill guarantees support for the expansion and strengthening of the alternative
Systems Bill learning system to respond to the needs of out-of-school children, youth, and adults for
improved knowledge, values, and life skills and better preparedness for work, higher education,
and self-employment. It establishes the Bureau of Alternative Education, which will focus on
policy, curriculum, learning program delivery, learning materials, learner assessment, quality
assurance, and support systems of the non-formal education system.

Subsector Outcome: Quality of higher and technical education and research for equity and global competitiveness improved

Bill on the This proposed law aims to integrate and harmonize all existing enterprise-based training
Rationalization and modalities like apprenticeship, dual training system, on-the-job training, work immersion.
Harmonization of
Enterprise-based
Training Modalities

Amendment of the The bill aims to strengthen CHED by incorporating all added mandates (created by 11 new
Higher Education Act laws passed by Congress since 1994) in a single document. Once passed, it will expand the
of 1994 (RA 7722) and CHED’s mandate to cover sports development, supervision, and regulation of higher education
Strengthening the CHED programs offered by local universities and colleges, and internationalization of HEIs, among
others.

Chapter 10 Human Capital Development Towards Greater Agility | 201


LEGISLATIVE AGENDA RATIONALE

Cross-cutting

ICT in Education Bill This aims to strengthen the use of ICT in public elementary and high school through establishing
computer centers in schools, training of teachers, and digitization of administrative systems.

Flexible Learning The proposed legislative measure will allow funding to support and promote flexible learning
System Bill and support systems in public and private schools, as well as in HEIs.
for Blended Learning
Systems

Sector Outcome: Income-earning ability increased and adaptability enhanced

Subsector Outcome: Employability improved

Amendment to the This will encourage enterprises to participate in the implementation of apprenticeship programs
Apprenticeship Law by enhancing responsiveness to the identified needs of enterprise and prospective apprentices.
Specifically, EO 111, s. 1986 that sets the maximum duration of apprenticeship programs must
be repealed. Training duration must depend on the complexity of the skills to be learned.

Subsector Outcome: Productivity improved

Amendment to the This measure seeks to liberalize the restrictive provisions of the RA 6971 to accelerate the
Productivity Incentives adoption of productivity improvement and gainsharing schemes, while (a) making the
Act (RA 6971) establishment of productivity incentives committees mandatory in large private business
enterprises; (b) reiterating that gainsharing will be contingent on gains from productivity
improvement; and (c) easing the requirements for availing tax incentives by business enterprises
for granting productivity incentives and grants to employees and workers.

Subsector Outcome: Labor mobility improved

Amendments to the This will pursue the amendment to the five-day workweek prescribed by the Labor Code,
Labor Code accompanied by more specific guidelines on the implementation of alternative work
arrangements for both private and public sector. This will also establish a legal framework on
part-time work to increase flexibility for employers while integrating workers’ protection.

Subsector Outcome: Income security guaranteed

Amendments to the A more equitable hazard allowance of public health workers across salary grades will be
Magna Carta of Public pursued.
Health Workers

Amendments to the The guidelines and benefits of the EC Program need to be amended to include compensations
Guidelines and Benefits for pandemic-related risks at work.
of EC Program

202 | Updated Philippine Development Plan 2017-2022


11
Ensuring Food
Resiliency
and Reducing
Vulnerabilities
of Filipinos
CHAPTER 11

Ensuring Food Resiliency and


Reducing Vulnerabilities
of Filipinos
The COVID-19 crisis further reinforced the country’s determination to strengthen its social
protection (SP) system towards ensuring the resilience, health, and well-being of Filipinos. In
the first half of the Plan period, SP programs have contributed considerably to the reduction of
vulnerability and poverty. Improvements were largely driven by wider coverage and effective
social assistance given to the poor, especially to the extremely poor. Building on this platform
and given the vulnerabilities that surfaced during the COVID-19 pandemic, the sector will
focus on proactively minimizing Filipinos’ exposure to risks and increasing their capacities
to manage shocks so that they can continue to achieve their full potential and pursue their
aspirations. The proposed initiatives will guarantee that the country’s SP system is responsive
in keeping the country healthy and resilient as it adjusts to the changes brought about by
emergencies and adapts to the new normal.

Assessment and Challenges


The government has improved SP financing and Bayanihan to Heal as One Act, and the Bayanihan
institutional arrangements during the first three to Recover as One Act.
years of Plan implementation. The initiatives
include, the convergence of government efforts The importance of SP was also demonstrated
by using the Listahanan, approval and adoption with the inclusion of measures to protect those
of SP Plan 2020-2022, enhancement of the most likely to be adversely affected by reforms.
Pantawid Pamilyang Pilipino Program (4Ps), and The Tax Reform for Acceleration and Inclusion
the expansion of Philippine Health Insurance (TRAIN) Law included an Unconditional Cash
Corporation (PhilHealth) and social pension Transfer (UCT) program to mitigate its possible
coverage. Further, landmark legislation and reforms inflationary impact in low-income households.
were passed, such as the Universal Health Care The Rice Tariffication Law (RTL) contributed to
(UHC) Act, Mandatory PhilHealth Coverage food security and resiliency, especially among low
for All Persons with Disability, 4Ps Act, Social income households, and provided assistance to rice
Security Act, 105-Day Expanded Maternity Leave farmers to improve their competitiveness given this
Law, Magna Carta of the Poor, Safe Spaces Act, new trading regime.
Masustansyang Pagkain para sa Batang Pilipino Act,
National Commission of Senior Citizen Act, With such initiatives, coverage of the different
Community-Based Monitoring System (CBMS) SP programs has improved: PhilHealth coverage
Act, Philippine Identification System (PhilSys) Act, increased from 91 percent in 2016 to 100 percent

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 205


in 2019; Social Pension for Indigent Senior Citizens The scale and severity of the COVID-19 crisis
beneficiaries expanded from 1,412,598 in 2016 to brought to the surface many vulnerabilities of
2,690,916 in 2019; and Social Security System (SSS) Filipinos. The We Recover as One (WRAO) report
coverage of the economically active population noted that almost 40 percent of survey respondents
rose from 34 percent in 2016 to 41 percent in claimed that their income declined, and that “…
2019. In 2019, the Pantawid Pamilya also started various interpretations about the quarantine
replacing households that exited the program to imposition held up cargoes and hindered delivery
cover more poor Filipinos.1 More importantly, SP trucks carrying food and other basic items needed
programs have contributed to poverty reduction. by residents of Metro Manila and the rest of Luzon.”
Based on the estimates from the World Bank Compounded with policies that restrict the mobility
(WB), the Pantawid Pamilya helped reduce poverty of individuals (e.g., stoppage of public transportation
incidence and income inequality by 1.3 percentage services) to contain the spread of the virus and build
points (ppts) and 0.6 ppts in 2017 2 while social up health system capacity, many individuals and
insurance programs reduced poverty headcount families found it difficult to access food and other
ratio of the poorest quintile by 1.2 percent in 2016.3 goods and services to go to work. In particular, 45
In particular, the enactment of the RTL in 2019 percent of families with senior citizens, persons
reduced the price of rice and ensured stable and low with disability, and pregnant women had limited
inflation for low-income families. A study by the access to basic necessities. The Philippine Coalition
National Economic and Development Authority on the United Nations Convention on the Rights
(NEDA) and the International Food Policy Research of Disabled Persons also noted that persons with
Institute (IFPRI)4 showed that the implementation disability may have difficulty getting information on
of the RTL will reduce the number of malnourished COVID-19 if these were not provided in accessible
children and population at risk of hunger by 2.8 formats. Furthermore, with mobility restrictions,
percent and 15.4 percent, respectively, by 2025. cases of violence against women and their children
However, there are still pressing challenges: (a) the (VAWC) become a concern because of the proximity
target of zero deaths due to disasters was not met of the abuser to the victim and the disruption of
because of limited capacity and limited coherent preventive services and support systems.
actions from multisectoral actors in disaster
risk management, particularly in addressing To help Filipinos manage such shocks, the
underlying vulnerabilities of communities; (b) SSS government issued policies that deferred the
coverage among economically active population payment of obligations such as tax and rent, and
remains low at 41.48 percent due to affordability provided emergency financial subsidies such as
concerns among informal sector workers; and the social amelioration program (SAP) and small
(c) impairments/health condition and physical business wage subsidies. According to the Philippine
and social barriers severely disabled 12 percent of Institute for Development Studies (PIDS), these SP
Filipinos 15 years old and above in 2016.5 initiatives helped curb the impact of the COVID-19
pandemic by preventing about four million Filipinos
from slipping into poverty.6

1
4Ps National Advisory Committee, Resolution No. 43, Institutionalizing replacement policy allowing for continuous replacement of Conditional
Cash Transfer (CCT) households, Department of Social Welfare and Development (DSWD), December 13, 2018.
2
Pablo Acosta, Jorge Avalos, and Arianna Zapanta, “Pantawid Pamilya 2017 Assessment: An Update of the Philippine CCT’s Implementation
Performance,” WB Social Protection Policy Note no. 18, WB, Washington, DC, 2019.
3
Aubrey D. Tabuga and Carlos C. Cabaero, “Towards Inclusive Social Protection Program Coverage in the Philippines: Examining Gender
Disparities,” Discussion Paper Series No. 2019-11, PIDS, November 2019.
4
Nicostrato D. Perez and Angga Pradesha, Philippine Rice Trade Liberalization: Impacts on agriculture and the economy and alternative policy
actions, NEDA-IFPRI Policy Studies, 2019.
5
Philippine Statistics Authority’s (PSA) 2016 National Disability Prevalence Survey considers disability as an outcome of the interaction of
individuals’ impairment/health condition and their physical and social environment.

6
Jose Ramon G. Albert, et. al., “Poverty, the Middle Class, and Income Distribution amid COVID-19,” Discussion Paper Series No. 2020-22,
Philippine Institute for Development Studies, August 2020.

206 | Updated Philippine Development Plan 2017-2022


The crisis highlighted inefficiencies in the isolated and disadvantaged areas (GIDAs), localities
delivery of SP programs. While generally with high rate of COVID-19 cases, and conflict-
flexible in responding to shocks and crises, affected areas. Moreover, there were bottlenecks
adjustments to SP programs often take time in local government units (LGUs) distribution due
to be implemented. In the case of the SAP, to the need to validate the list submitted by the
data limitations prevented efficient targeting and barangays and to respond to grievances among their
provision of assistance, while logistical problems constituents, and the stringent procedure of local
caused delays in certain localities. The Department treasurers.7 In terms of unemployment benefits,
of Social Welfare and Development (DSWD) workers who lost their jobs had difficulty getting
was able to immediately distribute SAP grants to financial support due to the tedious process of
Pantawid Pamilya beneficiaries with cash cards availing the benefit, closure of SSS offices, and
but they had difficulty distributing grants through limited understanding of the program.
physical payments, especially in geographically

Targets
Strategies under the SP sector of the Philippine Development Plan (PDP) 2017-2022 aim to ensure access to
nutritious food even during emergencies, reduce each type of risk, and enable people to manage individual,
economic, natural and human-induced disasters, and governance and political risks.

Table 11.1 Updated Targets to Ensure Food Resiliency and Reduce Vulnerabilities of Filipinos

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Ensure food resiliency

Prevalence of moderate or severe food insecurity in the


- - - - -
population, based on the Food Insecurity Experience Scale

5.12
Severely food insecure TBD TBD 0.00 -
(2019)

39.06
Moderately food insecure TBD TBD 25.78 -
(2019)

Mitigate risks faced by vulnerable groups

Out-of-pocket health spending as percentage of 45.0


* * TBD TBD
total health expenditure (2016)

80.52
National Health Insurance Program availment rate (%) * * 100 100
(2017)

Percentage of population covered by 91


100 100 100 100
social health insurance** (2016)

7
DSWD. DSWD SAP 1st Tranche Implementation Monitoring and Evaluation Report, May 2020.

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 207


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Number of eligible senior citizens who received 1,412,598


3,796,791 4,107,324 4,550,220 4,550,220
social pension (2016)

1,066
Number of child laborers (in ‘000)*** 0 0 0 0
(2017)

100
Proportion of women in especially difficult circumstances (355,133
100 100 100 100
reported in DSWD served cases served)
(2016)

100
Proportion of violence against women cases reported in (1,749
100 100 100 100
DSWD served cases served)
(2016)

100
(3,857
Proportion of child abuse cases reported in DSWD served 100 100 100 100
cases served)
(2016)

Manage economic risks

Percentage of economically active population 34.1


41 42 44 44
contributing to SSS (2016)

68.1
Percentage of families covered by social insurance**** TBD TBD TBD TBD
(2016)

Deal with natural hazards and human-induced shocks

0.09
Number of deaths attributed to natural disasters
(91 deaths) 0 0 0 0
per 100,000 population
(2016)

0.200
Number of deaths attributed to human-induced disasters
(207 deaths) 0 0 0 0
per 100,000 population
(2016)

0.03
Number of missing persons attributed to natural disasters (29 missing
0 0 0 0
per 100,000 population persons)
(2016)

0.017
Number of missing persons attributed to human-induced (18 missing
0 0 0 0
disasters per 100,000 population persons)
(2016)

7,144.557
Number of directly affected persons attributed to natural (7,376,237
0 0 0 0
disasters per 100,000 population persons)
(2016)

140.036
Number of directly affected persons attributed to (144,577
0 0 0 0
human-induced disasters per 100,000 population persons)
(2016)

208 | Updated Philippine Development Plan 2017-2022


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

100
Percentage of families affected by natural and (969,470
100 100 100 100
human-induced disasters provided with assistance families)
(2016)

100
Percentage of households with damaged houses (261,617
100 100 100 100
provided with emergency shelter assistance households)
(2016)

Proportion of emergency loan applications by


100
calamity-affected Government Service Insurance System 100 100 100 100
(2016)
(GSIS) members and pensioners granted

Achieve universal social protection

Total government expenditures in SP as percentage 1.7


TBD TBD 3.7 3.7
to gross domestic product (GDP) (2016)

Share of total government expenditures in SP 9.4


TBD TBD TBD TBD
to the national budget (2016)

*
Note that the Responsible Agency (e.g. Department of Health [DOH], PhilHealth) did not provide annual targets for these indicators as data are not available for these
years (or only end of plan target was provided by the concerned agencies).
**
Coverage rate is the aggregate count of PhilHealth beneficiaries (eligible member and qualified dependents) under formal economy (private, government, household
help/kasambahay, enterprise owner and family drivers), informal economy (migrant worker, informal sector, self-earning individual and organized group, and others),
indigents, sponsored members, senior citizens and lifetime members as a percentage of the total population.
***
Data generated from the Labor Force Survey (LFS) October 2017 Survey Round. It is based on Department of Labor and Employment (DOLE) Department Order
(DO) No. 149 Series of 2016 and DO No. 149-A Series of 2017 that enumerate the work that would render a person below 18 years of age to be engaged in child labor.
As this data satisfy only a few of the criteria for child labor, it cannot be compared to the results (data) from the 2011 Survey on Children.
****
This refers to the total number of families with at least one member covered by any (one or more) social insurance programs (i.e., SSS, GSIS, PhilHealth, private
insurance, others) divided by the number of families covered and not covered by any social insurance.

Strategic Framework
Strategies that reduced the vulnerability of Filipinos and built the capacity of individuals and families to
manage and cope with various risks and shocks will be enhanced.

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 209


Figure 11.1 Strategic Framework to Ensure Food Resiliency and Reduce Vulnerabilities of Filipinos

210 | Updated Philippine Development Plan 2017-2022


Strategies
The government will continue to implement of Science and Technology-Food and Nutrition
policies and programs that will empower and Research Institute (DOST-FNRI), and the Food
build the resilience of Filipinos and further reduce and Drug Authority (FDA), among others, will
poverty and vulnerability. Policies and services enhance the country’s food fortification program,
will be updated and upgraded to ensure individual a complementary intervention to micronutrient
and institutional agility in managing shocks and supplementation, to produce fortified staples and
providing timely assistance. raw materials for use in disasters and safety net
programs. This will be pursued through partnership
between national and local governments, business
Ensuring food resiliency networks, and local organizations.

This chapter features strategies which ensure Encourage small-scale planting for the
people’s access to nutritious food even during consumption of the households and community.
emergencies. Related food security measures on This strategy includes the Plant, Plant, Plant
ensuring the stability of food supply are discussed Program of the Department of Agriculture (DA)
in Chapters 8 and 20, while initiatives for proper focusing on available technologies for both urban
nutrition are found in Chapter 10. The Inter- and rural homes and partnering with institutions to
Agency Task Force (IATF) on Zero Hunger 8 augment food supply in communities and among
ensures that these strategies are supported by households. To foster effective backyard gardening
policies and programs that will end hunger, achieve and ensure access to healthy food, the DOST and
food security, improve nutrition, and promote the National Commission on Indigenous Peoples
sustainable agriculture. (NCIP) will be engaged to explore and implement
not only new technologies but also indigenous
Strengthen efforts to link food demand and knowledge systems and processes.
supply. Linkages between public institutions and
relevant actors involved in food and nutrition Fully implement the Masustansyang Pagkain
security will be strengthened through existing para sa Batang Pilipino Act (RA 11037) and
convergence partnerships and multisector provide nutritious food packs to children
platforms such as Enhanced Partnership Against through the Supplementary Feeding Program
Hunger and Poverty, Early Childhood Care and School-Based Feeding Program. RA 11037
and Development, First 1000 Days, and Scaling institutionalized government-feeding programs 9
Up Nutrition Movement with the aim of fortifying for Filipino children in day care centers,
local value chain employment. These will also kindergarten, and elementary schools. To address
consider government’s efforts that link products and emerging nutrition concerns during emergencies,
markets, such as the Department of Agriculture’s food supplementation through the Supplementary
(DA) Kadiwa ni Ani at Kita and the Department of Feeding Program and School-Based Feeding
Trade and Industry’s (DTI) Negosyo sa Barangay. Program can be enhanced. Instead of hot meals,
day care and elementary school students will be
Strengthen the food fortification program. The provided with nutritious food packs, which may
Department of Health (DOH) in coordination include vegetable noodles (malunggay/squash/
with other concerned agencies such as the carrots), iron-fortified rice, and enhanced nutribun,
National Nutrition Council (NNC), Department among others. Said food packs will then be

8
Executive Order No. 101, s. 2020, Creating an IATF on Zero Hunger, January 10, 2020.
9
Supplementary Feeding Program for Day Care Children, School-Based Feeding Program, and Milk Feeding Program.

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 211


distributed by the DSWD and the Department of Filipinos are now automatically covered by the
Education (DepEd), in close coordination with the National Health Insurance Program (NHIP) and
LGUs and other concerned government agencies/ will have access to a comprehensive set of quality
entities, using a scheduled grab-and-go system in and cost-effective health care services. PhilHealth
consideration of the safety of everyone involved. will develop new or enhance existing health
benefit packages as recommended by the Health
Facilitate the provision of food and other Technology Assessment process.11 Outpatient
necessities to vulnerable and high-risk individuals benefit packages including diagnostics, laboratory,
during emergencies.10 The DSWD and NNC will dental, medicines, and other preventive services
work with LGUs in ensuring that those who have will be provided to all Filipinos. PhilHealth
difficulty accessing food due to risk of infection or should also guarantee the availability of case rate
difficulty in mobility have sufficient and nutritious packages for emerging and re-emerging diseases.
food. Moreover, implementation of the No Co-payment
Policy, wherein no other fees or expenses will be
Provide designated service time for older charged to those who will be admitted to basic or
persons and other groups highly susceptible to ward accommodations, will be ensured.
infection. Groceries and drug stores may open
earlier and designate the first two hours to older Strengthen the information, education, and
persons, persons with disability, and pregnant communication campaign on health and the
women to ensure cleanliness of facilities and avoid available insurance and benefits. The DOH
exposure to other individuals. will improve health promotion to ensure that
all Filipinos are aware of and have access to
Continue cash-for-work programs. Emergency health information and benefits that they can
cash-for-work programs by the DSWD and the avail. Targeted risk communications in precise
Department of Labor and Employment (DOLE) and culturally resonant messages that integrate
would help provide temporary employment COVID-19 infection prevention and control will
and income to severely affected workers due to also be developed. Importantly, a cost-effective
COVID-19, even after the community quarantine communication strategy and plan will need to
has been lifted. be drawn up and funded adequately. Moreover,
broadcast media (i.e., radio and television) and
Provide wage subsidy. The Employment Recovery various online platforms including social media,
Plan of DOLE will continue to help establishments as well as other low-tech modalities for areas
retain their workers amidst temporary closures with no access to these technologies, will be
and adoption of flexible work arrangements. utilized to inform and increase health awareness
The program will cover small and medium-scale of the public. Other agencies and stakeholders,
enterprises. including the DepEd and LGUs, will also
be tapped to integrate health literacy in the
curricula and in the activities in the community,
Mitigating risks faced by respectively. These will include key information
vulnerable groups about the NHIP of PhilHealth, its importance, and
benefits, as well as other concerns, such as ensuring
mental health amidst the COVID-19 crisis.
Ensure financial risk protection through
improved PhilHealth coverage and benefit
packages. With the passage of the UHC Act, all

10
These include older persons, immunocompromised individuals, persons with disability, adolescent mothers, children, solo parents, pregnant and
lactating mothers, internally displaced persons, and urban poor.
11
DOH and PhilHealth, Implementing Rules and Regulations of the UHC Act (RA 11223). October 10, 2019, Section 34.

212 | Updated Philippine Development Plan 2017-2022


Implement a holistic approach in addressing child Implement community-based programs to
labor. Aside from initiatives to address poverty address VAWC, including the development of
and ensure employers’ compliance to employment a standardized VAWC manual. A standardized
standards, the government as led by the National VAWC manual of operations/protocol will be
Council Against Child Labor (NCLC), will also developed by the IACVAWC to better assist
implement specific programs that will strategically abused women and children, as well as
help end child labor. These include engaging improve the referral system between the DSWD
non-government organizations (NGOs) and and the institutions where the cases are being
community members, addressing the needs of reported. Among others, the document will help
both children and their parents, and gathering and improve the functionality of Local Councils for
sharing data. Educating parents on child labor the Protection of Children (LCPC) and the VAW
through the Family Development Sessions of the desks and harmonize existing VAWC databases
4Ps (under the DSWD) and Parents-Teachers (i.e. Philippine National Police [PNP], DSWD)
Associations (under the DepEd) will be a central to ensure that all victims are provided with the
strategy in this endeavor. needed support services. There is also a need to
prioritize the continuity of child-centered services,
In terms of data collection and management, especially during disasters and emergencies, to
DOLE and DSWD will roll out the child labor avoid disruption of preventive services and support
registry, which lists all profiled child laborers and systems. With this, it is important to ensure the
the appropriate services for the child and their availability of 24/7 helplines as well as the adoption
parents. Aside from coordinating interventions, of mobile and online platforms for reporting
the registry will also be helpful in monitoring child and women protection issues and accessing
children at risk of engaging in or returning to government assistance and services.
child labor.
Increase social pension and expand its coverage.
Study the necessity of establishing a governmental To address the vulnerability of older persons,
body on Filipino families. Many developmental the amount of the social pension being granted
issues such as VAWC primarily concern families will be further increased. Its coverage will also be
and their members. The NEDA Social Development broadened to include not only the indigent older
Committee (SDC) may therefore look into the persons, but also those who are not receiving
creation of a governmental body that will lead in any pension. This entails improved coordination
the development of policies and programs aimed among the GSIS, SSS, National Commission of
at promoting the well-being of families. Among Senior Citizens (NCSC), and DSWD towards
others, it may work on values formation and smooth sharing of the necessary information to
prevention of violence among family and identify and verify beneficiary overlaps. To improve
household members. targeting and coverage, a registry of older persons
will also be established.
Conduct advocacy programs aimed at preventing
the occurrence of VAWC. Venues such as the Conduct information campaign on disability.
Family Development Sessions will be useful in The government, with the leadership of the
providing VAWC education to individuals, National Council on Disability Affairs (NCDA),
especially those from poor families. With this, will continue conducting information and education
the Inter-Agency Council on VAWC (IACVAWC) campaigns among stakeholders to improve their
will spearhead behavioral communication and understanding of disability, as well as increase
advocacies on gender sensitivity and VAWC for the people’s awareness of the rights of persons with
general public. Here, it is important to fully engage disability. These campaigns should help address
everyone as strategic partners in achieving gender the negative attitude and behavior towards persons
equality and the empowerment of all women and with disability.
girls.

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 213


Improve the accessibility of SP services for Continue the implementation of minimum health
persons with disability. The members of the standards. The prescribed minimum public health
NCDA Board will continue their work on standards in transport, workplaces, and public
addressing the physical and social barriers that places will be continuously implemented and
prevent persons with disability from accessing monitored by the LGUs and national government
services, including SP programs. This includes agencies in partnership with the private sector to
ensuring the availability of facilities and services prevent and reduce the spread of COVID-19 as
(e.g. allied health professionals) in the different well as ensure the safe re-opening of the economy.
localities in the country (see also Chapter 10 on Further, the national government agencies
related health services). Related strategies are in (NGAs) need to ensure that the minimum
Chapter 7 (on culture), and Chapter 19 (on the health standards are observed in the delivery
accessibility of infrastructure). Amidst the mobility of SP projects and services to avoid the spread
restriction due to the COVID-19 crisis, services to of COVID-19. (see PDP Chapter 10 for further
persons with disability may be expanded to include discussion on the matter).
the provision of information in accessible formats
and financial and specialized support, such as Reach out to Filipinos in GIDAs. Working with
free transportation to medical and rehabilitation the LGUs, the NEDA-SDC Subcommittee on
facilities, income generating activities, and delivery Social Protection (SCSP) will determine and
of necessities. address the barriers that prevent Filipinos,
especially those living in GIDAs, from accessing
Implement measures to improve access of SP programs. With this, the SDC-SCSP shall also
vulnerable individuals to necessities and support identify appropriate assistance measures to be
services and protect them from COVID-19. The provided to individuals living in GIDAs during
government, led by the Task Group on Recovery, pandemic and emergency situations.
needs to adopt clear policy guidelines to ensure that
high-risk individuals (i.e. older persons and those
with serious underlying medical conditions) are Managing economic risks
protected and have access to food, medicine, and
other necessities while the risk of COVID-19 is still Broaden SSS coverage and benefits availment.
high. At the same time, there should be measures to The SSS aims to broaden its coverage by ensuring
help reduce possible exposure of these vulnerable simple registration, payment, and benefit application
individuals to the virus. processes through physical and online platforms.
It will also continue conducting information
Ensure equitable access to the COVID-19 vaccine campaigns and providing programs such the
once available. The IATF for Emergency Infectious AlkanSSSya and KaltaSSS, which help workers,
Diseases Sub-Technical Working Group (IATF- especially those in the informal sector, gain SSS
EID-sTWG) on Vaccine Development will continue coverage. With the increase of income opportunities
to spearhead the research and development, through online platforms, the government will
testing/trials, regulation, and accreditation of ensure that those engaging in these platforms
potential COVID-19 vaccines entering the country. have access to health and emergency assistance
The sTWG will likewise explore multiple and SSS benefits, including old-age pension. To
avenues (i.e., World Health Organization facilitate coverage, partnerships will be established
[WHO] Solidarity trials, COVID-19 Vaccines between gig economy platforms (i.e. Grab, Angkas,
Global Access [COVAX] facility, bilateral or Lalamove, FoodPanda, Transportify, among
multilateral agreements) to acquire the vaccines. others) and government social security agencies
In anticipation, a procurement and distribution (SSS, PhilHealth, and Employees’ Compensation
plan will be developed to prepare budgetary and Commission [ECC]). With this, the coverage of the
logistical requirements, among others, and ensure Employment Compensation Program (ECP) may
equitable access nationwide. also be expanded.

214 | Updated Philippine Development Plan 2017-2022


Enhance people’s access to unemployment Insurance Corporation (PCIC) will continue and
insurance (UI) and related services. The SSS, expand the provision of insurance for crops,
in partnership with other relevant agencies, will livestock, fisheries, and even non-agricultural
implement an information drive on UI nationwide. assets of farmers and fisherfolk to help them
This will draw attention to and increase knowledge recover during disasters and prevent them from
on UI benefits, qualification, and availment process. falling into or falling further into poverty (see
Given the new normal and to ensure timely PDP Chapter 8 for further discussion on the matter).
provision of assistance, the SSS will also fast-track
systemic upgrade to allow for digital application Promote proactive disaster preparedness among
and transactions. individuals. Filipinos will be informed and
encouraged to use existing tools, such as the DOST’s
Furthermore, the SSS UI will be tightly linked to HazardHunterPH,12 to understand natural hazards
active labor market policies. The SSS, in partnership and help mitigate their effects. Information and
with DOLE, will tap the Public Employment advocacy campaigns will be intensified, especially
Services Office (PESO) and PhilJobNet to facilitate in schools, work places, and communities. Fire and
the matching of demand for workers in emerging earthquake drills will also be conducted in urban
industries and UI recipients. Simultaneously, and rural areas.
upskilling and retooling trainings will be offered
by concerned stakeholders, including Technical Promote disaster-resilient infrastructure. The
Education and Skills Development Authority Department of Public Works and Highways
(TESDA), to UI recipients to improve their skills (DPWH) will conduct an assessment of the
and qualifications given the new normal. structural integrity of existing structures to ensure
safety and resilience to natural hazards, particularly
Conduct further studies on UI. To further improve during earthquakes. Stringent implementation of
the country’s UI system, studies will be conducted policies on the issuance of permits for buildings,
to explore the creation of a separate program fund, especially residential, will also be assessed.
UI linkage to active labor market policies, optimal
benefits (i.e. higher compensation benefit or Ensure the safety of disaster victims. To address
longer duration of benefit), and the criteria to the challenges faced by Filipinos before, during
avail the benefits, especially during pandemic, and after disasters, the National Disaster Risk
among others. Furthermore, to ensure financial Reduction and Management Council (NDRRMC)
viability, the proposed reforms to the UI system will ensure the provision of safe evacuation and
should be supported by an actuarial study. transition houses, which will have women and
child-friendly spaces. The DSWD and DOH will
also make available appropriate and adequate
Dealing with natural hazards mental health and psychosocial support services
and human-induced shocks during disasters.

Establish a menu of SP programs to be


Provide rapid assistance and insurance for implemented during disasters and emergencies.
farmers and fisherfolk. Concerned agencies, such To address the responsiveness of SP programs to
as the DA and the DSWD, will work closely, in natural and human-induced disasters, the SDC-
ensuring that impacts of disasters to farmers SCSP will develop a menu of SP programs which
and fisherfolk are immediately assessed and can be readily implemented, upon the occurrence of
addressed. Furthermore, the Philippine Crop such events. These programs should be inclusive and

12
HazardHunterPH is a tool that can be used to generate indicative hazard assessment reports on the user’s specified location. It is helpful as a
reference of property owners, buyers, land developers, planners, and other stakeholders needing immediate hazard information and assessment.
(https://hazardhunter.georisk.gov.ph/)

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 215


cater to all those who are affected by the shock (i.e., implementation of development interventions.
both formal and informal sectors, among others). The NEDA, the Department of Finance (DOF),
Doing so, will facilitate easier access of people to SP and the Department of Budget and Management
services in times of disasters and emergencies. (DBM) will identify funding mechanisms that
may be tapped by the NGAs and the LGUs
Continue building the capacities of disaster to assist the adversely affected population groups.
risk reduction and management (DRRM)
stakeholders and improve coordination of Provide persons of concern (POC) with access to
services. The NDRRMC will coordinate and protective services. Engagements and partnerships
spearhead information campaigns, trainings, of concerned agencies, such as the Department
and drills for DRRM stakeholders, as well as of Justice (DOJ) and the DSWD will continue to
the purchase of early warning and emergency provide POCs with access to protective services.
devices. There will be emphasis on inclusion A database management system for the POCs will
to allow for effective participation of community be developed to efficiently assess and monitor their
members and population groups in DRRM. concerns.
These efforts will be supported by data and
information through the conduct of disaster and
climate vulnerability and risk assessments and the Achieving universal
production of hazard maps. social protection
To strengthen institutional response to disasters,
the NDRRMC will provide mechanisms for Develop the SP Code. The NEDA-SCSP will
the conduct of post or rapid disaster needs develop the SP Code to aid stakeholders, especially
assessment. Coordination between responders the LGUs, in developing responsive and effective
and aid organizations will be clearly defined to SP programs and projects. This will also remove
avoid inefficiencies and to ensure that all disaster the duplication of SP interventions among
victims are provided with support. This entails the government entities. Likewise, the SP Code will
production and dissemination of IEC materials, ensure that Filipinos living in GIDAs will have
conduct of related orientation seminars, and access to SP programs.
establishment of communication systems, so that
concerned service providers, including NGOs, Institutionalize the SP Floor. The COVID-19
have a clear understanding of their roles and pandemic higlighted the importance of
responsibilities during disasters and emergencies. institutionalizing the SP Floor. It is instrumental
in securing access of people to SP services, as well
as improving the SP service delivery in the country.
Once the SP Floor is finalized, a policy directive
Addressing governance and will be issued, to officially adopt and enumerate its
political risks components, including the roles of the concerned
agencies.
Integrate safeguards into development
Encourage proactive resilience of households,
interventions and establish funding mechanisms
including savings mobilization. Information
for these safety nets. The NEDA, through
and education campaign to encourage households
various NEDA Board Committees, will see to
to prepare for emergencies will be strengthened,
it that new development interventions in the
through the financial literacy and advocacy program
form of policies, programs, and projects already
of the Bangko Sentral ng Pilipinas (BSP), among
integrate safeguards that would prevent or
others. An important element in this strategy is
mitigate negative impacts on economic sectors and
encouraging households to have a bank account so
population groups. This requires the identification
that they can save and improve their resilience in
of the affected population groups prior to the
coping with shocks.

216 | Updated Philippine Development Plan 2017-2022


Fast-track the implementation of the PhilSys the CBMS and other existing registries, and lessons
and synchronize the Listahanan with PhilSys. learned from their operation. Said registry will also
The implementation of PhilSys or the National be configured to be interoperable with the PhilSys.
Identification (ID) system should be fast tracked
because it is critical in delivering responsive SP Digitalize the delivery of SP assistance and
services. The Philippine Statistics Authority services. The government’s SP approach will be
(PSA) aims to cover five million low-income updated and upgraded to allow institutional
household heads by December 2020. Concerned agility, in managing shocks and providing timely
agencies, such as the PSA and the DSWD, will assistance. The concerned agencies, such as the
explore linking the Philippine Identification Card DSWD, the DOLE, and the SSS, in coordination
(PhilID) to a digital payment system that will allow with the Department of Information and
more efficient transfer of government assistance Communications Technology (DICT), will
in times of crisis, pandemics, or disasters. Part enhance their systems to make use of available
of the plan for the registration process is to allow technology (including digital cash transfers,
registrants to open a bank account with Land online delivery platforms) in providing services
Bank of the Philippines (LANDBANK) where cash and reaching every Filipino, including those in
transfers can be made. GIDAs, whenever possible. As mentioned above,
government will explore linking the PhilID to
The Listahanan database needs to be synchronized a digital payment system that will allow more
with the PhilSys to include information found in efficient transfer of government assistance, in times
the PhilID, such as the registrant’s demographic of crisis, pandemics, or disasters. This initiative will
and biometric information, and the PhilSys Card be accompanied by enhancements in individuals’
Number (PCN), among others. This will allow technical know-how and improvements in digital
better targeting of SP services. infrastructure, especially in GIDAs.

Create a registry of vulnerable groups and Monitor and evaluate SP policies and programs.
address data constraints. To implement policies In accordance with the National Evaluation Policy
and SP programs in an effective and timely manner, (NEP) framework, SP programs will be regularly
the DSWD, in cooperation with the concerned assessed and monitored by the SDC-SCSP to
councils and/or commissions, will develop a ensure that program and project objectives are
registry of vulnerable groups, especially for street met. Monitoring and evaluation activities will
children, older persons, persons with disability, form part of the annual budget of implementing
and workers in the informal and gig economy, agencies and LGUs, reports of which will be
and those affected by development interventions. uploaded to their respective websites to ensure
This initiative will consider integrating data from transparency.

Chapter 11 Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos | 217


Legislative Agenda
To complement the strategies, the following legislative actions will be pursued to achieve universal and
transformative SP program for all Filipinos.

Table 11.2 Legislative Agenda to Ensure Food Resiliency and Reduce Vulnerabilities of Filipinos

LEGISLATIVE AGENDA RATIONALE

Individual Lifecycle Risks

Philippine Adoption Act for The proposed legislation seeks to improve the quality of foster care for abandoned
Abandoned and Neglected and neglected children, particularly those with special needs.
Children and for Children with
Special Needs

Anti-Senior Citizen Abuse Act The bill aims to protect senior citizens from all forms of abuse.

Increasing amount and coverage This aims to increase the amount of the monthly social pension and expand the
of Social Pension coverage of qualified beneficiaries of the social pension.

Environmental and Natural Risks

Evacuation Center Act This will establish permanent and resilient (i.e., earthquake and
hydrometeorological hazards) evacuation centers with the necessary facilities to
avoid the practice of using classrooms as evacuation centers during calamities.
Under this bill, evacuation centers should have women, children, persons with
disability, and elderly-friendly spaces. It should also be constructed with space
that can be used flexibly during emergencies. The NDRRMC will be in charge of
identifying which municipalities and cities will be given priority.

218 | Updated Philippine Development Plan 2017-2022


12
Building Safe,
Resilient, and
Sustainable
Communities
CHAPTER 12

Building Safe, Resilient, and


Sustainable Communities
The urgency to address the growing need for adequate housing in well-planned communities
has never been a matter of survival until the country confronted the COVID-19 pandemic. We
have seen in various highly-dense communities, the rapid increase of the spread of the virus,
given the difficulty to observe safe social distancing, in congested spaces and inadequate
access to household water and sanitation. Against this backdrop, the housing and urban
development sector continues to pursue building safe,1 resilient, and sustainable communities
towards realizing a safe and healthy Philippines. The sector will operationalize the Building
Adequate, Livable, Affordable, and Inclusive Filipino Communities (BALAI) program. BALAI is
the multi-stakeholder partnership platform of the Department of Human Settlements and Urban
Development (DHSUD) and its attached corporations, with the private sector, local government
units (LGUs), and the communities, aimed at expanding access to housing opportunities by
accelerating housing production, enhancing housing affordability, especially for low-income
groups, and ensuring livability and sustainability of human settlements delivered through
direct and indirect assistance.

Assessment and Challenges


There is a paradigm shift from housing production dense communities. Addressing the enormous
to management of housing, human settlements, and housing need has always been challenged by a
urban development which catalyzed the creation confluence of structural and transactional factors.
of the DHSUD, consolidating the functions of the These include: (a) institutional bottlenecks,
Housing and Urban Development Coordinating particularly the complex and tedious processing
Council (HUDCC) and the regulatory functions and approval of housing permits, licenses, and
of the Housing and Land Use Regulatory Board clearances; (b) lack of land suitable for socialized
(HLURB). The added powers and functions of housing development especially in urban areas; and
DHSUD provide an enabling mechanism for better (c) low agency budget allocation and utilization.
policy and program coordination, reform advocacy,
and implementation, especially at the Cabinet level. The emerging health and safety concerns, as
the country transitions to the new normal, are
The current COVID-19 pandemic has amplified the expected to slow down housing production, as
need to improve the quality of living conditions, well as relocation and resettlement activities,
especially vulnerable households living in highly- given the disruption in production and delivery of

  Safeguards families and communities from environmental risks and negative impacts of urbanization, with particular attention to children,
1

women, elderly people, and persons with disability (PWD).

Chapter 12 Building Safe, Resilient, and Sustainable Communities | 221


construction materials, limitations in the conduct of buyers are affected by the pandemic. On the part
social preparation activities, and greater opposition of developers, production cost (e.g., construction
from receiving LGUs, due to fear of infection and supplies and materials) has increased due to the
additional social services requirement, among imposition of construction health protocols and
others. These concerns also increase the demand the need for housing redesign to meet public health
to shift to digitalized government transactions on goals. Buyers, on the other hand, may have lost
human settlements development, to ensure that income and livelihood and may choose to postpone
processing of housing-related government permits, housing investment.
licenses, and other transactions are not disrupted.
There is also a need to address affordability issues
considering that both housing developers and

Targets
Table 12.1 shows the updated Plan Results Matrices (RMs) indicators and targets for 2020-2022.

Table 12.1 Updated Plan Targets to Build Safe, Resilient, and Sustainable Communities

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN2

Percentage of socialized housing units delivered to 54


63 68 73 73
socialized housing targets (Annual) (2016)

Percentage of low-cost housing units delivered to low 116.51


100 100 100 100
cost housing targets (Annual) (2016)

Proportion of LGUs with approved/ 27


28 30 31 31
updated Comprehensive Land Use Plan (CLUP) increased (2019)

Proportion of urban population living in


3.2
informal settlements decreased 2.60 2.47 2.35 2.35
(2015)
(Sustainable Development Goal [SDG] 11.1.1)*

Proportion of families with owned or owner-like 61.0


72.12 74.90 77.68 77.68
possession of housing units (SDG 1.4.1p9) (2016)

Proportion of families with access to secure tenure 97.0


97.84 98.05 98.26 98.26
(SDG 1.4.2p1) (2016)

Note: *Baseline and annual targets were updated based on the SDG National Targets Validation Workshop on November 28-29, 2018 in Tagaytay City.

  May either be the cumulative (2017-2022) or incremental target value at the end of the Plan period.
2

222 | Updated Philippine Development Plan 2017-2022


Strategic Framework
The sector will contribute to strengthening incorporates hazard and health standards will be
the foundations for inclusive and sustainable accelerated. Third, alternative housing solutions
development by building safe, resilient, and for low-income market will be adopted. As a cross-
sustainable communities. This chapter refocuses cutting strategy, empowerment of stakeholders
the subsector outcomes on three areas: regulation, (e.g., families, communities, and LGUs, among
production, and financing. First, public health others) will be intensified towards the attainment of
goals in the design of human settlements will these three subsector outcomes.
be integrated. Second, housing production that

Figure 12.1 Strategic Framework to Build Safe, Resilient, and Sustainable Communities

Chapter 12 Building Safe, Resilient, and Sustainable Communities | 223


Strategies
Integrating public health As a tool to address its public housing provision,
the DHSUD shall institutionalize local shelter
goals in the design of human planning through the Local Shelter Program
settlements (LSP) in cities and municipalities as provided in
the Local Government Code of 1991 (RA 7160)
To ensure livability and sustainability of human and the Urban Development and Housing Act
settlements, public health goals will need to be (UDHA) of 1992 (RA 7279). To operationalize
considered in building and design standards, as well the LSP, implementing guidelines and strategies
as shelter planning. that will provide technical assistance to the LGUs,
in the formulation of a risk-informed LSP to
Enforce strict compliance with building and address resiliency and mitigate impacts of disaster/
design standards that consider public health calamity to households, shall be developed. These
goals. Adjustments in housing designs to include will complement the Supplemental Guidelines for
minimum health standards, such as the integration Mainstreaming Climate Change Adaptation (CCA)
of wash areas before entry into the main structure and Disaster Risk Reduction (DRR) in the CLUP,
of the housing unit, improving ventilation, and formulated in 2014 by the Housing and Land Use
providing ample public and green spaces to low- Regulatory Board (HLURB) under Resolution
cost and socialized housing units, which may serve No. 915. The LSP will also utilize POPCOM’s
as isolation and quarantine spaces in case of an Demographic Vulnerabilities Tool (DVT) based
outbreak, among others, are deemed necessary. on the analysis of four important characteristics
Further, a national policy on the housing minimum of every barangay during a pandemic: (a) the
standard space per person to effectively achieve number of houses measuring less than 20 square
physical distancing, including the number of rooms meters (sqm) in the barangay; (b) the number
per housing unit that would allow for possible areas of individuals living in a house; (c) the number
for quarantine to avoid crowding, will be pursued by of individuals 60 years of age and older living in
the DHSUD, in coordination with the Commission houses less than 20 sqm; and (d) the number of
on Population and Development (POPCOM). In individuals 60 years of age and older living alone.
light of this, the national government agencies
(NGAs) and the LGUs will enforce stricter A Local Government Shelter Plan Management
compliance with building and design standards and Monitoring System shall be established to
(i.e., safety, location, structural design, and ensure efficient delivery of housing, financing, and
integrity) by the developers, contractors, and other housing/shelter interventions to targeted
private homebuilders. Due diligence is essential on beneficiaries. To incentivize its formulation,
the part of NGAs and LGUs, in terms of inspection an approved LSP will be a requirement in the
of materials, construction progress monitoring, and DHSUD’s issuance of the BALAI seal of compliance.
certification of project completion, to also ensure Specific health measures include incorporating
satisfactory compliance with building and design hazard and health standards in the CLUPs and
standards. An inventory of housing units that do zoning ordinances. Such measures are aimed at
not meet minimum design and health standards reducing infectious and communicable diseases
will be jointly pursued by DHSUD and Department and enhancing the well-being of the population,
of the Interior and Local Government (DILG) in especially those who face additional risks due to
coordination with the LGUs. poverty (i.e., women, children, elderly, and other
marginalized groups); prioritizing more open and
Mainstream local shelter planning that integrates green spaces and better walkability that allow for
public health goals in the Comprehensive Land social distancing in CLUPs; and exploring the
Use Plans (CLUPs) of cities and municipalities. inclusion of an open or public space, which may

224 | Updated Philippine Development Plan 2017-2022


be used for isolation and/or quarantine or other Fully mainstream whole-of-government action
similar purposes, in the design of housing and in voluntary resettlement initiatives. To ensure
resettlement packages. sustainability in the voluntary resettlement
initiatives of the government, the Balik Probinsya,
Operationalize the National Resettlement Policy Bagong Pag-asa (BP2) program will be fully
Framework (NRPF). The DHSUD will fully implemented through complementary initiatives
implement the NRPF and ensure its integration while sustaining established community safety
in the local plans and programs on resettlement. and health standards. The program leverages
In the next two years, the DHSUD will undertake both national and local government resources
information dissemination, consultations, and in ensuring inclusive and balanced urban and
subsequent issuances of policy resolutions towards rural development, promoting rural prosperity,
the implementation of the framework, in line with and complementing initiatives towards attaining
the localization efforts on the New Urban Agenda resilient and sustainable communities. In the
(NUA). The NRPF will be promulgated with past, the lack of coordination and clear policy
emphasis on livelihood restoration guided by a guidance among concerned agencies and LGUs
socioeconomic restoration framework. hampered the prompt and sustained delivery of
auxiliary services such as school buildings, day care
centers, health centers, access roads, and livelihood
Accelerating housing support services. A BP2 Council was created by
production that incorporates virtue of Executive Order (EO) No. 114 to serve
as the coordinating body for implementation. As
hazard and health standards majority of families below the poverty threshold
live in unplanned communities or in high-risk and
To expand housing opportunities and help in the danger areas and their lack of financial resources
social and economic recovery from COVID-19, diminishes their capacity to recover from calamities,
the government will accelerate housing production they are the most vulnerable in times of natural and
following urban development and housing anthropogenic disasters. A resettlement emergency
framework and incorporating hazard and health assistance program (REAP) by the DHSUD will,
standards. likewise, be implemented to ensure that families
affected by unanticipated events are provided with
Implement the National Urban Development emergency financial assistance for the construction
and Housing Framework (NUDHF) 2017-2022. or rehabilitation of their houses.
With lessons from the past two decades, the recent  
iteration of the NUDHF provides a more cohesive Strictly monitor the implementation of risk-
framework with emphasis on making urban spaces based public health standards in housing and
greener and more inclusive. It recognizes the role urban development-related activities. As part of
of urbanization in creating more open, connected, the health protocols imposed by the government,
and collectively resilient communities. These will the DHSUD will monitor the strict implementation
be incorporated in CLUPs, zoning ordinances, of the recently-issued DO No. 2020-005 dated
comprehensive development plans, and LSP, which May 14, 2020. The policy provides guidelines for
will guide urbanization that supports equitable all developers and other entities on the mandatory
growth and promotes uniquely Filipino cities and minimum requirements, as well as inspection and
municipalities. In the next two years, the DHSUD monitoring procedures in the commencement
will issue a Department Order (DO) or a Joint or resumption of their real estate business,
Memorandum Circular to mandate concerned development and construction operations, and
NGAs and LGUs to implement and monitor in activities in areas covered by the community
adherence to the NUDHF. quarantine due to COVID-19. The DHSUD and its
attached corporations will also issue guidelines to
ensure service continuity in housing and auxiliary
services delivery during the pandemic.

Chapter 12 Building Safe, Resilient, and Sustainable Communities | 225


Include production of safe, livable, and resilient Adopt viable land acquisition approaches. Land
housing in the COVID-19 recovery and resiliency banking, especially for urban socialized housing,
program. The activities of the housing sector are will be scaled up as government prioritizes in- and
recognized as an economic pump-primer because near- city approaches to resettlement. Likewise, the
of the over 80 allied industries involved. Housing use of the modalities of usufruct or long-term use
activities also contribute to total employment, of land will be expanded to enhance affordability of
generating substantial direct employment with socialized and low-cost housing programs due to
an average of 8.3 laborers for three weeks or 124 lower land development cost.
person-days per housing unit – an average of
approximately 5 percent of the country’s total
employment. Through continuous production of Adopting alternative housing
housing units, more employment opportunities are solutions for low-income
generated for laborers and other workers involved
in the housing industry. Given the economic and market
social contribution of housing, it is imperative that
the government elevate the human settlements To make housing more affordable for low-income
and urban development programs, as part of the market, alternative housing solutions will be
COVID-19 recovery and resiliency plan, and ensure adopted.
its continuous delivery of services.
Implement innovative housing finance
Implement unified seamless digitalized housing modalities. Recognizing the importance of
development transactions processing for housing microfinance, as a pro-poor housing
homebuyers and developers. This shall include finance strategy with the potential to incorporate
review of procedures to streamline and digitalize climate and disaster resilience, the DHSUD will
the issuance of housing-related licenses, clearances, formulate institutional and policy reforms to
and permits in light of COVID-19. Housing one- accelerate housing microfinance as the primary
stop processing centers will be established in every pro-poor housing finance strategy. It will, likewise,
region to fast-track processing of housing-related identify potential products to provide credit that
permits, clearances, and licenses issued by the encourages disaster-resilient housing and support,
NGAs and LGUs. The aim is to further streamline in post-disaster reconstruction of damaged housing.
the 78 government-related transactions that take Alongside this, the implementation of the Tax
about 48 months, on average, in compliant with the Reform for Acceleration and Inclusion (TRAIN) Act
Ease of Doing Business and Efficient Government (RA 10963), which rationalizes the tax incentives
Service Delivery (EODB-EGSD) Act of 2018 (RA system for socialized housing, will develop direct
11032) and the Anti Red Tape Act (ARTA) of 2007 subsidies through housing vouchers, public rental
(RA 9485). housing, housing microfinance models, and Islamic
financing schemes. A feasibility study and pilot
Upscale high-density housing programs in highly implementation of the housing voucher and public
urbanized cities (HUCs). High-density housing rental housing modalities will be pursued by the
solutions such as low-rise (3-5 storeys), medium- DHSUD. Partnership with the private sector for
rise (6-10 storeys), and high-rise (above 10 storeys) incentivized compliance with the Balanced Housing
buildings to maximize housing production per provision under RA 7279, as amended by RA10884,
unit of land, especially in HUCs, will be expanded. to mobilize funds for public housing of LGUs, as
The design of the structures should allow several an offshoot of the private developer’s compliance,
entry/exit points with adequate health and security with these laws shall be continuously explored.
protection for its residents. The units should have
adequate ventilation and space per person.

226 | Updated Philippine Development Plan 2017-2022


Strengthen primary mortgage markets and Stakeholders empowerment
develop more secondary ones. The current efforts
of Home Development Mutual Fund (Pag-IBIG) The DHSUD will empower stakeholders by
under the Affordable Housing Program (AHP) institutionalizing community-led/ driven
have proven to be effective. Lowering interest rates development of human settlements, as a cross-
from 6 percent to 3 percent increased socialized cutting strategy to ensure sustainability of its
housing loan take-outs from low-income Pag-IBIG program implementation. Specifically, the DHSUD
members. Sustaining the success of the Modified and its attached corporations will provide guidelines
Pag-IBIG (MP2) program implementation is for the strict observance of safety standards and
expected to expand the Pag-IBIG Fund’s fiscal health protocols in the conduct of peoples’ planning
space to enable it to finance more loan take-outs and other community-led/participatory approaches
and other loan services. On the other hand, to in human settlements development. This is to aid
accelerate the rollover of housing funds to provide in strengthening community cohesion, improving
a sustainable source of financing, the secondary community competencies for pre- and post-
mortgage programs of National Home Mortgage health action activities, and other disaster-related
Finance Corporation (NHMFC) need to be further activities, upgrading community areas through
strengthened and broadened, to include housing- site development and provision of infrastructure
related financial assets and not only limited (e.g., utilities, small roads/access roads, sewage
to home mortgages. In addition, marketing of systems), and capacitating community associations
NHMFC’s programs need to be intensified. For such as homeowners associations (HOAs), housing
instance, the MAginhawang BUhay sa baHAY cooperatives, and neighborhood associations, on
(MABUHAY) Program, a newly-introduced reverse estate management in a truly participatory and
mortgage program, needs to be widely promoted. sustained manner.
The MABUHAY allows senior citizens/retirees to
convert a portion of their home equity into cash in
order to address immediate financial needs.

Chapter 12 Building Safe, Resilient, and Sustainable Communities | 227


Legislative Agenda
To strengthen effectiveness of the strategies, the following legislative actions are needed:

Table 12.2 Legislative Agenda to Build Safe, Resilient, and Sustainable Communities

LEGISLATIVE AGENDA RATIONALE

Chapter Outcome: Safe, resilient, and sustainable communities built

Passage of the National Land This will establish a national land use framework that will define the indicative
Use Act (NaLUA) priorities for land utilization and allocation across residential, infrastructure,
agricultural, and protective uses and integrate efforts, monitor developments
related to land use, and evolve policies, regulations and directions of land use
planning processes.

Amendments to the NHMFC The proposed amendments will strengthen and broaden NHMFC’s mandate to
Charter include the development of a secondary mortgage market for housing-related
financial instruments/assets and issuance of housing related asset-backed
securities, as well as invest in housing-related financial instruments and other
investment vehicles.

Institutionalization of Local This will provide mandatory creation of Local Housing Boards in every city
Housing Boards and first to third class municipality to ensure full cascading of the government
housing policies and programs to the local government and ensure the sustained
implementation of national and local housing programs.

Strengthened National The proposed measure will renew the NHA Charter and strengthen its
Housing Authority (NHA) Act organizational structure and functions.

228 | Updated Philippine Development Plan 2017-2022


PART IV

INCREASING
GROWTHPOTENTIAL
(“PATULOY NA
PAG-UNLAD”)
13
Reaching for
the Demographic
Dividend Across
All Regions
CHAPTER 13

Reaching for the Demographic


Dividend Across All Regions
The Philippines made modest gains in facilitating the demographic transition, specifically in
reducing infant and under-five child mortality and women’s fertility rates. Key policies and
programs have been instituted and strengthened to improve access to adolescent sexual and
reproductive health. Legal impediments to the full implementation of Republic Act (RA) No.
10354 or the Responsible Parenthood and Reproductive Health (RPRH) Law have also been
addressed along with intensified efforts to meet the demand for family planning services.

In preparing the country’s human capital towards harnessing the demographic dividend, major
reforms to improve the delivery of nutrition and health services, and transformative education
have been put in place in the past three years. However, the socioeconomic impact of the
COVID-19 pandemic can reverse these gains. Moving forward, the government will implement
programs that will mitigate the pandemic’s short- and long-term effects while continuing to
address persistent issues on malnutrition, access to health services, and quality of graduates
for employment. These will allow the country to still reach the demographic dividend while
building a healthy and resilient Philippines.

Assessment and Challenges


Assessment: The elements necessary for accelerating planning and programming was strengthened
the demographic transition are already being through capacity-building among local chief
realized. Mortality rates among infants and children executives and planners on the collection of data
under five years old are decreasing. Improved access and conduct of censuses that can serve as inputs to
to modern contraception has also decreased local policy and program formulation. Reforms and
fertility rates. These can be attributed to policies investments for improving the quality of human
and programs that aim to accelerate the demographic capital to harness the demographic dividend were
transition along with the improved access to health also prioritized (e.g., Kalusugan at Nutrisyon ng
and education services (e.g., Kalusugan at Nutrisyon Mag-Nanay Act, First 1,000 Days Act, Universal
ng Mag-Nanay Act, RPRH Law, Zero Unmet Need Health Care [UHC] Act, and Universal Access to
for Family Planning [Executive Order 12 (EO) s. Quality Tertiary Education Act). The disruptions
2017], and the National Program on Population in health and education services amidst the
and Family Planning [NPPFP]). Integration of COVID-19 pandemic pose a threat to these gains
population and development in national and local and could worsen lagging indicators and outcomes.
development

Chapter 13 Reaching for the Demographic Dividend Across All Regions | 233
Challenges: Regional disparities remain in terms increased maternal mortality and increased birth
of reaping the demographic dividend due to rates, including adolescent or early pregnancies.1
uneven economic development and access to Closure of schools also highlighted the need to set
social services. There is persistent high incidence up and adopt new technologies and modalities in
of adolescent pregnancy, inadequate access to delivering education services. In addition, record-
family planning, commodities and services, and high unemployment and underemployment
poor nutrition outcomes as indicated by continued rates due to the pandemic will directly affect the
high levels of stunting and wasting among infants attainment of the demographic dividend. The
and children under five years old. The COVID-19 COVID-19 crisis also exposed gaps in population
pandemic has adversely affected every aspect and demographic databases at the national and local
of society, which could exacerbate these issues, level that would have facilitated the identification
reverse the gains achieved, and necessitate of target beneficiaries for government support
adjustments to cope with the new normal. During and for integrating population and development
the implementation of nationwide community initiatives in the country.
quarantine, sexual and reproductive health
services became inaccessible, which could lead to

Targets
The following table contains the updated Plan targets in accelerating the demographic transition and
maximizing the dividend. Some of these indicators are part of other Philippine Development Plan (PDP)
2017-2022 chapters and are also reflected here given their relevance.

Table 13.1 Updated Plan Targets to Reach for the Demographic Dividend

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

57.4
Age-dependency ratio decreased Decreasing Decreasing Decreasing Decreasing
(2016)

Sector Outcome 1: Demographic transition accelerated

5.6
Crude death rate (per 1,000 population) reduced Decreasing Decreasing Decreasing Decreasing
(2016)

Maternal mortality ratio (MMR) (per 100,000 live births) 95


** ** 108.0 108.0 2
decreased (2016)

31.0
Under-five mortality rate (per 1,000 live births) decreased ** ** 22.0 22.0
(2013)

1
The Department of Health (DOH) projected that the inaccessibility to sexual and reproductive health services can lead to between 47,000 to
253,000 additional unintended pregnancies and around 11,200 to 59,700 additional unsafe abortions for 2020. (DOH Family Planning Team,
“Family Planning and the COVID-19 Pandemic,” Presentation, 80th Regular Meeting of the of the National Implementation Team for the
Responsible Parenthood and Reproductive Health Law, May 28, 2020.) For adolescent pregnancies there might be a projected increase in incidence
by 6.3% or about 5,000 more adolescents who will become mothers. (UNFPA, “2020 World Population Day Presentation,” July 11, 2020.)
2
The COVID-19 pandemic is assumed to have an impact on the access of women to essential sexual and reproductive health services – that may
lead to an increase in deaths in 2020. Recalibration of the MMR target for 2022 is viewed to ensure the attainment of the country’s 2030 SDG
MMR target of 70 per 100,000 livebirths.

234 | Updated Philippine Development Plan 2017-2022


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Adolescent birth rate (aged 15-19 years) decreased 57.1


** ** 37.0 37.0
(number of births per 1,000 women in that age group) (2013)

Proportion of women who are using modern contraceptive methods increased (%)

23.5
All reproductive age women (15-49 years old) 28.0 29.0 30.0 30.0
(2013)

All reproductive age women (15-49 years old) 37.6


** 62.0 65.0 65.0
who are currently married or in union (2013)

Proportion of currently married women of reproductive age


35.0
(15-49 years old) who have unmet need for modern family ** ** 5.0 5.0
(2013)
planning (%) decreased*

Sector Outcome 2: Gains from the demographic dividend maximized

Life expectancy at birth increased (years)

69.63
Male ** ** 71.3 71.3
(2015-2020)

75.91
Female ** ** 77.5 77.5
(2015-2020)

Prevalence of stunting among children 33.4


** 29.8 28.8 28.8
under five decreased (%) (2015)

10
Mean years of schooling increased N/A N/A 11.3 11.3
(2018)

Proportion on learners achieving at nearly proficient in National Achievement Test (NAT) increased (%)

16.0
Grade 6 26.0 34.0 44.0 44.0
(2018)

34.0
Grade 10 43.0 52.0 61.0 61.0
(2018)

14
Grade 12 13.0 19.0 28.0 28.0
(2018)

Proportion of learners completing levels of education (completion rate) increased (%)

97.0
Kinder to Grade 6 97.0 97.0 98.0 98.0
(2019)

77.0
Grade 7 to 12 82.0 83.0 84.0 84.0
(2019)

Female drop-out rate (school leaver) decreased (%)

4.43
Junior High School Decreasing Decreasing Decreasing Decreasing
(2016)

Chapter 13 Reaching for the Demographic Dividend Across All Regions | 235
TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

2.89
Senior High School Decreasing Decreasing Decreasing Decreasing
(2018)

Certification rate of Technical and Vocational


91.3
Education and Training (TVET) graduates 86.0 92.0 92.0 92.0
(2016)
(15-24 years old) increased (%)

Percentage of youth not in employment, education or 23.0


17.5-19.5 18.0 – 20.0 17.0 – 19.0 17.0 – 19.0
training (NEET) decreased (%) (2015)

50.1
Labor force participation rate of women increased (%) 50.5 48.0 – 50.0 48.5 – 50.5 48.5 – 50.5
(2015)

*
Computed as unmet need for modern family planning plus traditional contraceptive use.
**
Responsible Agencies (e.g. Department of Health [DOH], Commission on Population and Development [POPCOM], and Department of Education [DepEd]) did
not provide annual targets for these indicators as data were not available for these years.

Strategic Framework
Figure 13.1 Strategic Framework to Reach for the Demographic Dividend

236 | Updated Philippine Development Plan 2017-2022


Strategies
With key reforms and policies instituted, full Achieving wanted fertility rates
and intensified implementation of strategic
interventions will be pursued to enable all regions Population management and reproductive health
to reach the demographic dividend. The focus policies and programs will be strengthened to
will be on reducing adolescent pregnancy and assist couples and individuals achieve their
addressing unmet demand for family planning desired number of children (wanted fertility rate)
among couples and individuals. Efforts to prepare within the context of responsible parenthood
the country’s human capital will likewise be and informed choice. These include the
sustained along with supportive strategies for intensified implementation of the NPPFP, which
improving savings build-up and ensuring the involves collaborative management between the
integration of population and demographic factors Department of Health [DOH] and the Commission
in development planning and programming. on Population and Development [POPCOM] and
Specific strategies and programs will be fast- coordinated efforts among partner government
tracked and prioritized in regions that have agencies (e.g., DepED, Department of the
yet to experience the demographic transition Interior and Local Government [DILG], etc.).
necessary for achieving the demographic dividend. Strengthened participation of local government
units (LGUs) and expanded partnerships with
civil society organizations (CSOs) will be pursued.
Accelerating demographic Development partners and the private sector will
transition across regions also be engaged to allow for effective and efficient
delivery of quality reproductive health and family
planning commodities and services.
Reducing mortality rates
The following are the specific strategies to achieve
Universal healthcare will be pursued with the wanted fertility rates:
implementation of the UHC Act to maintain the
downward trend in mortality rates, particularly Intensify demand generation and advocacy
among neonates, infants, and children under activities. A nationwide age-group focused
five years old. This will be complemented by the multimedia campaign will be pursued by the DOH
provision of appropriate nutrition and health and POPCOM to raise the level of awareness and
services for the first 1,000 days of life which knowledge on the importance and benefits of
includes appropriate care for mothers during family planning – from a health intervention to a
pregnancy, labor, and childbirth, essential care means to improve family outcomes. This entails the
for the newborn, optimal infant and young child development of a comprehensive and inclusive health
care and nutrition, immunization, and vitamin promotion and communication plan for family
supplementation for children, among others. As planning. Market-segmented demand-generation
mandated by the UHC Act, local health systems strategies at the national and subnational levels
will be strengthened, specifically the primary will be implemented, including hospital-, facility-,
care provider networks. There will be improved and community- based activities, in coordination
integration of province- and city- wide health with the LGUs. To further widen the reach of these
systems and networks under the stewardship activities while adhering to new normal protocols,
of the provincial and city health boards, which interactive forms of communication (e.g., telephone
will manage the special health fund. Adequate hotlines and online platforms) will be employed to
local investment to improve access to quality provide adolescent sexual and reproductive health
health services and resilience to any threats and information and counseling. Adolescent sexual
health emergencies will also be provided. and reproductive health and family planning (RP/

Chapter 13 Reaching for the Demographic Dividend Across All Regions | 237
FP) information will likewise be continuously Provide appropriate and innovative services,
incorporated in relevant programs and activities, including family planning, sexual, and
such as pre-marriage orientation and counseling, reproductive health for adolescents and the youth.
Pantawid Pamilyang Pilipino Program (4Ps) Family The high incidence of adolescent pregnancy is a
Development Sessions, and other programs for major concern that affects the country’s population
employees or RP/FP in the workplace conducted by growth and human capital development (e.g., poor
the Department of Labor and Employment (DOLE) health condition and nutritional status for mothers
and the Civil Service Commission (CSC), among and infants, poor education outcomes, etc.). Hence,
others. to prevent unplanned repeat pregnancies, age-
appropriate adolescent sexual and reproductive
Strengthen provision of family planning services, health services, including family planning, will be
adolescent sexual and reproductive health provided to sexually active adolescents and those
commodities and services. To match the demand who have already given birth. Social determinants
for RP/FP services, accessibility and availability of of adolescent pregnancy will be given attention by
commodities and services will be expanded. Areas identifying and addressing contextual factors that
and populations with high unmet demand for influence early coitus and pregnancy. The focus
such commodities and services will be prioritized. will be on ensuring the full implementation of the
Appropriate health personnel and facilities within a Comprehensive Sexual Education (CSE), in line
functioning healthcare provider network to provide with the RPRH Law. This includes the provision
services will be made available to all. Family planning of appropriate learning materials and modules,
logistics management will also be strengthened continuous capacity-building of adult partners (i.e.,
in all public service delivery points through teachers, parents/guardians, and CSOs), and the
interoperable commodities tracking system across creation of a CSE parent education module to be
national and local facilities. In times of emergencies introduced in Parent-Teacher Association meetings.
and other disasters, the Minimum Initial Service Adolescent-friendly health service packages will
Package (MISP)3 for sexual and reproductive also be developed to address the age group’s unique
health services will be provided. Postpartum family needs in terms of correct information and access to
planning and family planning outreach missions adolescent sexual and reproductive health services,
and counseling services will also be intensified. including human immunodeficiency viruses (HIV).
These activities will be implemented along with the
The participation of LGUs, specifically those establishment and sustainability of teen centers
with high incidence of unplanned pregnancies, is and adolescent-friendly facilities or spaces in LGUs
key in the implementation of these strategies. As and schools, and developmental activities for the
such, there will be continued capacity building youth (e.g., sports, socialization, volunteerism,
of local stakeholders specifically for local chief etc.). These will be recalibrated and temporarily
executives, local health officers, and local health moved online during the COVID-19 pandemic.
service providers. Community volunteers, local Innovative and interactive forms of communication
government health workers, and private sector strategies to reach the youth will also be employed,
providers will be capacitated in delivering family such as the use of social media and other online
planning and reproductive health services (i.e., media platforms, cellphone applications, and call or
Family Planning Competency-based Training text hotlines. Youth-oriented TV and other media
for health providers). Local chief executives will programs will be developed to reach the youth
also be provided with leadership and governance and encourage them to make productive use of
capability-building programs for health that can their time. To this end, coordinated efforts among
improve local health systems and make them more concerned government agencies will be pursued,
responsive to the health needs of their constituency. including the mobilization of and capacity-building

3
The MISP covers services for safe motherhood, family planning, sexually transmitted infections (STI) and HIV/acquired immunodeficiency
syndrome (AIDS), and gender-based violence per DOH Administrative Order 2016-0005.

238 | Updated Philippine Development Plan 2017-2022


for the Sangguniang Kabataan (youth council) to to make it more resilient and accessible. These
promote adolescent sexual and reproductive health measures include wider use of telehealth and
and youth development programs among their improvement of epidemiological and surveillance
constituency. capacities to respond to disasters and pandemics
(see Chapter 10).

Maximizing gains from A healthy and well-nourished population is not


the demographic dividend enough to drive productivity – there is also a need
to cultivate an educated and competitive labor
in all regions force. A key strategy will be strengthening early
childhood care and development programs, in
Optimizing the increasing labor force for more line with the Global Nurturing Care Framework
productive economic output requires quality through early stimulation and early intervention
human resources. Thus, it entails the improvement from birth to three years old to prepare them for
of health and nutrition, education, and total basic education. Basic education programs will
well-being of the human capital. Labor force be inclusive for vulnerable groups and those
participation and employment opportunities in not covered by formal education through the
all regions will be enhanced, focusing on Alternative Learning System. Activities such as
the youth and women, towards countryside the updating of higher education curriculum
development. Savings rates among households and the development of new programs (e.g., data
will also be increased through expanded access science, nanotechnology, machine learning, green/
to financial products. Finally, to ensure that the renewable energy engineering, etc.) will be initiated
demographic transition will be planned for, there to increase responsiveness to the demands of the
will be continuous integration of population and Fourth Industrial Revolution (FIRe). The use of
development, along with health and environment flexible learning options 4 will be expanded and
aspects, in the development planning and institutionalized to reach more Filipino learners
programming at the national and local levels. and to reduce contact and COVID-19 transmission
(see Chapter 10).

Improving quality of human capital


Increasing youth and female
Intensify health programs and widen access labor force participation
to education. To improve the quality of human
capital, the two-fold strategy of enhancing health, There are already potentials for growth following
nutrition, and education outcomes needs to be the possible demographic transition but these
sustained. For health and nutrition outcomes, the may be irrelevant if the population seeking
focus will be on providing maternal, newborn, employment cannot be productively employed.5
and child health services, and school and Therefore, the following strategies will be pursued:
community nutrition programs. Health and
nutrition interventions for mothers, infants, and Create more jobs and economic opportunities
young children will be expanded, in line with for the youth and women. As the working-age
the implementation of the First 1,000 Days Law. population is expected to increase, especially
Reforms in the country’s healthcare system will the youngest group, they will be capacitated
be pursued with the implementation of the UHC and provided access to productive employment.
Law and the introduction of innovative measures To ease the youth’s transition from school to

4
Flexible learning options include open distance learning, blended learning, homeschooling, television- and radio-based instruction, and satellites
for off-grid areas.
5
Michael R.M. Abrigo, et al., “Are We Missing Out on the Demographic Dividend? Trends and Prospects,” Discussion Paper Series No. 2018-43,
Philippine Institute for Development Studies, December 2018.

Chapter 13 Reaching for the Demographic Dividend Across All Regions | 239
work – internships, apprenticeships, and dual- all. These include the provision of products and
training programs will be strengthened and services that will support savings build-up through
expanded. Stronger government-industry- access to savings, checking, and current accounts,
academe linkage will be forged and sustained to pensions, and youth micro-deposits.6 Widespread
achieve these. Employment facilitation for this adoption of these formal financial services will be
age cohort will also be improved by providing pushed through the use of digital payments that
assistance such as coaching, career advocacy, will make transaction accounts relevant, valuable,
and counseling. These will be offered through and inclusive. This will be complemented by
online platforms to make it accessible during consumer empowerment through digital financial
the pandemic. Promoting the use of existing labor literacy, among others. During the pandemic,
market programs including technology-based online courses, webinars, and e-conferences will
mechanisms, such as the PhilJobNet, can also help be employed to improve the population’s economic
in their employment. Upon employment, their and financial literacy (see Chapter 15).
productivity can be further improved by building
and strengthening employee and enterprise
Improving population and development
capacities. Health and safety in the workplace will
integration and youth participation
also be promoted by crafting support mechanisms
to address psychosocial risks and work-related
Integration of population factors in development
stress and providing reproductive health and
initiatives, planning, and programming will be
modern family planning services to workers
pursued through various channels – specifically
(see Chapter 10).
in localizing and teaching population and
development concepts (including the demographic
Aside from the youth, specific focus will also be
dividend) to local chief executives. There will
given to women’s participation and retention
be continuous inter-agency collaboration for
in the labor force, which is only 47.6 percent
synergized implementation of key strategies
of all women of working age in 2019. Female
identified in the PDP 2017-2022 towards achieving
labor force participation will be increased by
the demographic dividend. Various support,
intensifying monitoring and ensuring compliance
such as the provision of capacity building and
of corporations to laws, policies, and programs
mentoring, will also be extended to national
that foster women’s participation and retention
government agencies and LGUs in integrating
in the workforce (e.g., Expanded Maternity Leave
population and development in their sectoral and
Act and the Family Welfare Program). Women’s
local development plans. Sustainable development
access to formal employment opportunities will
will be pursued through an integrated population,
also be advanced, including entrepreneurship
health and nutrition, and environment approach
through e-commerce. Flexible work arrangements
in carrying out initiatives for reaping the
such as compressed workweek and alternative
demographic dividend (see Chapter 20).
worksites will likewise be explored. There will also
be a continuous push for affordable and accessible
New methods of collecting population data
childcare support mechanisms like daycare
in the LGUs will be identified and sustained.
and child-minding facilities and services (see
For example, a harmonized and interoperable
Chapter 10).
Local Migration and Information System will be
institutionalized, maintained, and utilized for
Improving savings build-up planning and programming, especially in urban
areas. The LGUs will also be supported in the
The government will provide effective access to a collection of population and development-related
wide range of financial products and services for data through the Community-Based Monitoring

6
National Strategy for Financial Inclusion

240 | Updated Philippine Development Plan 2017-2022


System (CBMS)7 and other local data collection promotes protected areas and biodiversity
mechanisms. These mechanisms will provide conservation through watershed management,
local-level data that will guide the implementation natural resource management, and sustainable
of national programs targeted at developing agriculture. Integrated PHE projects implemented
LGUs (e.g., Balik Probinsya, Bagong Pag-asa in the past proved to be cost-effective, high impact,
[BP2] Program). These will also allow the LGUs and have contributed to sustainable development.8
to facilitate the formulation of more effective and
targeted local plans, policies, and programs and As the country moves towards a transition that
adequately respond to shocks and disasters, such as will be characterized by a “youth bulge,” data will
pandemics. be made available and accessible for crafting the
most relevant, appropriate, and effective policies
Policies and programs that will drive countryside and programs for this age group. Their active,
development will be pursued to allow all regions meaningful, and holistic participation in society
to maximize the gains from the demographic will also be strengthened by involving them in the
dividend. The BP2 Program will be implemented to conceptualization and implementation of programs
promote balanced urban and regional development. and policies across the following sectors: (a) health;
It aims to incentivize reverse migration such that (b) education; (c) economic empowerment; (d)
people from megacities will move back to the rural social inclusion and equity; (e) peace-building
areas (see Chapter 3). To ensure that these areas will and security, (f) governance, (g) citizenship; (g)
complete the demographic transition and maximize environment; and (h) global mobility. 9 Young
the possible dividends, the necessary social people represent a valuable resource and network
services, livelihood opportunities, market and during crises and public health emergencies. With
value chain development, and human resource the right information and training, they can be
development will be set in place. These changes mobilized to assist in government response – in
along with new resource needs will be reflected in the case of pandemics, to help break the chain of
the participating LGUs’ local development plans. infection.10

The integrated Population-Health-Environment


(PHE) approach in community projects will be
promoted and supported during the pandemic,
when a lot of Filipinos have lost their jobs
and most are returning to their places of
origin. The PHE is an integrated approach in
community development that acknowledges
the connections between families, their health,
and the environment. The population component
focuses on giving access to reproductive health
and family planning information and services
to men and women of reproductive age. The
health aspect involves provision of quality health
services, child health and nutrition, water, and
sanitation; while the environment component

7
Per the CBMS Act of 2018 (RA 11315).
8
Population Action International, Integrated PHE More than the Sum of its Parts, 2014.
9
National Youth Commission, Philippine Youth Development Plan 2017-2022. 2017.
10
United Nations Population Fund (UNFPA), Adolescents and Young People & COVID-19, March 2020; UNFPA, “COVID-19 Preparedness and
Response,” UNFPA Interim Technical Brief, March 23, 2020.

Chapter 13 Reaching for the Demographic Dividend Across All Regions | 241
Legislative Agenda
Table 13.2 Legislative Agenda to Reach for the Demographic Dividend

LEGISLATIVE AGENDA RATIONALE

Institutionalization of This will provide the establishment and operation of population offices to allow
Local Population and effective implementation of population management strategies and measures at
Development Policy the local level.

