Transcript Philippine president

Manuel A. Roxas (1946 – 1948)
• Rehabilitation and reconstruction in all
aspects:
– Environmentally, Emotionally,
Economically and Culturally.
• War Damage Act - liability in respect
of damage to, or destruction of, property
caused by acts lawfully done during, or in
contemplation of the outbreak of, a war in
which it is engaged.
• Signed US-RP Treaty of General Relations
nullifying Philippine independence. This
treaty empowered the US government to
retain its supreme authority over
extensive military bases which it could
expand at will, guaranteed the property
rights of US corporations and citizens
being equal to those of Filipino
corporations.
Manuel A. Roxas (1946 – 1948)
• US-RP military assistance Pact to
control the AFP.
• Property Act provided that all
real estate and other property
acquired by the US government
or its agencies before and after
July 4, 1946 would be respected.
• The Bell Trade Act explicitly
required the Pari ty Amendment
in the constitution to enable the
US monopolies to plunder at will
Philippine natural resources and
operate public utilities,
prolonged free trade relations
between the Philippines and US
and placed Philippine tariff and
peso currency under US
dictation.
Manuel A. Roxas (1946 – 1948)
• Roxas served as the President of the
Commonwealth of the Philippines in
a brief period, from his subsequent
election on May 28, 1946 to July 4,
1946, the scheduled date of the
proclamation of Philippine
Independence.
• Roxas prepared the groundwork for
the advent of a free and
independent Philippines, assisted by
the Congress.
– OnJune 3, 1946, Roxas appeared for
the first time before the joint
session of the Congress to deliver
his first state of the nation address.
Among other things, he told the
members of the Congress the grave
problems and difficulties the
Philippines are set to face and
reports of his special trip to the
United States–the approval for
independence.
Manuel A. Roxas (1946 – 1948)
• Economy
– Among the main remedies proposed was the establishment of the
Philippine Rehabilitation Finance Corporation. This entity would be
responsible for the construction of twelve thousand houses and for
the grant of easy-term loans in the amount of 177,000,000 pesos.
Another proposal was the creation of the Central Bank of the
Philippines to help stabilize the Philippine dollar reserves and
coordinate and the nations banking activities gearing them to the
economic progress.
– Concentrating on the sugar industry, President Roxas would exert
such efforts as to succeed in increasing production from 13,000 tons
at the time of the Philippine liberation to an all-high of one million
tons.
Manuel A. Roxas (1946 – 1948)
• Reconstruction after the war
– The postwar Philippines had burned
cities and towns, ruined farms and
factories, blasted roads and bridges,
shattered industries and commerce,
and thousands of massacred victims.
The war had paralyzed the
educational system, where 80% of the
school buildings, their equipment,
laboratories and furnitures were
destroyed. Numberless books,
invaluable documents and works of
art, irreplaceable historical relics and
family heirlooms, hundreds of
churches and temples were burned.
The reconstruction of the damaged
school buildings alone cost more
than Php 126,000,000.
Manuel A. Roxas (1946 – 1948)
• Reconstruction after the war
– The new Republic began to
function on an annual deficit of
over Php 200,000,000 with little
prospect of a balanced budget
for some years to
come. Manila and other cities
then were infested with criminal
gangs which used techniques of
American gangsters in some
activities–
bank holdups, kidnapping and bu
rglaries. In rural regions,
especially the provinces
of Central Luzon and
the Southern Tagalog regions,
the Hukbalahaps
Manuel A. Roxas (1946 – 1948)
• Agrarian reform
– In 1946, shortly after his induction
to Presidency, Manuel Roxas
proclaimed the Rice Share Tenancy
Act of 1933 effective throughout
the country.However problems
of land tenure continued. In fact
these became worse in certain
areas. Among the remedial
measures enacted was Republic
Act No. 1946 likewise known as
the Tenant Act which provided for
a 70–30 sharing arrangements and
regulated share-tenancy
contracts.It was passed to resolve
the ongoing peasant unrest in
Central Luzon.
