NACIONALISTA PARTY Platform

General Statement

“Ang Bayan Higit sa Lahat” – “Nation Above All Else” is the guiding principle of the
Nacionalista Party.

Through honest, strong and decisive leadership, we will act swiftly to ensure that
necessary changes to various sectors of the economy are implemented to bring about
tangible results that will be felt at the poorest levels of society. It is unacceptable that, in
spite of positive GDP growth over the last decade, the incidence of poverty has actually
risen. Priority will initially be given to sectors that have the highest potential to make an
economic impact on the lives of the poor. Agriculture, education, tourism, infrastructure
development, and certain labor-intensive industries such as Business Office Processing
(BPO) will be given particular attention.

A two-pronged approach will be adopted. We will push for broad-based change (one
example would be, in education, higher academic standards coupled with increased
participation and literacy/graduation rates. Improving the investment climate is another
example.).This will be supported by more specific, targeted reforms and appropriate
government policies (e.g., increased spending on education as a proportion of the total
budget, higher teacher salaries, conditional cash transfers to encourage students to go
to/ stay in school.). We believe that a major shift in culture, standards, and in people’s
mindset is required to transform the Philippines, and we will therefore steer the country
towards such a positive transformation. Creating a more competitive culture and
reawakening the entrepreneurial spirit of Filipinos are examples of such
transformations.

We recognize that certain reforms may have short term effects while others will be more
long-term. Similarly, some of the changes envisioned may target certain sectors (e.g.,
reforming the Department of Agriculture and its attached agencies); while other more
general reforms may apply to many sectors (e.g., eliminating regulatory capture).

We will work towards creating a long term, growth-oriented environment - one where the
following factors - macroeconomic stability, an attractive investment climate, inclusion of
the poorest sectors of society, consistent application of laws, gender equality, peace
and order, and good governance – will be present. It is recognized that safety nets will
be necessary, especially for the poor, but as a general approach, there will be a
preference for programs such as conditional cash transfers over simple handouts or
subsidies, to bring about the desired results.
In pursuit of its goals, the government will respect human rights and individual
freedoms, take into account the role of women, apply laws fairly, and be very mindful of
the effects on the environment. The well-being of Overseas Filipino Workers and the
poor will be important factors in formulating domestic and foreign policies.

Equally important is communicating the intentions and goals of the administration to the
public and to the international community, in order to obtain their support and help
ensure success of the programs. This will be carried out not only through media
campaigns, but through actions that demonstrate the government’s sincerity and
determination, thereby encouraging people to follow suit.

We fully understand that the many required policies and programs will require
substantial revenues to implement, and that budget constraints have often been major
stumbling blocks in the past. Generating the required revenues and setting the right
priorities will thus be part of the challenge that our party and its experienced leadership
can meet squarely. We recognize that many platforms tend to simplistically offer a long
list of solutions, many of which are common to all (e.g., fight corruption, improve tax
collection). The critical part is the capability to accomplish our goals.

Ultimately, there has to be a transformation in the national culture and mindset – from
one of skepticism and cynicism to renewed optimism and hopefulness - and our people
themselves will have to do their part to bring about a national transformation. Just as
EDSA 1 was the result of people sacrificing and uniting for a common goal rather than
the action of a single group or person, deliverance from the current vicious cycle will
require unity and the collective efforts of various sectors of society.

Vision – Tapusin ang Kahirapan (Put an end to Poverty)

Tapusin ang Kahirapan, our campaign slogan, orchestrates a development approach

that seeks to transform the Philippines into an advanced society without leaving anyone
behind in the quest for prosperity.
We therefore see the need to promote the efficiency of a market economy that rewards
honest labor and entrepreneurship, with private initiative supported by honest,
transparent governance and supportive laws. At the same time, we see the government
as a source of social support to its under-privileged and its people, with the aim of
providing them with the skills, the means, and the opportunities to participate more
broadly in society´s economic and social progress.
Economy

In spite of positive average GDP growth over the last decade, poverty incidence has
actually worsened. To the maximum extent possible, the poorest levels of society
should be “included” and feel the positive effects of economic progress.

We recognize that the country needs to be on a higher long-term economic growth plain
to reduce poverty significantly and usher the country into the ranks of developed
countries within a reasonable time frame. At current GDP growth rates, it is estimated
that it will take about two hundred years for the Philippines to reach per capita incomes
comparable to first world countries today. Given our population growth rate, our long
term target should be a minimum GDP growth rate of 7% per annum to result in a
meaningful reduction in poverty.

Anemic growth in labor productivity and the low quality of employment are areas that
need to be addressed. Further, given that the majority of the population relies on
agriculture for their livelihood, immediate attention will have to be paid to this sector.

Governance is key. We will ensure that key posts will have to be occupied by people
with the relevant experience, knowledge, and integrity.

Key strategic imperatives:

1) Create an attractive investment in the country climate through:

a) Maintaining macroeconomic stability

i) Tackling the deficit will be a pre-requisite

At close to 300 billion pesos or approximately 3% of GDP, the fiscal deficit

has to be reduced. A balanced budget is not viewed as an immediate goal,
but the deficit as a percentage of GDP has to be brought down to more
prudent levels.

b) Infrastructure Development – our cost of electricity is among the highest in

the region and out transport network is extremely poor in terms of quality.
The Power and Transport sectors (airports, roads, mass transport) will have
to be focused on immediately.

c) Reduction in corruption and red tape (i.e., improved ease of doing business)

d) Consistency and predictability in application of the laws

“Leveling the playing field” is a necessary but insufficient condition to attract

investments effectively. The “Philippine playing field” has to be competitive
 relative to our peers so that investors will choose to bring their money here.
Gross Domestic Capital Formation (i.e., “investment rate”) as a proportion of
GDP in the Philippines averaged about 15% over the last five years,
compared to 38% for Vietnam and over 20% for Indonesia, Thailand and
Singapore.

2) Tax Administration

a) Simplify tax laws

b) Review and rationalize fiscal incentives

c) Reduce tax evasion and smuggling

d) Allocate resources more efficiently (e.g., address issues surrounding money-

losing government institutions such as National Food Authority, Sugar
Regulatory Administration, etc..)

3) Focus attention on sectors which are labor-intensive to encourage job-creation,

and where we have a competitive advantage (e.g., Business Process
Outsourcing, Infrastructure development, Tourism, Mining)

Agriculture

Given that a large proportion of the population rely on agriculture for their livelihood, its
importance to the economy cannot be overemphasized. About 35 per cent of the labor
force work in agriculture and fisheries. However, because of low productivity, the
agriculture industry accounts for a relatively small proportion of the country’s GDP.
Problems include poor infrastructure, inadequate investment in research and
development, lack of support services, and environmental factors (such as the El Nino
phenomenon).

The Philippines imports about a quarter of its rice requirements and is the world’s
largest importer of rice. While it is recognized that food security is an important goal, it is
also worth noting that there may be limits to the efficient production of food, especially
staples such as rice given the country’s topography. The Mekong River, by facilitating
irrigation, gives our neighbors (i.e., Thailand, Vietnam etc..) a distinct advantage in rice
production for example. Pushing for the efficient production of all of the country’s rice
requirements might be more realistic and feasible in the longer (rather than short) term
as improvements are made to infrastructure and extension services are made available
to farmers. In the meantime, food security need not necessarily mean producing all of
the country’s food requirements. Other options may be considered, such as targeting
production of an optimal percentage of rice requirements and importing the balance.

Key strategic imperatives:

1) Immediately improve infrastructure including farm-to-market roads, irrigation and

post-harvest facilities (i.e., drying, milling and storage facilities)

2) Adopt methods to improve crop yields where possible, invest in research and
development

3) Provide appropriate support services at the farm level (e.g., access to credit,
information on prices, pest control, farming methods etc..)

Education

The quality of education in the country at all levels remains unsatisfactory. Completion
rates are very low. There are almost 12 million out-of-school youth ( between 6 to 24
years old) in the country. If allowed to continue, this will have negative long-term effects
on the country’s future that will be difficult to reverse.

Resources allocated to education have to be increased significantly. There must be

sufficient funds allocated for training, salaries, incentives and social safety nets. Social
safety nets (conditional cash transfers) are particularly important in encouraging people
to stay in school as evidence has shown that many students are unable to “learn” for
lack of basic necessities like food and clothing (e.g., many children walk a long way to
school and are hungry and tired during class time).

A competitive environment will be introduced where there are penalties for poor results
and rewards for good performance (e.g., using measures such as pass rates for
professional examinations, teaching quality, employment rates). This will be not just for
teachers but schools and universities as a whole, in order to promote higher standards.

Key strategic imperatives:

1) Substantially improve quality at all levels

a. Improve quality of traditional inputs (teachers, classrooms, books,

facilities)
 2) Promote universal access, especially to primary education

3) Provide incentives (conditional cash transfers) and safety nets for those in need
(e.g., one cannot have access to education without access to adequate health
care)

4) Encourage pursuit of study in fields where labor demand is high to meet skills
requirements of the economy’s changing structure (therefore improve not just
quality but relevance of higher education as well to meet market demand)

Health

There is a need to improve access to health care among the poor. As with education,
quality and access to adequate health care are unsatisfactory. Many families, but
particularly the poor, are financially vulnerable to a sudden illness. Not only does poor
health keep people out of work or school, but it can cause financial ruin to families with
limited resources.

One area of focus will be universal access – better access to health services for as
many as possible. The new administration will have to set the groundwork to eventually
make universal access to health care in the country a reality. This is a goal that cannot
be achieved immediately. Defining a minimum level of health care service and ensuring
it can be delivered in a cost-effective manner, rather than guaranteeing all types of
health services to all Filipinos, would be a good first step and will have to be studied
carefully. It will be important to review issues such as price control for certain medicines,
investment considerations for drug companies, government subsidies, and health
insurance. Also, we must evaluate where resources are being spent and channel them
more effectively (i.e., to the most essential health services);

While the statistics on the prevalence of HIV/AIDS in the Philippines have been
relatively low, we are aware of the recent alarming trends in the spread of the disease
and will take serious steps to halt the spread. Education and awareness of this and
other diseases is of prime importance. (The role of women in the family setting can help
in this regard. For example, by making them aware of how to prevent diseases through
simple chores (e.g., boiling drinking water, or minimizing the chances of dengue
(caused by mosquitoes) by avoiding the collection of water in pots, old tires, etc..)).
Similarly, we will work to reduce child mortality rates and improve maternal health. The
under-five year old mortality rate (i.e., probability of dying between birth and five years
old per 1,000 births) in the country is about 32 and can be improved. The maternal
mortality ratio (i.e., reported number of women dying from pregnancy-related causes per
100,000 births) has stood at about 160 and can also be reduced. Working with the Local
Government Units (LGUs) has to be part of the equation.

We will also ensure that an effective system is in place that adequately prepares the
country for sudden outbreaks of diseases, as in the case of Asian flu, and more
recently, H1N1 or “swine” flu.

Foreign Relations

It is recognized that while the US remains an important ally and trading partner, the
country’s foreign policy cannot be centered solely on the US. Other countries, especially
neighbors such as China, and countries where many Filipinos now live and work, such
as Saudi Arabia, have also become increasingly important. We will work to balance
economic and strategic interests with international partners.

We will honor our existing international commitments and will continue to work with the
global community on issues that will be of mutual benefit. Trade and investments will be
promoted vigorously.

It is the administration’s intention to address the needs of the OFWs who encounter
difficulties while overseas. More specifically:

1) The number and type of diplomatic personnel in a foreign country should

reflect the Filipino population in that country.

2) A special fund will be set up for the purpose of assisting OFWs with
repatriation, medical expenses, legal fees, emergencies, etc..

3) Full implementation of the Migrant Workers Act (in particular the provision
of scholarships for qualified children of OFWs, trainings, and the ban on
foreign employment of minors).

Governance

Integrity is seen as the basic requirement for public service and leadership. For this
reason, government will be required to set the example and through its actions,
demonstrate its determination to weed out corruption at all levels. The laws will be
applied fairly to all. There will be no special treatment for friends or relatives.

Integrity alone however, cannot be relied on to eliminate graft and corruption.

Transparency is derived from having competent bureaucracy operating under rules that
are known to the public and can be validated. To quote Samuel Johnson: “Integrity
without knowledge is useless, knowledge without integrity is dangerous.” Therefore
while we rely on the innate integrity of each public servant and leader, we place equal
value on competence, transparent bureaucratic processes and validation to keep the
government honest. A carrot and stick approach will be applied in the bureaucracy. In
conjunction with ensuring that appropriate penalties are imposed on erring individuals,
rewards will be given to the best performers.

Pay scales should be reviewed so that the bureaucracy can be seen as a worthwhile
alternative to private sector employment. A well-run bureaucracy, with competitive
incentives, has to be part of the solution to eliminating graft and corruption.