Prevention of Adolescent This will facilitate the development of a National Program of Action and Investment
Pregnancy Plan for the prevention of teenage pregnancy. The program of action will serve as a
national framework for inter-agency and inter-sectoral collaboration at all levels to
address the various health, cultural, socioeconomic, and institutional determinants
of teenage pregnancy. The policy may be issued in the form of either an EO or a RA.

242 | Updated Philippine Development Plan 2017-2022


14
Vigorously
Advancing
Science,
Technology, and
Innovation
CHAPTER 14

Vigorously Advancing Science,


Technology, and Innovation
The Science, Technology, and Innovation (STI) sector has already been faced with issues
that have prevented it from reaching its full potential even before the COVID-19 pandemic.
Nonetheless, several reforms to drive the STI sector towards greater advancement were
instituted, as a result of the increased collaboration of STI stakeholders. Among these are the
Philippine Innovation Act, Philippine Startup Act, Philippine Space Act, and the Balik Scientist
Act.

With the emergence of COVID-19, there is a need to advance STI that contributes to the
attainment of a healthy and resilient Philippines. This will include the rollout of technologies
that will help address the pandemic. Moreover, the procurement process of STI programs,
projects, and activities (PPAs) will be reviewed and refined for timely implementation and
greater impact. Various government support services for startups and micro, small, and
medium enterprises (MSMEs) will also be ramped up to help them become more innovative
and resilient in times of crisis. The establishment of the National Innovation Council (NIC),
which is seen to guide the country towards long-term STI development, will also be fast-
tracked.

Assessment and Challenges


Assessment. The linkages among the players in legal mechanisms, costly development of IPs,
the STI ecosystem remain limited despite some long processing time of IPs, among others. Other
significant strengthening of collaboration among challenges include inadequate research and
the government, academe, and industry in the development (R&D) infrastructure, especially
past year. Furthermore, the problem of slow in the regions, and slow implementation of STI
commercialization of outputs of STI activities and projects, due to procurement concerns and complex
its underutilization persist. This may be partly due administrative requirements.
to the absence of a vibrant intellectual property (IP)
culture brought about by issues in IP ownership, The country also continued to underinvest in R&D1
lack of a legally-sanctioned payment mechanism and there is also low level of awareness on the results
for financial contributions and familiarity on of R&D activities and the government’s support

1
  Based on the latest available data from the Department of Science and Technology - Planning and Evaluation Service (DOST-PES) (as of January
2019), the Philippines’ overall R&D expenditure slightly grew to 0.16 percent of Gross Domestic Product (GDP) in 2015 from 0.14 percent in
2013. However, this still reflects low R&D expenditure relative to the country’s Association of Southeast Asian Nations (ASEAN) peers. This is
also way below the 1 percent R&D spending share to GDP benchmark for developing countries recommended by the United Nations Educational,
Scientific, and Cultural Organization (UNESCO).

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 245


mechanisms to help firms become more innovative. and provide more resources to STI, as science-
Information dissemination campaigns, particularly based methods and solutions will be needed more
on available technologies, remain inadequate and than ever in the new normal to curtail, mitigate,
fragmented.2 With these, many sectors still do and respond to emerging challenges and potential
not recognize, appreciate, and understand the use catastrophes whether man-made or natural. The
of technology and science-based information in health sector, in particular, will be among the major
their daily activities, which is exacerbated by the gainers in this advancement of the sciences in the
dwindling interest in science among the youth, country.
inaccessible scientific information, and the lack of
a conducive environment to develop an STI culture. There will be increased interest in using advances
in biology and medical science in the new normal.
Based on the World Economic Forum (WEF) Similar to the development of COVID-19 testing
Readiness for the Future of Production Report kits by local scientists, there will be greater efforts
2018, the Philippines is not yet prepared to to find ways to manage pandemic situations via
manage the Fourth Industrial Revolution (FIRe), STI. Among these are means by which mass
as manifested in its weak performance across the testing can be facilitated, including the design
drivers of production, which include technology and manufacture of medical equipment that
and innovation, human capital, global trade and can aid in the treatment of patients, such as
investment, institutional framework, sustainable ventilators, among others. Moreover, the demand
resources, and demand environment, among for health-related technologies (i.e., sanitation
others.3 For instance, the number of the country’s booths, contact-tracing applications, and other
researchers for every one million population researches related to the treatment or response to
declined to 200 in 2015 from 270 in 2013. This is the pandemic) is seen to increase. As companies,
also lower than the United Nations Educational, schools, and government agencies implement
Scientific, and Cultural Organization (UNESCO) work from home arrangements, the use of digital
norm of 380 per million population and the East technology will rise significantly. In addition,
Asia and the Pacific average of 1,020 researchers per online business transactions and digital payments
million population. In monitoring the performance will increasingly become a necessity rather than
of the STI ecosystem, the existing data on STI are convenience. All these need to be supported by a
still not enough to keep track and monitor the reliable digital infrastructure system with strong
sector’s progress and performance. cybersecurity protection. In the production sector,
there will be increased demand for automation
Challenges. The adverse spillovers of the prolonged and digitalization to supplement manual labor
pandemic to the economic sector could bring in the immediate term. Over the medium term,
about a reduction of available resources for STI automated and digitalized processes may substitute
since the government will now be more focused on for labor.
addressing the most immediate concerns. However,
this is also the opportune time to further strengthen

2
  Fatima Lourdes E. Del Prado and Maureen Ann D. Rosellon, “Technology and Knowledge Transfers in Production Networks: Case Study on
Philippine Food Manufacturing Firms,” Discussion Paper Series No. 2017-08, Philippine Institute for Development Studies (PIDS), March 2017.
3
  As the study defined, “production” involves a broad spectrum of economic activities related to manufacturing products and goods. A full end-to-
end appraisal of what it entails reveals the following sequence: Design-Source-Manufacture-Assemble-Distribute-Service-End of Use-Cycle. On
the other hand, “readiness” is generally regarded as the ability to capitalize on future production opportunities, mitigate risks and challenges, and
be resilient and agile in responding to unknown future shocks.

246 | Updated Philippine Development Plan 2017-2022


Targets
Table 14.1 shows the indicators and medium- generation, acquisition, and adoption will be
term targets for each major outcome under this gauged based on the country’s WIPO - Knowledge
chapter. However, these indicators are limited only and Technology Outputs percentile rank of the
to those that have available data. The increase in country, R&D expenditure as a proportion of gross
STI application in agriculture, industry, services, domestic product (GDP), number of researchers per
and health sectors will be measured based on the million population, number of Science, Technology,
increase in the expenditure and in the number Engineering, and Mathematics (STEM) enrollees
of intellectual property products that have and graduates in higher education institutes
been registered and filed. In the same way, the (HEIs), and the number of Balik Scientists engaged.
investments in STI-based startups, enterprises, Likewise, the strength of the open collaboration
and spin-offs will be assessed based on the World among actors in the STI ecosystem will be
Intellectual Property Organization (WIPO) - determined based on the WIPO University-Industry
Investment Index percentile rank of the country Collaboration percentile rank and the number of
and the number of technology business incubators collaborations among the HEIs, industries, and the
(TBI) graduates and innovation hubs (e.g., TBIs, government.
innovation centers, niche centers, etc.) established.
The creative capacity for knowledge and technology

Table 14.1 Updated Plan Targets to Vigorously Advance Science, Technology, and Innovation

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Sector Outcome 1: Scale-up technology adoption

Subsector Outcome: STI application in agriculture, industry, services, and health sectors increased

Proportion of intellectual property products expenditures 0.46


Increasing Increasing Increasing Increasing
to GDP increased (%)b/ (2016)*

Number of Filipino patents granted increased 30


38** 30*** 38*** 38***
(incremental)a/ (2016)

Number of Filipino utility models registered increased 552


727** 584*** 750*** 750***
(incremental)a/ (2016)

Number of Filipino industrial designs registered 508


627** 494*** 622*** 622***
increased (incremental)a/ (2016)

245
Number of Filipino patents filed increasedb/ 348** 353*** 394*** 394***
(2016)

1,100
Number of Filipino utility models filed increasedb/ 1,862** 1,380*** 1,848*** 1,848***
(2016)

959
Number of Filipino industrial designs filed increasedb/ 910** 675*** 873*** 873***
(2016)

Number of Filipino patents filed under 2


3 3 4 4
Patent Cooperation Treaty (PCT) increasedb/ (2018)

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 247


BASELINE VALUE TARGETS
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Subsector Outcome: Investments in STI-based start-ups, enterprises, and spin-offs increased

Global Innovation Index (GII) – Investment Index 17


22 24 25 25
percentile rank improvedd/ (2016)

Number of TBI graduates increased 41


Increasing** 230*** 270*** 1,000***
(i.e., enterprises and spin-offs)a/ (2016)

Number of innovation hubs increased 23


63 108*** 128*** 128***
(e.g., TBIs, innovation centers, niche centers, etc.)a/ (2016)

Sector Outcome 2: Accelerate Innovation

Subsector Outcome: Creative capacity for knowledge and technology generation, acquisition, and adoption enhanced

Top 58%
Overall Global Innovation Index (GII) rank improvedc/ Top 38%** Top 35% Top 33% Top 33%
(2016)

GII-Knowledge and Technology Outputs percentile 66


Top 33% Top 33% Top 33% Top 33%
rank improvedd/ (2016)

R&D expenditure as a proportion of GDP increased 0.16


0.35 0.40 0.50 0.50
(in percent, incremental)a/ (2015)*

Number of researchers per million population increased 200


290 295 300 300
(incremental)a/ (2015)*

Number of STEM enrollees in HEIs increased 1.29


1.7 1.59 2.03 2.03
(in million, incremental)a/ (AY 2015-2016)

183,000
Number of STEM graduates in HEIs increaseda/ 50,000 113,000 318,000 318,000
(AY 2015-2016)

Number of Balik Scientists engaged increased 25


46** 101*** 151*** 151***
(incremental)a/ (2016)

Subsector Outcome: Open collaboration among actors in the STI ecosystem strengthened

GII University-Industry Collaboration percentile 52.5


Top 49% Top 49% Top 49% Top 49%
rank improvedd/ (2016)

Number of collaborations between HEIs and industries 70


120 130 150 150
increased (incremental)a/ (2014)

Number of collaborations between HEIs and government


300
increased (National Government Agencies [NGA] and 450 480 500 500
(2015)
LGUs) (incremental)a/

Number of STI-related international cooperations of HEIs 40


80 95*** 100 100
increased (incremental)a/ (2015)

a/
Original indicators set/approved in 2016 (https://neda.gov.ph/pdp-results-matrices/2017-2022/).
b/
Indicators set/approved before the pandemic (abridged version as of March 2020)
c/
New indicators set/approved after the March 2020 version.
d/
Original indicators set/approved in 2016 but with the terms corrected.
* Revision in baseline data.
**2020 original targets set/approved in 2016/prior to the pandemic retained.
*** Revisions in targets for the remaining years of the Plan period.

248 | Updated Philippine Development Plan 2017-2022


Strategic Framework
Many of the strategies under this Chapter were up technology adoption, STI application in the
refined to address the problems posed by the agriculture, industry, services, and health sectors,
pandemic and also considered the existing and as well as investments in STI-based startups,
anticipated problems of the STI sector. As such, enterprises and spin-offs, will be increased. These
STI is deemed to contribute to the achievement applications primarily cut across PDP Chapters 8,
of the overall Philippine Development Plan (PDP) 9, and 10. To accelerate innovation, the creative
goal of “Healthy and Resilient Philippines” by capacity for knowledge and technology generation,
increasing the country’s growth potential. This will acquisition, and adoption will be enhanced,
be done by scaling-up technology adoption and and open collaboration among actors in the STI
accelerating innovation to address the potential ecosystem will be strengthened.
challenges ushered in by the new normal. To scale-

Figure 14.1 Strategic Framework to Vigorously Advance Science, Technology, and Innovation

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 249


Strategies
Scaling-up technology platforms, support mechanisms to businesses/
entrepreneurs (e.g., Negosyo Centers),
adoption entrepreneurial organizations (e.g., Philippine
Chamber of Commerce and Industry), SUCs
Increasing STI application in agriculture, and HEIs offering business/entrepreneurial
industry, services, and health sectors courses, offices of LGUs (e.g., city/barangay
halls issuing business permits/licenses), and
Promote commercialization and utilization of others, as venues to introduce research outputs
technologies from publicly-funded R&D. of the government and the academe that are
ready for adoption, as well as the different
• Intensify the rollout of available technologies support services of the government, to startups
that can be used during pandemic, state of and MSMEs to help them become more
calamities, emergencies, and the transition to innovative.
the new normal. The government will conduct
an inventory for possible scale-up, promotion, • Formulate public procurement guidelines for
and dissemination of available technologies STI PPAs consistent with the Government
(e.g., technologies for prolonged food shelf- Procurement Reform Act (GPRA) (RA
life, possible alternative materials for personal 9184). The NIC, in coordination with the
protective equipment, e-vehicles, renewable Government Procurement Policy Board
energy technologies, digital technologies, (GPPB), will review and identify problems in
information-sharing mobile applications and the current procurement process for STI PPAs
portals, information technology (IT) facilities, and suggest solutions on how to resolve these
telemedicine technologies, COVID-19 tracking constraints. This will entail the issuance of
and monitoring technologies, contract tracing procurement guidelines consistent with RA
report system, and disease spread modeling 9184 that will ensure efficiency, transparency,
technologies, among others). Shared service timeliness, and relevance in the procurement
facilities and other existing STI support process for STI PPAs (e.g., creation of special/
infrastructure will be utilized for mass separate procurement process for certain STI
production. Moreover, the government will projects). This strategy will be prioritized and
incentivize, subsidize, and support researchers implemented with urgency, in light of the
and research institutions that will engage current pandemic and possible occurrences of
in R&D related to development of test kits, disasters, epidemics, and other emergencies.
medical equipment, vaccines (e.g., COVID-19  
vaccine), medicine, and others. • Operationalize the Filipinnovation Portal.4 The
government will fast-track the establishment of
• Utilize innovation hubs, business support the Filipinnovation portal which will serve as a
mechanisms, state universities and colleges repository of government and academic research
(SUCs), private HEIs, and LGUs to promote and innovation outputs. These research outputs
technologies and government support to in the portal will be segregated by sector/areas
innovation activities. The government (e.g., farming, fisheries, industrial applications,
will actively use innovation hubs, online energy, services, health, construction, food

4
  The preparation of the Innovation Portal is being supported by the Global Innovation Policy Accelerator. The Global Policy Accelerator program
is funded through the United Kingdom government’s Newton Fund and delivers executive development to national cohorts of senior policymakers
from the main innovation institutions, while strengthening the implementation capabilities of their teams. (https://www.nesta.org.uk/ project/
global-innovation-policy-accelerator/)

250 | Updated Philippine Development Plan 2017-2022


production, digital technologies, and national from publicly-funded R&D, the transfer or
security and defense, among others), for distribution of these technologies as a public
easier reference. The portal will also contain good will be encouraged. These technologies
government programs and projects that can will be transferred in a non-exclusive and non-
be availed to obtain support on innovation competitive manner where no licensing fees,
activities and scholarship programs. Access to technology fees, and/or royalty will be charged
the portal will be free for all Filipinos. Once or collected. The provision of free technologies
operational, it will be aggressively promoted to to target users such as farmers, fisherfolk, and
the public and will be regularly monitored and small-scale industries, among others intends
updated, as needed. It will also be integrated and to upgrade their processes and operations for
harmonized with the other existing innovation improved productivity.
websites of the government such as the Startup
Philippines website. Develop a vibrant intellectual property rights
culture.
Alongside this, the government will launch an
interactive communication strategy or platform • Expand the network of Innovation and
where STI results, initiatives, and efforts are Technology Support Offices (ITSOs) and
highlighted and communicated to Filipinos for enhance and develop its capacities to do online
their feedback. transactions. The Intellectual Property Office
of the Philippines (IPOPHL) will continue to
• Increase public awareness on R&D activities. establish more ITSOs throughout the country
To become more effective in communicating and further enhance the capacities of existing
and raising awareness on R&D, investments ITSOs to guide innovators/inventors — from
in promotions and communications will be IP creation, protection, to commercialization,
increased. The government will maximize thus, improving patent applications’
the use of information and communications performance. In addition, the IPOPHL will
technology (ICT)/online platforms in capacitate the ITSOs to do their transactions/
the conduct of technology transfer and services online to assist clients (e.g. inventors)
commercialization programs, such as science remotely.
fairs, exhibits, invention contests, and
technology transfer days, among others, to • Streamline and rationalize administrative
help publicize and commercialize the existing and registration procedures to remove
technologies from the government, academe, several barriers to innovation. To encourage
and the industry. Technology promotions and improve innovation, the IPOPHL, in
under these initiatives will be conducted by coordination with the NIC, will streamline
sector/area (e.g., agriculture, industry, services, and rationalize administrative and registration
farming, fisheries, industrial applications, procedures. It will also undertake programs
energy, services, health, construction, food to assist MSMEs in the registration of patents,
production, digital technologies, national layout designs, registration of trademarks, and
security, and defense, among others). Face- geographical indications and other marks of
to-face/physical technology transfer and ownership, industrial designs, utility models,
commercialization programs will still be and deposit of copyrights. The IPOPHL
continued in accordance with appropriate will develop and provide the necessary IT
social distancing measures. infrastructure so that bulk of its services,
processes, and procedures can be done online.
• Ensure that the transfer or distribution of Reforms on these initiatives will be reported to
technologies as a public good will be on a the NIC for effective monitoring and tracking
non-exclusive and non-competitive basis. To of results. Under the new normal, e-commerce
ensure greater access to technologies generated platforms are expected to be on the rise, thus, the

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 251


IPOPHL will also strengthen IP enforcement academe-industry collaborations and industrial
on virtual platforms. competitiveness through the Collaborative
R&D to Leverage Philippine Economy
• Increase public awareness of the National (CRADLE) and Business Innovation through
Intellectual Property Strategy (NIPS) and steer S&T (BIST) Programs. The Department of
its adoption. The NIPS is the government’s Science and Technology (DOST) recently
main action plan in creating a robust intellectual launched the CRADLE Challenge 2020 inviting
property regime, with strategies proposed for HEIs/RDIs to partner with Filipino private
regulation, administration, and enforcement companies to formulate solutions that can aid
of IP. The envisioned IP system under the NIPS our industries in overcoming the challenge of
is seen to be more systematic, comprehensive, the new normal.5
and effective in delivering reliable service for
Philippine creators and innovators. Hence, • Establish and expand the funding mechanisms
the IPOPHL, in coordination with the NIC, provided under the Philippine Innovation
will conduct various awareness campaigns/ Act and the Innovative Startup Act. The
programs to promote the NIPS. Furthermore, government will invest in the growth and
the IP process (e.g., from application to development of startup enterprises and
commercialization) will also be made part of partner with the private sector to ensure
the curriculum in science and engineering availability of financing for startups. The
courses to increase awareness and encourage Startup Venture Fund and Startup Grant Fund
participation. under the Innovative Startup Act as well as the
Innovation Fund, Innovation Development
Increasing investments in STI-based Credit and Financing, and Credit Quota
startups, enterprises, and spin-offs under the Philippine Innovation Act will be
operationalized towards ease of access by
Encourage more innovative financing startups and MSMEs. The government will also
mechanisms and private sector investments. require financial institutions to dedicate four
percent of their available credit for startups and
• Institutionalize the implementation of MSMEs, as promulgated under the Philippine
the Science for Change Program (S4CP). Innovation Act. Thus, the formulation of
The government will institutionalize the guidelines on both legislation will be fast-
implementation of the S4CP to advance the tracked.
proliferation of demand-driven innovation
activities that will respond to the demand of Provide support mechanisms for startups and
the users of technologies. The S4CP seeks to MSMEs in the regions.
accelerate and expand STI programs in the
country and will promote development and • Fast-track the implementation of the newly-
industrial competitiveness in the regions enacted “Innovative Startup Act” (RA 11337).
through the establishment of R&D centers The Philippine Startup Development Program
under the Niche Centers in the Regions for will be formulated to provide monetary
R&D (NICER) program. The R&D Leadership and operational support to innovative and
(RDLead) program supports the NICER technology startups. The program will also
program through engaging Filipino experts provide capacity-building and exchange
to lead in strengthening research capabilities programs, as well as links to potential investors,
of HEIs and research and development collaborators, and customers in the Philippines
institutions (RDIs). It is also expected to boost and abroad. In addition, the MSME Innovation

5
  The CRADLE Challenge has four thematic areas: (a) sustainable supply and logistics, (b) products for the new normal, (c) reinventing the
workplace, and (d) services that transcend boundaries. The developed research outputs are aimed to advance the innovativeness and competitiveness
of local Filipino companies and ultimately help jumpstart the Philippine economy.

252 | Updated Philippine Development Plan 2017-2022


Development Program will be mobilized to country (e.g., Batangas City [CALABARZON],
enable government agencies to work hand Iloilo [Region 6], and Zamboanga [Region 9]).
in hand with private organizations and These programs include, but are not limited
academic institutions to provide technical to, capacity-building activities for eligible and
and/or financial support programs for the qualified startups or MSMEs affected by the
development training of entrepreneurs. A pandemic, funding assistance/credit programs,
regulatory sandbox6 approach will be used and matching needs of MSMEs with startup
by the government for unimpeded roll out of solutions providers.
startup technologies.
• Expand innovation/business support
• Bolster government support to MSMEs and mechanisms to include online presence. Some
startups to enhance their innovation activities. services of the innovation hubs and TBIs,
This will be done through programs, such as innovation centers, among others, will be
the Small Enterprise Technology Upgrading conducted online (e.g., mentoring, training, and
Program (SETUP) 2.0, "OneExpert, OneLab", consultancy services), if applicable, to comply
Shared Services Facilities, Kapatid Mentor with social distancing measures. Furthermore,
Me, "One Town, One Product", and TBI 4.0. these innovation support mechanisms will
To advance innovation and facilitate efficient also promote their services online to entice
operation of MSMEs, the services of the Food beneficiaries. Government agencies with
Innovation Centers (FICs) will be upgraded existing online portals on business support
from product prototyping or pilot-scale mechanisms will be enhanced and strengthened.
processing into toll processing. Pending the
operationalization of the Filipinnovation portal, The IPOPHL will also conduct training online
the Startup Philippines website will provide a through webinars such as the Learn, Be
centralized platform for news and information Empowered, Adopt, and Profit from IP (LEAP
on government startup support programs and IP) Webinar Project and expand its online
networking and learning opportunities, as well payment options for clients.
as a one-stop-shop for startup registration and
support program applications.
Accelerating innovation
• Continue reconfiguring the Department of
Trade and Industry’s (DTI) lineup of programs Enhancing creative capacity for knowledge
and projects available for startups and MSMEs and technology generation, acquisition, and
in response to the COVID-19 pandemic. adoption
In response to the pandemic, the DTI will
reconfigure its lineup of projects and programs Support research and development agenda.
to make it compatible to the minimum public
health standards under the new normal. • Formulate the National Innovation Agenda
The establishment of Regional Inclusive Strategy Document (NIASD). The government,
Innovation Centers (RIICs) will be continued through the NIC, will craft the NIASD that will
and replicated in other key areas around the establish the country’s vision and long-term
goals for innovation, consistent with global
and regional commitments and with AmBisyon
6
  A regulatory approach, typically summarized in writing and
Natin 2040 and the PDP. This document will
published, that allows live, time-bound testing of innovations under also provide a roadmap consisting of strategies
a regulator’s oversight. Novel financial products, technologies, and and action plans for improving innovation
business models can be tested under a set of rules, supervision
requirements, and appropriate safeguards. A regulatory sandbox governance (e.g., identifying and addressing the
also creates a conducive and contained space where incumbents and absorptive capacities of government agencies
challengers experiment with innovations at the edge or even outside of doing R&D).
the existing regulatory framework. (UNSGSA, Briefing on Regulatory
Sandboxes.)

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 253


The NIASD will contain innovation priority expanded and aligned with RD&E themes of
areas (e.g., food security, sustainable agriculture the government. This will be complemented
and natural resources, blue economy, education, by sustained and aggressive capacity-building
vocational training, health, renewable energy, activities particularly for R&D institutions in
climate change and disaster resilience, resource the regions to spur regional R&D that addresses
efficiencies, traditional knowledge, traditional local concerns, expands opportunities for
cultural expressions, genetic resources, growth, and brings about significant changes in
infrastructure, governance, human capital, the regional STI landscape. Additional sources
digital economy, transportation services, of funding for RD&E will also be identified
security and defense, and others as may be (e.g., Department of Energy [DOE] unutilized
deemed relevant by the NIC), the strategies to fund and Malampaya).
be used to realize these priorities, and for which
resources and budget will be provided. • Conduct R&D studies on renewable energy
technologies. The government will explore
In relation, the government will support the and conduct R&D studies on renewable
conduct of long-term STI foresight studies energy technologies, including the viability
and development of evidenced-based planning of new technologies to expand the share of
framework to complement the NIASD, taking renewables in the energy supply mix to fuel the
into consideration the whole STI ecosystem. country’s industrialization and urbanization,
Increasing capacities on planning tools such as while simultaneously being mindful of its
foresight techniques will also be pursued. environmental responsibility. Moreover, the
government will promote an innovation culture
• Establish relevance criteria and Research, that supports new and emerging renewable
Development, and Extension (RD&E) themes technologies, as well as innovative business
under the new normal. The government, models in the renewable energy industry (see
guided by the country’s innovation agenda and Chapter 19).
development goals, will develop RD&E themes.
These themes will be adopted in the RD&E • Intensify the conduct of R&D through public-
programs of concerned agencies which will private partnership (PPP). The NIC will
ensure that a higher level of mission orientation intensify the undertaking of PPP on R&D,
in publicly-funded research is observed. A including innovation, to encourage the private
“relevance criteria” will also be applied by sector to deepen their R&D activities while at
the agencies concerned, in the selection of the same time accelerating the public sector’s
RD&E programs or projects for funding. The efforts. This will help the government tap more
relevance criteria will take into consideration resources, avoid financial and procurement
the development thrusts and priorities of issues, and allow inflows of complementary
various regions in the country to ensure private sector resources and expertise.
alignment (e.g., research areas needed to cope
with the COVID-19 pandemic and the new • Strengthen monitoring and evaluation system
normal). The government will likewise conduct for all STI-related programs and projects.
an inventory of academic or educational and Monitoring and evaluation (M&E) mechanisms
RD&E institutions, as well as their resources for RD&E, including impact assessment, will be
and capacities to undertake RD&E programs enhanced to ensure the attainment of targeted
and projects. The inventory will serve as a outputs and intended outcomes as well as
reference when deciding the allocation of improve process performance. Adoption of the
public funds for these purposes. The research M&E Protocol prepared by the DOST for the
areas under the Harmonized National Research STI community will also be encouraged.
and Development Agenda 2017-2022 will be

254 | Updated Philippine Development Plan 2017-2022


• Operationalize the Philippine Space Agency Moreover, the national budget circular
and implement the Philippine Space guidelines for promoting faculty members
Development and Utilization Policy. With the in SUCs and institutions supervised by the
signing into law of the Philippine Space Act Technical Education and Skills Development
(RA 11363), the government has established Authority (TESDA) will be revisited regularly to
the Philippine Space Agency and the Philippine ensure that those who are engaged in RD&E and
Space Development and Utilization Policy to innovation, under the Philippine Innovation
enable the country to reap the benefits of the Act, are given the proper recognition and
development and use of space technologies commensurate points.
(e.g., agribusiness, environmental conservation,
national security and defense, telemedicine, • Accelerate efforts to prepare for the
infrastructure monitoring, urban planning, emerging Fourth Industrial Revolution
transportation and communication, and (FIRe) landscape. The government, through
disaster management). This will also provide the NIC, will identify the priority frontier
the Philippines a wider platform to contribute technologies7 that are relevant to the country’s
to regional efforts on hazard management development setting and incorporate these in
and climate studies, space research and the RD&E themes that will be developed by
development, space industry capacity the government. The NIC will also provide
building, space education and awareness, and support (e.g., training programs to build new
international cooperation. skills) to those that will be adversely affected
(e.g., workers) by the emergence of the FIRe.
• Formulate a Human Resource Development Accelerating curriculum development related
(HRD) Plan for researchers in higher to FIRe and its approval by the Commission on
education. This is to ensure that policies in HEIs Higher Education (CHED) will also be critical.
especially in government-funded institutions The Department of Trade and Industry (DTI)
provide incentives for research and mentoring. - Competitiveness and Innovation Group will
This will entail providing opportunities for continue the implementation of its programs
aspiring researchers to get startup support, related to the absorption of industry 4.0
setting policies to make research rewarding technologies and startup development.
(e.g., deloading, compensation, and peer
recognition), and ensuring that research Increase funding for HRD.
outputs are supported for patenting and
commercialization within the institution. The • Expand the provision of scholarship programs.
plan will be inclusive, allowing small niche The government will continue and expand
institutions to participate and develop their the provision of scholarship programs
capability to ensure that research capacity is such as the Expanded Specialized Science
distributed not just in major urban centers of Secondary Education Scholarships, Expanded
the country. In addition, the plan will also take Undergraduate Science and Technology (S&T)
into consideration the needs of the regions and Scholarships for Inclusive Development,
ensure that research manpower is responsive to and Expanded S&T Graduate (Masters/
those needs. Ph.D.) Scholarships, among others to further
encourage students to pursue STI courses.

7
  There is no universally-agreed definition for frontier technology. However, there is a recurring common feature across the different technological
advances and that they all “have the potential to disrupt the status quo, alter the way people live and work, rearrange value pools, and lead to
entirely new products and services." (UN-ESCAP, Frontier Technologies for Sustainable Development in Asia and the Pacific, 2018.). Some
examples of frontier technologies are nanotechnology, artificial intelligence, internet-of- things, bioprinting, big data, blockchain, robotics,
neurotechnology, synthetic biology, and others.

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 255


Moreover, the government will implement will also be advanced through the deployment
changes to the STEM curriculum8 and include of trained CIOs in government agencies,
life-long learning skills development to enable assigned to lead in the development of internal
workers to respond to the requirements of the digital transformation strategies and business
FIRe. This will be complemented by an intensive continuity plans (BCPs).
information drive to further increase the
number of scholarship applicants. Government The Digital Workforce program of the DICT will
officials’ leadership capacities for innovation also be launched as a capacity-building program
will also be enhanced by conducting regular to enable the broader use of digital technologies
training programs/management seminars that in critical sectors such as education, finance,
will enable the government to lead relevant health, agriculture, and logistics (see Chapter
stakeholders (e.g., industries and academe) 10).
towards becoming innovative (see Chapter 10).
• Pursue adult learning through online, distance,
• Expand the implementation of and/or blended learning. This will involve
entrepreneurship-related courses to the promotion of more open online courses
engineering and the other allied disciplines. (MOOCs) and flexible training arrangements
Technopreneurship courses (e.g., through blended programs that will reduce
Technopreneurship 101) will be scaled up to face-to-face contact. Education agencies
expose undergraduate engineering students will also collaborate with the private sector
to the entrepreneurial mindset and the and professional organizations to increase
fundamentals of entrepreneurship. As such, it the number of online courses accredited
will be spread out to more HEIs throughout for Continuing Professional Development.
the country to increase their appreciation of Curricular adjustments will be done to adapt to
STI and entrepreneurship, thereby increasing the new teaching-learning mode.
the utilization of technologies and innovation.
Development of support programs will also be Strengthening formal and informal education
provided to ensure engineering graduates take on health, food, and well-being will also be
on entrepreneurship as a career option. pursued to equip Filipinos with the fundamental
education and preparedness on sound practices
• Expand digital skills development programs in staying healthy and well.
for government employees and public school
teachers. The DICT, in support of the DepEd, • Increase the number of HEIs offering quality
the CHED, and the TESDA, will assist in the programs in STI-aligned fields, especially in
provision of teacher training opportunities engineering and the sciences. SUCs will invest
related to digital literacy, cybersecurity, in the enhancement of quality of program
and other digital skills. The DICT will also offerings and will explore offering engineering
contribute to the government’s efforts towards and science programs to increase the number
digital transformation through the conduct of scientists and engineers. This can be achieved
of digital skills development programs for through sustained investments in facilities and
government employees and the deployment of faculty development coupled with proactive
Chief Information Officers (CIOs) to various outreach to potential feeder high schools that
government agencies. Government employees could be assisted to provide students for the
will be provided with professional training SUCs. STI HRD will get a boost from the free
to effectively use digital tools and efficiently higher education provided through SUCs.
perform tasks even in alternative work setups.
Government plans, policies, and processes Tap foreign and overseas Filipino expertise.

  CHED will lead the updating of the curriculum.


8

256 | Updated Philippine Development Plan 2017-2022


• Support the liberalization of certain • Strengthen infrastructure for and regulation
professions in the Regular Foreign Investment of digital transactions. Given the increased
Negative List (RFINL). The government demand for digital transactions (e.g., digital
will support and pursue initiatives to remove payments, online delivery, digital tax payments,
restrictions on the practice of professions and online financial services, among others),
by foreign experts (e.g., engineers) listed in relevant digital infrastructure and regulatory
the RFINL. Pending the amendments to the oversight will be strengthened, including
relevant national laws which restrict foreign closer monitoring of cybersecurity plans.
professionals from entering the country, the The implementation of DICT’s National
government will consider crafting procedures Broadband Program will be fast-tracked to
and measures in granting of temporary permits provide the national ICT backbone to support
(see Chapter 9). government services delivery, including the use
of digital transactions and the linking of digital
• Promote more participation of scientists in transformation and research laboratories as
the Balik Scientist Program. The government part of the STI ecosystem.
will aggressively promote the enhanced benefits
and incentives under the Balik Scientist Act to Foster STI culture.
encourage wider participation, particularly, in
sectors and areas where expertise is lacking. • Harmonize/consolidate the communication
advocacy of the government on STI.
• Promote startup visas and other benefits and Government will consolidate all its existing
incentives under the Innovative Startup Act communication advocacy and campaigns
(RA 11337). The government will strategically and turn it into a comprehensive/harmonized
market the country’s startup ecosystem to advocacy plan to promote better public
experienced startup founders, investors, and appreciation and understanding of STI.
other enablers. Privately-owned mass media networks will be
incentivized to undertake mass education and
Strengthen STI infrastructure. promotion of science-responsive communities.

• Establish STI facilities and innovation hubs. • Aggressively promote to the public the
The government will engage with the academe importance and benefits of science in helping
and industry to build more makerspace, resolve national issues. The government will
innovation hubs, innovation centers, use new and traditional media to inform the
FabLabs, laboratory facilities, R&D centers, public of the benefits, importance, and potential
and prototyping facilities, as well as science of science to address various challenges
and technology parks in strategic locations and move the country forward. Public trust
throughout the country to support the in science is important for science-based
innovation and technology requirements of the policy to succeed. Highly-technical data and
MSMEs and startups. Moreover, the OneLab information will be conveyed in a manner that
Network, a platform which integrates DOST can be easily understood by the public. In the
analytical and testing laboratories and other case of the COVID-19 pandemic, the massive
laboratories in the Philippines and ASEAN information campaign and institution of control
countries, will be strengthened to provide easy measures have helped in the reduction of virus
access to testing and calibration services. The transmission. As an example, altering public
capabilities of existing and new STI facilities behavior to lower virus transmission depends
and innovation hubs to execute some of their on how scientific data are imparted to the
services online will also be developed. populace. “Flattening the curve” for ordinary
citizens was unknown before the pandemic, but

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 257


through the communication efforts executed Strengthening open collaboration among
by doctors and scientists in several platforms, actors in the STI ecosystem
people were encouraged to remain indoors
to minimize transmission. Misinformation Strengthen multisectoral collaboration.
about COVID-19 continually spread, leading
to fear of the unknown. Scientific findings and • Establish and operationalize the NIC. In
projections on the virus, however frightening, line with the Philippine Innovation Act (RA
shed light on how extensive it is. Scientists 11293),10 the government will establish the
are being relied on to minimize fear, as such, NIC, an inter-agency committee that will
accurate and effective communication by adopt a “whole-of-government approach” in
scientists will be used to reduce the anxiety of steering the direction of STI development
the populace. in the country. This will also identify and
eliminate the areas of fragmentation/gaps in
• Better appreciation of STI by Filipinos could the governance framework of the STI sector
also be achieved by communicating tangible leading to the lack of coherence in the policies,
results. Several tools have been used to address plans, and programs. Moreover, the NIC
the challenges caused by the crisis. For instance, will strengthen and deepen interactions and
the Baguio City LGU used a predictive analytics partnerships among different actors from the
tool to understand the transmission of the virus public and private sector, academe, MSMEs,
in the locality and has contributed to the goal of RDIs, and communities towards promoting
containing the virus. A group of University of inclusive growth and improving the quality of
the Philippines (UP) researchers has correctly life through innovation.
estimated the number of people to be affected
by the virus should the government implement Pending the creation of a secretariat and a
relaxed quarantine guidelines. The UP National unit of personnel that will help carry out the
Institute of Health (UP-NIH) has successfully activities of the NIC, the NEDA will constitute
developed test kits9 that helped expand the an interim Secretariat through temporary detail
testing capacity of the country. of personnel from the NIC member agencies,
pursuant to RA 11293.
To help enhance the long-term capabilities of
the country’s workforce to generate new ideas Intensify international cooperation in STI.
for innovation and at the same time produce
an agile workforce, creativity will be strongly • Encourage open science and collaboration
nurtured as a vital skill of students at all levels to combat public health issues and emerging
and will also be integrated into all disciplines diseases such as COVID-19. International
(e.g., science and engineering courses). The collaboration in scientific research and
transformation of the DepEd’s STEM Program innovation has accelerated in the past months.
to science, technology, engineering, arts, and The Philippines has taken advantage of this
math (STEAM) will serve as a starting point opportunity to improve the country’s knowledge
(see Chapter 7). and scientific social capital. At the onset of the
COVID-19 pandemic, scientific journals were
made accessible to the public free of charge.

9
  Talingdan, Maria Elena A., "DOST-NRCP Vice President Dr. Raul V. Destura, the Scientist behind the First Local COVID-19 Testing Kit," NRCP
Website, April 6, 2020.
10
  The law establishes the NIC which will develop the country’s innovation goals, priorities, and long-term national strategy. Said Council will
also formulate a National Innovation Agenda and Strategy Document that establishes the country’s vision and long-term goals for innovation and
provides a roadmap and the strategies for improving innovation governance through clear-cut delineation and complementation of innovation
efforts across agencies, deepening and accelerating innovation efforts, and integrating and fostering public-private partnerships, among others.

258 | Updated Philippine Development Plan 2017-2022


Several digital platforms have also provided building. Bilateral and multilateral partnerships
opportunities for a more sustained STI will also be used to acquire new and existing
international collaboration, as the pandemic foreign technologies (e.g., those that may be
pushed global scientific communication. These used to address the COVID-19 pandemic and
seem to be proving helpful for the advancement adapt to the new normal).
of the STI ecosystem in developing countries,
such as the Philippines. Implement the recommendations of the Scoping
Study on STI Statistics.
• Intensify international STI collaboration. The
Philippines will continue to actively participate The results of the scoping study on STI statistics will
and figure more prominently in regional feed into the work of and will be implemented by
and international discussions on STI. As a the Inter-Agency Committee (IAC) on STI Statistics.
member of a global scientific community, the The IAC will aim to resolve the issues and concerns
Philippines will showcase Filipino ingenuity being encountered by various government agencies
and innovations as possible solutions to in producing STI statistics. The government will also
common global problems and concerns. In identify indicators with available regional data to
addition, it will continue to explore new and enable the concerned regional offices to effectively
emerging areas of scientific cooperation where monitor their STI sector. This will allow the regions
the country and its partner governments and to provide their regional baselines, targets, and actual
institutions may mutually benefit from (e.g., data on certain STI indicators.
vaccine development, space and satellite
technology, artificial intelligence, security The government will also require various
and defense, etc.). The government will also stakeholders (e.g., SUCs) to submit data that will
intensify its efforts in improving the country’s be recommended under the scoping study (e.g.,
STI standing in the international community R&D data) and encourage private corporations
through information dissemination on to participate voluntarily in sharing relevant data.
potential STI partners in the Philippines, These data will also serve as the country’s inputs to
promoting international activities related to various global indices. The Department of Budget
STI, and fostering exchanges on STI activities. and Management (DBM) and the DOST will work
Further, strategic partnerships will be built closely to develop the Unified Accounts Code
with other countries through activities such Structure (UACS) for the R&D spending in the
as joint R&D, exchange of scientists, building public sector. This will contribute significantly to the
researchers' networks, joint seminars/ data collection and generation of the sector that will
workshops, technology transfer, and capacity- substantially aid the development planning cycle.

Legislative Agenda
Table 14.2 Legislative Agenda to Vigorously Advance Science, Technology, and Innovation

LEGISLATIVE AGENDA RATIONALE

STI application in agriculture, industry, services, and health sectors increased

Amendments to the This seeks to strengthen the IPOPHL as the lead government agency in IP. It intends
Intellectual Property (IP) Code to improve its organizational structure to maintain and implement effective, efficient,
economical, responsive, technology-driven, and sustainable services and programs;
protect, enforce, and adjudicate; promote and steer creativity, innovation, development,
utilization, and commercialization that would benefit MSMEs; enhance learning,
advocacy; and support the enhancement of digital infrastructure and interconnectivity.

Chapter 14 Vigorously Advancing Science, Technology, and Innovation | 259


LEGISLATIVE AGENDA RATIONALE

Investments in STI based startups, enterprises, and spin-offs increased

Science for Change (S4C) Act This aims to expand various S&T programs of the DOST (e.g., R&D programs, technology
business incubation, foreign scholarships) and prescribes the R&D areas to be considered
under the S4C Program. The bill also seeks to require NGAs, LGUs, and SUCs to adopt
publicly-funded and generated technologies whenever feasible and practicable.

Creative capacity for knowledge and technology generation, acquisition, and adoption enhanced

Philippine Virology Science This will establish a research institute that will delve into the study of viruses. The country
and Technology Institute needs diagnostics to detect and limit the spread of existing viruses; vaccines to provide
long-term protection; treatments to save lives in the shorter term; and social science to
understand their behavioral and societal implications.

An Act Creating the Center This proposed legislation aims to establish a center that will be the principal agency
for Disease Control and tasked with developing and applying communicable disease control and prevention
Prevention, Providing initiatives. It will be responsible for controlling the introduction and spread of infectious
Mechanisms for Epidemic diseases.
Control, and for Other
Purposes

Comprehensive Philippine This proposed measure aims to legislate an independent regulatory framework that will
Atomic Regulation Act decide on issues affecting public health and safety, protection of the environment, and
nuclear security and safeguards, that is beyond the reach of entities with self-motivated
interests.

Strengthening the National This seeks to establish the National Metrology Institute under the DOST as well as
Measurement Infrastructure provide capacity building programs through competency training to strengthen the local
System (NMIS), Amending RA metrology authorities at the local level and foster a metrology culture that will instill a
9236 also known as the keen appreciation of the importance of metrology.
National Metrology Act of
2003

Provincial Science and This seeks to strengthen the existing Provincial Centers for Science and Technology
Technology Office Act (PSTC) under RA 6959 by converting them into an office so that the development and
transfer of technologies in the rural areas can be vigorously pursued and implemented.

eHealth System and Services This aims to establish, institutionalize, and regulate a coherent, coordinated, and
Act collaborative National eHealth System, guided by a national policy and strategic
framework.

Digital Philippines Act This aims to adopt a whole-of-government approach in promoting digital innovation and
transformation in business and government.

Philippine Defense Industry This intends to provide the required policy environment for the development of a national
Development Act defense industry through the strengthening and revitalizing of the self-reliant defense
posture program, incentivizing in-country enterprises, rationalizing defense acquisition,
and institutionalizing a functional office for defense technology research and industry
development under the Department of National Defense (DND).

260 | Updated Philippine Development Plan 2017-2022


PART V

ENABLING AND
SUPPORTIVE
ECONOMIC
ENVIRONMENT
15
Ensuring
Sound
Macroeconomic
Policy
CHAPTER 15

Ensuring Sound
Macroeconomic Policy
The Philippine economy faced and overcame various headwinds in the first half of the Plan
period. Macroeconomic fundamentals remain strong and stable, resulting in a credit rating
upgrade for the country. The fiscal position also remains sustainable and supportive of growth
with the pursuit of tax reforms, improved spending efficiency, and prudent debt management.
Headline inflation rate was generally within target with the implementation of appropriate
monetary and non-monetary policy measures. The financial sector remains stable, with
significant strides in expanding inclusiveness by simplifying requirements for opening basic
bank deposit accounts and creating a legal framework for the use of non-traditional collateral.
Moreover, the external sector remains resilient, characterized by a manageable current account
deficit and modest trade growth despite disruptions in global markets.

This strong starting position to be complemented with strategic and responsive measures
will enable prompt recovery from the downturn caused by the COVID-19 pandemic. Towards a
healthy and resilient Philippines, fiscal policy will be made more responsive through enabling
budget and policies, enhanced local government units (LGUs) capacity, and improved private
sector participation. Targeted supervisory actions and reforms that address the impact of
the pandemic remain crucial in fostering the resilience of the country’s financial system.
Trade partnerships will be intensified, while products and markets will be diversified and
scaled up to take advantage of shifts in business processes and consumer preferences under
the “new normal.”

Assessment and Challenges


Assessment: Over the past three years, substantial reversed as the pandemic subdues economic
improvement in spending performance outpaced activities. Reduced revenues and increased
an increase in revenue collections, leading to spending on pandemic recovery measures are seen
an expansion of the government’s fiscal deficit to further elevate the fiscal deficit and consequently,
to 3.4 percent of gross domestic product (GDP) raise the country’s debt ratio. Inflationary
by 2019. Nevertheless, the ratio of government pressures of 2018 dissipated in 2019, with headline
outstanding debt to GDP declined as the expansion inflation averaging at 2.5 percent–well within the
of the economy outpaced the accumulation of government’s target, as appropriate monetary and
debt. However, this trajectory is expected to be non-monetary policy measures were implemented.

Chapter 15 Ensuring Sound Macroeconomic Policy | 265


Meanwhile, the financial sector remains sound Exports to North America and Asia are expected
and has become more inclusive, supported by to be hardest hit with trade from sectors with
various reforms such as the establishment of rules complex value chains, such as electronics and
on the introduction of Basic Deposit Accounts, the automotive products, expected to decline.
expansion of low-cost financial touchpoints, and Traders are also expected to rely more on online
legislation allowing the use of moveable collateral, processing of trade documents to facilitate
and easier customer identification.1 These reforms seamless movement of cargo. Capital flows have
are complemented by an enabling regulatory been increasingly volatile as risk aversion against
framework establishing a retail payment system. developing countries led to capital flight to
The outbreak of the pandemic drove up demand safe havens.
for digital financial services as people adhered to
social distancing measures. There has been Challenges: The budget strain in the near to
an increased preference for doing basic medium-term may impede planned public
financial transactions online such as bills investments. The implementation of the
payment and fund transfers. On the other Supreme Court (SC) ruling on the Mandanas Case
hand, the possibility of increased demand in 2022 further adds pressure on the tight fiscal
for insurance lingers with the increase in position. Institutional bottlenecks and inadequate
infections and fatalities caused by the pandemic. absorptive capacity also pose risks to the timely
implementation of crucial pandemic response and
For the external sector, exports of merchandise recovery measures, as well as in accelerating the
goods and services posted modest growth during implementation of much-needed infrastructure
the first half of the Plan period, boosted by projects.
improved sales of major export products such as
electronic products and fruits and vegetables. Similarly, financial institutions that serve vulnerable
Thus, the sector was able to exceed the targets for sectors may lack the capability to respond to the
2017 to 2019, while the widening trade-in-goods increased need for digital financial services (DFS).
deficit was partially offset by the trade-in-services On the other end, low-income households may
surplus. The current account deficit—recorded lack awareness of DFS available to them, as well
at 0.9 percent of GDP in 2019—is expected to as the knowledge needed to make sound financial
reverse into a surplus in the near term amid a decisions. Cybersecurity threats also pose a
significant deceleration in goods imports mainly challenge. For the external sector, portfolio and
due to the sharp decline in global crude oil prices, direct investments may further slow down as recent
subdued domestic demand, and disruptions in developments have led to an overall risk aversion of
global supply chains. This is notwithstanding foreign investors to emerging markets, as well as an
the expected lower receipts from goods exports, erosion of business confidence. In terms of trade in
trade-in-services, and remittance inflows. The goods and services, an overall weakening in global
pandemic is expected to reverse gains on trade trade in goods and services, including travel and
in goods and services performance with overall tourism is expected. (see Chapter 2)
global trade seen to slow down. (see Chapter 2)

1
Philippine Identification System Act (Republic Act [RA] 11055) and the Personal Property Security Act of 2018 (RA 11057).

266 | Updated Philippine Development Plan 2017-2022


Targets
The targets for revenue and tax effort were The ratio of the financial system’s assets to GDP
revised downwards, taking into account muted has been adopted to facilitate benchmarking of the
economic activity due to the COVID-19 pandemic. depth of the country’s financial system. Likewise,
The consequent changes in programmed equity market capitalization relative to GDP and
spending, as approved by the Development Budget size of the local currency bond market in percent
Coordination Committee (DBCC) in July 2020, of GDP replaced old indicators to provide a better
were reflected in the revised targets for the national measure of domestic capital market development.
government expenditure performance indicators.
These changes take into account the government’s On financial inclusion, Plan targets were revised
efforts to support the country’s economic upward for the indicators on the number of access
recovery and the transition to the new normal. points per 10,000 adults and the proportion of
The higher internal revenue allotment (IRA) in adults (15 years and older) with an account at
2022, as provided under the SC’s decision on the a bank or other financial institutions or with a
Mandanas case, is also reflected in the revised mobile-money-service provider, as the initial
targets. These changes, in turn, were reflected in end of plan targets have already been met.
the upward revision of the targets for the deficit, To gauge the extent to which digital technology
debt, and interest payments ratio. transforms financial inclusion and to
complement the indicator on account penetration
The revised targets for the ratio of locally-sourced which is only able to generate data every two years,
LGU income to total current operating income higher frequency indicators, such as the volume
reflect the aforementioned increase in IRA. of InstaPay transfers 2 and retail e-payments, were
The locally-sourced income of the LGUs in absolute adopted. The updated targets for microinsurance
terms was included, as an additional indicator to penetration include insured principal members
measure the capacity of the LGUs to generate their and their dependents. The value of microfinance
sources of revenues. loans provided by microfinance non-government
organizations (NGOs) accredited under the
The following were included as additional Microfinance NGOs Act was added as a measure
indicators in light of the developments arising of financial inclusion, in line with the law’s
from the pandemic: (a) VAT revenues from passage and policy.
the digital economy to capture the increase in
e-commerce activities2 (see Chapter 9); (b) share The targets for exports of goods and services were
of health sector spending on account of the revised downwards to account for the effects of
government’s shift in focus towards improving COVID-19. Likewise, targets were recalibrated to
health systems (see Chapter 10); (c) utilization of the reflect the projected current account surplus due to
local development fund; and (d) utilization of the the narrower trade-in-goods deficit, offsetting the
Special Education Fund 2 to measure the capacity of lower receipts from trade-in-services.
the LGUs to implement their programs, activities,
and projects.

2
Targets for the indicator are reflected in Chapter 15 of the Philippine Development Plan (PDP) Results Matrices.

Chapter 15 Ensuring Sound Macroeconomic Policy | 267


Table 15.1 Revised Plan Targets to Sustain a Sound, Stable, and Supportive Macroeconomic
Environment

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

Subsector Outcome 1.1. Responsive, strategic, supportive, and sustainable fiscal sector

15.2
Government Revenue to GDP ratio improved (%)1/ 17.0 13.2 13.3 13.3
(2016)

13.7
Tax revenue to GDP ratio improved (%)1/ 16.2 12.3 12.5 12.5
(2016)

Primary expenditure to GDP ratio maintained 15.5


18.1 19.1 17.9 17.9
above baseline (%)1/ 2/ (2016)

Percentage share of interest payments in the total 11.9


9.7 11.0-14.0 12.0-15.0 12.0-15.0
disbursements managed (%)1/ 3/ (2016)

Economic service sector expenditure to GDP 5.7


5.7 6.55/ 5.75/ 5.7
maintained above 5.0 percent (%)1/ 4/ (2016)

Social service sector expenditure to GDP maintained 6.7


7.3 8.15/ 7.95/ 7.9
above 7.0 percent (%)1/ 4/ (2016)

Ratio of discretionary expenditure to total budget 42.7 41.2


40.15/ 32.45/ 32.4
maintained above 30.0 percent (%)1/ 4/ 6/ (2016) (Actual)

Ratio of health sector expenditure to 4.4


4.5 4.68/ 4.18/ 4.1
total budget increased (%)4/ (2016)7/

92.6
Utilization of current year’s budget increasing9/ increasing increasing increasing increasing
(2018) 10/

Manageable national government (NG) fiscal deficit 2.4


3.0 8.5 7.2 7.2
to GDP ratio maintained (%)1/ 11/ (2016)

Manageable outstanding NG debt stock to 42.1


36.8 58.0-61.0 60.0-63.0 60.0-63.0
GDP ratio maintained (%)1/ 12/ (2016)

Manageable consolidated public sector balance -0.1


-1.0 -5.8 n.a.13/ n.a. 13/
as a share of GDP maintained (%)1/ (2016)

Sustained Sustained Sustained


Stable/ At least
investment- investment- investment-
Investment-grade credit rating sustained Positive Stable/
grade credit grade credit grade credit
(2016) Positive
rating rating rating

Ratio of locally-sourced LGU income to total current


33.0
operating income maintained at or above 15.0 percent 36.2 21.0 15.0 15.0
(2016)
(%)14/

179.8
Locally-sourced LGU income increased (PHP, billions)15/ 256.5 144.9 159.4 159.4
(2016)

268 | Updated Philippine Development Plan 2017-2022


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020* 2021 2022 END OF PLAN

80.0
Utilization of local development fund improved (%)16/ 100.0 100.0 100.0 100.0
(2016)

Subsector Outcome 1.2. Resilient and inclusive monetary and financial sector

1.3 (2012=100);
Low and stable inflation rate achieved (%) 2.0-4.0 2.0-4.0 2.0-4.0 2.0-4.0
1.8 (2006=100)

Ratio of financial system's total assets to 123.4


130.0 120.0 125.0 125.0
GDP maintained (%) (2016)

95.4
Equity market capitalization relative to GDP (%) 107.0 73.3 78.5 78.5
(2016)

32.2
Size of local currency bond market in % of GDP 45.0 39.2 43.6 43.6
(2016)

Annual value of microfinance loans increased 52.7


>65.4 >95.0 >104.7 >104.7
(PHP billion)17/ (2016)

Number of access points per 10,000 adults increased 10.1


>10 >13 >14 >14
(cumulative)18/ (2016)

Proportion of adults (15 years and older) with


22.0 Not a Not a
an account at a bank or other financial institutions >40 >40
(2015) survey year survey year
or with a mobile-money-service provider

Volume of retail e-payments in the country 10.0


N/A N/A 40.0 40.0
(% of total payments)19/ (2018)

27.2
Microinsurance penetration (% of total population)20/ 34.0 40.8 44.8 44.8
(2016)

Subsector Outcome 1.3. Sustainable and resilient external sector

42.7
Exports of goods increased (USD billion)1/ 54.8-56.9 46.1-47.1 47.9-49.4 47.9-49.4
(2016)

31.2
Exports of services increased (USD billion)1/ 47.2-49.0 37.0-37.8 40.0-41.2 40.0-41.2
(2016)

Sustainable current account balance to -0.4


0.01 0.821/ NA NA
GDP ratio achieved (2016)
*
2020 original targets set/approved in 2016/prior to the pandemic retained.
1/
Targets for 2021-2022 are based on the macroeconomic assumptions and fiscal program approved by the DBCC on July 28, 2020 via ad referendum.
2/
Albeit the downward trajectory of the 2021 and 2022 projections for the ratio of primary expenditure to GDP due to higher interest payments, these projections will
remain above the actual 2016 baseline value. Thus, the consequent re-statement and revision of targets of the indicator.
3/
Figures are projections on the ratio of interest payments to total disbursements, which is foreseen to increase over the medium-term even when compared to the
baseline in view of the government’s effort to borrow prudently to support the country’s economic recovery
4/
Targets are based on the emerging proposed FY 2021 budget level, and consistent with the macroeconomic assumptions and fiscal program approved by the DBCC
on July 28, 2020 via ad referendum. Subject to further refinements based on the FY 2021 National Expenditure Program (NEP) and/or Budget of Expenditures and
Sources of Financing (BESF).
5/
Targets for 2021 and 2022 for selected fiscal indicators will be on a downward trajectory due to limited fiscal space arising from the combined impact of lower revenue

Chapter 15 Ensuring Sound Macroeconomic Policy | 269


projections and SC’s ruling on the Mandanas Case. Subject to further refinements based on the FY 2021 NEP and/or BESF.
6/
Discretionary expenditure and total budget pertain to cash-based appropriations level. Annual Plan targets for 2021-2022 and actual accomplishments for 2019-2020
are lower compared to actual accomplishments in 2016-2018 due to the transition from obligation-based to cash-based budgeting system in 2019.
7/
Actual 2016 baseline value is in obligation-based appropriations level while medium-term targets for 2020-2022 are in cash-based appropriations level.
8/
Lower target for 2022 relative to the rest of the annual Plan targets reflects the impact of lower revenue projections and SC’s ruling on the Mandanas Case. Likewise,
health is a devolved function. Subject to further refinements based on the FY 2021 NEP and/or BESF.
9/
The indicator measures how fast implementing agencies can obligate/contract out their funds budgeted for the current year. The current year’s budget pertains to the
cash-based appropriations level.
10/
The 2018 actual accomplishment will serve as the baseline value for the indicator to reflect the introduction of the Department of Budget and Management (DBM)
transitional reforms to cash-based budgeting system. The updated 2019-2022 targets are in cash-based appropriations level.
11/
Albeit the upward revision of the targets for 2021 and 2022 due to the combined impact of lower revenue projections and higher disbursements in line with the
government’s response to address the socio-economic impact of COVID-19, fiscal consolidation (as seen in the downward trajectory of the deficit by the end of the
Plan period) will take place to ensure prudent fiscal management.
12/
Targets for 2021 and 2022 were revised upwards due to higher deficit assumption and borrowing requirement. Despite this, the revised targets cluster along the 60
percent emerging economy threshold indicated in most literature.
13/
Target for 2022 is not available as some components of the indicator could only be projected until 2021.
14/
Downward revision of the target for 2021 is due to expected slower economic activity (versus original target), complemented with higher IRA for 2021 resulting from
the implementation of Tax Reform for Acceleration and Inclusion (TRAIN) in 2018; while the lower target for 2022 relative to the rest of the annual Plan targets reflects
the impact of the SC’s ruling on the Mandanas case, which will significantly increase IRA.
15/
It is estimated that LGUs would miss around 30 percent to 50 percent of their original targets for FY2020 to FY2022 due to the financial hardship and economic
impact brought about by the COVID-19 pandemic.
16/
Figures are based on Bureau of Local Government Finance’s (BLGF) projections.
17/
Microfinance figures include banks and microfinance NGOs. Data with the Securities and Exchange Commission (SEC) is only based on the Microfinance NGOs
accredited by the MicroFinance NGO Regulatory Council.
18/
Access points are the regulated entities where both cash-in and cash-out transactions can be performed. These include banks, non-stock savings and loan
associations, cooperatives with financial services, microfinance NGOs, pawnshops, money service businesses, e-money agents, cash agents, and other non-bank
financial institutions.
19/
Share of retail e-payments to total number of retail payments.
20/
Number of people with microinsurance coverage consists of insured principal members and dependents.
21/
Figures are Bangko Sentral ng Pilipinas (BSP) projections approved by the Monetary Board on October 08, 2020.

Strategic Framework
To achieve the targets above and consequently Amidst the challenges brought about by the
sustain a sound, stable, and supportive pandemic and the transition to the new normal
macroeconomic environment, the following sub- and the increasing pressure on the national
sector outcomes will be pursued: (a) responsive, government’s fiscal position, responsiveness, and
strategic, supportive, and sustainable fiscal sector; sustainability were included in the sub-sector
(b) resilient and inclusive monetary and financial outcome under the fiscal sector, while the third
sectors; and (c) sustainable and resilient external sub-sector outcome was expanded to cover the
sector. entire external sector (from external trade sector
only previously). The figure below shows the
updated framework.

270 | Updated Philippine Development Plan 2017-2022


Figure 15.1. Strategic Framework to Sustain a Sound, Stable, and Supportive Macroeconomic
Environment

Strategies
Sustaining sound, stable, and food security, digital economy/government,
and growth-inducing expenditures such
supportive macroeconomic as crucial and shovel-ready infrastructure
environment projects, among others.

• Pursue institutional reforms to ensure


Responsive, strategic, supportive, and timely execution of projects. To complement
sustainable fiscal sector administrative improvements in budget
execution, such as the implementation
Realign expenditure priorities and implement of the Budget and Treasury Management
expenditure management reforms. System (BTMS), institutional reforms will be
introduced to address persistent bottlenecks.
• Strategically realign and reprioritize These include the revision of the guidelines on
expenditure. To facilitate transition and the release of funds for foreign-assisted projects
adjustment to the new normal, the government and its alignment with the cash-based budgeting
will implement strategic realignment of its system. Existing Commission on Audit (COA)
budget and reprioritize its expenditures over issuances will be consolidated and codified
the near-term. Priority will be given to health- to resolve ambiguities and inconsistencies.
related expenditures, disaster risk management, The 1976 Government Auditing Code of the

Chapter 15 Ensuring Sound Macroeconomic Policy | 271


Philippines3 will also be updated. Furthermore, • Fast-track the implementation of priority
the implementing rules and regulations of tax reform measures. Amid muted economic
the Government Procurement Reform Act activity, the passage of growth-enhancing
(GPRA) will be further reviewed to address revenue measures, such as the Corporate
procurement delays. To minimize undue delay Recovery and Tax Incentives for Enterprise
in the implementation of crucial infrastructure (CREATE) Act, will provide immediate relief
projects during election periods, amendments to businesses and encourage investments that
to the exemption provisions under the Omnibus will aid the economy’s recovery. To further
Election Code will be pursued. Moreover, to promote crucial investment and innovation,
make the budget more responsive to crises it is important for the government to utilize a
and other unprecedented events, institutional regulatory sandbox approach to help develop
reforms to increase flexibility in the emergency supportive regulatory frameworks for emerging
use of funds, such as the LGU development industries under the new normal (see Chapters
fund, will be considered. 5 and 16). Subsequently, the pursuit of the
digital transformation agenda, especially the
• Implement transition plans for fully devolved establishment and institutionalization of
functions to LGUs, including capacity a digital taxation framework, will help the
development and intensive public information government manage the challenges and
campaign. To ease pressure coming from reap the benefits of the digital economy.
the implementation of the SC ruling on the Meanwhile, once recovery is underway, the
Mandanas case, concerned agencies will fast- passage of the remaining packages of the tax
track the preparation4 and implementation reform program will help sustain growth
of the transition plans, which provide well- by correcting inefficiencies and leveling the
defined parameters for functions and services playing field. These policy reforms will be
that are fully devolved to the LGUs. The complemented by tax administration measures,
transition plans include the definition of particularly the fuel marking and Electronic
standards for the delivery of devolved services, Receipt and Invoice System, which will enable
clear delineation of responsibilities between the government to recoup needed revenues.
the national government and the LGUs, and
the strategy for capacity development of • Increase local sources of revenue by introducing
LGUs, which will involve training for LGUs on legislated and non-legislated measures. Despite
development planning. The implementation the higher IRA under the SC ruling on the
of the transition plans will be coupled with Mandanas case, the need to pursue measures
intensive public information campaigns on that will improve the collection of locally-
the shift in responsibilities in the delivery sourced revenues remains. Foremost is the
of basic services which will help increase passage of the real property valuation reform,
LGU accountability. Cost-sharing schemes which can help augment property tax collection
between the national government and the of LGUs. Legislative measures will also be
LGUs for projects that are local in nature but supplemented with capacity building activities
benefit multiple LGUs, will also be explored. to enable LGUs to access other sources of
financing, such as official development grants.

Implement strategic revenue policy and Explore optimal financing schemes including
administrative measures. multilateral and market financing.

3
Presidential Decree No. 1445.
4
The crafting of these transition plans will be guided by the framework being developed by the Core Technical Working Group (TWG) on Full
Devolution Efforts. The members of the TWG are DBM, National Economic and Development Authority (NEDA), Department of the Interior and
Local Government (DILG), Department of Finance (DOF), and Civil Service Commission (CSC).

272 | Updated Philippine Development Plan 2017-2022


• Encourage greater private sector involvement • Communicate the recovery plan and the
to compensate for the narrower fiscal space. temporary nature of deviation from fiscal
Private sector participation through various program to calm markets. To manage
public-private partnership (PPP) modalities market expectations and ensure stability,
will be tapped to ease pressure on the the national government will carefully and
national government’s fiscal position. PPP clearly communicate its recovery plan, as
can also supplement the limited capacities well as the temporary nature of deviation
in project implementation at the LGU level. from the medium-term fiscal program. It is
important to highlight that the deviation from
• Explore optimal financing schemes including the medium-term fiscal program is the result
multilateral and market financing portfolio. of the NG’s effort to mitigate the impact of
The national government will explore various the COVID-19 pandemic on the economy.
financing schemes, including multilateral
institutions to ensure sufficient resources are
Resilient and inclusive monetary and
available to support the economic recovery plan.
financial sectors
Furthermore, the Bureau of the Treasury (BTr)
will tap the local market through local bonds
Maintain a flexible inflation targeting framework
issuance and the offshore commercial markets
for monetary policy formulation. The BSP
through issuance of dollar-denominated debt
will continue to refine its monetary operations,
papers, “panda” bonds, and “samurai” bonds for
including through the interest rate corridor system,
additional funding sources.
to enhance its capacity in guiding short-term
market interest rates to move closely with the
Recalibrate medium-term debt and contingent
policy rate. The amendments to the BSP’s charter
liability management strategy.
—particularly on allowing it to issue its own
securities—will further expand its policy toolkit
• Recalibrate debt and contingent liability
and give it more flexibility in determining the size
management by: (a) continuing to adopt a
and timing of its monetary operations. The BSP is
strategic and sustainable financing mix in
ready to ease monetary policy settings further and
favor of domestic sources and optimization
to deploy regulatory relief measures as needed,
of Official Development Assistance (ODA)
especially amid the sustained uncertainty brought
resource; (b) further diversifying funding
about by the COVID-19 pandemic. It will continue
sources and instruments; and (c) improving
to vigilantly monitor domestic and international
the liquidity of the government securities
developments for any emerging risks to the outlook
market. These strategies can be supported by
for both inflation and economic activity.
the Local Currency Debt Market Development
Roadmap—a reform package that focuses on
Pursue financial stability through macro-
deepening market liquidity, improving price
prudential measures. Systemic risks have become
discovery, and enhancing regulatory oversight
more prevalent, given the increasing complexity
and surveillance.5 In addition, ensuring that
of financial transactions. The Financial Stability
risks related to contingent liabilities are well-
Agenda is thus necessarily pre-emptive and will
managed could safeguard resilience of the
be geared towards containing systemic risks
country’s fiscal position to future shocks, such
such as the COVID-19 crisis within prudent
as pandemics. Overall, continuously developing
levels. Conducting macro-prudential stress test
the domestic capital market (see Monetary and
exercises is essential in quantifying how risks
Financial Sectors) and building safeguards
in the financial markets can be amplified
against external risks (see External Sector) will
and can create adverse implications for the real
complement the strategies mentioned above.
economy, and vice-versa. The recently approved

5
BTr, The Philippine Roadmap: Local Currency Debt Market Development, 2017.

Chapter 15 Ensuring Sound Macroeconomic Policy | 273


Macroprudential Policy Strategy Framework by the efficiency in trading of securities will
the Financial Stability Coordination Council be facilitated by policies such as the use of
(FSCC) and the Systemic Crisis Management forwards, in lieu of spot prices, consolidation
Framework currently underway will provide of the current exposures into fewer but deeper
guidance on how financial authorities will benchmark tenors, transparent and accessible
execute the financial stability agenda and handle pricing, and expansion of local investment
systemic risks in the Philippine financial system. options. Increased transparency such as
through a timely disclosure of delayed payments
Develop a more inclusive digital finance and contracts with cross-default provisions will
ecosystem. To ensure that the benefits of financial help boost investor confidence. Passage of the
digitalization are optimized, particularly by Collective Investment Schemes (CIS) Act, will
vulnerable sectors and MSMEs, the country’s harmonize its tax and regulatory framework,
digital financial infrastructure will be developed, provide an even playing field, and the same
including the regulatory frameworks and level of protection to the investing public. The
platforms that facilitate the scope, scale and SEC is drafting the rules on Corporate Debt
reach of DFS. Among others, the Philippine Funds, which will invest primarily in debt
Identification System (PhilSys), QR Ph, digital papers of large corporations and medium-sized
banking,6 and open banking are essential pieces enterprises that need liquidity to support their
in improving this infrastructure. The widespread capital and operating costs to sustain their
adoption of formal financial services remains a businesses, especially those affected by the
priority and will be promoted by leveraging on pandemic. On the other hand, the passage of
compelling use cases for digital payments (e.g., the proposed Package 4 of the Comprehensive
bills payment, receipt of wages, social transfers, Tax Reform Program (CTRP) can level
payment of government fees, etc.). This will be the playing field and remove tax arbitrage
complemented by consumer empowerment between subsectors of finance by reducing
through digital financial literacy and consumer and harmonizing withholding taxes across
protection policies, including for overseas Filipinos instruments and minimizing friction costs
(OFs) and their families (see Chapter 21). by eliminating the Initial Public Offering tax.

Encourage efficiency and innovation in • Foster growth of green and sustainable finance
microfinance and microinsurance for the market. The SEC has issued regulations and
domestic market. The ability of microfinance guidelines on the issuance of green, social,
institutions to provide digital financial services and sustainable bonds that are aligned with
will be enhanced. Private insurance providers ASEAN standards. Further, it has collaborated
will be encouraged to engage in the delivery of with multinational corporations such as the
microinsurance for agriculture, in addition to Asian Development Bank (ADB) to seek
the existing micro-health and pre-need services. assistance in developing the market. With
the increasing uptake of green bonds in the
Foster capital market development. country, the agency is currently studying the
possible publication of guidance for issuing
• Foster capital market development to secure transition and sustainability-linked bonds to
a well-functioning financial market that provide direction for issuers and assurance
is critical to financial stability. Developing for both domestic and foreign investors.
the domestic capital market and increasing

6
The Monetary Board approved the Digital Banking Framework which recognizes digital bank as a new bank category that is separate and distinct
from the existing bank classification. Digital bank is defined as a bank that offers financial products and services that are processed end-to-end
through a digital platform and/or electronic channels with no physical branches. (BSP, Circular No. 110, s. 2O2O Guidelines on the Establishment
of Digital Banks, November 25, 2020.)

274 | Updated Philippine Development Plan 2017-2022


• Support reforms and initiatives that aim to Use micro-prudential measures to promote
develop the domestic financial market and financial institution soundness and nurture
expand consumer protection. The proposed consumer protection. The resilience of financial
Financial Consumer Protection Law will systems depends on sound regulations and
provide a comprehensive financial consumer supervision from monetary authorities. Amid the
protection regime and empower financial COVID-19 crisis, regulatory relief measures have
regulators to implement specific enforcement been implemented to support financial institutions
actions. The establishment of digital supply and ensure liquidity flow into the economy.7
chain financing, credit risk database, and online Among others, these include the use of capital
collateral registry will enhance micro, small, and conservation and liquidity buffers to absorb
medium enterprises (MSMEs) access to finance. losses and support financing requirements of
To implement the Personal Property Security the overall economy and authorizing banks
Act, a personal property security registry will be to book their allowance for credit losses on a
developed by the Land Registration Authority staggered basis for a maximum period of five
(LRA). The amendments to the Warehouse years.8 Consistent with BSP’s prudential
Receipts Law of 1912 seek to establish an online framework, requests for the extension of eligibility
registry system where all electronic warehouse period for these measures will be evaluated
receipts can be lodged and accessed. Lastly, and handled on a case-by-case basis. In this
agriculture insurance, guarantee programs, manner, targeted and temporary supervisory
and other mechanisms that address risks in actions will be taken and blanket reduction or
the agriculture sector will be put in place to suspension of micro-prudential measures will be
strengthen agricultural financing (see Chapter avoided in dealing with the temporary impacts of
8). the pandemic. Communication and transparency
between the financial institutions, regulators, and
Develop the regulatory framework on Islamic the public will remain essential to provide a true
banking and finance. The Regulation and picture of the financial position of an institution and
Organization of Islamic Banks Act was signed guide regulators in designing appropriate policy
into law in 2019. There were also provisions on responses.9
Islamic banking contained in the Bangsamoro
Organic Law. The BSP has issued drafted circulars • Strengthen monitoring of insurance sector and
on the guidelines on the establishment of expand information campaigns on available
Islamic banks and Islamic banking units, and products and services. The economic impact of
the guidelines on the Shari’ah Governance COVID-19 outbreak on the insurance sector is
Framework. In addition, there is an ongoing significant and multi-faceted. As the COVID-19
technical assistance from the ADB to expand pandemic accentuated the need for insurance
Islamic financial services in the Philippines, services and products, intensified informational
which include capacity-building programs to campaigns on available products and services
discuss Islamic finance. will be necessary to reach the public. Improved
insurance literacy will help protect consumer
interest and enable them to make sound and
well-informed financial decisions. The rise in

7
BSP, Memorandum No. M-2020-039, Utilization of Basel III Capital and Liquidity Buffers, May 4, 2020.
8
BSP, Memorandum No. M-2020-008, Regulatory Relief for BSP-Supervised Financial Institutions (BSFI) Affected by the Corona Virus Disease
2019 (COVID-19), March 14, 2020.
9
International Monetary Fund (IMF), Banking Sector Regulatory and Supervisory Response to Deal with Coronavirus Impact (with Q and A),
Special Series on COVID-19, May 13, 2020.

Chapter 15 Ensuring Sound Macroeconomic Policy | 275


insurance claims,10 coupled with the possibility • Strategically participate in bilateral, regional,
of insurance companies including pandemics and global integration, and optimize the
in the coverage of their future policies, will utilization of existing free trade agreements
likely result in an increase in insurance (FTAs). Trade tensions between major trading
premiums in the near-term. The possible surge partners US and China exacerbated by mobility
in demand for insurance products may give restrictions to stem the rise in COVID-19 has
rise to insurance fraud, which will affect both dampened trade (see Chapter 2). Philippine
consumers and insurers. As such, there is a need merchandise exports and imports are expected
to strengthen the monitoring of the insurance to decline in 2020 by 16 percent and 18 percent,
sector to avoid capital and liquidity problems respectively. The pandemic has also highlighted
that could lead to insolvency of insurance the significance of diversifying products and
companies and to ensure consumer protection. markets to reduce vulnerability to supply
constraints and shifts in production chains.
Sustainable and resilient external sector
To ensure that utilization of existing
preferential market access is enhanced and
Maintain adequate foreign exchange reserves and
facilitated, the reach of advocacy programs
market-determined exchange rate. The country’s
will be expanded through information sessions
flexible exchange rate policy should provide
and greater use of data-driven analytics. This
macroeconomic stability amid external headwinds.
will be complemented by the development of
In addition, the BSP implements measures to
a database for utilization of FTA agreements
cushion the impact of sharp peso movements
and an assessment tool to identify gaps and
such as maintaining a healthy level of forex (FX)
formulate initiatives to enhance utilization.
reserves as a buffer, reviewing and adjusting
The compliance of partner countries with
macro-prudential measures, and using liquidity-
their FTA commitments will be closely
enhancing and management tools such as the
monitored. The government will pursue
United States (US) dollar repo facility, exporter’s
negotiations to expand or lock-in current
dollar and yen rediscounting facilities, and
preferential concessions, such as the review of
the enhanced Currency Rate Risk Protection
the Philippines-Japan Economic Partnership
Program, among others. Lastly, amid the
Agreement and the ASEAN+1 FTAs. In
COVID-19 pandemic, the BSP implemented
addition, active negotiations will be carried out
operational relief measures for FX transactions
with existing trading partners, such as in the
to help stabilize market conditions and restore
proposed Regional Comprehensive Economic
confidence. These relief measures, which aim to
Partnership Agreement, the Philippines-Korea
facilitate the public’s access to FX resources of
FTA, the Philippines-EU FTA, and a possible
the banking system to finance legitimate
agreement with the USA.
transactions, are effective only for the duration
of the declaration of any form of “community
The existing governance structure on
quarantine” by the Office of the President (OP),
negotiations for international trade agreements
or as may be extended by the BSP.
will be strengthened. Effective coordination
among different interagency bodies involved
Scale up and diversify products and markets. in international trade agreements, timely
monitoring and assessment of gains and
challenges, and capacity building activities

10
Based on the survey conducted by the Insurance Commission (IC), total COVID-19 related payouts amounted to PHP 326.95 million, of which
PHP 19.68 million were ex-gratia payments. The survey was conducted from April 16 to May 8, 2020. (“Life and Non-Life Insurers, Mutual Benefit
Associations (MBA) and Health Maintenance Organizations (HMO) Exhibit Financial Resiliency Against COVID-19-Related Claims, According
to Survey Conducted by the IC,” Press Release, June 4, 2020).

