Marcos in SONA 2023: State of the nation sound, improving

Presenting glowing economic indicators days after declaring the end of the COVID-19 emergency in the Philippines, President Ferdinand "Bongbong" Marcos Jr. on Monday declared the country's state of the nation is "sound and improving."

In his second State of the Nation Address, Marcos hailed the country's workforce, including government officials, whom he said have risen to the challenge of being part of the country's future.

"I have stated before that my confidence in our future was grounded in our world-class quality workforce that we have—be they the farmers in the field, corporate giants, government officials, school teachers, health workers, or employees," Marcos said.

He said his confidence had been "further buoyed by their demonstration of love for the Philippines."

"They have unanimously risen to the challenge that we have made to them to be part of the nation’s future. Handa silang maghandog ng tulong, dahil mahal nila ang kanilang kapwa-Pilipino, at mahal nila ang Pilipinas," Marcos said.

"With this in my heart, I know that the state of the nation is sound, and is improving," he added.

‘Highest in 46 years’

Marcos started his speech with encouraging economic indicators such as the 7.6% economic growth in 2022, "the highest in 46 years."

The economic growth came as the country gradually reopened its borders and eased COVID-19. The economy expanded by 5.7% in 2021, after the economy contracted by 9.5% in 2020.

The Philippine economy grew by 6.1% in the first quarter of 2023, slower than the 8.0% growth in the same quarter last year and the 7.1% expansion in the last quarter of 2022. Second-quarter figures have yet to be released.

The latest figures show that while the Philippines is among the top in Southeast Asia, it is slower than other areas in Asia alone — Macau with 38.0%, and Armenia with 12.1%.

He also cited the deceleration of inflation in the past five months, even as it continued to be above the government target of 2.0% to 4.0%.

‘Moving in right direction’

Inflation eased to 5.4% in June, down from 6.1% in May and the fifth straight month of deceleration from the 8.7% peak in January. It is also the lowest since April 2022’s 4.9%.

“Inflation rate is moving in the right direction. From 8.7% in January, our inflation rate, in spite of all the difficulties, we are transforming the economy. We are stabilizing the prices of all critical commodities,” Marcos said.

He also warned smugglers and hoarders of agricultural products that their days were numbered, as food prices continued to drive inflation higher.

“Sadyang hindi tama ang kanilang gawain at hindi rin ito tugma sa ating magandang layunin, pandaraya ang kanilang ginagawa," Marcos said.

"Napapahamak hindi lamang mga magsasaka, kundi tayo ring mamimili kaya't hindi natin papayagan ang ganitong kalakaran. Bilang na ang araw ng mga smugglers at hoarders na 'yan,” he added.

(What they are doing is not right, they are committing fraud. Not only farmers are affected, but consumers as well, that's why we won't allow such practice. The days of smugglers and hoarders are numbered.)

Call for more Kadiwa stores

The Bangko Sentral ng Pilipinas (BSP) said inflation was expected to be above the target range for most of 2023, before falling within the higher end by October this year.

It is expected to average 5.4% this year before stabilizing to 2.9% in 2024, and 3.2% in 2025.

Marcos called for the expansion of the Kadiwa Stores initiative across the country, directly connecting food producers to consumers in a bid to lessen costs and lower prices.

“Our aim is to boost our local agricultural production—through consolidation, modernization, mechanization, and improvement of value chains—augmented by timely and calibrated importation, as needed,” he said.

“In our quest for food security, our methods are now more guided by science and the balance of nature, so that production is both sustainable and responsible, benefiting both this and future generations,” he added.

Three years since the onset of the COVID-19 pandemic, Marcos on Monday said the government would release the already delayed health emergency allowance and other benefits due for health workers.

In his speech, Marcos reiterated that the controversial Maharlika Investment Fund (MIF) would be free from political machinations, after the measure — one of the priorities under his first SONA a year ago — was passed into law last week.

‘68 grid connections delayed’

The President likewise touched on issues on energy, as he said the target to electrify 100% of the country was within reach but 68 grid connections were ‘much delayed,’ and he called on the public to conserve water amid the El Niño.

Marcos said he will issue a presidential proclamation granting amnesty to rebel returnees, which will need the concurrence of Congress.

“To guarantee full decommissioning of combatants, we have provided community development, livelihood assistance in our reintegration process," Marcos said.

"To complement this, I will issue a proclamation granting amnesty to rebel returnees, and I ask Congress to support me in this endeavor,” he added.

‘Bagong Pilipinas’

Marcos also called on Congress to support key priority measures including new procurement and auditing laws, additional taxes covering single-use plastics and digital transactions, the reform of the pension of military and uniformed personnel (MUP), and the amendment of fisheries and cooperative codes.

“In the past year, it has been a source of great hope and optimism to me to now know that there is an enormous pool of highly competent and dedicated workers serving in our government," Marcos said.

"It is up to us to provide good leadership and guidance. They love the Philippines and have responded to our call,” he added.

“Dumating na po ang bagong Pilipinas. Maraming salamat po sa inyong lahat,” Marcos said. 

(The new Philippines has arrived. Thank you very much to everyone.) —NB, GMA Integtrated News