By ANGELA CELIS and IRMA ISIP
The National Economic and Development Authority (NEDA) is hoping for the further easing of restrictions by next month as a shift to Alert Level 1 in the National Capital Region (NCR) Plus area will add P11.2 billion to the economy per week.
The Department of Trade and Industry (DTI), however, said the next two weeks will be key in determining whether or not NCR is ready to be downgraded to Alert Level 1.
“If we continue to work together and see alert level one, hopefully by the next month, then we would have added P11.2 billion in gross value added per week in the NCR Plus area and reduce the number of unemployed by 191,000,” Chua said in a virtual event yesterday organized by the Management Association of the Philippines.
Metro Manila is under Alert Level 2 until February 15.
Chua also said the shift from Alert Level 3 to Alert Level 2 have added P3 billion per week to the NCR Plus area and has reduced the number of people who are unemployed by 51,000.
While Lopez sees less government-initiated restrictions and more self-regulated protocols in fighting the new coronavirus disease 2019 (COVID-19) in the near future, he believes mask-wearing should be kept.
Lopez said in a text message he is also open to “adjusting physical distancing” especially in restaurants but will propose to tighten and fine-tune the rules on improving ventilation and filtration. The adjustment will also depend on the allowed operating capacity of the establishment.
“We will get to Alert level 1 in due time. We just need to see for the next two weeks if we will consistently post low cases and lower severe to critical (cases). We’re getting there,” said Lopez, in noting there is no need to rush the downgrade since almost all sectors have been reopened under Alert Level 2 and some establishments are operating at capacities ranging from 80 to 100 percent.
“We will eventually see less government initiated restrictions except the basic masking, washing, and better ventilation and air filtration as well as the continuation of vaccination of primary and booster shots. There’s more self regulation as people have learned to be more careful,” he added.
At the MAP forum, Chua said the country has a very strong track record of managing the economy “well over three administrations, and that should continue that should not be reversed. The prudent discipline, management of fiscal resources should continue,” when asked what advice he would give presidential candidates.
In the same event, Rong Qian, World Bank Philippines senior economist, said structural reforms need to be implemented correctly to return to the six to seven percent growth path.
“The Philippines has been experiencing fast growth for the last 15 to 20 years, and a lot of that is productivity growth. And as we know from the global experience, productivity growth tend to slow down if there’s no new reforms. To go back to six percent, we need to implement those structural reforms,” Qian said.
Qian also said to regain policy space, the government will need to start a gradual fiscal consolidation process.
“The combination of economic contraction, additional spending on health and social assistance lead to a substantial increase in debt level from around 40 percent before the pandemic, to over 60 percent in 2021,” Qian said.