276 | Updated Philippine Development Plan 2017-2022


to develop a continuing pool of trade efforts for international leads. As digital
negotiators, will enhance the country’s transactions become the new norm, firms must
capacity to forge strategic trade agreements. be able to harness the potential of the internet in
conducting their businesses. Local exporters will
The government is presenting the Philippines be capacitated to increase their online presence
as a complementary host country for the and be sensitized to potential changes in market
production of health products, electrical preferences (e.g., shift in demand to comfort
equipment and appliances, metal products, wear, electronics, protective equipment). In
automotive and auto parts, machinery and lieu of physical trade missions and fairs, online
equipment, optical lenses, and furniture to firms business to business (B2B) matching events and
that were either affected by the COVID-19 realistic virtual trade fairs with improved visual
pandemic in China or the trade tension between content and detailed product descriptions will
China and the USA. The government will also be considered as avenues for trade promotion.
leverage the country’s preferential access to the The Department of Trade and Industry (DTI)
US and EU (through the Generalized System of and the Department of Foreign Affairs (DFA)
Preferences [GSP] scheme). will likewise bolster a feedback mechanism
with diplomatic posts, trade, and agricultural
• Enhance economic and technical cooperation attaches to obtain accurate information on
with trading partners and pursue strategic market access opportunities, especially in non-
partnerships with other non-traditional traditional but strategic markets, and provide
trading partners. Enhancing existing market relevant and timely information in a
cooperation with major partners while forging single website. Platforms such as the Philippine
new partnerships and engaging non-traditional Trade Repository and the TradeLine will be
but strategic partners are vital approaches made more user-friendly and refocused on
to strengthen the country’s position in these practical content for exporters and potential
markets and open up new opportunities for buyers.
our exporters. Fragmentation of global trade
and supply linkages and the trade measures Consistent national branding strategies will be
implemented by various countries during the utilized across goods, services, and investment
pandemic (see Chapter 2) also point to the need sectors to ensure maximum recall and
to expand cooperation with traditional and non- effectivity. Design-centric and quality-driven
traditional trade partners. Regional stockpiling products will be promoted in niche markets.
and operationalizing of a logistics scheme to For instance, sustainable and eco-friendly
ensure supply of essential goods will be explored, indigenous materials (such as bamboo) can
in line with the goals of ASEAN Connectivity be used for market segments with a specific
2025 on promoting seamless logistics in the preference for these types of products.
region. The country will also engage non- Moreover, green certification among MSMEs
traditional partners in Eastern Europe, will be aggressively promoted by the DTI.
Northern and Central Asia, Middle East, Green-trepreneurs will also be encouraged
Latin America, and Africa through dialogue to become global by supporting the conduct
mechanisms or possible trade agreements. of the Green Business Forum, among others.
Green certification provides an opportunity for
• Intensify promotion of Philippine exports MSMEs to gain competitive advantage against
in digital platforms and targeted marketing large companies as global demand for green

Chapter 15 Ensuring Sound Macroeconomic Policy | 277


products are steadily on the rise.11 Support for as well as put in place innovative and alternative
the use of green certification among MSMEs business processes that will become the
will be provided. new standard on engaging clients, buyers,
and suppliers. The digitalization of these
Participation in investment promotion events operations will enable the Philippines to
or high-level outbound missions to Korea, increase the reach of its products, develop
Japan, China, Taiwan, and the US may be timed product lines that respond to consumer
with bilateral FTA negotiations or meetings. demand, promote trade through virtual tours,
discover better marketing leads, and reallocate
other resources to diversify and develop
Improve overall climate for export development.
non-traditional exports.
Continuous structural reforms will serve as the
Through the Inclusive Innovation Industrial
backbone of ongoing efforts to develop a better
Strategy (i3S), a competition-innovation-
business environment and create development
productivity relationship will be pursued
opportunities.
to address a highly-liberalized market
environment by growing innovative and
• Strengthen supply side interventions to
globally-competitive manufacturing, agriculture,
improve the quality of Philippine exports. The
and services sectors to combat challenges as
issuance of a National Quality Infrastructure
a result not only of globalization but also of
Law will be pursued to establish the country
rising regional economic integration.
as a provider of quality products (see Chapter
9). To ensure supply chain resilience, better
While Information Technology and Business
business continuity planning in the export
Process Management (IT-BPM) continues
sector will be supported. Logistics reforms
to lead the services exports sector, it needs to
such as strategic warehousing as well as cold
innovate to stay ahead.12 The government will
chain systems will be prioritized. An integrated
encourage investments in skills development to
website tracking real-time information on cargo
tap into higher-value services like animation,
release, availability of supply, production, and
data analytics, and cloud computing by
inventory is useful for the national government
strengthening its industry-academe linkages.
and LGUs, as well as the private sector, to avoid
The country needs to harness its comparative
disruptions and uncoordinated supply flow. A
advantage in emerging creative industries (i.e.,
registry or database of importers and traders
heirloom and furniture production, weaving,
will also be developed for seamless issuance
advertising, architecture, culinary arts, film,
of permits and necessary trade documents to
performing and visual arts, animation, and
ensure a steady supply and to keep track of
game development) (see Chapter 9). The Shared
inventories, particularly during emergencies.
Service Facilities Project of the DTI will improve
The present warehouse receipt system will be
the competitiveness of MSMEs (see Chapter 9).
overhauled to include the creation of an online
electronic warehouse receipts registry system.
Engaging the private sector to invest and set up
more agri-based industries will also help in
Upgrading of production processes will be
developing agricultural products for exports
pursued to integrate automation of operations,
(see Chapter 8). Programs that link MSMEs to

11
Green products are those that are considered as natural, healthy, eco-friendly, and socially responsible. These also include products that carry
eco-labels confirming that the products meet voluntary sustainability standards or international private standards through third-party certification
such as organic-certified, fair-trade-certified, culture-based certified (i.e., Halal, Kosher, vegan), environmentally-sustainable (i.e., cruelty-free,
dolphin safe, UTZ certified, Forest Stewardship Council-certified, Scientific Certification Systems, Inc.-certified), and have natural content.
12
IT-BPM covers multiple information technology and business process activities while Business Process Outsourcing (BPO) only covers contact
centers (i.e. voice and non-voice) outsourcing services.

278 | Updated Philippine Development Plan 2017-2022


large companies that are part of or operate their shall be primarily designed to facilitate the
own global supply and/or value chains will be release and enhance monitoring of shipments
sustained (see Chapter 9). and transport of basic and critical goods from
ports to LGUs. The joint undertaking will
The government will prioritize logistics reforms strengthen the lines of communication among
that will rationalize the freight system and the NG, LGUs, and private sector, enabling
establish strategic warehousing, as well as cold the immediate dissemination of critical
chain systems. Enterprises will be encouraged information regarding supply and logistical
to rethink and adjust production and storage concerns on basic necessities and critical goods
facilities to ensure optimum access with the during emergencies. The development of a
least disruptions. Development of partnerships compendium of standard operating procedures
with local suppliers to reduce vulnerabilities in times of crisis shall also be among the group’s
will be supported. The formation of a Supply primary outputs as it shall serve as a useful
Chain and Logistics Committee which will be resource for future emergency situations.
responsible for identifying and implementing
programs that will improve the flow of goods • Pursue full implementation of enabling laws,
will be considered. support amendments to investment-related
laws, and ensure timely implementation of
Amendments to the Customs Modernization trade facilitative platforms. Implementation
and Tariff Act (RA 10863) to allow for the of the TradeNet will be accelerated to ensure
expeditious process of tariff modifications in efficient government services and a robust
times of crises will be considered to augment monitoring and evaluation framework that
local supply. Likewise, amendments to the will facilitate the movement of cargo through
Special Economic Zone Act of 1995 (RA the digitalization of processes and payments.
7916) may be considered to relax export The new system shall also curb trade costs
requirements pertaining to threshold values and create ease in securing trade documents.
for domestic sales in cases of emergency
as declared by the President and subject to Full implementation of the Ease of Doing
applicable laws, rules, or regulations. Further, Business and Efficient Government Service
incorporating amendments related to provisions Delivery (EODB-EGSD) Act will be pursued to
that will address alternative work arrangements streamline processes or regulations that impede
may also be considered. Currently, issuances exports. The Public Service Act will also be
from the DOLE13 and Memorandum Circulars14 pushed, which will allow foreign investments
issued by the PEZA enable work from home in transport and communication. This, in turn,
arrangements given the current situation. can help reduce shipping costs (see Chapter
9). Other legislations that will allow foreign
• Develop a holistic communication competition and improve the competitive
management system and increase market environment such as the Foreign Investments
intelligence responsive to dynamic consumer Act (FIA) and the Retail Trade Liberalization
preferences. The DTI, the Department Act (RTLA) shall also be pursued.
of Agriculture (DA), and the Bureau of
Customs (BOC) will work together with Development of mechanisms to track initiatives
the Department of Interior and Local related to regulations will enable the country
Government (DILG), in establishing a crisis to align regulations with other countries and
communication management system which identify necessary capacity building initiatives

DOLE, Labor Advisory 2020-17. Guidelines on the Employment Preservation upon the Resumption of Business Operation, May 16, 2020.
13

Philippine Economic Zone Authority (PEZA), Memorandum Circular 2020-011, PEZA Assistance to Ecozone I.T. Enterprises in Responding to
14

COVID-19, March 5, 2020.

Chapter 15 Ensuring Sound Macroeconomic Policy | 279


and norm-setting. The enforcement of science- the technology-enabled platforms in the
based sanitary and phytosanitary (SPS) conduct of webinars, web conferences, and
protocols will be strengthened to guard against online media advertisements, and the creation
various diseases that may be brought in through of websites and visual content for online trade
imports. Relevant agencies such as the Bureau promotion activities. Among the priority
of Quarantine and other regulatory agencies sectors will be electronics, food (including
shall be equipped with detection equipment urban farming), IT-BPM, tourism, education,
and the hiring of properly trained personnel. healthcare, logistics, construction, personal
protective equipment (PPE), solo mobility
The government will also provide adequate solutions/transport-related products and
information and communications technology services, and creative industries.16
(ICT) and logistics infrastructure to achieve
connectivity and facilitate the movement of Industry roadmaps that will include the
traded goods (see Chapter 9). This will allow for development of business continuity plans for
the use of electronic Certificates of Origin and promising export-oriented industries will
electronic SPS Certificates under the ASEAN be developed to better prepare firms for the
Single Window to reduce trade costs. challenges of the new normal. The Board of
Investments (BOI) will continue to work with
The Philippine Trade Facilitation Committee the industry, specifically for export-oriented
will also be established to improve and priority industries, in coming up with
coordination of trade facilitation regulations recovery plans and preparing/updating of
and procedures in line with the country’s industry roadmaps to prepare and assist
World Trade Organization (WTO) firms for changes brought about by the new
commitments.15 normal.

The DTI under the Regional Interactive


Accelerate provision of targeted, focused and
Platform for the Philippine Exporters
comprehensive packages of support for specific
Plus (RIPPLES Plus) and Philippine Halal
products and services sectors.
Export Development and Promotion
Program (PHEDPP) will likewise continue
• Target support to specific sectors that have
to coordinate with other trade promotion
great potential to improve the country’s
agencies and the private sector to undertake
external position. A comprehensive package
export development and marketing activities
of support measures related to product
to expand the supply base of internationally-
development, research, capacity-building,
competitive Philippine export products and
and marketing approaches will be provided
services and to provide intensified, purposive,
to assist exporters in restarting operations
and practical assistance.
in a calibrated manner while maintaining
minimum health standards. To improve the
response to product demand shifts in the long-
term, capacity-building programs through
education and training activities for exporters
shall be implemented to fully tap technology-
enabled B2B/e-commerce platforms and
engage in trade marketing activities despite
the pandemic. These would include tapping

15
This is a commitment under Article 23.2 of the WTO Trade Facilitation Agreement.
16
Includes film, animation, game development, graphic arts and design, and advertising.

280 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
Table 15.2 Updated Legislative Agenda to Sustain a Sound, Stable, and Supportive Macroeconomic
Environment

LEGISLATIVE AGENDA RATIONALE

Fiscal Sector

Passage of the This seeks to amend the National Internal Revenue Code of 1997 to achieve a simpler,
remaining packages of fairer, and more efficient tax system.
the Comprehensive Tax
Reform Program1/ Among the packages, Package 2 or the CREATE is a priority. The measure aims to
institute reforms in the corporate tax system (e.g., reduce corporate income tax rate) and
the fiscal incentives system, directing them toward strategic growth industries, to attract
greater foreign investment and generate more jobs.

Digital Taxation This will ensure a level playing field between traditional industries and the digital economy
Framework given the expected shift of the private sector to online transactions amid the new normal.

Unified Pension Reform The bill aims to introduce reforms in the military and uniformed personnel’s (MUP)
Bill pension system, which, among others, include (a) mandatory contribution scheme; and
(b) increase in the compulsory retirement age, to curb the ballooning pension costs and
to ensure fiscal sustainability.

Budget Modernization Bill The proposed legislation aims to institute sound Public Financial Management (PFM)
practices to promote transparency, accountability, and efficiency in the use of public
resources.

Amendment to the This will allow the exemption of key priority infrastructure projects from the ban during
Omnibus Election Code the election period in order to ensure the timely implementation of these projects.

Update the 1976 This measure seeks to revise the outdated provisions of the Government Auditing Code
Government Auditing considering the technological advancements, innovations, and other changes in the
Code of the Philippines conduct of government auditing across the globe.
(Presidential Decree 445)

LGU Income Classification The proposed bill aims to institute the income classification of provinces, cities, and
Bill municipalities, to make it reflective of the LGUs’ financial capability, particularly their
ability to generate locally-sourced revenues.

Key legislative measures that will improve local government finance, such as the LGU Property Insurance Bill (see
Chapter 19) and Amendment to the Local Government Code of 1991 (see Chapter 5).

Chapter 15 Ensuring Sound Macroeconomic Policy | 281


LEGISLATIVE AGENDA RATIONALE

Monetary and Financial Sector

Enactment of the This will empower financial regulators to formulate and implement rules and regulations,
Financial Consumer conduct surveillance and examination, monitor supervised entities, and have enforcement
Protection Law powers relative to financial consumer protection.

Amendments to the This will make financial institutions comply with international standards on transparency
Bank Secrecy Law and help facilitate investigations on tax evasion, money laundering and other financial
crimes.

Amendments to the The proposed amendments will enable SEC to enforce its rules and regulations relative to
Securities Regulation its supervision over the corporate sector, the capital market participants, the securities
Code and investment instruments market, and the investing public.

Collective Investment The bill will provide a comprehensive regulatory and legal framework for Collective
Schemes Bill Investment Schemes.

Amendments to the This will overhaul the present warehouse receipt system and provide an online registry
Warehouse Receipts Law system where all electronic warehouse receipts can be registered and accessed.

Amendments to the This seeks to amend the Agri-Agra Reform Credit Act of 2009 (RA 10000) to strengthen
Agri-Agra Law rural development by providing for a holistic approach that takes into account the broader
agriculture financing ecosystem and rural community development requirements.

Financial Institutions The bill aims to maintain the financial health of banks and other financial institutions in
Strategic Transfer Bill order to cushion the adverse economic impact of the COVID-19 pandemic.

Government Financial GUIDE will provide financial assistance to firms that are strategically important to
Institutions Unified economic recovery, in view of their role in providing employment and supporting the
Initiatives to Distressed Philippine economy.
Enterprises for Economic
Recovery (GUIDE) Bill

External Sector

Amendment of the This will allow for the expeditious process of tariff modifications in times of crisis in
Customs Modernization order to augment local supply and ensure that essential medical supplies are stable.
and Tariff Act (RA
10863)

Amendments to the The proposed amendments aim to consider relaxing export requirements and incorporate
Special Economic Zone provisions which will address telecommuting and work from home arrangements in
Act of 1995 response to the pandemic.

Key legislative measures that will promote a sustainable and resilient external sector include measures listed under
Chapter 9 such as National Quality Infrastructure Bill, Amendment to the FIA, and Amendment to the RTLA.
1/
Also includes Package 2+: Mining Fiscal Regime, Package 3: Real Property Valuation, and Package 4: Passive Income and Financial Intermediary Taxation

282 | Updated Philippine Development Plan 2017-2022


16
Promoting
Competition
CHAPTER 16

Promoting Competition
Competition makes markets perform better and promotes inclusive economic growth. It
induces producers to reduce costs, innovate, and widen the range of goods and services
available to consumers. It allows a level playing field where small entrepreneurs and firms,
apart from larger players, may operate and grow. Competition raises productivity, expands
economic opportunities, increases people’s real incomes, and improves overall welfare. It
especially benefits the poor through job creation and lower prices made possible by the entry,
growth, and expansion of efficient firms and through greater variety and higher quality of
goods and services.

The Philippine Development Plan (PDP) 2017-2022 reinforces the Philippine Competition Act
(PCA) through strategies that aim to foster an environment that penalizes anti-competitive
practices, facilitates entry of players, supports regulatory reforms, and improves trade policies
to stimulate investments and innovation and boost competitiveness.

As the country reels from the economic consequences of the COVID-19 pandemic, there is a
need to refocus the government’s strategies and interventions towards a healthy and resilient
Philippines. Hence, this chapter outlines strategies and interventions that stimulate economic
recovery and restore market efficiency to ensure a more resilient, inclusive, and competitive
market.

Assessment and Challenges


Assessment: The unrelenting efforts of the difficulty in covering overhead costs, and supply
government and its proactive interventions to chain interruptions. While work-from-home
sustain healthy competition in the market have arrangements and digitalization made it possible
yielded positive results. The performance of the for business operations to continue, these worked
Philippines in terms of the Global Competitiveness for only a small percentage of firms in the country.
Index (GCI) from 2016 to 2018 recorded an Hence, in our transition to the new normal, the
improvement, although with a slight drop in 2019. government needs to refocus its interventions to
This notwithstanding, the country’s performance in fast-track economic recovery to ensure that markets
terms of product market efficiency and market size are resilient, inclusive, and competitive. Financial
as well as business dynamism vis-à-vis the annual and technical support should be provided to firms
plan target for 2019 posted notable improvements. especially MSMEs to help them recover from the
However, in the face of the COVID-19 pandemic, adverse effects of the pandemic and be able to
micro, small, and medium enterprises (MSMEs) thrive in the market. Government interventions
had to temporarily close due to community should be carefully considered to ensure a level
quarantine restrictions, and their cash flow playing field and avoid market distortions. The
constraints have resulted in increased debt, current regulatory framework should be reviewed

Chapter 16 Promoting Competition | 285


to ensure that government regulations do not pose Memorandum Circular (JMC) on the NCP that was
a barrier for firms to enter and re-enter the market signed by the National Economic and Development
and hamper competition. Similarly, potentially Authority (NEDA) and the Philippine Competition
anti-competitive agreements should be examined Commission (PCC). Considering the economic
to prohibit price fixing, output limitation, market consequences of the pandemic, improving the
sharing, and activities that abuse dominant position. regulatory environment becomes even more crucial
to help MSMEs enter or re-enter the market and
Challenges: Advancing pro-competitive policies thrive. Strong enforcement against cartels and
remains one of the challenges in leveling the other anti-competitive practices is also essential
playing field. The implementation of the National to ensure consumer welfare protection. Awareness
Competition Policy (NCP) requires a whole-of- of competition, especially in the regions remains
government effort to ensure that government low, thus continuous advocacy of the PCA should
responses and interventions follow competition be pursued to increase public awareness, not only
principles to address market failures and of the PCA but also of the vital role of PCC, in
distortions especially those arising from the promoting competition.
COVID-19 pandemic. To this end, the issuance
of an Administrative Order (AO) by the President
is being sought to lend more strength to the Joint

Targets
The remaining plan period is geared towards addressing the gaps and challenges in promoting and enforcing
competition while taking into consideration the challenges arising from the new normal.

Table 16.1 presents the baseline values (2016) for each core indicator as well as the plan targets (in percentile
rank) for 2020 up to the end of plan targets in 2022.

286 | Updated Philippine Development Plan 2017-2022


Table 16.1 Updated Plan Targets to Promote Competition

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 a
2021 2022 END OF PLAN

59
63 63 64 64
Global Competitiveness Index (GCI) ranking improved (Top 41%)
(Top 37%) (Top 37%) (Top 36%) (Top 36%)
2016

62
69 70 71 71
Business Dynamism improvedb (Top 38%)
(Top 31%) (Top 30%) (Top 29%) (Top 29%)
2016

28
63 62 65 65
Product Market Efficiency improved (Top 72%)
(Top 37%) (Top 38%) (Top 35%) (Top 35%)
2016

17
20 21 22 22
Extent of Market Dominance improvedc (Top 83%)
(Top 80%) (Top 79%) (Top 78%) (Top 78%)
2016

78
80 78 80 80
Market Size improved (Top 22%)
(Top 20%) (Top 22%) (Top 20%) (Top 20%)
2016

15
29 32 35 35
Burden of Government Regulation improvedd (Top 85%)
(Top 71%) (Top 68%) (Top 65%) (Top 65%)
2016

68.56
Starting a Business Score improvede 83 100 100 100
2016

a
2020 targets were set prior to onset of the COVID-19 pandemic; 2021, 2022, and end of plan targets were adjusted to take into consideration the ill effects of the
pandemic.
b
Business Dynamism is one of the 12 pillars of the GCI under "innovation and sophistication" sub-index measured, in terms of supplier quality and quantity and value
chain breadth, among other indicators.
c
Extent of Market Dominance is an additional indicator which the Planning Committee for Chapter 16 deems contributory in ensuring healthy competition in the
country. Extent of market dominance is an index under product market efficiency pillar that captures the characteristics of corporate activity in a country; either
dominated by few business groups or spread among many firms.
d
Burden of Government Regulation is a substitute for the old indicator, “Product Market Regulation,” which has been removed due to the issue in the regularity of its
release. It measures government performance vis-à-vis existing regulations for businesses in complying with government administrative requirements (e.g., permits,
regulations, reporting).
e
Starting a Business is a substitute indicator for “regulatory compliance costs incurred by firms reduced (PHP),” which has been removed due to the absence of a
standard methodology in measuring regulatory compliance cost. It is one of the World Bank’s (WB) ease of doing business indicators and is deemed more appropriate
in measuring the reduction of limits to entrepreneurship.

Chapter 16 Promoting Competition | 287


Strategic Framework
In light of the ill effects of the COVID-19 players alongside larger ones, may operate and
pandemic, the revised strategic framework thrive. Improving the regulatory environment to
presents strategies aimed at hastening economic reduce barriers to entry and facilitate the re-entry
recovery. Specifically, it focuses on sustaining of firms that may have closed down as a result
promotion of competition and implementation of of the community quarantine restrictions will
the PCA and other competition-related issuances likewise be pursued.
to create a level playing field where small business

Figure 16.1 Strategic Framework to Promote Competition

288 | Updated Philippine Development Plan 2017-2022


Strategies
Improving consumer welfare Improving market efficiency
Diminishing anti-competitive practices Reducing barriers to entry and re-entry

Strengthen investigation, detection, and Conduct market scoping studies in priority


prosecution of conducts and agreements that sectors to facilitate competition among MSMEs.
may substantially prevent, restrict, or lessen Considering the economic consequences of the
competition. The investigation of potentially COVID-19 pandemic, the government will provide
anti-competitive behavior while maintaining an financial and technical support to MSMEs to
environment where businesses and government- enable them to thrive in a market participated in by
owned and controlled corporations (GOCC) can larger and more established foreign and domestic
compete on a level playing field will be pursued. The players. For MSMEs to better respond to increasing
impact of the actions of firms on market efficiency, customer expectations and competition in the
competition, and consumer welfare will be quantified. market, digitalization of business processes, capacity
This information will be useful to the public, as well building on formulating and implementing business
as policymakers in understanding the seriousness continuity plans, and upskilling and retooling of
of the competition problems, in certain sectors and the workforce should be adopted. The PCC, NEDA,
of the benefits that could be derived from inhibiting and the Department of Trade and Industry (DTI)
anti-competitive practices. will continue to conduct market scoping studies
in priority sectors that will provide comprehensive
Noting the likelihood of firms forming cartels in market analysis and identify concerns that need to
the guise of corporate re-structuring and forming be addressed. Other strategies to ensure the welfare
monopolies by way of mergers or acquisitions during and development of MSMEs are cross-referenced in
the pandemic, the PCC will strictly monitor the Chapter 9.
prevalence of acts in violation of the PCA and other
competition-related laws and issuances to protect Improve the regulatory environment by
the welfare of firms and consumers. It will heighten addressing restrictive laws and regulations that
efforts in addressing anti-competitive practices in hamper competition. To increase the number
the new normal to ensure that firms do not engage of business players in the market and facilitate
in cartelistic agreements, abuse of dominance, and their entry and re-entry, especially MSMEs, the
other anti-competitive conduct. government will address barriers to entry that stem
from government regulation, patent protection,
On the other hand, collaborative efforts among start-up costs, education, licensing requirements,
competing firms to ensure more effective and efficient or technological challenges.
delivery of essential services and articles of prime
necessity in the new normal may be considered, In the services sector, the government will open
subject to the PCA and other competition-related sectors to foreign players and consider the enactment
laws and issuances. of legislation that will ease requirements for the
practice of professions in the country to not only
Office for Competition (OFC) under the increase competition but also push local players to
Department of Justice will gear towards a virtual further improve their goods and services. Opening
platform for the conduct of training for prosecutors, the telecommunications sector, for instance, will
investigators, and staff to better enhance institutional ensure more reliable internet services in the country
capacity. The OFC will fully implement the recently and digitalization of businesses, especially of small
issued Rules Implementing the Criminal Provisions business players and MSMEs in the new normal.
of the PCA, which includes provisions for electronic
filing of complaints and applications for criminal
leniency.
Chapter 16 Promoting Competition | 289
In the construction sector, the government will and implementation of the Central Business
address public restraints by reviewing regulations Portal (CBP), as mandated by the Ease of Doing
that hinder competition such as the nationality- Business and Efficient Government Service Delivery
based distinction, which creates an uneven playing (EODB-EGSD) Act of 2018. The CBP will facilitate
field between local and foreign contractors. The faster and more convenient ways of registering, as
subsequent strengthening of regulatory quality well as securing and submitting other business-
within the industry will effectively reduce the formal related permits. It will promote interconnectivity,
and informal costs of doing business that held back integration, and linkage of the systems developed by
sector efficiency and performance far below its the national government agencies (NGAs) and the
inherent potential for so long. local government units (LGUs).

To address other technological challenges, the The ARTA will be strengthened in terms of
government will continue to support research and regulatory management practices to include
development efforts to further pursue technological reducing unnecessary regulatory burdens and
advancements in the country. requirements. To achieve this, the ARTA will
  continue coordinating with relevant government
Institutionalize the use of the Competition agencies for the implementation of Program
Assessment Manual/Toolkit. The PCC will adopt NEHEMIA (National Effort for the Harmonization of
the Competition Assessment Manual/Toolkit Efficient Measures of Inter-related Agencies), which
in identifying and reviewing potentially anti- commenced in the first quarter of 2020. NEHEMIA
competitive laws and regulations that address several is an interagency program that aims to streamline
development objectives but have unwarranted and reengineer inter-agency processes affecting
consequences on market competition. This priority sectors of economic and social significance.
manual/toolkit will be a capacity-building tool for The priority sectors for the 2020 cycle of Program
government agencies to enhance their understanding NEHEMIA are: (a) food and pharmaceuticals, (b)
of pro-competition interventions. It will enable telecommunication towers, (c) power/energy, (d)
government agencies to determine the impact of housing and construction, and (e) logistics.
these laws and regulations on market competition,
and possibly develop alternative regulations that Establish the Philippine Business Databank
are able to achieve development goals with the least (PBD). The PBD will be established pursuant to the
harm to competition. To ensure improvement of EODB-EGSD Act to provide the government a single
the quality of regulations, the principles and steps point of access to data and information of registered
under the manual/toolkit will be integrated into the business entities to verify their existence, validity,
Regulatory Impact Assessment (RIA) manual being and other relevant information. It will include the
formulated by the Anti-Red Tape Authority (ARTA). Philippine Standard Industrial Classification, a
detailed classification of industries prevailing in the
Reducing limits to entrepreneurship country according to the kind of productive activities
undertaken by establishments. With this in place, the
Streamline business registration and permitting PBD will serve as a medium in implementing a more
processes. To minimize the number of transactions streamlined and uniform procedure for the issuance
and physical contact with various government of business-related licenses, clearances, permits,
agencies during business registration and certifications, or authorizations. It will facilitate
submission of business-related requirements, the online submission of documentary requirements
ARTA will continue to promote the establishment and processing of requests. This arrangement will
and implementation of one-stop shops and adoption facilitate ease of doing business, enticing more
of online registration system across the government. firms to participate in the market at the local level.
The ARTA will continue to coordinate with the It also enhances the zero-contact policy, curbing
Department of Information and Communications corruption, and ensuring public health and safety in
Technology (DICT) and monitor the development view of the COVID-19 pandemic.

290 | Updated Philippine Development Plan 2017-2022


Cross-cutting Strategies appropriate recommendations to the President to
ensure, among others, the separation of proprietary
Issue and implement the NCP. A Joint and regulatory activities. Moreover, the GCG and
Memorandum Circular embodying the NCP has the DBM will lead in the drafting of guidelines on
been issued by the NEDA and the PCC. However, to the grant of subsidies in favor of GOCCs based
ensure a whole-of-government effort and support on an assessment of the nature, form, extent, and
to promote competition, the issuance of an AO by costs and benefits of these government subsidies
the President will be sought. and interventions and their impact on the business
environment. They will also implement regulatory
The NCP prescribes guidelines to steer regulations and non-regulatory measures to neutralize any
and administrative procedures of government advantage or disadvantage that may accrue due to
agencies to level the economic playing field. It will public sector ownership.
direct and guide all NGAs, GOCCs, and LGUs
to ensure that all policies, rules and regulations, Lastly, under Enforcement of Competition-related
actions, and interventions are not anti-competitive. Laws and Issuances, the government will uphold
the original and primary jurisdiction of the PCC
The NCP highlights three key elements: Pro- over issues involving cartel agreements, abuse of
competitive Policies and Government Interventions; dominance by firms, anti-competitive mergers and
Competitive Neutrality; and Enforcement of acquisitions, and other anti-competitive behaviors.
Competition-related Laws and Issuances. In support of the mandate of the PCC, all
government agencies will identify specific actions
Under Pro-competitive Policies and Government within their areas of responsibility to promote
Interventions, the government will ensure that all competition and eliminate anti-competitive
policies, laws, rules and regulations, issuances, behavior and undue regulatory burdens on
and other interventions do not unnecessarily competition.
distort competition. It will amend or repeal anti-  
competitive laws and regulations and factor in Strengthen capacity of relevant agencies to foster
market competition in the formulation of new competition. The PCC and the OFC will continue
policies. The adoption of this element in the design to implement capacity-building programs aimed
of government interventions will reduce barriers at strengthening the technical competencies of
to entry and re-entry as well as reduce limits the government in developing interventions
to entrepreneurship. This will be beneficial in and measures to address anti-competitive and
facilitating the market participation of more firms, other pernicious practices affecting the supply,
especially MSMEs, which are among the most distribution, and movement of goods and services,
affected by the COVID-19 pandemic. especially during emergencies. These programs
will be made available through in-person training
Under Competitive Neutrality, the government and classes (subject to strict physical distancing
will ensure that the GOCCs and private sector protocols) or through distance learning such as
businesses compete on a level playing field. Unless online courses and webinars.
it can be clearly demonstrated that greater public
interest will be served and the undertaking lacks Increase understanding and awareness of market
commercial viability, the GOCCs will not enjoy net competition, the PCA and the PCC. Household
competitive advantages or disadvantages over private surveys show there is still low appreciation and
sector businesses simply because of public sector awareness of market competition, including the
ownership. To promote competitive neutrality, the PCA and the PCC. While it has conducted regional
Governance Commission for GOCCs (GCG) and roadshows before the COVID-19 pandemic,
the Department of Budget and Management (DBM) the PCC will sustain its grassroots campaign. It
will continue to review the mandates of the GOCCs will form strategic partnerships with education
within their respective jurisdictions and make institutions, among others, and utilize traditional

Chapter 16 Promoting Competition | 291


as well as social media to conduct advocacy Program, which offers immunity from suit or
initiatives that can help increase awareness on reduction of administrative fines to any entity that
market competition and its benefits to the public. participates in an anti-competitive agreement1 but
Through these campaigns and advocacy initiatives, offers to provide information and full cooperation
the PCC will also engage citizens to play an active during the investigation and prosecution of the
role in monitoring and reporting anti-competitive violation. As one of the tools used by competition
practices through a complaint desk via trunkline agencies in detecting cartels, this program facilitates
and online platform. the reporting of cartel members of their anti-
competitive conduct to aid the PCC and the OFC in
Expand the mechanism for various sectors to the investigations and prosecution. Citizens will also
report potential violations of competition. the be encouraged to report violations of competition
PCC will sustain its implementation of the Leniency to the said agencies.

Legislative Agenda
To strengthen the country’s promotion of market competition, the government will work towards the
passage of the following key legislation:

Table 16.2 Legislative Agenda to Promote Competition

LEGISLATIVE AGENDA RATIONALE

Amendment of the This measure will define “public services” and “public utilities,” which have been used
Public Service Act interchangeably, to distinguish the former from the latter. The 1987 Philippine Constitution limits
(Commonwealth Act the operation of a public utility to citizens of the Philippines or to corporations or associations, at
No. 146) least 60 percent of whose capital is owned by Filipinos.

It will also lift foreign equity restrictions in certain sectors that offer services not under the scope
of public utilities, such as those engaged in the telecommunication services. This will encourage
potential investors to participate, reducing the market power of incumbent firms.

Amendment of the The proposed amendments will ease restrictive provisions in the FIA to address procurement
Foreign Investments restrictions and lengthy procedures that hamper foreign investment and participation of foreign
Act (FIA) of 1991 bidders in local procurement. It will also include provisions to ease restrictions on the practice of
(Republic Act [RA] professions in the Foreign Investment Negative List.
7042)

Amendment of the This measure will facilitate the growth of e-commerce and ensure that firms respond to the
Consumer Act of the requirements in the new normal and thrive in the digital economy. It will regulate ecommerce to
Philippines (RA 7394) protect both firms and consumers from fraudulent schemes.

E-commerce will play a big role in the new normal as businesses and consumers increase the use
of online transactions (see Chapter 9).

Amendment of the The proposed measure will promote the growth and development of MSMEs by addressing
Magna Carta for challenges, such as limits to entrepreneurship and lack of access to finance and markets, among
MSMEs (RA 9501, others. It will also increase access of MSMEs to financing, such as extending credit window to
amending RA 6977) recover from the economic consequences of the COVID-19 pandemic.

  PCC, Rules of the Leniency Program of the PCC, December 27, 2018.
1

292 | Updated Philippine Development Plan 2017-2022


PART VI

FOUNDATIONS
FOR SUSTAINABLE
DEVELOPMENT
17
Attaining
Just and
Lasting Peace
CHAPTER 17

Attaining Just and Lasting Peace


A society where there is just and lasting peace is critical to the realization of AmBisyon
Natin 2040 or the Filipino people’s collective aspiration of a matatag, maginhawa, at panatag
na buhay (strong family and community ties, a comfortable and secure life). Peaceful
communities can harness the fruits of economic growth through improved access to social
services and financial opportunities, and increased overall human development, without
fear or threat to their lives and livelihood. Conversely, economic development can diminish
the likelihood of armed conflict, especially if socioeconomic interventions are inclusive,
participatory, and sustainable.

In the first three years of the current administration, significant strides have been made
resulting in the successful negotiation and implementation of peace agreements with internal
armed conflict groups. Complementary interventions for the continuous protection and
development of conflict-affected and conflict-vulnerable communities were also pursued
along with the implementation of other peacebuilding initiatives.

For the remainder of the Plan period, interventions in conflict-affected and conflict-vulnerable
areas will be sustained while being mindful of the new health protocols. This is to ensure
that the socioeconomic impact of the COVID-19 pandemic will not aggravate the fragile
situation in such areas, and that peace building efforts would contribute towards a
healthy and resilient Philippines.

Assessment and Challenges


Assessment: The first half of the Plan period of the Moro National Liberation Front (MNLF)
marked significant milestones in the peace process. to ensure the implementation of the remaining
The enactment and ratification of the Bangsamoro commitments under the 1996 Final Peace
Organic Law (Republic Act [RA] 11054) paved Agreement (FPA). Efforts to complete the
the way for the establishment of a new political implementation of the peace agreements with
entity in the Bangsamoro, ending the decades-long the Rebolusyonaryong Partido ng Manggagawa–
armed conflict with the Moro Islamic Liberation Pilipinas – Revolutionary Proletarian Army-Alex
Front (MILF). The Bangsamoro normalization Boncayao Brigade (RPMP-RPA-ABB) and the
process was fast-tracked through the issuance of Cordillera Bodong Administration-Cordillera
Executive Order (EO) 79, s. 2019.1 The government People’s Liberation Army (CBA-CPLA) were
has likewise continuously engaged the two groups also actively pursued. These were complemented

1
Implementing the Annex on Normalization under the Comprehensive Agreement on the Bangsamoro (CAB).

Chapter 17 Attaining Just and Lasting Peace | 297


by the institutionalization of a whole-of-nation isolated, conflict-affected communities can
approach to end local communist armed limit government in implementing alternative
conflict through the issuance of EO 70 in 2018. mechanisms to deliver socioeconomic and
Socioeconomic interventions, reintegration peacebuilding initiatives. New policies such as
programs for former rebels and former violent health protocols and quarantine restrictions,
extremists, and other various peacebuilding also pose hurdles in the implementation of peace
initiatives to create an enabling environment for building programs particularly those requiring
peace and development were also implemented. face-to-face interactions in affected communities.

Challenges: While the government remains The pandemic has increased the vulnerabilities
committed to build on and sustain the gains of and further limited the capacities of poor and
the peace process, the current pandemic conflict-affected communities to respond to other
introduced new challenges in the implementation economic, social, and environmental shocks.
of peace agreements. Refocusing of budget Moreover, violent extremists and terror groups
priorities to address the impact of the pandemic may take advantage of the crisis to ramp up
can affect or delay the implementation of some terrorist activities. The gains from the peace
components of peace agreements and of various process that have been achieved thus far could
socioeconomic interventions for conflict- take a setback due to this situation. Hence, it
affected and conflict-vulnerable communities. is imperative to find alternative and innovative
Both the physical and virtual inaccessibility approaches to sustain the gains of the peace
(e.g., lack of internet access, low level of capacity processes amidst the pandemic.
to use technology) particularly in geographically-

Strategic Framework
The government remains committed in pursuing peace and development interventions in
efforts to attain just and lasting peace for the conflict-affected and conflict-vulnerable areas.
remainder of the Plan period. These include These will be undertaken despite the challenges
the effective implementation of signed peace posed by the current pandemic.
agreements and continuous delivery of various

298 | Updated Philippine Development Plan 2017-2022


Figure 17.1 Strategic Framework to Attain Just and Lasting Peace

Strategies
To achieve these outcomes, the following strategies during the transition period from 2019 to 2022,
will be implemented in line with the President’s it is critical for the BTA to lay down the
Six-Point Peace and Development Agenda: foundations for the establishment of a fully-
functioning BARMM government in 2022 or
beyond, as may be provided by the Congress.
Successfully negotiating Foremost are the enactment of priority legislations,
and implementing peace the determination of parliamentary districts
for the first regular elections of the Parliament
agreements with all internal members, the organization of its own civilian
armed conflict groups bureaucracy, and the full transfer of powers and
properties of the dissolved ARMM regional
government to the BARMM. These activities are
Support the Bangsamoro Transition Authority guided by the BTA’s priority pillars: education,
(BTA) as the interim government of the health, economic development, strategic
Bangsamoro Autonomous Region in Muslim infrastructure, and moral leadership. A critical
Mindanao (BARMM). As the interim government component in the implementation of the peace

Chapter 17 Attaining Just and Lasting Peace | 299


agreement is the immediate organization of all will comply with the required health-related
mechanisms under the National Government– guidelines, protocols, and restrictions.
Bangsamoro Government Intergovernmental
Relations Body (IGRB), which resolves all Complete the implementation of the
potential issues and concerns, ensuring smooth remaining commitments under the 1996 Final
relationship and coordination through continuous Peace Agreement between the Government
engagements and consultations. The National of the Philippines (GPH) and the MNLF.
Government and the Bangsamoro Government will The government will further pursue the completion
fast-track the organization of the two remaining of its remaining commitments under the 1996
intergovernmental relations mechanisms, FPA with the MNLF through the coordinating
namely, the Philippine Congress-Bangsamoro committees created in 2019 with the Misuari and
Parliament Forum and the Bangsamoro Sustainable Jikiri groups. These include the establishment
Development Board. The five other mechanisms of the Bangsamoro Development Assistance
have already been organized: (a) Intergovernmental Fund (BDAF) intended to uplift the conditions
Fiscal Policy Board; (b) Intergovernmental Energy of the MNLF and the operationalization of
Board; (c) Intergovernmental Infrastructure a monitoring mechanism anchored on the
Development Board; (d) Joint Body for the Zones of results of the Tripartite Review Process (TRP)
Joint Cooperation; and (e) the Council of Leaders. between the GPH, MNLF, and the Organization
of Islamic Cooperation (OIC). The full
Intensify the implementation of the implementation of the 1996 Final Peace Agreement
normalization program for the Bangsamoro. (FPA) will contribute to sustainable and durable
The Inter-Cabinet Cluster Mechanism on peace, development, and security in Mindanao and
Normalization (ICCMN), along with other joint ensure inclusivity of peace dividends.
bodies (Joint Normalization Committee, Joint
Peace and Security Committee, and Joint Peace Implement a transformation program for the
and Security Teams), is tasked to guarantee MNLF combatants. A transformation program
the completion of the components of the for the MNLF combatants, their families, and
normalization program. These include (a) timely communities will be implemented through
decommissioning of MILF forces and their the coordinating committees, beginning in the
weapons particularly for the Bangsamoro Islamic Province of Sulu. It shall mirror the Normalization
Armed Forces (MILF’s forces); (b) implementation Program of the Moro Islamic Liberation Front
of socioeconomic development efforts for MILF (MILF) and intends to deter disgruntled MNLF
decommissioned combatants; (c) transformation combatants from joining the Abu Sayyaf Group
of identified MILF camps into villages with and other violent extremist groups in the
increased access to economic opportunities; and Southern Philippines, thereby contributing to the
(d) implementation of interventions towards enduring peace and stability in the Bangsamoro.
social healing, reconciliation, and cultural
harmony to address the legitimate grievances Effectively implement the National Plan to End
of the Bangsamoro people. The ICCMN also Local Communist Armed Conflict 2019-2022
includes the creation of a technical working group that will operationalize the whole-of-nation
that will assess the propriety of grant of amnesty, approach to address local communist and other
pardon, or other available processes towards the armed conflicts. The National Task Force to End
resolution of cases of persons charged with or Local Communist Armed Conflict (NTF-ELCAC),2
convicted of crimes and offenses connected to the together with the Cabinet Officers for Regional
armed conflicts in Mindanao. The implementation Development and Security, will oversee the
of these components during the pandemic implementation of the whole-of-nation approach

2
The NTF-ELCAC is headed by the President as Chair and the National Security Adviser as the Vice-Chair.

300 | Updated Philippine Development Plan 2017-2022


through the regional 3 and local task forces and rebuilding confidence with the communities,
the 12 lines of efforts (LOEs)/clusters.4 The NTF- especially in providing a safe democratic space
ELCAC will ensure inter-cluster convergence for communities to raise issues and concerns that
of efforts in addressing community armed- are at the root of, resulting from, or further
conflict issues. In addition, these task forces and aggravating the armed conflict. It also provides
LOEs will support and complement action plans a platform for constructive engagement among
to address the impact of the pandemic at the the community, the government, and other
national, regional, and local levels, including the stakeholders, and provides opportunities for
localization of interventions through the strengthening capacities for peace. Alternative
Barangay Development Program (BDP).5 Referral mechanisms such as the use of digital platforms
protocols for monitoring and response will also will be utilized only when necessary and feasible.
be streamlined to improve vertical and horizontal
connectivity of various cluster mechanisms. Fast-track the completion of remaining
commitments under the signed agreements with
Effectively undertake localized peace the RPMP-RPA-ABB and the CBA-CPLA. The
engagements through community consultations government remains committed to complete the
and problem-solving sessions, and local peace implementation of the remaining commitments
dialogues with local insurgent groups. The under these agreements by 2022. The completion
Lakbay Kapayapaan Roadmap for Peace and strategy for the RPMP-RPA-ABB involves
Development6 will be mainstreamed as the primary engagements with the Tabara-Paduano Group
mechanism to support localized peace dialogues (TPG) and the Nilo de la Cruz Group (NDCG).
in communities based on mutual confidence and The 2019 Clarificatory Implementing Document
trust. In connection to this, the government will (CID) lays down the commitments towards the
prioritize the enhancement of capacities of local absolute and final settlement of the 2000 Peace
chief executives and the strengthening of the role Agreement with the RPMP-RPA-ABB between
of local government units (LGUs) in carrying the government and the TPG. These include the
out peace dialogues, and the complementation full transformation of the TPG from an armed
and convergence of socioeconomic packages to group into a civilian organization through a
communities and individual former rebels and three-year normalization plan that will facilitate
their families. development assistance to its members, their
families, and identified communities. Engagement
While the current pandemic calls for alternative with the NDCG is also being pursued within
mechanisms in carrying out engagement activities the bounds of the 2000 Peace Agreement, with
with communities, face-to-face interactions will full observance of the ceasefire agreement.
still be undertaken especially in local community Meanwhile, the completion strategy for the
dialogues, consultations, and problem-solving CBA-CPLA focuses on the implementation and
sessions, albeit in strict compliance with public sustainability of socioeconomic reintegration
health standards and protocols. Face-to-face programs for former CPLA members, their
interactions are important in building and families, and communities. Multi-stakeholder

3
The regional task forces are created through the convergence of the Regional Peace and Order Councils and the Regional Development Councils,
and are headed by the Cabinet Officers for Regional Development and Security.
4
These are: (1) local government empowerment; (2) international engagement; (3) legal cooperation; (4) strategic communication; (5) basic
services; (6) infrastructure and resource management; (7) poverty reduction, livelihood, and employment; (8) peace, law enforcement, and
development support; (9) situational awareness and knowledge management; (10) localized peace engagement; (11) Enhanced Comprehensive
Local Integration Program (E-CLIP) and amnesty; and (12) sectoral unification, capacity building, empowerment, and mobilization.
5
The BDP is a peace and development convergence initiative of the NTF-ELCAC which provides socioeconomic interventions, (e.g., farm to
market roads, school buildings, health stations, livelihood support, etc.) to communist terrorist groups-cleared barangays.
6
The Lakbay Kapayapaan Roadmap aims to institutionalize and champion sustainable peace and development agenda at the grassroots by
continuously building strong and capable institutions, strategic partnership of government and non-government organizations, and heightened
citizen participation through whole-of-nation approach to establish and sustain peaceful, progressive, and resilient communities.

Chapter 17 Attaining Just and Lasting Peace | 301


convergence to support regional peace and Inter-agency programming and agency-level
development advocacies and interventions towards budget prioritization need to be strengthened in
the Cordillera autonomy will also be pursued. light of foreseen priorities towards addressing
the impact of the COVID-19 pandemic.
To this end, collaboration and partnerships This is to ensure that the aforementioned
through existing peace process mechanisms peace and development interventions will still
need to be sustained especially in recalibrating be effectively implemented amidst this crisis.
specific strategies in light of the new normal.
Digital communications infrastructure is also Empower communities by increasing their
needed in the conduct of critical activities capacity to address conflicts and reducing their
such as monitoring of project implementation, vulnerabilities. Strengthening local capacities
consultation meetings with various stakeholders, for addressing peace, conflict, and security issues
and capacity-building and skills development remains central in sustaining the government’s
programs for beneficiaries. community-based support and peacebuilding
programs. The government will continue
its engagements with severely affected and
vulnerable groups in armed conflicts (i.e., women,
Protecting and developing indigenous peoples [IPs], children, elderly,
communities in conflict- internally displaced peoples [IDPs]) and pursue the
application of inclusive and participatory
affected and conflict- approaches to empower these groups. Moreover,
vulnerable areas partnerships with women and youth sectors and
the local civil society organizations (CSOs) will
be strengthened in recognition of their significant
Strengthen convergence and complementation role in advancing the peace education and
in the implementation of peace and peace advocacy agenda. In this regard, the
development interventions. Convergence of government will sustain its efforts for various
all government efforts and mechanisms at the capacity development and advocacy initiatives on
national, regional, and local levels will be critical conflict-sensitive and peace-promoting (CSPP)
in advancing the protection and development approaches, providing avenues for dialogues with
of conflict-affected areas. These include the vulnerable groups and their communities. Face-
Payapa at Masaganang Pamayanan (PAMANA) to-face peace conversations will still be conducted,
Program, the Retooled Community Support albeit in strict compliance with public health
Program (RCSP), the E-CLIP, 7 programs and standards and protocols. Use of alternative digital
projects under the NTF-ELCAC, and crisis and platforms and other forms of mass media such as
contingency planning activities as provided local radio and television, will also be considered.
under EO 82, s. 2012.8 The Regional Task Forces
of the ELCAC will be further strengthened as Strengthen government peace and development
a mechanism for national and regional institutions and mechanisms to increase their
coordination to address key issues and concerns accountability and responsiveness to peace and
affecting peace, security, and socioeconomic human security issues. Strengthening institutions
development. to effectively ensure security, restore public

7
E-CLIP’s coverage was expanded through Administrative Order (AO) 25, s. 2020, amending AO 10, s. 2018, Centralizing All Government Efforts
for the Reintegration of Former Rebels and Creating for the purpose an Inter-agency Task Force. This provides for a comprehensive, integrated,
and community-based national program that is locally implemented to address the economic, social, psychological rehabilitation needs, legal
status and security of Former Rebels (FRs) who are members of the CPP-NPA-NDF, former violent extremists, their immediate family members
and communities through the E-CLIP. The Task Force Balik Loob (TFBL) oversees the implementation of the E-CLIP.
8
EO 82, s. 2012: Operationalizing the Practical Guide for National Crisis Managers and the National Crisis Management Core Manual, and
Establishing National and Local Crisis Management Organizations.

302 | Updated Philippine Development Plan 2017-2022


confidence, and provide economic opportunities 11188), and the National Action Plan to Prevent/
is critical, particularly in light of emerging multi- Counter Violent Extremism (NAP-PCVE).
dimensional risks arising from armed conflicts,
disasters, and health-related hazards. Establishing Priority interventions under these plans will
accountability mechanisms will enable the complement the national, regional, and local
government to appropriately respond to various efforts to address the impact of the COVID-19
threats to communities in conflict-affected and pandemic, and will be aligned with the rule of law,
conflict-vulnerable areas. international human rights law, and international
humanitarian law.
Planning, implementation, and monitoring and
evaluation of peace and development programs NAP-WPS. A major goal of the NAP-WPS is
will likewise be undertaken to ensure streamlined to ensure the meaningful participation and
and harmonized government response to various leadership of women and girls as active change
peace and security issues. Mainstreaming of agents in conflict transformation and post-conflict
CSPP approaches in the plans and programs of development. It seeks to protect women and girls’
government and various stakeholders will be human rights at all times—before, during, and
institutionalized. This includes mainstreaming after various conflict situations—and prevent all
CSPP in the Comprehensive Development Plans forms of violence against them. It also embodies the
(CDPs) to highlight the important role of LGUs government’s commitment to implement United
and local special bodies in conflict prevention Nations Security Council Resolutions (UNSCR)
and peacebuilding. The Office of the Presidential 1325 and 1820,9 and other related resolutions. For
Adviser on the Peace Process (OPAPP), with the the remainder of the Plan period, the National
Department of the Interior and Local Government Steering Committee on Women, Peace, and
(DILG) will develop various online knowledge Security, through its member agencies and local
products, including the facilitators’ manuals and stakeholders, will target the implementation of the
guidebooks on mainstreaming CSPP in the CDPs of action points identified in the Agency Strategic
conflict-affected and conflict-vulnerable LGUs. As Action Plans. These include mainstreaming of the
part of the new normal, the LGUs will explore online WPS agenda in policies, plans, and programs at the
schemes of reporting their CSPP mainstreaming national, regional, and local levels; the localization
and coaching efforts to the national government. of the NAP-WPS through the crafting of respective
regional action plans, the development and
The government will develop and continuously implementation of programs to address gender-
implement action plans to ensure the protection based violence in emergencies (e.g., those affected
and promotion of rights of women, youth, by the Marawi crisis), and ensuring that former
and children in conflict situations and against women rebels and violent extremists can benefit
radicalization and violent extremism. These from normalization and reintegration programs.
include the National Action Plan on Women,
Peace, and Security (NAP-WPS), the National NAP-YPS. The crafting of the NAP-YPS is in
Action Plan on Youth, Peace and Security (NAP- compliance with the UNSCR 2250 10 on the YPS
YPS), program framework and work plan for agenda. The NAP-YPS will outline the country’s
the implementation of the Special Protection of YPS agenda based on the recommendations
Children in Situations of Armed Conflict Act (RA from the Youth Peace Tables, which serve as a

9
UNSCR 1325 was adopted in October 2000, affirming that “peace and security efforts are more sustainable when women are equal partners
in the prevention of violent conflict, the delivery of relief and recovery efforts, and in the forging of lasting peace.” UNSCR 1820 was adopted in
June 2008, recognizing sexual violence as a tactic of war that “can significantly exacerbate situations of armed conflict and may impede the
restoration of international peace and security.”
10
UNSCR 2250 was adopted in December 2015, recognizing that “young people play an important and positive role in the maintenance and
promotion of international peace and security.”

Chapter 17 Attaining Just and Lasting Peace | 303


platform for young peace advocates to further international development partners, particularly
strengthen their capacities in building a culture in updating and enhancing CSAC protocols on
of peace and conflict sensitivity and mobilize the handling and management of children
a youth constituency to support the peace involved in armed conflict.
processes. The NAP-YPS also aims to guide both
policymakers and service-providers in integrating NAP-PCVE. The NAP-PCVE will continuously
and adopting the action points in the formulation be implemented to address the various factors of
and implementation of policies and programs that radicalization which lead to violent extremism.
will address or contribute to addressing the needs This is to ensure that recurrence of armed conflict
articulated by the youth. Other related efforts will be avoided, and public order and safety is
on the NAP-YPS include capacity-building for ensured particularly at the grassroots level (see
national government agencies (NGAs) on UNSCR Chapter 18).
2250, and mapping of different youth-related
programs and projects of the government and Continue to build on the gains of the peace
non-government organizations. processes through education, social healing, and
reconciliation. Instilling a culture of peace (COP)
Implementation of RA 11188. The Special and non-violence will sustain the gains of the
Protection of Children in Situations of Armed peace process and ensure that legitimate
Conflict Act seeks to strengthen protection grievances can be raised without resorting to
mechanisms for children, involved in affected, armed conflict and violent extremism.
and displaced by armed conflict situations, The government will continue and expand the
including guaranteeing their rights in mainstreaming of peace education and promote
situations of armed conflict and providing a culture of peace and non-violence in both
preventive measures against recruitment, use, formal and non-formal settings. These include
and grave child rights violations, prosecution, the integration of peace education in basic,
and rehabilitation and reintegration. higher, and technical and vocational education
and integration of Mindanaoan narratives from
The law declares children as “zones of peace” – IPs, Bangsamoro Filipinos, and Filipino Christian
hence, treatment will extend beyond territorial migrants into the Philippine Educational System.
and geographical boundaries and will focus on This will be coupled with advocacy programs,
the promotion and protection of their rights at capacity-building for faculty, and development of
all times. An Inter-Agency Committee on syllabi and training materials for peace studies in
Children in Situations of Armed Conflict higher education. Development of online learning
(IAC-CSAC) was created to oversee the materials and capacity-building modules for COP
implementation of this law. For the remainder of and peace education mainstreaming will also be
the Plan period, all activities for the development pursued as part of the new normal situations. Other
of a work plan for this law will proceed, COP sessions will be conducted, firmly adhering
utilizing alternative strategies, in consideration to prescribed health standards and protocols.
of the current public health situation. The government will actively undertake social
healing, reconciliation, and peacebuilding
These activities include policy advocacy and programs. For example, the implementation of
dissemination, risk communications, and reintegration and rehabilitation programs for
community engagements through online former violent extremists (FVE) through the
platforms; conduct of regular online coordination Task Force Balik Loob (TFBL) will be conflict-,
meetings to enhance and finalize the work plan, gender-, and culture- sensitive. These will
and increasing partnerships with NGAs and also include various programs and projects

304 | Updated Philippine Development Plan 2017-2022


such as provision of safe spaces for healing representatives, NGAs, LGUs, CSOs, and all
and reconciliation of FVEs and their families, stakeholders is expected to build social cohesion,
families of survivors and victims of conflict-related resilience, and sustainable peace towards the
violence, and the communities. Furthermore, recovery and rehabilitation of Marawi and its
the building and rebuilding of relationships of nearby municipalities.
the IDPs with their community leaders, sectoral

Legislative Agenda
To achieve the desired outcomes discussed above, the following legislative agenda will be pursued in the
remainder of the Plan period.

Table 17.1 Legislative Agenda to Attain Just and Lasting Peace

LEGISLATIVE AGENDA RATIONALE

Separate amnesty proclamations The proposed presidential proclamations on amnesty for various groups aim to
for the Bangsamoro, RPMP/RPA/ accept former combatants back into the fold of the law and eventually, provide
ABB, and former rebels of the them access to the government’s socioeconomic services as a means to attain
communist terrorist groups peace, reconciliation, and unity in the country.

Enabling law creating an This aims to establish a political entity and provide the structure of its government,
autonomous region in the in recognition of the justness and cause of the Cordillerans and to secure their
Cordilleras identity and posterity and allow for meaningful governance.

Enabling law creating the The proposed law will create the NTJRCB which shall design and supervise the
National Transitional Justice implementation of a TJR program. The program shall be guided by dealing with
and Reconciliation Commission the past framework that respects, protects, and fulfills the victims’ rights to truth,
for the Bangsamoro (NTJRB) justice, and reparation, and ensures the State’s obligation to provide guarantees
of non-recurrence.

Chapter 17 Attaining Just and Lasting Peace | 305


18
Ensuring
Security,
Public Order,
and Safety
CHAPTER 18

Ensuring Security, Public Order,


and Safety

The realization of the Filipino people’s long-term vision of a matatag, maginhawa, at panatag
na buhay para sa lahat rests upon an environment that is safe, secure, and orderly. It is the
government’s duty to ensure that all Filipinos feel secure to walk and travel around all places
in the country, without fear of harm to themselves and their property, and are able to go about
their business, economic, and social pursuits. Moreover, as the country pursues greater
economic development, it is imperative that the government safeguards national interests,
territory, and sovereignty.

In the first three years of the Duterte Administration, efforts towards building a safe, secure,
and orderly Philippines were intensified. While significant strides have been made in terms of
putting in place structural reforms and various mechanisms in the security sector, recurring
challenges persist and new threats to public safety have emerged. The protection of our
country’s entitlements, not only in the West Philippine Sea, has been one of the most pressing
security concerns facing the country. Criminality and illegal drugs remain a prevalent threat to
public safety, along with the increased frequency of natural disasters, isolated occurrences of
human-induced disasters, and outbreak of diseases.

For the remainder of the Plan implementation, the government will maintain its independent
and principled foreign policy. The government will strengthen the capabilities of its security
forces to ensure that Philippine territories and sovereignty is defended. It will also remain
committed in its campaign against all forms of criminality, illegal drugs, transnational crimes,
trafficking-in-persons, and violent extremism. During times of health emergencies, the whole
security sector will be mobilized to adequately respond to the needs of the people, including
the provision of support to sectors that bring food, basic necessities, and essential services to
them. Furthermore, the government will upgrade its systems and operations to conform to the
new normal in keeping public order and safety. The protection of human rights, as enshrined
in the Constitution, will be ensured, especially during the implementation of policies and
measures in times of crisis and emergencies.

Chapter 18 Ensuring Security, Public Order, and Safety | 309


Assessment and Challenges
Assessment: Successful negotiations for the Challenges: Managing conflict and reducing
formulation of the “Association of Southeast Asian tensions among claimant states of the SCS, continue
Nations (ASEAN) - China Code of Conduct in to be the main challenge to external security.
the South China Sea” have been pursued to ensure Various emerging and non-traditional threats such
security and stability in the region. Various efforts as radicalization, violent extremism, and increasing
have been exerted to engage claimant states and risks to disasters and health hazards continue to
to promote a rules-based regime in the “South threaten the safety of Filipinos.
China Sea (SCS),” including the Single Draft Code
of Conduct (COC) Negotiating Text, which will The outbreak of COVID-19 has posed another
inform the formulation of the COC. The crime challenge to ensuring security and safety of the
situation has generally improved with the reduction people. Despite the continued reduction in reports of
of average monthly index crime rate and the criminal incidents even during the implementation
improvement of index crime solution efficiency of the community quarantine, law enforcement
rate from 2016 to 2018. A holistic approach, operations are stifled by the need to observe strict
involving community and civil society groups, to health protocols amidst limited supply of personal
the campaign against illegal drugs was introduced protective equipment (PPE), exposing enforcers to
through the issuance of Executive Order (EO) 66, risk. On the other hand, incidence of cybercrimes
s. 2018, which institutionalized the Philippine Anti- is on the rise with the increased digital dependency
illegal Drugs Strategy. of the public for financial and government
transactions. The imposition of quarantine
protocols also demands greater accountability from
the government to ensure that human rights are
protected and upheld.

310 | Updated Philippine Development Plan 2017-2022


Strategic Framework
Ensuring security, safety, and public order is one pursuing the following strategic outcomes taking
of the foundational strategies in the Philippine into consideration the new normal situation
Development Plan (PDP) 2017-2022, hence brought about by the COVID-19 pandemic, as
it is accorded high priority by the current shown in Figure 18.1 below.
administration. Achieving this goal will entail

Figure 18.1 Strategic Framework to Ensure Security, Public Order, and Safety

Note: Refer to Migration on Chapter 21 for strategies relating to overseas Filipinos (OFs).

Chapter 18 Ensuring Security, Public Order, and Safety | 311


Strategies
Ensuring public safety The Philippine Public Safety College and PNP
will continue to institutionalize a highly efficient,
competent, credible, and professionalized corps
The government will continue to exert efforts in
of peace and order and public safety personnel
building the capabilities of public safety institutions
through the conduct of mandatory courses,
to respond to all hazards, including pandemics,
specialized and in-service training, and continuing
that pose risks to the safety of the people. This will
quality education and training to PNP uniformed
include interventions in preventing the spread of
personnel. Online training programs and digital
radicalization resulting in violent extremism. The
platforms will form integral parts of the learning
following strategies will be implemented to raise the
process during this pandemic situation.
standards for public safety.
Being at the frontline of the pandemic and other
Increase police presence, professionalize the
crisis situations, the police force will be equipped
police ranks, and conduct internal cleansing in
with adequate logistical support for its operations
law enforcement. Efforts to enhance police presence
and be provided with sufficient PPE. This is to
to maintain peace and order is primordial. As such,
ensure the safety and protection of the police forces
the Philippine National Police (PNP) will strive to
while performing their duty of upholding the rule
meet the standard police-to-population ratio of
of law to maintain peace and order and public safety
1:500 to greatly improve public safety. In addition,
in the middle of a public health crisis.
the government will pursue the construction of
additional police stations in every community to
Strengthen the partnership between law
further strengthen and expand their presence. To
enforcement agencies, local peace and order
enhance police presence in communities, various
institutions, and communities. LGUs will
programs and activities, such as Pulis Nyo Po sa
continuously strengthen local peace and order
Barangay, Barangay Peacekeeping Action Teams,
institutions to effectively address criminality and
and Barangay Information Networks, will be
illegal drugs within communities. Maintaining
organized and empowered as force multipliers
peace and order and discipline in communities is
for the PNP. Moreover, the Community and
of utmost importance, as quarantine restrictions
Service-Oriented Policing (CSOP) System will be
adversely affect the economy and people’s livelihood
strengthened to help build ties between the PNP and
and income. To this end, the government will
communities and to strengthen the involvement of
capacitate local government unit (LGU) officials,
the latter in addressing public safety issues such as
especially those at the barangay level, as force
crime, social disorder, and fear of crime.
multipliers and frontliners in the fight against
COVID-19. Capacity-building interventions will
The PNP will continue its efforts in sustaining
include developing protocols on checkpoints and
internal discipline within their ranks through
enforcement of community quarantine guidelines.
the implementation of the Revitalized Internal
The PNP will support other sectors, particularly
Cleansing Strategy, with particular focus on getting
those involved in supply chains, to ensure
rid of incompetent and corrupt police personnel.
unhampered distribution of food and other essential
Reporting platforms such as the Integrity Monitoring
goods, including medical supplies and equipment.
and Enforcement Group (IMEG) Hotline aimed
Together with the Department of Interior and Local
at receiving complaints and information from
Government (DILG), the PNP will also develop
the public about erring police officers will also be
a concise rules of engagement with their civilian
sustained. Disciplinary actions and sanctions will
counterparts.
be strictly imposed on those involved in corruption
and other unlawful activities.

312 | Updated Philippine Development Plan 2017-2022


Sustain and expand systems for responding to provide support in the implementation of social
crime and emergencies. The implementation of the support programs, especially during public health
911 Emergency Hotline Service, which serves as the emergencies. Duty bearers in the security sector
direct access of the people to the government, will will be capacitated on providing medical/paramedic
be sustained. The DILG will expand its coverage services to enable and intensify the conduct of
to better serve and respond to emergencies in contact tracing and early detection.
the countryside. Moreover, training programs
for telecommunicators and responders will be In line with the implementation of the National
provided. Action Plan on Women, Peace, and Security
(NAP-WPS) 2017-2022, which acknowledges the
In response to challenges arising from the new vulnerability of women in emergency situations,
normal, the DILG, the Department of Health the government will strengthen the coordination
(DOH), and other relevant security sector and harmonization of protection and rehabilitation
agencies will expand the utilization of internet and initiatives for women and girls in various
mobile-based reporting channels. This will enable emergencies. It will also develop comprehensive
frontliners to respond in a timely manner to the gender- and culturally- sensitive disaster risk
information and security needs of the public under reduction and management programs that
the new normal. specifically highlight the context and vulnerabilities
of women during emergencies, including women in
Enhance the capability of the security sector frontline agencies.
for humanitarian assistance and disaster
response. To enable security sector agencies to Furthermore, the passage of the bill to establish the
effectively respond to natural and human-induced Department of Disaster Resilience will be actively
disasters, the National Disaster Risk Reduction pursued in the Congress. The bill will strengthen
and Management Council (NDRRMC) through the coordination among agencies in providing
the Office of Civil Defense (OCD), will continue response during emergencies and disasters. The
to provide capacity-building programs for disaster bill should also be revisited to explicitly specify
responders such as the National Urban Search and public health emergencies such as pandemics as
Rescue (USAR) Capacity Building. In support of disaster events, and identify measures that will
this, by the fourth quarter of 2020, the DILG is enable the government to mitigate the impacts
expected to implement the Safe Philippines Project of such emergencies and to respond effectively.
Phase I which will provide police, public safety Meanwhile, the National Disaster Risk Reduction
institutions, and emergency response units with the and Management Plan (NDRRMP) will be revisited
latest technologies and equipment on surveillance to reflect the aforementioned aspects, among others.
and monitoring, with its own integrated operations
and command center, and a remote back-up center. Improve capability of the fire protection
This will allow them to predict, detect, prepare for services to respond to fire and other related
and quickly respond to incidents, and mitigate and emergencies. To safeguard life and property, as well
respond to disasters promptly. The security sector as the country’s vital and critical infrastructure, the
shall also continue to build its capacities to qualify capability of the Bureau of Fire Protection (BFP)
for International Search and Rescue Advisory will be strengthened. This includes fast-tracking
Group’s (INSARAG) external classification, to be the modernization of fire protection services and
recognized for international response support. the implementation of the BFP service upgrade and
capability upgrade programs. This will include the
In view of the new normal, the OCD will augment hiring of additional personnel and procurement of
the Human Resources for Health through the firefighting and communication equipment and fire
establishment and mobilization of a pool of medical trucks to service communities. The modernization
and allied health professionals and volunteers programs of the BFP will likewise cover the
from the security sector. These personnel will procurement of PPE and other safety equipment for

Chapter 18 Ensuring Security, Public Order, and Safety | 313


firefighters during operations, especially those at with non-government organizations (NGO) and
the frontline providing assistance during pandemic other stakeholders, and employing social media, as
response and other emergency situations. Strict means for disseminating information.
compliance with health protocols and standards will
be observed during operations to ensure not only
the safety of the public, but also of the firefighters.
Significantly reducing all forms
The capacity of the BFP to enforce the Fire Code of criminality and illegal drugs
and respond to fire and other related emergencies
will be further strengthened. Priority will be The government remains committed to its campaign
given to urban areas with low firefighter-to- against all forms of criminality and illegal drugs.
population ratio and to LGUs with inadequate fire Likewise, the government recognizes the need to
protection services. Moreover, pursuant to DILG address the spread of radicalization and violent
Memorandum Circular 2019-121, roads will be extremism that leads to terrorism, transnational
cleared of obstructions to ensure the smooth and crimes, and other non-traditional threats that
quick access of responders. pose risks to public safety. The conduct of law
enforcement operations will need to consider new
Establish a secure and resilient Philippine challenges brought about by the current pandemic.
cyberspace. The Department of Information and The following strategies will be pursued.
Communications Technology (DICT) will ensure  
the successful implementation of the National Sustain the intensified law enforcement
Cybersecurity Plan (NCSP) 2022, which aims to operations, including military support, to fight
protect the critical information infrastructure, criminality, trafficking, and terrorism. The
government networks, supply chains, and PNP will sustain its efforts in reducing all forms
individuals and establish programs and platforms of criminality and intensified crime prevention
for local and international cooperation in measures even amidst the pandemic. This will
cybersecurity. The strategic initiatives of the NCSP involve updating of existing and/or developing
will include enhancing security resilience of critical new policies, manuals, and procedures to ensure
information infrastructure, government, public, compliance with pertinent laws and human rights
and military networks, to deal with sophisticated standards, particularly on crime investigations
attacks, promoting the adoption of cybersecurity including those for missing persons, case
measures among individuals and businesses, documentation and filing, and harmonization of
and enhancing and expanding the pool of local inter-agency procedures. Coordination between law
cybersecurity experts. enforcers and military, especially during conduct of
operations, will also be enhanced.
To better address the challenges to cybersecurity
arising from the new normal, a strategic defensive To address the challenges under the new normal,
posture within the Office of the President (OP) will standard procedures for law enforcement and anti-
be established. This will be complemented by the illegal drug operations will be revised and updated.
strengthening of the country’s capability to protect Health protocols and measures will be incorporated
the National Critical Information Infrastructures in the procedures to ensure that both law enforcers
and improve its cyber resiliency through and criminal personalities are protected from
cybersecurity assessment and compliance and getting infected by the virus. The PNP will also
national drill exercises. The government will build consider using non-lethal weapons and other police
the skills and capabilities of local cybersecurity equipment in the conduct of police operations,
experts, strengthen cooperation between law delivery of public safety services, and other law
enforcement, cybersecurity experts, academe, enforcement functions while strictly adhering to
and the private sector, and improve cybersecurity the minimum health standards provided by the
awareness through the conduct of National Department of Health (DOH).
Cybersecurity Awareness Month, engagements

314 | Updated Philippine Development Plan 2017-2022


The rollout of the Core Competency-Based Bureau of Fisheries and Aquatic Resources
Training Program for investigators will strengthen (BFAR), and other law enforcement agencies are
the PNP’s investigative capability and contribute critical in addressing threats posed by local and
to the success of law enforcement operations. transnational terrorists and criminal groups, and
Capabilities of police personnel, in case of recording emerging security threats, such as cybercrimes.
and tracking, case filing and arrest, operational Information and communications capabilities of
readiness, and disaster and emergency response law enforcement agencies will be strengthened to
will also be enhanced. Moreover, the current ensure that they are responsive in addressing such
pandemic brought the need to utilize advanced threats. Online trainings may be utilized as the
information and communications technology primary mode in implementing capacity-building
(ICT) in the performance of PNP's mandate, programs for personnel.
such as the adoption of secured, mobile, artificial  
intelligence-driven, and real-time policing. This Protection of our porous borders will be
will harmonize information systems and improve ensured through the enhanced interdiction and
data sharing and coordination within the criminal strengthened presence and capability of the Bureau
justice system. of Immigration (BI), the Bureau of Customs
(BOC), and other agencies mandated to enforce
Law enforcement capability on cybercrime border security. The PCG and BFAR will intensify
detection and investigation will be improved and the conduct of maritime security law enforcement
modernized. This also calls for efforts to increase patrols within Philippine territory. The PCG
the general public’s awareness on the detection of will also pursue the development of maritime
cybercrimes to protect themselves and avoid being detection systems and operationalize the Vessel
a victim, especially at the height of a pandemic and Traffic Management System to secure the country’s
other crisis situations. Moreover, the DILG will lay maritime jurisdiction.
down policies to protect and rehabilitate children
at risk and children in conflict with the law. This The threat of global pandemics calls for intensified
will include developing a manual on handling and air and maritime border security and strict
treatment of children at risk, as well as preventing imposition of health protocols and quarantine
trafficking of persons, especially women and procedures for arriving passengers and visitors.
children. This will be carried out through the installation of
modern e-gates and other border control systems,
The PNP will ensure timely and accurate crime which will also efficiently prevent human trafficking
monitoring and reporting through information and entry of terrorists, especially in major ports of
technology solutions and initiatives. The conduct of entry.
a periodic nationwide Crime Victimization Survey
will be pursued to augment administrative-based Strengthen commitment to a holistic campaign
data. In addition, a survey on the perception of against the use of illegal drugs and the abuse of
criminality and law enforcement will be carried out. dangerous drugs. The government will continue
to strengthen the conduct of its intensive and
Enhance the capability of police, coast guard, unrelenting campaign against the trafficking
military, and other law enforcers to address and use of dangerous drugs1 and other similar
internal security threats. Development and full substances through an integrated system of
implementation of the modernization programs planning, implementation, and enforcement of
of the PNP, the Armed Forces of the Philippines anti-drug abuse policies, programs, and projects.
(AFP), the Philippine Coast Guard (PCG), the In doing so, the government will aim to achieve a

1  Dangerous drugs include those listed in the schedules annexed to the 1961 Single Convention on Narcotic Drugs, as amended by the 1972
Protocol, and in the schedules annexed to the 1971 Convention on Psychotropic Substances as enumerated in the annex, which is an integral part
of the Comprehensive Dangerous Drugs Act of 2002 (RA 9165).

Chapter 18 Ensuring Security, Public Order, and Safety | 315


balance in its national drug control program, so that all government agencies through the Inter-Agency
people with legitimate medical needs will still have Committee on Anti-Illegal Drugs, as created
access to dangerous but licit drugs, subject to the through EO 15, s. 2017, to ensure that the anti-illegal
prescription of appropriate medication. drugs campaign is implemented in an integrated
and synchronized manner.
Central to the government’s campaign is to address
the country’s illegal drug use problem through the
Philippine Anti-Illegal Drugs Strategy (PADS). Prevent and counter terrorism and the rise of
The PADS recognizes the need for a holistic, radicalization leading to violent extremism. To
human rights-based approach in addressing the address communist terrorist groups, the National
problem on illegal drugs production, trafficking, Task Force to End Local Communist Armed Conflict
and use. The strategy entails a comprehensive and (NTF-ELCAC) will intensify the implementation of
balanced approach to drug demand and drug supply the whole-of-nation approach at the regional and
reduction. This involves the suppression of the local levels. This will require strong coordination
flow of illegal drugs supply through sustained law between regional and local development and peace
enforcement operations and reduction of consumer and order councils, as well as the commitment
demand for drugs and other illegal substances and support of local chief executives and the
through drug rehabilitation and massive preventive communities.
education and awareness programs.
Following the adoption of the National Action Plan
In support of the implementation of the PADS on Preventing and Countering Violent Extremism
pursuant to EO 66, s. 2018, all government (NAP-PCVE),2 various national government
agencies, including government-owned and agencies (NGA) will be capacitated, particularly
controlled corporations and state universities and on the formulation of their respective agency’s
colleges, are mandated to formulate their respective PCVE plans that are aligned with the NAP. In the
implementing and operational plans. This will same manner, the LGUs will be capacitated on the
include programs and activities to ensure a drug- preparation of their local plans that will adopt and
free workplace, including those in the private translate national strategies into concrete action at
sector. The strategy also calls for the support of the grassroots level, taking into consideration the
LGUs through the strengthening of Anti-Drug current health crisis and other emerging threats
Abuse Councils (ADAC), conducting barangay to peace and order and public safety. These plans
drug clearing operations, and appropriating funds will include programs aimed at addressing the
for anti-illegal drugs programs and projects. The political, economic, cultural, psychosocial, and
EO also prescribes the conduct of a nationwide religious factors of radicalization that lead to
survey to determine the extent and magnitude of violent extremism. The government will pursue
drug abuse prevalence in the country. In addition, a comprehensive and people-centered approach
the establishment of an age- and sex- disaggregated in addressing drivers of radicalization and
database and secure database for dangerous drugs ensure that such plans are conflict-, culture-, and
operations will ensure transparency and enable an gender- sensitive, uphold the rule of law, and are
effective monitoring of the implementation of the compliant with international human rights law and
government’s fight against dangerous drugs. international humanitarian law.

