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HOUSE SPEAKER CALMS FEARS PHL ON THE CUSP OF RETURN TO IRON RULE
Empty threat? By Jovee Marie N. dela Cruz & Rene Acosta
T
he leader of the House of Representatives has assured the public that President Duterte will not push through with his recent pronouncement that he will declare martial law.
President Duterte bows after delivering his first State of the Nation Address on July 25, 2016, as Speaker Pantaleon D. Alvarez applauds. Alvarez assured the public that Duterte will not push through with his recent pronouncement that he will declare martial law. “I know him personally, and I sincerely believe he will not declare martial law,” he said. Bullit Marquez/AP
Speaker Pantaleon D. Alvarez, an administration ally, issued the assurance after Duterte, for the second time in a span of six months, said he will declare martial law if the drug situation in the country worsens. “I know him personally, and I sincerely believe he will not declare martial law,” Alvarez said. Article VII, Section 18 of the 1987 Constitution has laid down very strict requirements before martial law can be declared by the President. The provision is clear: Martial law can only be declared in cases of invasion or rebellion, and only when public safety demands. Moreover, Alvarez said Duterte, as a lawyer, is well aware of the legal requirements, as well as limitations, regarding such a declaration. “That is why, I believe all the apprehension about the prospect of declaration of martial law is largely unfounded,” Alvarez added.
Exasperated
National Police chief Director General Ronald M. de la Rosa said he believed that the Commander
in Chief was forced to reissue his statement about martial law in exasperation over the prevailing crime and security situation, highlighted by the illegal-drugs problem and the plague of terrorism in the South. “By all means, we will support the President if he declares martial law. So long as I am the chief of the PNP, I will do everything so that it will not be abused,” dela Rosa said in a news briefing earlier this week. “He [Duterte] said it because of frustration, apparently because of the situation—in anger—but I doubt if he would do it. But if ever he will do that option, that option is left to the Chief Executive, and we will support him,” the top police officer added.
Clapping
At Camp Aguinaldo, reactions from soldiers, however, vary. “Let them do the clapping, let them have the limelight, and we will silently work doing our fair share,” one senior officer said, referring to dela Rosa’s readily Continued on A2
President Duterte gestures with a fist bump, as he poses with Philippine troops during his visit to the Philippine Army’s Camp Mateo Capinpin in Tanay, Rizal, on August 24, 2016. Bullit Marquez/AP
PHL may have to deal with current-account deficit, weak peso this year
F
By Bianca Cuaresma
raught with potential global shocks and volatile investor sentiment, the Philippine external sector is looking to face its worst performance in years this year, as analysts are almost certain of the deterioration of the economy’s current-account position and the further depreciation of the local currency’s value. PESO exchange rates n US 49.9530
But, unlike textbook cases, experts also said the sinking numbers in the Philippines’s external position are not all that bad and are like growing pains that the country has to go through in the midst of strong economic expansion in recent years.
Depleted current account
The current account—or the component of the balance of payments (BOP) position—has been in surplus position since 2003, providing cushion to the Philippines in times of external stress, such as bouts with economic shocks in the global
economy that usually affect those economies with weaker currentaccount surpluses. This means the Philippines is looking to break some 13 consecutive years of its external position sitting comfortably in the positive territory should the current account of the Philippines cross into the deficit territory this year. And it will, actually, swing into the deficit this year, experts said. Since 2016, analysts have been saying Central Bank Governor Amando M. Tetangco Jr. will leave the Bangko Sentral ng Pilipinas (BSP) office upon the end of his
term with a current account in a deficit territory, noting the declining trend of its surplus in recent months. One of the most recent private-bank analyses on the Philippines that forecast a currentaccount deficit in 2017 came from German financial institution Deutsche Bank, with the shortfall likely to come this year, as oil prices rise and domestic demand continues to be strong. Other economists, including Moody’s Analytics and global bank HSBC, also blamed the expected poor performance of the trade sec-
$1.6B
The current-account surplus accumulated from January to September, down 74% tor, as well as heavy importation ahead of a projected heavy infrastructure buildup in the country behind their lackluster view of the Philippines’s current-account position for 2017. Earlier, the Central Bank also Continued on A2
n japan 0.4352 n UK 61.6020 n HK 6.4398 n CHINA 7.2659 n singapore 35.0449 n australia 37.7545 n EU 53.2549 n SAUDI arabia 13.3237
Source: BSP (20 January 2017 )