Manuel A. Roxas (1946 – 1948)
• Amnesty proclamation
– President Roxas, on January 28, 1948,
granted full amnesty to all so-called
Philippine collaborators, many of
whom were on trial or awaiting to be
tried, particularly former
President Jose P. Laurel (1943–
1945). The Amnesty Proclamation did
not apply to those "collaborators",
who were charged with the
commission of common crimes, such
as murder, rape, and arson. The
presidential decision did much to heal
a standing wound that somehow
threatened to divide the people's
sentiments. It was a much-called for
measure to bring about a closer unity
in the trying times when such was
most needed for the progress of the
nation.
Manuel A. Roxas (1946 – 1948)
• HUKS outlawed
– Utterly disgusted with the crimes
being committed by HUKBALAHAP or
HUKS and in possession of the
incontrovertible evidence of the
subversive character of the same,
President Roxas, on March 6, 1948, in
a dramatic gesture, issued a
Proclamation outlawing Huks'
movement, making it a crime to
belong to the same.The declaration
was hailed by all responsible and
peace-loving elements. The same had
become imperative in view of the
resurgence of Huk depredations,
following the unseating of the seven
Communists, led by Huk Supremo Luis
Taruc through acts of terrorism.
Manuel A. Roxas (1946 – 1948)
• Treaty of General Relations
– On August 5, 1946, the Congress of
the Philippines ratified the Treaty of
General Relations that had been
entered into by and between
the Republic of the Philippines and
the United States on July 4,
1946. Aside from withdrawing her
sovereignty from the Philippines and
recognizing her independence, the
Treaty reserved for the United States
some bases for the mutual protection
of both countries; consented that the
United States represent the
Philippines in countries where the
latter had not yet established
diplomatic representation; made the
Philippines assume all debts and
obligations of the former government
in the Philippines; and provided for
the settlement of property rights of
the citizens of both countries.
Manuel A. Roxas (1946 – 1948)
• United States Military
Bases
– Although Roxas was
successful in getting
rehabilitation funds from
the United States after
independence, he was
forced to concede
military bases (23 of
which were leased for 99
years), trade restriction
for the Philippine
citizens, and special
privileges for U.S.
property owner and
investor.
Manuel A. Roxas (1946 – 1948)
• Parity Rights Amendment
– On March 11, 1947, the Filipino
people, heeding Roxas' persuasive
harangue, ratified in a nationwide
plebiscite the "parity
amendment" to the 1935
Constitution, granting United
States citizens the right to dispose
and utilize of Philippine natural
resources, or through parity
rights.
• The night before the plebiscite day,
Roxas narrowly escaped an
assassination by a
disgruntled Tondo barber, Julio
Guillen, who hurled a grenade on the
platform at Plaza
Miranda immediately after the
President addressed the rally of
citizens.
Elpidio Quirino (1948 – 1953)
• Elpidio Quirino's six years as
president were marked by
notable postwar
reconstruction, general
economic gains, and
increased economic aid from
the United States. Basic
social problems, however,
particularly in the rural
areas, remained unsolved,
and his administration was
tainted by widespread graft
and corruption.
Elpidio Quirino (1948 – 1953)
• Created the Agricultural
Credit Cooperative Financing
Administration (ACCFA)
- To facilitate the financial
help extended to the
farmers.
• Import controls was
improved in 1949 to
conserve the dollar reserves.
In 1953 an entire system of
foreign exchange controls
was applied to further put a
brake on the depletion of
the financial resources of
the government.
Elpidio Quirino (1948 – 1953)
• US dispatched Bell Mission to make
an economic survey and make
recommendations to Quirino
government.
• It paved the way for the imposition of
the Economic and Technical
assistance agreement of 1951 which
required the placement of US
advisers in the strategic offices of
government to ensure perpetuation
of US policy.
• Agreement relating to entry of US
Traders and investors was signed in
1953 facilitating the entry of US
capital and managerial personnel into
the Philippines.
•
Elpidio Quirino (1948 – 1953)
Economy
– Upon assuming the reins of government,
Quirino announced two main objectives of
his administration: first, the economic
reconstruction of the nation and second,
the restoration of the faith and confidence
of the people in the government.
• In connection to the first agenda, he
created the President's Action
Committee on Social Amelioration or
PACSA to mitigate the sufferings of
indigent families, the Labor
Management Advisory Board to advise
him on labor matters, the Agricultural
Credit Cooperatives Financing
Administration or ACCFA to help the
farmers market their crops and save
them from loan sharks, and the Rural
Banks of the Philippines to facilitate
credit utilities in rural areas.