The Philippine Drug Enforcement Agency (PDEA) The government’s efforts to prevent violent
will also intensify the random drug testing in the extremism and terrorism will be further intensified
transportation sector as a preventive effort against to maintain community resilience, especially during
drug-related road traffic accidents. It will enjoin pandemics and other public health emergencies.

  Adoption of the NAP-PCVE is pursuant to the Anti-Terrorism Council’s Resolution No. 38, s. 2019.
2

316 | Updated Philippine Development Plan 2017-2022


The cooperation of the citizens, private sector, and and protected, and that violators will be treated
NGOs with the government’s efforts on PCVE humanely in the enforcement of community
will build a strong and solid front against violent quarantine procedures and protocols amidst
extremists, which may lead to their possible the pandemic situation. Updating of standard
containment and neutralization. procedures for law enforcement operations must
adhere to human rights standards while ensuring
The government will continue to deepen health protocols to protect both the suspects and
partnerships with the international community the law enforcers from getting infected by the virus.
through multilateral and bilateral mechanisms
such as mutual legal assistance agreements, global
cooperation, and international law enforcement
arrangements (e.g., International Criminal Police
Upholding and protecting
and joint law enforcement operations). This will also territorial integrity and
include intensified government and multisectoral sovereignty
efforts against domestic and transnational trafficking
in persons through international partnerships and Deescalating tension and resolving disputes in the
the Inter-Agency Council Against Trafficking. SCS continue to be the main challenges in sustaining
stability and security in the region. To uphold and
Intensify investigation and resolution of human protect territorial integrity and sovereignty, the
rights violations cases. Investigation strategies following strategies will be implemented:
and approaches to strengthen case build-up will
be further strengthened to ensure successful Promote respect for a rules-based regime in
prosecution of human rights violation cases. Philippine seas and territories. The government
The Commission on Human Rights (CHR) will will sustain efforts that promote respect for legal
pursue efforts to empower the poor, marginalized, and diplomatic processes in clarifying issues and
vulnerable, and disadvantaged to seek response and resolving disputes on maritime jurisdictions, in
remedies for injustice through the development of accordance with international law, particularly the
client-based education and training programs. These 1982 United Nations Convention on the Law of
will include developing learning modules, teaching the Sea (UNCLOS). Central to this is the push for
aids, and education materials and organizing and an effective and substantive ASEAN-China COC
mobilizing a network of public support for the that will guide actions of claimant-states to avoid
conduct of human rights events, utilizing primarily activities that raise tension or threaten security
digital platforms and mechanisms during the and stability in the SCS. On the other hand, the
pandemic. Partnerships with state and non-state Philippines remains committed to taking necessary
duty bearers in addressing human rights violations diplomatic interventions against actions that
cases will also be pursued. Furthermore, the NAP- run counter to international laws and principles,
WPS will pursue the protection of human rights of including the UN Charter, the 1982 UNCLOS,
women and girls at all times and the prevention of and the 2002 ASEAN-China Declaration on the
gender-based violence. Conduct of Parties in the SCS, to preserve national
security and maintain peace and stability in the
In line with the international human rights law, region. The government will continue to enhance
which mandates that duty-bearers not derogate its relations with other claimant countries such as
from their obligation to respect, protect, and fulfill China, but with the consciousness of the need to
human rights even in times of emergencies, a protect the country’s rights and interests in the West
human-rights based approach will be followed in the Philippine Sea, as recognized under the foregoing
implementation of relevant laws, policies, protocols, international instruments and the 2016 Award of
and guidelines. The government will ensure that the Arbitral Tribunal on the SCs arbitration case.
constitutionally-enshrined human rights are upheld

Chapter 18 Ensuring Security, Public Order, and Safety | 317


In addition, the government will pursue negotiations patrols and operations in Philippine maritime
of maritime boundary delimitation agreements jurisdiction, as well as the establishment of domain
with countries the Philippines shares borders with. awareness platforms. Various structures that can
Further, dispute settlement mechanisms consistent be used for territorial defense operations, marine
with international law will be pursued for the resource protection, information gathering, and
settlement of maritime border delineation and civilian purposes will be established to strengthen
outstanding territorial claims. the AFP’s presence in Philippine-owned islands
and features. Moreover, the AFP will strengthen the
Promote greater amity and cooperation with Reserved Forces and the Reserved Officers Training
all nations. The country will continue to enhance Corps (ROTC) Program to augment its numbers,
and strengthen existing bilateral relations, especially during crisis situations.
alliances, strategic partnerships, and defense
cooperation, while expanding bilateral diplomatic Pursue declaration of some parts of the West
engagements. The government will maximize Philippine Sea as marine protected areas (MPAs).
existing platforms and pursue alternative platforms The government will pursue this strategy to
to maintain diplomatic engagements with its address environmental degradation and to ensure
bilateral and multilateral partners and strengthen food security and the livelihood of fisherfolk who
cooperation towards addressing the impact of depend on the area. Pursuant to existing domestic
public health emergencies such as pandemics. laws, specifically the Expanded National Integrated
Protected Areas System Act of 2018 (RA 11038),
Expand and enhance diplomatic engagements the management and enforcement of MPAs will be
and cooperation in regional and international the mandate of the military and relevant civilian
fora. The country will strengthen relationships NGAs, local communities, and NGOs. Towards
at the regional level. Aside from the existing this end, the government will acquire sea vessels
Trilateral Cooperative Agreement with Indonesia to aid navigation, construct and maintain bases,
and Malaysia, which contributed to the enhanced support organization and operations of bantay-
stability in the Sulu-Celebes Seas, the Philippines dagat, and conduct marine scientific research in
will continue to engage ASEAN through its these areas. While MPAs are considered national
various platforms towards promoting joint patrols, initiatives, the Philippines will also pursue cross-
maritime exercises, intelligence cooperation, border and multilateral or regional cooperation
regional security, and stability. It will also strengthen with neighboring countries for more effective
cooperation to effectively manage the current and administration and management of the oceans.
avoid future pandemic situations.

Pursue and sustain modernization programs for


Ensuring security and safety of
a credible and self-reliant defense posture. The overseas Filipinos
establishment of a credible and self-reliant defense
posture is critical to the protection and preservation Armed conflicts, economic instabilities, and
of the country’s territorial integrity, sovereignty, and social tensions in other countries continue to put
sovereign rights. Thus, the government will fully the welfare and safety of all Filipinos overseas at
implement the AFP Modernization Program and risk. Strategies to ensure the security and safety
the AFP Capability Upgrade Program by ensuring of overseas Filipinos are discussed thoroughly in
continued budgetary support to these programs. Chapter 21.
Air and maritime domain awareness will likewise be
intensified through the conduct of law enforcement

318 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
To support the implementation and effectiveness of the strategies, legislative action is needed on the
following:

Table 18.1 Legislative Agenda to Ensure Security, Public Order, and Safety

LEGISLATIVE AGENDA RATIONALE

Territorial integrity and sovereignty upheld and protected

National Defense This will update and define key national defense policies, principles, and concepts. It will codify the
Act various issuances concerning national defense, the AFP, and the civilian bureaus in the DND with the aim
of streamlining and professionalizing the defense bureaucracy through the institutionalization of reforms.
It will prohibit the sale of defense real properties; redefine the minimum and maximum tenure in key
positions to provide stability in the AFP leadership, implement mandatory military service for all natural-
born or naturalized Filipino citizens for a minimum of two years, and transform the National Defense
College of the Philippines into the National Defense University of the Philippines, among others.

Defense This proposed legislation will exempt all acquisition of defense equipment, materiel, ordinance, and
Acquisition Act integrated military systems of the Department of National Defense (DND) and its attached bureaus from
the regular procurement process bounded by the Government Procurement and Reform Act (GPRA).

National Security This measure seeks to institutionalize the national security planning process. This aims to address the
Code required regular preparation of a National Security Policy and a National Security Strategy and identify
how the government will implement the policy and strategy.

Philippine This bill will promote and stimulate the local defense industry, as in-country enterprises will be entitled
Defense Industry to avail incentives under the Omnibus Investments Code (EO 226, s. 1987). The proposed law places
Development Act premium in encouraging local industry players to invest in developing in-country defense capabilities.
The industry players may avail of credit and other financial products extended by government financial
institutions and enjoy exemption from customs duties and national internal revenue taxes that are payable
on the importation of raw materials and critical components. The government will promote the export of
locally made defense materiel and the in-country enterprises to other countries.

Philippine Maritime This will serve as a general declaration of the maritime zones under the sovereignty and jurisdiction of the
Zones Act Philippines. It will also provide the necessary foundation and framework for the enactment of subsequent
laws pertinent to the rights and obligations of the Philippines over its maritime zones.

Philippine The proposed law will establish archipelagic sea lanes in Philippine archipelagic waters and the adjacent
Archipelagic Sea territorial sea. It will likewise prescribe the rights and obligations of foreign ships and aircraft that exercise
Lanes Act the right of passage through the established archipelagic sea lanes. The bill will also determine and
put in place appropriate measures for the protection of areas along said sea lanes, in accordance with
international conventions and agreements to which the Philippines is a party.

All forms of criminality and illegal drugs reduced

PNP Revitalization This will enhance the capabilities of the PNP through infrastructure and facilities development, as well as
and Capability equipment acquisition and upgrading.
Enhancement Act

Chapter 18 Ensuring Security, Public Order, and Safety | 319


LEGISLATIVE AGENDA RATIONALE

Forensic The bill will give way for the establishment of a DNA database system for the collection, storage, and
Deoxyribonucleic maintenance of genetic identification information for law enforcement purposes.
acid (DNA)
Database Act

Anti-Drug Abuse This will institutionalize the creation of Anti-Drug Abuse Councils in every local government unit. It
Council Law provides for the corresponding budget allocation for the operations of the Councils and the conduct of
other anti-illegal drug activities, among others.

Amendment of the This will allow for the mandatory drug testing of students in the secondary and tertiary levels and the
Comprehensive forfeiture of properties involved in drug cases in favor of the Philippine Drug Enforcement Agency (PDEA).
Dangerous Drugs The amendment will also prescribe stronger penalties to those found guilty of trafficking dangerous drugs,
Act of 2002 provide for the destruction of seized dangerous drugs and controlled precursors and essential chemicals,
and restore plea bargaining and probation laws. It will also strengthen the PDEA as an organization,
including the provision of benefits for personnel, among others.

Public safety ensured

BFP Modernization This intends to modernize the BFP and enable it to become a fire and emergency medical and rescue
Act services agency capable of responding to hazards, such as destructive fires, accidents, and other natural
and human-induced disasters. It will strengthen the ongoing modernization of the BFP and give them the
power to investigate all causes of fire, and if necessary, file proper complaints.

Amendment of the This aims to amend certain provisions of the Revised Fire Code of the Philippines of 2008 (RA 9514) and
Fire Code clarify the respective authorities and jurisdictions of the BFP, the Philippine Economic Zone Authority
(PEZA), and other similar entities on the enforcement of the law within economic zones. It will give the
BFP the sole responsibility to administer and enforce the Fire Code. It also expands the utilization of the
Fire Code Fees collections for the acquisition of properties of fire stations. It also provides more stringent
penalties for every act that compromises fire safety and endangers the lives and limbs of Filipinos.

Disaster Resilience This proposed measure seeks to establish a Department of Disaster Resilience with sufficiently high level
Bill of authority to lead the coordination, monitoring, oversight, and implementation of disaster risk reduction
and management efforts. The proposed Department will be equipped with the necessary competency
and resources to engage new actors, particularly in the field of risk transfer and insurance and build the
necessary structure to manage broader governance programs. The current version of the bill should also
be revisited to explicitly specify public health emergencies, such as pandemics as disaster events and
to identify measures that will enable the government to mitigate the impact of such emergencies and
respond effectively.

Mandatory ROTC This will address the decline in the number of students taking up ROTC, which resulted in the insufficient
Program number of reserve officers and personnel for the AFP that may be tapped in times of need. The proposed
law seeks to revive the mandatory nature of the ROTC.

The re-establishment of mandatory basic ROTC Program will form part of the basic curricula for Senior
High School (Grades 11 and 12) in public and private schools and a requisite for graduation. The program
aims to enhance the students’ consciousness in the ethics of service, patriotism, and nationalism, military
training for national defense preparedness and civil military operations, and civic training for disaster risk
reduction and management, human and civil rights awareness, and law enforcement.

320 | Updated Philippine Development Plan 2017-2022


19
Accelerating
Infrastructure
Development
CHAPTER 19

Accelerating Infrastructure
Development
The Build, Build, Build (BBB) Program managed to overcome several implementation
challenges in the first half of the Plan period, having increased infrastructure spending to
more than five percent of the gross domestic product (GDP) in 2018, twice more than the
average spending over the past five decades. The progress of the Program is a confirmation
of the government’s strong resolve to strategically and decisively improve the country’s
infrastructure through the development of a robust pipeline of massive capital investments,
including priority high-impact projects, and the implementation of game-changing reforms.

The unprecedented challenges brought by the COVID-19 pandemic, however, is expected


to alter the overall infrastructure development agenda. The resource requirements of
the response to the pandemic is expected to reduce the fiscal space initially allotted for
the portfolio of investments and could slow down the movement and implementation of
programs and projects. On the other hand, the government is also keen in using BBB as an
instrument for socioeconomic recovery.

The resumption of rollout of activities under the BBB Program and the continuous investment
in infrastructure are vital to stimulating the economy and facilitating recovery with their
potential multiplier effects on creating jobs and stimulating growth. Bolstering infrastructure
is instrumental in ensuring business continuity, development of agglomeration economies,
creation of new urban centers, delivery of essential government services, and transitioning
into the digital economy. Accordingly, the government reassessed its strategies and targets
for the remaining Plan period to ensure that these remain relevant and achievable in the face
of the “new normal” and in pursuit of a healthy and resilient Philippines. Even while facing
constraints brought about by the pandemic, government will remain mindful of the longer-
term development goals requiring early interventions.

Assessment and Challenges


Assessment: During the first half of Plan (b) streamlining of regulatory procedures for
implementation, frameworks, laws, and policies energy projects; (c) formulation of the framework
were introduced for various infrastructure sub- for use of energy-efficient technologies; (d)
sectors: (a) National Transport Policy (NTP) and enactment of the means to lower electricity costs;
its implementing rules and regulations (IRR); (e) adoption of the framework for the Public

Chapter 19 Accelerating Infrastructure Development | 323


School of the Future; (f) Philippine Health Facility therefore appetite of investors, particularly in
Development Plan to guide and ensure the public-private partnership (PPP) projects. In
rational allocation of investments for public health addition, increase in costs of infrastructure
facilities, upgrading and development, including projects may be expected due to requirements for
the Health Facilities Enhancement Program; social distancing and other health precautionary
and (g) government-initiated investments in measures and protocols.
the enhancement of the digital infrastructure
through the National Broadband Program. Amidst the challenges of the pandemic and
transitioning to the “new normal,” the government
Challenges: The COVID-19 pandemic has posed will have to continue and step up efforts to
serious challenges to resource mobilization and address increasing demand for infrastructure,
implementation of the BBB Program, particularly especially health and water facilities, which
in terms of: (a) availability of fiscal space for the have been and continue to be critical in the
target infrastructure program; (b) conceivable fight against COVID-19, right-of-way issues,
delays in project preparation, procurement, and/ lack of updated and integrated infrastructure
or implementation due to disruption of work data, and regulatory environment issues. At the
of contractors, professionals/experts/engineers, same time, the remainder of the reform agenda
and workers/laborers involved in the projects; will still be pursued — creation of an apex body
(c) possible interruption of importation of for water resources and an independent
construction materials due to disruption economic regulator for water supply and
to labor and materials supply; and sanitation; and amendments to the National
(d) change in demand for infrastructure services, Economic and Development Authority (NEDA)
which could affect the financial viability and Joint Venture (JV) Guidelines.

Targets
The Plan targets for FY 2020-2022 were revisited and emerging from the COVID-19 pandemic and
updated considering infrastructure development, transitioning further into the path of recovery and
as a pivotal strategy to pump-prime the economy resiliency. Table 19.1 shows the success indicators
and with the strong recognition that each sector and updated targets for infrastructure development.
of the economy essentially requires infrastructure

324 | Updated Philippine Development Plan 2017-2022


Table 19.1 Updated Targets to Accelerate Infrastructure Development

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Public infrastructure spending increased 4.12


4.20 5.40 4.50 4.50
(in % share in GDP)1 (2016)

Transport Infrastructure

Road Transport

Travel time (decreased) via land per key corridor (in hours)

2.97
Metro Manila 3.12 3.11 3.11 3.11
(2016)

61.12
N1/Pan – Philippine Highway (Laoag-Zamboanga) 50.94 48.39 45.84 45.84
(2016)

7.04
Manila – Baguio 5.86 5.57 5.28 5.28
(2016)

13.36
Manila – Pagudpud 11.13 10.58 10.02 10.02
(2016)

12.11
Manila – Cagayan 10.09 9.59 9.08 9.08
(2016)

2.80
Manila – Clark 2.34 2.22 2.10 2.10
(2016)

2.09
Clark – Subic 1.75 1.66 1.57 1.57
(2016)

3.46
Manila – Batangas 2.88 2.74 2.60 2.60
(2016)

2.62
Iloilo – Capiz 2.18 2.07 1.96 1.96
(2016)

7.10
Surigao – Davao 5.92 5.62 5.33 5.33
(2016)

5.80
Butuan – Iligan City 4.83 4.59 4.35 4.35
(2016)

5.70
Cagayan De Oro – Davao City 4.75 4.51 4.27 4.27
(2016)

8.46
Bacolod – Dumaguete – Bayawan 7.05 6.70 6.35 6.35
(2016)

1
On July 28, 2020, the Development Budget Coordination Committee (DBCC) adopted via Ad Referendum the revised macroeconomic
assumptions and fiscal targets for FY 2020 to FY 2022, in line with the fiscal impact of the COVID-19 pandemic. Accordingly, the government’s
programmed spending on infrastructure were revised.
2
Actual disbursement based on the Department of Budget and Management’s (DBM) 2019 Budget of Expenditure and Sources of Financing.

Chapter 19 Accelerating Infrastructure Development | 325


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

4.61
Danao – Cebu – Santander 3.85 3.65 3.46 3.46
(2016)

Road traffic accident rate reduced


10.7
(in number of incidents per 100,000 population) 10.00 10.00 10.00 10.00
(2016)
- incidents of accidents

Air Transport

Air passenger movement increased 71.54M


29.42M 32.65M 38.33M 38.33M
(in number of passengers, cumulative) (2016)

Cargo shipped via air increased


285.86M
(international and domestic) 165.54M 277.92M 328.93M 328.93M
(2016)
(in metric tons [MT], cumulative)

Water Transport

Passengers transported by sea increased 89.16M


90.11M 91.66M 93.27M 93.27M
(in number of passengers, cumulative) (2016)

Cargo shipped increased


302.68M
(international and domestic) 317.92M 325.12M 332.06M 332.06M
(2016)
(in MT, cumulative)

Number of vehicles carried by 5.50M


6.70M 6.77M 6.84M 6.84M
RORO vessels increased (2016)

Rail Transport

Passenger trips via rail in Metro Manila increased 11


16 17 19 19
(in % share to total passenger trips via rail, cumulative) (2014)

Energy/Power

Power requirements met 144


148 147 139 139
(in % available capacity over peak demand) (2016)

140
Luzon 143 144 137 137
(2016)

149
Visayas 150 146 137 137
(2016)

162
Mindanao 172 161 150 150
(2016)

Energy intensity (primary energy) reduced 6.71


5.82 5.66 5.56 5.56
(in tons of oil equivalent per million peso) (2016)

Energy intensity (electricity consumption) reduced 11.18


10.23 10.83 10.84 10.84
(in kWh per million peso) (2016)

326 | Updated Philippine Development Plan 2017-2022


TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Proportion of households (HHs) with electricity to 90.70


96 98 100 100
total number of HHs increased (in %, cumulative) (2016)

Electricity consumption per capita increased 879.46


1,043.52 1,095.91 1,163.54 1,163.54
(kWh per capita) (2016)

Water Resources

Water Supply and Sanitation

Proportion of HHs with access to safe water supply 87.60


93.11 94.49 95.87 95.87
to total number of HHs increased (in %, cumulative) (2016)

Proportion of cities/municipalities served by water districts 84.00


86.00 88.00 90.00 90.00
with 24/7 water supply increased (%, cumulative) (2016)

Proportion of HHs with access to improved sanitation 91.90


94.60 95.28 95.95 95.95
to total number of HHs increased (in %, cumulative) (2016)

Irrigation

Cropping intensity increased 143.00


164.37 165.50 166.36 166.36
(in %, cumulative) (2016)

Ratio of actual irrigated area to the total potential 59.32


63.10 65.33 66.73 66.73
irrigable area increased (in %, cumulative) (2016)

Flood Management

Ratio of flood-protected areas to the total flood-susceptible


TBD TBD TBD TBD TBD
areas increased (in %, cumulative)

Information and Communications Technology

4.30
Average broadband download speed increased (in Mbps) 25.00 30.00 35.00 35.00
(2016)

Social Infrastructure

Health

Proportion of barangays with barangay health stations, rural


70.64
health units, or urban health centers to the total number of 72.18 72.18
(2017)
barangays (42,036 as of 2016) increased (in %, cumulative)

Solid Waste Management

13,149
Number of barangays served by materials recovery facilities 21,018 23,119 25,221 25,221
(2016)

Number of local government units (LGU) 248


434 456 479 479
served by sanitary landfills (1,634 LGUs) (2016)

Chapter 19 Accelerating Infrastructure Development | 327


Strategic Framework
Infrastructure development is an important the BBB Program as a major growth lever to
bedrock strategy that contributes to enhancing the hasten the country’s recovery and provide a more
social fabric, reducing inequality, and increasing solid foundation for resiliency. The outcomes and
the country’s growth potential, enabling all other major strategies for the rest of the Plan period were
development strategies to work effectively. The carefully revisited and updated to better facilitate
aspiration of a healthy and resilient Philippines the transition and adaptation to the new normal,
entails envisioning the country’s strategic propel economic activities, and lay the foundation
infrastructure development post-pandemic with for extended growth.

Figure 19.1 Strategic Framework to Accelerate Infrastructure Development

Strategies
With the continuous reopening of the domestic subsectors; (c) ensure asset preservation; and
markets and gradual lifting of restrictions, (d) intensify infrastructure-related research and
the government will prioritize the continuous development (R&D) on technologies, including
resumption of the BBB Program, which is monitoring and evaluation of critical outcome
envisaged as a key element in bringing the much- indicators.
needed impetus to help the country emerge from
the COVID-19 pandemic and bounce back to Recognizing that resources are limited as the
recovery. With this, the major strategies aimed country deals with the COVID-19 pandemic, the
at accelerating infrastructure development have government was constrained in the rollout and
been updated as: (a) re-program activities and implementation of the infrastructure program in
projects for the new normal; (b) implement 2020. Nonetheless, the rollout of infrastructure
strategic infrastructure for various infrastructure projects is expected to bounce back in 2021 and

328 | Updated Philippine Development Plan 2017-2022


be a major driver of economic growth through job The government has an ambitious infrastructure
generation, among others. The government will development program in place that has undergone
thus continue to closely monitor progress and make review and reprioritization. As the country
adjustments on an annual basis or as necessary. continues to address the COVID-19 pandemic,
the government has prioritized development
Project proponents or implementing agencies will interventions that will have the most impact on
also have to be mindful of the project planning and the economy, guided by recovery and resiliency
implementation phases such that mobilization of measures. This initiative involved assessing the
resources are properly timed. Important projects available fiscal space for the infrastructure sector
that form part of master plans and are expected to due to the pandemic, firming up budgetary
yield significant benefits in the long-term will still requirements, and adjusting carefully the
be pursued by starting pre-procurement activities, infrastructure spending strategy such that
capacity-building, social preparation, coordination additional fiscal space for pressing health and
among agencies and local government units social recovery programs may be better supported.
(LGUs), anticipating and resolving right of way
problems and other regulatory issues, which are Thus, the government has carefully revisited the
common and recurring causes of implementation BBB Program and the Infrastructure Flagship
delays. Addressing such issues will pave the way for Projects (IFPs) to take into account emerging
smoother and faster implementation of projects priorities under the new normal and prioritize
in the future. Thus, while the pandemic may have projects with high economic impact with
slowed down and disrupted the implementation due consideration for project readiness,
of projects, with the right policies, financial implementation capacity of line agencies, job-
instruments, and our whole-of-government generation potential, and interest and risk level
approach, the resumption of the BBB Program is of the private sector. Accelerating infrastructure
intended to put the Philippines in a good position investment is seen to drive economic and
to drive its recovery and resiliency program. productive activities across industries towards
creating employment opportunities to support
direct and indirect jobs that, in turn, have
Sustaining operations and multiplier effects that can help trigger and regain
accelerating infrastructure consumer spending and business confidence.

development Besides infrastructure being crucial to support


recovery, it is also a key strategy to strengthen
Re-programming activities and projects the country’s resilience given the changing
for the new normal global economic landscape and to be better
positioned in dealing with future pandemics
Invest in necessary infrastructure under the new and their socioeconomic implications. Thus,
normal. Accelerating infrastructure development the government recognizes that a shift in
has gained increased urgency and relevance as investment priorities under the new normal is
a result of the COVID-19 pandemic. To rise necessary with greater focus on resiliency that
from the economic downturn and build lasting can build a better foundation for lasting growth.
gains, the government will need to stimulate
optimism and confidence in the general economy The shifts in focus in infrastructure investments
and investing in the necessary infrastructure involve development interventions in various
under the normal is a crucial strategy to support infrastructure facilities and services that have
recovery by creating stimulus for economic gained imperative value and urgency in
growth through employment opportunities transitioning into the new normal and unleashing
and aiming for renewed investor appetite economic opportunities in a post-pandemic
and confidence. world. The changing patterns in the way people

Chapter 19 Accelerating Infrastructure Development | 329


work and do business provide an impetus for the Continue to push for reforms and convergence
government to fast-track its efforts in shifting programs. With less than three years remaining
into the digital economy and contactless society, in the Plan period, convergence programs and
which require enhancing the country’s digital inter-agency collaborations will be further
infrastructure and broadband internet. Additional intensified, such that the needed reforms that
investments will be pursued in affording new the government has initiated can be finally
priorities for social infrastructure services under realized and implemented.
the new normal, particularly given the heightened
importance of advancing our healthcare systems To smoothly carry out the BBB Program, the NEDA
and the capacities of our healthcare facilities; will work closely with the Deparment of Budget
to continue the delivery of quality education and Management (DBM) and other member
through blended learning and improvement of agencies of the NEDA Board Committees to
our education facilities; and to provide appropriate strengthen the alignment and synergy among
housing and resettlement in support of the Balik planning, programming, and budgeting.
Probinsya, Bagong Pag-asa (BP2) Program. Access Moreover, the government will continue to
to safe and adequate water supply and sanitation champion the timely movement and completion
will be given priority with ever increasing water of priority programs, activities, and projects by
demand and consumption, especially to help identifying operational issues hampering project
mitigate the spread of COVID-19 and other implementation under the new normal and aiming
diseases through proper hygiene. The development for the early resolution of bottlenecks. To minimize
and maintenance of irrigation facilities will also road disruptions in the rollout of infrastructure,
be necessary to support the food security goals of the government (e.g., Department of Public
the country. Moreover, the electrification efforts Works and Highways [DWPH], Department
will be accelerated, particularly in off-grid areas, to of Transportation [DOTr], Department of
support the energy requirements under the digital Information and Communications Technology
economy and contribute to providing security and [DICT], among others) will form convergence
promoting lasting peace. With all these, continued programs and agreements for coordination of
investments in infrastructure come with exercising planning permission and civil works, and in the
fiscal prudence and enhanced capacity to efficiently process, to also work towards transparency and
utilize the available resources. better coordination with utility service providers.

Pursue PPPs in infrastructure development.


Implementing strategic infrastructure
The private sector will play an important role
in supplementing government efforts and
Public investment will be focused on transport,
augmenting public resources as the latter can
water resources, energy, information and
mobilize the former’s capital to fully or partially
communications technology (ICT), and
finance infrastructure projects and tap their
social infrastructure, which are strategic
efficiency and expertise in project delivery
and crucial in achieving development goals,
and management. Through PPPs, government
especially in transitioning into the new normal.
resources may be freed up for urgently
needed health and social recovery programs.
Transport
Along this line, the government will continue to
enhance the regulatory framework for PPP to The government will further enhance the efficiency
address various issues and challenges and fast- of the transport sector to sustain economic
track the implementation of priority projects and growth and increase competitiveness by providing
programs. In this regard, the government intends adequate, accessible, reliable, efficient, seamless,
to amend the NEDA JV Guidelines in the and safe movement of people and goods across the
immediate term. country, neighboring regions, and the world.

330 | Updated Philippine Development Plan 2017-2022


Enforce the NTP and strengthen it through Adopt an integrated approach to transport
legislation. Following the adoption of the policy planning, in line with the NTP and the
by the NEDA Board, a law adopting it and creating National Spatial Strategy (NSS). The National
independent regulatory bodies for the railways, transport agencies and the LGUs will implement
airports, and seaports, among others, will establish an integrated approach to land use and
a more streamlined transport sector that is able to transport planning in the provision of transport
efficiently and effectively carry out the identified infrastructure and services. This approach aims
development strategies. to improve the capacity of transport facilities to
adequately serve the demand for movement of
Pending legislative action on the NTP, the passengers and goods to, from, and within the
NEDA Board Committee on Infrastructure centers of socioeconomic activities identified in
(INFRACOM) and the Inter-Agency Technical the NSS. The LGUs will be required to prepare
Committee on Transport Planning will local transport sector plans, such as the Local
continuously ensure that the NTP and its IRR Public Transport Route Plan (LPTRP) as part of
will be adhered to in planning, programming, their Comprehensive Development Plans (CDP).
implementing, operating, and maintaining The CDPs will be regularly updated to account
transport projects and in operationalizing for new and significant developments in land use
strategies and intended policy reforms. and transport networks. Critical infrastructure
in times of disasters, calamities, and future
In accordance with the principle of local pandemics will be required in the Comprehensive
autonomy, the LGUs will be made responsible Land Use Plans (CLUPs) of the LGUs.
for mobility outcomes in their jurisdictions. To
this end, the DOTr and the DPWH will extend Develop efficient and resilient national supply
technical assistance to the LGUs in the field chain network system. Transport agencies will
of transport planning, transport and land use continue to formulate convergence programs
integration, program and project implementation with concerned agencies to ensure that economic
and monitoring, and traffic engineering and sectors are provided with adequate transport
management. Consistent with the NTP, the closer infrastructure support and services. Agricultural
engagement between national and regional areas will continue to be supported through the
transportation planning offices and LGUs provision of farm-to-market and farm-to-mill
will ensure that local mobility initiatives are roads, in accordance with the standards set for
guided by master plans and evidence-based both design and construction. Transport
studies from an overall network perspective, infrastructure supporting tourist destinations
aligned with national and regional development will continuously be developed to boost tourism
plans, and based on financial and economic activities that were affected by the COVID-19
viability, comparative advantages, and linkages pandemic.
with other transport modes, which in turn will
guide the rational development of an intermodal To support development in Mindanao, road projects
transport infrastructure network. under the Mindanao Logistics Infrastructure
Network (MLIN) will be pursued along with the
Relatedly, baseline transport data and information implementation of the Improving National Roads
will have to be consolidated and a unified database for Inclusive Growth in Mindanao Projects in
and transport model will be maintained. At the Western Mindanao. The capacity of the Brunei
local level, regional agencies of DOTr, DPWH, Darussalam-Indonesia-Malaysia-Philippines East
Land Transportation Office (LTO), and Land ASEAN Growth Area (BIMP-EAGA) road network
Transportation Franchising and Regulatory will also be increased.
Board (LTFRB), together with the LGUs, will be
responsible for collecting traffic flow data across With an emphasis on improved connectivity
different transport modes, which will be shared and enhanced mobility, multimodal transport
with the central transport database. terminals complete with ancillary facilities will

Chapter 19 Accelerating Infrastructure Development | 331


be established to provide smooth transition for will be revived to develop initiatives that will
passengers and freight from one mode to another. address the unique needs of persons with
disabilities, elderly, women, and children in
In terms of securing the backbone of transport terms of mobility within the transport network,
planning activities in vulnerable areas, priority particularly in public transport systems.
will be on the development and enhancement of
critical transport infrastructure (i.e., transport Land-based Transport
facilities that are critical in ensuring continued
economic activities during disaster operations Prioritize mobility of people and goods over
and health crisis response) and mitigating private vehicles by improving land-based
pandemic impacts. These efforts will be transport network through engineering,
complemented and supported by a resilient enforcement, and education. The land-based
energy and communications infrastructure transport network is slated for road widening
development. Critical transport infrastructure and integration with mass-transit facilities
will be made climate- and pandemic- resilient to through the implementation of multimodal
provide continuity in the movement of people transport terminals. For a more efficient use of
and goods, contribute in containing the spread road infrastructure, high-quality public transport
of contagion, and ensure last-mile operation for modes will be pursued, such as public transport
humanitarian logistics. Logistics estates and hubs reform, fleet modernization, route rationalization,
will be developed at critical locations nationwide and environmentally-sustainable urban transport
to support not only regional economic activities, systems, among others, so that commuters will
but also humanitarian logistics in times of prefer public over private vehicles and more
pandemics and disasters. Applicable standards people can be moved with less road space,
and best practices on the adoption of resilient, thereby addressing traffic congestion. In high
efficient, and environment-friendly designs and passenger density corridors, high capacity mass
technologies will be adopted. transit systems such as rail will be prioritized over
buses and jeepneys.
Ensure the upkeep of existing infrastructure
while expanding the transport network. To On the modernization of public transportation and
ensure that the transport sector is able to support in transitioning to the new normal, the DOTr and
economic development, the physical state of its attached agencies will adopt the Philippine
existing infrastructure will be maintained at a level Standard for Accessible Public Utility Vehicles
that generates the optimal economic outcomes. formulated by the Department of Trade and
This strategy will be coupled with the expansion Industry – Bureau of Philippine Standards (DTI-
of the transport network to reach the rest of BPS).
the country and the world. Projects that are
implemented, especially those identified as Non-motorized transport (e.g., bicycle and
flagship projects, will be monitored closely to pedestrian infrastructure) will be integrated
ensure the quality and timely delivery of output. into the existing network through retrofitting.
The design of new projects will also consider
Ensure the universal accessibility of transport features to encourage more walking and cycling
facilities. As part of the government’s vision to trips. Standardized designs for bicycle and
improve the quality of life of the people through pedestrian infrastructure will be mainstreamed
eased access, universal accessibility design in projects of national transport agencies and
and principles will be considered in the LGUs. Existing and future transportation facilities
implementation of all transport infrastructure will have infrastructure supporting non-
facilities and services to ensure an inclusive motorized transport modes (e.g., bicycle racks,
and people-oriented national transport system. adequate pedestrian lighting) to promote
The Task Force on Accessibility created in 2007 multimodal mobility.

332 | Updated Philippine Development Plan 2017-2022


Appropriate traffic management measures will the road network should remain functional for
also be enforced and updated to be responsive to humanitarian logistics.
prevailing situations. Traffic engineering solutions,
such as the use of intelligent transport systems Decongest local and national transport corridors.
(e.g., signalized intersections, advanced detection On the matter of encroachment along transport
systems, incident detection), will be installed corridors, the DILG, together with the Philippine
particularly in urban areas. National Police (PNP) and respective LGUs, will
sustain directives for all concerned units to clear
Anti-overloading measures, including penalties, all roads of illegal structures and abandoned
will be strictly enforced and strengthened construction materials, and rehabilitate damaged
to prevent the rapid deterioration of roads. road facilities. To complement the ongoing
Additional weighbridges and portable weighing inventory of national roads by the DPWH and
devices will be set up to broaden the scope of to establish a complete database and monitoring
implementation. To ensure compliance with of the Philippine road network, LGUs will also
international standards on vehicle safety and be required to prepare an inventory of all roads
environmental impact, the Motor Vehicle Type within their jurisdiction as part of their geographic
Approval System and Motor Vehicle Inspection information system-based Local Roads Network
System (MVIS) will be implemented. Development Plan and their respective Local
Public Transport Route Plans as part of their
Training of drivers and traffic enforcers will be CLUPs.
continued to ensure that investments in transport
facilities and other assets are preserved through Expand the rail network and other mass
proper use. transit systems and ensure their accessibility,
affordability, convenience, and reliability.
Sustain the expansion and enhancement of The rail network will be expanded by developing
strategic corridors. Future developments will be new lines in high-density corridors, taking into
pursued for the national road network with the consideration the plans for road-based transport
planned implementation of the Philippine High infrastructure, especially in cases where projects
Standard Highway Network Program Phase II, will utilize the same right-of-way. Consistent
which will add about 1,044.6 kilometers (km) of with the objective of moving more people and
high-standard national roads and expressways cargos rather than vehicles, priority on the
across metropolitan areas (884.7 km in Luzon, right-of-way will be accorded to rail-based
73.8 km in Metro Cebu, and 86.1 km in Metro transport over road-based transport.
Davao). Toll expressways will be equipped with
interoperable contactless toll collection systems Tourism, trade, and commerce will be supported
for greater mobility and limiting person-to-person through enhanced interconnectivity of passenger
contact. and freight railway transport development to
generate opportunities for local area development,
To complement the level of service being delivered as well as expansion of local markets to promote
by the national road network, local roads productivity and trade competitiveness.
will continuously be improved by upgrading,
expanding, and providing adequate maintenance. Noting the significance of railway in transit-
Road capacity should be optimized while oriented development strategies, the completion of
maximizing the design speed in the road planned interregional railway projects will be
network. Innovative designs of intersections and prioritized to facilitate greater interregional
interchanges will also be adopted and temporary accessibility, linkages, and seamless multimodal
bridges will be made permanent. Design standards transport network and to increase opportunities
that ensure the safety of users and resiliency of for economic activities. The establishment of
roads and bridges will be strictly enforced noting rail-based connection to seaports, dry ports,

Chapter 19 Accelerating Infrastructure Development | 333


inland container depots, and airports will also which involve airspace management and adoption
be pursued for faster movement of freight and of collaborative decision-making among the air
to decongest traffic along road networks to/from traffic control, airlines, and ground handlers
said terminals. (e.g., by using ground movement radar and other
technologies). Runway capacity will be optimized
Transport network operators, both private by cutting aircrafts’ occupancy times. Development
and public, will continue to forge convergence plans for the Clark International Airport (CRK)
undertakings to achieve integrated fare collection will be continued, including the establishment
systems. Stored value cards or similar electronic of a fast and direct access to Manila through a
media will be used to ensure maximum rail system providing non-stop and commuter
convenience for passengers and enable easy services.
transfer between modes. While non-contact fare
system is already being used in the Light Rail Implement an optimal airports system strategy
Transit (LRT)/the Metro Manila Rail Transit to expand airport capacities at pace with
(MRT), migration from physical stored value cards growing demand. Existing provincial airports
to mobile, contactless payment will be expanded will be rehabilitated, while smaller or community
to other public transport modes to reduce the risk airports will be upgraded to standard Principal
of spreading diseases, as part of health and safety Class 2 classification to cater to commercial
protocol in the public transport sector. flights for better connectivity with various tourist
destinations. On the other hand, Aeronautical
Policies and guidelines on procurement activities Lighting System and Instrument Landing System,
in the railway sector will be customized to ensure can be installed in airports with appropriate
the availability of highly-specialized spare parts facilities complying with the existing civil aviation
and supplies. regulations to enable night-time operations
and improve accessibility, especially for those
To ensure that the quality of rail and mass transit identified to readily accommodate said technology.
systems are up to standards, capacities of skilled The remaining regional airports will be assessed
workers in mass transit systems, especially rail, to determine night-landing viability. Appropriate
will be upgraded. In view of the forecasted need design and operation measures will be identified
for skilled workers manning the planned public to address limitations and achieve the goal of 100
mass transit projects, the Philippine Railway percent coverage for all regional airports catering to
Training Center will continue to provide commercial flights.
comprehensive technical training for train drivers
and other rail professionals. Facilities and equipment will be modernized (e.g.,
night-rating) in compliance with International Civil
Air Transport Aviation Organization (ICAO) and International
Air Transport Association (IATA) standards,
Improve the operational efficiency of airports especially those that serve island provinces in
and address constraints to optimal capacity Visayas and Mindanao. Security features/aspects
utilization. All possible means to achieve should be integrated in the planning and design
operational efficiency and the optimal capacity stages of development and/or rehabilitation of air
utilization of airports will be explored. In transport facilities, to ensure allotment of sufficient
particular, strategies will focus on decongesting space for security equipment (technology),
air traffic serving the Greater Capital Region, such processes (passenger and baggage throughput), and
as building a new international airport, guided personnel (ergonomics). New investments will be
by an optimal airport strategy. In the interim, made to service future destinations corresponding
movements in both land and air facilities at the to the spatial and socioeconomic context and
Ninoy Aquino International Airport (NAIA) passenger demand.
will be optimized through procedural measures,

334 | Updated Philippine Development Plan 2017-2022


Support the role of airports in spurring local Consider environmental impacts of airport
tourism development and new growth centers. operations. The Civil Aviation Authority of the
To provide stimulus to local tourism development, Philippines (CAAP) and other airport authorities
especially in island provinces, tourism clusters (e.g., Manila International Airport Authority
identified by the Department of Tourism (DOT) [MIAA], Mactan-Cebu International Airport
will be served by a primary airport. Airport Authority [MCIA], etc.) will ensure that airports
development in regional areas and island will be ready for the implementation of the Second
provinces will follow a hub-and-spoke model, Phase of Carbon Offsetting and Reduction Scheme
where the gateway airport will connect to feeder for International Aviation (CORSIA).3 The Second
airports providing access to areas of destination Phase, which will be implemented from 2027
with natural and cultural tourism sites. through 2035, will require the cooperation of
airlines. As such, the groundwork on the necessary
The role of airports as a catalyst for new growth policy and infrastructure should be undertaken to
centers and smart cities will be explored, taking ensure seamless implementation.
off from the experience in CRK where demand
growth complements and is reinforced by various Maritime Transport
ongoing mixed-use developments in Northern
and Central Luzon (e.g., the New Clark City). Improve port facilities to ensure that inter-island
shipping, including a stronger roll-on/roll-off
Strengthen and rationalize air transport (RORO) network, will remain a viable option
regulations, policies, and protocols and for transporting people and cargo. Breakwater
modernize facilities to enhance air passenger facilities will be constructed for wave protection
experience. The private sector will play an in order to prevent ports from deteriorating.
important role in the operations and maintenance International standards will be followed in the
and future upgrading of airport facilities. expansion of port facilities. In addition, navigation
Leveraging on its financial capacity, operational channels to accommodate larger vessels will be
efficiency, and technological advantage, installed to ensure the sustainability and efficiency
the private sector will be tapped to complement of ports. These approaches will yield economic
the government’s resources in the initial gains through lower transport cost, increased
development and construction of airport lifespan of products, and more profits and job
infrastructure to deliver an enhanced passenger opportunities, especially for fishing communities.
experience. In view of these, regulatory functions
of air transport agencies will be strengthened. Sustain the optimal utilization of existing and
additional port capacities. The government
To reduce the impact of interruptions in airport commits to optimize the utilization of existing
operations during natural and human-induced ports. Among the precursory measures for
disasters, existing intervention protocols between container ports are the development of a freight
airlines and airport authorities will be reviewed. rail service between Clark and Subic, promotion
Equipment inventory will be modernized and of the use of inland container terminals,
airport training modules will be further enhanced. optimization of port container yard utilization,
To ensure that passengers receive appropriate and integration of port management plans in
compensation or accommodation in case of the intermodal and multimodal approaches in
flight cancellations pursuant to the Air Passengers the logistics network development. These efforts
Bill of Rights, more public assistance officers will be sustained with the implementation of
will also be deployed. additional plans, programs, and projects that

3
The CORSIA, an initiative of ICAO, will be implemented in three phases: pilot phase (2021-2023); followed by a first phase (2024-2026); and a
second phase (2027-2035). Participation in the pilot phase and first phase is voluntary (until 2026), after which, more stringent requirements from
the scheme would be mandated to all member states. The Philippines has voluntarily applied to take part in the CORSIA and has submitted an
action plan to ICAO.

Chapter 19 Accelerating Infrastructure Development | 335


facilitate efficient flow of goods and services A global maritime hub for SBSRs and related
(e.g., dry ports, freight rail, and construction or ancillary businesses with a world-class research
expansion of regional ports). and training center in the country will be
developed to bring together all maritime-related
The direct connection between Manila and companies in one eco-maritime industrial park.
Batangas Ports, through the Cavite Gateway This will provide comprehensive services to
Terminal, will be further enhanced, and domestic and international passengers and crew,
co-loading (modified cabotage) will be promoted and cruise and cargo ships plying the Philippine
to encourage shipment between domestic ports. waters for maintenance and other related services.
Existing dry ports will be improved and new ones
will be built to provide support to manufacturers, Safety and Security
importers, and exporters. Logistics hubs will
be developed, where applicable, to connect Adopt a universally-accepted security structure
industrial and manufacturing zones and agro- to improve safety and security of the public
industrial areas to major port areas. Further, the transport system. An independent body will
capacity of the BIMP-EAGA Transit Transport be created to investigate transport accidents
Route in Mindanao will be improved to facilitate and provide transport safety recommendations
swift intra-EAGA transport. to minimize activities that may cause injury,
death, loss, or damage to property. In the interim,
Promote maritime transport as an alternative the Office of Transportation Security (OTS) will
sustainable mode. Taking off from the initiatives continue to conduct compliance monitoring
on the revival of the Pasig Ferry System as a activities (CMAs), such as security audit,
sustainable alternative to road-based transport, inspection, and test in public and private transport
the government will develop the Coastal and terminals to ensure that the security measures
Inland Waterways Transport System to further and procedures are implemented and in
reduce urban traffic congestion and pollution, compliance with the standard presented in their
expand the intermodal transport network, respective security plans. Similarly, concerned
increase regional connectivity, and create new agencies will ensure that projects are designed
business opportunities. The same system can also with appropriate safety standards. Advanced
be utilized for disaster response, especially when security systems for land-based terminals, airports,
road infrastructure in urban centers are damaged. and seaports will be procured and installed.
Support for low-income LGUs and coastal and The Philippine Coast Guard (PCG) will continue
island communities in establishing their own its capability-building programs to ensure
seaports will be continued to promote local trade, presence and control over the country’s vast
tourism, livelihood, and disaster preparedness. maritime domain. To ensure safety in marine
navigation, the PCG will continue the installation
Implement the Maritime Industry Development of aids to navigation, such as buoyage systems,
Plan (MIDP). To accelerate the integrated and lighthouses, and other related facilities.
rational development of the country’s maritime New floating and air assets will be procured and
industry, eight priority programs, as well as a sufficient well-trained personnel complement
other strategies espoused in the MIDP, have will be provided. To serve the growing tourism
commenced implementation. These include and maritime industry, new bases or stations
the Nautical Highway Development Program, will be developed in strategic locations.
Maritime Tourism Program, and National Fishery
Industry Development Program to improve Strictly implement road safety measures.
the capacity, efficiency, safety, and security of In modernizing traditional public utility
shipping, as well as shipbuilding and ship repair vehicles and implementing new public mass
services (SBSRs). transit systems, the following safety features will
be incorporated: side entry/exits that can be easily

336 | Updated Philippine Development Plan 2017-2022


opened from either side, emergency exits, speed reform agenda identified in the Philippine Water
limiting technologies, dashboard camera, closed- Supply and Sanitation Master Plan (PWSSMP).
circuit television, and global positioning system, With the amplified importance of WSS during
among others. To reduce road crash incidents, the COVID-19 pandemic and moving forward,
street crossings for school zones and other public the reform agenda will focus on the following
spaces along national roads should be replaced with areas, which are ultimately aimed at making water
pedestrian overpass/underpass, if applicable, and services adequately accessible for all: (a) establishing
low-speed vehicles, such as tricycles and pedicabs, effective WSS sector institutions; (b) strengthening
must be restricted in plying national highways. regulatory environment; (c) creating and ensuring
Other road safety laws and ordinances will be effective WSS services; (d) balancing water supply
strictly implemented, including the use of dedicated and demand; (e) building climate resiliency; (f)
bus lanes, motorcycle lanes, and loading/unloading enabling access to funding and financing; (g)
areas; Land Transportation and Traffic Code managing data and information; and (h) driving
(Republic Act [RA] 4136); Anti-Distracted Driving R&D.
Act (RA 10913); Children’s Safety on Motorcycles
Act (RA 10666); and Road Speed Limiter Act (RA The creation of an apex body for water resources
10916). and the establishment of an independent economic
regulatory body for WSS will remain as priority
Mainstream risk-based health protocols at the reforms in the sector. As envisioned, the apex body
country’s gateways. Considering that airports will be primarily responsible for the formulation
and ports are the country’s gateways and and implementation of a comprehensive water
frontline against the entry and transmission development and management plan for the
of pandemic diseases, there is a need to adopt Philippines, in accordance with the principles
operational measures that will minimize the of integrated water resources management
risk of transmission at the terminals and (IWRM) and integrated coastal management.
onboard aircrafts and vessels or cruise ships. The independent water regulatory body, on the
Health declaration forms of passengers will be other hand, will harmonize regulatory practices,
administered and collected in electronic form processes, and fees, among others, to facilitate
and in advance prior to passenger departure. and rationalize the expansion, improvement, and
Procedures such as check-in, immigration, efficient provision of WSS services in the country.
and boarding checks that can be conducted In the interim, the government will also continue
electronically will be automated and self-service to push for an executive issuance that will
options will be provided to minimize person-to- strengthen the National Water Resources Board
person contact. High-end temperature scanners (NWRB) to address fragmentation in the water
and sanitation facilities in major international and sector and provide the overarching framework
domestic airports and ports will be set up and for an integrated and coordinated policy-making,
mandatory temperature screening will be imposed planning, and implementation of programs and
on inbound and outbound passengers. Passenger projects.
movement during boarding and disembarkation
inside the cabin may be limited to smaller batches To ensure access to safe and adequate water to cope
to maintain physical distancing. Additional with the inevitable increase in water demand and
cleaning and sanitization schedules by the crew consumption for the precautionary or mitigating
before boarding and after disembarkation should measures for COVID-19 and other diseases, the
be implemented. government will fast-track the implementation
and expansion of WSS infrastructure and services.
As a complement, a water demand management
Water Resources
program will likewise be implemented through:
(a) conduct of intensive public education campaign
Pursue water supply and sanitation (WSS) policies,
on water demand management; (b) formulation
plans, and programs in accordance with the key

Chapter 19 Accelerating Infrastructure Development | 337


of policies and strategies for efficient water supply of the required budget allocation for WSS projects
system; and (c) conduct of researches on water across the country, which will include funding
storage and collection systems. for project preparation, development activities,
and capacity-building interventions on the
Pursue initiatives on attaining water security. operation and maintenance of facilities.
Increase in water demand arising from an Likewise, in accordance with the Clean Water Act
expected rise in individual hygiene practices and (RA 9275), sewerage and septage management
disinfection of public spaces due to COVID-19, projects will be implemented. Given this,
as well as rising support to urban/community the government will explore the expansion
farming practices, would call for new water or restructuring of the NSSMP, in line with
sources to ensure that demand is met, especially principles of the common/unified framework
in areas suffering from water scarcity. Thus, for resource allocation for WSS to accommodate
the government will continue to support more beneficiaries other than sewerage or septage
the development of new water sources and management systems in highly-urbanized cities
prioritization of surface water development, and first-class cities or municipalities. Such
where feasible. Groundwater recharge system expansion and restructuring of the NSSMP may
in the development of the surface water source include the review and restructuring of the cost-
for critical areas will be incorporated, wherever sharing scheme with the LGUs on the basis of
possible, in accordance with prescribed standards. absorptive capacities and performance, as well as
Measures on efficient water utilization and technical assistance and revision of cost-sharing
conservation, as well as the use of eco-efficient schemes in the preparation of feasibility studies.
water infrastructure such as, but not limited to,
rainwater harvesting, water reuse, proper Optimize funds for irrigation development
agricultural and agronomic planning for irrigation, and strengthen technical capacities for the
and other emerging technologies on WSS will development and maintenance of irrigation
continue to be promoted to avert water shortage. facilities guided by the National Irrigation
Master Plan (NIMP). Water allocation for irrigation
With the reactivation and reconstitution of the will have to be managed efficiently to offset the
El Niño Task Force 4 pursuant to Memorandum imminent increase in domestic or municipal
Order No. 38, s. 2019, the NEDA, as overall head, water consumption to combat COVID-19. With
will revise and update the Roadmap for Addressing the passage of the Free Irrigation Service Act
the Impacts of El Niño. The NEDA will also (RA 10969) in 2018, funds for the restoration
facilitate action on the pertinent recommendations and rehabilitation of irrigation infrastructure and
emanating from the National Roadmap for Water facilities will be optimized in accordance with the
Security currently being prepared by the NWRB. recommendations of the NIMP, which is currently
Said roadmap will incorporate the possible being finalized, to ensure food security amidst the
impacts of future epidemics, pandemics, pandemic. Specifically, the government will shift
and climate change or variability to address the its focus in the short term towards funding the
impending water crisis. operation and maintenance, rehabilitation, and/or
restoration of existing irrigation systems across the
Adopt a common/unified framework for resource regions, instead of funding for the construction of
allocation for WSS and review the National multi-year large irrigation systems.
Sewerage and Septage Management Program
(NSSMP) to accelerate the provision of WSS
services. Under the common/unified framework for Other developments in the agricultural sector,
resource allocation, the NG will ensure the availability such as Rice Competitiveness Enhancement

4
Created pursuant to Executive Order No. 16, s. 2001.

338 | Updated Philippine Development Plan 2017-2022


Fund (RCEF) and support for diversified, an apex body for the water sector, a comprehensive
non-traditional, and high-value crop farming, database of all water-related data including flood-
will also be taken into consideration in setting related information, will be established and
the direction for the irrigation sector under the regularly updated.
said master plan. Likewise, to ensure effective
and sustainable operations and maintenance of
Energy
irrigation facilities, there will be capacity-
building activities to improve the technical skills
Integrate and enhance the energy plans. The
and workforce of LGUs, National Irrigation
Philippine Energy Plan (PEP) will be enhanced by
Administration (NIA), Department of Agriculture
adding a spatial dimension that informs investors
(DA)-Regional Field Offices, Bureau of Soils
on where to invest their energy projects. The
and Water Management (BSWM), Irrigators’
PEP will integrate the inventory of traditional
Associations, and Small Water Irrigation System
and renewable upstream resources with the
Associations.
downstream and the Power Development Plan.
Renewable energy (RE) zones will continue to be
Improve coordination between flood management
identified and developed to facilitate connection to
efforts and undertakings in other sectors. Pending
the transmission and distribution facilities. Other
the creation of an apex body for the water sector,
fuel resources and existing logistical facilities will
the DPWH, as the de facto lead agency for flood
be supplied to encourage the investments that will
control and management, and other relevant
improve the operations of the energy service and
agencies will intensify coordination between
goods providers.
flood management efforts and undertakings in
other sectors, such as solid waste management,
Implement policy reforms to promote competition
reforestation, and housing, among others,
and encourage investment in the energy sector.
under the general framework of the IWRM and
The Department of Energy (DOE) continues
river basin and land-use planning. Likewise, a
to pursue the policy reforms under the Electric
paradigm shift from looking at floodwaters as
Power Industry Reform Act (EPIRA) of 2001
“disaster to be prevented” into a “resource to be
(RA 9136) and the Renewable Energy Act of 2008
managed” is a necessary step in attaining the
(RA 9513). Policy issuances will be implemented
objectives of the IWRM framework. In this regard,
to enhance the consumers’ power of choice (i.e.,
storage of excess floodwaters will be prioritized in
Amended Policy on the Retail Competition and
the context of water conservation and efficiency
Open Access and the Green Energy Option), the
measures; flood management infrastructure that
reduction of costs (i.e., abolition of the Universal
will also serve as potential source for domestic water
Charges – Missionary Electrification for new
supply, irrigation, and/or hydropower generation,
contracts and the Uniform Billing Policy), and the
among other possible uses, will be implemented,
enhancement of benefits of host communities of
where feasible. Meanwhile, in anticipation of
power generation facilities and energy resource
the completion of flood control master plans
developers.
and studies for the major river basins, timely
financial support for the full implementation
As an enabling mechanism for host communities to
and maintenance of flood management and
respond to the ongoing COVID-19 pandemic, the
mitigation measures under said master plans will
DOE Department Circular (DC) 2020-04-0008 5
be provided through the inclusion of the priority
issued on April 6, 2020, authorizing host LGUs to
projects in the investment program of the national
utilize the Energy Regulation (ER) 1-94 Funds for
government (NG). Under the proposed creation of
COVID-19 related response mechanisms.

5
DOE, DC 2020-04-0008-0, Rationalizing the Utilization of ER 1-94 Fund by Host LGUs in Response to COVID-19 Public Health Emergency,
April 6, 2020.

Chapter 19 Accelerating Infrastructure Development | 339


The strengthened Competitive Selection Process expansion of its coverage to all the other
(CSP) in securing power supply contracts of non-power energy projects, which will also be
all distribution utilities’ (DU) procurement of implemented in phases.
power supply agreements for their captive
market will also be sustained. Implementation of To meet the increasing energy demand,
the CSP has already resulted in the reduction of the DOE will continue to explore the development
generation rates for the Manila Electric Company, of all the available energy resources, including
which covers around 50 percent of the consumers. nuclear energy option. The National Smart Grid
Policy Framework and Roadmap for distribution
The full commercialization of the Wholesale utilities (DOE DC 2020-02-0003) will likewise
Electricity Spot Market (WESM) in Mindanao be implemented. Smart grid uses innovative
will be pursued to provide a competitive market technologies to modernize electric infrastructure
for buying and selling of electricity that is towards empowering consumers, ensuring
not covered by bilateral contracts, and at the energy supply flexibility and security, improving
same time, promote efficiency in the scheduling electric grid performance and asset utilization,
and dispatch of generation capacities in the and protecting the environment (e.g., through the
region. Meanwhile, new market features and use of smart meters).
enhancements to systems and procedures will
be introduced to improve the existing WESM Further, the privatization of power plant assets,
in Luzon and Visayas, including the transition which include the capacity of government-owned
into the five-minute WESM replacing the current generating plants and contracted capacity of
one-hour trading interval. The WESM in independent power producer (IPP) contracts,
Mindanao and the enhanced WESM in Luzon and will be accelerated. To ensure the success of
Visayas are expected to operationalize once the asset privatization, the Power Sector Assets and
ERC approves the price determination Liabilities Management (PSALM) Corporation
methodology (PDM) adopting the five-minute will engage third-party advisors to conduct
dispatch interval and certification of market an extensive study that will serve as basis for
readiness (for Mindanao). formulating options and structures for the
privatization of IPP-contracted capacity and
Under the context of economic recovery and real estate assets. Options include the sale
spurring growth, more choices and more through public bidding of the power plant,
affordable electricity are crucial for industrial, together with the underlying land owned by the
commercial, and residential customers. PSALM or the government. The PSALM will
To encourage the entry of more power generation also streamline and simplify bidding procedures
investors, the government enacted the Energy to attract more bidders. Further, it will observe
Virtual One-Stop Shop (EVOSS) Act (RA 11234), protocols and make use of applicable virtual
Executive Order (EO) No. 30, s. 2017, and the and blended platforms in the privatization or
LGU Energy Code (DOE-DILG Joint disposal process to ensure that public bidding
Memorandum Circular 01-2020), which schedules will push through under the new normal.
streamline the permitting processes for energy
projects. Phase 1 of the enhanced EVOSS system As structural reliability is important in the new
is targeted to be carried out by end of third normal, major hydroelectric power plants under
quarter of 2020 in an effort to promote faster government ownership will be rehabilitated and
and simplified permitting process of power uprated. Electricity generated from undisposed
projects. This will involve online submissions power assets throughout the country will
of all the needed applications, documentary continue to be provided to distribution utilities
requirements, and online payment for charges and other power customers at regulated rates.
and fees. Moreover, the EVOSS will consider the

340 | Updated Philippine Development Plan 2017-2022


Expedite the implementation of remaining policy RE sources to be owned by the 121 electric
mechanisms under the Renewable Energy Act cooperatives. In support of the BP2 Program, it will
of 2008 (RA 9513) to further encourage RE provide additional power sources that can stimulate
development in the country. Policy issuances investors to relocate investments and cater to
on the Renewable Portfolio Standards and the the requirements of the people in the provinces.
Green Energy Option will be implemented
to require mandated electric power industry Continue to develop transmission and
participants to source a certain percentage of distribution facilities, and projects that will
their power mix from eligible RE sources such transmit electricity efficiently to various load
as biomass, geothermal, solar hydropower, centers and interconnect the entire grid and
ocean, and wind. Establishment of the other areas. The country’s power transmission
RE market will facilitate the trading of RE network will be unified to allow flexibility in
Certificates. To strengthen R&D in the RE sector, the power grid system. Under the One Grid
affiliated RE Centers will continue to be established. Philippines, the three major grids will be able
to share excess supply. This program optimizes
The water-energy-food nexus will be incorporated the use of available energy resources and
in the design and facilitation of all the energy additional generation capacities. To further
projects to conserve water, ensure energy improve the delivery of power services,
security, and maximize food production. Instead the government will harmonize the Power
of competing with the water and food sectors, Development Plan by integrating the
complementation will be targeted through the Transmission Development Plan, Distribution
introduction of RE and energy storage technologies Development Plan, and the Missionary
in farming and crop processing methods and Electrification Development Plan with the
machineries, such as, but not limited to, pump corresponding RE targets under the National
or drip irrigation, rice hulling, and milling. Renewable Energy Program. It will also support
the development of the Philippine Smart Grid.
Moreover, the use of RE systems in the health and The National Transmission Corporation, its
education sectors is being considered, such as the concessionaire, the National Grid Corporation
use of off-grid powered health and educational of the Philippines (NGCP), and the DUs will
facilities using RE and energy storage systems. coordinate with concerned agencies (e.g., DPWH)
to explore the possibility of including the future
In implementing the net metering policy, 6 the installation of power transmission or distribution
government will review the current pricing lines to connect island grids and other areas
methodology and financing mechanisms that in the design of proposed inter-island bridges.
will help in the adoption of PhotoVoltaic (PV)
in the country. The DOE will continue to conduct Ensure timely implementation of electrification
policy studies to accelerate the positioning of RE programs, especially for remaining unelectrified
in the country. off-grid islands, geographically-isolated and
depressed areas, and last-mile communities. The
In line with the thrust of promoting more DOE is closely monitoring the implementation of
robust regional and local development, creating the three major forms of electrification programs
livelihood opportunities, and promoting — household electrification, grid electrification,
inclusive growth, the Electric Cooperative-owned and off-grid electrification — with the aim of fast-
Distributed Generation Facility Program will tracking the programs to achieve total household
be implemented. This program will develop electrification by 2022. These are especially
distribution generation facilities using various critical in supporting regional development

6
Net-metering is a consumer-based renewable energy incentive scheme that allows consumers to produce their own power generation using
eligible renewable energy facilities and to deliver excess electricity supply back to the electric grid to offset their electricity consumption at 100 kW
maximum.

Chapter 19 Accelerating Infrastructure Development | 341


under the new normal, where the need for Charging Stations, as well as the development
physical movement to the biggest economic of Minimum Energy Performance for Electric
areas in the country would be tempered by the Vehicle Charging Stations.
practicality of online connectivity and productivity.
Implement the Energy Efficiency and
As part of the electrification strategies under the Conservation (EE&C) Act (RA 11285) and the
Household and Grid Electrification Programs, Energy Efficiency and Conservation Roadmap.
house-wiring subsidy will be provided for In April 2019, the EE&C Law was enacted to
unenergized households in areas with distribution institutionalize energy efficiency and conservation
facilities through the DOE’s Nationwide as a national way of life for energy consumers.
Intensification of Household Electrification. The law promotes the efficient and judicious
Distribution line facilities will also be extended utilization of energy and advocates the use of
to unserved areas through the National RE technologies.
Electrification Administration’s (NEA) Expanded
Sitio Electrification Program, Barangay Line In line with this initiative, the government will
Enhancement Program, and Expanded Household take the lead through the Government Energy
Electrification Program. Management Program (GEMP) involving
efficiency and conservation measures in the
Under the Off-grid Electrification Program, government’s use of electricity and fuel.
individual PV Solar Home Systems will be installed
by DUs via the DOE’s Access to Sustainable To help the LGUs reduce their energy consumption,
Energy Program’s PV Mainstreaming Program. the law also requires the development of local
In addition, the entry of the private sector in energy efficiency and conservation plans for
the Mini/Micro-Grid System will be allowed incorporation in the local development plans.
and encouraged through Qualified Third With the law in place, additional power supply for
Party (QTP) schemes, JVs, and the National the country will come not just from new power
Power Corporation Small Power Utilities plants, but also from energy savings as a result of
Group (NAPOCOR-SPUG) Mini-Grid Scheme. EE&C measures.
Further, RE-diesel hybrid power systems will
also be developed to provide reliable electricity Encourage investments in the upstream energy
services at more affordable rates in off-grid areas. sector. To renew investor confidence in the
Philippine upstream energy sector, the DOE will
To facilitate private sector participation in the continue to promote the Philippine Conventional
achievement of the total electrification target Energy Contracting Program, which offers 14
of the government, existing guidelines on the pre-determined areas for upstream development,
participation of QTPs will be further streamlined with an option for investors to nominate their
and enhanced. own prospective exploration area.

Promote the utilization of alternative fuels and Pursue the development of the natural gas
new advanced energy technologies to diversify industry. The development of the natural gas
the country’s energy resources and mitigate the industry will provide an additional alternative
adverse impact of energy use on the for consumers. The Philippine Downstream
environment. The Alternative Fuel Roadmap Natural Gas Regulation sets the policy direction
will be implemented to promote a technology- and guidance for interested investors on the
responsive energy sector. For one, electric construction of natural gas facilities such as
vehicles, where viable, will be supported to import receiving and regasification terminals,
reduce dependence on conventional fuels. network of transmission, and distribution
This involves the development of policy guidelines pipelines, under a regime of fair competition.
and regulatory framework for Electric Vehicle

342 | Updated Philippine Development Plan 2017-2022


Pursue the establishment of a strategic The digital connectivity program, which
petroleum reserve. A strategic petroleum reserve encompasses the National Broadband Program
will shield consumers from volatile international and the Free WiFi in Public Places Program,
oil prices and secure the country’s petroleum will be prioritized and fast-tracked to accelerate
requirement. In the short to medium term, the deployment of the needed digital infrastructure
the project envisions to cover the immediate that can serve the government, businesses and
importation of oil products and the construction industries, and the public, especially those in
of additional oil storage facilities and small- the countryside. The program embodies the
scale refinery. This will serve the dual purpose government’s efforts in enhancing internet
of generating profit for the government and accessibility to bridge the growing digital divide.
augmenting the production and supply of refined The physical infrastructure that will interconnect
petroleum products in response to the rising government offices via the Government Network
conflicts in oil-producing countries. (GovNet) can facilitate communication, address
data gaps in various infrastructure subsectors,
Adoption of the Energy Resiliency Policy. and allow better sharing and collaboration
The government will institutionalize the of different units of the government for
development, promotion, and implementation of coherence of initiatives. This aims to enable more
a Comprehensive Resiliency Plan (CRP), as well LGUs to offer ICT-enabled government services to
as incorporation of mitigation improvements into the public. Alongside this are cyber resiliency and
the reconstruction and rehabilitation of damaged security measures for the protection of government
infrastructures in accordance with the Build Back data and infrastructure.
Better principles. This measure will be facilitated
through the DOE DC 2018-01-0001 on the Towards building our digital society and digital
“Adoption of Energy Resiliency in the Planning workforce, the broadband connection will also
and Programming of the Energy Sector to Mitigate be provided to public segments of the country
Potential Impacts of Disasters”, that was signed in including public hospitals, rural health units,
2018 to ensure an energy system that is resilient public schools, state universities and colleges,
from risks and vulnerabilities from both natural and other public places. This will support digital
and human-induced hazards. education, distance learning, and telemedicine
towards developing an ICT-based knowledge
base and extending social services to far-flung
ICT Infrastructure
or last-mile areas. Under the new normal,
the government will prioritize the provision
With the aim of transitioning into the digital
of free WiFi in other public places, including
economy, the digital connectivity agenda, mainly
community quarantine sites, plazas, transport
driven by the government, will be of utmost
terminals, airports, and seaports, among others.
importance under the new normal. Digital
Pursue ICT policy reforms to support the
infrastructure will need to be provided to address
digital connectivity agenda. To complement
the digital divide that has been heightened due
the program initiatives, the government will
to the pandemic. Policy reforms will also be
need to pursue the necessary policy reforms and
introduced to facilitate digital transformation.
interventions in the ICT sector.
Fast-track the government’s digital connectivity
- The open access policy removes barriers
program. Investments in digital infrastructure
to the entry of multiple, competing, and
will need to be reviewed to support current
independent players in various layers of the
demand for broadband internet access to enable
broadband network. It aims to provide access
telecommuting (work-from-home set-up),
to the facilities of existing national backbone
distance learning, telehealth, business for micro,
network operators under terms that are non-
small, and medium enterprises, online financial
discriminatory and transparent.
services, and as support to the BP2 Program.

Chapter 19 Accelerating Infrastructure Development | 343


- Streamlining and harmonizing broadband- away from traditional “face-to-face” forms of
related permits, fees, and processes will hasten educational instruction. In this regard, the DepEd
the rollout of broadband infrastructure. has adopted the blended learning system starting
Permitting processes, fees, and requirements SY 2021-2022, which includes online distance
across national government agencies (NGAs) learning, television and radio-based instruction,
and LGUs need to be reduced, simplified, and and distribution of printed learning modules
harmonized to encourage players to enter the to students, to ensure that quality learning
market. The LGUs may also establish online opportunities are made available to public school
one-stop-shops for these purposes. students. Toward this end, universal access
- Infrastructure sharing encourages the shared to reliable and affordable internet connection
use of passive ICT infrastructure to reduce the for the education sector will be prioritized. In
associated costs in the broadband rollout. This addition, the DepEd may consider providing
will also expand wireless network coverage its faculty and students access to necessary ICT
and enhance the quality of ICT services across equipment (both hardware and software) to
the country, including in underserved and enable them to access virtual classes and other
unserved areas. online learning modules. Given the foregoing,
cooperation among concerned NGAs and
LGUs should be ensured for the successful
Social Infrastructure implementation of the blended learning program.

Social infrastructure is fundamental in the Efforts to address backlogs in the provision of


provision of adequate basic social services to education facilities will resume. As the country
achieve the human capital development objectives recovers from the pandemic and attendance
of the country. The implementation of social to physical classes are then deemed safe for
infrastructure projects will have to be ramped up to resumption, the DepEd, in coordination with
make up for the slow progress in the first three years the DPWH, will continue to address its current
of the Plan implementation. backlog in education infrastructure, especially
in geographically isolated and conflict-affected
Importantly, in line with the whole-of-government areas. With the required physical distancing
approach, the LGUs must also be able to step measures under the new normal, the DepEd may
up in the provision of devolved social services, need to revisit its existing design standards and
including education, health, and sanitation. minimum specifications for education facilities
(e.g., classroom size and class size). Nevertheless,
the following facilities will need to be
Education continuously provided or made accessible to
public schools:
The Department of Education (DepEd), in
coordination with the DPWH, will endeavor to - Clean and potable water supply, comfort rooms,
complete, by 2022, all programmed school projects wash, and other sanitation facilities;
under the Basic Educational Facilities Fund which
have been abandoned or unfinished since 2014. - Electrification that considers utilization of
Furthermore, to enhance its School Building renewable energy sources—off-grid schools
Program, the DepEd has included the following may be equipped with alternative sources of
strategies in its Public School of the Future for renewable energy through installation of solar
implementation in School Year (SY) 2020-2021: panels, among others;
- Clinics that will also serve as multi-service
Prioritize alternative learning platforms for hubs catering to the various health, nutrition,
formal education. Amidst the COVID-19 and medical needs of learners; and
pandemic, education systems have largely shifted

344 | Updated Philippine Development Plan 2017-2022


- Efficient disaster response through a streamlined highly infectious diseases, there is a need to
warehouse scheme for storage and inventory of establish an integrated health data management
supplies and for easier deployment and delivery system that tracks and links patient referrals
of materials and equipment, such as temporary and laboratory testing and monitors the supply
learning spaces or classroom tents, to replace of available equipment, medicines, and blood,
those damaged by calamities. among others. Further, there may be a need to
construct and establish an operational Level 2
Further, the DepEd will facilitate convergence Biosafety laboratory with adequate number of test
initiatives with the DPWH, the Department of kits in every region.
Health (DOH), the Department of Social Welfare
and Development (DSWD), and other agencies Solid Waste Management
in all governance levels, including the LGUs, to
address the broader needs of the education sector. Enhance technical and financial capacities of LGUs
in implementing solid waste management (SWM)
Health initiatives in compliance with the Ecological
SWM Act of 2020 (RA 9003). The Department
Sustain strategic implementation of health of Environment and Natural Resources -
facilities. With the strain on the capacities of health Environmental Management Bureau (DENR-EMB),
facilities brought about by medical crises such as the together with the National Solid Waste Management
COVID-19 pandemic as well as the expected increase Commission (NWSM), the DILG, and relevant
in demand for health services post-pandemic, it stakeholders, will work towards enabling the
is imperative for the NG to continue to invest in LGUs to implement the following SWM strategies:
health service improvement. Construction of health
infrastructure facilities that are energy-efficient, - Facilitate clustering or pooling of resources of
disaster-resilient (e.g., hospitals and healthcare LGUs for common SWM facilities and services
facilities, including testing facilities, quarantine, for enhanced economies of scale;
and isolation facilities) and responsive to health - Explore innovative financing and improve
and medical needs that have recently emerged access of LGUs to financing windows, such
with the pandemic will have to be prioritized, in as those being provided by the government
accordance with the existing standards to prepare financing institutions and through PPP
and ensure the sufficiency of the country’s health arrangements, to finance SWM programs;
infrastructures, not only during the path to recovery - Adopt alternative technologies, including waste-
from COVID-19 but more so in case of any similar to-energy, considering institutional, legal, and
occurrence in the future. The DOH will conduct a technical limits;
comprehensive needs assessment of critical health
facilities involved in service delivery networks, - Support knowledge management through
especially with respect to those that are vital in increased investments in SWM-related
dealing with COVID-19. The assessment will form innovation and R&D of appropriate technologies;
part of the basis for determining which facilities - Operationalize the National SWM Fund and
will be constructed (especially in underserved study the re-institutionalization of the NG-LGU
areas), upgraded, or expanded under the Health cost-sharing scheme for SWM; and
Facilities Enhancement Program (HFEP). - Revisit the SWM Act of 2020 and make
necessary amendments towards facilitating and
Improve epidemiological and surveillance expediting the provision of SWM facilities.
capacities for COVID-19 and other infectious
diseases. In response to the pandemic and in
preparation for the possible emergence of other

Chapter 19 Accelerating Infrastructure Development | 345


Protecting clean and healthy of emergency. To mitigate risks that threaten
essential infrastructure services, there will be
environment coordinated efforts to enhance the security of
infrastructure facilities through the adoption
Ensuring asset preservation of appropriate technologies (e.g., surveillance
systems, satellite-based navigation systems,
With emphasis on sustainability, safety, and among others). Existing data infrastructure in the
resilience of infrastructure, asset management National Disaster Risk Reduction Management
planning, and innovative maintenance Operations Center will be upgraded. Joint exercises
strategies will be implemented to improve the in disaster response protocols and engagement of
infrastructure system’s performance. The conduct stakeholders in disaster risk reduction and climate
of comprehensive vulnerability and risk assessment change adaptation will be conducted with the
of critical infrastructure, particularly in areas end view of meeting international sustainability
considered as COVID-19 hotspots—including standard rating systems for construction.
buildings that may serve as isolation or treatment Sustainability incentive programs will be promoted
facilities—is deemed urgent and significant. and the comprehensive and integrated strategic
environmental assessment will be undertaken.
Strengthen technical and financial capabilities
for operations and maintenance. Training Intensifying infrastructure-related R&D
facilities will be established for the upgrading
of the technical and managerial skills of the Recognizing that R&D can foster a more
country’s workforce and building their capacity sustainable and efficient way of building
to innovate. National and local level planning infrastructure, the government will pursue
will be rationalized and processes will be R&D on renewable energy and technologies to
streamlined to expedite program and project meet the growing need for clean and affordable
implementation. To optimize the use of funds for energy, cost-efficient technologies for the
infrastructure development, value engineering, management of wastewater and solid, hazardous,
and value analysis techniques at different stages of and healthcare wastes to protect public health
project development will continue to be applied. and the environment, new transportation
technologies, climate change- and disaster- resilient
The country’s regions will be developed through infrastructure designs; and new methodologies
better rationalization of the budget allocation for gathering and managing science-based data.
that takes into account the geographic location of In this regard, the establishment of R&D facilities
infrastructure projects and programs. This effort will be supported.
will be guided by masterplans and roadmaps
being formulated, maintained, and updated by Improve the collection, management, and
pertinent agencies. utilization of infrastructure data across all
subsectors for planning, programming, and
Incorporate climate change adaptation and policy-making. Updated, integrated, and
disaster resilience measures and ensure comprehensive data for various subsectors of the
the security of infrastructure facilities. infrastructure sectors will be made available to
Given the country’s high vulnerability to disasters decision-makers to serve as basis in planning,
and the effects of climate change, disaster risk programming, and policy-making. Towards
reduction and climate change adaptation strategies this end, resources will be mobilized to identify
will be employed. The Energy Resiliency Policy, vital data and statistics for the infrastructure sector,
issued to institutionalize disaster resiliency efforts, with the intent of establishing comprehensive
aims to strengthen energy systems and facilities databases based on available technological
such that these can quickly restore power and applications and platforms.
provide alternative sources of energy in times

346 | Updated Philippine Development Plan 2017-2022


Legislative Agenda
The table below contains the various legislative agenda for the infrastructure sector.

