Introductory considerations: Internal process

NEXT to learning and growth (the people perspective), we have the perspective offered by the internal processes in our society.

The internal process of the nation is framed by government, and in my view it has three primary components — the government bureaucracy, both national and local; the political system; and the economic system. We should view each separately to present the strategic priorities we need to consider and pursue in the decades ahead.

First, the bureaucracy component. This illustrates the oligarchic and dynastic state of the Philippines. Its economic and political elite heavily influence the appointments to the government bureaucracy. Some oligarchs and political dynasties either make substantial financial contributions to their favored candidates, or contribute the votes they control to their chosen candidates. They then recommend their people to the candidate who wins for appointments to government positions so as to advance their business or political interests.

The oligarchic and dynastic feature of our government bureaucracy often creates policy distortions; and it derails program implementation, often at high financial cost to the country’s public treasury; it spawns corruption, which remains the biggest problem in the bureaucracy. There is so much wastage of public funds, both at the local level as well as at the national level. As a result, basic services to the people are adversely affected, in terms of quality, quantity, timeliness, among others.

Second, the political component. Apart from the usual vote-buying, electoral fraud, and violence including killings during elections, there are three serious problems that I see in the political arena.

• The concentration of power in the hands of a few political dynasties. According to Dr. Ronald Mendoza, previously of the Asian Institute of Management, around 70% of the members of Philippine Congress and (80%) of the elected heads of local government units (LGUs) belong to political dynasties.

• Due to the predominance of political dynasties (with some outstanding exceptions, however), good public governance becomes a very difficult cause to promote.

• The level of overall rural poverty incidence in the country is very high. At 40%, according to Dr. Cielito Habito, former NEDA secretary, the rate in the Philippines is scandalously high. Malaysia only has 8% rural poverty; Thailand, 14%; and Vietnam, 17%.

Obviously, our political system is not inclusive, meritocratic, and developmental. Neither is it efficient and effective. Moreover, it is not able to elect to public office the best and the brightest of the citizenry.

Third, the economic component: These three problems appear to weigh down the economy, despite reasonable economic growth rates posted since the People Power Revolution of 1986. The economy is not creating enough jobs for our people. It has not reduced poverty in a significant measure, even for those millions who have jobs. The economy grows on the backs and shoulders of our OFWs, whose annual remittances of around $32 billion account for more than 10% of its total size.

These challenges need to be faced by the strategic priorities we pursue.