Senator: $1-B loan to IMF lacks Congress blessing
BEING a creation of Congress, the Bangko Sentral ng Pilipinas (BSP) should not lend $1 billion to the International Monetary Fund (IMF) as part of an initiative to rehabilitate debt-ridden economies in Europe, a senator said Tuesday.
Senator Ralph Recto said BSP’s Congress-enacted mandate is affirmed by the P40-billion infusion approved by Congress for its recapitalization when it repudiated its old self, P20 billion of which had already been appropriated in the past national budgets.
Debunking Recto’s view, BSP Deputy Governor Diwa Gunigundo said the New Central Bank (Republic Act 7653) passed by Congress authorizes the agency to do so.
Section 75 of the said law states that the Monetary Board may authorize the BSP to grant loans to and receive loans from foreign banks and other foreign or international entities, both public and private.
The BSP may also “engage in such other operations with these entities as are in the national interest and are appropriate to its character as a central bank. The Bangko Sentral may also act as agent or correspondent or such entities.”
“The BSP charter authorizes us to lend to IMF in the context of our responsibility to manage our international reserves,” Gunigundo told Sun.Star.
Recto said the people must also be made to understand why the government is lending out to IMF while the money could be better used to bankroll projects such as school buildings, hospitals and other key infrastructures.
Doing so, Gunigundo said, would be a violation of the law as he asked camps opposed to the loan to get necessary information from the BSP.
“International reserve assets are claimed on non-residents. Thus, we cannot use the reserves to lend out to both the Philippine public and private sectors. Reserves can only be used on obtaining foreign-dominated assets issued by non-residents,” the BSP official said.
The country’s international reserves stood at $76 billion in May.
Recto said the country would not be judged on how it helped the troubled European economies, but on how it exercised fiscal maturity to achieve long-term growth and spared itself from possible debt crisis.
Presidential spokesperson Edwin Lacierda said the Palace respects Recto’s opinion but leave the matter to the BSP.
“I think the fact is the BSP has already committed to loan $1-billion to IMF. They can ask BSP the reason for doing so,” said Lacierda.
Not a waste of money
Lacierda maintained that BSP’s decision to loan $1 billion to the IMF is “not a waste of money” and it is meant to help a fellow country in need.
“We are not wasting the money. It’s a loan. IMF would pay us back the loan. Non-monetarily, it’s going to help us because it’s going to help the economy of Europe,” the Palace spokesperson said.
Lacierda said it was the country’s interest to help a sizeable number of overseas Filipino workers (OFWs) who work and live in Europe.
He added the OFWs would be adversely affected should the economy of the country they work and live in continues to slowdown.
“It’s in our interest to protect—to help those economies because we have a substantial number of Filipinos there,” Lacierda said.
“What if we lose our OFWs in Europe because they will be sent home due to lack of jobs in Spain, in Italy,” he added.
Asked if the Palace agree with the proposed resolution in the Congress to investigate the loan, he said “we cannot stop them from investigating.”
‘Arrogant pretension’
Several lawmakers and groups criticized the government’s move to lend money to IMF.
The Freedom from Debt Coalition (FDC) described the BSP’s move as “arrogant pretension of a country very much in debt.”
The group held a protest action outside the BSP building in Quezon City to voice their concerns to the government.
FDC members lambasted the government for “being fast in allowing the IMF to manage our money, yet being slow in allocating funds for basic social and economic services.”
“With this US$1-billion pledge, the government is in effect flaunting the liquidity of its coffers and seeking higher credit rating from Fitch, Standard & Poor and Moody’s,” the group said.
FDC president Ricardo Reyes also questioned why the Philippines granted the loan to IMF, which they say would only be used to “prolong its life and even expand its exploitative operations.”
FDC also warned the government of the “true” intent of the fund the IMF is raising, saying that “it is not the people of Greece, Spain or Ireland the IMF is bailing out, but the irresponsible private banks that made loans to these countries.”
Reyes cited reports that German and French private banks hold some 70 percent of Greece’s $400 billion debt.
http://www.sunstar.com.ph/manila/local-news/2012/06/26/senator-1-b-loan-imf-lacks-congress-blessing-228852
Some of the good resorts in Pampanga offer safe outdoor venues for events such as team building and company outings. Function room for meetings and seminars is also available in this popular resort in Clark Philippines. Outdoor activities favored by event organizers for team building near Manila include swimming, boating, kayak, fishing, camping, cookout, bonfire and picnic. Clearwater is one of the hotels in Pampanga that offers good outdoor venues for events like team building and company outings. In fact, many event planners consider Clearwater Resort to be the best event venue near Manila and certainly the best hotel in Clark Philippines for outdoor functions and events as well as meetings and seminars also. Visitors to Clark and Angeles City Pampanga seldom pass up the opportunity to relax and unwind by the lake of this popular resort in Pampanga
The best getaway destination vacation spot near Manila convenient safe and accessible is Clearwater Beach Resort in Clark Pampanga.