Table 19.2. Legislative Agenda to Accelerate Infrastructure Development

LEGISLATIVE AGENDA RATIONALE

Transport

Enactment of the This aims to help achieve a safe, secure, efficient, competitive, dependable, integrated, environmentally
National Transport sustainable, and people-oriented Philippine transportation system by setting forth policies that will
Policy (NTP) serve as boundary conditions to guide all entities involved in the transportation sector in the exercise
of their functions.

This policy will provide the parameters for planning at the agency level, e.g., the formulation of the
Philippine Transport System Master Plan.

The NTP was adopted by the NEDA Board on September 12, 2017 and its IRR was approved by the
INFRACOM on December 14, 2018.

The proposed law is for filing/endorsement to the 18th Congress.

Enactment of a law This will address the weak and fragmented institutional setup of concerned transport agencies by
creating independent creating respective independent regulatory bodies for the railway sector and maritime transport sector
regulatory bodies that is consistent with the NTP. The existing dual roles of some agencies acting as both operator and
for the railway and regulator of transport facilities will be effectively eliminated.
maritime transport
sectors The bill is for the adoption of the NEDA Board and subsequent filing/endorsement to the 18th Congress.

Enactment of a This seeks to place all transport safety and security matters under a single independent body that
law creating an will, among others, investigate transport accidents and provide transport safety recommendations,
independent body for thereby eliminating conflicting and overlapping functions of existing agencies or entities.
transport safety and
security Various Senate Bills (SB) and House Bills (HB) pertaining to the creation and establishment of a
National Transportation Safety Board were filed in the 18th Congress.

Enactment of a law This aims to shift the role of bicycles and other forms of non-motorized and active transportation,
institutionalizing from being an “alternative mode” towards an institutionalized mode of transport that is integrated in
the use of bicycles the transportation network of the country. This will be done by providing the necessary infrastructure
and other active and and support services, establishing safety and design standards, and increasing public awareness
sustainable modes of on road safety and road sharing among motorists, cyclists, and pedestrians.
transportation
Various SBs and HBs on the proposed measure were filed in the 18th Congress (SBs 66, 285, 319,
332, 948, and 1518, and HBs 1251, 1893, 2520, 4493, 5374, and 5435).

Chapter 19 Accelerating Infrastructure Development | 347


LEGISLATIVE AGENDA RATIONALE

Water Resources

Enactment of a law The apex body will act as the lead agency to oversee/coordinate overall policy and project/program
creating an apex implementation to address the weak and fragmented institutional set-up of the water resources
body for the water subsector.
resources subsector;
and independent Meanwhile an independent economic regulator for the water supply and sanitation is envisioned to
economic or financial harmonize the regulatory practices, processes, fees, and standards on water supply and sanitation
regulator for WSS while addressing the overlapping functions or jurisdictions of existing regulatory entities.

A substitute HB creating the Department of Water Resources (DWR) and the Water Regulatory
Commission (WRC) was jointly approved by the HOR Committee on Government Reorganization and
Committee on Public Works and Highways on November 12, 2019. Said HB was likewise approved
by the House Committee on Appropriations on November 18, 2020.

Energy

Amendments to the The proposed amendments to the EPIRA aim to improve the implementation of the law’s provisions
Electric Power Industry and enhance its effectiveness to address high cost of electricity, alleged market collusion, and
Reform Act (RA 9136) insufficient power supply.

The following relative draft bills were filed in 18th Congress: HBs 466, 469, 2339, 2784, 3802, 7059
and 7341.

Enactment of an This will provide an enabling legal and regulatory framework for the natural gas industry to guide
enabling law for the investments in the sector.
natural gas industry
The bill has been filed in the 18th Congress as HB 3031.

ICT

Enactment of the This measure aims to lower the barriers to entry and allow participation of more diverse set of providers
Open Access in Data to compete in the various segments of the data transmission industry.
Transmission
Open access is envisioned to pave the way for promoting physical infrastructure sharing among
service providers and access network segments based on fair, reasonable, and nondiscriminatory
terms.

The bills have already been filed in the 18th Congress as HBs 57, 4109, and 5341 and are currently
pending with the Committee on ICT.

Social Infrastructure

Amendments to the The proposed amendments aim to address the weak administrative, organizational, and institutional
Ecological Solid Waste dynamics of LGUs in implementing SWM programs or projects.
Management (SWM)
Act (RA 9003) The proposed amendments, filed in the 18th Congress as HB 1598 and currently pending with
the Committee on Ecology, include, among others, the mandatory creation of a local environment
and natural resources offices and identification of dedicated focal SWM units with corresponding
organization structure, powers, and functions.

348 | Updated Philippine Development Plan 2017-2022


20
Ensuring
Ecological
Integrity,
Clean and
Healthy
Environment
CHAPTER 20

Ensuring Ecological Integrity,


Clean and Healthy Environment
The COVID-19 pandemic and the mobility restrictions that were imposed have redirected our
attention to the most basic needs of air, water, and food and how these relate to human health.
In fact, encroachment into natural habitats caused the transmission of zoonotic diseases,
such as COVID-19 from animals to humans, posing greater societal risk. The shift towards
sustainable development then becomes an urgent matter of survival.

Building on the reforms and accomplishments in the past three years of Plan implementation,
the government will continue to improve the state of the environment and natural resources
(ENR) and increase resilience of resource-dependent and vulnerable communities against the
converging risks arising from natural and biological hazards under a changing climate. The
sector’s goals and targets will be realized by addressing long-standing issues on governance
and monitoring and evaluation (M&E).

Assessment and Challenges


Assessment: For the first three years of Plan However, current experience on the COVID-19
implementation, stakeholders have increasingly pandemic and the consequent imposition of
been participating in transformative actions toward community quarantine resulted in both negative
bringing back the benefits that Filipinos enjoy from and positive impacts on the ENR sector, which
environment and natural resources while improving clearly manifested the interrelationship of
resilience to climate and disaster risks. The following environment and public health. On one hand, the
actions and reforms in the sector were put in place: restrictions on the movement of people during
(a) demonstration effect of rehabilitation efforts the quarantine and pandemic response measures
(e.g., Boracay and Manila Bay rehabilitation); (b) and protocols have (a) caused limited patrolling,
institutionalization of sector reforms through policing, and ground validation activities for
policy issuances and implementation (e.g., National wildlife and habitat protection, (b) generated more
Integrated Protected Areas System [NIPAS] Act, as waste from healthcare facilities and households, (c)
amended by Republic Act [RA] 11038), Guidelines increased pressure on resource extraction as raw
on Protected Area Suitability Assessment (PASA); materials for additional quarantine facilities, and
(c) formulation of the Philippine Action Plan (d) increased vulnerability of resource-dependent
for Sustainable Consumption and Production communities to the economic and social impacts
(PAP4SCP); and (d) development of local climate of the pandemic and natural hazards, especially
change adaptation and mitigation/disaster risk with the onset of rainy season, which may be
reduction and management (CCAM/DRRM) plans exacerbated by climate variability. On the other
and establishment of early warning systems. hand, the quarantine resulted in improvement in
urban air quality and allowed many ecotourism

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 351


sites to start to recover their pristine state, thus records and problems in land data capture
encouraging behavior towards preservation and pose challenges in: (a) achieving targets
ecological restoration. on issuance of residential free patents; (b)
facilitating forestry-related investments;
Challenges: In view of the new normal state and (c) supporting preferential access of
municipal fishers to coastal and marine
arising from the COVID-19 pandemic, managing
waters, among others. These zoning and
pollution and sustainable use of natural delineation issues stem primarily from
resources vis-a-vis addressing the threat of the lack of national land and sea use, and
future pandemics amid climate change become permanent forest limit policies.
even more challenging. In particular, poor waste
management and pollution control exacerbate - Weak and fragmented M&E system
decline in environmental quality. Inadequate in the sector prevents timely and
waste management facilities can increase the appropriate interventions. This stems
from the lack of an integrated M&E
volume of untreated healthcare wastes which pose framework and inadequate capacity for
a greater threat to public health. Also, with the the use of appropriate methodology,
digitalization of most economic activities, harmful particularly for the collection and robust
substances from unmanaged electronic wastes will analysis of up-to-date ENR data. In fact,
contaminate land, air, and water – aggravating concerns on insufficient data capture
pollution and health risks. A lack of air and from environmental monitoring stations
water pollution control measures can worsen the and limited habitat inventory make it
situation and even negate the environmental gains difficult to  evaluate the effectiveness
generated during the quarantine period. Further, of ENR management interventions.
ineffectual ENR governance and institutional Moreover, the methodologies being used
to generate, monitor, and report data/
arrangements undermine the effectiveness of information, are still inadequate, such as
protection, conservation, rehabilitation, and on (a) waste management (e.g., solid waste
resilience measures. The national and sub-national diversion rate, wastewater production vs.
governments have had limited capacity to manage treatment capacity), (b) livelihood and
multi-dimensional risks arising from natural and other economic opportunities provided
biological hazards, including climate change. This by ecosystems (e.g. ecotourism and
affects our response to mitigate the impacts and biodiversity-friendly enterprises), and
implement recovery measures. The low adoption (c) resilience to the impacts of climate
of innovative technologies for enforcement and change and disasters (e.g., risk resilience
monitoring of wildlife and habitats also limits index). Furthermore, existing review tools
do not yet capture whether or not local
efforts to keep biodiversity intact and minimize plans (i.e., Comprehensive Development
zoonotic disease risks. Compounding these are the Plans [CDPs], Comprehensive Land Use
following long-standing challenges in the sector Plans [CLUPs], Local Climate Change
that need to be addressed: Action Plans [LCCAPs], and Local Disaster
Risk Reduction and Management Plans
- Issues on zoning, boundary delineation, [LDDRMPs]) are risk-informed and/or
and overlapping claims constrain efforts on responsive to the vulnerability of a given
the rehabilitation of natural resources. The locality.
absence of zoning, unresolved boundary
conflicts in many LGUs, and outdated land

352 | Updated Philippine Development Plan 2017-2022


Assessment and Challenges
Table 20.1 presents the medium-term targets corresponding to each of the major outcomes, namely: (a)
biodiversity and ecosystem services sustained; (b) environmental quality improved; and (c) resilience of
resource-dependent and vulnerable communities increased.

Table 20.1 Updated Plan Targets to Ensure Ecological Integrity, Clean and Healthy Environment

BASELINE VALUE TARGETS


INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Chapter Outcome: Ecological integrity and socioeconomic resilience of resource-dependent communities improved

Subsector Outcome: Biodiversity and ecosystem services sustained

Forest cover increased (in million, hectares [ha]) 7.01 (2015) Increasing

Quality of coastal and marine habitats under NIPAS marine protected areas (MPAs) and other priority coastal and marine conservation areas
improved

Percentage of hard coral cover (HCC) in MPAs (in number of MPAs):

No baseline data 2 (2018) 0 0 0 0

Poor (0-22%) 12 (2018) 14 9 6 6

Fair (>22%- 33%) 11 (2018) 11 10 12 12

Good (>33%-44%) 4 (2018) 4 10 10 10

Excellent (>44%) 7 (2018) 7 7 8 8

Percentage of seagrass cover in MPAs (in number of MPAs)

No baseline data 11 (2018) 0 0 0 0

Poor (0-25%) 11 (2018) 22 17 15 15

Fair (26-50%) 10 (2018) 10 12 11 11

Good (51-75%) 3 (2018) 3 5 7 7

Excellent (76-100%) 1 (2018) 1 2 3 3

Number of free patents issued 57,822 (2016) 62,000 67,000 72,000 360,000

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 353


BASELINE VALUE TARGETS
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Subsector Outcome: Environmental quality improved

Percentage of priority water bodies within water quality guidelines increased (e.g., Biochemical oxygen demand [BOD], dissolved oxygen [DO],
potential of hydrogen [pH], phosphorous [P], temperature, total suspended solids [TSS], fecal coliform)

Public water supply (%) 0 (2016) Increasing

Food production (%) 20 (2016) Increasing

Recreational (%) 87 (2016) Increasing

Percentage of highly urbanized and other major urban


centers within ambient air quality guideline value
55 (2016) Increasing
(i.e., Particulate Matter [PM] 10 and PM 2.5)
increased (%)

Metro Manila (MM): 48;


Solid waste diversion rate increased (%) Outside MM: 46 70 75 80 80
(2015)

Percentage of healthcare waste managed (%) 66 (2016) 100 100 100 100

Area assessed and mapped for soil fertility status and 1,000,000
450,000 450,000 450,000 2,700,000
soil fertility management increased (ha) (2016)

Area of land degradation hotspots decreased 2,300,000


2,100,000 2,050,000 2,000,000 2,000,000
(ha, cumulative) (2016)

Subsector Outcome: Resilience of communities and their livelihood increased

CLUP: 34
CDP: 0 Increasing
Percentage of local government units (LGU) with (2016)
climate change and disaster risk-informed plans
increased (%) LDRRMP: 0 (2016) 100 100 100 100

LCCAP: 0 (2016) 74 75 100 100

Number of LGUs with operating early warning 1,180


Increasing
systems (EWS) in place increased (2016)

Permanent: 775 (2016) Increasing


Number of fully-functional DRRM operations centers
increased
Temporary: 810 (2016) Increasing

Employment from biodiversity-friendly enterprises and other sustainable resource-based industries increased (cumulative)

1,484
From NIPAS-PAs and ecotourism sites Increasing
(2016)

From reforestation and non-timber/agroforestry


114,584
enterprises (i.e. National Greening Program [NGP], Increasing
(2016)
Community-based Forest Management [CBFM])

354 | Updated Philippine Development Plan 2017-2022


Strategic Framework
For a healthy and resilient Philippines, the Innovative waste and pollution abatement measures
government will intensify the protection, will also be implemented to address the increasing
conservation, and rehabilitation of natural waste and other pollutants generated from
resources and accelerate the adoption of innovative COVID-19 response measures, among others. The
technologies for enforcement and monitoring resilience of resource-dependent communities and
of wildlife and habitat. Law enforcement will be their livelihood will be enhanced by strengthening
further strengthened to enhance compliance with capacities to undertake CCAM-DRRM actions and
environmental standards and safeguards and expanding sustainable economic opportunities
consequently improve environmental quality. from natural capital.

Figure 20.1. Strategic Framework to Ensure Ecological Integrity, Clean and Healthy Environment

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 355


Strategies
To achieve the Plan’s targets, sector-specific and Terrestrial Ecosystems
cross-cutting strategies will be implemented.
Forest and critical watersheds including inland
wetlands and caves
Sustaining biodiversity and • Prioritize interventions and investments to
ecosystem services accelerate and improve forest protection and
reforestation activities in critical watersheds.
To sustain biodiversity and the provision of Integrated and science-based restoration
ecosystem services, demonstration effects from approaches, such as forest landscape restoration,
natural resources protection, conservation, and will be used to rehabilitate the remaining
rehabilitation efforts will be replicated and scaled unproductive, denuded, and degraded forest
up by building on the increased multi-stakeholder areas, including critical watersheds. The LGUs,
involvement and existing opportunities for inter- private sector, and communities will, once
agency convergence. Capacities and competencies more, be engaged in community-based forest
for data generation, assessment, and tracking of the and watershed management to ensure that the
state of natural resources, including its ecosystem remaining natural forests and reforested areas
services, will be enhanced. Complementing remain intact and protected. These strategies
these are the necessary investments for research are geared towards ensuring uninterrupted
and development (R&D), as well as innovative supply of water to meet the country’s demand
monitoring technologies that will support habitat for domestic, agricultural, health and sanitation,
and wildlife protection and help safeguard the and industrial uses, and other forest ecosystem
country from zoonotic diseases arising from services.
unsustainable and illegal wildlife consumption and
trade. • Enhance water conservation and efficiency
measures to avert water shortage. Nature-based
Intensify protection, conservation and solutions, aside from hard infrastructure, will
rehabilitation of natural resources. be pursued to enhance water use efficiency
and conservation. Support will be given for
Ecosystem-based actions and area-based the establishment of riparian buffer strips,
management will continue to be prioritized restoration of natural floodplains, and aquifer
to protect terrestrial and coastal and marine recharge.
ecosystems while supporting the natural and
assisted rehabilitation of degraded habitats. • Continue and scale up the conduct of
Conservation and sustainable use of natural comprehensive water resource assessment in
resources will also be strengthened to ensure groundwater critical areas and major river
continuous provision of essential ecosystem goods basins for sustainable water supply. This will
and services to optimize their contribution to the support evidence-based planning and guide
economy, food security, and overall well-being of sustainable allocation of water resources,
people. assessment, and simulation of current and
potential future scenarios for surface and
groundwater resources.

• Delineate production and protection forests.
The areas within forestland that will be made
available for development and private sector

356 | Updated Philippine Development Plan 2017-2022


investment (production zones) and those needs and natural behavior of wildlife species
reserved for protection and conservation will be pursued to inform development of
activities (protection zones) will be biodiversity corridors. The corridors intend
identified. This way, appropriate management to link terrestrial protected areas to ensure
arrangements in the forestlands can be uninterrupted areas of forest and other
established and protection and rehabilitation habitats, which support the entire life cycle of
efforts for protected areas and ancestral lands birds and other important wildlife species.
can be harmonized.
Land and Mineral Resources
• Optimize the implementation of the NIPAS
Act, as amended, to improve the management • Complete Rapid Land Tenure Appraisal
of terrestrial protected areas. Specifically, (RLTA) to identify patentable lands and
the Department of Environment and Natural facilitate issuance of free patents (i.e.,
Resources (DENR) will (a) conduct regular residential and agricultural). Partnership and
monitoring of protected area management coordination among land-related agencies and
to gauge effectiveness, and (b) implement the LGUs will be intensified and land titling
a biodiversity assessment and management processes will be streamlined. These will hasten
system starting with determining baseline land survey and titling activities and address
conditions of habitats and species (e.g., species concerns on idle private lands for optimal use,
richness and abundance). such as for agriculture and forestry purposes,
among others (see Chapter 8). The LGUs will
• Improve the management and sustainable also be encouraged to adopt their zoning
use of inland wetlands and their resources. ordinances based on best-use assessment of
The DENR will (a) conduct biophysical and land assets and enable implementation of their
sociocultural assessments of inland wetlands CLUPs.
to determine those for conservation and
rehabilitation; (b) strengthen enforcement • Pursue the mapping of Indigenous Cultural
of legal easement, hazard zones, and other Communities/Indigenous Peoples (ICCs/IPs)
environmental regulations to ensure sustainable to facilitate the recognition of ancestral lands/
use of inland wetlands in coordination with domains. The country’s various ICCs/IPs will
LGUs; and (c) continue to utilize market-based be identified and mapped with the issuance of
instruments to promote conservation and Certificate of Ancestral Domain Title (CADT)
proper management of inland wetlands. and Certificate of Ancestral Land Title (CALT),
and provided with assistance in the preparation
• Scale up sustainable management of caves of their Ancestral Domain Sustainable
and cave systems. The DENR cave survey, Development and Protection Plan (ADSDPP).
assessment, and classification activities will This will help address overlaps, particularly
be scaled up to identify caves with high in forestlands, protected areas, and ancestral
conservation value for protection. Policies domains/lands.
to develop caves as ecotourism attractions
and monitor/manage visitor impact, while • Rationalize and enhance the free, prior,
ensuring compliance with safety and sanitation and informed consent (FPIC) process for
standards, will be formulated and implemented the protection of indigenous peoples’ rights
by the DENR, the Department of Tourism and interests in their ancestral domains.
(DOT), and the LGUs. The National Commission on Indigenous
Peoples (NCIP) will rationalize the process
• Conduct research on terrestrial ecological for issuance of FPIC clearances to promote
connectivity to support biodiversity corridors. genuine protection of the rights of IPs and
Research studies that examine the ecological ICCs, and ensure their active engagement in the

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 357


governance of natural resources within their mining activities and ensure that operations
ancestral domain based on their own plans and are undertaken only under legitimate
priorities. contracts/permits and within legitimate/
  designated areas by:
• Improve compliance with environmental
and social safeguards for mineral resources - Revisiting the implementation of the
People's Small-scale Mining Act of 1991
development. The DENR will: (RA 7076) particularly the definition and
coverage of small-scale mining;
■ Strengthen regulatory enforcement, M&E,
and reporting mechanisms through the: - Easing the application requirement of
Minahang Bayan scheme; and
- Conduct of objective, science-based, and
fact-finding reviews of large- and small- - Increasing the penalty provisions to
scale mining operations, including mineral approximate the value of environmental
processing plants; and health damages and intensify the anti-
illegal mining efforts.
- Enhancement of the participation of the
mining industry in the Extractive Industries
Transparency Initiative to ensure greater Coastal and Marine Ecosystems
transparency and accountability in the
management of natural resources; and • Complete stocktaking of coastal and marine
- Development and adoption of a more habitats and species diversity. The extent and
stringent monitoring instrument (e.g., condition of the country’s coastal and marine
scorecard) for assessing compliance of habitats, such as coral reefs, mangroves, and
mines under exploration, production, and seagrass beds, will be determined to support
care and maintenance. a more effective planning and programming
for the sector. The species and genus diversity
■ Ensure that plans and programs for large- of these habitats will be assessed with the
scale mining operations (e.g., Safety and implementation of the Coastal and Marine
Health Program, Final Mine Rehabilitation Ecosystems Management Program (CMEMP)
and/or Decommissioning Plan, Social and the NIPAS Act, as amended, among others.
Development and Management Program and
Environmental Protection and Enhancement • Optimize the increased coverage of MPAs as
Program) and small-scale mining a habitat of biologically and economically
operations (e.g., Community Development important species through MPA networking.
and Management Plan and Potential In view of the declining performance of the
Environmental Impact Management Plan) fisheries sector (see Chapter 8), it is important to
are aligned with the local land use and ensure that appropriate management measures
development plans; are established in the country’s MPAs, based
■ Continue research and development to on ecological connectivity and biophysical
determine the appropriate strategies that assessments. To scale up MPA networking,
will address the mercury contamination of more ecological connectivity studies will be
Palawan Quicksilver Mine, Inc. as part of undertaken to effectively protect and conserve
the rehabilitation (i.e., bio-remediation), and the entire life cycle of fish and other marine
facilitate the smooth turnover of management species.
(i.e., protection and maintenance) to the LGU
at the end of the project; • Pilot-test existing innovative technologies for
rehabilitation of coastal habitats. Innovative
■ Strengthen the Minahang Bayan scheme technologies will be pilot-tested to fast-track
to avoid proliferation of illegal small-scale rehabilitation of degraded coastal and marine

358 | Updated Philippine Development Plan 2017-2022


habitats (e.g., massive coral larval reseeding), and finalized and adopted, to enhance regulatory
support replication and scaling-up. measures and facilitate sharing of economic
benefits from the use of genetic resources and
• Complete delineation of municipal waters. traditional knowledge. Permitting protocols
Continuous support and technical assistance on marine scientific research will also be
from the National Mapping and Resource strengthened.
Information Authority (NAMRIA) will be
provided to LGUs to fast-track municipal water • Develop a bioprospecting and biotechnology
delineation, while the guidelines for delineation program to facilitate discovery and
of municipal waters with offshore islands will development of novel compounds and
be finalized by the Department of Agriculture - derivatives for pharmaceutical purposes.
Bureau of Fisheries and Aquatic Resources (DA- Priority will be given to studies on zoonosis
BFAR). Spatial planning within the delineated in selected wildlife reservoirs and natural
municipal waters will also be pursued to resources with potential antibacterial/antiviral
determine the protection and multiple use properties and treatments that can be used for
zones. pharmaceutical applications.

• Enhance multi-stakeholder coordination and • Establish a clear mechanism for encouraging


capacity on coastal and marine resources private sector investment and civil society
management aligned with the country’s participation in biodiversity conservation and
international commitments and related sector sustainable use. The DENR will formulate clear
initiatives (e.g., coral triangle initiative on coral guidance and systems for facilitating private
reefs, fisheries, and food security). Program sector investment and promoting cohesive
convergence budgeting and cooperation among participation of civil society organizations
the DA, the DENR, and the Department of (CSOs), given their vital role in raising public
the Interior and Local Government (DILG), awareness on the benefits of keeping biodiversity
as well as between and among the LGUs, will intact.
be pursued to ensure complementary actions
within national and locally-managed marine Scale up adoption of innovative technologies
protected areas, fisheries management areas, for enforcement and monitoring of wildlife and
and fish sanctuaries within municipal waters, habitat integrity.
and support ecosystem approach to fisheries
management (EAFM) (see Chapter 8). Inventory • Strengthen law enforcement and intensify the
and monitoring of locally-managed MPAs use of technological innovations for improved
and other local coastal resource management surveillance activities to combat illegal
(CRM) interventions will be conducted through wildlife trade, and deter illegal, unreported,
the Fisheries Compliance Audit of the DILG. unregulated fishing (IUUF). The use of
innovative technologies (e.g., unmanned aerial
Biodiversity and Genetic Resources vehicles, Visible Infrared Imaging Radiometer
Suite, satellite-based Vessel Monitoring System)
To sustainably harness the economic potential of will be intensified to help in patrolling and
terrestrial, coastal, and marine biodiversity, and policing to protect wildlife, prevent habitat
genetic resources, especially their medicinal and encroachment and emergence and spread
pharmaceutical properties for various zoonotic of zoonotic infectious diseases, and combat
diseases, the following strategies will be pursued: IUUF. This will be complemented with stricter
inspection protocols at checkpoints, airports,
• Develop a system for access and benefit sharing and seaports, to combat illegal wildlife trade.
(ABS) of wealth from genetic resources. The
national policy framework on ABS will be • Modernize habitat monitoring and impact

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 359


evaluation of management interventions. • Upgrade air pollution control and emission
Available technologies and digital platforms regulatory systems
(e.g., satellite image-sharing platforms, remote
sensing, geospatial mapping) will be utilized ■ For mobile sources, prior to issuance of
for regular and real-time monitoring of Certificate of Conformity (COC) by the
terrestrial and coastal and marine habitats. This DENR, the actual inspection of new imported
will facilitate modernized data generation and motor vehicles will be strengthened to ensure
analysis for more efficient evaluation of impacts compliance with the EURO IV Emission
and assessment of effectiveness of various Limits requirement. The DENR, the
management interventions implemented. DOTr, and the Department of Trade and
Industry (DTI) will expedite the issuance
of procedural guidelines on the National
Improving environmental Motor Vehicle Inspection and Maintenance
quality Program (NMVIMP) for public and
private vehicles, and implement the public
The government, private sector, businesses, and utility vehicle (PUV) modernization
individuals will be enjoined to take collective and program. The Civil Aviation Authority of
concrete actions to achieve a clean and healthy the Philippines (CAAP), in cooperation
environment. Strategies will focus on eliminating with the International Civil Aviation
the long-term impact of pollution on biodiversity, Organization (ICAO), will implement the
the ecosystem, and public health. Carbon Offsetting and Reduction Scheme
for International Aviation (CORSIA).
Strengthen enforcement, regulation, and ■ For stationary sources, the DENR will review
monitoring of environmental compliance and the Emission Standards for Stationary Sources
management interventions. in attaining cleaner air quality in industrial
and commercial areas. Streamlining the stack
The enforcement, regulation, and monitoring emission testing, installation of Continuous
of compliance with existing environmental laws Emission Monitoring System (CEMS),
and regulations will be intensified to implement permitting and inspection of industries, will
the necessary operational mechanisms to address be reinforced through the implementation of
the impact of the COVID-19 pandemic, rapid Industrial Emission Management Program
urbanization, and climate change on environmental (IEMP).
quality.
■ For area sources, the DENR will provide
Air Quality Management support to the LGUs to strengthen the
implementation of environmental local
The air quality compliance monitoring activities of ordinances (e.g., ban on smoking in public
the DENR will be complemented by more aggressive places and open burning or siga), especially
implementation of the vehicle emission-testing within designated airsheds.
program and no-contact apprehension policy of
the Department of Transportation (DOTr) and the • Modernize air quality monitoring systems of
Land Transportation Office (LTO). The DENR will the DENR-EMB
also designate attainment and non-attainment areas
in existing airsheds and implement necessary action ■ Develop a more stringent air quality index
plans to comply with the National Ambient Air for PM 2.5, standard for regulating and
Quality Guidelines Values. monitoring black carbon (i.e., PM1), and
ambient air quality standards/guideline values
for Hazardous Ambient Air Pollutants.

360 | Updated Philippine Development Plan 2017-2022


■ Repair, upgrade, and increase the number ■ Strengthening marine pollution regulations
of air quality monitoring stations and and expanding shore reception facilities
install backup systems to ensure adequate in seaports for the collection and disposal
data capture, including regular preventive services of wastes generated from ships
maintenance to lessen equipment breakdown. through collaboration among concerned
agencies (e.g., DOTr, Philippine Coast
■ Develop and utilize digital, modelling, Guard [PCG], Maritime Industry Authority
and remote sensing technologies for air [MARINA], Philippine Ports Authority
pollution monitoring in partnership with [PPA], and Cebu Port Authority [CPA]).
the Department of Science of Technology
(DOST). Accelerate the establishment of domestic
wastewater treatment facilities and its conveyance
■ Develop and/or utilize locally-available system. The DPWH, the DENR, and the DOH will
technologies for ambient and indoor air continue to enhance the institutional and technical
pollution control. capacities of LGUs, water districts, and concerned
entities to implement sewerage and septage
Water Quality Management projects under the National Sewerage and Septage
Management Program (NSSMP), and mobilize
Strengthen the regulation of point sources (e.g., other financial support on wastewater treatment.
discharges from industries and treatment plants)
and nonpoint sources (e.g., agricultural farms and • Modernize water quality monitoring systems
residential areas) of pollution by: by:

■ Expediting the nationwide inventory ■ Repairing, upgrading, and increasing the


and classification of waterbodies, and number of fully-operational ambient water
establishment of water management systems quality monitoring stations; and
in priority waterbodies; ■ Enhancing capacity for laboratory analysis
■ Refining and expanding the Environmental and exploring the use of advanced remote
User Fee System (EUFS) to cover all sensing and unmanned aerial vehicle (UAV)
pollution sources (i.e., domestic, industrial, technologies in monitoring water quality.
commercial, and agricultural), and to
properly reflect the value of environmental Land Quality Management
damages;

■ Designating the non-attainment areas1 To manage the potential increase in volume of


for waterbodies where pollutants exceed infectious waste materials (e.g., disposable masks
the water quality guidelines to prevent and PPEs) and solid wastes from single-use
new sources of effluent concentration and packaging materials in households, health care
discharge from adversely affecting water facilities, and other establishments, the LGUs
quality; will need to prioritize the (a) approval and/or
implementation of their approved 10-year solid
■ Designating and operationalizing the waste management (SWM) plans; (b) closure of
required number of Water Quality dumpsites; and (c) clustering of waste management
Management Areas (WQMAs), including facilities through inter-LGU partnership.
updating of its Action Plans; and

1
  Pursuant to the Philippine Clean Air Act of 1999 (RA 8749), the DENR in coordination with the LGUs, shall designate these non-attainment
areas of waterbodies where pollutants have exceeded water quality guidelines to prevent new effluent concentration and discharges.

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 361


Fast-track the implementation of waste healthcare wastes. Support will be given
management measures for solid, toxic, and to mobilize public-private investments
hazardous wastes, including electronic waste, in the construction and accreditation of
especially at the local level through: additional TSD facilities;
- Improving disposal of healthcare wastes at
■ Engagement among SWM regulators, the household or barangay level, especially
users, service providers, and intermediaries in areas with limited access and capacity to
to ensure that cities, municipalities, and transport to TSD facilities; and
barangays have fully-functional materials
recovery facilities (MRF) by conducting - Establishing partnerships between and
among LGUs and TSD-accredited facilities
regular onsite maintenance and operational
to ensure that untreated healthcare wastes
trainings; do not reach MRFs and sanitary land fills
■ Capacity development of the LGUs to (SLF).
implement a proper monitoring and • Promote sustainable land management (SLM)
reporting scheme on SWM, development to arrest land degradation.
of methodology for estimation of waste
diversion, and strengthening the monitoring ■ Integrate SLM practices into national and
and evaluation of effectiveness of SWM local development plans;
programs by the National Solid Waste
Management Commission (NSWMC); ■ Improve local capacities and skills for
planning and management of land resources,
■ Implementation of community-based and strengthen awareness and advocacy
composting of food wastes and other campaigns; and
biodegradable materials and linking
households to composting market/industry ■ Scale up and promote SLM in production
for commercial viability; landscapes and within multiple-use zones,
among others.
■ Formulation of a policy on the management
and monitoring of e-wastes and
institutionalization of extended producer Adopt and implement innovative pollution
responsibility (EPR); and abatement solutions.

■ Streamlining the management of health • Support reforms on mass transport system,


care and infectious wastes, especially at the including the expansion of ride-sharing
community and household levels by: services to reduce proliferation of vehicles,
- Ensuring compliance of healthcare and promote the production and utilization
facilities2 and 
treatment technologies3  of eco-friendly vehicles, as well as the use
with the standards for hazardous waste of non-motorized transport through the
management and handling new pathogens establishment of bicycle lanes and replication
or viruses; of local bike-sharing systems (see Chapter 19).
- Modernizing and increasing the number
• Encourage development of walkable cities and
of Treatment Storage and Disposal
(TSD) facilities for handling infectious major urban areas to improve built-up systems

2
  Based on the DOH Health Care Waste Management Manual and the DENR Revised Procedures and Standards for the Management of
Hazardous Wastes.
3
  New and existing technologies need to undergo Environmental Technology Verification of the DOST-Industrial Technology Development
Institute and comply with the applicable environmental standards and the DOH-required level of microbial destruction or inactivation to
eliminate bacteria/virus.

362 | Updated Philippine Development Plan 2017-2022


of urban environment, and expand green and Agreement commitments, the following strategies
open urban spaces and green infrastructure to will be implemented:
improve health and well-being of people and the
environment (e.g., reduce carbon emissions). • Enhance accessibility of climate and geospatial
information and services by:
• Support wastewater reclamation/recycling and
reuse for next intended use (e.g., indoor use and ■ Developing a data protocol to facilitate access
irrigation purposes) and promote other cleaner and sharing of available scientific researches
production techniques to control the discharge and studies, geospatial information, climate
of pollutants (e.g., use of organic fertilizers and trends and projections, risk estimation
biopesticides). models, gender-related variables, and
disaggregated loss and damage datasets on
• Strengthen public-private partnerships vulnerable and affected groups. Technical
(PPP) to create opportunities for low-cost support will be provided to LGUs on
pollution-control and treatment technologies. integrating these information in the local
Capacity development of the private sector and planning databases; and
promotion of available incentive mechanisms
to adopt cleaner technologies in its operations ■ Establishing integrated knowledge
(e.g., factories and power plants) will be management systems to serve as platforms
encouraged. for sharing, managing, and reporting climate
change/disaster risk reduction (CC/DRR)-
• Establish synergies with research and related information.
development institutions to undertake studies • Integrate CCAM-DRR considerations in public
on technological solutions and water pollution investment programming processes. The NEDA
abatement measures. and other concerned implementing agencies
will ensure that climate and disaster risk
parameters are mainstreamed in the design and
Increasing resilience of ex-ante evaluation of programs and projects
communities and their toward ensuring their long-term sustainability.
livelihood • Fast-track and prioritize the development of
guidelines and standard quality assurance
review tools and streamline local planning
Strengthen national and local capacities for
and review mechanisms (i.e., DILG for CDPs;
climate and disaster risk reduction and
Department of Human Settlements and
management.
Urban Development [DHSUD] for CLUPs;
Office of Civil Defense - National Disaster
In partnership with research institutions and
Risk Reduction and Management Council
development organizations, the government
[OCD-NDRRMC] for Local DRRM Plans;
will prioritize the development and adoption of
and Climate Change Commission [CCC] for
appropriate baseline information and indicators to
LCCAPs).
measure resilience of ecosystems and communities
(i.e., resilience index), and set up a systematic
• Strengthen existing mechanisms to harmonize
database to regularly monitor sectoral emissions
the monitoring of CCAM and DRRM
reduction. To ensure the implementation and
expenditures at the national and local levels.
effectiveness of CCAM and DRRM initiatives vis-à-
The Department of Budget and Management
vis Sustainable Development Goals (SDGs), Sendai
(DBM), the CCC, and the OCD-NDRRMC
Framework for Disaster Risk Reduction, and Paris
will prioritize and enhance climate budget

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 363


tagging to cover actual expenditures relevant agencies (e.g., DTI, Department of Social
and establish a similar budget-tagging Welfare and Development [DSWD]) to increase
arrangement for DRRM. their socioeconomic resilience.

• Enhance the capacity of the government to • Intensify agroforestry development


address the multidimensional risks arising from and establishment of commercial forest
natural hazard events, including biological plantations. Commercial forest plantations
hazards by: within integrated forest management agreement
■ Updating the local DRRM and LCCAPs to (IFMA), community-based forest management
include public health emergencies and climate agreements (CBFMAs), and applicable areas in
and disaster risk parameters to ensure better ancestral domains will be developed based on
preparedness and response to pandemics comparative advantage. There will be investment
while mitigating impacts of climate-related support packages to encourage diversification
disasters; especially towards fast-growing native species
that yield high-value timber. Community
■ Sustaining support to promote business and family-based agroforestry farms, and
and public service continuity planning and related biodiversity-friendly enterprises will
ensuring the development of climate and be established. Through these, traditional crop
disaster-resilient structures and designs varieties will be cultivated and products using
following established measures and standards; indigenous materials will be developed, such
■ Providing technical assistance to national as eco-friendly personal protective equipment
government agencies (NGAs), LGUs, private (PPE). To ensure sustainability and international
sector, and community organizations to: competitiveness of the country’s forest-based
(a) maximize access to CCAM and DRRM products, registry and forest certification systems
financing and risk transfer mechanisms; and will be institutionalized.
(b) implement ecosystem-based adaptation  
(EbA) measures that are risk-informed, • Pursue sustainable and resilient fish- and marine-
gender-responsive, and sensitive to the needs, based industries for blue economy development.
benefits, and priorities of men and women, Sustainable fish- and marine-based industries4
while taking into account indigenous knowledge will be developed and promoted using
systems; and innovative technologies and practices and with
proper sanitary and safety protocols. Climate-
■ Undertaking gender analysis to identify gender resilient post-harvest facilities will be provided
issues related to capacity of both men and to support value-adding activities in coastal
women, especially in vulnerable communities, communities. Existing community fish landing
to engage in decision-making processes, centers will be operationalized by the BFAR to
project development, implementation, and cater to the needs of coastal communities for
monitoring of CCAM and DRRM actions. cold storage and other related support services.
The overall economic contribution of the blue
Expand sustainable livelihood and economic economy will be accounted through the ocean
opportunities for resource-dependent and economy satellite accounts of the Philippine
vulnerable communities. Statistics Authority (PSA).

As upland and coastal communities remain among • Develop and promote ecotourism and cultural
the poorest sectors of society, the development of sites within ecological limits, and sanitary and
more sustainable livelihood and other economic safety standards. The following will be pursued: (a)
opportunities will be pursued in cooperation with replicate and scale up carrying capacity studies

4
  These industries include (a) sustainable fisheries and aquaculture; (b) ocean energy, offshore, and gas exploration; (c) shipping/marine
transportation and shipbuilding; (d) coastal tourism; and (e) marine biotechnology, among others.

364 | Updated Philippine Development Plan 2017-2022


to support the implementation of ecotourism data from both the national and local governments,
activities and development of new ecotourism including academic and research institutions; (b)
sites; (b) develop ecotourism facilities and facilitates informed decision-making of political
environment-friendly infrastructure, including leaders and local communities on conservation
ecotourism-related products and services to areas; (c) assesses trade-offs and provides better
support livelihood of communities following alternatives; (d) enables income and employment
proper safety and sanitation protocols; (c) generation in the rural areas and creates wealth
conduct risk assessment necessary for developing for the nation; and (e) provides incentives for the
health and safety plans and guidelines; and management of ENR (e.g., payments for ecosystem
(d) finalize the methodology to account for services).
employment generated from ecotourism.
Streamline green and climate finance in the
• Fast track adoption and implementation financial sector through the formulation of a
of green jobs assessment and certification sustainable finance framework and roadmap that
criteria/guidelines, green jobs human resource will support and accelerate the development of
development plan, and tools to monitor and a green and sustainable economy. This includes
account green jobs. the issuance of guidelines on green/climate finance
flows, including green finance taxonomy, and
protocol/processes for implementation, regulation,
Cross-cutting strategies transparency, and institutional arrangements.
Building capacities of regulators and market
Review, codify, and streamline existing ENR participants in the financial sector on internalizing
policies, rules, and regulations to improve environmental and climate and disaster risks in the
compliance, address conflicting provisions, and current government and private systems will also be
promote transparency and accountability. A prioritized.
comprehensive assessment and review of existing
ENR laws and policies, including governance Accelerate implementation of sustainable
arrangements, will be undertaken. This is deemed consumption and production. In the remaining
necessary to address the overlaps and conflict in Plan period, the PAP4SCP will be rolled out to guide
existing policies toward improving compliance, the government and stakeholders’ programmatic
transparency, and accountability across all levels of actions in the short term (2022-2023), medium term
governance. An institutional review and assessment (2023-2030), and long term (2030-2040). The goal
of the agencies' existing mandates vis-a-vis the is to influence behavioral change at the national,
human resources, as well as technical and financial community, and individual levels, especially in
capacity required, will be conducted. Findings consuming and producing more green goods and
from this assessment will help identify concrete services, and practicing more sustainable and
recommendations to improve environmental climate-smart lifestyles. The PAP4SCP5 calls for (a)
governance and better address challenges in the sector. the valuation of economic, social, and environmental
costs and benefits of production and consumption
Upscale natural capital accounting (NCA) processes by accounting the stock of natural
including valuation of ecosystem services in resources and flow of ecosystem services, and (b)
national and local planning and programming. a set of interventions, schemes, and innovative
The NCA provides important data and information technologies, as well as enhanced environmental
on the stock and status of the country’s ecosystems education, to ensure efficient use and equitable
and resources. It is a tool that (a) allows more allocation of natural resources.
systematic collection, monitoring, and reporting of

5
  Actions are categorized into the following: (a) policy and regulation; (b) research and development, innovation, and technology; (c) infrastructure;
and (d) promotion and education.

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 365


Legislative Agenda
Table 20.2 Legislative Agenda to Ensure Ecological Integrity, Clean and Healthy Environment

LEGISLATIVE AGENDA RATIONALE

National Land Use Bill The bill aims to provide an institutional mechanism for integrating existing sector-
specific land use laws and institutionalize land use planning, as basis for the
rationalization, management, and development of the country's land resources.

Philippine Genetic The proposed measure aims to provide and institutionalize a policy framework on
Resources Access access and benefit sharing from the utilization of genetic resources aligned with the
and Benefit-Sharing country’s commitments to the Nagoya Protocol.
(PGRABS) Bill

Integrated Coastal This seeks to adopt ICM as a national strategy to ensure the sustainable development
Management (ICM) Bill of the coastal and marine environment and establish supporting mechanisms for its
implementation.

Amendment of the This aims to strengthen the protection of the country's wildlife resources by (a)
Wildlife Act increasing the fees and penalties for violators and (b) defining and implementing
sanitary and phytosanitary measures to address possible entry of zoonotic infectious
disease into the country (e.g., standards and protocols for crops, livestock, fisheries,
and wildlife).

Forest Limit Bill The proposed bill intends to delineate the specific limits of forestlands for the
conservation, protection, and development of the country’s forest resources.

Sustainable Forest This seeks to institutionalize the (a) development of sustainable forest management
Management Bill strategy based on the allocation of forestland uses (i.e., production and protection
zones), (b) enhancement of private sector participation, and (c) forest certification,
monitoring, assessment, and reporting system.

Maritime Zones Bill This bill intends to define the limits of the different maritime zones over which the
country can exercise sovereignty (i.e., territorial sea) and sovereign rights (i.e.,
exclusive economic zone). This will support the implementation of measures to
sustainably manage fisheries and other resources in these maritime zones.

Philippine Archipelagic This intends to define the limits of Archipelagic Sea Lanes. Foreign ships will have
Sea Lanes Bill to confine their navigation within the sea-lanes to ensure that vessels will not pass
through MPAs and marine habitats are protected from shipping-related activities.

Proper Management The proposed bill intends to institutionalize mechanisms and guidelines/standards for
of Electronic Wastes proper collection, handling/storage, and disposal of electronic wastes.
(E-Wastes) Bill

366 | Updated Philippine Development Plan 2017-2022


LEGISLATIVE AGENDA RATIONALE

Department of Disaster This bill aims to provide a clear operational framework to address the fragmented
Resilience Bill institutional functions and actions among concerned agencies on climate change
and disasters by establishing a Department that will serve as the primary agency
responsible for leading the coordination, implementation, monitoring, and reporting
on climate change and DRRM.

Philippine The proposed measure aims to ensure that possible environmental consequences of
Environmental policies, plans, and programs are fully accounted for at the earliest stage of decision-
Assessment System making consistent with economic and social considerations. This will also strengthen
to cover Strategic the use of the Environmental Impact Statement System, as a planning and monitoring
Environmental tool.
Assessment (SEA) Bill

Amendment of the The proposed legislation seeks to provide higher penalties and stringent measures for
Ecological Solid Waste environmental protection. It also intends to bridge the policy gap between municipal
Management Act, Clean waste management and health care waste management by streamlining protocols on
Water Act, Clean Air Act, the management of hazardous wastes, particularly infectious wastes, at the community
and Toxic Substances, and household levels. These bills will also contain better enforcement against mixed
Hazardous and Nuclear waste collection and biodegradables in landfills and incentives for home composting,
Wastes Control Act as well as LGU support for at-source segregation and composting.

Green Public This bill aims to strengthen green public procurement by enhancing compliance of
Procurement Bill procuring entities in integrating green criteria in the procurement guidelines, including
bidding documents and technical specifications, and in setting clear LGU involvement
based on market readiness.

Extended Producer This aims to enhance product stewardship among producers/manufacturers


Responsibility (EPR) Bill nationwide, who will be made responsible for the disposal and treatment of post-
consumer products and help minimize pollution, especially from packaging materials
of the food and beverage sector at source.

Safe Pathways Bill The proposed bill intends to provide safe and convenient pathways for pedestrians
and nonmotorized vehicles (e.g., walkways and bike lanes) and integrate these in
the infrastructure development agenda. The Bill intends to create a network of pop-
up bicycle lanes to connect users to essential destinations (e.g., medical facilities),
designate a network of people-oriented emergency pathways, and mandate the
provision of adequate parking spaces for bicycles and other non-motorized vehicles,
as far as practicable, among others.

Maritime Safety, This aims to provide a Maritime Code that will implement and enforce international
Security and Prevention maritime instruments, of which the country is a state-party. These include the
of Ship-Sourced International Convention for the Prevention of Pollution from Ships, and its Protocols.
Pollution Bill

Chapter 20 Ensuring Ecological Integrity, Clean and Healthy Environment | 367


PART VII

PROTECTING
THE RIGHTS,
PROMOTING
THE WELFARE,
AND EXPANDING
OPPORTUNITIES
FOR OVERSEAS
FILIPINOS
21
Protecting
the Rights,
Promoting
the Welfare,
and Expanding
Opportunities
for Overseas
Filipinos
CHAPTER 21

Protecting the Rights,


Promoting the Welfare, and
Expanding Opportunities for
Overseas Filipinos
International migration has been a significant aspect in the economic and social dynamics
of the Philippines over the last four decades. In recent years, about two million Filipinos
leave every year to temporarily work overseas, mainly in the Middle East and Asia.
Another 80-90 thousand choose to permanently transfer to another country, mainly to
the USA and Canada. Filipinos overseas send annual remittances equivalent to about
10 percent of the Philippine Gross Domestic Product (GDP).1

With the outbreak of COVID-19, governments across the world have imposed
lockdowns, disrupting economic activities and employment, including that of
migrants. The pursuit of a healthy and resilient Philippines should consider the
particular challenges faced by overseas Filipinos (OFs) in order to protect their rights,
promote their welfare, and sustain their contribution to the country’s development.
The government will continuously support and assist repatriated and displaced OFs
and seek to address the increased vulnerability of those who remain abroad. For those
who have decided to return to the Philippines permanently, their successful socioeconomic
reintegration will be prioritized. Financial inclusion initiatives for OFs and their families
will also be strengthened.

Assessment and Challenges


Assessment: The first half of the Plan period has overseas Filipino workers (OFWs) through the
seen significant developments in international additional One-Stop Service Centers for OFWs
migration and development. An internationally- (OSSCO) and OFW Helpdesks; onsite training
agreed framework for comprehensive international and competency assessments were conducted;
cooperation on migration was established; access measures to enhance the security and safety of
to government services was made easier for OFs were introduced; government initiatives

1
World Bank, Migration and Remittances, September 26, 2019.

Chapter 21 Protecting the rights, promoting the welfare, and expanding opportunities for Overseas Filipinos | 373
enabling safe, efficient, and reliable fund transfers on DFA data. Among the ROFs, 4,904 were
have contributed to the decline in remittance cost; confirmed COVID-19 cases, among whom five
and financial inclusion initiatives have channeled have passed away.
more remittances into savings and investment.
Challenges: With the pandemic and the
The Universal Healthcare Act, Social Welfare subsequent global recession, the unprecedented
Attaché Act, Handbook for OFWs Act, and volume of OFs intending to return and those
the Social Security Act of 2018 were enacted to who have already returned will put pressure
enhance the social protection afforded to OFs. on the capacities of OF-serving agencies in
The first National Migration Survey was also providing assistance and reintegration programs.
conducted in 2018 to address the need for baseline Returning OFWs will face a weak labor market
data on the international mobility of Filipinos. in the country amidst social distancing measures
and an economic slowdown. Meanwhile, those
However, the pandemic has displaced migrant who will choose to continue to stay abroad
workers, including OFWs. As of early August face increased vulnerabilities as the pandemic
2020, the Department of Labor and Employment transforms economies, resulting in shifts in
(DOLE) has received close to 600,000 applications labor demand, aggravated by inadequate social
for cash assistance from onsite and repatriated protection. Demand for workers in the healthcare
OFWs. Almost 230,000 returning overseas sector and manufacturing of essential goods is
Filipinos (ROFs) have arrived, of which over expected to remain strong, while it may decline
120,000 had been repatriated by the Department in other sectors such as tourism and retail.
of Foreign Affairs (DFA). In addition, there Furthermore, the impact of lower remittances
are almost 9,800 confirmed COVID-19 cases will be felt by many Filipino households.
(and more than 700 deaths) among OFWs based

Figure 21.1 Overseas Filipino Worker (OFW) Deployment, Land-based, 2011-2019

Source: Philippine Overseas Employment Administration (POEA)

374 | Updated Philippine Development Plan 2017-2022


Figure 21.2 OFW Deployment by Destination Country, 2019

Source: POEA

Targets
Table 21.1 Updated Plan Targets to Protect the Rights, Promote the Welfare, and Expand Opportunities
for Overseas Filipinos to Contribute to the Country’s Development

TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

Sector Outcome: Protect the rights, promote the welfare, and expand opportunities for overseas Filipinos
to contribute to the country’s development

92.3
Percent of documented OFs to total OFs increased Increasing h Increasing h Increasing h Increasing h
(2019)

Philippine ranking on the US index on trafficking in Tier 1


Tier 1 Tier 1 Tier 1 Tier 1
persons maintained* (2019)

Percent share of active to total members of Overseas 28.9


25.0 25.0 25.0 25.0
Workers Welfare Administration (OWWA) increased (%)** (2016)

31.3
Voter turnout increased (%)* N/A N/A 40.0 40.0
(2016)

Chapter 21 Protecting the rights, promoting the welfare, and expanding opportunities for Overseas Filipinos | 375
TARGETS
BASELINE VALUE
INDICATOR
(YEAR) 2020 2021 2022 END OF PLAN

International remittance costs as a proportion 4.7


<4.0 <3.5 <3.0 <3.0
of the amount remitted reduced (%) (2016)

Percent of returnees successfully engaged 103.2


100.0 100.0 100.0 100.0
in an income generating activity** (2019)

Notes: * new indicator; ** revised indicator; h –increasing from previous year; tbc – to be confirmed

Strategic Framework

During the formulation of the Philippine The framework used in 2017 focused on protecting
Development Plan (PDP) 2017-2022, international the rights and improving the well-being of OFs,
migration and development (IMD) issues were whether here or abroad, strengthening their
mainstreamed in nine out of the 15 main chapters. engagement in governance, and facilitating their
These are the chapters dealing with governance, participation in the country’s development and
justice, culture, industry and services, human reintegration. For this update, the framework has
capital development, reducing vulnerabilities, been enhanced in line with the new normal and
science and technology, financial inclusion, and the commitments under the Global Compact for
security and safety. This reflects the crosscutting Safe, Orderly, and Regular Migration (GCM).
nature of migration and the need for a whole-of- Thus, the enhanced framework seeks to cover all
government approach. dimensions of migration, as well as both OFs and
foreign nationals in the Philippines.
For this updated PDP, this chapter has been added
to ensure greater coherence and comprehensiveness
in discussing issues, relevant indicators, and
strategies in relation to migration and
development, towards a healthy and resilient
Philippines. In line with this, new indicators to
better monitor the government’s progress on
improving migration governance and harnessing
the full benefits of migration towards sustainable
development have been identified.

376 | Updated Philippine Development Plan 2017-2022


Figure 21.3 Updated Plan Targets to Protect the Rights, Promote the Welfare, and Expand Opportunities
for Overseas Filipinos to Contribute to the Country’s Development

Strategies
In line with the enhanced framework on The absorptive capacity of OF-serving agencies
migration, the following strategies have been will be improved by streamlining agencies’
expanded to ensure that the Chapter’s objectives operations and enhancing their workforce
will be pursued accordingly. utilization to cater to OFs’ needs better.

Moreover, the government will explore hiring


repatriated OFs as healthcare workers, contact
Protecting OFs’ rights and tracers, personnel for the Build, Build, Build (BBB)
improving their well-being projects, the Philippine Identification System
(PhilSys), and Community-Based Monitoring
System (CBMS), among others. Along with these
Enhance government support and assistance initiatives, the government will intensify the retooling
for repatriated and displaced OFWs. With the and skills upgrading programs for displaced and
unprecedented volume of repatriates and displaced repatriated OFWs (especially for telecommuting
migrant workers, the government must ensure and e-commerce-friendly jobs) to keep them
that all affected OFs, especially OFWs, are provided competitive whether in the domestic or
adequate assistance to overcome the crisis. international labor markets.

Chapter 21 Protecting the rights, promoting the welfare, and expanding opportunities for Overseas Filipinos | 377
Concurrently, the government will facilitate Tobago, Portugal, Canada, Taiwan, Solomon
the movement of OFWs, especially essential Islands, and Switzerland, as well as a Memoranda
workers needed by the global economy, without of Agreement/Understanding on labor cooperation
compromising the needs of the local economy. with Seychelles, Micronesia, and Turkey.
The government will also explore options to The joint conduct of post-arrival orientation
support the recovery of the recruitment industry. seminar (PAOS) will be explored in bilateral
labor negotiations. Further, the government will
Enhance health insurance and social security continue its negotiations to create pathways to
for OFWs. Given the unprecedented volume regularization for qualified but undocumented OFs.
of migrants needing assistance due to the
pandemic, the operating funds of migrant-serving The Social Security Act of 2018 (Republic Act [RA]
agencies will be augmented to facilitate welfare 11199) also mandates the negotiation of BLAs
and health-related (including mental health) with host countries which do not cover OFWs
programs and emergency response at posts. under their social security schemes, particularly
for pension entitlement. In line with RA 11199, the
Information campaigns on the importance and requirement for foreign employers of land-based
benefits of health insurance and social security OFWs to pay SSS contributions, similar to foreign
for OFWs and their families will be intensified. principals of sea-based OFWs, and portability of
Among others, such information shall be social security entitlements and earned benefits will
incorporated into orientation seminars across be included in the bilateral labor agreements and
all stages of migration. With the urgent need their implementing administrative arrangements.
for convenient and contactless transactions,
e-payment services for the Philippine Health Facilitate effective service delivery to OFs.
Insurance Corporation (PhilHealth) and the Deploying mobile government representative
Social Security System (SSS) will be continuously offices overseas will improve the provision of basic
enhanced and expanded. Payment schemes for services to OFs. To help empower the OFs onsite,
PhilHealth premiums for departing OFWs will be scholarships, training assistance, and competency
enhanced to enable more flexible payment terms. assessments shall be provided. The Technical
Education and Skills Development Authority’s
Strengthen bilateral and regional ties. (TESDA) Onsite Assessment program and the
Negotiation of bilateral labor agreements Professional Regulation Commission’s (PRC)
(BLAs) with migrant-receiving countries will Special Professional Licensure Examinations will
be intensified, especially with those practicing be expanded. Moreover, government transactions
the Kafala system. BLAs with stringent welfare that cater to OFs will be simplified. This includes
and protection provisions, social security the full roll out of online transactions at the
agreements, and emergency response protocols Philippine Overseas Employment Administration
will be pursued, while the inclusion of health (POEA) 2. Further, the government will provide
insurance in BLAs and in the standard online platforms for psychosocial intervention
employment contract will be explored. BLAs will and psychological first aid to bring together
give particular attention to vulnerable groups, trained professionals to address the psychological
such as household service workers (see Chapter 10). needs of OFs. As an organized and well-defined
Programmed bilateral labor agreements for database on international migration would help
review in 2020 include those with Morocco, facilitate effective service delivery, expediting the
Russia, Thailand, Seychelles, Micronesia, operationalization of the international migration
Suriname, Romania, Saudi Arabia, Trinidad and statistics framework is necessary. To ensure

2
This includes e-Registration of OFWs and Seafarers; Balik Manggagawa (BM) Online; POEA Online Processing System and further developing
Online Direct Hire; Online Continuing Agency Education Program (CAEP); and Online Licensing and Legal Assistance.

378 | Updated Philippine Development Plan 2017-2022


comparability, the data collection, processing, seminars. Further, local governments will be
and methodologies of migrant-serving agencies integrated as service providers in the conduct of
will be aligned with the framework. This will also pre-migration education training.
contribute to the operationalization of the Shared
Government Information System on Migration. Exploring other modes of dissemination will
An integrated inter-agency referral and also help enhance information delivery. The
case tracking system will also be introduced online presence of existing programs such as the
(see Chapter 5). BaLinkBayan may be expanded to reach a larger
audience (see Chapters 5 and 15). The conduct
Provide sufficient assistance-to-nationals (ATNs) of mobile Pre-departure Orientation Seminars
services. Additional plantilla positions and (PDOS) in more areas as well as the expansion
Foreign Service Posts (FSPs), especially in high- of the Community Education Program and Peer
risk countries and in countries with high levels Counseling Program of the Commission on
of undocumented OFs, will be prioritized. In Filipinos Overseas (CFO) would help prospective
addition, agencies’ capacity to provide assistance emigrants make informed decisions on working
to undocumented Filipino migrants who wish or settling abroad. The Handbook for OFWs
to be repatriated will be strengthened. Proper (RA 11227) will be completed and regularly
documentation before the deployment of OFWs distributed to serve as an important reference
will strengthen protection and lessen the risk of for migrants. Further, embassies will continue
OFWs becoming undocumented (see Chapter 18). to strengthen regular engagement of Filipinos
abroad by institutionalizing cultural initiatives
Enhance the capability of migrant-serving agencies (see Chapter 7).
and consular officers on crisis preparedness and
contingency planning. All Philippine FSPs will Strengthen measures to protect OFs against
be enjoined to regularly update their respective human trafficking and exploitation. Trafficking
contingency plans. The One-Country Team and illegal recruitment schemes will be abated
Approach, where overseas representatives of with effective use of technology-enabled platforms
various government agencies act together under for information dissemination. There is also
the leadership of the Head of Post, will be strictly a need to capacitate more local government
observed. The Overseas Preparedness Response units (LGUs) to invest in anti-trafficking
Team (OPRT) will ensure that coordination with interventions. This includes seminars for duty
relevant agencies is sustained and rapid response bearers and stakeholders at the grassroots level
and relief measures are implemented efficiently on how, when, and where to report violations
(see Chapter 18). and other related laws. The Inter-Agency Council
Against Trafficking’s (IACAT) referral and feedback
Enhance education of OFs on IMD. The pre- system among duty bearers and stakeholders will
employment, pre-departure, and post-arrival be improved. Service directories will be regularly
orientation seminars will be improved in terms of updated and effective referral pathways for
conduct and content. Enriching the orientation essential services (including healthcare, policing
seminar modules to include cultural diversity, and justice services, psychosocial support,
benefits and costs of migration, economic reporting and complaints mechanisms, and other
and financial literacy, and overseas voting and necessary support) will be made available and
reintegration would better prepare OFs throughout accessible to all OFs. Moreover, coordination
the migration cycle. Pre-migration orientation among local and international law enforcement
seminars that include not only the prospective agencies will be strengthened. The government will
migrants but also the families left behind will continue to explore ways to cooperate with other
also be implemented. Content will be standardized countries on combatting trafficking in persons
across agencies conducting the orientation (see Chapter 18).

Chapter 21 Protecting the rights, promoting the welfare, and expanding opportunities for Overseas Filipinos | 379
Improve mechanisms to monitor the schemes, such as the SSS provident fund program,
socioeconomic and political conditions of OFs. and the recently-launched digital services of
Existing mechanisms to monitor the conditions the Overseas Filipino Bank among others.
of OFs, such as ATN Mappings and connections Furthermore, access to financial products
with Filipino communities will be complemented and services will be supported by the full
by mechanisms to facilitate regular gatherings operationalization of the PhilSys which will
to enable embassies to check the status of OFs, address issues on lack of identity documents for
particularly OFWs, on a regular basis (see Chapters opening bank accounts and verifying financial
5 and 18). The OPRT will also conduct threat transactions.
and environmental scanning regularly.
Ensure successful socioeconomic reintegration
Reduce pre-departure costs for OFs. Technology- of OFs and their families. The government
enabled platforms such as online payment will facilitate the smooth reintegration of
systems will be enhanced to address the issue of Filipino migrants into Philippine society. The
requiring payments in bulk. The burden of paying Comprehensive OFW Reintegration Program will
for placement and training fees will be removed be implemented fully and continuously to realize
from the OFW in observance of the “employer pays its objectives: (a) incorporation of a gender-
principle” in the recruitment process. To ensure responsive reintegration preparedness program
that OFWs are not charged more than the in all phases of migration, involving both OFWs
regulations allow, recruitment agencies will be and their families left behind; (b) initiation
strictly monitored. of reintegration pathways for different OFW
segments, particularly domestic workers, less-
skilled workers, sea-based workers, and
professionals; and (c) convergence of initiatives
Facilitating OFs’ participation and harmonization of reintegration programs
in the country’s development and services of all government agencies and
organizations to ensure a comprehensive approach
and reintegration in to reintegration.
Philippine society
The budget for the loan guarantee fund of the
OWWA for the Enterprise Development and Loan
Strengthen financial inclusion initiatives for Program (EDLP), which is administered by the
OFs and their families. Faster, safer, and cheaper agency in partnership with the Land Bank of the
transfer of remittances will be promoted by Philippines (LANDBANK) and the Development
advocating the use of technology-based banking Bank of the Philippines (DBP), will be increased.
such as internet banking and mobile payment All financial and livelihood assistance initiatives,
applications. To complement the reduction in including grants and loans, will be promoted to
costs, access to information on financial services reach a greater number of returning Filipinos. For
must be enhanced through a multi-agency effort those seeking local employment, the government
to create a centralized portal related to various will strengthen employment facilitation services
financial transactions. In addition, economic and through proactive job matching, competency
financial literacy programs catering specifically assessment, and certification. The convergence of
to OFs and their families, will continue to be the DOLE’s enhanced National Skills Registration
expanded while highlighting financial planning Program, the National Reintegration Center
and management. This will include the Pinansyal for OFWs, and OFW Skills Registry will facilitate
na Talino at Kaalaman (PiTaKa) Program of the matching of employers and employees based
Bangko Sentral ng Pilipinas (BSP) and the OWWA, on the former’s needs and the latter’s background
information on existing government-managed and skills.

380 | Updated Philippine Development Plan 2017-2022


Tap the knowledge and other resources of OFs. Protecting the rights and
Mechanisms through which overseas-based
experts are able to share their knowledge and improving the well-being of
specializations with the academe, industry, and foreign nationals in the country
government will be strengthened. Likewise,
institutional linkages will be fostered through
Filipino professionals and experts abroad to Establish clear policy direction as a migrant-
induce more collaborations in research and receiving country. The swift passage of
development and capacity-building activities. amendments to the Philippine Immigration Act
The potential of OF remittances will be of 1940, to enhance the control and regulation of
effectively harnessed and channeled into the entry of foreign citizens into the Philippines
productive investments, through localization of is a crucial step towards improving immigration
the BaLinkBayan Portal and replication of the policy and management. While work permit
Overseas Filipino Remittances for Development 3 issuance by different agencies was harmonized
(OFReD) project. through Joint Memorandum Circular No. 001,
s. 2019, the government will look into the
eventual transition to a single provider of all
work permits for foreign nationals. Moreover,
Strengthening engagement in accordance with the GCM, the security and
safety of foreign nationals in the Philippines
of OFs, families, and other will be ensured by providing them with basic
stakeholders in governance services, protecting them against discrimination,
and upholding due process of law in cases of
litigation. Foremost, the government will uphold
Mainstream migration into local development international treaties on the rights of migrants
planning. The government will facilitate the and guarantee that foreign nationals in the
inclusion of programs/projects for repatriated Philippines are not denied basic services on the
OFWs in the Rehabilitation and Recovery Plans basis of their status as migrants. The legal
of LGUs. Committees, subcommittees, or councils framework for the protection of asylum seekers,
on IMD will be created in key regions to provide refugees, and stateless persons, including children,
a proper venue to discuss migration issues at will be developed, including institutionalization of
the local level. It is necessary to include migrant their access to social services.
representatives in these committees to ensure
that migrants’ concerns are addressed and to
harness their full potential in contributing to local
development.

Increase overseas voter turnout. More strategic


locations of overseas registration centers abroad
will be explored. Massive information campaigns,
especially through social media, to encourage
OFs to register and vote will be also pursued.

3
The OF-RED project was launched by the United Nations Development Programme and the Western Union Foundation and implemented
by the CFO.

Chapter 21 Protecting the rights, promoting the welfare, and expanding opportunities for Overseas Filipinos | 381
Legislative Agenda
For the rest of the Plan period, the following legislative agenda will be pursued:

Table 21.2 Legislative Agenda to Protect the Rights, Promote the Welfare, and Expand Opportunities
for Overseas Filipinos to Contribute to the Country’s Development

LEGISLATIVE AGENDA RATIONALE

Subsector Outcome 1: OFs’ rights protected and well-being improved

Magna Carta of Filipino Seafarers This will provide the legislative framework on the implementation of the
standards set by international conventions and agreements, such as the
Maritime Labor Convention 2006 on the working and living conditions and
occupational safety and health, among others, for seafarers.

Subsector Outcome 4: Rights protected and well-being improved for foreign nationals in the country

Amendments to the Philippine The proposed amendments aim to strengthen legal and institutional framework,
Immigration Act of 1940 border control at ports of entry, and regulation and registration of foreign
nationals within the country.