Elpidio Quirino (1948 – 1953)
• Social Program
– Enhancing President Manuel Roxas'
policy of social justice to alleviate
the lot of the common mass,
President Quirino, almost
immediately after assuming office,
started a series of steps calculated
to effectively ameliorate the
economic condition of the people.
After periodic surprise visits to
the slums of Manila and other
backward regions of the country,
President Quirino officially made
public a seven-point program for
social security, o wit:
Elpidio Quirino (1948 – 1953)
• Social Program
• Unemployment
insurance
• Old-age insurance
• Accident and
permanent disability
insurance
• Health insurance
• Maternity insurance
• State relief
• Labor opportunity
Elpidio Quirino (1948 – 1953)
• Social Program
– President Quirino also created
the Social Security Commission,
making Social Welfare
Commissioner Asuncion Perez
chairman of the same. This was
followed by the creation of the
President's Action Committee on
Social Amelioration, charges with
extending aid, loans, and relief to
the less fortunate citizens. Both
the policy and its implementation
were hailed by the people as
harbingers of great benefits.
Elpidio Quirino (1948 – 1953)
• Agrarian Reform
– As part of his Agrarian Reform
agenda, President Quirino
issued on October 23, 1950
Executive Order No. 355
which replaced the National
Land Settlement
Administration with Land
Settlement Development
Corporation (LASEDECO)
which takes over the
responsibilities of the
Agricultural Machinery
Equipment Corporation and
the Rice and Corn Production
Administration.
Elpidio Quirino (1948 – 1953)
• Integrity Board
– To cope with the insistent
clamor for government
improvement, President
Quirino created the Integrity
Board to probe into reports of
graft and corruption in high
government places. VicePresident Fernando Lopez was
most instrumental, through his
courageous exposes, in
securing such a decision from
President Quirino.
Elpidio Quirino (1948 – 1953)
• Quirino's administration excelled in
diplomacy, impressing foreign heads
of states and world statesmen by his
intelligence and culture. In his official
travels to the United States,
European countries, and Southeast
Asia, he represented the Philippines
with flying colors. During his six years
of administration, he was able to
negotiate treaties and agreements
with other nations of the Free World.
Two Asian heads of state visited
Philippines–President Chiang Kaishek of the Republic of China in July
1949 and President Achmed
Sukarno of Indonesia in January
1951.
Elpidio Quirino (1948 – 1953)
• In 1950, at the onset of the Korean War, Quirino authorized the
deployment of over 7,450 Filipino soldiers to Korea, under the
designation of the Philippine Expeditionary Forces to Korea or
PEFTOK.
Elpidio Quirino (1948 – 1953)
• Korean War
– On June 25, 1950, the world was astonished
to hear the North Korean aggression against
the independent South Korea. The United
Nations immediately took up this challenge
to the security of this part of the
world. Carlos P. Romulo soon stood out as
the most effective spokesman for the South
Korean cause.
– On behalf of our government, Romulo
offered to send a Philippine military
contingent to be under the overall command
of General Douglas MacArthur, who had
been named United Nations Supreme
Commander for the punitive expedition. The
Philippines, thus, became the first country to
join the United States in the offer of military
assistance to beleaguered South Korea.
Elpidio Quirino (1948 – 1953)
• Korean War
– President Quirino took the necessary
steps to make the Philippine offer. On a
purely voluntary basis, the first
contingent – the tenth Combat Battalion
Team – was formed under Col. Azurin,
and dispatched to Korea, where its
members quickly won much renown for
their military skill and bravery. The name
of Captain Jose Artiaga, Jr., heroically
killed in action, stands out as a symbol of
our country's contribution to the cause
of freedom outside native shores. Other
Philippine Combat Teams successively
replaced the first contingent sent, and
they all built a name for discipline,
tenacity, and courage, until the truce
that brought the conflict to a halt.
Elpidio Quirino (1948 – 1953)
• Quirino-Foster Agreement
– By the time of the creation of
the integrity board, moreover,
the Bell Mission, led by Daniel
W. Bell, an American banker,
and composed of five
members, with a staff of twenty
workers, following their period
of stay in the Philippines,
beginning in July 1950, finally
submitted its report on October
of the same year.
