Phl not a middle economy, gov’t missing targets — VP Duterte

Despite claims by the administration that the Philippines has a middle-income economy, Vice President Sara Duterte-Carpio said it is failing in achieving that goal, while Filipinos are starving amid rampant corruption.

“What are they raising up the global stage? What part? We are not hitting our targets, and we are not becoming a middle-income country. What (bar) have they raised?” said the country’s second highest leader in an ambush interview during the 50th Philippine Business Conference and Expo organized by the Philippine Chamber of Commerce and Industry (PCCI) on Tuesday at the Marriot Hotel, Pasay City.

She urged government officials to follow their mandates, work harder, and forget politics, which is the expectation of the Filipino people.

Real problem

“Do not make me your problem as the real problem right now is the current hunger, poverty, criminality, terrorism, and the economy. The problem of 20 years ago remains lingering in our country,” she said, pertaining to her critics.

According to National Economic and Development Authority (NEDA) Secretary Arsenio Balisacan, the Philippines is on track to be an upper middle-income country by 2025 based on the estimates given current assumptions on our growth prospects for 2023 and 2024.

Meanwhile, data by the World Bank classifies the Philippines as a lower middle-income country with a gross national income per capita of $3,950 as of 2022.

The Marcos Jr. administration has been able to lower inflation in past months, but 22.0 percent of Filipinos say they had experienced involuntary hunger in the third quarter, spiking more than 17 percent against the second quarter, based on the latest Social Weather Stations survey.

Businesses as savior

Delivering the keynote address in the conference, VP Duterte said the country can attain the dream of becoming a middle-income economy if businesses continue striving and embracing innovation.

“We are a powerhouse of geniuses. We just need to fulfill that dream. We don’t want to be middle-income. We want to be a superpower, and we can be,” she said, maintaining that entrepreneurs must collaborate with the government to achieve such a goal.

“We cannot deny the crucial role of innovation in this age of digitalization. Digitization has complemented our human resources in ensuring efficient operations, timely production, and delivery of services and products,” she added.

She also addressed concerns surrounding artificial intelligence, cautioning against fear and emphasizing the potential of AI to improve lives and make the world a safer place.

Innovation centers

The Vice President proposed the creation of innovation centers and an environment that encourages risk-taking and experimentation.

She further expressed confidence in the ability of Filipinos to create groundbreaking products and systems that will drive economic growth and development.

For her part, PCCI president Enunina Mangio said that this year’s PBC&E theme “Embracing Innovation, Empowering Business, Enriching Lives,” vividly captures the role that the convention has evolved over half a century.

“As the world faces unprecedented challenges and rapid technological shifts, embracing innovation has become not just an option but a matter of survival in the intensely competitive global village,” Mangio said.

Moreover, she said the use of innovative strategies and approaches, for example, can help businesses adequately respond to the need to improve the ease and reduce the cost of doing business in the country.

“This is necessary to further nurture our enterprises, boost trade and attract more investments. It is through innovation that we can empower our businesses to stay competitive and resilient, while also ensuring that the progress we achieve has a lasting, positive impact on the lives of our countrymen,” according to the PCCI president.