Amendment to Articles 40, 41, This will enhance the country’s labor market test, taking into account best
and 42 of Presidential Decree practices in other countries.
No. 442 or the Labor Code of the
Philippines

382 | Updated Philippine Development Plan 2017-2022


List of Acronyms

4Ps Pantawid Pamilyang Pilipino Program


5G Fifth Generation Mobile Network
ABEMIS Agricultural and Biosystems Engineering Management Information System
ABS Access and Benefit Sharing
ADB Asian Development Bank
ADR Alternative Dispute Resolution
ADSDPP Ancestral Domain Sustainable Development and Protection Plan
AEWs Agriculture Extension Workers
AFF Agriculture, Forestry, and Fisheries
AFMechERN Agriculture and Fisheries Mechanization Engineering Resource Network
AFP Armed Forces of the Philippines
AHP Affordable Housing Program
AI Artificial Intelligence
AMTEC Agricultural Machinery Testing and Evaluation Center
AONCR Areas Outside the National Capital Region
ARB Agrarian Reform Beneficiary
ARMM Autonomous Region in Muslim Mindanao
ARTA Anti-Red Tape Authority
ASEAN Association of Southeast Asian Nations
ASRH Adolescent Sexual and Reproductive Health
ATC Air Traffic Control
ATN Assistance to Nationals
AVCF Agriculture Value Chain Financing
AWD Alternate Wetting and Drying
B2B Business-to-Business
BAFE Bureau of Agricultural and Fisheries Engineering
BALAI Building Adequate, Livable, Affordable, and Inclusive Filipino Communities
BARMM Bangsamoro Autonomous Region in Muslim Mindanao
BBB Build, Build, Build
BCP Business Continuity Plan
BDAF Bangsamoro Development Assistance Fund

Acronyms 383
BDFE Biodiversity-Friendly Enterprises
BDP Bangsamoro Development Program
BE-LCP Basic Education Learning Continuity Plan
BFAR Bureau of Fisheries and Aquatic Resources
BFP Bureau of Fire Protection
BHERT Barangay Health Emergency Response Team
BHS Barangay Health Station
BIMP-EAGA Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth
Area
BIR Bureau of Internal Revenue
BIST Business Innovation through S&T
BJMP Bureau of Jail Management and Penology
BLA Bilateral Labor Agreements
BMBE Barangay Micro Business Enterprise
BNS Barangay Nutrition Scholar
BOC Bureau of Customs
BOD Biochemical Oxygen Demand
BOI Board of Investments
BOL Bangsamoro Organic Law
BOQ Bureau of Quarantine
BP2 Balik Probinsya, Bagong Pag-asa Program
BRT Bus Rapid Transit
BSFI Bangko Sentral ng Pilipinas Supervised Financial Institutions
BSL2 Biosafety Laboratory Level 2
BSP Bangko Sentral ng Pilipinas
BSWM Bureau of Soils and Water Management
BTA Bangsamoro Transition Authority
BUCOR Bureau of Corrections
CAAP Civil Aviation Authority of the Philippines
CAB Comprehensive Agreement on the Bangsamoro
CADT Certificate of Ancestral Domain Title
CALABARZON Cavite, Laguna, Batangas, Rizal, and Quezon (Region IV-A)
CALT Certificate of Ancestral Land Title
CARP Comprehensive Agrarian Reform Program

384 | Updated Philippine Development Plan 2017-2022


CBA Cost-Benefit Analysis
CBA-CPLA Cordillera Bodong Administration - Cordillera People’s Liberation Army
CBFMA Community-Based Forest Management Agreement
CBMS Community-Based Monitoring System
CBP Central Business Portal
CCAM Climate Change Adaptation and Mitigation
CCC Climate Change Commission
CCTV Closed-Circuit Television
CDA Cooperative Development Authority
CDC Center for Disease Prevention and Control
CDP Comprehensive Development Plan
CEMS Continuous Emission Monitoring System
CFLC Community Fish Landing Centers
CFO Commission on Filipinos Overseas
CHED Commission on Higher Education
CHR Commission on Human Rights
CID Clarificatory Implementing Document
CIO Chief Information Officer
CIS Collective Investment Scheme
CLUP Comprehensive Land Use Plan
CMA Compliance Monitoring Activities
CMEMP Coastal and Marine Ecosystems Management Program
COA Commission on Audit
COC Code of Conduct
COC Certificate of Conformity
COMELEC Commission on Elections
CoP Culture of Peace
CORSIA Carbon Offsetting and Reduction Scheme for International Aviation
COVAX COVID-19 Vaccines Global Access
COVID-19 Coronavirus Disease 2019
CPA Citizen Participatory Audit
CPAB Consumer Protection and Advocacy Bureau
CPI Corruption Perceptions Index
CRADLE Collaborative Research and Development to Leverage Philippine Economy

Acronyms 385
CREATE Corporate Recovery and Tax Incentives for Enterprises
CRK Clark International Airport
CRM Coastal Resource Management
CRP Comprehensive Resiliency Plan
CSA Civil Service Academy
CSC Civil Service Commission
CSE Comprehensive Sexuality Education
CSF Credit Surety Funds
CSO Civil Society Organization
CSP Competitive Selection Process
CSPP Conflict-Sensitive and Peace-Promoting
DA Department of Agriculture
DA-BFAR Department of Agriculture - Bureau of Fisheries and Aquatic Resources
DA-BSWM Department of Agriculture - Bureau of Soils and Water Management
DAP Development Academy of the Philippines
DAR Department of Agrarian Reform
DBCC Development Budget Coordination Committee
DBM Department of Budget and Management
DC Department Circular
DCP Design Center of the Philippines
DENR Department of Environment and Natural Resources
DepEd Department of Education
DevLive Development Live
DFA Department of Foreign Affairs
DFS Digital Financial Services
DHSUD Department of Human Settlements and Urban Development
DICT Department of Information and Communications Technology
DILG Department of the Interior and Local Government
DILG-BLGS Department of the Interior and Local Government - Bureau of Local
Government Supervision
DND Department of National Defense
DO Department Order
DO Dissolved Oxygen
DOE Department of Energy
DOF Department of Finance

386 | Updated Philippine Development Plan 2017-2022


DOH Department of Health
DOJ Department of Justice
DOLE Department of Labor and Employment
DOST Department of Science and Technology
DOT Department of Tourism
DOTr Department of Transportation
DPWH Department of Public Work and Highways
DPWH-Planning Department of Public Works and Highways - Planning Service
Service
DRR Disaster Risk Reduction
DRRM Disaster Risk Reduction and Management
DSWD Department of Social Welfare and Development
DTI Department of Trade and Industry
DU Distribution Utility
DVT Demographic Vulnerabilities Tool
DWR Department of Water Resources
E&E Electronic and Electrical
EAFM Ecosystem Approach to Fisheries Management
EbA Ecosystem-based Adaptation
eBPLS electronic Business Permits and Licensing System
ECCD Early Childhood Care and Development
E-CLIP Enhanced Comprehensive Local Integration Program
ECQ Enhanced Community Quarantine
EC Electric Cooperatives
EDLP Enterprise Development and Loan Program
EE&C Energy Efficiency and Conservation
EEWIN Eco-efficient Water Infrastructure
e-GDI e-Government Development Index
EMB Environmental Management Bureau
ENIPAS Expanded National Integrated Protected Areas System
ENR Environment and Natural Resources
EO Executive Order
EODB Ease of Doing Business
EODB-EGSD Act Ease of Doing Business and Efficient Government Service Delivery Act of
2018

Acronyms 387
EOP End of Plan
EPIRA Electric Power Industry Reform Act
EPR Extended Producers Responsibility
ERC Energy Regulatory Commission
ERF Enterprise Rehabilitation Fund
EU European Union
EUFS Environmental User Fee System
EVOSS Energy Virtual One Stop Shop
E-Waste Electronic Wastes
EWS Early Warning System
Fablabs Fabrication Laboratories
FCP Financial Consumer Protection
FDCP Film Development Council of the Philippines
FDI Foreign Direct Investment
FIA Foreign Investments Act
FIC Food Innovation Center
FIES Family Income and Expenditure Survey
FINL Foreign Investment Negative List
FIRe Fourth Industrial Revolution
FishR Municipal Fisherfolk Registry
FIST Financial Institutions Strategic Transfer Act
FLEMMS Functional Literacy, Education, and Mass Media Survey
FMA Fisheries Management Area
FMI Food Manufacturing Industry
FMP Farm Mechanization Program
FMR Farm-to-Market Road
FNRI Food and Nutrition Research Institute
FP Family Planning
FPA Final Peace Agreement
FPIC Free, Prior, and Informed Consent
FSCC Financial Stability Coordination Council
FTA Free Trade Agreement
FVE Former Violent Extremist
FWA Flexible Working Arrangement

388 | Updated Philippine Development Plan 2017-2022


FX Foreign Exchange
G12 Grade 12
G2B Government-to-Business
G7 Grade 7
GAP Good Agricultural Practices
GAqP Good Aquaculture Practices
GCG Governance Commission for Government-Owned and Controlled
Corporation
GCI Global Competitiveness Index
GCM Global Compact for Safe, Orderly, and Regular Migration
GCR Greater Capital Region
GCTA Good Conduct Time Allowance
GDP Gross Domestic Product
GI Geographic Indications
GIDA Geographically Isolated and Disadvantaged Areas
GII Global Innovation Index
GIS Geographic Information System
GMP Good Manufacturing Practice
GNI Gross National Income
GOCC Government-Owned and Controlled Corporation
GovNet Government Network
GPH Government of the Philippines
GPPB Government Procurement Policy Board
GPRA Government Procurement Act
GPS Global Positioning System
GRDP Gross Regional Domestic Product
GSIS Government Service Insurance System
GSP Generalized System of Preferences
GUIDE Government Financial Institutions Unified Initiatives to Distressed
Enterprises for Economic Recovery
GVA Gross Value Added
GVC Global Value Chain
HCC Hard Coral Cover
HCI Human Capital Index
HDI Human Development Index

Acronyms 389
HEI Higher Education Institution
HFEP Health Facilities Enhancement Program
HIA Health Impact Assessment
HIV Human Immunodeficiency Virus
HIV/AIDS Human Immunodeficiency Virus/Acquired Immunodeficiency Syndrome
HLURB Housing and Land Use Regulatory Board
HNRDA Harmonized National Research and Development Agenda
HOA Homeowners Association
HPC High Performance Computing
HR Human Resource
HRD Human Resource Development
HRH Human Resources for Health
HTA Health Technology Assessment
HTP Heated Tobacco Product
HUC Highly Urbanized City
HUDCC Housing and Urban Development Coordinating Council
I&S Industry and Services
i3S Philippine Inclusive, Innovation, and Industrial Strategy
IA Irrigator’s Association
IAC Inter-Agency Committee
IAC-CSAC Inter-Agency Committee on Children in Situations of Armed Conflict
IACVAWC Interagency Council on Violence Against Women and their Children
IATA International Air Transport Association
IATCTP Inter-Agency Technical Committee on Transport Planning
IATF Inter-Agency Task Force
IB Inclusive Business
ICAO International Civil Aviation Organization
ICCMN Inter-Cabinet Cluster Mechanism on Normalization
ICC Indigenous Cultural Communities
ICM Integrated Coastal Management
ICT Information and Communications Technology
ID Identification
IDP Internally Displaced Peoples
IEC Information, Education, and Communication

390 | Updated Philippine Development Plan 2017-2022


IEMP Industrial Emission Management Program
IFMA Integrated Forest Management Agreement
IFP Infrastructure Flagship Project
IGRB Intergovernmental Relations Body
IKSP Indigenous Knowledge Systems and Practices
ILSA International Large-Scale Assessment
ILT Institute of Living Tradition
IMD International Migration and Development
IMF International Monetary Fund
INFRACOM NEDA Board Committee on Infrastructure
INSARAG International Search and Rescue Advisory Group
IoT Internet of Things
IP Indigenous People
IP Intellectual Property
IPA Investment Promotion Agencies
IPAF Integrated Protected Area Fund
IPMR Indigenous Peoples Mandatory Representation
IPOPHL Intellectual Property Office of the Philippines
IPP Independent Power Producer
IRA Internal Revenue Allotment
IROAD Integrated Road for Agriculture Development
IRR Implementing Rules and Regulations
IT Information Technology
IT-BPM Information Technology and Business Process Management
ITSO Innovation and Technology Support Office
IUUF Illegal, Unreported, Unregulated Fishing
IWRM Integrated Water Resource Management
JSCC Justice Sector Coordinating Council
JV Joint Venture
K Kinder
KAYA Kapital Access for Young Agripreneurs
KDC Knowledge Development Center
LB Live Birth
LCAC Local Culture and Arts Council
LCCAP Local Climate Change Action Plan

Acronyms 391
LDRRMP Local Disaster Risk Reduction and Management Plan
LEES Labor and Employment Education Services
LE Large Enterprise
LFS Labor Force Survey
LGA Local Government Academy
LGU Local Government Unit
LIIC Local Investment and Incentives Code
LLDA Laguna Lake Development Authority
LOE Lines of Efforts
LPI Legatum Prosperity Index
LRT Light Rail Transit
LSP Local Shelter Plan
LTFRB Land Transportation Franchising and Regulatory Board
LTO Land Transportation Office
LUC Local University and College
M&E Monitoring and Evaluation
MABUHAY Maginhawang Buhay sa Bahay
MARINA Maritime Industry Authority
MBPS Megabits Per Second
MCIAA Mactan-Cebu International Airport Authority
MIAA Manila International Airport Authority
MIDP Maritime Industry Development Plan
MILF Moro National Liberation Front
MIMAROPA Mindoro, Marinduque, Romblon, and Palawan (Region IV-B)
MISP Minimum Initial Service Package
MLIN Mindanao Logistics Infrastructure Network
MNLF Moro Islamic Liberation Front
MOOC More Open Online Course
MOU Memorandum of Understanding
MP2 Modified Pag-IBIG 2 Program
MPA Marine Protected Area
MRA Mutual Recognition Arrangement
MRF Materials Recovery Facilities
MRT Metro Rail Transit
MSME Micro, Small, and Medium Enterprise

392 | Updated Philippine Development Plan 2017-2022


NAIA Ninoy Aquino International Airport
NaLUA National Land Use Act
NAMRIA National Mapping and Resource Information Authority
NAO Nutrition Action Officer
NAP-PCVE National Action Plan on Preventing and Countering Violent Extremism
NAP-WPS National Action Plan on Women, Peace, and Security
NAP-YPS National Action Plan on Youth, Peace, and Security
NAT National Achievement Test
NBP National Broadband Plan
NCA Natural Capital Accounting
NCC National Competitiveness Council
NCCA National Commission for Culture and the Arts
NCCAG National Color-Coded Agricultural Guide Map
NCD Non-Communicable Disease
NCDA National Council on Disability Affairs
NCIP National Commission on Indigenous Peoples
NCP National Competition Policy
NCR National Capital Region
NC Negosyo Center
NCSP National Cybersecurity Plan
NDCG Nilo De la Cruz Group
NDHS National Demographic and Health Survey
NDRRMC National Disaster Risk Reduction and Management Council
NEA National Electrification Administration
NEDA National Economic and Development Authority
NEE Not in Education and Employment
NEET Not in Education, Employment, or Training
NEHEMIA National Effort for the Harmonization of Efficient Measures of Inter-related
Agencies
NER Net Enrolment Rate
NFA National Food Authority
NFRDI National Fisheries Research and Development Institute
NG National Government
NGA National Government Agency
NGCP National Grid Corporation of the Philippines

Foreword | 393
NGI National Governance Index
NGO Non-Government Organization
NGP National Greening Program
NHA National Housing Authority
NHIP National Health Insurance Program
NHMFC National Home Mortgage Finance Corporation
NHRI National Human Rights Institution
NHTS-PR National Household Targeting System for Poverty Reduction
NIA National Irrigation Administration
NIA National Income Accounts
NIASD National Innovation Agenda Strategy Document
NIC National Innovation Council
NICER Niche Centers in the Regions for R&D
NIMP National Irrigation Master Plan
NIPAS National Integrated Protected Area System
NIPAS-PA National Integrated Protected Area System - Protected Area
NIPS National Intellectual Property Strategy
NJIS National Justice Information System
NLEX North Luzon Expressway
NMIS National Measurement Infrastructure System
NMVIMP National Motor Vehicle Inspection and Maintenance Program
NNC National Nutrition Council
NPC National Power Corporation
NPC-SPUG National Power Corporation - Small Power Utilities Group
NPPFP National Program on Population and Family Planning
NQI National Quality Infrastructure
NREP National Renewable Energy Program
NRPF National Resettlement Policy Framework
NSS National Spatial Strategy
NSSMP National Sewerage and Septage Management Program
NSWMC National Solid Waste Management Commission
NTESD National Technical Education and Skills Development
NTF-ELCAC National Task Force to End Local Communist Armed Conflict
NTJRB National Transitional Justice and Reconciliation Commission for the
Bangsamoro

394 | Updated Philippine Development Plan 2017-2022


NTP National Transport Policy
NUA New Urban Agenda
NUDHF National Urban Development and Housing Framework
NWPC National Wages and Productivity Commission
NWRB National Water Resources Board
O&M Operations and Maintenance
OCD Office of Civil Defense
OF Overseas Filipino
OFC Office for Competition (under the Department of Justice)
OfReD Overseas Filipino Remittances for Development
OFW Overseas Filipino Worker
OIC Organization of Islamic Cooperation
OneLab One-stop Laboratory Services for Global Competitiveness
OPLAN Operational Plan
OPRT Overseas Preparedness Response Team
OSH Occupational Safety and Health
OTS Office for Transportation Security
OWWA Overseas Workers Welfare Administration
P3 Pondo sa Pagbabago at Pag-Asenso Program
PADS Philippine Anti-illegal Drugs Strategy
PAMANA Payapa at Masaganang Pamayanan
PAO Public Attorney’s Office
PAOS Post-Arrival Orientation Seminar
PAP4SCP Philippine Action Plan for Sustainable Consumption and Production
PASA Protected Area Suitability Assessment
PBB Performance-Based bonus
PBD Philippine Business Databank
PCA Philippine Coconut Authority
PCA Philippine Competition Act
PCC Philippine Competition Commission
PCG Philippine Coast Guard
PCIC Philippine Crop Insurance Corporation
PCSF Philippine Cultural Statistics Framework
PDEA Philippine Drug Enforcement Agency
PDL Person Deprived of Liberty

Acronyms 395
PDM Price Determination Methodology
PDOS Pre-Departure Orientation Seminar
PDP Philippine Development Plan
PeGIF Philippine e-Government Interoperability Framework
PEIS PESO Employment Information System
PEP Philippine Energy Plan
PESO Public Employment Service Office
PEZA Philippine Economic Zone Authority
PHILGUARANTEE Philippine Guarantee Corporation
PGRABS Philippine Genetic Resources Access and Benefit-Sharing
PHE Population-Health-Environment
PHEDPP Philippine Halal Export Development and Promotion Program
PHFDP Philippine Health Facilities Development Plan
PhilHealth Philippine Health Insurance Corporation
PhilSA Philippine Space Agency
PhilSys Philippine Identification System
PIDS Philippine Institute for Development Studies
PIPP Philippine Investment Promotion Plan
PiTaKa Pinansyal na Talino at Kaalaman
PLEA Production Loan Easy Access
PLHIV People Living with HIV
PM 10 Particulate matter measuring 10 micrometers in diameter or smaller
PM 2.5 Particulate matter measuring 2.5 micrometers in diameter or smaller
PNP Philippine National Police
POC Persons of Concern
POEA Philippine Overseas Employment Administration
POPCOM Commission on Population and Development
PPA Philippine Ports Authority
PPAN Philippine Plan of Action for Nutrition
PPA Program, Project, and Activity
PPE Personal Protective Equipment
PPP Public-Private Partnership
PPSA Personal Property Security Act
ppt Percentage Point
PQF Philippine Qualifications Framework

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PRC Professional Regulation Commission
PRISM Philippine Rice Information System
PSA Philippine Statistics Authority
PSA Public Service Act
PSALM Power Sector Assets and Liabilities Management
PSC Plan Steering Committee
PSC Philippine Sports Commission
PSDP Philippine Startup Development Program
PSN PhilSys Number
PUV Public Utility Vehicle
PV PhotoVoltaic
PWSSMP Philippine Water Supply and Sanitation Master Plan
QR Quantitative Restriction
QTP Qualified Third Party
R&D Research and Development
RA Republic Act
RBE Registered Business Entities
RBPMS Results-Based Performance Management System
RCEF Rice Competitiveness Enhancement Fund
RCM Rice Crop Manager
RCOA Retail Competition and Open Access
RCS Report Card Survey
RCSP Retooled Community Support Program
RD&E Research, Development, and Extension
RD&I Research, Development, and Innovation
RDI Research and Development Institutions
RDLead R&D Leadership
RE Renewable Energy
REAP Resettlement Emergency Assistance Program
RFINL Regular Foreign Investment Negative List
RHU Rural Health Unit
RIA Regulatory Impact Assessment
RIIC Regional Inclusive Innovation Center
RIPPLES Plus Regional Interactive Platform for the Philippine Exports Plus
RITM Research Institute for Tropical Medicine

Acronyms 397
RLTA Rapid Land Tenure Appraisal
RM Results Matrix
RM Results Matrice
ROF Returning OFs
RORO Roll-On-Roll-Off
ROTC Reserved Officers' Training Corps
ROW Right-of-Way
RPMP-RPA-ABB Rebolusyonaryong Partido ng Manggagawa-Pilipinas-Revolutionary
Proletarian Army-Alex Boncayao Brigade
RPRH Responsible Parenthood and Reproductive Health
RSBSA Registry System for the Basic Sectors in Agriculture
RSE Researcher, Scientist, and Engineer
RTLA Retail Trade Liberalization Act
RTGS Real-Time Gross Settlement
RTL Rice Tariffication Law (RA11203)
RT-PCR Reverse Transcription Polymerase Chain Reaction
RTWPB Regional Tripartite Wages and Productivity Board
S&T Science and Technology
S4CP Science for Change Program
SAP Social Amelioration Program
SBCorp Small Business Corporation
SBFP School-Based Feeding Program
SBSR Shipbuilding and Ship Repair
SC Supreme Court
SCAn Supply Chain Analytics Dashboard
SCF Supply Chain Financing
SCP Sustainable Consumption and Production
SCS South China Sea
SCSP Sub-Committee on Social Protection
SCTEX Subic–Clark–Tarlac Expressway
SDC Social Development Committee
SDG Sustainable Development Goal
SEC Securities and Exchange Commission
SETUP Small Enterprise Technology Upgrading Program
SFF Small Farmer and Fisherfolk

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SFP Supplementary Feeding Program
SGLG Seal of Good Local Governance
SIA Survey on Innovation Activities
SIP Sustainability Incentive Program
SIPP Strategic Investment Priority Plan
SIRI Smart Industry Readiness Index
SLF Sanitary Landfill
SLM Sustainable Land Management
SLT School of Living Tradition
SME Small and Medium Enterprise
SP Social Protection
SPS Sanitary and Phytosanitary Measures
SSS Social Security System
STEAM Science, Technology, Engineering, Arts, and Mathematics
STEM Science, Technology, Engineering, and Mathematics
STI Science, Technology, and Innovation
STP Selected Training Program
STW School-To-Work
sTWG Sub-Technical Working Group
SUC State University and College
SURE Survival and Recovery Assistance
SWM Solid Waste Management
TB Tuberculosis
TBI Technology Business Incubators
TBT Technical Barriers to Trade
TDP Transmission Development Plan
TESDA Technical Education and Skills Development Authority
TFBL Task Force Balik-Loob
TPG Tabara-Paduano Group
TRAIN Tax Reform for Acceleration and Inclusion
TRP Tripartite Review Process
TSD Treatment, Storage, and Disposal
TSS Total Suspended Solids
TTA Technology Transfer Agreement
TV Television

Acronyms 399
TVET Technical and Vocational Education and Training
TVI Technical and Vocational Institution
TWG-AFP Technical Working Group on Anticipatory and Forward Planning
UACS Unified Accounts Code Structure
UAQTE Universal Access to Quality Tertiary Education
UAV Unmanned Aerial Vehicle
UDHA Urban Development and Housing Act
UHC Universal Health Care
UHC Urban Health Center
UI Unemployment Insurance
UN United Nations
UNCLOS United Nations Convention on the Law of the Sea
UNDESA United Nations Department of Economic and Social Affairs
UNESCO United Nations Educational, Scientific, and Cultural Organisation
UniFAST Unified Financial Assistance System for Tertiary Education
UNSCR United Nations Security Council Resolution
UNWTO United Nations World Tourism Organization
UP-NIH University of the Philippines - National Institutes of Health
VAT Value Added Tax
VAWC Violence Against Women and their Children
WB World Bank
WB-IFC World Bank - International Finance Corporation
WD Water District
WEF World Economic Forum
WESM Wholesale Electricity Spot Market
WGI Worldwide Governance Indicator
WHO World Health Organization
WIPO World Intellectual Property Organization
WJP-ROL World Justice Project - Rule of Law
WPS West Philippine Sea
WQMA Water Quality Management Area
WRC Water Regulatory Commission
WSS Water Supply and Sanitation
WTE Waste-To-Energy
WTO World Trade Organization

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Glossary

21st century skills Generally used to refer to certain competencies such as collaboration, digital
literacy, problem-solving, civic literacy, global awareness, and cross-cultural skills;
gender sensitivity, critical and inventive thinking, communication, collaboration,
and information skills, risk-taking, entrepreneurial skills, passion for learning
and discovery, and resiliency.

5G Networks Fifth generation of wireless networks that entails higher wireless network speeds,
lower latency, and higher density of devices connected per square kilometer (sq.
km.).

Absorptive capacity A measure of an agency's ability to maximize the use of financial resources made
available to it.

Abuse of Abuse of dominance occurs when a dominant firm in a market or group of


dominance firms engages in conduct that is intended to eliminate or discipline a competitor
or to deter future entry by new competitors, leading to substantially lessened
competition. (Competition Bureau of Canada, 2018) Abuses of dominance
prohibited by the Philippine Competition Act (PCA), include predatory pricing,
exploitative behavior towards consumers, customers, and/or competitors,
discriminatory behavior, and limiting production, markets or technical
development to the detriment of consumers.

Access and benefit Refers to the way in which genetic resources may be accessed, and how the benefits
sharing that result from their use are shared between the people or countries using the
resources (users) and the people or countries that provide them (providers).
(United Nation [UN] Convention on Biological Diversity)

Access points In the Core Set of Financial Inclusion Indicators developed by the Alliance for
Financial Inclusion (AFI), access points are defined as regulated entities where
both cash-in and cash-out transactions can be performed. Other access points
include non-stock savings and loan associations (NSSLA), cooperatives offering
financial services, microfinance non-government organizations (NGOs),
pawnshops, money service business (MSB), lending companies, other non-
banking financial institutions (NBFIs), e-money agents, and cash agents. (Bangko
Sentral ng Pilipinas [BSP], 2020)

Glossary 389
Accreditation A third-party attestation related to a conformity assessment body conveying
a formal demonstration of its competence to carry out specific conformity
assessment tasks. It provides a uniform and technical policy and the conditions
for mutual recognition at the international level. It is integral in promoting
reliability and confidence in conformity assessment and metrology results
towards improving the quality, competitiveness, and international acceptance of
Philippine goods and services.

Active members In general, overseas Filipino workers (OFW) who have paid the required
membership fee within a required time to qualify for full eligibility of benefits
of Overseas Workers Welfare Administration (OWWA)/ Home Development
Mutual Fund (Pag-IBIG)/ Social Security System (SSS)/ Philippine Health
Insurance Corporation (PhilHealth). (National Economic and Development
Authority [NEDA], 2019)

Active transport Refers to physical activity undertaken as a means of transport. (Department of


Health [DOH], Department of Transportation [DOTr], Department of Interior
and Local Government [DILG], Department of Public Works and Highways
[DPWH] Joint Administrative Order No. 2020-001 Guidelines on the Proper Use
and Promotion of Active Transport During and After the COVID-19 Pandemic)

Adaptation Adjustment in natural or human systems in response to actual or expected


climatic stimuli or their effects, which moderates harm or exploits beneficial
opportunities. (Intergovernmental Panel on Climate Change [IPCC], 2001)

Additive Also known as three-dimensional (3D) printing; entails different techniques


manufacturing that build new objects by adding materials in layers of precise geometric shapes
through a computer-aided design software or 3D object scanners.

Adolescent birth Also known as “age-specific fertility rate for women aged 15-19” or the number
rate of births to women of a given age group (15-19) per 1,000 women in that age
group. (Philippine Statistics Authority [PSA], 2003)

Adult learning Education specifically targeted at individuals who are regarded as adults by their
society to improve their technical or professional qualifications, further develop
their abilities, enrich their knowledge with the purpose to complete a level of
formal education, or to acquire, refresh, or update their knowledge, skills and
competencies in a particular field. This also includes what may be referred to
as ‘continuing education’, ‘recurrent education,’ or ‘second chance education.’
(UNESCO Institute for Statistics [UIS] 2011 as cited in PSA, 2017)

390 | Updated Philippine Development Plan 2017-2022


Advanced Australia, Austria, Belgium, Canada, Cyprus, Czech Republic, Denmark, Estonia,
economies Finland, France, Germany, Greece, Hong Kong SAR, Iceland, Ireland, Israel, Italy,
Japan, Korea, Latvia, Lithuania, Luxembourg, Macao SAR, Malta, Netherlands,
New Zealand, Norway, Portugal, Puerto Rico, San Marino, Singapore, Slovak
Republic, Slovenia, Spain, Sweden, Switzerland, Taiwan Province of China,
United Kingdom, and United States.

Aeronautical Refers to the entire set of ground-installed luminaires and related structures
lighting system meant to be used as visual aids by aircraft pilots. (Serra, F. B. [2006]. Aeronautical
Ground Lighting. International Airport Review, 10[1].)

Aeroponics A way of planting in which plants are suspended on the air and grow in a humid
environment without soil. (Food and Agriculture Organization [FAO])

Agglomeration A cluster of a highly-integrated group of cities/municipalities benefitting from


localization and urbanization where producers of a wide range of commodities
or services are near or close to each other (World Bank [WB], 2009; Yu & Fang,
2017)

Agrarian reform The redistribution of lands, regardless of crops or fruits produced, to farmers and
regular farm workers who are landless, irrespective of tenurial arrangement, to
include the totality of factors and support services designed to lift the economic
status of the beneficiaries and all other arrangements alternative to the physical
redistribution of lands, such as production or profit-sharing, labor administration,
and the distribution of shares of stock, which will allow beneficiaries to receive a
just share of the fruits of the lands they work. (Comprehensive Agrarian Reform
Law [Republic Act (RA) 6657], 1988)

Agrarian reform Farmers who were granted lands under Presidential Decree (PD) No. 27, the
beneficiaries Comprehensive Agrarian Reform Law, and the “Comprehensive Agrarian Reform
Extension with Reforms” (RA 9700) and regular farm workers who are landless,
irrespective of tenurial arrangement, who benefited from the redistribution of
lands, regardless of crops or fruits produced, to include the totality of factors
and support services designed to lift the economic status of the beneficiaries and
all other alternative arrangements to the physical distribution of lands, such as
production or profit-sharing, labor administration, and the distribution of shares
of stock which will allow beneficiaries to receive a just share of the fruits of the
lands they work. (Agri-Agra Reform Credit Act [RA 1000], 2009)

Agrarian reform A community composed and managed by agrarian reform beneficiaries (ARBs)
community who are willing to be organized and to undertake the integrated development
of an area and/or their organizations or cooperatives. (Comprehensive Agrarian
Reform Program Extension with Reforms [RA 9700], 2009)

Glossary 391
Agri Agra Law It repealed Presidential Decree 717, retains the mandatory credit allocation in
that 25 percent of the banks’ total loanable funds shall be set aside for agriculture
and fisheries, of which at least 10 percent shall be made available for agrarian
reform beneficiaries. (RA 10000, 2009)

Agribusiness The sum of all operations involved in the manufacture and distribution of farm
supplies; production activities on the farm; and the storage, processing and
distribution of farm commodities and items made from them. (Department of
Agrarian Reform [DAR] Administrative Order [AO] 5, s. 2009)

Agricultural The development, adoption, assembly, manufacture and application of appropriate,


and fisheries location specific and cost-effective agricultural and fisheries machinery using
mechanization human, animal, mechanical, electrical, renewable, and other nonconventional
sources of energy for agricultural production and postharvest/postproduction
operations consistent with agronomic conditions and for efficient and economic
farm and fishery management towards modernization of agriculture and fisheries.
(Agricultural and Fisheries Mechanization Law [RA 10601], 2013)

Agricultural lands Lands devoted to or suitable for the cultivation of the soil, planting of crops,
growing of trees, raising of livestock, poultry, fish or aquaculture production,
including the harvesting of such farm products, and other farm activities and
practices performed in conjunction with such farming operations by persons
whether natural or juridical and not classified by the law as mineral land, forest
land, residential land, commercial land, or industrial land. (Agriculture and
Fisheries Modernization Act [RA 8435], 1997)

Agricultural value Refers to the use of a value chain and the way in which it supports participants
chain finance by tailoring services and products to one or more points in a value chain in order
to reduce the risk and cost of financing, and increase the efficiency of the value
chain as a whole. Value chain financing (VCF) can help meet the growing need
for agricultural finance and investment in response to consumer demand for
more processed or value-added products.

AgriDoc app An Android smartphone and tablet farm management tool developed by PhilRice,
which is intended for rice farmers, researchers, and extension workers. It has
features that can allow users to keep records on expenses and farm activities,
view farm area through Google Maps, and plan tasks and get reminders of users’
activities in the calendar view. (Philippine Rice Research Institute [PRRI])

Agripreneurship/ A profitable marriage of agriculture and entrepreneurship. The term


Agripreneurs Agripreneurship is synonymous with entrepreneurship in agriculture and refers
to agribusiness establishments in agriculture and allied sectors. An agripreneur is
someone who undertakes a variety of activities in the agriculture sector in order
to be an entrepreneur.

392 | Updated Philippine Development Plan 2017-2022


Agroforestry A strategy for sustainable management of land which increases their overall
productivity by properly combining agricultural crops and/or livestock with
forest crops simultaneously or sequentially over time through the application of
management practices which are compatible with the local climate, topography,
slope, soil, as well as the cultural patterns or customary laws of the local
communities. (Philippine Official Reference for Forest-Related Terms and
Definitions and the Proposed Sustainable Forest Management Act)

Agro-industrial An area planned and designed to have support facilities and services required for
area processing and agro-based manufacturing activities, utilizing local agricultural and
marine products as basic raw materials (e.g., post-harvest treatment, packaging,
printing, cold storage, blast freezing, by-product and waste management, and
other facilities and services). Similar agricultural products may be brought into
the zone to be stored, sold, exhibited, broken up, repacked, distributed, sorted,
graded, cleaned, mixed with foreign or domestic merchandise, or otherwise
manipulated or manufactured and exported.

Aids to navigation Any sort of marker placed along coasts and navigable waters as guides to
mark safe water and to assist mariners in determining their position in
relation to land and hidden dangers. Common types of such aids include
lighthouses, buoys, fog signals, and day beacons. (Faculty of Maritime Studies,
University of Reijika)

Air Passengers Bill This refers to the Department of Transportation and Communications (DOTC)
of Rights - Department of Trade and Industry (DTI) Joint Administrative Order (JAO)
1, s. 2012, which aims to infuse a certain measure of balance, fairness and
reasonableness between the precarious position of a passenger vis-à-vis the vast
resources at the disposal of the air carrier, especially in a liberalized and highly
competitive aviation environment, which if unfettered, can lead to unsound
business policies and practices of air carriers that are prejudicial to the rights and
interests of the passengers.

Air traffic control The process or system by which the movements of aircraft are monitored and
directed by ground personnel communicating with pilots by radio.

Airsheds Areas with similar climate, meteorology and topology which affect the
interchange and diffusion of pollutants in the atmosphere, or areas which share
common interest or face similar development programs, prospects, or problems.
(RA 8749, 1999)

Airspace Process by which airspace options are selected and applied to meet the needs of
management the airspace users with the objective of achieving the most efficient use of the
airspace based on actual needs and, when possible, avoiding permanent airspace
segregation.

Glossary 393
Alternate wetting A water-saving technology that farmers can apply to reduce their irrigation
and drying water consumption in rice fields without decreasing its yield. The field gets
alternately flooded and non-flooded by applying irrigation water a few days
after the disappearance of the ponded water. The number of days of non-flooded
soil between irrigations can vary from one to more than 10 days depending on
soil type, weather, and crop growth stage. (International Rice Research Institute
[IRRI])

Alternative dispute Any process or procedure used to resolve a dispute or controversy, other than by
resolution adjudication of a presiding judge of a court or an officer of a government agency,
in which a neutral third party participates to assist in the resolution of issues,
which includes arbitration, mediation, conciliation, early neutral evaluation,
mini-trial, or any combination thereof.

AmBisyon Natin The collective long-term vision and aspirations of the Filipino people for a
2040 matatag, maginhawa, at panatag na buhay para sa lahat (strongly-rooted,
comfortable, and secure life for all).

Amendment of The Amendment of the Cooperative Development Authority (CDA) Charter


the Cooperative (RA 11364) provided the CDA greater capacity to fulfill its developmental
Development functions, which allows them to build capacity of members of cooperatives, and
Authority Charter coordinate with local government units (LGUs) and implementing agencies in
the formulation, adoption, and implementation of cooperative development
plans, programs, and policies.

Ancestral domains All areas generally belonging to indigenous cultural communities/indigenous


peoples (ICCs/IPs) comprising lands, inland waters, coastal areas, and natural
resources therein, held under a claim of ownership, occupied or possessed by
ICCs/IPs, themselves or through their ancestors, communally or individually,
continuously to the present except when interrupted by war, force majeure
or displacements by force, deceit, stealth, or as a consequence of government
projects or any other voluntary dealings entered into by government and private
individuals, corporations, and which are necessary to ensure their economic,
social, and cultural welfare. (Philippine Development Plan [PDP] 2011-2016; RA
8371, 1997)

394 | Updated Philippine Development Plan 2017-2022


Ancestral lands Land occupied, possessed and utilized by individuals, families and clans who
are members of the ICCs/IPs since time immemorial, by themselves or through
their predecessors-in-interest, under claims of individual or traditional group
ownership, continuously, to the present except when interrupted by war,
force majeure or displacement by force, deceit, stealth, or as a consequence of
government projects and other voluntary dealings entered into by the government
and private individuals/corporations, including, but not limited to, residential
lots, rice terraces or paddies, private forests, swidden farms, and tree lots. (RA
8371, 1997)

Angel investors Individuals who offer promising startup companies funding in exchange for a
piece of the business, usually in the form of equity or royalties.

Anti-competitive Agreements that substantially prevent, restrict, or lessen competition. These


agreements include horizontal agreements that are prohibited per se by the PCA and have the
object or effect of substantially preventing, restricting, or lessening competition.

Anti-competitive Refers to those that create companies with dominant market power that could
merger and substantially lessen competition or significantly impede effective competition in
acquisition the relevant market.

Anti-microbial When bacteria, viruses, fungi, and parasites evolve over time and do not react
resistance to medicines. This renders medicines ineffective, and lead to more persistent
infections and higher risk of contagion.

Apprenticeship An enterprise-based training undertaken within employment, involving a


contract between a trainee and an enterprise on an approved enterprise-based
training occupation. (Technical Education and Skills Development Authority
[TESDA] Law [RA 7796])

Aquaculture Fishery operations involving all forms of raising and culturing fish and other
fishery species in fresh, brackish, and marine water areas. (PSA)

Aquaponics Cultivation of plants and aquatic animals in a recirculating environment. (FAO)

Aquifer recharge Process to replenish water in aquifers which are layers of water-bearing rock
located underground that transmit water in sufficient quantity to supply pumping
wells or natural springs. (US Environmental Protection Agency; RA 9275, 2004)

Artificial Commonly called artificial intelligence (AI) or machine intelligence, it is the


intelligence programmed reasoning and thinking skills applied to machines to mimic human
or animal intelligence.

Glossary 395
ASEAN Single A regional trade facilitation initiative that connects and integrates National
Window Single Window (NSW) systems of all ASEAN member states to expedite cargo
clearance and promote ASEAN economic integration by enabling the electronic
exchange of border trade-related documents among ASEAN member states.

ASEAN-5 Indonesia, Malaysia, the Philippines, Thailand, and Vietnam.

Asylum seeker An individual who is seeking international protection. In countries with


individualized procedures, an asylum seeker is someone whose claim has not
yet been finally decided on by the country in which he or she has submitted it.
Not every asylum seeker will ultimately be recognized as a refugee, but every
recognized refugee is initially an asylum seeker. (International Organization for
Migration [IOM])

Backward linkages Indicates an interdependency (interconnectedness) of a particular industry with


the “upstream” sectors from which it purchases its intermediate inputs directly
and/or indirectly.

Backyard poultry/ Any farm or household raising at least one head of animal or bird and does not
livestock raiser qualify as commercial farm. (PSA)

Balay Silangan A harm reduction program initiated by the Philippine Drug Enforcement
Agency (PDEA). This is reformative and rehabilitative in nature intended
for non-drug users who voluntary surrendered or availed of plea bargaining
program. It provides general interventions, like continuing education and health
awareness, and psychological/spiritual/physical activities, such as counseling,
moral recovery, values formation, personal and life skills. Reformers are also
taught livelihood and skills training programs.

Balik Scientist A program that encourages highly-trained overseas Filipino (OFs) scientists
Program and technologists, experts, and professionals to return to the Philippines and
share their expertise for the acceleration of the scientific, agro-industrial, and
economic development of the country.

Barangay micro Refers to any business entity or enterprise engaged in the production, processing,
business enterprise or manufacturing of products or commodities, including agro-processing,
trading and services, whose total assets including those arising from loans but
exclusive of the land on which the particular business entity’s office, plant, and
equipment are situated, shall not be more than PHP3 million.

Basic deposit Refers to an interest or non-interest bearing account designed to promote


account financial inclusion. The key features of a basic deposit account are listed in BSP
Circular 992 dated February 01, 2018.

396 | Updated Philippine Development Plan 2017-2022


Basic education The education intended to meet learning needs in order to set the foundation for
subsequent learning. It covers six years of primary education, four years of Junior
High School, and two years of Senior High School. It also includes alternative
learning system for out-of-school youth and adult learners and includes education
for those with special needs. (RA 10533, 2013)

Basic Education An annual budget of the Department of Education (DepEd) for its school building
Facilities Fund program, which covers the improvement and maintenance of school facilities. It
is utilized for the provision of classroom and workshop buildings, replacement
of old dilapidated buildings, provision of furniture, repair and rehabilitation
of classrooms, including heritage buildings, as well as water and sanitation
facilities, and electrification. (DepEd Order 35, s. 2017, Revised Guidelines on
the Implementation of the Basic Education Facilities Fund)

Basic sanitation Refers to flush toilet (either owned or shared) and closed pit facilities.

Bayanihan The Filipino spirit of civic unity and cooperation.

Big data analytics Refers to digital data sets that are so large (either in terms of scale, i.e., “volume”,
or streams across time, i.e., “velocity”) or complex (in terms of variety). This data
deluge is a by-product or “exhaust” from making use of electronic devices (smart
phones, tablets, laptops, biomedical equipment), social media, search engines, as
well as sensors and tracking devices (including climate sensors and GPS). Making
use of “Big Data” involves descriptive analytics (e.g., getting customer profiles
and behavior from social media and customer transaction databases), predictive
analytics (i.e., forecasting future events) and even prescriptive analytics (using
simulation and optimization methods) that extract value from digital data.

BIMP-EAGA Designated corridors as part of the ASEAN Framework Agreement


Transit Transport on Facilitation of Goods in Transit, signed at Bangkok in Thailand on
Route February 8, 2007. Specific routes will be determined and agreed upon by
the Parties to facilitate transit of goods and means of transport across the
territory of one or more participating parties, when the passage across such
territory or territories, with or without transshipment, warehousing, breaking
bulk, or change in the mode of transport, is only a portion of a complete journey
beginning and terminating beyond the frontier of one or more participating
parties across whose territory the traffic passes.

Biochemical oxygen A measure of approximate quantity of dissolved oxygen that will be required by
demand bacteria to stabilize organic matter in wastewater or surface water. (Department
of Environment and Natural Resources [DENR] AO 35, s. 1990)

Glossary 397
Biodiversity The variability among living organisms from all sources including, inter alia,
terrestrial, marine, and other aquatic ecosystems and the ecological complexes of
which they are part. This includes diversity within species, between species and
of ecosystems. (UN Convention on Biological Diversity [CBD])

Biodiversity- Economic activities and practices of micro, small, and medium enterprises
friendly enterprises (MSME), that promote the sustainable use of biological resources, create wealth
and value, and open opportunities for the equitable sharing of benefits among
stakeholders. (DENR - Biodiversity Management Bureau [BMB] Technical
Bulletin 2017-01)

Biofuel Bioethanol and biodiesel and other fuels made from biomass and primarily
used for motive, thermal, and power generation, with quality specifications in
accordance with the Philippine National Standards.

Bioprospecting The research, collection, and utilization of biological and genetic resources for
purposes of applying the knowledge derived therefrom solely for commercial
purposes. (RA 9147, 2001)

Biotechnology Any technological application that uses biological systems, living organisms, or
derivatives thereof, to make or modify. (UNCBD)

Blended finance The strategic use of development finance for the mobilisation of additional finance
towards sustainable development in developing countries. It attracts commercial
capital towards development-oriented projects, while providing financial returns
to investors.

Blended learning Refers to a learning delivery that combines face-to-face with any or a mix of online
distance learning, modular distance learning, and TV/radio-based instruction.
Blended learning will enable the schools to limit face-to-face learning, ensure
social distancing, and decrease the volume of people outside the home at any
given time. (DepEd, 2020)

Blockchain Network of existing technologies that use distributed ledger technology to store
technology information verified by cryptography among a group of users. The system ensures
secure trust and direct transfer of value and data between parties.

Breakwater A structure constructed for the purpose of forming an artificial harbour with a
basin so protected from the effect of waves as to provide safe berthing for fishing
vessels. There are many different types of breakwaters; natural rock and concrete,
or a combination of the two, are the materials which form 95 percent or more of
all the breakwaters constructed.

Brexit United Kingdom’s (UK) formal exit from the European Union on January 31,
2020.

398 | Updated Philippine Development Plan 2017-2022


Broadband The International Telecommunication Union (ITU) defines broadband as an
always-on and high-speed access service that provides connection to the internet
and other information services. The broadband is often defined in terms of a
threshold minimum capacity however, the broadband service requirements
change with the fast pace of technological advancements, hence, should cope
with the needs of the end-users. The National Telecommunications Commission
(NTC), through its Memorandum Circular (MC) 07-08-2015 defined entry-level
broadband as a data connection with speed of at least 256 kilobits per second
(kbps).

Budget and A common, modern, integrated, accurate, reliable, and secure information
Treasury system for the public financial management operations of the Government of the
Management Philippines (GOP). (Budget and Treasury Management System [BTMS])
System

Bus rapid transit A high-quality bus-based transit system that delivers fast, comfortable, and cost-
effective services at metro-level capacities. It does this through the provision of
dedicated lanes, with busways and iconic stations typically aligned to the center
of the road, off-board fare collection, and fast and frequent operations.

Business continuity A document that outlines how a business will continue operating during an
plan unplanned disruption in service.

Business Innovation This aims to provide financial assistance to Filipino private companies for the
through Science acquisition of strategic and relevant technologies so they can undertake their
and Technology for research and development (R&D). The financial assistance, which may only be
Industry used to purchase high-tech equipment or to secure technology licensing and/
or patent rights, will be refunded to the Department of Science and Technology
(DOST) at zero percent interest. (Science for Change Program)

Capital Introduced to ensure that banks have an additional layer of usable capital that
conservation can be drawn down when losses are incurred. The buffer was implemented in full
buffer as of 2019 and is set at 2.5 percent of total risk-weighted assets. It must be met
with Common Equity Tier 1 (CET1) capital only, and it is established above the
regulatory minimum capital requirement. (Bank for International Settlements,
2019)

Capital outlay Appropriations for the purchase of goods and services, the benefits of which
extend beyond the fiscal year and which add to the assets of government-owned
and controlled corporations (GOCCs), including investments in the capital stock
of GOCCs and their subsidiaries.

Glossary 399
Carbon Offsetting A global Market Based Measure (MBM) scheme to address any annual increase
and Reduction in total carbon dioxide (CO2) emissions from international civil aviation (i.e.
Scheme for civil aviation flights that depart in one country and arrive in a different country)
International above the 2020 levels, taking into account special circumstances and respective
Aviation capabilities. (International Civil Aviation Organization [ICAO])

Cartel An organization formed by competitors in a specific industry to enable them to


set prices and control levels of production.

Cash-based Annual appropriations that limit incurring obligations and disbursing payments
budgeting system for goods delivered and services rendered, inspected, and accepted within the
current fiscal year. (Department of Budget and Mangement [DBM], 2020)

Cash-lite economy A transition from a cash-heavy economy where there is less cash and less coins
and a widespread adoption of electronic payments.

Caves Any naturally-occurring void, cavity, recess, or system of interconnected passages


beneath the surface of the earth or within a cliff or ledge and which is large enough
to permit an individual to enter, whether or not the entrance is located either in
private and public land, is naturally formed or man-made. (RA 9072, 2001)

Certificate of Land A document evidencing ownership of the land granted or awarded to the
Ownership Award beneficiary by the Department of Agrarian Reform (DAR), and contains the
restriction and conditions provided for in RA 6657 and other applicable laws.
(DAR AO 3, s. 1990)

Certificate of origin A trade document that indicates origin of a good or commodity often used to
support claims for preferential tariff.

Certification rate The percentage of examinees who passed the national competency assessment
for or within a given period.

Citizen A priority program of the Commission on Audit (COA) founded on the premise
Participatory Audit that public accountability can prosper only with a vigilant and involved citizenry
(COA, 2014). This is ensured through conducting audits with citizens as members
of the COA audit teams.

Citizen Satisfaction A set of data tools designed to collect and generate relevant citizens’ feedback
Index System on local governments’ service delivery performance and on the citizens’ general
satisfaction. The Citizen Satisfaction Index System (CSIS) conceptualizes the
citizen as the center of local government performance. (CSIS)

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Climate change A change in the state of the climate that can be identified by changes in the mean
and/or the variability of its properties and that persists for an extended period,
typically decades or longer, whether due to natural variability or as a result of
human activity. (RA 9729, 2009)

Climate change The adjustment in natural or human systems in response to actual or expected
adaptation climatic stimuli or their effects, which moderates harm or exploits beneficial
opportunities (RA 9729, 2009).

Closed season The period during which the taking of specified fishery species by a specified
fishing gear is prohibited in a specified area or areas in Philippine waters.
(Fisheries Code [RA 8550], 1998)

Cloud computing Refers to both the applications delivered as services over the internet and the
hardware and systems software in the datacenters that provide those services.
The services themselves have long been referred to as “software as a service”
(SaaS). The datacenter hardware and software is what is called a cloud.

Collaborative Aims to enable technological advancement and innovation of local companies


R&D to Leverage and to support the growth of the Philippine Innovation ecosystem. Through
the Philippine the program, the academe and/or research and development institutions (RDI)
Economy in partnership with a Filipino company, undertakes research and development
to improve the company’s products, processes, and services to become more
competitive in their respective industries. Beneficiary-companies under this
program must provide at least 20 percent counterpart funding and commit to
adopt the technology that will be developed. This way, research outputs from the
academe are directly translated commercially to the market. (Science for Change
Program)

Collective An arrangement whereby funds are solicited from the investing public for the
investment schemes purpose of investing, reinvesting, and trading in securities or other assets
allowed under the Implementing Rules and Regulations (IRR) of the Investment
Company Act. (Securities and Exchange Commission [SEC], 2018)

Co-loading Co-loading refers to agreements between two or more international or domestic


(modified cabotage) sea carriers whereby a sea carrier bound for a specified destination agrees to load,
transport, and unload the container van or cargo of another carrier bound for the
same destination. (RA 10668, 2015)

Commercial fishing The catching of fish with the use of fishing boats with a capacity of more than
three gross tons for trade, business or profit beyond subsistence or sports fishing.
(PSA)

Glossary 401
Commercial Any livestock operator or farm which operation satisfies at least one of the
livestock farm/ following conditions: (a) at least 21 head of adults and zero young, (b) at least 41
operator head of young animals, and (c) at least 10 head of adults and 22 head of young
animals. (PSA)

Commercial Any poultry operator or farm which operation satisfies at least one of the following
poultry farm/ conditions: (a) 500 layers or 1,000 broilers, (b) 1000 layers and 100 broilers if
operator raised in combination, and (c) 100 head of duck regardless of age. (PSA)

Commercialization The process of deriving income or profit from a technology, such as the creation
of a spin-off company, or through licensing, or the sale of the technology and/or
intellectual property rights.

Communal Type of irrigation systems covering an area of 1,000 hectares or less, which are
Irrigation System constructed by National Irrigation Administration (NIA) with the participation of
Irrigators’ Associations (IAs). The operation and maintenance of the Communal
Irrigation System (CIS) is turned over to the IAs upon project completion. (NIA)

Community and A philosophy of policing in which police officers work closely with the
Service-Oriented community and the local government by developing a sense of the character
Policing System of the neighborhood through regular and informal contacts with residents
and institutions in the area. (National Police Commission [NAPOLCOM]
Implementing Guidelines for City/Municipality Community and Service-
Oriented Policing System)

Community-based Partnership between the government and the local community, represented by
Forest Management people's organization, as forest managers, which has a term of 25 years, renewable
Agreement for another 25 years. (DENR AO 2004-29)

Community-Based Refers to an organized technology-based system of collecting, processing, and


Monitoring System validating necessary disaggregated data that may be used for planning, program
implementation, and impact monitoring at the local level while empowering
communities to participate in the process. It involves the generation of data at
the local level which serves as basis in targeting households in the planning,
budgeting, and implementation of government programs geared towards poverty
alleviation and economic development. (RA 11315, Section 3)

Competency Written specifications of the knowledge, skills, attitudes, and values required for
standards the performance of a job, occupation, or trade and the corresponding standard
of performance required for these in the workplace. (National Statistical
Coordination Board [NSCB], 2006)

402 | Updated Philippine Development Plan 2017-2022


Competition Competitive market means a market with multiple buyers and multiple sellers,
driving market prices lower and offering consumers more choices. A truly
competitive market encourages efficiency and innovation, and forces businesses
to excel. (Philippine Competition Commission [PCC])

Competition The manual developed by the PCC containing the process of evaluating
Assessment Manual government regulations, rules, bills, and other proposed government measures
and laws, to identify those that may unnecessarily impede competition, and
redesign identified regulations so that competition is not unduly inhibited.

Competitive Competitive neutrality is the principle that recognizes that the GOCCs shall
neutrality not enjoy net competitive advantages or be subjected to advantages over private
sector businesses simply by virtue of public sector ownership, unless it can be
clearly demonstrated that the greater public interest will be served and there is
lack of commercial viability.

Completion rate The percentage of first grade/year entrants in a level of education who complete/
finish the level in accordance with the required number of years of study. (NSCB,
2006)

Comprehensive and Otherwise known as Environmental Impact Assessment. It refers to the process
Integrated Strategic of evaluating the likely impact of a project (including cumulative impacts) on the
Environmental environment during construction, commissioning, operation, and abandonment.
Assessment It also includes designing appropriate preventive, mitigating and enhancement
measures addressing these consequences to the environment.

Comprehensive The program is being implemented by the DTI, in order to attract new
Automotive investments, stimulate demand, and effectively implement industry regulations
Resurgence Strategy that will revitalize the Philippine automotive industry, and develop the country
Program as a regional automotive manufacturing hub. The Comprehensive Automotive
Resurgence Strategy (CARS) program is intended to augment and enhance
the policy directions of existing motor vehicle development programs towards
ensuring a resurgent automotive industry that supports innovation, technology
transfer, environmental protection, and small and medium-sized enterprises
(SME) development; enable the country’s automotive industry to seize market
opportunities opened by the ASEAN Economic Community and deepen its
participation in the regional supply chain; and boost the manufacturing capability
of the overall industrial sector, spur growth of SMEs, and create more jobs in the
country.

Comprehensive A multi-sectoral development plan which serves as an action plan of every local
Development Plan government unit. It consolidates programs and projects necessary to carry out
the objectives of different development sectors. (RA 7160, 1991)

Glossary 403
Comprehensive A document formulated by the local government in consultation with its
Land Use Plan stakeholders, that defines or provides guidelines on the allocation, utilization,
development, and management of all lands, within a given territory or jurisdiction,
including municipal waters, according to the inherent qualities of the land itself
and supportive economic, demographic, socio-cultural, and environmental
objectives. (RA 11201, 2019)

Comprehensive Curriculum-based process of teaching and learning about the cognitive,


Sexuality Education emotional, physical, and social aspects of sexuality. It aims to equip children and
young people with knowledge, skills, attitudes, and values that will empower
them to realize their health, well-being, and dignity; develop respectful social
and sexual relationships; consider how their choices affect their own well-being
and that of others; and understand and ensure the protection of their rights
throughout their lives. (United Nations Educational, Scientific and Cultural
Organization [UNESCO], 2018)

Conflict sensitivity The ability to understand the conflict context, understand how interventions
and peace interact with the conflict context, and act upon that understanding to minimize
promotion negative impacts and maximize positive impacts of interventions (DILG-Office of
the Presidential Adviser on the Peace Process [OPAPP] JMC No. 1-2020 Conflict
Sensitivity and Peace Promotion (CSPP) in the Comprehensive Development
Plan (CDP) of LGUs in Conflict-Affected and Conflict-Vulnerable Areas)

Conflict-affected Communities where there are actual armed encounters between the government
areas forces and political armed groups, where political armed groups dominate the
state of affairs of the community, or where other forms of violent conflicts exist.
(PDP 2017-2022)

Conflict-vulnerable Areas where the local and peripheral population is heavily impacted by the
areas infighting of armed groups. (PDP 2017-2022)

Conformity A set or process ensuring the products, services, or systems meet or have the
assessment capability to meet the applicable requirements.

Contactless toll Refers to electronic tags or other cashless systems, such as, but not limited to,
collection system RFID, Automated Fare Collection System (AFCS), etc. (DOTr Order 2020-012
Requiring Cashless or Contacless Transaction for All Vehicles Traveling on Toll
Expressways, 2020)

Contingent Obligations that may or may not come due, depending on whether particular
liabilities events occur. The probability of their occurrence may be exogenous to
government policies (e.g., if they are related to natural disasters) or endogenous
(e.g., if government programs create moral hazard). There are obligations that do
not arise unless particular discrete events occur in the future.

404 | Updated Philippine Development Plan 2017-2022


Continuous Trial The guidelines for early and expeditious disposition of a case. It aims to protect
System and advance the constitutional right of persons to a speedy disposition of their
criminal cases, reinforce and give teeth to existing rules on criminal procedures
for court action and those which promote speedy disposition of criminal case,
and introduce innovations and best practices for the benefit of the parties.

Control of A sub-indicator of the WB’s Worldwide Governance Indicators. This is an


corruption aggregate indicator for the quality of governance that measures the extent
to which public power is exercised for private gain, including both petty and
grand forms of corruption, as well as “capture” of the state by private interests.
(Kaufmann, Kraay, and Mastruzzi, 2010)

Convergence The complementation of agency initiatives within a defined area under a common
program intervention strategy to maximize impact.

Cooperative Refers to an autonomous and duly registered association of persons, with a


common bond of interest, who have voluntarily joined together to achieve
their social, economic, and cultural needs and aspirations by making equitable
contributions to the capital required, patronizing their products and services and
accepting a fair share of the risks and benefits of the undertaking, in accordance
with universally-accepted cooperative principles.

Co-payment Refers to a flat fee or predetermined rate paid at point of service, as may be
determined by the PhilHealth.

Coral cover A measure of the proportion/percentage of reef surface covered by live or hard
coral instead of sponges, algae, or other organisms. (National Oceanic and
Atmospheric Administration [NOAA], 2019)

Coral reef A natural aggregation of coral skeleton, with or without living coral polyps,
occurring in intertidal and subtidal marine waters. (RA 8550, 1998)

Corruption Measures the perceived level of public sector corruption in 180 countries and
Perceptions Index territories based on 13 expert and business surveys. Crafted by Transparency
International, the Index uses a score ranging from 0-100, where 0 means that a
country is perceived as highly corrupt and a 100 means that a country is perceived
as very clean. (Transparency International, 2019)

COVID-19 Disease caused by a new strain of coronavirus. ‘CO’ stands for corona, ‘VI’ for
virus, and ‘D’ for disease. Formerly, this disease was referred to as ‘2019 novel
coronavirus’ or ‘2019-nCoV.’ The COVID-19 virus is a new virus linked to the
same family of viruses as Severe Acute Respiratory Syndrome (SARS) and some
types of common cold.

Glossary 405
Creative economy Knowledge-based economic activities and the interplay between human
creativity and ideas, knowledge and technology, as well as cultural values or
artistic, cultural heritage and other individual or collective creative expressions.
(UN General Assembly Resolution 74/198, 2020)

Creative industries Industries which have their origin in individual creativity, skill, and talent,
which have a potential for job and wealth creation through the generation and
exploitation of intellectual property.

Credit guarantee This scheme provides third-party credit risk mitigation to lenders through the
absorption of a portion of the lender’s losses on the loans made to SMEs in case
of default, typically, in return for a fee. (WB)

Credit Surety Fund A fund generated from the contributions of well-capitalized and well-managed
cooperatives/NGOs, LGUs, government financial institutions (GFI), Industrial
Guarantee and Loan Fund (IGLF), and other institutions/government agencies
(GA) which shall serve as security for the loans that will be obtained by qualified
borrowers from lending banks by way of a surety cover issued by the Board of
Directors (BOD) of the Credit Surety Fund (CSF) Cooperative. Banks generally
require collaterals when extending loans, a requirement that some MSMEs often
find difficult to comply with.

Criminal Justice The system that provides justice sector agencies the flexibility to develop their
Information own information and communications technology (ICT) systems according to
Exchange their needs and contemporaneously provides the framework that will generate
the “commonalities” for easy interchange of crime-related data.

Critical information Computer systems, and/or networks, whether physical or virtual, and/or the
infrastructure computer programs, computer data, and/or traffic data vital to the country that
the incapacity or destruction of, or interference with such systems and assets
would have a debilitating impact on security, national or economic security,
national public health and safety, or any combination of those matters. (National
Cybersecurity Plan, 2022)

Critical watershed A drainage area of a river system supporting existing and proposed hydroelectric
power, irrigation works, or existing water facilities needing immediate protection
and rehabilitation to minimize erosion and improve water yield. (Presidential
Decree [PD] 1559, 1978).

Crop diversification Crop diversification is intended to give a wider choice in the production of a
variety of crops in a given area so as to expand production-related activities on
various crops and also to lessen risk. (FAO)

Cropping intensity The number of times a crop is planted per year in a given agricultural area. It is
the ratio of effective crop area harvested to the physical area.

406 | Updated Philippine Development Plan 2017-2022


Crude death rate The ratio of the number of deaths occurring within one year to mid-year
population expressed per 1,000 population. (PSA, 2006)

Cultural diversity The existence of a variety of cultural or ethnic groups within a society. (Oxford)

Cultural property All products of human creativity by which a people and a nation reveal their
identity, including churches, mosques, and other places of religious worship,
schools and natural history specimens and sites, whether public or privately-
owned, movable or immovable, and tangible or intangible. (RA 10066, 2009)

Cultural workers Persons who work in the cultural industries, defined as a sector whose
principal purpose, is the production or reproduction, promotion, distribution,
or commercialisation of goods, services and activities of a cultural, artistic or
heritage-related nature. (UNESCO, 2016)

Culture Set of distinctive spiritual, material, intellectual and emotional features of society
or a social group, that encompasses not only art and literature, but lifestyles, ways
of living together, value system, traditions, and beliefs. (UNESCO, 2001)

Culture-sensitive Refers to the quality of being compatible and appropriate to the culture, beliefs,
customs and traditions, indigenous systems, and practices of indigenous cultural
communities or indigenous peoples. (RA 8371 IRR, 1997)

Currency Rate Risk A non-deliverable USD/PHP forward (NDF) contract between the BSP and a
Protection Program universal/commercial bank (UB/KB) in response to the request of bank clients
desiring to hedge their eligible foreign currency obligations.

Current account A measure of the flows of goods, services, primary income, and secondary
income between residents and nonresidents.

Cybercrime A crime in which a computer is the object of the crime (hacking, phishing,
spamming) or is used as a tool to commit an offense (child pornography, hate
crimes). (National Cybersecurity Plan, 2022)

Cybersecurity The collection of tools, policies, security concepts, security safeguards, guidelines,
risk management approaches, actions, training, best practices, assurance, and
technologies that can be used to protect the cyber environment and organization
and user’s assets. (National Cybersecurity Plan, 2022)

Organization and user’s assets include connected computing devices, personnel,


infrastructure, applications, services, telecommunications systems, and the
totality of transmitted and/or stored information in the cyber environment.
Cybersecurity strives to ensure the attainment and maintenance of the security
properties of the organization and user’s assets against relevant security risks in
the cyber environment.

Glossary 407
Dangerous drugs Drugs listed in the schedules annexed to the 1961 Single Convention on Narcotic
Drugs, as amended by the 1972 Protocol, and in the schedules annexed to the
1971 Convention on Psychotropic Substances, as enumerated in the attached
annex, which is an integral part of the Comprehensive Dangerous Drugs Act of
2002 (RA 9165).

Decommissioning A process that includes activities aimed at achieving a smooth transition for the
former combatants to productive civilian life. (Framework Agreement on the
Bangsamoro, Annex on Normalization)

Demographic The demographic dividend is the accelerated development that can arise when
dividend a population has a relatively large proportion of working-age people coupled
with effective human capital investment. (United Nations Fund for Population
Activities [UNFPA])

Demographic The change from a situation of high fertility and high mortality to one of low
transition fertility and low mortality. A country that enters into a demographic transition
experiences sizable changes in the age distribution of the population. (Mapa,
2016)

Dependable The load-carrying ability of a power plant during a specific time interval and
capacity period. The dependable capacity of a generating facility or transmission system is
a fluctuating value that depends upon the available energy, the demand for that
energy, the capability of the system to deliver that energy at a given moment, and
the facilities available to handle increased capacity should the need arise.

Dependency ratio Ratio between the number of children (0-14 years old) and older persons (65
years or over) to the working-age population (15-64 years old).

Development LIVE A mobile application that allows citizens to provide feedback in terms of progress,
(DevLIVE) timeliness, and effectiveness of local infrastructure projects in real time. It was
developed by the DILG and the United Nations Development Programme
(UNDP). (DILG, 2019)

Digital bank A bank that offers financial products and services that are processed end-to-end
through a digital platform and/or electronic channels with no physical branches.
(BSP, 2020)

Digital connectivity This serves as a key component of economies and societies to connect people,
places, and ideas through digital networks, including wireless, wired, and satellite
technologies to enable remote working and learning, e-commerce, and critical
communications, among others. (Global Centre for Technology, Innovation and
Sustainable Development, UNDP)

408 | Updated Philippine Development Plan 2017-2022


Digital divide The gap between individuals, households, businesses, and geographic areas at
different socioeconomic levels with regard to both their opportunities to access
ICTs and to their use of the Internet for a wide variety of activities.

Digital economy The digital economy refers to a broad range of economic activities that use
digitized information and knowledge as key factors of production. The internet,
cloud computing, big data, financial technology (fintech), and other new digital
technologies are used to collect, store, analyze, and share information digitally
and transform social interactions. The digitization of the economy creates
benefits and efficiencies as digital technologies drive innovation and fuel job
opportunities and economic growth. The digital economy also permeates all
aspects of society, influencing the way people interact and bringing about broad
sociological changes (Asian Development Bank [ADB], 2018)

Digital skills A range of abilities to use digital devices, communication applications, and
networks to access and manage information. They enable people to create and
share digital content, communicate and collaborate, and solve problems for
effective and creative self-fulfillment in life, learning, work, and social activities
at large. (UNESCO)

Digitalization The conversion of text, pictures, or sound into a digital form that can be processed
by a computer. (Oxford)

Disaster A serious disruption of the functioning of a community or a society involving


widespread human, material, economic, or environmental losses and impacts
which exceed the ability of the affected community or society to cope using its
own resources. (RA 9729, 2009)

Disaster risk The potential disaster loss (i.e., lives, health status, livelihoods, assets, services)
which could occur to a particular community or a society over some specified
future time period. (United Nations Office for Disaster Risk Reduction [UNDRR],
2009)

Disaster risk The concept and practice of reducing disaster risks through systematic efforts
reduction to analyze and manage the causal factors of disasters, including the reduction
of exposure to hazards, lessening vulnerability of people and property, wise
management of land and the environment, and improved preparedness for
adverse events. (United Nations International Strategy for Disaster Reduction
[UNISDR] Secretariat, 2007; RA 10121, 2010)

Glossary 409
Disaster risk The systematic process of using administrative directives, organizations, and
reduction and operational skills and capacities to implement strategies, policies and improved
management coping capacities in order to lessen the adverse impacts of hazards and the
possibility of disaster. Prospective disaster risk reduction and management
(DRRM) refers to activities that address and seek to avoid the development of
new or increased disaster risks, especially if risk reduction policies are not put in
place. (RA 10121, 2010)

Discouraged This refers to all persons without jobs and are not actively seeking/looking for
workers work because they believe that there are no available jobs. (PSA’s Labor Force
Study [LFS] technical notes)

Disposition rate The percentage of total case disposal over the total caseload.

Dissolved oxygen The amount of oxygen dissolved in the water available for living aquatic
organisms. (US Geological Survey)

Distribution utility Any electric cooperative, private corporation, government-owned utility, or


existing LGU, which has an exclusive franchise to operate a distribution system
in accordance with RA 9136.

Documented Filipinos abroad possessing proper documentation and status, as required by the
overseas Filipinos host country. (Department of Foreign Affairs [DFA], 2019)

Dry port An inland intermodal terminal directly connected to seaport(s) with high capacity
transport mean(s), where customers can leave/pick up their standardised units
as if directly to a seaport. (Roso, V., Woxenius, J., & Lumsden, K. [2009]. The
dry port concept: connecting container seaports with the hinterland. Journal of
Transport Geography, 17[5], 338-345.)

Dual Training This refers to an instructional delivery system of technical, vocational education
System and training that combines in-plant and in-school training based on a training
plan collaboratively designed and implemented by an accredited dual system
educational institution/training center and accredited dual system participating
establishment. (Dual Training System [DTS] Act [RA 7686], 1994)

Early Childhood The holistic growth and development of children from age 0 to 4 years. The Early
Care and Childhood Care and Development (ECCD) System refers to the full range of
Development health, nutrition, early education, and social services necessary to promote the
optimum growth and development of children at these ages. (NSCB, 2006)

410 | Updated Philippine Development Plan 2017-2022


Ease of Doing A flagship report of the WB. An economy's ease of doing business (EODB)
Business report is computed into an index which aggregates the distance to frontier scores of
different economies. The distance to frontier score uses the ‘regulatory best
practices’ for doing business as the parameter and benchmark economies
according to that parameter.

Eco-efficiency Delivery of competitively-priced goods and services that satisfy human needs
and bring quality of life, while progressively reducing ecological impact and
resource intensity throughout the life cycle to a level, in line with the earth’s
carrying capacity.

Ecologically- Also known as an environmentally-critical area declared through Proclamation


sensitive area No. 2146. These areas have significant impacts if certain types/thresholds of
proposed projects are located, developed, or implemented. (DENR AO 30, s.
2003)

E-Commerce The Philippines’ first roadmap on e-commerce. The roadmap’s main objective
Roadmap 2016- is to contribute 25 percent to the Philippines’ gross domestic product (GDP) by
2020 2020.

Economic zone This refers to selected areas with highly developed or which have the potential to
be developed into agri-industrial, industrial, tourist, recreational, commercial,
banking, investment, and financial centers, whose metes and bounds are fixed or
delimited by Presidential Proclamations.

Ecosystem A dynamic complex of plant, animal, and micro-organism communities and


their non-living environment interacting as a functional unit. (UNCBD)

Ecosystems An approach that strives to balance diverse societal objectives by taking into
approach account the knowledge and uncertainties about biotic, abiotic, and human
to fisheries components of ecosystems and their interactions, and applying an integrated
management approach to fisheries within ecologically meaningful boundaries (FAO, 2014).

An approach to fisheries management and development that strives to balance


diverse societal objectives, by taking into account the knowledge and uncertainties
about biotic, abiotic, and human components of ecosystems and their interactions
and applying an integrated approach to fisheries within ecologically meaningful
boundaries. (FAO, 2003)

Ecotourism A form of sustainable tourism within a natural and cultural heritage area where
community participation, protection and management of natural resources,
culture and indigenous knowledge and practices, environmental education and
ethics, as well as economic benefits are fostered and pursued for the enrichment
of host communities and the satisfaction of visitors. (Bohol Ecotourism Congress
of 1999, National Ecotourism Strategy and Action Plan)

Glossary 411
e-Dalaw facility An online video calling system that aims to give inmates, who are visitorless,
especially those who are indigent, sick, and/or aged, the opportunity to
communicate and see their family members.

E-Governance The public sector’s use of ICTs with the aim of improving information and service
delivery, encouraging citizen participation in the decision-making process, and
making government more accountable, transparent, and effective. E-governance
involves new styles of leadership, new ways of debating and deciding policy and
investment, new ways of accessing education, new ways of listening to citizens,
and new ways of organizing and delivering information and services. (UNESCO,
as cited by Palvia and Sharma, 2021)

E-Government The use of ICTs in the government to provide public services, to improve
managerial effectiveness, and to promote democratic values, as well as a
regulatory framework that facilitates information intensive initiatives and fosters
the knowledge society.

El Niño A large-scale oceanographic/meteorological phenomenon that develops in the


Pacific Ocean, and is associated with extreme climatic variability (i.e., devastating
rains, winds, drought, etc.). It is the migration from time to time of warm surface
waters from the western equatorial Pacific basin to the eastern equatorial Pacific
region, along the coasts of Peru and Ecuador. This condition can prevail for more
than a year, thus, adversely affecting the economy in both local and global scale.

Electric A cooperative or corporation authorized to provide electric services pursuant to


cooperatives PD 269, as amended, and RA 6938 within the framework of the national rural
electrification plan.

Electronic Receipt Refers to the system developed and maintained by the e-Buyer or e-Seller or
and Invoice System both in issuing invoice electronically through the internet. (Bureau of Internal
Revenue [BIR], 2003)

Emerging and This includes Bangladesh, Bhutan, Brunei Darussalam, Cambodia, China, Fiji,
developing Asia India, Indonesia, Kiribati, Lao P.D.R., Malaysia, Maldives, Marshall Islands,
Micronesia, Mongolia, Myanmar, Nauru, Nepal, Palau, Papua New Guinea,
Philippines, Samoa, Solomon Islands, Sri Lanka, Thailand, Timor-Leste, Tonga,
Tuvalu, Vanuatu, and Vietnam.

412 | Updated Philippine Development Plan 2017-2022


Emerging and This includes Afghanistan, Albania, Algeria, Angola, Antigua and Barbuda,
developing Argentina, Armenia, Aruba, Azerbaijan, The Bahamas, Bahrain, Bangladesh,
economies Barbados, Belarus, Belize, Benin, Bhutan, Bolivia, Bosnia and Herzegovina,
Botswana, Brazil, Brunei Darussalam, Bulgaria, Burkina Faso, Burundi, Cabo
Verde, Cambodia, Cameroon, Central African Republic, Chad, Chile, China,
Colombia, Comoros, Democratic Republic of the Congo, Republic of Congo,
Costa Rica, Côte d'Ivoire, Croatia, Djibouti, Dominica, Dominican Republic,
Ecuador, Egypt, El Salvador, Equatorial Guinea, Eritrea, Eswatini, Ethiopia,
Fiji, Gabon, The Gambia, Georgia, Ghana, Grenada, Guatemala, Guinea,
Guinea-Bissau, Guyana, Haiti, Honduras, Hungary, India, Indonesia, Iran, Iraq,
Jamaica, Jordan, Kazakhstan, Kenya, Kiribati, Kosovo, Kuwait, Kyrgyz Republic,
Lao P.D.R., Lebanon, Lesotho, Liberia, Libya, Madagascar, Malawi, Malaysia,
Maldives, Mali, Marshall Islands, Mauritania, Mauritius, Mexico, Micronesia,
Moldova, Mongolia, Montenegro, Morocco, Mozambique, Myanmar, Namibia,
Nauru, Nepal, Nicaragua, Niger, Nigeria, North Macedonia, Oman, Pakistan,
Palau, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Poland, Qatar,
Romania, Russia, Rwanda, Samoa, São Tomé and Príncipe, Saudi Arabia, Senegal,
Serbia, Seychelles, Sierra Leone, Solomon Islands, Somalia, South Africa, South
Sudan, Sri Lanka, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines,
Sudan, Suriname, Syria, Tajikistan, Tanzania, Thailand, Timor-Leste, Togo,
Tonga, Trinidad and Tobago, Tunisia, Turkey, Turkmenistan, Tuvalu, Uganda,
Ukraine, United Arab Emirates, Uruguay, Uzbekistan, Vanuatu, Venezuela,
Vietnam, West Bank and Gaza, Yemen, Zambia, and Zimbabwe.

Employability The quality of being suitable for paid work. (Oxford)

Employment This refers to the programs of government (either independently or in


facilitation service/s collaboration with other institutions) to expedite the process of looking for a job
among those unemployed.

Energy intensity This is calculated as units of energy per unit of GDP (i.e., million tons oil
equivalent per GDP in billion pesos).

Enhanced An online database of warrants of arrest, providing real-time updates on the


e-Warrant System status of warrants and the specific actions taken by law enforcement agents.

EU-27 (since 2020 This includes Belgium, Denmark, France, Germany, Greece, Ireland, Italy,
with the exclusion Luxembourg, Netherlands, Portugal, Spain, Austria, Finland, Sweden, Cyprus,
of the UK) Czechia, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, Slovenia,
Bulgaria, Romania, and Croatia.

Euro Area-19 This includes Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy,
Cyprus, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Austria, Portugal,
Slovenia, Slovakia, and Finland.

Glossary 413
Export processing A specialized industrial estate located physically and/or administratively outside
zones customs territory, predominantly oriented to export production. Enterprises
located in export processing zones are allowed to import capital equipment and
raw materials free from duties, taxes, and other import restrictions.

Extended producers A policy approach wherein producers are given significant responsibility for the
responsibility treatment or disposal of post-consumer products. (Organization for Economic
Co-operation and Development [OECD], 2001)

Extreme poverty Individuals or households living on less than USD1.90 a day

Fabrication A small-scale learning and production space that offers access to modern
laboratory technology and where experts can instruct learners in its use. Typically, a
fabrication laboratory (FabLab) allows students the opportunity to practice on
equipment that may normally be difficult to get access to, or for industry and
entrepreneurs to build, prototype, and test their products on a very small-scale
without the need for large investments in technology. (UNESCO Vocational
Education (UNEVOC) Network)

Farm The application of tools, implements, and machinery in order to achieve


mechanization agricultural production. (Clarke, 1997)

Farm This aims to increase farmers’ productivity, profitability, and competitiveness


Mechanization through mechanized production and post-production systems.
Program

Farm-to-market These are roads linking agriculture and fisheries production sites, coastal landing
roads points, and post-harvest facilities to the market and arterial roads and highways.
(RA 8435, 1997)

Financial This is also known as fintech. It refers to the integration of technology into
technology offerings by financial services companies in order to improve their use and
delivery to consumers.

Financing The means by which a government provides financial resources to cover a budget
deficit or allocates financial resources arising from a budget surplus. (DBM, 2020)

Firmed-up service This refers to the functional size of the irrigation system (i.e., the irrigable part of
area the service area minus the permanently un-irrigable areas).

First 1,000 days of This refers to the period of a child's life, spanning the nine months in the womb
life starting from conception to the first 24 months of life, which is considered to
be the critical window of opportunity to promote health and development and
prevent malnutrition and its life-long consequences.

414 | Updated Philippine Development Plan 2017-2022


Fiscal policy The part of government policy which is concerned with raising of resources
through taxation and borrowing and deciding on the level and pattern of
expenditures. (DBM, 2020)

Fiscal position This refers to either the shortfall/deficiency (deficit) or excess (surplus) of
revenues over expenditures of the government.

Fisherfolk This refers to those who are directly or personally and physically engaged in
catching and/or culturing and processing fishery and/or aquatic resources. (RA
8550, 1998)

Flexible learning A pedagogical approach allowing flexibility of time, place, and audience,
including but not solely focused on the use of technology. It commonly uses the
delivery methods of distance education and facilities of education technology, but
may vary depending on the levels of technology, availability of devices, internet
connectivity, level of digital literacy, and approaches. (Commission on Higher
Education [CHED], 2020)

Flexible work This refers to alternative arrangements or schedules other than the traditional or
arrangement standard work hours, workdays, and workweek. (DOLE DO 2, s. 2019)

Flood-susceptible This are areas identified by the DPWH based on completed studies for 37 flood
area/s control projects.

Food Innovation Centers established in each region of the country to serve as a hub for innovations,
Center R&D, and support services for value-adding of fresh produce and development of
processed foods. It is envisioned that through the center, innovative technologies,
relevant support services, technical expertise, necessary infrastructures, and
facilities will be more accessible for MSMEs in urban centers and countryside
for a more effective technology application, deployment (transfer), and
commercialization for sustained economic growth and productivity. (DOST-
National Capital Region [NCR])

Food resiliency This refers to having food security during times of crisis or emergencies.

Food security This refers to access to safe and affordable food at all times.

A condition where all people, at all times, have physical and economic access
to sufficient, safe and nutritious food that meets their dietary needs and food
preferences for an active and healthy life. (FAO, 2002)

Force multiplier/s Organizations outside the government which perform voluntary public safety
services in support of existing government public safety function and programs.
(Philippine National Police [PNP] Kaligkasan Volunteer Program)

Glossary 415
Foreign Direct A category of cross-border investment associated with a resident in one
Investment economy having control or a significant degree of influence on the management
of an enterprise that is resident in another economy. The BSP’s foreign direct
investment data includes investments where ownership by the foreign enterprise
is at least 10 percent.

The category of international investment made by a resident entity in one


economy (direct investor) with the objective of establishing/obtaining a lasting
interest in an enterprise resident in an economy other than that of the investor
(direct investment enterprise). “Lasting interest” implies the existence of a long-
term relationship between the direct investor and the enterprise and a significant
degree of influence by the direct investor on the management of the direct
investment enterprise. Direct investment involves both the initial transaction
between the two entities and all subsequent transactions between them and
among affiliated enterprises, both incorporated and unincorporated.

Foreign exchange A measure of the stocks of foreign currency-denominated assets plus, in some
reserves cases, gold, held by a central bank.

Forest cover/s These are natural and man-made forests, including forests within wetlands
and built-up areas. (Philippine Official Reference for Forest-Related Terms and
Definitions)

Forest land A land which includes public forest, permanent forest or forest reserves, and
forest reservations. (PD 1559, 1978)

Forward and The channels through which products, materials, information, and money
backward linkages flow from suppliers to the firms (backward) and from suppliers to customers
(forward). Backward and forward linkages are also descriptive measures of the
economic interdependence of industries.

Forward linkages This indicates an interdependency (interconnectedness) of a particular industry


with the “downstream” sectors from which it purchases its intermediate inputs
directly and/or indirectly.

Fourth Industrial This is characterized by a fusion of technologies blurring the lines of physical,
Revolution digital, and biological spheres. (World Economic Forum [WEF], 2016)

Developments in genetics, artificial intelligence, robotics, nanotechnology, 3D


printing, biotechnology, and other technologies have ushered in the Fourth
Industrial Revolution (FIRe or Industry 4.0). These technologies are expected
to alter the patterns of consumption, production, and employment which will
require proactive adaptation by corporations, governments, and individuals.

416 | Updated Philippine Development Plan 2017-2022


Free trade An agreement between two or more countries to facilitate trade by reducing or
agreements eliminating barriers to trade such as tariffs.

Fuel marking A monitoring mechanism to curtail fuel smuggling activities through the use
of official fuel markers based on, among others, covert molecular recognition
technology.

Fully immunized This refers to infants who received one dose of tuberculosis vaccine or Bacillus
children Calmette-Guerin (BCG) vaccine, three doses each of oral polio vaccine,
diphtheria, tetanus, and pertussis vaccine, and Hepatitis B vaccines, and one dose
of measles vaccine before reaching one year of age.

