Connect with us

Hi, what are you looking for?

News

Legislator calls for social services to take priority over debt service

A LEGISLATOR called for the passage of a bill proposing to repeal a Presidential Decree that automatically allocates funds to service the national debt, saying that the government must prioritize spending on social services.

Bayan Muna Rep. Ferdinand R. Gaite called on Malacanang and Congress to back House Bill 4087, or the Repeal the Automatic Appropriation for Debt Service Bill, which is pending at the committee level.

“The automatic appropriation for debt service at the expense of basic services is unjust. It preempts the people’s prerogative by giving absolute and unquestioned priority to debt servicing and placing so much of the national budget outside normal budget processes. It has caused economic policy to systematically favor narrow private creditor and corporate interests over the needs of the people,” he said in a statement.

Mr. Gaite said the passage of the bill would align government priorities with the constitutional obligation to provide adequate social services.

The bill would amend Presidential Decree (PD) 1177, issued during the Marcos years when the President could govern by decree. PD 1177 effectively puts the government’s creditors first in line for payment via automatic appropriations, placing the debt service bill beyond the budgetary process and Congressional oversight.

The Bureau of the Treasury estimates outstanding public debt at the end of September at P11.9 trillion, up 27.2% year on year and up 2.41% from a month earlier.

The bureau attributed the increase in the national debt to the peso’s depreciation and the net issuance of both domestic and external debt.

Some 70.4% of the debt was borrowed from domestic sources.

Some P541.3 billion is allotted for debt service in the 2022 National Expenditure Program. — Russell Louis C. Ku

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Financial Advisors

The solar PV module market so far has seen commendable growth, with numerous milestones having been achieved in terms of the number of installations,...

News

KARASOLAR.COM TENA, Ecuador — Ecuador’s rainforest Achuar people say their ancestors long dreamed of a “fire canoe” or “electric fish” that would let them...

News

The Cabinet under the next administration is bringing in experienced officials who will be at the forefront of managing and planning the Philippine economy....

News

REUTERS MUMBAI/BUENOS AIRES/LONDON — It only took 24 hours last month for Prime Minister Narendra Modi’s government in India — the world’s second-largest producer...

News

UNSPLASH YAMAGATA, Japan — Japanese farmer Kiyoharu Hirao has started to add more rice to the mix he gives his cattle in order to...

Editor’s Pick

The Institute of Directors has had to investigate allegations about how the lobby group is run. The investigation comes just four years after Lady...

You May Also Like

News

BW FILE PHOTO GROSS BORROWINGS by the National Government reached P2.6 trillion as of end-September as it continued to raise funds to respond to...

News

REUTERS By Luz Wendy T. Noble, Reporter The country’s foreign exchange buffers slightly increased as of end-October as the value of the central bank’s...

News

COVID-19 has had a significant impact on the mental health of Filipinos across different groups all over the archipelago. From frontline workers, parents balancing...

Financial Advisors

The healthcare ecosystem is one that has thrived on the cusp of scientific progress, benefitting enormously from the winds of change in the technological...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2022 Respect Investment. All Rights Reserved.