US Government Has Hand With Con-Ass—IBON

QUEZON CITY, June 24, 2009-It is the United States government that pushes hard for the Constitutional Change in the Philippines.

This was the allegation of the independent think-tank, Ibon Foundation Inc., explaining that the US needs more market for its surplus product, that is why, it is exerting all efforts to remove nationalist and other progressive economic provisions of the 1987 Constitution, now more so with the US economy under recession.

London of School Economics and Political Science graduate Jose Enrique Africa, Ibon's research head said foreign capital has been aggressive in seeking profitable opportunities for itself, including pushing for Charter change (Cha-cha) since the 1990s.

"For instance, the latest report on Foreign Trade Barriers of March 2009 on the Philippines by the United States Trade Representative (USTR) explicitly states the "[aim to reduce or eliminate] the most important foreign barriers affecting US exports of good and services, foreign direct investment [and] intellectual property rights," Africa explained.

"Among others, the report laments, the foreign investment restrictions mandated by the Constitution in utilities, professions, advertising and other sectors. It also clearly singles out as a problem how the 1987 Philippine Constitution bans foreigners from owning land in the Philippines," he added.

The economic expert disclosed that this month, the American Chamber of Commerce of the Philippines, Inc. led the effort of the Joint Foreign Chambers of the Philippines (JFC) to demand greater opening up of the national economy.

"The JFC came out with a paper that was explicit in seeking the removal of "constitutional provisions on foreign capital" and "allowing ownership of land by foreign investors". These were even linked to prospects for possible free trade talks with the US and the European Union (EU).

"It must be noted that the US is the Philippines's biggest trade and investment partner and has the greatest influence over the country. The US directly accounts for 17% of the country's merchandise exports and 40% of non-factor service exports, a total of 22% of goods and services exports. Also considering that exports go through other countries in a global production line, the US takes up 38% of Philippine exports. It is also the biggest foreign investor in the country and accounts for over one-third of the country's total foreign direct investments stock," he said.

"Thus, amending the economic provisions in the Charter cannot be downplayed as a minor issue by its proponents because of the severe impact it will bring on Philippine development," he stressed.

He also pointed out that Cha-Cha, not only serves the interests of the US and its corporations, but also favors the Arroyo government by getting US government support to ensure its illegitimate stay and perpetuation in power.

"Cha-cha, whether for economic provisions or more overt political motives, paves the way for greater plunder of the national economy and deeper economic crisis," Africa further explained. (Noel Sales Barcelona)