Functional literacy A significantly higher level of literacy which includes not only reading and writing
skills but also numerical skills. The skills must be sufficiently advanced to enable
the individual to participate fully and efficiently in activities commonly occurring
in her/his life situation that require a reasonable capability of communicating by
written language. (PSA, 2015)

General This includes all liabilities that require payment or payments of interest and/or
government gross principal by the debtor to the creditor at the date/s in the future. These include
debt debt liabilities, such as special drawing rights (SDR), currency and deposits, debt
securities, loans, insurance, pensions and standardized guarantee schemes, and
other accounts payable. Debt can be valued at current market, nominal, or face
values. (Government Finance Statistics Manual [GFSM] 2001, paragraph 7.110)

Genetic resources This refers to all living organisms (i.e., plants, animals, and microbes) carrying
genetic material that could be potentially useful to humans. These resources
can be taken from the wild, domesticated, or cultivated. They are sourced from
environments in which they occur naturally (in situ), or from human-made
collections such as botanical gardens, genebanks, seed banks, and microbial
culture collections (ex situ). (UNCBD)

Geographic A sign used on products that have a specific geographical origin and possess
indication qualities or a reputation that are due to that origin. In order to function as a
geographic indication (GI), a sign must identify a product as originating in a
given place.

Geographic A conceptualized framework that provides the ability to capture and analyze
Information System spatial and geographic data. Geographic Information System (GIS) applications
platform (apps) are computer-based tools that allow the user to create interactive queries
(user-created searches), store and edit spatial and non-spatial data, analyze
spatial information output, and visually share the results of these operations by
presenting them as maps.

Glossary 417
Geologic hazard Hazards originating from internal earth processes, such as earthquakes, volcanic
eruptions, landslides, rockslides, surface collapses, and debris or mudflows.
(UNDRR)

Greenhouse gas These are gaseous constituents of the atmosphere, either natural or anthropogenic
emissions (as a result of human activity), that absorb and emit radiation at specific
wavelengths within the spectrum of thermal infrared radiation emitted by the
Earth’s surface, the atmosphere itself, and by clouds. These gases surround the
planet preventing the loss of heat into outer space. By trapping the heat, they
contribute to the warming of the earth’s surface causing changes in weather
conditions, sea levels, and land use patterns, commonly referred to as “climate
change.” (Intergovernmental Panel on Climate Change [IPCC] 2, 2007)

Gig economy A broad term that includes “contingent work” characterized by a defined or
limited duration, such as freelance contracting and consulting. (WEF, 2020)

Global A set of institutions, policies, and factors that determine the level of productivity
Competitiveness of a country, conditions of public institutions, and technical conditions. Created
Index by the WEF, the index measures competitiveness based on twelve pillars:
institutions, infrastructure, ICT adoption, macroeconomic stability, health, skills,
product market, labor market, financial system, market size, business dynamism,
and innovation capability. (Schwab, 2019)

Global A composite measure of three dimensions of e-Government, namely, provision


e-Governance of online services, telecommunication connectivity, and human capacity. Along
Development with an assessment of the website development patterns in a country, the index
Index incorporates the access characteristics, such as the infrastructure and educational
levels, to reflect how a country is using information technologies (IT) to promote
access and inclusion of its people. Developed by the UN, the index is updated
every two years. (UN, 2019)

Global emissions This is composed of greenhouse or CO2 emissions due to fossil fuel combustion.

Global Innovation This provides detailed metrics about the innovation performance of 131
Index countries and economies around the world. Its 80 indicators explore a broad
vision of innovation, including political environment, education, infrastructure,
and business sophistication. (World Intellectual Property Organization [WIPO])

Global This is established under the recommendation of the UN Secretary General's


Preparedness Global Health Crises Task Force in 2017, the Global Preparedness Monitoring
Monitoring Board Board (GPMB) is an independent monitoring and accountability agency
composed of political leaders, agency principals, and industry experts. Its goal is
to ensure preparedness for global health crises.

418 | Updated Philippine Development Plan 2017-2022


Global supply Networks that can span across multiple continents and countries for sourcing
chains and supplying goods and services. Global supply chains involve the flow of
information, processes, and resources across the globe.

Global value chain This refers to international production sharing, where the different stages of the
production process are located across different vountries.

A system of international production, trade and investments across the globe,


interconnected through the varying stages of production procedures in different
countries.

Good agricultural A collection of principles to apply for on-farm production and postproduction
practice processes, resulting in safe and healthy food and non-food agriculture products,
while taking into account economic, social, and environmental sustainability.
(FAO Committee on Agriculture, 2003)

Good Conduct An act that allows for a reduction of sentences of persons deprived of liberty,
Time Allowance depending on how well they abide by rules and regulations inside “any penal
Law institution, rehabilitation, or detention center or any other local jail.” 

Government A sub-indicator of WB’s Worldwide Governance Indicators. This is an indicator


effectiveness that measures the quality of public services, the quality of the civil service and
the degree of its independence from political pressures, the quality of policy
formulation and implementation, and the credibility of the government’s
commitment to such policies. (Kaufmann, Kraay and Mastruzzi, 2010)

Greater Capital This consists of NCR and Regions III (Central Luzon) and IV-A
Region (CALABARZON).

Green bond A debt security that is issued to raise capital specifically to support climate-related
or environmental projects. (WB, 2015)

Green technology This refers to use of technology and science that are environmentally friendly.

Grid The high voltage backbone system of interconnected transmission lines,


substations, and related facilities.

Gross Domestic The value of all goods and services produced domestically. It is the sum of gross
Product value added of all resident institutional units engaged in production (plus any
taxes, and minus any subsidies, on products not included in the values of their
outputs).

Gross National The sum of value added by all resident producers plus any product taxes (less
Income subsidies) not included in the valuation of output plus net receipts of primary
income (compensation of employees and property income) from abroad. (WB)

Glossary 419
Gross value added The total payment to factors of production, namely, wages, interest, profits,
and rents. It also includes capital consumption allowance and indirect taxes.
It is estimated by deducting from gross value of output the sum of non-factor
cost such as raw materials and supplies, containers and packing materials, fuel,
advertising, and other non-industrial overhead cost.

Ground water The entry into the saturated zone of water made available at the water table
recharge surface, together with the associated flow away from the water table within the
saturated zone. (Freeze & Cherry, 1979)

Habitat The place or environment where a plant or animal naturally or normally lives and
grows. (Merriam-Webster)

Harmonized A blueprint of the priority R&D areas that will be pursued by the country to address
National R&D societal needs and achieve inclusive socioeconomic development. A product of
Agenda comprehensive and widespread consultation with various stakeholders, that aims
to provide direction on the government-funded R&D programs and projects,
provide an important step in enhancing the effective allocation and efficient
use of public investments in R&D and avoid duplication of R&D pursuits, and
promote complementation among government research institutions.

Hazardous waste/s These are used or discarded substances or materials that are without any safe
commercial, industrial, agricultural, or economic uses, and which pose substantial
or potential threats to public health and/or the environment. (RA 6969, 1990)

Health Facilities A priority program of the DOH, attempting to address perennial shortages in
Enhancement health facilities by augmenting capital investments in the national and LGU
Program health facilities. (Philippine Health Facility Development Plan 2020-2040)

Health impact This refers to a means of assessing the health impacts of policies, programs, and
assessment projects in diverse economic sectors before, during, and after implementation. It
provides practical and alternative recommendations to increase positive health
effects and minimize negative health effects.

Health technology This refers to systematic evaluation of properties, effects, or impact of health-
assessment related technologies, devices, medicines, vaccines, procedures, and all other
health-related systems developed to solve a health problem and improve quality
of lives and health outcomes, utilizing a multidisciplinary process to evaluate the
social, economic, organizational, and ethical issues of a health intervention or
health technology

Healthcare waste This includes waste generated as a result of the following: (a) diagnosis,
treatment, or immunization of human beings or animals; (b) research pertaining
to the aforesaid activities; (c) production or testing of biologicals; and (d) waste
originating from minor or scattered sources. (DENR-DOH JAO 2005-02)

420 | Updated Philippine Development Plan 2017-2022


Heritage The totality of cultural property preserved and developed through time and
passed on to posterity. (RA 10066, 2009)

High trust A high-trust society is one when the behavior of the population towards each
other is predictable – meaning we, as people, follow broadly understood norms
of behavior supported by rule of law. (Chakas, 2019)

High-value crops Non-traditional agricultural and horticultural commodities that include coffee,
cacao, fruits, root crops, vegetables, spices and condiments, cutflowers, and
ornamental plants. (PDP 2017-2022)

Crops other than traditional crops which include, but are not limited to
coffee and cacao, fruit crops, root crops, vegetable crops, legumes, pole
sitao, spices and condiments, and cutflower and ornamental foliage plants.
(High-Value Crops Development Act [RA 7900], 1995)

Higher education The stage of formal education requiring secondary education covering the
programs on all courses of study leading to bachelor’s degree and all degree
courses of study beyond bachelor’s degree level. (NSCB, 2006)

Hospice care End-of-life care provided by skilled health care providers and volunteers. The goal
of the care is to help people who are dying to have peace, comfort, and dignity by
providing medical, psychological, and spiritual support. Hospice programs also
provide services to support a patient's family.

Housing A multi-dimensional concept relating to the process of residing and the objects
of dwelling whose main attributes are location relative to access to livelihood,
tenure arrangements, cost, and physical structure, as well as their environment.
(RA 11201, 2019)

Housing finance The comprehensive funds flow system covering the entire housing provision cycle
from identification of financial requirements to fund sourcing for various aspects
of the housing program, such as lot acquisition, development/construction and
end-users’ financing, and securitization of home mortgages and other housing-
related receivables or financial products. (RA 11201, 2019)

Housing need The number of conventional dwellings or other suitable living quarters that
need to be constructed or repaired, in order to bring housing conditions, as of
a particular point in time, up to nationally-adopted standards, plus the number
that need to be constructed, repaired, or maintained to ensure that housing
conditions remain at the standard level over a stated period of time. (Senate Joint
Resolution 17, 2018). Composed of accumulated, future, and recurrent structure
demands, with allowance for inventory losses and increase in households.
(Philippine Statistical Research and Training Institute (PSRTI), 2016)

Glossary 421
Human capital The skills, knowledge, and experience possessed by an individual or population,
viewed in terms of their value or cost to an organization or country. (Oxford)

Human Capital Amount of human capital child born today could expect to attain by age 18, given
Index the risks to poor health and education that prevail in the country, where the child
lives. (WB, 2020)

Human An assessment or a measure of the development of a country in key dimensions


Development Index of human development: long and healthy life, knowledge, and decent standard of
living. (UNDP)

Human settlements This refers to and comprised of the physical components of shelter and
infrastructure and services to which the physical elements provide support,
such as community services which include education, health, culture, welfare,
recreation, and nutrition. (RA 11201, 2019)

Humanitarian The processes and systems involving the mobilization of people, resources,
logistics and expertise to help vulnerable communities affected by natural disasters and
complex emergencies, reducing the loss of lives, and relieving human suffering.
(Nappi, M. M. L., & Souza, J. C. [2015], Disaster Management: Hierarchical
structuring criteria for selection and location of temporary shelters, Natural
Hazards, 75[3], 2421-2436.)

Hydrometeorological Hazard from the atmospheric, hydrological, or oceanographic origin such as


hazard tropical cyclones, floods, drought, heatwaves, and coastal storm surges. (United
Nations Office for Disaster Risk Reduction [UNDRR])

Hydroponics Cultivation of plants in water without soil. (FAO)

Illegal fishing Fishing activities conducted by Philippine fishing vessels operating in violation
of the Philippine laws, Regional Fisheries Management Organization resolutions,
and laws of other coastal states. (RA 10654, 2015)

Improved sanitation Sanitation facilities that are designed to hygienically separate excreta from human
contact. These include the following: flush/pour flush to piped sewer systems,
septic tanks, or pit latrines; ventilated improved pit latrines, composting toilets,
or pit latrines with slabs. (PSA, 2017)

In absentia While not present at the event being referred to. (Oxford)

Inactive members In general, OFWs who have failed to pay for their membership within the
required time or have not renewed their membership status, to qualify for full
eligibility of benefits of OWWA/Pag-IBIG/SSS/Philhealth. (NEDA, 2019)

422 | Updated Philippine Development Plan 2017-2022


In-city resettlement A relocation site within the jurisdiction of the local government unit where the
informal settler families are living. (IRR of RA 11201, 2019)

Inclusive business A business model with strong inter-linkages between medium and large
companies, as well as small and medium enterprises (SMEs).

Inclusive This refers to the country's inclusive innovation-led industrial policy to transform
Filipinnovation and the economy in the digital age.
Entrepreneurship
Roadmap

Inclusive growth Growth that is rapid enough to matter, given the country's large population,
geographical differences, and social complexity. It is sustained growth that
creates jobs, draws the vast majority into the economic and social mainstream,
and continuously reduces mass poverty.

Index crime The percentage of solved cases out of the total number of crime incidents
solution efficiency handled by law enforcement agencies for a given period of time. A case shall
rate be considered solved when the following elements occur: the offender has been
identified; there is sufficient evidence to charge him; the offender has been taken
into custody; and the offender has been charged before the prosecutor's office
or court of appropriate jurisdiction. (PNP Letter of Instructions on Unit Crime
Periodic Report)

Index crimes Crimes which are serious in nature and which occur with sufficient frequency
and regularity such that they can serve index to the crime situation, the policy
considers only the crimes of murder, homicide, physical injuries (including
frustrated murder and homicide), carnapping, cattle rustling, robbery, theft, and
rape as index crimes. (PNP Crime Information Reporting and Analysis System)

Indigenous cultural A group of people or homogenous societies identified by self-ascription and


communities ascription by other, who have continuously lived as organized community on
communally bounded and defined territory, and who have, under claims of
ownership since time immemorial, occupied, possessed customs, tradition, and
other distinctive cultural traits, or who have, through resistance to political,
social, and cultural inroads of colonization, non-indigenous religions and
culture, become historically differentiated from the majority of Filipinos. (RA
8371, 1997)

Glossary 423
Indigenous peoples People who are regarded as indigenous on account of their descent from the
populations, which inhabited the country, at the time of conquest or colonization
or at the time of inroads of non-indigenous religions and cultures or the
establishment of present state boundaries who retain some or all of their own
social, economic, cultural, and political institutions, but who may have been
displaced from their traditional domains or who may have resettled outside their
ancestral domains. (RA 8371, 1997)

Indigenous peoples The education intended to meet basic learning needs of IPs, which lays the
education foundation for subsequent learning. It aims to eliminate discrimination from
peers and teachers due to learners’ cultural identity. It recognizes the need to
respect Indigenous Knowledge Systems and Practices (IKSP) in schools and
learning programs, promotes respect and due regard for the inherent meanings
and purposes of indigenous cultural expressions and values, and promotes
an affirmation and sense of indigenous cultural identity that sustain inter-
generational relationships and cultural integrity in the community.

Industrial design The ornamental or aesthetic aspect of an article. The design may consist of
three-dimensional features, such as the shape or surface of an article, or two-
dimensional features, such as patterns, lines or color. It is applied to a wide
variety of products of industry and handicraft: (a) from technical and medical
instruments to watches, jewelry, and other luxury items; (b) from housewares
and electrical appliances to vehicles; and (c) from textile designs to leisure goods.
To be protected under most national laws, an industrial design must be non-
functional. This means that an industrial design is primarily of an aesthetic nature
and any technical features of the article to which it is applied are not protected.

Industry 4.0 pilot The DTI is working on the establishment of an Industry 4.0 pilot factory, which
factory will house cutting-edge manufacturing technologies like advanced robotics,
intelligence-of-things, drones, virtual and augmented reality for factory
simulations, among others. (DTI)

Industry 4.0 SME DTI is establishing an SME Academy and Innovation Center to enhance
academy manufacturing innovation and develop the human resource capabilities of our
small enterprises to ensure resilience and competitiveness in the FIRe. (DTI)

Infant mortality The probability of dying between birth and age one, expressed as the number of
rate infant deaths or deaths occurring before reaching 12 months of life, in a given
period, per 1,000 live births. (PSA, 2006)

424 | Updated Philippine Development Plan 2017-2022


Information and An umbrella term that covers all technical means for processing and
communication communicating information. It defines a broad range of technologies, including
technology methods for communication (communication protocols, transmission
techniques, communications equipment, media communication), as well as
techniques for storing and processing information (computing, data storage,
etc.).

Initial public This refers to when a private company with a profitable track record raises capital
offering by offering its shares to public investors. It is also the distribution or offer to sell
new shares and/or existing shares of a company to the general public. (Philippine
Stock Exchange)

Inland container Inland container depots are dry ports equipped for handling and temporary
depot/terminal storage of containerized cargo as well as empty containers. These depots allow
customers in remote locations to receive port services more conveniently and
closer to their premises. (Wadhwa, S. S., Farahmand, K., & Vachal, K. [2019].A
deterministic mathematical model to support future investment decisions for
developing inland container terminals. Research in Transportation Economics,
77, 100764.)

Inland municipal The catching of fish, crustaceans, mollusks, and all other aquatic animals and
fishing plants in inland waters like lakes, rivers, dams, marshes, etc., using simple gear
and fishing boats, some of which are non-motorized with a capacity of less than
or equal to three gross tons, or fishing not requiring the use of fishing boats.
(PSA)

Innovation The process of using knowledge and technology to develop or improve the
production or performance of products, services, and processes that have value,
in terms of commercial impact or social benefit. (UN Conference on Trade and
Development [UNCTAD], 2019)

Innovation and Universities and institution-partners of the Intellectual Property Office of the
Technology Support Philippines (IPOPHL) have been equipped with in-house patent libraries. The
Office network of Innovation and Technology Support Offices (ITSO) seeks to foster
creation of intellectual property in the academe and research sectors, particularly
in invention and utility models, to increase the national innovative output and
push the presence of Filipino inventions in the international patent system.
(IPOPHL)

InstaPay An electronic fund transfer (EFT) service that allows customers to transfer PHP
funds almost instantly between accounts of participating BSP-supervised banks
and non-bank e-money issuers in the Philippines. (BSP)

Glossary 425
Instrument landing The most popular landing aid in the world. It is a distance-angled support system
system for landing in reduced visibility, while its task is the safe conduct of the aircraft
from the prescribed course landing on the approach path. (Merkisz, J., Galant, M.,
& Bieda, M. [2017]. Analysis of operating instrument landing system accuracy
under simulated conditions. Zeszyty Naukowe. Transport/Politechnika Śląska.)

Integrated coastal A dynamic process of planning and management, involving stakeholders, and
management requiring the analysis of the environmental and socioeconomic implications of
development, the ecosystem processes, and the interrelationships among land-
based and marine-related activities across jurisdictions. (EO 533, 2006)

Integrated farming This refers to the production, integrated management, and comprehensive use of
system aquaculture, agriculture, and livestock. (FAO)

Integrated Forest A production-sharing contract entered into by and between the DENR and
Management a qualified applicant, where the DENR grants the latter the exclusive right to
Agreement develop, manage, protect, and utilize a specified area of forestland and forest
resource therein for a period of 25 years and may be renewed for another 25-
year period, consistent with the principle of sustainable development and in
accordance with an approved Comprehensive Development and Management
Plan, and under which both parties share in its produce. (DENR AO No. 1999-
53)

Integrated rice- This system is about growing rice and ducks together in an irrigated paddy field.
duck farming The paddling movement of the ducks stimulates plant growth, while the duck
system manure naturally fertilizes the soil. The ducks also eat harmful insects and weeds,
thus eliminating the need for pesticides and herbicides.

Integrated The process which promotes the coordinated development and management
water resource of water, land and related resources, in order to maximize economic and social
management welfare in an equitable manner without compromising the sustainability of vital
ecosystems.

Intellectual The intangible assets resulting from the creative work of an individual or
property organization. Intellectual property also refers to creations of the mind, such as
inventions, literary and artistic works, symbols, names, images, and designs used
in commerce. It can also refer to future tangible and/or intangible assets that may
be recognized as intellectual property.

Intellectual These are the rights given to persons over the creations of their minds. This is
property rights where the creators are given exclusive rights over the use of his/her creation for a
certain period of time. (WTO)

Inter alia Among other things. (Oxford)

426 | Updated Philippine Development Plan 2017-2022


Interest rate A system for guiding short-term market interest rates towards the central bank
corridor (CB) target/policy rate. It consists of a rate at which the CB lends to banks
(typically an overnight lending rate) and a rate at which it takes deposits from
them (deposit rate). (BSP, 2016)

Intermodal This refers to involving different transport modes on one route. (Jonuschat, H.,
Stephan, K., & Schelewsky, M. [2015]. Understanding multimodal and intermodal
mobility. Sustainable Urban Transport. Emerald Group Publishing Limited.)

Intermodal This refers to the transit of people and freight involving two or more different
transport transport modes that are efficiently connected and coordinated. (Muller, G., 1999.
Intermodal Freight Transportation - 4th Edition. ENO Transport Foundation)

Internal revenue Automatically appropriated and released share of LGUs, aggregately


allotment corresponding to 40 percent of the national internal revenue taxes based on the
collection of the third fiscal year preceding the current fiscal year, with the share
of each LGU determined, pursuant to the provisions of the Local Government
Code, by share for each LGU level, and in terms of population/land area/equal
sharing. (DBM, 2020)

International Large- Large-Scale Assessments measure student learning outcomes, in particular


Scale Assessments learning areas or domains, and are used to measure what learners know and can do
based on standard criteria or expectations (DepEd Order 29, s. 2017) International
Large-Scale Assessments (ILSA) conducted by external organizations, include
the Organisation for Economic Co-operation and Development’s (OECD)
Programme for International Student Assessment (PISA), the International
Education Association’s Trends in International Mathematics and Science
Study (TIMSS), and the Southeast Asian Ministers of Education Association’s
(SEAMEO) Southeast Asia-Primary Learning Metrics (SEA-PLM).

Internationalization The process of integrating international, intercultural, and global dimensions


of higher education into the goals, functions (teaching, learning, research and services), and delivery
of higher education. (RA 11448, 2019)

Glossary 427
Internet of things This refers to the network between the internet and an increasing number of
devices and objects over time. All devices and objects that may be altered through
the internet, with or without the active involvement of individuals.

It also refers to the connectivity and association of electronic devices, vehicles


(also called as “connected devices” and “smart devices”), structures, buildings, and
other devices with electronics, software, sensors, actuators, and communication
capabilities, which equip the said items to send, transmit, and process information.
Internet of things (IoT) enables objects to be monitored and controlled remotely
using established communications networks, opening the potential of emergence
between the physical systems in computerized and digital systems, increasing
efficiency, accuracy, and productivity, while reducing human interactions.

Internship/ This refers to an approach in learning designed to complement the training


Supervised Industry gained in the institution with the intention of enhancing the knowledge and skills
Learning of a learner through actual application of critical competencies in the workplace,
as identified in the training regulations. It is commonly used as synonymous to
On-the-Job Training (OJT) and Supervised Industry Training (SIT), henceforth,
for technical and vocational education and training (TVET). The terms OJT and
SIT will be renamed to Supervised Industry Learning (SIL), which will focus on
the learner’s enhancement of critical competency in a workplace setting. (TESDA
Circular 89, s. 2019)

Invention New or novel practical applications of knowledge, technology, and ideas that
come from experience, scientific enquiry, and research and development.
(UNCTAD, 2019)

Intellectual IPOPHL’s online shopping platform to serve both intellectual property creators
property depot and users. It is a free marketing space for intellectual property creators, who may
post and promote their assets on the site, and for businesses or individuals looking
for assets to commercialise. It is also a marketplace for intellectual property open
for license or sale.

Irrigation This refers to the ratio of the area that was developed altogether by the National
development Irrigation Administration (NIA), other government agencies, and private sector
against the potential irrigable area. (NIA)

Irrigators' A non-sectarian, non-stock, and non-profit organization of farmers. (NIA)


associations

Job automation This refers to the substition of technology for human labor.

428 | Updated Philippine Development Plan 2017-2022


Justice Sector An inter-agency body composed of the Judiciary, the Department of Justice
Coordinating (DOJ), DILG, and their relevant attached agencies, which serves as a joint
Council forum for dialogue on issues of common interest and mechanism for effective
coordination and sharing of information for planning and implementation of
joint initiatives.

Justice zone An area or locality where a minimum number of inter-agency coordinative


reforms are present, rendering that area or locality compliant, based on the
selection and rating criteria to be established by the Justice Sector Coordinating
Council (JSCC).

K to 12 Program This covers the Kindergarten (K) and 12 years of basic education (six years of
primary education, four years of junior high school, and two years of senior
high school [SHS]) to provide sufficient time for mastery of concepts and skills,
develop lifelong learners, and prepare graduates for tertiary education, middle-
level skills development, employment, and entrepreneurship.

Kapatid Mentor ME A program implemented by the DTI in partnership with the Philippine Center
for Entrepreneurship (PCE), which aims to help MSMEs scale up their business
through weekly coaching and mentoring by business owners and practitioners
on different functional areas of entrepreneurship, to be held in Negosyo Centers,
nationwide.

Katarungang A system of dispute resolution instituted in all barangays in the Philippines that
Pambarangay seeks to promote, among others, the speedy administration of justice by providing
all avenues to an amicable settlement of community-level disputes.

Knowledge An economy, in which growth, is dependent on the quantity, quality, and


economy accessibility of the information available rather than the means of production.
(Oxford)

Labor force This refers to the population 15 years old and over, who contribute to the
production of goods and services in the country. It is comprised of the employed
and unemployed. (PSA)

Labor force This refers to the total labor force as a percentage share of total working age
participation rate population (15 years old and over). (PSA Metadata, 2018)

Labor productivity Labor productivity in agriculture, forestry, and fishery pertains to the value of
agricultural output per employed person in agriculture, forestry, and fisheries.

Land banking The acquisition of land at values based on existing use in advance of actual need
to promote planned development and socialized housing programs. (IRR of RA
11201, 2019)

Glossary 429
Large scale Type of irrigation systems constructed by the NIA usually covering more than
irrigation system 1,000 hectares. These are jointly operated and maintained by the NIA and the
farmer beneficiaries through their irrigators' associations. (PDP 2017-2022)

Last mile school Schools with less than four classrooms, usually makeshift and non-standard
ones, with no electricity, no funds for repairs or new construction projects in the
last four years, and travel distance of more than one hour away from the center,
accessible only through difficult terrain. Likewise, these are schools with multi-
grade classes, less than five teachers, and a population of less than 100 learners,
in which more than 75 percent of whom are IPs.

Lateral Attrition This act provides a reward and punishment system to tax collectors with the aim
Act of increasing revenue collections.

Learnership An enterprise-based training which equip practical skills on learnable


occupation or non-apprenticeable occupation and may or may not be
supplemented by related theoretical instruction.

Legal aid This includes legal advice, assistance, and representation for persons detained,
arrested or imprisoned, suspected, accused of, or charged with a criminal offence,
and for victims and witnesses in the criminal justice process, provided at no cost
to those without sufficient means or when the interests of justice requires.

Lifelong learning All learning activities undertaken throughout life for the development of
competencies and qualifications. Adult learning and education, technical-
vocational education or training, and literacy are all significant components of
the lifelong learning process.

Liquidity The fact of being available in the form of money, rather than investments
of property, or of being able to be changed into money easily. (Cambridge
Dictionary)

Local Climate An action plan formulated by the LGUs to address climate change
Change Action Plan concerns. The Local Climate Change Action Plan (LCCAP) focuses on both
climate change adaptation and mitigation and describes how the LGUs plan to
respond to climate change and mainstream such into local development plans.
(DILG-Local Governmnet Academy [LGA], 2017)

Local cultural This is also known as the Local Inventory of Cultural Property or Local Cultural
inventory Database, referring to the inventory of identified tangible and intangible
cultural properties being maintained by the LGU, which reveal the identity of
its community and provide systematization and information on local cultural
heritage.

430 | Updated Philippine Development Plan 2017-2022


Local culture and The local special body chaired by the local chief executive whose purpose is the
arts councils promotion of culture and the arts, coordination with government agencies and
non-governmental organizations, appropriation of funds for the support and
development of said council, implementation of LGU obligations under the
National Cultural Heritage Act of 2009, and other related functions prescribed in
DILG MC 2017-133.

Local development The 20 percent of the LGU's IRA appropriated for development projects that
fund contribute to the attainment of desirable socioeconomic development and
environmental management outcomes of the LGU and partake the nature of
investment or capital expenditures. (DILG and DBM JMC 2017-1)

Local investment A document that articulates the local government investment policies and
and incentives code programs, investments priority areas (IPA), and local incentives (fiscal or non-
fiscal) available to domestic and foreign investors and the mechanics for availing
them.

Local public A plan detailing the route network, mode, and required number of units per mode
transport route plan for delivering public land transport services. This is prepared by the LGUs and
approved by the DOTr/Land Transportation Franchising and Regulatory Board
(LTFRB). This plan shall serve as the basis of a comprehensive local transport
plan. (DOTr, DILG, LTFRB, 2017)

Local shelter plan A document which provides information on the analysis of the present local
housing situation, i.e., identification of housing problems, upgrading and future
husing needs, household affordability, and local resources, such as land, provision
of basic services, and finances. It also contains the main shelter strategies and a
corresponding implementation plan which provides the details of actions needed
to realize the housing objectives. (IRR of RA 11201, 2019)

Local university Public education institutions established by the local government through
and college an enabling ordinance, and financially supported and maintained by the local
government. (NSCB, 2006)

Logistics hub Integrated centers for transshipment, storage, collection, and distribution of
goods.

Low-cost housing Housing price ceilings between PHP480,000 to PHP3 million. (Housing and
Urban Development Coordinating Council [HUDCC] Resolution 1, s. 2018,
HUDCC MC 5, s. 2007, HUDCC MC 4, s. 2006)

Lower middle- Lower-middle-income economies are those with a 2019 GNI per capita between
income countries USD1,036 and USD4,045. (WB)

Glossary 431
Lupong A peace-making body organized in every barangay to administer Katarungang
Tagapamayapa Pambarangay and composed of the punong barangay as chairman with no less
than 10 or more than 20 members.

Macro-prudential The use of primarily prudential tools to limit systemic risk. A central element
measures is the notion of systemic risk–namely, the risk of widespread disruption to the
provision of financial services that is caused by an impairment of all or parts of
the financial system, which can cause serious negative consequences for the real
economy.

Madrasah An Arabic term for school defined as a community-based educational institution


and operated privately, where the medium of instruction is in Arabic language
with Islamic studies and Arabic literacy as the core emphasis. (NSCB, 2006)

Major river basin River basins with basin area of at least 990 sq.km.

Makerspace A communal space that contains tools and components in which people with
shared interests can gather to work on projects while sharing ideas, equipment,
and knowledge. It can be an elaborate learning space equipped with sophisticated
tools and supplies or simply a gathering point for tools, projects, mentors, and
expertise.

Mandanas Case The Supreme Court (SC) ruling which declares the phrase “internal revenue”
ruling appearing in Article 284 of the Local Government Code unconstitutional,
thereby, entitling the LGUs with a national tax allotment computed based on all
forms of national tax beginning 2022 and mandating the automatic release of
the share of LGUs in the national taxes without the need of yearly appropriation.
(Mandanas, et al. v. Ochoa, et al., 2018 and Garcia, Jr. v. Ochoa, et al., 2018)

Mangrove/s A community of intertidal plants, including all species of trees, shrubs, vines, and
herbs, found on coasts, swamps, or border of swamps. (RA 8550, 1998)

Marine protected A defined area of the sea established and set aside by law, administrative regulation,
area/s or any other effective means, in order to conserve and protect a part of an entire
enclosed environment through the establishment of management guidelines. It
also includes all declared areas governed by specific rules or guidelines in order
to protect and manage activities within an enclosed area. (RA 10654, 2015)

Marine protected A group of adjacent individual marine protect areas (MPAs) under a common
area network management system based on all or any of the following: physical, biological,
governance, and socioeconomic connectivities. (DENR AO 2016-06).

Maritime Industry A ten-year roadmap which aims to accelerate the achievement of a nationally-
Development Plan integrated and globally-competitive Philippine maritime industry.
2019-2028

432 | Updated Philippine Development Plan 2017-2022


Market sharing An agreement between competitors to restrict their sales to specific geographic
areas, effectively creating local monopolies for each of them.

Market-determined Under the system of freely-floating exchange rates, the value of the foreign
/Flexible exchange currency in terms of the local currency is determined in the interbank foreign
rate policy exchange market (by the forces of supply and demand just like any commodity
or service being sold in the market). This is in contrast to a fixed exchange rate
system, in which a par value rate, is set between the local currency and the dollar
by the central bank. The par value may be adjusted from time to time.

Master Plan This was adopted on September 6, 2016 in Laos, as a successor document to
on ASEAN the Master Plan on ASEAN Connectivity 2010, with the goal of achieving a
Connectivity 2025 seamlessly and comprehensively connected and integrated ASEAN. It focuses
on five strategic areas namely: sustainable infrastructure, digital innovation,
seamless logistics, regulatory excellence, and people mobility.

Materials recovery It includes solid waste transfer station or sorting station, drop-off center,
facility composting facility, and recycling facility. (RA 9003, 2000)

Maternal mortality The ratio between the number of women, who died (for reasons of pregnancy,
ratio childbirth, and puerperium) to the number of reported live births in a given year,
expressed as the number of maternal deaths per 100,000 live births.

Mean years of This refers to the average number of completed years of education of a country's
schooling population aged 25 years and older, excluding years spent repeating individual
grades. (UNESCO, 2021)

Mediation A voluntary process, in which a mediator selected by the disputing parties,


facilitates communication and negotiation, and assists the parties in reaching a
voluntary agreement regarding a dispute.

Metrology This provides the measurement standards that are internationally traceable
and consistent with the Metre Convention, which promotes the consistent
modernization of units and standards of measurement in the areas of environment,
public health and safety, communications, transportation, sound intensity level,
and other emerging technologies. The standardization of units and standards is
encouraged to adapt to the current national and global developments including
compliance with international standards.

Micro, small, and This refers to any business activity or enterprise engaged in industry, agri-
medium enterprises business and/or services that has: (a) an asset size (less land) of up to PHP100
million; and (b) an employment size with less than 200 employees. Based on
these categories, it is classified as micro, small, or medium regardless of the type
of business ownership (i.e., single proprietorship, cooperative, partnership, or
corporation).

Glossary 433
Microinsurance An activity providing specific insurance, insurance-like, and other similar
products and services that meet the needs of the low-income sector for risk
protection and relief against distress, misfortune, and other contingent events.
(Insurance Commission [IC], 2017)

Migrant worker A migrant who is engaged in or has been engaged in a renumerated activity in a
state, which he or she is not a legal resident or on board a vessel, navigating the
foreign seas other than a government ship used for military or non-commercial
purposes or on an installation located offshore or on the high seas. (PSA, 2017)

Migration cycle These are stages of the migration process encompassing departure, in some cases
transit through a State, immigration in the State of destination, and return.

Minimum initial A set of priority activities to be implemented in emergency situations with the
service package goal of reducing maternal mortalities, morbidities, and disabilities through
for sexual and specific interventions on coordination, prevention of gender based violence,
reproductive health prevention of sexually-transmitted infections/human immunodeficiency virus/
acquired immune deficiency syndrome (STI/HIV/AIDS), maternal and neonatal
care, and planning for comprehensive reproductive health following the SPHERE
standard (project by a group of humanitarian non-governmental organizations
and the International Red Cross and Red Crescent Movement that identified
minimum standards in key life-saving sectors that must be achieved in any
humanitarian response, in order for disaster-affected populations to survive and
recover in stable conditions with dignity). When implemented in the early days
of an emergency, it can save lives and prevent illnesses, especially among women
and girls. (DOH, 2016)

Minus-One An android-based app which was developed to complement the soil diagnostic
Element Technique tool—Minus-One Element Technique (MOET) kit. It computes fertilizer
Application recommendations and yield estimates based on the pot-based fertilizer trial
to identify significant nutrient elements lacking in the soil. (Philippine Rice
Research Institute [PhilRice])

Missionary The provision of basic electricity service in unviable areas with the aim of bringing
electrification the operations in these areas to viability levels.

Mitigation This refers to, in the context of climate change, human interventions to address
anthropogenic emissions by sources and removals by sinks of all greenhouse gas
(GHG), including ozone-depleting substances and their substitutes. (RA 9729,
2009)

434 | Updated Philippine Development Plan 2017-2022


Modular distance A mode of distance learning that involves individualized instruction using
learning printed or digital self-learning modules and other learning resources like
textbooks, activity sheets, study guides, where the teacher takes responsibility
for monitoring learner progress and is available to provide assistance to students
should they have questions. Family members and other stakeholders serve as
para-teachers to supervise/guide learners in accomplishing the modules. (DepEd
Basic Education-Learning Continuity Plan [BE-LCP], 2020)

Multimodal This involves different transport modes on different routes. (Jonuschat,


H., Stephan, K., & Schelewsky, M. [2015]. Understanding multimodal and
intermodal mobility. In Sustainable Urban Transport. Emerald Group Publishing
Limited.)

Municipal fishing The catching of fish within municipal waters using fishing vessels of three gross
tons or less, or fishing not requiring the use of fishing vessels. (RA 8550, 1998)

Municipal waters Waters that include not only streams, lakes, inland bodies of water, and tidal
waters within the municipality, which are not included within the protected
areas as defined under RA 7586, public forest, timber lands, forest reserves
or fishery reserves, but also marine waters included between two lines drawn
perpendicular to the general coastline from points where the boundary lines of
the municipality touch the sea at low tide and a third line parallel with the general
coastline, including offshore inlands and 15 kms from such coastline. These are
two municipalities situated on opposite shores that there is less than 30 kms of
marine waters between them, the third line shall be equally distant from opposite
shore of the respective municipalities. (RA 8550, 1998)

Mutual Recognition These are framework arrangements established in support of liberalizing and
Agreement facilitating trade in services. Mutual Recognition Agreements (MRAs) aim to
facilitate mobility of professionals/skilled labor in ASEAN and work towards the
adoption of best practices on standards and qualifications.

National A standardized test designed to determine students’ achievement of learning


Achievement Test standards and 21st Century Skills under the K to 12 curriculum and administered
to learners in Grades 6, 10, and 12. Results are expressed in the mean percentage
score (MPS) and interpreted, in terms of proficiency levels ranging from Highly
Proficient (90-100), Proficient (75-89), Nearly Proficient (50-74), Low Proficient
(25-49), and Not Proficient (0-24). (DepEd)

National The National Competition Policy (NCP) is planned to be issued as an EO


Competition Policy containing a comprehensive framework that steers regulations and administrative
procedures to promote free and fair market competition.

Glossary 435
National Integrated The classification and administration of all designated protected areas to maintain
Protected Areas essential ecological processes and life-support systems, to preserve genetic
System diversity, ensure sustainable use of resources found therein, and maintain their
natural conditions to the greatest extent possible. (RA 7586, 1992)

National Justice An integrated information system that is intended to address and remedy the
Information System current information gaps in the Philippine criminal justice system by enabling
effective sharing of data between the police, judiciary, probation services,
custodial authorities, and criminal information registries, at key decision points
in the criminal justice system process.

National Logistics This serves as a guide for the national government in developing a seamless
Masterplan 2017- intermodal logistics corridor and assist in identifying the key transport
2022 and logistics bottlenecks. The masterplan envisions to advance Philippine
competitiveness through an efficient logistics sector.

National Quality An institutional framework that establishes and implements the practice of
Infrastructure standardization, including conformity assessment services, metrology, and
accreditation. (Aquino, 2016)

National Tourism A plan formulated by the Department of Tourism (DOT), as mandated by the
Development Plan Tourism Act of 2009 (RA 9593), which envisions to develop a highly-competitive
2016-2022 and environmentally-sustainable tourism industry.

National Transport This policy was formulated to help achieve the Transport Vision of a “safe,
Policy secure, reliable, efficient, integrated, intermodal, affordable, cost-effective,
environmentally sustainable, and people-oriented national transport system that
ensures improved quality of life of the people. The National Transport Policy
(NTP), as embodied in NEDA Board Resolution 5, s. 2017, “Approving the NTP”,
was adopted by the NEDA Board on June 27, 2017. It was published in general
circulation on February 14, 2018.

Pursuant to Section 11 of the NEDA Board Resolution 5, s. 2017, the NEDA


Board Committee on Infrastructure (INFRACOM), through the Inter-Agency
Technical Committee on Transport Planning (IATCTP), was tasked to formulate
and issue the accompanying Implementing Rules and Regulations (IRR) to
effectively carry out the provisions of the NTP. The IRR contains the guidelines
and methodologies in the operationalization of the strategies and intended
policy reforms in the transport sector towards the realization of the Transport
Vision. The INFRACOM, during its December 14, 2018 meeting, approved and
adopted the NTP IRR (INFRACOM Resolution 01-2018, “Approving the IRR
of the NTP”). The IRR was published in general circulation on December 30,
2019. (NEDA, NTP, 2021)

436 | Updated Philippine Development Plan 2017-2022


Natural capital The Natural capital accounting (NCA) is an umbrella term covering efforts to
accounting use an accounting framework to provide a systematic way to measure and report
on stocks and flows of natural capital. This covers accounting for individual
environmental assets or resources, both biotic and abiotic (such as water,
minerals, energy, timber, fish), as well as accounting for ecosystem assets (e.g.
forests, wetlands), biodiversity, and ecosystem services. (United Nations Statistics
Division [UNSD])

Natural floodplains Land areas adjacent to rivers and streams that are subject to recurring inundation.
They provide flood risk reduction benefits by slowing runoff and storing flood
water. (Organization of American States, US Homeland Security-Federal
Emergency Management Agency, 2020)

Nature-based This refers to actions to protect, sustainably manage, and restore natural and
solutions modified ecosystems that address societal challenges effectively and adaptively,
simultaneously providing human well-being and biodiversity benefits. (IUCN)

Negosyo Center A One-Stop Shop for services that caters to entrepreneurs’ need in processing
requirements to establish a business and in accessing information essential for
their growth.

Neonatal mortality The number of deaths within the first month of life per 1,000 live births.
rate

Net enrolment rate The ratio of the enrolment for the age group corresponding to the official school
age in the elementary/secondary level to the population of the same age group in
a given year. (NSCB, 2006)

New Normal In general, the new normal will be characterized by the need to observe social
distance and strict personal hygiene and other sanitation protocols. There may
still be sporadic lockdowns, though over a smaller geographic unit. At the same
time, the COVID-19 threat looms large in the minds of individuals—consumers
and business alike. This general context has far-reaching implications across
the different dimensions: political, economic, social, technological, legal, and
environmental. (NEDA, We Recover As One Report, 2020)

Niche Centers in This aims to address the discrepancy in access to R&D funding among the
the Regions for regions. Through the program, qualified higher education institutions (HEIs)
R&D Program in the regions are provided with grants so they can undertake quality research
directed at promoting regional development with their existing capabilities and
resources. A proposed Niche Centers in the Regions (NICER) should be unique,
a collaborative project between HEIs, and must be duly endorsed by the Regional
Development Council (RDC) to ensure its socioeconomic impact in the region.
(Science for Change Program Website)

Glossary 437
Night-rating A qualification that allows a pilot to fly an aircraft during the time of ‘night’ as
qualified by the International Civil Aviation Organization (ICAO), being the
time from 30 minutes after sunset to 30 minutes before sunrise and in Visual
Meteorogical Conditions (VMC). (European Pilot Academy)

Non-communicable This is also known as chronic diseases. Non-communicable diseases (NCDs)


disease are diseases not passed from person to person. They are of long duration and
generally slow progression. The four main types of NCDs are cardiovascular
diseases (like heart attacks and stroke), cancers, chronic respiratory diseases
(such as chronic obstructive pulmonary disease and asthma), and diabetes.

Non-motorized The movement of people and goods propelled by human power only such as
transport walking and cycling. (Land Transportation Office [LTO] MC 2020-2185, 2020)

Normalization A process whereby communities can achieve their desired quality of life, which
includes the pursuit of sustainable livelihood and political participation within
a peaceful, deliberative society. (Framework Agreement on the Bangsamoro,
Annex on Normalization)

Off-grid areas These are areas not connected to the wires and related facilities of the Grid System
of the Philippines.

Official A loan or a grant administered to promote sustainable social and economic


Development development and welfare of the Philippines. (Official Development Assistance
Assistance [ODA] Act of 1996 [RA 8182])

OneExpert An interactive web-based nationwide pool of science and technology (S&T)


experts. It intends to improve access to experts and technologies particularly
by people living outside of the major urban centers where most research and
technical institutions are located. In the same manner, OneExpert will likewise
bring the services of any accredited expert located anywhere in the Philippines to
clients that need S&T assistance. (OneExpert Website)

OneLab A network of laboratories aimed at ensuring availability and broadening public


access to testing and calibration services at a single touchpoint through an IT-
based platform. OneLab uniquely facilitates seamless laboratory transaction from
sample receipt to test result as facilitated by the OneLab Referral System. With
this efficient system, the fastest turn-around time and expanded test offerings in
the market can be obtained. (OneLab Website)

Open Access This refers to the system of allowing any qualified person the use of
(Energy) transmission and/or distribution system and associated facilities subject to
the payment of transmission and/or distribution retail wheeling rates duly
approved by the Energy Regulatory Commission (ERC).

438 | Updated Philippine Development Plan 2017-2022


Open Budget Index A part of the Open Budget Survey, which is a comprehensive analysis and
survey that evaluates whether governments give the public access to budget
information and opportunities to participate in the budget process at the
national level. (International Budget Partnership, 2011)

This index is developed by the International Budget Partnership and updated


every two years.

Open distance A system which combines the methodology of distance education with the
learning concepts of open learning and flexible learning. Open learning refers to a
philosophy of learning that is based on flexibility of access for equity in education,
an educational system accessible to every individual with minimal restrictions,
and emphasizing the flexibility of the system to eradicate problems caused by
barriers like age, geographical location, time constraints, and economic situation.

Distance education is a mode of learning in which students and teachers are


physically separated from each other. It is student-centered, guided independent
study, making use of well-studied teaching and learning pedagogies to deliver
well-designed learning materials in various media. It is also sometimes described
as flexible learning and distributed learning. (RA 10650, 2014)

Operational relief These are measures that ensure that BSP stakeholders have continued access to
measures for FX FX resources of the banking system.
transactions

Organic agriculture This includes all agricultural systems that promote the ecologically sound, socially
acceptable, economically viable and technically feasible production of food and
fibers. Organic agriculture dramatically reduces external inputs by refraining
from the use of chemical fertilizers, pesticides, and pharmaceuticals. (Organic
Agriculture Act of 2010 [RA 10068])

Output limitation An agreement between competitors to prevent or restrict the volume of particular
goods or services available on the market to manipulate prices.

Overseas Filipino Filipino migrant workers whether regular or irregular. (PSA, 2017)
workers

Overseas Filipinos Filipinos who are living outside of the Philippines. (PSA, 2017)

Palayamanan A model of diversified integrated rice-based farming system developed and


established by PhilRice, which is composed of synergistically compatible farming
ventures such as rice, onion, poultry, livestock, and aquaculture. (PhilRice)

Glossary 439
Palliative care An approach that improves the quality of life of patients and their families facing
the problem associated with life-threatening illness, through the prevention and
relief of suffering by means of early identification and impeccable assessment and
treatment of pain and other problems, physical, psychosocial, and spiritual.

Participatory Sometimes called participatory democracy, it refers to forms of governance in


governance which citizens and other non-state actors, are empowered to influence and share
control in processes of public decision-making that affect their lives. (Coghlan
and Brydon-Miller, 2014)

Patent A grant issued by the government through the IPOPHIL. It is an exclusive right
granted for a product, process, or an improvement of a product or process which
is new, inventive, and useful. This exclusive right gives the inventor the right to
exclude others from making, using, or selling the product of his invention during
the life of the patent.

Patent Cooperation An agreement for international cooperation in the filing, searching, and
Treaty examination of patent applications and the dissemination of information
contained in the applications. The treaty implements the concept of filing a single
international patent application, which will have a legal effect of filing, in the
different countries bound by the treaty.

Percentage of youth This refers to the total unemployed youth (15-24 years old), who are not currently
not in education attending school plus total youth not in the labor force who are not currently
and employment attending school, as a percentage share of total youth household population.
(PSA metadata, 2018)

Permanent overseas Overseas Filipinos (OFs), including their descendants, with permanent residence
Filipinos abroad. These are also Filipinos abroad with dual citizenship status. (PSA, 2017)

Personal Property The enactment of the Personal Property Security Act of 2018 (RA 11057), grants
Security Act small businesses, particularly MSMEs, farmers, and fisherfolk, greater access
to credit by allowing the use of non-traditional collaterals, such as accounts
receivables, inventory, crops, livestock, consumer goods, machinery, equipment,
and intellectual property rights, among others. This will be done by establishing
a unified and modern legal framework for securing obligations with personal
property

Personal protective Specialized clothing or equipment designed to protect workers against safety and
equipment health hazards that may cause serious workplace injuries and illnesses.

Persons deprived of Detainees who are incarcerated pending trial and/or final judgment. It includes
liberty all persons who are arrested, detained, imprisoned, or otherwise under custody
of government authorities.

440 | Updated Philippine Development Plan 2017-2022


Philippine A single national identification system for all citizens and resident aliens of the
Identification Republic of the Philippines to promote seamless delivery of service, improve
System efficiency, transparency, and targeted delivery of public and social services,
enhance administrative governance, reduce corruption and curtail bureaucratic
red tape to avert fraudulent transactions and misrepresentations to strengthen
financial inclusion, and promote EODB. (RA 11055, Section 2)

Philippine Inclusive The Philippine Inclusive Innovation and Industrial Strategies (i3S) aims to grow
Innovation and and develop globally-competitive and innovative industries with innovation at
Industrial Strategies the front and center of industrial policies and programs supported by pillars
consisting of building new industries, clusters, and agglomeration. These will
also ensure MSME growth and development, human resource development, and
improving EODB and the business environment.

Philippine The Philippine Innovation Act of 2019 (RA 11293) mandates the creation of the
Innovation Act National Innovation Council (NIC) that will steer the whole-of-government
coordination and collaboration and remove the fragmentation in the country’s
innovation governance.

Philippine This act aims to strengthen, promote, and develop the Philippine startup
Innovative Startup ecosystem by allowing startups and enablers to enjoy privileges, making it easier
Act of 2019 for them to run their startups. It will also provide opportunities for entrepreneurs
with innovative ideas to gain access to capacity-building exchange programs
and link them to potential investors, collaborators, and markets, both local and
overseas.

Philippine National A web-based portal that provides a single source of comprehensive, accurate, and
Trade Repository up-to-date information on all trade related matters.

Philippine A national policy which describes the levels of educational qualifications and
Qualifications sets standards for the outcomes of education and training, specializations, skills,
Framework and competencies. It is a quality-assured national system for the development,
recognition, and award of qualifications based on standards of knowledge, skills,
and values acquired in different ways and methods by learners and workers of
the country. It supports the development and maintenance of pathways and
equivalencies which provide access to qualifications.

Philippine Railway An institution accredited by the TESDA that offers TVET courses under TESDA
Training Center and CHED.

Glossary 441
Philippine Startup This program supports startups from the formation of ideas, product development,
Development to marketing and expansion. The DICT, DOST, and DTI are authorized to provide
Program the following benefits and incentives to startups and startup enablers who have
passed the selection and application process.

PM 10 Particulate Matter (PM) with less than 10 micrometers in diameter. (RA 8749,
1991)

PM 2.5 PM with less than 2.5 micrometers in diameter. (RA 8749, 1991)

Portfolio A category of crossborder transactions and positions involving debt or equity


investment securities, other than those included in direct investment or reserve assets.

Potential irrigable An arable land area of the country that can be developed for irrigation, relatively
area flat from 0-3 percent slope rate, has an available source of water to sustain
irrigation delivery for crop production and other agricultural purposes and has
farmers willing to till the land and raise crops there. (NIA)

Poverty incidence The proportion of families/individuals with per capita income/expenditure less
than the per capita poverty threshold to the total number of families/individuals.
(PSA)

Precarious work This refers to workers whose nature of employment is short-term or seasonal or
casual or those who worked for different employers on day-to-day or week-to-
week basis.

Preferential market Privilege granted to parties to a trade agreement often allowing for reduced tariffs
access for specific commodities.

Price fixing An agreement between competitors to collude with one another to fix prices
for goods and services, rather than allowing prices to be determined by market
forces.

Primary energy This refers to energy production plus energy imports, minus energy exports,
supply minus international bunkers, then plus or minus stock changes

Primary Disbursements of the government excluding the interest payments on the debt.
expenditures

Principal river River basins whose basin area is at least 40 sq.km.


basin

Production forest Forest lands that can be made available for timber and agroforestry production,
range lands for grazing, and other forest lands special uses. (Philippine Official
Reference for Forest-Related Terms and Definitions)

442 | Updated Philippine Development Plan 2017-2022


Production network The nexus of interconnected functions, operations, and transactions through
which a specific product or service is produced, distributed and consumed.

Productivity A package of training and technical assistance services designed to help MSMEs
toolbox identify and address productivity gaps through appropriate and needs-based
productivity tools and technologies. It also helps MSMEs design and implement
productivity-based incentive schemes to ensure growth in workers’ income
commensurate to their productivity.

Project repeal An initiative spearheaded by the National Competitiveness Council (NCC)


geared towards eliminating red tape by systematically removing redundant and
burdensome policies in government agencies.

Protected areas These are identified portions of land and water set aside by reason of their unique
physical and biological significance, managed to enhance biological diversity,
and protected against destructive human exploitation.

Protection forest An area wholly or partly covered with woody vegetation managed primarily for
its beneficial effects on water, climate, soil, aesthetic value, and preservation of
genetic diversity. (DENR AO No. 1995-15)

Protectionism Policy of protecting domestic industries against foreign competition by means of


tariffs, subsidies, import quotas, or other restrictions or handicaps placed on the
imports of foreign competitors. (Britannica)

Public Financial Set of laws, rules, systems, and processes used by the government in resource
Management mobilization and expenditure management. It is how the government raises its
income (in the form of taxes, customs duties, and other revenues) and manages
its expenditures to deliver essential services to its citizens in various areas (i.e.,
education, health care and other social programs, roads and infrastructure, the
rule of law and security).

Public rental Government-owned structures in the form of medium rise walk-up apartments
housing or single-structure buildings called tenements built specifically for rent to low-
income households.

Public-private Broadly defined as a contractual agreement between the government and a


partnership private firm targeted towards financing, designing, implementing, and operating
infrastructure facilities and services that were traditionally provided by the
public sector.

Qualified third This refers to private sector providers of electric service in remote and unviable
parties areas not served by the franchised utility.

Glossary 443
Quantitative Specific limits imposed on the volume or value of goods traded by a member of
restriction the WTO. The General Agreement on Tariffs and Trade (GATT) requires the
general elimination of these restrictions except in defined circumstances. (WTO)

Research and Defined based on the “accrual” approach as expense or cost incurred by a
Development particular R&D institution or unit in implementing the R&D project/activity
Expenditure during a specific reference period. It includes all expenses or costs that are paid/
payable/committed/obligated, whatever the source of funds. R&D expenditures
are classified into: personal services, maintenance and other operating expenses,
and capital outlay. (DOST, 2015)

Research and This aims to help develop and strengthen further the research capabilities of the
Development academe, research and development institutions (RDIs), and other government
Leadership line agencies nationwide. To this end, RDLeaders who are local S&T experts with
Program strong leadership and innovative policy proficiencies are engaged to train, and
direct and support their R&D goals. Depending on the R&D needs of the academe,
RDIs, and line agencies, an RDLeader is engaged through application, screening,
and evaluation by the National Research Council of the Philippines (NRCP). The
NRCP is the implementing agency of the R&D Leadership (RDLead) Program.
(Science for Change Program)

Radicalization A process through which an individual adopts an increasingly extremist set of


beliefs and aspirations. This may include, but is not defined by, the willingness
to condone, support, facilitate, or use violence to further political, ideological,
religious, or other goals. (UNODC)

Rainwater A water harvesting technique which harvests runoffs or ground surfaces used
harvesting productive purposes.

Rapid land tenure The process to obtain a clear picture of the land tenure situation on the ground
appraisal before land titling operations are entered into the area. It is intended to determine
the approximate workable lots in a particular area. (DENR-Land Management
Bureau [LMB] Technical Bulletin 1, s. 2018)

Rediscounting A credit facility to augment funds needed by wholesale borrowers, where


facilities availments on the rediscounting line are made against promissory notes of sub-
borrowers. It includes not only those project/business-based enterprises but also
those for eligible salary-based general purpose consumption loans.

Reenacted budget This means that if by the end of any fiscal year, the Congress fails to pass the General
Appropriations Bill (GAB) for the ensuing year, the General Appropriations Act
(GAA) for the preceding year shall be deemed reenacted and shall remain in
force and in effect until the GAB is passed by the Congress. (1987 Constitution)

444 | Updated Philippine Development Plan 2017-2022


Regional Inclusive A network of innovation agents that collaborate to commercialize market-
Innovation Centers oriented research towards the competitiveness of the region, which aims to
generate better employment opportunities, more entrepreneurial activities, and
sustainable economic prosperity in the country’s regions. These innovation agents
include: industries, universities, government agencies, LGUs, startups, MSMEs,
R&D laboratories, S&T parks, incubators, FabLabs, investors, among many other
agents in the ecosystem. (DTI)

Registry System A nationwide database of baseline information of farmers, farm laborers, and
for Basic Sectors in fisherfolk from identified provinces, as well as geographical coordinates of
Agriculture agricultural and fishery workers’ households. These data shall be used as basis for
developing programs and policies for the agriculture and fishery sectors.

Regular Foreign The Regular Foreign Investment Negative List (RFINL) identifies and provides
Investment local and foreign investors, as well as regulators, a clear guide on the investment
Negative List activities/areas that are open to foreign investors and the extent of foreign equity
participation allowed therein. This is formulated every two years by virtue of the
Foreign Investments Act of 1991 (RA 7042) as amended by RA 8179.

Regulatory Impact A tool to design and evaluate policies, laws, and regulations that are targeted,
Assessment proportionate, accountable, transparent, and consistent. It involves a
systematic process that examines the expected consequences of a range of
alternative policy options that could be used to address a particular policy
problem or issue. The policy options shall include evidence-based information
to decision-makers, regulators, and stakeholders. (JMC 2019-001 IRR of RA
11032, Section 4)

Regulatory A sub-indicator of the WB’s Worldwide Governance Indicators. This indicator


quality reflects perceptions of the ability of the government to formulate and implement
sound policies and regulations that permit and promote private sector
development. (Kaufmann, Kraay, and Mastruzzi, 2010)

Regulatory A testing ground for emerging industries that requires a high degree of
sandbox regulatory flexibility, market openness, and a competitive policy environment.
Further, supporting the growth of emerging industries may spur innovation
but may also cause disruption to traditional sectors.

Reintegration A holistic process by which a migrant, on her/his own or with the assistance
of government and other duty bearers (private sector, development non-
government organizations [NGOs], or organizations), returns to her/his home of
origin for good, by intention, through a series of preparations and interventions
geared towards her/his specific needs, goals, interests, potentials and capacities.
(OWWA-National Reintegration Center For OFWs’ [NRCO] definition as
presented in the SCIMD Meeting, June 11, 2021)

Glossary 445
Remittance flows These include the entire spectrum of cross-border remittance and resource flows
(current and capital transfers in cash and kind), including migrants’ and short-
term employee income transfers (personal remittances), acquired rights in social
benefits (total remittances), and bilateral aid programs (both private and public)
to non-profit organizations.

Renewable energy This refers to energy resources that do not have an upper limit on the total
quantity to be used. Such resources are renewable on a regular basis, and whose
renewal rate is relatively rapid to consider availability over an indefinite period
of time. These include, among others, biomass, solar, wind, geothermal, ocean
energy, and hydropower.

Repatriation This refers to bringing distressed workers back to the Philippines. It includes,
airport assistance, temporary shelter at the OWWA Halfway House, and provision
for their travel back to their provinces.

Repo (Repurchase) A facility where the buyer (BSP) purchases securities from a seller (bank) with
facility a commitment to sell the securities back at a specified future date at a pre-
determined rate. In the case of the BSP, this causes liquidity to expand. Conversely,
a reverse repurchase facility causes liquidity to contract if used by the BSP.

Report card An evaluation, formerly implemented by the CSC and now under the Anti-Red
survey Tape Authority (ARTA), to obtain feedback on how provisions in the Citizen’s
Charter are being followed and how the agency is performing. This evaluation
also includes estimates of hidden costs incurred by clients to access frontline
services, which may include, but are not limited to, bribes and payment to fixers.
(RA 11032, Section 20)

Research and Defined as comprising creative work undertaken on a systematic basis in order
Development to increase the stock of knowledge, including knowledge of man, culture, and
society, and the use of this stock of knowledge to devise new applications. This
definition is based on UNESCO and OECD. The basic criterion to distinguish
R&D from related activities is the presence of an appreciable element of novelty
and the resolution of scientific and/or technological uncertainty, i.e., when the
solution to a problem is not readily apparent to someone familiar with the basic
stock of common knowledge and techniques for the area concerned. (OECD
Frascati Manual, 2002)

Resiliency or The capacity of social, economic, and environmental systems to cope with a
resilience hazardous event or trend disturbance, responding, or reorganizing in ways that
maintain their essential function, identity, and structure, while also maintaining
the capacity for adaptation, learning, and transformation. (IPCC, 2014)

446 | Updated Philippine Development Plan 2017-2022


Results-Based This serves as single performance management system for the whole of
Performance the Executive Branch, in place of the multiple and disparate performance
Management management systems that are currently being implemented. This seeks
System to rationalize, harmonize, streamline, simplify, integrate, and unify the
performance management systems and activities of oversight government
agencies. (Results-Based Performance Management System [RBPMS])

Revised This is also known as RA 11232, which eliminates barriers to entry of both small
Corporation Code and large enterprises by permitting the formation of one-person corporations,
of the Philippines and allowing stockholders or members to exercise their rights through remote
communication and in-absentia voting, among others.

Rice The tariff collected from imported rice which shall be used to help rice
Competitiveness farmers become competitive and more productive. It consist of (a) an
Enhancement Fund annual appropriation of PHP10 billion for six years to fund programs on
farm mechanization, seed development, propagation and promotion, credit
assistance, and extension services, which were specifically identified to
improve the productivity of rice farmers, reduce production cost and link
them to the value chain; and (b) the excess from the PHP10 billion tariff
revenue collection, which will still be given to rice farmers and appropriated
by the Congress the following year, for the direct financial assistance for rice
farmers, titling of agricultural rice lands, expanded crop insurance program,
and crop diversification program. (Rice Tariffication Law [RA 11203], 2019)

Rice Crop Manager A decision support tool that provides a farmer with a personalized crop
management recommendation after the farmer answers a series of questions. It is
intended for irrigated and rainfed rice grown in farm lots surrounded by bunds.
Based on research trials, the Rice Crop Manager (RCM) can increase yields and
added net benefit when farm lots normally yield below 7 tons/hectare (ha) at 14
percent moisture. Benefit from RCM could be very small or negligible for farm
lots with normal yield of 7 tons/ha and above at 14 percent moisture,.(IRRI)

Riparian buffer Strip of vegetation along the bank of a stream or river that spatially separates
strips more developed land from water. Buffers help provide shade, protect water from
human land use practices, and control erosion. Plants used in buffers can include
various grasses, forbs, shrubs, and trees. (IPC, 2019)

River basin An area of land that drains water, sediment, and dissolved materials to a
common outlet at some point along the river and/or stream channel. Principal
river basins are those with basin areas of at least 40 sq.km., while major river
basins are those with basin areas of at least 990 sq.km.

Glossary 447
Roll-on-Roll-off A modern cargo handling technique first introduced in the 1950s, in which
vessels are used to carry wheeled cargo. Rolling stock is ready for delivery upon
arrival at the discharge port, and loading, stowing, and discharge operations are
simplified. This method is used on board many ships, such as roll-on-roll-off
(RORO) freight ferries, multipurpose RORO carriers, car carriers, rail/vehicle
ferries, and car/passenger ferries.

Route Route rationalization determines the appropriate mode, quantity and service
rationalization characteristics of the public transport service in each corridor ,which will make
the routes more responsive to passenger demand and ensure that the hierarchy of
roads and modes of transportation, are followed. (LTFRB, 2021)

Rule of law A principle of governance, in which all persons, institutions and entities, public
and private, including the state itself, are accountable to laws.

Safe and potable This refers to the water accessed through a pipe system into dwellings, yards, or
water supply plots, through public tap and through protected wells.

Sanitary and Measures applied to protect animal or plant life or health within the territory from
phytosanitary risks arising from additivies, contaminants, toxins, or disease-causing organisms
protocols in foods, beverages, or feedstuffs; or from the entry, establishment or spread of
pests, diseases, disease-carrying organisms, or disease-causing organisms.

Sanitary landfill A waste disposal site designed, constructed, operated, and maintained in a
manner that exerts engineering control over significant potential environmental
impacts arising from the development and operation of the facility. (RA 9003,
2000)

Science A system of knowledge that is concerned with the physical and natural world
and its phenomena and works to unveil general truths and the operations of
fundamental natural laws. Producing scientific knowledge requires unbiased
observations and systematic experimentation using the scientific method.
(UNCTAD, 2019)

Science for Change This program was created to accelerate science, technology, and innovation (STI)
Program in the country, in order to keep up with the developments of our time wherein
technology and innovation are game changers. Through the Science for Change
Program (S4CP), the DOST can significantly accelerate STI in the country and
create a massive increase in investment on S&T Human Resource Development
and R&D B14. (DOST, S4CP)

Seal of Good Local An award, incentive, honor, and recognition-based program for all LGUs and
Governance a continuing commitment for LGUs to continually progress and improve their
performance. (RA 11292, Section 3)

448 | Updated Philippine Development Plan 2017-2022


Security of tenure The degree of protection afforded to qualified program beneficiaries against
infringement or unjust, reasonable, and arbitrary eviction or disposition,
by virtue of the right of ownership, which may come in the form of lease
agreement, usufruct, or other contractual arrangements.

Seed development The process by which  seeds  are formed from the end of fertilization to
the production of a mature seed body. (Nature)

Septage Sludge produced on individual onsite wastewater disposal systems, mainly septic
tanks and cesspools. (RA 9275, 2004)

Septage This refers to the provision of proper collection, treatment, and disposal of
management septage.

Serosurvey Serological survey in which serum specimens are collected from selected
populations over a specified period of time and tested for antibodies against a
given infectious pathogen, as an indicator for immunity.

Sewerage This refers to any system or network of pipelines, ditches, channels, or conduits
including pumping stations, lift stations, and force mains, service connections
including other constructions, devices, or appliances appurtenant thereof, which
includes the collection, transport, pumping, and treatment of water-borne human
or animal waste removed from residences, buildings, institutions, industrial, and
commercial establishments to point of disposal.

Shared Service This aims to improve the competitiveness of MSMEs by providing them with
Facilities machinery, equipment, tools, systems, skills, and knowledge under a shared
system.

Single Carpeta An integrated database of inmate information management for Bureau of Jail
System Management and Penology (BJMP), Board of Pardons and Parole (BPP), and
Parole and Probation Administration (PPA). The system will serve as an exchange
portal among the three agencies with the Inmate Management Information
System of the Bureau of Corrections (BUCOR).

Small Enterprise The DOST’s nationwide strategy encouraging and assisting MSMEs to adopt
Technology technological innovations to improve their products, services, and operations
Upgrading Program and increase their productivity and competitiveness.

Small farmer Farmers cultivating not more than three hectares of land; landless farm workers
with primary occupation in agriculture; or those engaged as backyard poultry/
livestock raisers. In case of combination of these activities, the primary source of
income will serve as the basis.

Glossary 449
Small fisherfolk Fisherfolk who are: (a) operating fishing vessels of not more than three gross
tons capacity; (b) operating fishponds of less than five hectares or fish cages/
pens of less than 400 square meters; or (c) fish workers in fishing boats,
fishponds, fish processing and allied establishments, and gleaning activities.

Small Power The functional unit of the National Power Corporation (NAPOCOR) created to
Utilities Group pursue missionary electrification function.

Small Scale Type of irrigation system with limited service areas, constructed in locations
Irrigation Systems where permanent or continuous water sources are not available, and in which
farmers have the control and management of the water abstraction from its source
and using a level of technology which the farmers can effectively operate and
maintain. It refers to a wide range of irrigation infrastructures with various water
resources development approaches such as Small Water Impounding Project
(SWIP), Small Farm Reservoir (SFR), Diversion Dam (DD), Pump Irrigation
System from Open Sources (PISOS) and Shallow Tubewell (STW). (DA-BSWM
National Master Plan for SSIP 2014-2022; DA-BSWM, 2014, as used in PDP
2017-2022)

Small-scale mining Mining activities which rely heavily on manual labor using simple implements
and methods and do not use explosives or heavy mining equipment (RA 7076,
1991)

Smart city A city that connects people, information, and city elements to develop urban
centers that are sustainable, inclusive, greener, competitive, innovative, and
resilient by using all available technologies and resources in an intelligent and
coordinated manner to provide basic public services and ensure livability.
(Albino, et.al., 2015; Nam & Pardo, 2011; ADB, 2021)

Smart Industry The DTI aims to develop a Smart Industry Readiness Index (SIRI) for the country.
Readiness Index This was developed in Singapore as the first self-diagnostic Industry 4.0 tool that
helps companies globally—regardless of size and industry—determine how to
start, scale and sustain their Industry 4.0 transformation. The tool serves as a
benchmark for manufacturers to assess and compare their Industry 4.0 maturity
levels against those of their peers in the same industry.

Social capital A measure of how cohesive a society is in terms of the strength of community
and family networks therein, and the level of trust and respect people have for
each other and for institutions.

Social cohesion A state of affairs between and among members of the community and between
citizens and their government, where they are bound together by norms, values,
practices, and relationships, characterized by respect for diversity, culture of
peace, cooperation, and trust.

450 | Updated Philippine Development Plan 2017-2022


Social enterprise A business with primarily social objectives, whose surpluses are principally
reinvested for that purpose in the business or in the community, rather than
being driven by the need to maximize profit for shareholders and owners.

Socialized housing Housing units costing up to PHP480,000 for 22 sq.m. with loft of at least 50
percent of the base structure, or 24 sq.m.; or up to PHP530,000 for 24 sq. m with
loft of at least 50 percent of the base structure, or 28 sq.m.; or up to PHP 580,000
for 28 sq.m. with loft of at least 50% of the base structure, or 32 sq.m. (HUDCC
Resolution 1 s. 2018)

For socialized condominium units, its cost is up to PHP700,000 for a 22 sq.m. or


PHP750,000 for a 24 sq.m. unit located in the National Capital Region, San Jose
Del Monte City in Bulacan Province, Cainta and Antipolo City in Rizal Province;
San Pedro City in Laguna; Carmona and the cities of Imus and Bacoor in Cavite
Province. For other areas, a socialized condominium unit costs PHP 600,000 for
a 22 sq.m. or PHP650,000 for a 24 sq.m. (HUDCC Resolution 2, s. 2018)

Solid waste All discarded household, commercial waste, non-hazardous institutional and
industrial waste, street sweepings, construction debris, agricultural waste, and
other non-hazardous/non-toxic solid waste.

Solid Waste Discipline associated with the control of generation, storage, collection, transfer
Management and transport, processing, and disposal of solid wastes in a manner that is in
accord with the best principles of public health, economics, engineering,
conservation, aesthetics, and other environmental considerations, and that is
also responsive to public attitudes.

Space technology The technology that is related to entering and retrieving objects or life forms
from space. Technologies such as weather forecasting, remote sensing,
Global Positioning System (GPS), satellite television, and some long distance
communication systems critically rely on space infrastructures.

Special education The education of persons who are gifted or talented and those who have physical,
mental, or sensory impairment and cultural differences that require modifications
of school curricula, programs and special services, and physical facilities to
develop them to their maximum capabilities. (NSCB, 2006)

Special Education This provides the source of funds for the supplementary annual budgetary
Fund needs for the operation and maintenance of public schools within the province,
city, or municipality through an annual Special Education Fund Budget.
(DepEd, DILG, and DBM Joint Circular 1, s. 2017)

Glossary 451
Standard A document approved by a recognized body that provides for common and
repeated use, rules, guidelines, or characteristics for products or related processes
and production methods, in which compliance is not mandatory. It may also
include or deal inclusively with terminology, symbols, packaging, marking, or
labelling requirements as they apply to a product, process, or production method.

Standardization The activity of establishing provisions for common and repeated use in order
to achieve the optimum degree of order in a given context. Said provisions,
otherwise known as standards, are developed, adopted, and updated,
which permits innovation and technical development, compatibility and
interchangeability, improved productivity, and reduced waste.

State university and Public HEI in the Philippines with independent separate Governing Boards
college established by national laws which constitute their individual charters and
financed and maintained by the national government. (NSCB, 2006)

Stranded contract The excess of the contracted cost of electricity under eligible contracts over
costs the actual selling price of the contracted energy output of such contracts in the
market, which contracts shall have been approved by the Energy Regulatory
Board as of December 31, 2000. (RA 9136, 2001)

Stranded debts Any financial obligations of NAPOCOR which have not been liquidated by the
proceeds from the sales and privatization of NAPOCOR assets. (RA 9136, 2001)

Strategic Represents the country’s investment plan containing not only the list of priority
Investment Priority industries but also investment promotion and facilitation activities for all
Plan investment promotion agencies (IPAs). The plan is valid for three years and
subject to review and amendment every three years. The BOI in coordination
with the Fiscal Incentives Review Board (FIRB), IPAs, other government agencies
administering tax incentives, and the private sector are tasked to formulate the
Strategic Investment Priority Plan (SIPP).

Stunting A state in which a child, as a result of inadequate diet in the past, is small or short
for his or her age and for his or her genetic stock

Subsistence Proportion of the population with per capita income less than the per capita food
incidence threshold. (PSA)

452 | Updated Philippine Development Plan 2017-2022


Supply chain Provides funded and unfunded risk participations and guarantees through
financing ADB's partner financial institutions (PFIs), as well as by direct loans by ADB to
obligors, to enhance the access of SMEs to working capital for supply chains. The
supply chain financing (SCF) aims to broaden private sector support for supply
chain finance, improve cash flow to companies to enable growth and job creation,
allow companies traditionally not considered bankable to receive financing,
and produce a demonstration effect that encourages financial institutions to
undertake more supply chain financing.

Supreme Court The SC ruled that all collections of national taxes, except those accruing to special
ruling on the purpose funds and special allotments for the utilization and development of the
Mandanas Case national wealth, should be included in the computation of the base of the just
share of local government units. (EO 138, s. 2021)

Surety cover In the context of implementing the Credit Surety Fund (CSF), issuing a surety
cover is meant to secure loans of qualified MSME and cooperative/NGO
borrowers in lieu of hard collaterals. This is one of the tools being utilized by the
government to enhance MSME's access to finance.

Sustainability The policy anchored on the Philippine Green Jobs Act of 2016, with the state
Incentive Program providing incentives in a range of industries that produce goods or render
services for the benefit of the environment, conserve natural resources for future
generation, and ensure sustainable development and transition of the country
into a green economy.

Sustainable A holistic approach in minimizing the negative environmental impacts from


Consumption and consumption and production systems while promoting quality of life for all. (UN
Production Environment Programme [UNEP], 2011)

The use of services and related products which respond to basic needs and bring
a better quality of life while minimizing the use of natural resources and toxic
materials, as well as the emissions of waste and pollutants over the life cycle of the
service or product so as not to jeopardize the needs of future generations.

Sustainable Development that meets the needs of the present without compromising the
development ability of future generations to meet their own needs. (Bruntland Commission
Report, 1987)

Sustainable land The use and management of land resources—soil, water, animals and plants—for
management the production of goods to meet changing human needs, while ensuring the long-
term productive potential of these resources and maintenance of environmental
functions. (FAO)

Glossary 453
Systemic risk The potential loss or damage to an entire system as contrasted with the loss to a
single unit of that system. Systemic risks are exacerbated by interdependencies
among the units often because of weak links in the system. These risks can be
triggered by sudden events or built up over time with the impact often being large
and possibly catastrophic. (WEF, 2010)

Task Force A task force composed of justice sector agencies mandated to track and keep
Katarungan at a record of the progress of criminal cases of all detained persons within
Kalayaan its jurisdiction and ensure that such persons are accorded the rights and
privileges provided by law, the rules, and the guidelines. It shall have access to
all case records and information relating to detained persons and shall advise
the judges hearing their cases, when warranted, of the need for them to act on
any incident or situation that adversely affects the rights of detained persons
or subjects them to undue or harsh treatment.

Technical The education process designed at secondary and lower tertiary levels, officially
Vocational recognized as nondegree programs aimed at preparing technicians, para-
Education and professionals and other categories of middle-level workers by providing them
Training with a broad range of education, theoretical, scientific, artistic and technological
studies, social services, and related jobs skills training. (NSCB, 2006)

Technology The systematic theoretical and practical knowledge and skill used in the process
of production or service delivery. Technology is not a finished product or service.
Technology includes the entrepreneurial expertise and professional know-how
needed to deliver products and services. (UNCTAD, 2019)

Technology A specific type of business incubator—a property-based venture that provides


Business Incubation tangible and intangible services to new technology-based firms, entrepreneurs,
and spin-offs of universities and large firms, all with the aim of helping them
increase their chances of survival and generate wealth and jobs and diffuse
technology.

Technology This aims to upgrade the capabilities of the agency’s technology business
Business Incubation incubation network that would set off the “internationalization” of the Philippine
4.0 Technology Business Incubators (TBIs).

Technology startups Tech-based startups specialize in providing products and services through the
mix of existing business activities with new ICT tools, resulting in reduced costs
and greater efficiency.

Technology transfer This refers to the process by which one party systematically transfers to another
agreement party the knowledge for the manufacture of a product, the application of a
process, or rendering of a service, which may involve the transfer, assignment, or
licensing of intellectual property rights as defined in the Philippine Technology
Transfer Act of 2009 (RA 10055).

454 | Updated Philippine Development Plan 2017-2022


Technopreneur A new age entrepreneur who makes use of technology to come out with something
new to make some innovation. Once the person succeeds in it, he exploits his
achievement in the market to make money.

Technopreneurship Entrepreneurship in a technology intensive context. It is a process of merging


technological prowess and entrepreneurial talent and skills.

Telemedicine The delivery of health care services, where distance is a critical factor, by all
health care professionals using information and communication technologies
for the exchange of valid information for diagnosis, treatment and prevention
of disease and injuries, research and evaluation, and for the continuing
education of health care providers, all in the interests of advancing the health
of individuals and their communities.

Temporary overseas OFs who temporarily stay overseas for employment or non-employment
Filipinos purposes. Temporary may be classified in terms of intention to stay. It also
includes students, OFWs, and missionaries. (PSA, 2017)

Terms-of-trade Ratio between export prices and import prices.

Three-Year Rolling The document containing the pipeline of strategic and other projects needed
Infrastructure to sustain inclusive economic growth aimed to synchronize the infrastructure
Program planning, programming and budgeting, and execution processes of the
government both at the oversight and implementing agency level.

Trade protectionism Economic policies that limit or reduce international trade to protect domestic
industries. These include subsidies, tariffs, quotas, currency manipulation, and
other restrictions.

TradeLine Business intelligence platform that aims to deliver timely and relevant information
and assistance to existing and potential exporters to enhance their capabilities
and competitiveness as suppliers of quality goods and services to global markets.

TradeNet An interoperable platform that facilitates processing of licensing, permit,


clearance, and certification regulatory agencies.

TradeNet Portal The country’s gateway for trade facilitation, which provides automated licensing,
permit, clearance, and certification system with regulatory agencies, integrated
into one internet-based platform.

Traffic engineering A discipline which includes the design of highways and pedestrian ways, the
study and application of traffic statistics, and the environmental aspects of the
transportation of goods and people.

Glossary 455
Traffic management The direction, control, and supervision of all functions incident to the
procurement and use of freight and passenger transportation services.

Transitional justice A full range of processes and mechanisms associated with a society's attempt to
come to terms with a legacy of large-scale abuses committed in the past, in order
to achieve accountability, serve justice, and achieve reconciliation. (Report of the
Transitional Justice and Reconciliation Commission)

Transmission The conveyance of electricity through the high voltage backbone system.
(Energy)

Transnational crime Offenses whose inception, perpetration, and/or direct or indirect effects involve
more than one country. (UNODC)

Transnational All types and modes of higher education study programs, sets of courses of
higher education study, or educational services (including distance education and study abroad
programs) which involve: education systems of a State different from the State
where a transnational higher education provider operates; programs which may
operate independently of any national education system; or programs where
the learners are located in a country different from the one where the awarding
institution is based. (RA 11448, 2019)

Treatment, storage, Facilities where hazardous wastes are stored, treated, recycled, reprocessed, or
and disposal disposed of. (DENR AO 36, s. 2004)
facilities

Twenty foot The unit of the capacity of a container ship, a container terminal, and the statistics
equivalent unit of the container transit in a port.

Underemployment This refers to the employed persons who express the desire to have additional
hours of work in their present job or an additional job, or have a new job with
longer working hours. (PSA)

Under-five The probability of dying between birth and age five, expressed as the number of
mortality rate deaths below age five per 1,000 live births during a given period.

Underpass A road or pedestrian tunnel passing under a road or railway.

Undocumented Filipinos abroad who do not possess or lack necessary documents required by
overseas Filipinos the host country to make their stay legal or regular. For example, those who have
expired visas, or those who have inappropriate visas (i.e., tourist visa possessors
but are working abroad). Undocumented OFs include those who have regular
status abroad but with no valid Philippine passport. (DFA, 2019)

456 | Updated Philippine Development Plan 2017-2022


Unemployed This refers to persons in the labor force or economically active population (15
years old and above) who are unemployed or reporting without work (i.e., had no
job or business during the basic survey reference period); and currently available
for work (i.e., were available and willing to take up work in paid employment
or self employment during the basic survey reference period, and/or would be
available and willing to take up work in paid employment or self employment
within two weeks after the interview date); and seeking work, (i.e., had taken
specific steps to look for a job or establish a business during the basic survey
reference period); or not seeking work due to the following reasons: tired/believe
no work available (i.e., the discouraged workers who looked for work within
the last six months prior to the interview date; awaiting results of previous job
application; temporary illness/disability; (d) bad weather; and (e) waiting for
rehire/job recall). (PSA Metadata, 2018)

Unemployment Proportion of unemployed persons to the total labor force. (PSA LFS Technical
Rate Notes)

Unemployment/ This consists of persons in the labor force who are reported as (1) without
unemployed work; (2) currently available for work; and (3) seeking work, not seeking work
because of the belief that no work is available, or awaiting results of previous job
application or because of temporary illness or disability, bad weather or waiting
for rehire or job recall. (PSA)

Universal The quality of being accessible to the greatest extent possible by everyone,
accessibility regardless of their age, ability, or status in life. (Center for Universal Design
North Carolina State University, 2021)

Universal charge A fixed amount approved by the ERC pursuant to Section 34 of RA 9136 imposed
on all electricity end-users for the payment of in excess of the amount assumed
by the national government and stranded contract costs of the NAPOCOR and
environmental charge.

Unregulated fishing Fishing activities conducted by: (a) vessels without nationality but operated by
a Filipino and/or Filipino corporation; (b) Philippine flagged fishing vessels
operating in areas or fish stocks where there are no applicable conservation and
management measures; and (c) Philippine flagged fishing vessels operating in
areas of fish stocks where there are no applicable conservation and management
measures. (RA 10654, 2015)

Glossary 457
Unreported fishing Fishing activities which have not been reported, or have been misreported to
the DA, in contravention of national laws and regulations of the Philippines,
or undertaken in the area of competence of a relevant Regional Fisheries
Management Organization which have not been reported or have been
misreported, in contravention of the reporting procedures of that organization
and further elaborated by regulations to be promulgated by the Department. (RA
10654, 2015).

Upper-middle- Upper-middle-income economies are those in which 2019 GNI per capita was
income country between USD4,046 and USD12,535. (WB)

Urban This refers to a barangay that has a population size of 5,000 or more; at least one
establishment with a minimum of 100 employees; has five or more establishments
with a minimum of 10 employees and five or more facilities within the 2-km
radius from the barangay hall. (PSA, 2003)

Urban development The process of occupation and use of land or space for activities such as residential,
industrial, commercial, and the like or their combinations, necessary to carry out
the functions of urban living. It entails the building or rebuilding of more or less
permanent structures over land that is often withdrawn or converted from its
original use, resulting in the creation of a built environment. (RA 11201, 2019)

Urban renewal Rehabilitation and development of blighted and slum areas as well as the
resettlement of beneficiaries. ( Section 26 of RA 7270, 1992)

US-China Trade Conflict between the US and China over the latter's "unfair trade practices" and
War intellectual property issues. Tensions started when then US President Trump
imposed tariffs and non-tariff barriers against China in January, 2018. Despite
ongoing negotiations, tariffs and non-tariff measures remain on both sides.

Usufruct The right to enjoy the property of another, with the obligation of preserving its
form and substance, unless the title containing it or the law provides otherwise.
(Article 562 of the Civil Code of the Philippines)

This refers to the right to enjoy the property of another with the obligation of
preserving its form and substance. (RA 9904, 2009)

Utility model A protection option which is designed to protect innovations that are not
sufficiently inventive to meet the inventive threshold required for standard
patents application. It may be any useful machine, implement, tools, product,
composition, process, improvement, or part of the same.

Value chains The full range of activities that are required to bring a product or service from
conception, through the different phases of production (involving a combination
of physical transformation and the input of various producer services), delivery
to final consumers, and final disposal after use.

458 | Updated Philippine Development Plan 2017-2022


Values The beliefs and priorities of cultures and societies and the shared principles and
guidelines that frame the social order and institutional life. (OECD, 2020)

Venture financing A funding process in which the venture funding companies manage the funds
of the investors who want to invest in new businesses which have the potential
for high growth in future. The venture capital funding firms provide the funds to
start ups in exchange for the equity stake.

Victims A program established under RA 7309, which grants compensation for victims of
Compensation unjust imprisonment or detention and victims of violent crimes.
Program

Violent extremism Beliefs and actions of people who support or use violence to achieve ideological,
religious, or political goals, including terrorism and other forms of politically-
motivated violence. (UNESCO)

Voice and A sub-indicator of the WB’s Worldwide Governance Indicators. This indicator
accountability reflects perceptions of the extent to which a country’s citizens are able to
participate in selecting their government, as well as freedom of expression,
freedom of association, and a free media. (Kaufmann, Kraay, and Mastruzzi,
2010)

Vulnerability The characteristics and circumstances of a community, system, or asset that make
it susceptible to the damaging effects of a hazard. Vulnerability may arise from
various physical, social, economic, and environmental factors such as poor design
and construction of buildings, inadequate protection of assets, lack of public
information and awareness, limited official recognition of risks and preparedness
measures, and disregard for wise environmental management. (RA 10121, 2010;
UNISDR, 2007)

Wanted fertility The average number of children a woman would have by the end of her
rate/Wanted total childbearing years if she bore children at the current age-specific fertility rates,
fertility rate excluding unwanted births. (PSA, NDHS)

Waste-to-energy This refers to the process of converting wastes with various technologies, usually
the conversion of non-recyclable waste materials into useable heat, electricity, or
fuel through a variety of processes. (DENR DO 2019-21)

Wasting Current or recent or active malnutrition characterized by very low weight-for-


height as a result of deficits in both muscle tissue and fat mass.

Water district This refers to government-owned and controlled corporations (GOCCs) created
primarily to acquire, install, operate, maintain, and improve water supply and
distribution systems for domestic, industrial, and municipal uses of residents and
to provide, maintain and operate waste water collection, treatment and disposal
facilities within the boundaries of the district.

Glossary 459
Water Quality Designated areas with similar hydrological, hydrogeological, meteorological,
Management Areas or geographic conditions which affect the physicochemical, biological, and
bacteriological reactions and diffusions of pollutants in the water bodies,
or otherwise share common interest or face similar development programs,
prospects, or problems. (RA 9275, 2004)

Water scarcity Scarcity in availability due to physical shortage or scarcity in access due to the
failure of institutions to ensure a regular supply or due to a lack of adequate
infrastructure. (UN-Water)

Water security The capacity of a population to safeguard sustainable access to adequate quantities
of acceptable quality water for sustaining livelihoods, human well-being, and
socioeconomic development for ensuring protection against water-borne
pollution and water-related disasters and preserving ecosystems in a climate of
peace and political stability. (UN-Water)

Water-energy-food The inextricable linkages between the three domains: water, energy, and food,
nexus which require a suitably integrated approach in ensuring water and food security,
and sustainable agriculture and energy production worldwide. (UN-Water)

Watershed A land area drained by a stream or fixed body of water and its tributaries having
a common outlet for surface run-off. It is also known as basin or catchment areas.
(PD 705 and PD 1559, 1975)

Weighbridges This is used to weigh entire vehicles and their contents and are usually mounted
permanently on a concrete foundation.

Wetlands Areas of marsh, peatland, or water, whether natural or artificial, permanent or


temporary, with water that is static, flowing, fresh, brackish, or salt, including
area of marine water, the depth of which at low tide does not exceed six meters.
(Ramsar Convention on Wetlands)

WHO Solidarity International randomized clinical trial program with the aim of obtaining an
Clinical Trials effective COVID-19 treatment. The program involves 12,000 patients and 500
hospital sites in over 30 countries. Evaluations cover treatment options and their
impact on a COVID-19 patient's mortality, need for assisted ventilation, and
duration of hospital stay.

WHO Solidarity International randomized and controlled vaccine trial program with the goal
Vaccine Trials of evaluating the risks and benefits of different COVID-19 vaccines. Over 287
candidate vaccines are currently involved at different stages of development.
Participant sites are based on sufficient transmission rates.

Whole-of- An approach where a government actively uses formal or informal networks


Government across different agencies to coordinate the design and implementation of
approach interventions in order to increase the effectiveness of those interventions in
achieving the desired objectives. (OECD, 2006)

460 | Updated Philippine Development Plan 2017-2022


Wholesale The market where competitive, efficient, transparent, and reliable market/trading
electricity spot of electricity will be made.
market

Wildlife Wild forms and varieties of flora and fauna, in all developmental stages,
including those which are in captivity or are being bred or propagated. (RA
9147, 2001)

Witness Protection A program established under RA 6981, which seeks to encourage a person who
Program has witnessed or has knowledge of the commission of a crime to testify before a
court or quasi-judicial body, or before an investigating authority, by protecting
him from reprisals and from economic dislocation.

World Justice Measures whether civil justice systems are accessible and affordable, free of
Project Rule of Law discrimination, corruption, and improper influence by public officials. It examines
Sub-indicator on whether court proceedings are conducted without unreasonable delays, and if
Civil Justice decisions are enforced effectively. It also measures the accessibility, impartiality,
and effectiveness of alternative dispute resolution (ADR)mechanisms.

World Justice Measures whether the criminal investigation, adjudication, and correctional
Project Rule of Law systems are effective, and whether the criminal justice system is impartial, free
Sub-indicator on of corruption, free of improper influence, and protective of due process and the
Criminal Justice rights of the accused.

World Justice Measures the protection of fundamental human rights, including effective
Project Rule of enforcement of laws that ensure equal protection, the right to life and security
Law Sub-indicator of the person, due process of law and the rights of the accused, freedom of
on Fundamental opinion and expression, freedom of belief and religion, the right to privacy,
Rights freedom of assembly and association, and fundamental labor rights, including
the right to collective bargaining, the prohibition of forced and child labor, and
the elimination of discrimination.

World Governance A research dataset summarizing the views on the quality of governance provided
Indicator by a large number of enterprise, citizen, and expert survey respondents in
industrial and developing countries. These data are gathered from a number of
survey institutes, think tanks, NGOs, international organizations, and private
sector firms.

World Governance A sub-indicator of the World Governance Indicator (WGI) which entails
Indicator – Rule of perceptions of the extent to which agents have confidence in and abide by the
Law rules of society, and in particular the quality of contract enforcement, property
rights, the police, and the courts, as well as the likelihood of crime and violence.

Glossary 461
World Justice A quantitative assessment tool designed by the World Justice Project to offer a
Project – Rule of comprehensive picture of the extent to which countries adhere to the rule of law,
Law Index not in theory, but in practice. It is derived from a set of principles that constitute
a working definition of the rule of law.

Worldwide A research dataset developed by the WB reporting on aggregate and individual


Governance governance indicators for over 200 countries and territories over the period
Indicators 1996-2018, for six dimensions of governance: voice and accountability; political
stability and absence of violence; government effectiveness; regulatory quality;
rule of law; and control of corruption. These aggregate indicators combine the
views of a large number of enterprise, citizen, and expert survey respondents
in industrial and developing countries. They are based on over 30 individual
data sources produced by a variety of survey institutes, think tanks, NGOs,
international organizations, and private sector firms. (WB)

Yield An indicator of productivity for agricultural commodities derived by dividing


total production by the area harvested. (PSA)

Youths-at-risk This refers to the youth who are less likely to transition successfully to adulthood.
In the context of the labor sector, these are the young people whose prospects of
joining the labor force or finding employment are diminished by their various
circumstances (e.g. lack of skills or education, economic recession).

Zoonotic disease An infectious disease that has jumped from a non-human animal to humans.
(WHO)

462 | Updated Philippine Development Plan 2017-2022


References
Chapter 2: Global and Regional Trends and Prospects

World Health Organization (WHO) website. (Source: https://www.who.int/emergencies/diseases/


novel-coronavirus-2019)
The Economist. The covid-19 pandemic is worse than official figures show. September 26, 2020.
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Philippines”, October 10 2020 (Source: https://doh.gov.ph/press-release/DOST-LED-SUB-
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Expert Opinions to Estimate Timelines and Probabilities of Success of COVID-19 Vaccines, CGD
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health emergencies.” 2019.
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Chapter 8: Expanding Economic Opportunities in Agriculture, Forestry, and Fisheries and


Ensuring Food Security

Joint HLURB, DAR, DA, DILG Memorandum Circular, dated March 21, 1995, Prescribing the
Guidelines to Implement MC 54 (The Authority of Cities and Municipalities to Reclassify
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Chapter 9A: Expanding Economic Opportunities in Industry

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464 | Updated Philippine Development Plan 2017-2022


Chapter 9B: Expanding Economic Opportunities in Services
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and Procedures Governing the Consumer Assistance and Management System of BSP-Supervised
Financial Institutions; and Amendments to the Manual of Regulations for Banks and Non-Bank
Financial Institutions.” Issued 6 September 2019.

Chapter 9C: Expanding Access to Economic Opportunities in I&S for Startups, MSMEs, and
Cooperatives

Albert J.G. et al. Measuring and Examining Innovation in Philippine Business and Industry.
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Chapter 10: Human Capital Development Towards Greater Agility

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Chapter 11: Ensuring Food Resiliency and Reducing Vulnerabilities of Filipinos

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Philippine Youth Development Plan 2017-2022.
Adolescents and Young People & Coronavirus Disease (COVID-19), Coronavirus Disease
(COVID-19) Preparedness and Response UNFPA Interim Technical Brief, 2020.

Chapter 14: Vigorously Advancing Science, Technology, and Innovation

del Prado F. and Rosellon M. (2017). “Technology and Knowledge Transfers in Production Networks:
Case Study on Philippine Food Manufacturing Firms”. Philippine Institute of Development
Studies.

Chapter 15: Ensuring Sound Macroeconomic Policy

Bureau of the Treasury (2017). The Philippine Roadmap: Local Currency Debt Market Development.
(Source: http://www.treasury.gov.ph/wp-content/uploads/2017/10/Local-Currency-Debt-Market-
Development-Roadmap_ppt-1.pdf)
Memorandum No. M-2020-039 dated 4 May 2020. (Source: http://www.bsp.gov.ph/downloads/
regulations/attachments/2020/m039.pdf)
Memorandum No. M-2020-008 dated 14 March 2020. (Source: http://www.bsp.gov.ph/downloads/
regulations/attachments/2020/m008.pdf)
International Monetary Fund. (May 13, 2020). Banking Sector Regulatory and Supervisory Response
to Deal with Coronavirus Impact (with Q and A). (Source: https://www.imf.org/en/Publications/
SPROLLs/covid19-special-notes#mfp)
DOLE Labor Advisory 2020-17 issued 16 May 2020, “Guidelines on the Employment Preservation
upon the Resumption of Business Operation”.
PEZA Memorandum Circular 2020-011 dated 5 March 2020, “PEZA Assistance to Ecozone I.T.
Enterprises in Responding to COVID-19 (Coronavirus Disease).”

Chapter 21: Protecting the Rights, Promoting the Welfare, and Expanding Opportunities for
Overseas Filipinos

World Bank. Migration and Remittances. (Source: https://www.worldbank.org/en/topic/


labormarkets/brief/migration-and-remittances)

466 | Updated Philippine Development Plan 2017-2022


Updated PDP 2017-2022
Plan Steering Committee (PSC)
Members
Chairperson
Karl Kendrick T. Chua
Socioeconomic Planning Secretary

Members
Karlo Alexei B. Nograles Delfin N. Lorenzana
Cabinet Secretary Secretary
Office of the President Department of National Defense

William D. Dar Mark A. Villar


Secretary Secretary
Department of Agriculture Department of Public Works and Highways

Wendel E. Avisado Fortunato T. Dela Peña


Secretary Secretary
Department of Budget and Management Department of Science and Technology

Roy A. Cimatu Rolando Joselito D. Bautista


Secretary Secretary
Department of Environment and Natural Resources Department of Social Welfare and Development

Carlos G. Dominguez III Ramon M. Lopez


Secretary Secretary
Department of Finance Department of Trade and Industry

Francisco T. Duque III Arthur P. Tugade


Secretary Secretary
Department of Health Department of Transportation

Gregorio B. Honasan II Ahod Ebrahim


Secretary Chief Minister
Department of Information and Communications Bangsamoro Autonomous Region in Muslim
Technology Mindanao
Eduardo M. Año Hermogenes C. Esperon Jr.
Secretary Secretary
Department of the Interior and Local Government National Security Council

Silvestre H. Belo III Diosdado M. Peralta


Secretary Chief Justice
Department of Labor and Employment Supreme Court

Updated PDP 2017-2022 Plan Steering Committees 467


Updated PDP 2017-2022
Planning Committees
PLANNING COMMITTEE ON ECONOMIC DEVELOPMENT

Chair: Department of Trade and Industry (DTI)


Co-Chair: Department of Agriculture (DA)

Member Agencies:

Department of Science and Technology (DOST​)


Department of Environment and Natural Resources (DENR​)
Department of the Interior and Local Government (DILG)
Philippine Statistics Authority (PSA)
Philippine Institute for Development Studies (PIDS)
Land Bank of the Philippines (LANDBANK)​
Department of Agrarian Reform (DAR)​
Department of Foreign Affairs (DFA)​
DA - Bureau of Fisheries and Aquatic Resources (DA-BFAR)​
Department of Finance (DOF)​
Department of Transportation (DOTr)​
Department of Tourism (DOT)​
Department of Energy (DOE)​
Bangko Sentral ng Pilipinas (BSP)​
Department of Information and Communications Technology (DICT)​
Department of Labor and Employment (DOLE)
Philippine Commission on Women (PCW)
National Nutrition Council (NNC)
Office of the President - Office of the Cabinet Secretariat (OP-OCS)
Development Bank of the Philippines (DBP)
Senate Economic Planning Office (SEPO)
Congressional Policy and Budget Research Department (CPBRD)

Secretariat: National Economic and Development Authority - Agriculture, Natural Resources,


and Environment Staff (NEDA-ANRES)
NEDA - Trade, Services, and Industry Staff (NEDA-TSIS)

Updated PDP 2017-2022 Planning Committees 469


SUBCOMMITTEE ON AGRICULTURE, FORESTRY, AND FISHERIES (SC-AFF)

Chair: Department of Agriculture (DA)


Co-Chair: Department of Agrarian Reform (DAR)

Member Agencies:

DA - Agricultural Credit Policy Council (DA-ACPC)


DA - Agricultural Training Institute (DA-ATI)
DA - Bureau of Agricultural Research (DA-BAR)
DA - Bureau of Fisheries and Aquatic Resources (DA-BFAR)
DA - Bureau of Soils and Water Management (DA-BSWM)
Congressional Policy and Budget Research Department (CPBRD)
Cooperative Development Authority (CDA)
Department of Budget and Management (DBM)
Department of Environment and Natural Resources – Forest Management Bureau (DENR-FMB)
Department of Finance (DOF)
Department of Labor and Employment (DOLE)
Department of Trade and Industry (DTI)
Food and Drug Administration (FDA)
Land Bank of the Philippines (LANDBANK)​
National Irrigation Administration (NIA)
National Nutrition Council (NNC)
Philippine Crop Insurance Corporation (PCIC)
Philippine Center for Postharvest Development and Mechanization (PHilMECH)
Philippine Coconut Authority (PCA)
Philippine Council for Agriculture, Aquatic, and Natural Resources Research and Development
(PCAARRD)
Philippine Fiber Industry Development Authority (PHil FIDA)
Philippine Guarantee Corporation (PHILGUARANTEE)
Philippine Institute for Development Studies (PIDS)
Philippine Rice Research Institute (PhilRice)
Philippine Rubber Research Institute (PRRI)
Philippine Statistics Authority (PSA)
Senate Economic Planning Office (SEPO)
Sugar Regulatory Administration (SRA)
Technical Education and Skills Development Authority (TESDA)

470 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON INDUSTRY

Chair: Department of Trade and Industry (DTI)


Co-Chair: DTI - Philippine Economic Zone Authority (DTI-PEZA)

Member Agencies:

Department of Trade and Industry (DTI)


DTI - Board of Investments (DTI-BOI)
DTI - Bureau of Trade and Industrial Policy Research (DTI-BTIPR)
DTI - Competitiveness Bureau (DTI-CB)
DTI - Philippine Accreditation Bureau (DTI-PAB)
DTI - Bureau of Philippine Standards (DTI-BPS)
DTI - Bureau of Small and Medium Enterprise Development (DTI-BSMED)
DTI - Planning and Management Service (DTI-PMS)
Cooperative Development Authority (CDA)
Technical Education and Skills Development Authority (TESDA)
DTI - Intellectual Property Office of the Philippines (DTI-IPOPHL)
DTI - Construction Industry Authority of the Philippines (DTI-CIAP)
DTI - Small Business Corporation (DTI-SBCorp)
Bangko Sentral ng Pilipinas (BSP)
Department of Energy (DOE)
Department of Environment and Natural Resources (DENR)
Department of Labor and Employment (DOLE)
Department of Science and Technology (DOST)
Philippine Council for Industry, Energy and Emerging Technology, Research and Development
(PCIEERD)
Department of Agriculture (DA)
DA - Bureau of Fisheries and Aquatic Resources (DA-BFAR)
Department of the Interior and Local Government (DILG)
Philippine Institute for Development Studies (PIDS)
Philippine Statistics Authority (PSA)
Development Bank of the Philippines (DBP)
Senate Economic Planning Office (SEPO)
Congressional Policy and Budget Research Department (CPBRD)
Office of the President - Office of the Cabinet Secretariat (OP-OCS)

Updated PDP 2017-2022 Planning Committees 471


SUBCOMMITTEE ON SERVICES (SC-I&S)

Chair: Philippine Instiute for Developmnent Studies (PIDS)*


Co-Chair: Department of Information and Communications Technology (DICT)*

Member Agencies:

Department of Trade and Industry (DTI)


DTI - Board of Investments (DTI-BOI)
DTI - E-commerce Office (DTI-ECO)
DTI - Export Marketing Bureau (DTI-EMB)*
DTI - Bureau of Small and Medium Enterprise Development (DTI-BSMED)
Cooperative Development Authority (CDA)*
DTI - Intellectual Property Office of the Philippines (DTI-IPOPHL)*
DTI - Small Business Corporation (DTI-SBCorp)*
DTI - Philippine Economic Zone Authority (DTI-PEZA)
Technical Education and Skills Development Authority (TESDA)*
DTI - Design Center of the Philippines (DTI-DCP)
Department of Tourism (DOT)*
DOT - Tourism Infrastructure and Enterprise Zone Authority (DOT-TIEZA)
Department of Labor and Employment (DOLE)
Professional Regulation Commission (PRC)*
Philippine Overseas Employment Administration (POEA)*
Department of Finance (DOF)*
Insurance Commission (IC)*
National Telecommunications Commission (NTC)*
Department of the Interior and Local Government (DILG)
Philippine Postal Corporation (PHLPOST)
Department of Human Settlements and Urban Development (DHSUD)*
Department of Transportation (DOTr)*
Philippine Ports Authority (PPA)
Maritime Industry Authority (MARINA)
Civil Aeronautics Board (CAB)*
Civil Aviation Authority of the Philippines (CAAP)
Philippine Statistics Authority (PSA)*
Bangko Sentral ng Pilipinas (BSP)*
Senate Economic Planning Office (SEPO)*
House of Representatives (HOR) - Congressional Policy and Budget Research Department (CPBRD)
Commission on Higher Education (CHED)
Department of Health (DOH)
Film Development Council of the Philippines (FDCP)

Note: Agencies with asterisk (*) have designated Official and Alternate Representatives.

472 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON HUMAN CAPITAL DEVELOPMENT
Chair: Department of Labor and Employment (DOLE)
Co-Chairs: Department of Education (DepEd)
Technical Education and Skills Development Authority (TESDA)
Commission on Higher Education (CHED)

Member Agencies:

Climate Change Commission (CCC)


Council for the Welfare of Children (CWC)
Department of Agriculture (DA)
Department of Agrarian Reform (DAR)
Department of Budget and Management (DBM)
Department of Human Settlements and Urban Development (DHSUD)
Department of Information and Communications Technology (DICT)
Department of the Interior and Local Government (DILG)
Department of Health (DOH)
Department of Labor and Employment (DOLE)
Department of Science and Technology (DOST)
Department of Social Welfare and Development (DSWD)
Early Childhood Care and Development (ECCD) Council
National Anti-Poverty Commission (NAPC)
National Council on Disability Affairs (NCDA)
National Commission on Indigenous Peoples (NCIP)
National Disaster Risk Reduction and Management Council (NDRRMC)
National Housing Authority (NHA)
National Nutrition Council (NNC)
National Youth Commission (NYC)
Office of the President - Office of the Cabinet Secretariat (OP-OCS)
OP - Office of the Executive Secretary (OP-OES)
Presidential Commission for the Urban Poor (PCUP)
Philippine Commission on Women (PCW)
Philippine Health Insurance Corporation (PhilHealth)
Philippine National Police (PNP)
Commission on Population and Development (POPCOM)
Philippine Statistics Authority (PSA)
Philippine Sports Commission (PSC)
Social Housing Finance Corporation (SHFC)
Social Security System (SSS)
National Economic and Development Authority (NEDA)

Secretariat: NEDA - Social Development Staff (NEDA-SDS)


NEDA - National Policy and Planning Staff (NEDA-NPPS)

Updated PDP 2017-2022 Planning Committees 473


SUBCOMMITTEE ON NUTRITION, HEALTH AND BASIC EDUCATION

Chair: Department of Education (DepEd)


Co-Chairs: Department of Health (DOH)
National Nutrition Council (NNC)

Member Agencies:

Commission on Population and Development (POPCOM)


Council for the Welfare of Children (CWC)
Early Childhood Care and Development (ECDD) Council
Department of Science and Technology - Food and Nutrition Research Institute (DOST-FNRI)
Philippine Health Insurance Corporation (PhilHealth)
Philippine Council for Health Research and Development (PCHRD)
National Youth Commission (NYC)
National Council on Disability Affairs (NCDA)
National Commission on Indigenous Peoples (NCIP)
Philippine Commission on Women (PCW)
Philippine Statistics Authority (PSA)
Philippine Sports Commission (PSC)
University of the Philippines - National Institutes of Health (UP-NIH)
House of Representatives - Committee on Health (HOR-CoH)
HOR - Committee on Basic Education and Culture (HOR-CBEC)
Senate Committee on Health and Demography (SCHD)
SC on Education, Arts, and Culture (SCEAC)
Technical Education and Skills Development Authority (TESDA)
Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)
Task Force Bangon Marawi (TFBM)
National Economic and Development Authority (NEDA)

474 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON SOCIAL PROTECTION

Chair: Department of Social Welfare and Development (DSWD)


Co-Chair: Department of Labor and Employment (DOLE)

Member Agencies:

Climate Change Commission (CCC)


Commission on Higher Education (CHED)
Council for the Welfare of Children (CWC)
Department of Agriculture (DA)
Department of Agrarian Reform (DAR)
Department of Budget and Management (DBM)
Department of Education (DepEd)
Department of Health (DOH)
Department of the Interior and Local Government (DILG)
Department of Science and Technology (DOST)
Department of Trade and Industry (DTI)
Employees’ Compensation Commission (ECC)
Government Service Insurance System (GSIS)
League of Cities of the Philippines (LCP)
League of Municipalities of the Philippines (LMP)
League of Provinces of the Philippines (LPP)
National Anti-Poverty Commission (NAPC)
National Council on Disability Affairs (NCDA)
National Commission on Indigenous Peoples (NCIP)
National Economic and Development Authority (NEDA)
National Nutrition Council (NNC)
National Youth Commission (NYC)
Office of Civil Defense (OCD)
Philippine Commission on Women (PCW)
Philippine Health Insurance Corporation (PhilHealth)
Philippine Statistics Authority (PSA)
Social Security System (SSS)
Technical Education and Skills Development Authority (TESDA)

Updated PDP 2017-2022 Planning Committees 475


SUBCOMMITTEE ON SHELTER SECURITY

Chair: Department of Human Settlements and Urban Development (DHSUD)

Member Agencies:

National Housing Authority (NHA)


Home Development Mutual Fund (Pag-IBIG)
National Home Mortgage Finance Corporation (NHMFC)
Social Housing Finance Corporation (SHFC)
Philippine Guarantee Corporation (PHILGUARANTEE)
National Economic and Development Authority (NEDA)

SUBCOMMITTEE ON DEMOGRAPHIC DIVIDEND

Chair: Commission on Population and Development (POPCOM)

Member Agencies:

Department of Labor and Employment (DOLE)


Department of Social Welfare and Development (DSWD)
Department of Public Works and Highways (DPWH)
Department of Trade and Industry (DTI)
Department of Agrarian Reform (DAR)
Department of Agriculture (DA)
Department of Budget and Management (DBM)
Department of Human Settlements and Urban Development (DHSUD)
Department of the Interior and Local Government (DILG)
Department of Education (DepEd)
Department of Health (DOH)
Commission on Higher Education (CHED)
Philippine Commission on Women (PCW)
National Youth Commission (NYC)
Philippine Statistics Authority (PSA)
Technical Education and Skills Development Authority (TESDA)
University of the Philippines - Population Institute (UPPI)
Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)
National Economic and Development Authority (NEDA)

476 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON HIGHER EDUCATION, TRAINING, AND
LABOR MARKET POLICIES

Chair: Department of Labor and Employment – Bureau of Local Employment


(DOLE-BLE)
Co-Chairs: Commission on Higher Education (CHED)
Technical Education and Skills Development Authority (TESDA)

Member Agencies:

Department of Trade and Industry – Bureau of Small and Medium Enterprise Development (DTI-
BSMED)
DTI– Export Development Council (DTI-EDC)
Department of Science and Technology – Science Education Institute (DOST-SEI)
DOLE - Bureau of Labor Relations (DOLE-BLR)
DOLE - Bureau of Working Conditions (DOLE-BWC)
DOLE - Institute for Labor Studies (DOLE-ILS)
DOLE - National Wages and Productivity Commission (DOLE-NWPC)
DOLE - Occupational Safety and Health Center (DOLE-OSHC)
DOLE - Employees’ Compensation Commission (DOLE-ECC)
Professional Regulation Commission (PRC)
Commission on Filipinos Overseas (CFO)
Department of Education (DepEd)
Department of Agriculture (DA)
Department of Environment and Natural Resources (DENR)
Department of Information and Communications Technology (DICT)
National Anti-Poverty Commission (NAPC)
National Youth Commission (NYC)
Philippine Commission on Women (PCW)
Philippine Statistics Authority (PSA)
House of Representatives - Committee on Higher and Technical Education (HOR-CHTE)
HOR - Committee on Labor and Employment (HOR-CLE)
Department of Social Welfare and Developemnt - Sustainable Livelihood Program (DSWD-SLP)
Social Security System (SSS)
National Economic and Development Authority (NEDA)

Updated PDP 2017-2022 Planning Committees 477


PLANNING COMMITTEE ON INTERNATIONAL
MIGRATION AND DEVELOPMENT
Chair: Department of Labor and Employment (DOLE)
Co-Chair: Department of Foreign Affairs - Office on the Undersecretary for Migrant
Workers Affairs (DFA-OUMWA)

Member Agencies:

Bangko Sentral ng Pilipinas (BSP)


Commission on Filipinos Overseas (CFO)
Commission on Higher Education (CHED)
Department of Interior and Local Government (DILG)
Department of Health (DOH)
Department of Justice – Inter-Agency Council Against Trafficking (DOJ-IACAT)
DOLE - Institute for Labor Studies (DOLE-ILS)
DOLE - International Labor Affairs Bureau (DOLE- ILAB)
DOLE - National Reintegration Center for OFWs (DOLE-NRCO)
Department of Science and Technology (DOST)
Department of Social Welfare and Development (DSWD)
Department of Trade and Industry (DTI)
Home Development Mutual Fund (Pag-IBIG)
Office of the Presidential Adviser on Overseas Filipino Workers
Overseas Filipino Bank (OFBank)
Overseas Workers Welfare Administration (OWWA)
Philippine Health Insurance Corporation (PhilHealth)
Philippine Overseas Employment Administration (POEA)
Philippine Retirement Authority (PRA)
Philippine Statistics Authority (PSA)
Professional Regulation Commission (PRC)
Social Security System (SSS)
Technical Education and Skills Development Authority (TESDA)
Union of Local Authorities of the Philippines (ULAP)

Secretariat: National Economic and Development Authority - National Policy and Planning
Staff (NEDA-NPPS)

478 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON INFRASTRUCTURE DEVELOPMENT
Chair: Department of Public Works and Highways (DPWH)

Member Agencies:

National Economic and Development Authority (NEDA)


Office of the President - Office of the Executive Secretary (OP-OES)
OP - Office of the Cabinet Secretary (OP-OCS)
Department of Transportation (DOTr)
Department of Budget and Management (DBM)
Department of Finance (DOF)
Department of Trade and Industry (DTI)
Department of Energy (DOE)
Department of Agriculture (DA)
Department of Tourism (DOT)
Department of Information and Communications Technology (DICT)

Secretariat: NEDA - Infrastructure Staff (NEDA-IS)

Updated PDP 2017-2022 Planning Committees 479


SUBCOMMITTEE ON TRANSPORTATION

Chair: Department of Transportation (DOTr)


Co-Chair: Department of Public Works and Highways (DPWH)

Member Agencies:

Bases Conversion and Development Authority (BCDA)


DOTr - Civil Aviation Authority of the Philippines (DOTr-CAAP)
DOTr - Civil Aeronautics Board (DOTr-CAB)
Clark Development Corporation (CDC)
Cagayan Economic Zone Authority (CEZA)
Clark International Airport Corporation (CIAC)
DOTr - Cebu Ports Authority (DOTr-CPA)
DOTr - Davao International Airport Authority (DIAA)
Department of the Interior and Local Government (DILG)
Department of Human Settlements and Urban Development (DHSUD)
DOTr - Light Rail Transit Authority (DOTr-LRTA)
DOTr - Land Transportation Franchising and Regulatory Board (DOTr-LTFRB)
DOTr - Land Transportation Office (DOTr-LTO)
DOTr - Maritime Industry Authority (DOTr-MARINA)
DOTr - Mactan-Cebu International Airport Authority (DOTr-MCIAA)
DOTr - Manila International Airport Authority (DOTr-MIAA)
Metropolitan Manila Development Authority (MMDA)
DOTr - Office of Transportation Security (DOTr-OTS)
Philippine Coast Guard (PCG)
Department of Trade and Industry - Philippine Economic Zone Authority (DTI-PEZA)
DOTr - Philippine National Railways (DOTr-PNR)
Philippine Ports Authority (PPA)
Poro Point Management Corporation (PPMC)
Subic Bay Metropolitan Authority (SBMA)
DOTr -Toll Regulatory Board (DOTr-TRB)
University of the Philippines – National Center for Transportation Studies (UP-NCTS)
UP – School of Urban and Regional Planning (UP-SURP)

480 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON WATER RESOURCES 

Chair: National Economic and Development Authority (NEDA)


Co-Chair: National Water Resources Board (NWRB)

Member Agencies:

Core
Department of Finance (DOF)
Department of Budget and Management (DBM)
Department of Environment and Natural Resources (DENR)
Department of Health (DOH)
Department of Agriculture (DA)
Department of Energy (DOE)
Department of Public Works and Highways (DPWH)
Department of the Interior and Local Government (DILG)
Philippine Water Partnership (PWP)
University of the Philippines - National Hydraulic Research Center (UP-NHRC)
Department of Transportation (DOTr)
Department of Trade and Industry (DTI)
Department of Justice (DOJ)
Department of Tourism (DOT)
Office of the President - Office of the Executive Secretary (OP-OES)

Water Supply and Sanitation


Metropolitan Waterworks and Sewerage System (MWSS)
Local Water Utilities Administration (LWUS)
National Anti-Poverty Commission (NAPC)
Philippine Association of Water Districts (PAWD)
Department of Social Welfare and Development (DSWD)
Cooperative Development Authority (CDA)
Department of Agrarian Reform (DAR)
League of Provinces of the Philippines (LPP)
League of Cities of the Philippines (LCP)
League of Municipalities of the Philippines (LMP)

Irrigation
Department of Agrarian Reform (DAR)
National Irrigation Administration (NIA)
DA - Bureau of Soils and Water Management (DA-BSWM)
League of Provinces of the Philippines (LSP)
League of Cities of the Philippines (LCP)
League of Municipalities of the Philippines (LMP)

Flood Control and Management


Metropolitan Manila Development Authority (MMDA)

Updated PDP 2017-2022 Planning Committees 481


National Housing Authority (NHA)
Department of Human Settlements and Urban Development (DHSUD)
League of Provinces of the Philippines (LPP)
League of Cities of the Philippines (LCP)
League of Municipalities of the Philippines (LMP)

SUBCOMMITTEE ON INFORMATION AND COMMUNICATIONS TECHNOLOGY

Chair: Department of Information and Communications Technology (DICT)

Member Agencies:

Department of Public Works and Highways (DPWH)


Department of Transportation (DOTr)
Department of the Interior and Local Government (DILG)
Department of Health (DOH)
Department of Education (DepEd)
National Telecommunications Commission (NTC)
People’s Television Network Inc. (PTNI)
National Grid Corporation of the Philippines (NGCP)
Light Rail Transit Authority (LRTA)

SUBCOMMITTEE ON POWER AND ENERGY

Chair: Department of Energy (DOE)

Member Agencies:

National Electrification Administration (NEA)


Energy Regulatory Commission (ERC)
Philippine National Oil Company (PNOC)
Power Sector Assets and Liabilities Management Corporation (PSALM)
National Power Corporation (NAPOCOR)
National Transmission Corporation (TransCo)
National Grid Corporation of the Philippines (NGCP)

482 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON MACROECONOMIC POLICY
Chair: Department of Budget and Management (DBM)

Member Agencies:

Department of Finance (DOF)


Bangko Sentral ng Pilipinas (BSP)
Department of Trade and Industry (DTI)
DOF - Bureau of the Treasury (DOF-BTr)
DOF - Bureau of Internal Revenue (DOF-BIR)
DOF - Bureau of Customs (DOF-BOC)
DOF - Bureau of Local Government Finance (DOF-BLGF)
Securities and Exchange Commission (SEC)
Government Service Insurance System (GSIS)
Social Security System (SSS)
Insurance Commission (IC)
Department of Foreign Affairs (DFA)
Department of Tourism (DOT)
Department of Agriculture (DA)
Office of the President (OP)
Philippine Statistics Authority (PSA)
Department of Labor and Employment (DOLE)
Department of Science and Technology (DOST)
DTI - Board of Investments (DTI-BOI)
Senate Economic Planning Office (SEPO)
Congressional Policy and Budget Research Department (CPBRD)

Secretariat: National Economic and Development Authority - National Policy and Planning
Staff (NEDA-NPPS)

Updated PDP 2017-2022 Planning Committees 483


SUBCOMMITTEE ON FISCAL POLICY

Chair: Department of Finance (DOF)

Member Agencies:

Department of Budget and Management (DBM)


DOF - Bureau of the Treasury (DOF-BTr)
DOF - Bureau of Internal Revenue (DOF-BIR)
DOF - Bureau of Customs (DOF-BOC)
DOF - Bureau of Local Government Finance (DOF-BLGF)
Philippine Statistics Authority (PSA)

Secretariat: National Economic and Development Authority - National Policy and Planning
Staff (NEDA-NPPS)

SUBCOMMITTEE ON MONETARY AND FINANCIAL SECTORS

Chair: Bangko Sentral ng Pilipinas (BSP)

Member Agencies:

Department of Finance (DOF)


DOF - Bureau of the Treasury (DOF-BTr)
Cooperative Development Authority (CDA)
Development Bank of the Philippines (DBP)
Department of Trade and Industry (DTI)
DTI- Export Development Council (DTI-EDC)
Government Service Insurance System (GSIS)
Insurance Commission (IC)
Land Bank of the Philippines (LANDBANK)​
Philippine Deposit Insurance Corporation (PDIC)
Philippine Statistics Authority (PSA)
Securities and Exchange Commission (SEC)
Social Security System (SSS)

Secretariat: National Economic and Development Authority - National Policy and Planning
Staff (NEDA-NPPS)

484 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON EXTERNAL SECTORS

Chair: Department of Trade and Industry (DTI)


Co-Chair: Bangko Sentral ng Pilipinas (BSP)

Member Agencies:

DTI - Export Marketing Bureau (DTI-EMB)


DTI - Regional Operations Group (DTI-ROG)
DTI - Bureau of International Trade Relations (DTI-BITR)
DTI - Bureau of Import Services (DTI-BIS)
DTI - Bureau of Philippine Standards (DTI-BPS)
DTI - Planning and Management Service (DTI-PMS)
DTI - Bureau of Trade and Industrial Policy Research (DTI-BTIPR)
DTI - Foreign Trade Services Corps (DTI-FTSC)
DTI - Board of Investments (BOI) - Industry Development Services
DTI - BOI - International Marketing Department
BSP - Department of Economic Research
Department of Foreign Affairs (DFA) - Multilateral Affairs and International Economic Relations
DFA - United Nations and Other International Organizations
Department of Finance (DOF) - Fiscal Policy and Planning Office
DOF - Bureau of Customs (DOF-BOC)
Department of Science and Technology (DOST)
DOST - Planning and Evaluation Service
Department of Agriculture (DA) - Policy Research Service
DA - Planning and Monitoring Service
Department of Labor and Employment - International Labor Affairs Bureau (DOLE-ILAB)
Philippine Statistics Authority (PSA) - Sectoral Statistics Office - Economics Sector Statistics Service
Department of Tourism (DOT) - Tourism Development, Planning, Research and Information
Management
Food and Drugs Administration (FDA)
Export Development Council (EDC) Secretariat
National Economic and Development Authority - Trade, Services, and Industry Staff (NEDA-TSIS)
NEDA - National Policy and Planning Staff (NEDA-NPPS)

Secretariat: NEDA-TSIS

Updated PDP 2017-2022 Planning Committees 485


PLANNING COMMITTEE ON COMPETITION
Chair: Philippine Competition Commission (PCC)

Member Agencies:

Anti-Red Tape Authority (ARTA)


Department of Finance – Office of the Chief Economist (DOF-OCE)
Department of Justice – Office for Competition (DOJ-OFC)
Department of Trade and Industry – Consumer Protection Group (DTI-CPG)
Governance Commission on Government-Owned and Controlled Corporations (GCG)
Government Procurement Policy Board (GPPB)
National Economic and Development Authority (NEDA)
Philippine Competition Commission (PCC)

Secretariat: NEDA - Governance Staff (NEDA-GovS)

486 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON RESPONSIVE,
PEOPLE-CENTERED, TECHNOLOGY-ENABLED, AND
CLEAN GOVERNANCE
Chair: National Economic and Development Authority (NEDA)
Co-Chair: Department of the Interior and Local Government (DILG)

Member Agencies:

Commission on Audit (COA)


Civil Service Commission (CSC)
Department of Budget and Management (DBM)
Department of Information and Communications Technology (DICT)
Department of Justice (DOJ)
Development Academy of the Philippines (DAP)
Governance Commission for Government-Owned or Controlled Corporations (GCG)
Office of the President - Office of the Cabinet Secretariat (OP-OCS)
Office of the Ombudsman (OMB)
Anti-Red Tape Authority (ARTA)
Commission on Elections (COMELEC)
Philippine Statistics Authority (PSA)

Secretariat: NEDA - Governance Staff (NEDA-GovS)

Updated PDP 2017-2022 Planning Committees 487


PLANNING COMMITTEE ON JUSTICE
Chair: Department of Justice (DOJ)

Member Agencies:

Supreme Court of the Philippines (SCP)


Commission on Human Rights (CHR)
Department of the Interior and Local Government (DILG)
DOJ - Bureau of Corrections (DOJ-BuCor)
DOJ - National Prosecution Service (DOJ-NPS)
DOJ - Office for Alternative Dispute Resolution (DOJ-OADR)
DOJ - Public Attorney’s Office (DOJ-PAO)
DOJ - Parole and Probation Administration (DOJ-PPA)
DILG - Bureau of Jail Management and Penology (DILG-BJMP)
DILG - Bureau of Local Governance Supervision (DILG-BLGS)
DILG - Philippine National Police (DILG-PNP)

Secretariat: National Economic and Development Authority - Governance Staff


(NEDA-GovS)

488 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON PEACE, SECURITY, AND
PUBLIC ORDER
Chair: Department of National Defense (DND)

Member Agencies:

Office of the Presidential Adviser on the Peace Process (OPAPP)


Department of the Interior and Local Government (DILG)
Department of Foreign Affairs (DFA)
Commission on Human Rights (CHR)
Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)
National Security Council (NSC)
National Task Force to End Local Communist Armed Conflict (NTF-ELCAC)
DILG - Philippine National Police (PNP)
DILG - Bureau of Fire Protection (BFP)
Philippine Drug Enforcement Agency (PDEA)
Dangerous Drugs Board (DDB)
National Coast Watch Council

Secretariat: National Economic and Development Authority - Regional Development Staff


(NEDA-RDS)

Updated PDP 2017-2022 Planning Committees 489


SUBCOMMITTEE ON PEACE AND DEVELOPMENT

Chair: Office of the Presidential Adviser on the Peace Process (OPAPP)

Member Agencies:

Department of National Defense (DND)


Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)
National Task Force to End Local Communist Armed Conflict (NTF-ELCAC)
National Security Council (NSC)
Philippine Commission on Women (PCW)
Philippine Statistics Authority (PSA)
Mindanao Development Authority (MinDA)
Anti-Terrorism Council (ATC)

SUBCOMMITTEE ON SECURITY, PUBLIC ORDER, AND SAFETY

Chair: Department of the Interior and Local Government (DILG)

Member Agencies:

Anti-Terrorism Council (ATC)


Bangsamoro Autonomous Region in Muslim Mindanao (BARMM)
DILG - Bureau of Fire Protection (DILG-BFP)
Department of Agriculture - Bureau of Fisheries and Aquatic Resources (DA-BFAR)
Commission on Human Rights (CHR)
Dangerous Drugs Board (DDB)
Department of Foreign Affairs (DFA)
Department of Justice (DOJ)
Department of National Defense (DND)
Mindanao Development Authority (MinDA)
National Coast Watch Council
DILG - National Police Commission (DILG-NAPOLCOM)
National Security Council (NSC)
Office of Civil Defense (OCD)
Philippine Center on Transnational Crime (PCTC)
Philippine Coast Guard (PCG)
Philippine Commission on Women (PCW)
Philippine Drug Enforcement Agency (PDEA)
DILG - Philippine National Police (DILG-PNP)
Philippine Statistics Authority (PSA)

490 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON CULTURE
Chair: National Commission for Culture and the Arts (NCCA)
Co-Chair: Department of Labor and Employment (DOLE)

Member Agencies:

Commission on Higher Education (CHED)


Department of Education (DepEd)
Department of Tourism (DOT)
Department of Trade and Industry - Design Center of the Philippines (DTI-DCP)
Film Development Council of the Philippines (FDCP)
Movie and Television Review and Classification Board (MTRCB)
National Commission on Indigenous Peoples (NCIP)
National Commission on Muslim Filipinos (NCMF)
National Economic and Development Authority (NEDA)
Philippine Sports Commission (PSC)
Office of the President - Presidential Communications Operations Office (OP-PCOO)
Technical Education and Skills Development Authority (TESDA)

Resource Persons:
Civil Service Commission - Civil Service Institute (CSC-CSI)
Cultural Center of the Philippines (CCP)
Department of Foreign Affairs (DFA)
Department of the Interior and Local Government (DILG)
Komisyon sa Wikang Filipino (KWF)
National Archives of the Philippines (NAP)
National Council on Disability Affairs (NCDA)
National Historical Commission of the Philippines (NHCP)
National Library of the Philippines (NLP)
National Museum of the Philippines (NMP)
National Youth Commission (NYC)
Philippine Commission on Women (PCW)
Philippine Information Agency (PIA)

Secretariat: NEDA - Governance Staff (NEDA-GovS)

Updated PDP 2017-2022 Planning Committees 491


PLANNING COMMITTEE ON ECOLOGICAL INTERGRITY
Chair: Department of Environment and Natural Resources (DENR)

Member Agencies:

Climate Change Commission (CCC)


Commission on Population and Development (POPCOM)
Department of Agriculture - Bureau of Fisheries and Aquatic Resources (DA-BFAR)
DA - Bureau of Soils and Water Management (DA-BSWM)
Department of Budget and Management (DBM)
Department of Education (DepEd)
Department of Energy (DOE)
DENR - Policy and Planning Service (DENR-PPS)
DENR - Biodiversity Management Bureau (DENR-BMB)
DENR - Ecosystems Research and Development Bureau (DENR-ERDB)
DENR - Environmental Management Bureau (DENR-EMB)
DENR - Forest Management Bureau (DENR-FMB)
DENR - Land Management Bureau (DENR-LMB)
DENR - Mines and Geosciences Bureau (DENR-MGB)
DENR - River Basin Control Office (DENR-RBCO)
Department of Finance (DOF)
Department of Health (DOH)
Department of Human Settlements and Urban Development (DHSUD)
Department of Public Works and Highways (DPWH)
Department of Science and Technology - Philippine Atmospheric, Geophysical and Astronomical
Services Administration (DOST- PAGASA)
DOST - Philippine Council for Agriculture, Aquatic, and Natural Resources Research and Development
(DOST-PCAARRD)
DOST - Philippine Institute of Volcanology and Seismology (DOST-PHIVOLCS)
Department of the Interior and Local Government (DILG)
Department of Tourism (DOT)
Department of Trade and Industry (DTI)
Department of Transportation-Land Transportation Franchising and Regulatory Board (DOTr-LTFRB)
House of Representatives - Committee on Ecology (HOR-Comm. on Ecology)
HOR - Committee on Natural Resources (HOR-Comm. on NatRes)
HOR - Congressional Policy and Budget Research Department (HOR-CPBRD)
HOR - Committee on Climate Change (HOR-Comm. on CC)
Metropolitan Manila Development Authority (MMDA)
National Coast Watch Council
National Commission on Indigenous Peoples (NCIP)
DENR - National Mapping and Resource Information Authority (DENR-NAMRIA)
National Solid Waste Management Commission (NSWMC)

492 | Updated Philippine Development Plan 2017-2022


National Water Resources Board (NWRB)
Office of Civil Defense - National Disaster Risk Reduction and Management Council (OCD-NDRRMC)
Philippine Center for Environmental Protection and Sustainable Development Inc. (PCEPSDI)
Philippine Institute for Development Studies (PIDS)
Philippine Reclamation Authority (PRA)
Philippine Statistics Authority (PSA)
Senate Committee on Environment, Natural Resources, and Climate Change (Senate-Comm. on ENR
and CC)
Senate Economic Planning Office (SEPO)

Secretariat: National Economic and Development Authority - Agriculture, Natural Resources,


and Environment Staff (NEDA-ANRES)

Updated PDP 2017-2022 Planning Committees 493


SUBCOMMITTEE ON BIODIVERSITY

Chair: Department of Environment and Natural Resources- Policy and Planning Service
(DENR-PPS)

Member Agencies:

Commission on Higher Education (CHED)


Commission on Population and Development (POPCOM)
Department of Agriculture - Bureau of Fisheries and Aquatic Resources (DA-BFAR)
DA - Bureau of Soils and Water Management (DA-BSWM)
Department of Budget and Management (DBM)
Department of Education (DepEd)
DENR - Biodiversity Management Bureau (DENR-BMB)
DENR - Ecosystems Research and Development Bureau (DENR-ERDB)
DENR - Environmental Management Bureau (DENR-EMB)
DENR - Forest Management Bureau (DENR-FMB)
DENR - Land Management Bureau (DENR-LMB)
DENR - Mines and Geosciences Bureau (DENR-MGB)
DENR - River Basin Control Office (DENR-RBCO)
Department of Human Settlements and Urban Development (DHSUD)
Department of the Interior and Local Government - Bureau of Local Government Supervision (DILG-
BLGS)
Department of Science and Technology - Philippine Council for Agriculture, Aquatic and Natural
Resources Research and Development (DOST-PCAARRD)
DOST - Planning and Evaluation Service (DOST-PES)
Department of Tourism (DOT)
Department of Trade and Industry - Board of Investments (DTI-BOI)
House of Representatives - Committee on Natural Resources (HOR-Comm. on NatRes)
HOR - Congressional Policy and Budget Research Department (HOR-CPBRD)
National Commission on Indigenous Peoples (NCIP)
National Economic and Development Authority - Monitoring and Evaluation Staff (NEDA-MES)
National Fisheries Research and Development Institute (NFRDI)
DENR - National Mapping and Resource Information Authority (DENR-NAMRIA)
National Water Resources Board (NWRB)
Philippine Reclamation Authority (PRA)
Philippine Statistics Authority (PSA)
Senate Committee on Environment and Natural Resources, and Climate Change (Senate-Comm. on
ENR and CC)
Senate Economic Planning Office (SEPO)

494 | Updated Philippine Development Plan 2017-2022


SUBCOMMITTEE ON ENVIRONMENTAL QUALITY

Chair: Department of Environment and Natural Resources - Environmental


Management Bureau (DENR-EMB)

Member Agencies:

Department of Agriculture - Bureau of Fisheries and Aquatic Resources (DA-BFAR)


DA - Bureau of Soils and Water Management (DA-BSWM)
Department of Budget and Management (DBM)
Department of Energy - Renewable Energy Management Bureau (DOE-REMB)
DENR - Mines and Geosciences Bureau (DENR-MGB)
Department of Health- Office for Policy and Health Systems (DOH-OPHS)
Department of Public Works and Highways - Planning Service (DPWH-Planning Service)
Department of Science and Technology - Philippine Council of Industry, Energy, and Emerging
Technology Research and Development (DOST-PCIEERD)
Department of the Interior and Local Government (DILG)
DILG - Bureau of Local Government Supervision (DILG-BLGS)
Department of Tourism- Office of Tourism Development Planning, Research, and Information
Management (DOT-OTDPRIM)
Department of Trade and Industry- Bureau of Philippine Standards (DTI-BPS)
Department of Transportation (DOTr)
DOTr - Land Transportation Franchising and Regulatory Board (DOTr-LTFRB)
DOTr - Land Transportation Office (DOTr-LTO)
DENR - Policy and Planning Service (DENR-PPS)
House of Representatives - Congressional Policy and Budget Research Department (HOR-CPBRD)
HOR - Committee on Ecology (HOR-Comm. on Ecology)
Laguna Lake Development Authority (LLDA)
Local Water Utilities Administration (LWUA)
Metropolitan Manila Development Authority (MMDA)
Metropolitan Waterworks and Sewage System (MWSS)
National Economic and Development Authority - Monitoring and Evaluation Staff (NEDA-MES)
DENR - National Mapping and Resource Information Authority (DENR-NAMRIA)
National Solid Waste Management Commission (NSWMC)
Philippine Statistics Authority (PSA)
Senate Economic Planning Office (SEPO)

Updated PDP 2017-2022 Planning Committees 495


SUBCOMMITTEE ON ECOSYSTEM RESILIENCY

Chair: Climate Change Commission - Climate Change Office (CCC-CCO)

Member Agencies:

Agricultural Credit Policy Council - Policy, Planning, Program Development and Advocacy Staff
(ACPC-PPPDAS)
Commission on Higher Education - Office of Planning, Research, and Knowledge Management
(CHED-OPRKM)
Department of Agriculture - Systems-Wide Climate Change Office (DA-SWCCO)
Department of Budget and Management (DBM)
Department of Education - Disaster Risk Reduction and Management Service (DepEd-DRRMS)
DepEd - Planning Service (DepEd-PS)
Department of Energy - Renewable Energy Management Bureau (DOE-REMB)
Department of Environment and Natural Resources - Ecosystems Research and Development Bureau
(DENR-ERDB)
DENR - Mines and Geosciences Bureau (DENR-MGB)
DENR - Policy and Planning Service (DENR-PPS)
DENR - Climate Change Service (DENR-CCS)
Department of Finance - International Finance Group (DOF-IFG)
Department of Health - Health Facilities and Services Regulatory Bureau (DOH-HFSRB)
Department of Human Settlements and Urban Development (DHSUD)
Department of the Interior and Local Government (DILG)
DILG - Local Government Academy (DILG-LGA)
Department of Public Works and Highways - Bureau of Construction (DPWH-BOC)
Department of Science and Technology - Philippine Institute of Volcanology and Seismology (DOST-
PHIVOLCS)
Department of Tourism - Office of Tourism Development Planning, Research and Information
Management (DOT-OTDPRIM)
Department of Trade and Industry - Bureau of Small and Medium Enterprise Development (DTI-
BSMED)
Government Service Insurance System - Insurance Group (GSIS-IG)
House of Representatives - Committee on Climate Change (HOR-Comm. on CC)
HOR - Committee on Ecology (HOR-Comm. on Ecology)
National Economic and Development Authority - Monitoring and Evaluation Staff (NEDA-MES)
NEDA - Regional Development Staff (NEDA-RDS)
DENR - National Mapping and Resource Information Authority (DENR-NAMRIA)
Office of Civil Defense - National Disaster Risk Reduction and Management Council (OCD-NDRRMC)
Philippine Crop Insurance Corporation - Planning and Management Information Office (PCIC-PMO)
Philippine Institute for Development Studies (PIDS)
Philippine Statistics Authority (PSA)
Senate Committee on Environment, Natural Resources and Climate Change (Senate-Comm. on ENR
and CC)
Senate Economic Planning Office (SEPO)
Technical Education and Skills Development Authority - Planning Office (TESDA - Planning)

496 | Updated Philippine Development Plan 2017-2022


PLANNING COMMITTEE ON TECHNOLOGY AND INNOVATION
Chair: Department of Science and Technology (DOST)
Co-Chairs: Intellectual Property Office of the Philippines (IPOPHL)
Commission on Higher Education (CHED)

Member Agencies:

Department of Agriculture (DA)


Department of National Defense (DND)
Department of Health (DOH)
Department of Labor and Employment (DOLE)
Department of Trade and Industry (DTI)
Department of Science and Technology - National Academy of Science and Technology (DOST-NAST)
Department of Information and Communications Technology (DICT)
Philippine Institute for Development Studies (PIDS)
Department of Energy (DOE)
Philippine Statistics Authority (PSA)
Department of Public Works and Highways (DPWH)
Department of Budget and Management (DBM)
Department of Transportation (DOTr)
Department of Foreign Affairs (DFA)
Department of Environment and Natural Resources (DENR)
Department of Education (DepEd)
Department of the Interior and Local Government (DILG)

Secretariat: National Economic and Development Authority - Trade, Services, and Industry
Staff (NEDA-TSIS)

Updated PDP 2017-2022 Planning Committees 497


Schedule of
Updated PDP 2017-2022
Consultations
Activity Inclusive Dates

First Plan Steering Committee Meeting May 09, 2019


Second Plan Steering Committee Meeting November 20, 2020

Regional Consultations Jul 04-31, 2019


National Capital Region July 31, 2019
Region I - Ilocos July 18, 2019
Region II - Cagayan Valley July 19, 2019
Region III - Central Luzon July 24, 2019
Region IV-A - CALABARZON July 12, 2019
Region IV-B - MIMAROPA July 04, 2019
Region V - Bicol July 25, 2019
Region VI - Western Visayas July 26, 2019
Region VII - Central Visayas July 29, 2019
Region VIII - Eastern Visayas July 31, 2019
Region IX - Zamboanga Peninsula July 25, 2019
Region X - Northern Mindanao July 25, 2019
Region XI - Davao July 23, 2019
Region XII - SOCCSKSARGEN July 12, 2019
Caraga July 23, 2019
Cordillera Administrative Region July 19, 2019
Bangsamoro Autonomous Region in Muslim Mindanao July 30, 2019

Inter-planning Committee Meeting October 14, 2019


Writeshop October 16-17, 2019
National Consultation November 11, 2019
Online/Public Consultation November 15-22, 2019
Endorsement to NEDA Board December 28, 2020

Updated PDP 2017-2022 Consultations 499


500 | Updated Philippine Development Plan 2017-2022
NEDA Board
Rodrigo Roa Duterte
President of the Philippines
Chairperson

Karl Kendrick T. Chua


Socioeconomic Planning Secretary
Vice-Chairperson

Members

Salvador C. Medialdea Mark A. Villar


Executive Secretary Secretary
Office of the President Department of Public Works and Highways

Karlo Alexei B. Nograles Ramon M. Lopez


Cabinet Secretary Secretary
Office of the President Department of Trade and Industry

Wendel E. Avisado Arthur P. Tugade


Secretary Secretary
Department of Budget and Management Department of Transportation

Alfonso G. Cusi Emmanuel F. Piñol


Secretary Chairperson - Mindanao Development
Department of Energy Authority

Carlos G. Dominguez III Francisco G. Dakila, Jr.


Secretary Deputy Governor
Department of Finance Bangko Sentral ng Pilipinas

Eduardo D. Del Rosario


Secretary
Department of Human Settlements and
Urban Development

NEDA Board 501


502 | Updated Philippine Development Plan 2017-2022
NEDA Secretariat
Office of the Secretary

Karl Kendrick T. Chua


Socioeconomic Planning Secretary

Internal Audit Service Legislative Executive Development Advisory


Roweena M. Dalusong Council
Director IV Mae Grace June C. Nillama
Head Executive Assistant and Supervising Officer
Development Information Staff
Nerrisa T. Esguerra Legislative Liaison Office
Director IV Cristina B. Mortega
Supervising Officer

Corporate Affairs Group National Development Office –


Policy and Planning
Office of the Undersecretary
Jose Miguel R. De La Rosa Office of the Undersecretary for Policy and
Undersecretary Planning
Rosemarie G. Edillon
Office of the Assistant Secretary Undersecretary
Ma. Monica P. Pagunsan
Officer-in-Charge (OIC)-Assistant Secretary Office of the Assistant Secretary for Policy and
Planning
Financial Planning and Management Staff Carlos Bernardo O. Abad Santos
Ma. Monica P. Pagunsan Assistant Secretary
Director IV
Trade, Services, and Industry Staff
Administrative Staff  Bien A. Ganapin
Danilo D. Barrameda Director IV
Director IV  
National Policy and Planning Staff
Information and Communications Reynaldo R. Cancio
Technology Staff Director  IV
Florante G. Igtiben
Director IV Social Development Staff
Girlie Grace J. Casimiro-Igtiben
Legal Staff Director IV
Flora Sherry Basquiñez Samañiego  
OIC-Director Governance Staff
Thelma C. Manuel
Director IV

NEDA Secretariat 503


National Development Office – Regional Development Office
Investment Programming
Office of the Undersecretary
Office of the Undersecretary for Investment Mercedita A. Sombilla
Programming Undersecretary
Jonathan L. Uy
OIC - Undersecretary Office of the Assistant Secretary
  Greg L. Pineda
Office of the Assistant Secretary for Assistant Secretary
Investment Programming
Roderick M. Planta Regional Development Staff
Assistant Secretary Remedios S. Endencia
Director IV
Infrastructure Staff
Kathleen P. Mangune Agriculture, Natural Resources, and
Director IV Environment Staff
  Nieva T. Natural
Public Investment Staff Director IV
Hazel Iris S. Baliatan
Director IV

Monitoring and Evaluation Staff


Violeta S. Corpus
Director IV

504 | Updated Philippine Development Plan 2017-2022


Cordillera Administrative Region (CAR) Region VII - Central Visayas
Susan A. Sumbeling Efren B. Carreon
Regional Director Regional Director

Region I - Ilocos Region VIII - Eastern Visayas


Nestor G. Rillon Bonifacio G. Uy
Regional Director Regional Director
Region II - Cagayan Valley Region IX - Zamboanga Peninsula
Dionisio C. Ledres Jr. Phlorita A. Ridao
Regional Director Regional Director

Region III - Central Luzon Region X - Northern Mindanao


Gina T. Gacusan Mylah Faye Aurora B. Cariño
Regional Director Regional Director

Region IV-A - CALABARZON Region XI - Davao


Luis G. Banua Ma. Lourdes D. Lim
Regional Director Regional Director

Region IV-B - MIMAROPA Region XII - SOCCSKSARGEN


Agustin C. Mendoza Teresita Socorro C. Ramos
Regional Director Regional Director

Region V - Bicol Caraga


Agnes E. Tolentino Priscilla R. Sonido
Regional Director Regional Director

Region VI - Western Visayas


Meylene C. Rosales
OIC - Regional Director

505 | Updated Philippine Development Plan 2017-2022 Updated PDP 2017-2022 Consultations 505
Updated PDP 2017-2022
Secretariat
Overall Secretariat Chapter 5
Director Reynaldo R. Cancio Lead: Director Thelma C. Manuel
OIC-Assistant Director Desiree O. Narvaez Assistant Director Reverie Pure G. Sapaen
Domini S. Velasquez Judith V. Gondra
Ivee L. Cabading Mariane Genelou S. Reyes
Ravina Viera A. Madrid Hazel Queen R. Sambo
Rita Angela M. Rivera Maria Angelica U. Sarinas
John Kenneth B. Cada Genshen L. Espedido
Rose Margaret G. Redelicia
Maria Antonette D. Pasquin Chapter 6
Dainielle J. Bonete Lead: Director Thelma C. Manuel
Renz S. Torillos Assistant Director Reverie Pure G. Sapaen
Joy J. Divinagracia
Chapter 1 Michelle L. Alvarez
Lead: Undersecretary Rosemarie G. Edillon Rod Norbert D. Mondoyo
Overall Secretariat Karizza Mae P. Paredes

Chapter 2 Chapter 7
Lead: Director Reynaldo R. Cancio Lead: Director Thelma C. Manuel
Generose B. Manlangit Assistant Director Reverie Pure G. Sapaen
Sharayah Nicole R. Dominguez Jazmin D. Berido
Maureen Jane B. Oreiro
Chapter 3 Ranel Ram C. Cheng
Lead: Director Remedios S. Endencia Karen M. Resurreccion
Assistant Director Cynthia A. Villena Maria Adela T. Maputi
Kristine Abbie A. Arcena
Rosauro L. De Leon Chapter 8
Hailey V. Meriel Lead: Director Nieva T. Natural
Annielyn C. Rivera Assistant Director Diane Gail L. Maharjan
William G. Sese Lenard Martin P. Guevarra
Rory Jay S. Dacumos
Reichelle C. Celorico
Chapter 4 Ralph Camelo E. Mariano
Lead: Assistant Secretary Carlos O. Abad Santos Eunice Chloe V. Calura
Overall Secretariat Hazel Ann L. Alforja
Mary Grace C. Lapurga
Jessa Danica Villa L. Agcopra
Alvin Caezar V. Olanday
John Kenneth V. Casabal
Mark Angelo V. Cagampan
Janel Asley Z. Raviz

Updated PDP 2017-2022 Secretariat 507


Chapter 9 Chapter 12
Lead: Director Bien A. Ganapin Lead: Director Girlie Grace J. Casimiro-Igtiben
Ma. Millicent Joy N. Urgel Former SDS Director MaryAnne E.R. Darauay
Esther O. Kinuta OIC-Director Myrna Clara B. Asuncion
Rodelyn L. Rodillas OIC-Assistant Director Edgardo S. Aranjuez II
Maria Ana Michaela R. Feliciano Ramon Paul M. Falcon
Loida G. Panopio
Chapter 10 Dennis V. Villarta
Lead: Director Girlie Grace J. Casimiro-Igtiben Golda P. Cainglet
Former SDS Director MaryAnne E.R. Darauay Dulce B. Paloma
OIC-Director Myrna Clara B. Asuncion Aretha Janin O. Garcia
OIC-Assistant Director Edgardo S. Aranjuez II Jenno Z. Ravalo
Susan M. Carandang Kenneth Casey M. Tapnio
Yuko Lisette R. Domingo Dianne Jade D. Calay
Xarina Dominique V. David
Michael Dominic Z. Padlan Chapter 13
Arlene S. Ruiz Lead: Director Girlie Grace J. Casimiro-Igtiben
Tomasito P. Javate, Jr. Former SDS Director MaryAnne E.R. Darauay
Kevin M. Godoy OIC-Director Myrna Clara B. Asuncion
Camille F. Rivera OIC-Assistant Director Edgardo S. Aranjuez II
Denise Erika P. Señires Arlene S. Ruiz
Director Reynaldo R. Cancio Tomasito P. Javate
Ivee L. Cabading Maurene Ann D. Papa
Ravina Viera A. Madrid Celso S. Villaluz
Maria Antonette D. Pasquin Amabelle C. Quendangan
Rita Angela M. Rivera
Chapter 14
Chapter 11 Lead: Director Bien A. Ganapin
Lead: Director Girlie Grace J. Casimiro-Igtiben Assistant Director Richard Emerson D. Ballester
Former SDS Director MaryAnne E.R. Darauay Estrella R.Turingan
OIC-Director Myrna Clara B. Asuncion Antonio Jose G. Leuterio
OIC-Assistant Director Edgardo S. Aranjuez II
April M. Mendoza Chapter 15
John Anthony U. Geronimo Lead: Director Reynaldo R. Cancio
Yuri M. Leomo OIC-Assistant Director Desiree O. Narvaez
Anna Clarissa S. Abesamis Rachelle Angela C. Ramos
Marie Elaine A. Ceralde David Feliks M. Bunao
Jhoanne O. Mahilum Irene Angela V. Cuya
Carlo Lorenzo C. Reyes Ma. Clarisa P. Manzon
Melanie Grace A. Quintos
Maria Evette T. Santos
Dorothy Jane M. Obispo
Ma. Cecilia Angela D. Labadan
Laura P. Lopez
Jeremiah Louis M. Racela
Generose B. Manlangit
David Carlo C. Mangalindan

508 | Updated Philippine Development Plan 2017-2022


Chapter 16 Chapter 20
Lead: Director Thelma C. Manuel Lead: Director Nieva T. Natural
Assistant Director Reverie Pure G. Sapaen Assistant Director Diane Gail L. Maharjan
Joy J. Divinagracia Julius A. Casabal
Janice G. Utanes Mary Jane M. Dela Rosa
Jose Carlos Alexis C. Bairan Jane Desiree F. Andal
Jacqueline T. Miel-Soliguin
Chapter 17 Mary Descery Joy B. Bongcac
Lead: Director Remedios S. Endencia Carygine V. Isaac
Assistant Director Cynthia A. Villena Dorothy D. Bantasan
Mark E. de las Alas Roald Ray B. Taperla
Fresita S. Araneta Dominic E. Andrada
Nicole Faith D. Blanco
Chapter 18 Lara Gianna V. Hidalgo
Lead: Director Remedios S. Endencia
Assistant Director Cynthia A. Villena Chapter 21
Lemuel D. Dimagiba Lead: Director Reynaldo R. Cancio
Kristine M. Villarino Generose B. Manlangit
Reynaldo B. Delos Santos, Jr.
Chapter 19 Gretchen Leah A. Montejo
Lead: Director Kathleen P. Mangune Sharayah Nicole R. Dominguez
OIC-Assistant Director Francis Bryan C. David Carlo C. Mangalindan
Coballes
Mary Ash Day O . Malimit
Aldwin U. Urbina
Criselle S. Santos
Edgar A. Basilio
Geraldine B. Bayot
Jessica Vien S. Mandi
Nathania Rae Z. Cortes
Gilbert V. Kintanar
Sheryl A. Borromeo
Marian Mae L. Mellizas
Jose Ma. Albert H. Perez

Updated PDP 2017-2022 Secretariat 509


Editorial Team
Secretary Karl Kendrick T. Chua
Undersecretary Rosemarie G. Edillon
Assistant Secretary Carlos Bernardo O. Abad Santos
Director Reynaldo R. Cancio
Director Nerrisa T. Esguerra

Production Team
Director Nerrisa T. Esguerra
Assistant Director Frances Fatima M. Cabana
Maria Charina I. Quiwa
Honeyleen N. Novilla
Maria Krisna B. Parrera
Patrick R. Salamat
Paul Cyril D. Torrente
Clarissa E. Escasinas
Patricia Mae A. Ching
Leslie P. Lim
Bettina B. Medina
Marifel S. Geronimo
Louise O. Garcia
Cherie Anne R. Quirante
Patricia Mae A. Ching
Geralyn A. Rigor
Nancy R. Samonte
Judith L. Cornista
Raissa P. Angeles

510 | Updated Philippine Development Plan 2017-2022


Updated Philippine Development Plan 2017-2022

Published by:

National Economic and Development Authority


12 St. Josemaria Escriva Drive, Ortigas Center,
Pasig City, 1605 Philippines

Telephone: (+632) 8631 0945 to 56


Email: [email protected]
Website: https://neda.gov.ph

ISSN: 2243-7576

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