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Posted by / 08-Jul-2017 05:51

However, if we don’t pass this leg­islation, how will we pay for our future infrastructure projects?

“We need to seize the moment and make the hard decision.

Diokno said that if the proposed tax measures do not come in time, the government will turn to borrowings — 80 percent from domestic and 20 per­cent from foreign sources — to finance government projects, considering the current lower interest rates offered by financial institutions.

He expressed hopes, however, that Congress would pass the proposed tax-reform bill on time.

On the sidelines of the Philip­pine Development Forum at the SMX Convention Center in Davao, Diokno said that delaying the implementation of the infrastructure program would cause more problems, considering the already huge infrastructure gap in the country.

“We will continue to invest in in­frastructure and human-capital de­velopment because you create more problems if you delay,” he said.

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“Everything starts with peace and order.” The forum, which gathered 400 business leaders, local and inter­national non-governmental orga­nizations, government leaders and financial institutions, served as a brainstorming session among stake­holders in the business sector to flesh out the President’s 10-point socio­economic agenda. He cited as an example, Maguin­danao province, which experienced violent fighting in the past but which is now reaping the benefits of peace after an investor poured in capital for banana plantations.

(From left) Budget Secretary Benjamin Diokno, Finance Secretary Carlos Dominguez III, and Socioeconomic Planning Secretary Ernesto Pernia speak and listen during the Philippines Development Forum press conference in Davao City last week.

(Photo: Department of Finance website) The massive infrastructure buildup is estimated to cost P5.4 trillion during President Duterte’s six-year term—which is P900 billion a year, or the equivalent of 5.4 percent of the country’s gross domestic product (GDP) annually until 2022.

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