Highly recommended by travel guides as the best private resort in Pampanga, Clearwater Resort in Clark Philippines also offers beach and lake venues for company outings and family picnics. This outdoor resort hotel also offers several beautiful venues for beach wedding and garden receptions. No wonder this private resort in Angeles City Clark Pampanga is frequently visited by wedding couples for prenuptial photo shoot.
Travelers going north to Clark Pampanga frequently look for enjoyable hotel for family bonding during summer vacation in the Philippines. Many visitors to Angeles City, Pampanga Clark Philippines prefer to stay in private resorts located in a secure and safe destination. Staying in a private place makes it possible to enjoy a peaceful holiday with no stress. No wonder many tourists rate Clearwater Resort as the best day-trip destination for a summer getaway, a vacation and a place to celebrate special occasion also.
Wedding couples travel to the north to have their prenuptial pictorial photo-shoot at Clearwater Resort. Within this beautiful resort in Pampanga there are many scenic spots by the lake, beach and picnic grounds, perfect for prenuptial pictorials outside of Manila.
Travel guides and tourists destination listings unveil top picks for best resorts and hotels near Manila in the north. The most popular and frequently visited top pick destination for visitors to unwind and relax is Clearwater Resort located in Pampanga Angeles City, Clark Philippines. This famous hotel resort best getaway destination vacation spot near Manila convenient safe and accessible is Clearwater Beach Resort in Clark Pampanga. This beach and lake resort is frequently visited by Manila families with children on a getaway to go swimming and camping, or a picnic, fishing and some quality time for family bonding. Golf is one of the most popular sports in Clark Philippines because here one can find some of the best golf courses in Pampanga.
Quiet place for rest and relaxation near Manila, in Subic, Angeles City Pampanga and Clark Philippines is something that residents of Manila travelling to the north for a short getaway are looking for. Clearwater is one of the best hotel in Clark and the resort is a very popular venue for rest and relaxation especially for golfers after a round of golf at one of the best golf courses near Manila. Clark is home to some of the best golf courses in Pampanga.
For inquiries and bookings, Please click here to contact Clearwater Resort for inquiries and reservations now
Clearwater Resort and Country Club, Clark Pampanga
Creekside Road near Centennial Expo,
Clark Freeport, Pampanga Philippines 2023
(045) 889-5151 0917-520-4403 0922-870-5177
Joanne or Jeremy or Loydha
Getting to this lake and beach resort in Pampanga Angeles City Clark Philippines
After entering Clark Freeport from Dau and Angeles City, proceed straight along the main highway MA Roxas, passing the stand-along wine shop called Clark Wine Center on the right, continue to bear right making no turns at all, go past Mimosa Leisure Estate on the opposite side of the road, one will hit a major intersection. Go straight and the road becomes Creekside Road. YATS Clearwater Resort and Country Club is on the right just 200m down.
http://www.ClearwaterPhilippines.com
Manila Sales Office
3003C East Tower, Phil Stock Exchange Center,
Exchange Rd Ortigas Metro Manila, Philippines 1605
(632) 637-5019 0917-520-4393 Rea or Chay
Email: Inquiry@ClearwaterPhilippines.com
Please click here to contact Clearwater Resort to reserve a venue for your upcoming event now
Wedding couples looking for wedding reception venues and beach wedding venues can log on to this Philippines Wedding Venue web site for free information and assistance:
http://www.PhilippinesWeddingVenue.com
While in Clark, it might be a good idea to enjoy an evening of wine-and-dine in the fine dining Yats Restaurant and Wine Bar that features an award winning 2700-line wine list. It is located in Mimosa Leisure Estate of Clark Freeport Zone. For more information, visit http://www.YatsRestaurant.com
YATS Leisure Philippines is a developer and operator of clubs, resorts and high-class restaurants and wine shops in Clark Angeles Philippines http://www.YatsLeisure.com
While in Clark, one might as well add to the itinerary a visit to the famous Clark Wine Center, the largest wine shop in Philippines which offers over 2000 selections of fine vintage wine from all wine regions, vintages spanning over 50 years covering all price ranges.
http://www.ClarkWineCenter.com
Looking for famous tourists spots, places to visit and see, relax and unwind in Clark, Pampanga, Philippines? You may want to check out these sites also:
http://www.HotelClarkPhilippines.com
http://www.ClarkPhilippines.com
http://www.YatsWineCellars.com
For jobs and business investment opportunities in the Philippines please visit http://www.yilp.com
Hot Line for what’s happening in Clark: 045 889-5151 or 0927-940-2669 ask for Loydha
0915-542-6250 (Jeramie)