Elpidio Quirino (1948 – 1953)
• Quirino-Foster Agreement
– The Report made several proposals, most noteworthy, of which were that
the United States should give the Philippines 250,000,000 dollars over a
period of five years, but the Philippines, in return, ought to reform its tax
structure, enact a minimum wage law for agricultural and industrial labor,
initiate social and land reforms, as well as a sound planning for economic
development, For all the strong language of the Report, which, in some
quarters merited bitter opposition, President Quirino gamely and
patriotically, took in the recommendations and sought to implement
them.
– Thus in November 1950, President Quirino and William Foster,
representing the United States Government, signed an agreement by
virtue of which the former pledged to obtain the necessary Philippine
legislation, in keeping with the Bell Mission Report, while envoy Foster
promised the necessary by the same Report.
Elpidio Quirino (1948 – 1953)
•
However, much as he tried to become a good
president, Quirino failed to win the people's
affection. Several factors caused the
unpopularity of his administration, namely:
– Unabated rampage of graft and
corruption in his government, as revealed
in the Tambobong-Buenavista scandal,
the Import Control Anomalies,
the Caledonia Pile Mess and the Textbook
Racket;
– Wasteful spending of the people's money
in extravagant junkets abroad;
– Failure of government to check
the Huk menace which made travel in the
provinces unsafe, as evidenced by the
killing of former First Lady Aurora
Quezon and her companions on April 28,
1949 by the Huks on the Bongabong-Baler
road, Baler, Tayabas (now part of Aurora
province).
Elpidio Quirino (1948 – 1953)
– Economic distress of the
times, aggravated by rising
unemployment rate, soaring
prices of commodities, and
unfavorable balance of trade.
Quirino's vaunted "Total
Economic Mobilization Policy"
failed to give economic relief
to the suffering nation.
– Frauds and terrorism
committed by the Liberal
Party moguls in
the 1947, 1949 and 1951
elections.
Ramon Magsaysay (1954 – 1957 )
• In the Election of 1953, Magsaysay was
decisively elected president over the
incumbent Elpidio Quirino. He was
sworn into office wearing the Barong
Tagalog, a first by a Philippine
president. He was then called "Mambo
Magsaysay".
• As president, he was a close friend and
supporter of the United States and a
vocal spokesman against communism
during the Cold War. He led the
foundation of the Southeast Asia
Treaty Organization also known as the
Manila Pact of 1954, that aimed to
defeat communist-Marxist movements
in South East Asia, South Asia and the
Southwestern Pacific.
Ramon Magsaysay (1954 – 1957 )
•
•
During his term, he made Malacañang literally a
"house of the people", opening its gates to the
public.
– One example of his integrity followed a
demonstration flight aboard a new plane
belonging to the Philippine Air Force (PAF):
President Magsaysay asked what the
operating costs per hour were for that type
of aircraft, then wrote a personal check to
the PAF, covering the cost of his flight.
– In history, he is the first Philippine president
to wear a barong tagalog in his
inauguration. He brought back the people's
trust to the military and to the government.
His administration was considered one of the
cleanest and most corruption-free; his
presidency was cited as the Philippines' Golden
Years. Trade and industry flourished, the
Philippine military was at its prime, and the
Filipino people were given international
recognition in sports, culture and foreign affairs.
The Philippines ranked second in Asia's clean and
well-governed countries.
Ramon Magsaysay (1954 – 1957 )
• Known as the “Man of the Masses”
• Constructed Bridges, Roads and
Irrigation.
• Solve the problems on land
through Land Reformed Act of
1955. Gave emphasis on the
welfare of the poor farmers who
desired to own agricultural land.
• Established National Resettlement
and Rehabilitation act (NARRA) to
gave land to some farmers.
• Establish (FACOMA) Farmers
Cooperative Marketing Association
to organized the farmers.
Ramon Magsaysay (1954 – 1957 )
• Signed the 1st Agricultural Commodities
Agreement with the US in 1957. The agreement
was designed to make use of US agricultural
surplus, keep local agricultural production at the
mercy of US, control intermediate industries
requiring imported agricultural raw materials.
• Laurel-Langley was made allowing the US
monopolies to enjoy parity rights in all kinds of
businesses.
• