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KEYNOTE ADDRESS
BY
H.E. MINERVA JEAN A. FALCON
AT THE ROUNDTABLE DISCUSSION ON
OUTSOURCING – A FOCUS ON THE PHILIPPINES
12 NOVEMBER 2004, DÜSSELDORF


          

OVERVIEW OF THE PHILIPPINES

AT THE OUTSET, LET ME THANK THE ORGANIZERS FOR GIVING ME THE OPPORTUNITY TO PROVIDE YOU WITH SOME INFORMATION ON THE PHILIPPINES AND MEET WITH COMPANIES INTERESTED TO DO BUSINESS IN MY COUNTRY.  I AM GLAD THAT YOU HAVE DECIDED TO LOOK AT THE PHILIPPINES, WHICH IS PERHAPS NOT AS WELL KNOWN HERE IN GERMANY AS OTHER ASIAN COUNTRIES SUCH AS CHINA, JAPAN, SINGAPORE, MALAYSIA, INDONESIA OR EVEN VIETNAM.   IN FACT WHEN OUTSOURCING IS MENTIONED IN GERMANY, MOST PEOPLE AUTOMATICALLY THINK OF INDIA.  I THINK IT IS ABOUT TIME THAT WE SPREAD THE NEWS ABOUT THE PHILIPPINES AS AN OUTSOURCING DESTINATION.

LADIES AND GENTLEMEN, LET ME TELL YOU A LITTLE ABOUT MY COUNTRY.

THE PHILIPPINES IS A BLEND OF CULTURES. IT WAS  A COLONY OF SPAIN FOR MORE THAN THREE CENTURIES AND CAME UNDER AMERICAN RULE FOR ANOTHER 48 YEARS.  THUS, ASIDE FROM SIMILIARITIES WITH ITS ASIAN NEIGHBOURS, THE PHILIPPINES ALSO HAS CULTURAL AFFINITIES WITH THE WEST.  IT IS THE THIRD MOST POPULOUS COUNTRY, AFTER THE UNITED STATES AND THE UNITED KINGDOM, IN WHICH ENGLISH IS AN OFFICIAL LANGUAGE AND THE ONLY PREDOMINANTLY CHRISTIAN COUNTRY IN ASIA.

THE PHILIPPINES IS A REPUBLICAN DEMOCRACY UNDER A PRESIDENTIAL SYSTEM OF GOVERNMENT.  SOVEREIGNTY EMANATES FROM THE FILIPINO PEOPLE WHO EXERCISE IT DIRECTLY THROUGH SUFFRAGE AND INDIRECTLY THROUGH THEIR ELECTED PUBLIC OFFICIALS.   IT IS IMPORTANT FOR YOU, THE BUSINESS SECTOR, TO KEEP IN MIND THAT AS A REPUBLICAN DEMOCRACY, CIVILIAN AUTHORITY IS SUPREME OVER THE MILITARY.     THE YEARS UNDER THE MARCOS DICTATORSHIP AND COUP ATTEMPTS DURING SUBSEQUENT ADMINISTRATIONS HAVE ONLY STRENGTHENED OUR RESOLVE ON THE SUPREMACY OF CIVILIAN AUTHORITY. 

THE PHILIPPINES PLACES GREAT EMPHASIS ON THE NEED FOR COLLECTIVE ACTION AMONG STATES IN DEALING WITH THE SERIOUS PROBLEMS CONFRONTING HUMANKIND, AS MOST OF THESE PROBLEMS ARE TRANSNATIONAL IN SCOPE.
 
WE CONSIDER OUR MEMBERSHIP AND PARTICIPATION IN THE ASSOCIATION OF SOUTHEAST ASIAN NATIONS (ASEAN) AS THE CORNERSTONE OF OUR FOREIGN POLICY.  NOT ONLY DOES ASEAN PROVIDE ITS MEMBERS WITH A STRONGER VOICE IN THE INTERNATIONAL ARENA, BUT IT ALSO SERVES AS A FLEXIBLE REGIONAL FRAMEWORK FOR COOPERATION ON POLITICAL, ECONOMIC AND FUNCTIONAL ISSUES. 

AS A FOUNDING MEMBER OF THE UNITED NATIONS,  THE PHILIPPINES  RECOGNIZES THE PARAMOUNT ROLE OF THE UN IN THE MAINTENANCE OF INTERNATIONAL PEACE AND SECURITY AND IN THE PROMOTION OF DEVELOPMENT.  WE HAVE CONSISTENTLY BEEN IN THE FOREFRONT OF UN ADVOCACY OF HUMAN RIGHTS.  WE ARE FULLY COMMITTED TO COOPERATION WITH THE UN IN ITS WORK TOWARDS COMBATING TERRORISM AND THE WIDE MENACE OF TRANSNATIONAL CRIMES. WE ACTIVELY SUPPORT UN PEACEKEEPING OPERATIONS AND NATION-BUILDING EFFORTS.  OFTENTIMES THIS HAS PROVEN TO BE HAZARDOUS TO OUR CITIZENS, AS SHOWN BY THE RECENT ABDUCTION OF A FILIPINO DIPLOMAT IN AFGHANISTAN, WHO WAS PART OF THE UN TEAM IN CHARGE OF THE RECENT ELECTIONS IN THAT COUNTRY.  NEVERTHELESS, OUR COMMITMENT TO THE WORK OF THE UN REMAINS STRONG.   THIS COMMITMENT IS FURTHER STRENGTHENED BY OUR CURRENT MEMBERSHIP IN THE SECURITY COUNCIL.

THE PHILIPPINES ALSO TAKES ACTIVE PART IN THE WORK OF THE WORLD TRADE ORGANIZATION (WTO), THE ASIA PACIFIC ECONOMIC COOPERATION (APEC) AND THE ASIA-EUROPE MEETING (ASEM).

THE YEARS FOLLOWING THE MARCOS REGIME WERE, TO SAY THE LEAST, CHALLENGING ONES FOR THE PHILIPPINES. 

THE AQUINO ADMINISTRATION FROM 1986 TO 1992 ENCOUNTERED SERIOUS IMPEDIMENTS DUE TO THE UNUSUAL MANNER OF PRESIDENT CORAZON AQUINO’S RISE TO POWER.  INDEED, WHO DOES NOT REMEMBER THE IMAGES OF “PEOPLE POWER”  FLASHED ON TELEVISION SCREENS WORLDWIDE.  ALTHOUGH THE AQUINO ADMINISTRATION DID NOT FULLY REVOLUTIONIZE THE SOCIAL, ECONOMIC AND POLITICAL LANDSCAPE OF THE PHILIPPINES, IT IS CREDITED WITH RESTORING THE DEMOCRATIC INSTITUTIONS THAT WERE SUBVERTED FOR MORE THAN TEN YEARS UNDER MARTIAL LAW.    THE RESTORATION OF THESE DEMOCRATIC INSTITUTIONS PROVIDED SUBSEQUENT ADMINISTRATIONS WITH THE FRAMEWORK FROM WHICH TO BUILD ON AND MOVE FORWARD.

THE RAMOS ADMINISTRATION FROM 1992 TO 1998 ADOPTED A REFORMIST ECONOMIC POLICY ANCHORED ON THE CONCEPTS OF LIBERALIZATION AND GLOBALIZATION.    THIS POLICY ATTRACTED FOREIGN INVESTMENTS THAT RESUSCITATED AND ENERGIZED THE SLUGGISH ECONOMY.   THE RAMOS ADMINISTRATION IS CREDITED FOR SUCCESSFULLY INITIATING ECONOMIC REFORMS THAT ENABLED THE COUNTRY TO RECOVER AFTER A LONG PERIOD OF STAGNATION.  STATISTICS SHOW THAT THE PHILIPPINES ENJOYED SUSTAINED ECONOMIC GROWTH FROM 1992 TO 1996 AT AN AVERAGE RATE OF 4.7 PERCENT ANNUALLY.  

THE ESTRADA ADMINISTRATION FROM 1998 TO 2001 WAS BASICALLY ANCHORED ON A PRO-POOR AGENDA  : JUSTICE, ECONOMY, ENVIRONMENT AND PEACE.   IT WAS DURING THIS PERIOD THAT TWO IMPORTANT PIECES OF LEGISLATURE WERE PASSED : REPUBLIC ACT NO. 8749 OR THE PHILIPPINE CLEAN AIR ACT OF 1999 AND REPUBLIC ACT NO. 8792 OR THE ELECTRONIC COMMERCE LAW.    THE PHILIPPINE CLEAN AIR ACT RECOGNIZED THE GOVERNMENT’S RESPONSIBILITY TO FORMULATE A NATIONAL PROGRAM ON AIR POLLUTION MANAGEMENT.  THE ELECTRONIC COMMERCE LAW WAS CRAFTED TO ADDRESS ISSUES RELATING TO INFORMATION AND COMMUNICATIONS TECHNOLOGY.  ALTHOUGH PRESIDENT ESTRADA WON BY THE BIGGEST MARGIN IN ANY PRESIDENTIAL ELECTION IN PHILIPPINE HISTORY, HIS PRESIDENCY WAS ABRUPTLY ENDED BY A PEACEFUL PEOPLE’S REVOLT WHICH WAS TRIGGERED BY THE PERCEIVED FAILURE OF THE SENATE TO CONDUCT A FAIR AND BIPARTISAN TRIAL OF THE IMPEACHMENT CASE AGAINST THE PRESIDENT WHO STOOD ACCUSED OF GRAFT AND CORRUPTION, ECONOMIC PLUNDER, AND OTHER VIOLATIONS OF THE CONSTITUTION.