Job Creation

The NP recognizes that at the individual level, gainful employment is what the man on
the street is immediately looking for. A serious challenge facing the new President is
rising unemployment – already at 7.3 percent (2.8 million), among the highest in
Southeast Asia. Underemployment is at 19.7 percent (7.1 million), mostly coming from
the agriculture sector (which is dealt with in a separate section).

Moving the economy forward should lead to the creation of jobs. However, some of the
specifics of how this will be accomplished are as follows:

Key strategic imperatives:

A) improve investment climate (as outlined earlier)

B) create an atmosphere conducive to entrepreneurship and innovation

a. This is consistent with improving the investment climate, but we

also need to encourage innovation and risk-taking. e.g., Venture
Capital firms overseas have “low” success rates, but the few
successes more than make up for their “failures”. This is borne out
by experience in many countries.

C) immediately focus on critical industries or where we have a competitive

advantage

D) address education/skills gap

 Significantly increase spending on education sector

 Conditional cash transfers to keep kids in school

 Raise education standards

  Encourage people to pursue careers “of the future” and where there is
demand for their skills. (e.g., information technology)

 Improve the quality of jobs

Migrant Workers

The migration of Filipino workers seeking employment overseas has resulted in foreign
currency remittances that have supported the country’s economy. This however, is not
without a cost, as the traditional family unit is forced to make sacrifices for their overall
economic well-being. We view our people as a source of wealth that provides skills and
talent, as a resource rather than a burden. In the long run, our aim is to provide
sufficient employment opportunities in the country so that the individual will have wider
employment options, and family members will be spared from having to be separated
due to lack of opportunities at home.

Recognizing the importance of the OFW and the many problems they often encounter
both here and when overseas, the NP will pay particular attention to the plight of OFWs.
Protection of the OFW starts at the recruitment process in the country, not only when he
or she has set foot on foreign soil.

We will ensure that existing safeguards are strengthened and new ones established
where necessary to protect OFWs. Funds should be allocated for OFWs needing legal
assistance, emergency health care, or repatriation. The presence and size of diplomatic
personnel in a given country should be adequate to support the number of OFWs
working in that country.

Environment

The Philippines is rich in natural resources. Tapping those resources has to be

undertaken with due regard to the effect on the environment. It will be important to strike
a delicate balance between progress and development on the one hand, and
environmental protection, on the other. In the case of mining, for example, laws are in
place that should offer adequate protection to the environment while permitting the
country to take advantage of its mineral resources in a sustainable, environmentally
responsible manner. Due regard will be given to the concerns of local communities,
particularly when they are directly affected by such activities

Not only our forests, but our rich coral and marine resources which have experienced
significant degradation over the years, will be given attention by the DENR and related
agencies.
Gender Equality

We believe in gender equality. The Nacionalista Party has the most number of women
candidates in its Senate slate, and the Vice Presidential running-mate (who champions
environmental causes) is a woman. This demonstrates the value we place on the role of
women and our belief in their capabilities. For example, one of the female senators in
the NP slate running for a second term has crafted and co-authored such bills as
"Universally Accessible Cheaper and Quality Medicines Law of 2008" (Republic Act
9502), "Oil Spill Liability Law" (RA 9483), "Biofuels Law" (RA 9367), "Hospital Detention
Law" (RA 9349), "National Anti-Rabies Law" (RA 9482), and the “Environmental
Awareness and Education Act of 2008” (RA 9512). She also pursued the passage of
other measures to improve public health and promote the welfare of women and
children such as: (1) The "Expanded Breastfeeding Promotion Act" (Senate Bill
No.1698) which seeks to promote breastfeeding among working mothers by mandating
lactation stations in public places and the workplace; (2) A Bill strengthening the
regulatory capacity of the Bureau of Food and Drugs (SBN 2645); and (3) The "Picture-
Based Health Warning Law" (SBN 2377), which will require all cigarette and tobacco
product packages to bear highly visible picture warnings showing the health hazards of
smoking.

We aspire to promote equality of women and men in all aspects (governance,

education, health, legal system, etc). Note that Senator Villar pushed for the passing of
the Magna Carta of Women - an empowerment framework that “rightfully signifies
women as active participants in their own development rather than being mere passive
agents”. We will work very hard to promote and protect the welfare of women (and
children) through legislation, by the strict enforcement of applicable laws and rules
against any form of abuses, and by placing many highly qualified women in key
government positions.