Gov’t ups spending for roads, bridges
o v e r n m e n t spending for roads, bridges and other public works grew percent to billion in the first nine months of the year as part of the A uino admin istration s efforts to keep pace with its regional neigh bors and sustain its growth momen tum
h e latest amount accounts for percent of the government s total disbursements from anuary to eptember amount ing to tril lion, which is percent more than the trillion spent in the same period last year
It covered road
projects of the Department of Public Works and Highways, the implementation of flood control and drainage projects, rehabilitation of pumping stations to mitigate flooding in Metro Manila, and farm-to-market roads and irrigation projects of the Department of Agriculture.
“Our continued drive for efficient public spending, particularly for infrastructure and capital outlay, has shown consistent year-onyear improvements over the last three quarters. We are looking to further boost our investments to this end and minimize infrastructure gaps by the end of the year to facilitate greater economic expansion-one that is inclusive and brings tangible benefits for all Filipinos,” Budget and Management Secretary Florencio “Butch” Abad said.
Weak and inadequate infrastructure along with the government’s failure to transform protectionist policies and liberalize more sectors, have long been cited by foreign investors as among the biggest problems in doing business in the Philippines. These factors have likewise contributed to the country’s high unemployment rate.
Government officials estimated that the the country would need to raise infrastructure spending from around 2.5 percent of GDP (gross domestic product) to five or seven of the national output or by about P300 billion to P500 billion a year to register further growth.
The Philippines has increased public spending in recent years due to faster economic growth, shedding its reputation as the sick man of Asia. The economy has expanded above seven percent for a fourth straight quarter, bucking a regional slowdown to remain one of Asia’s economic bright spots.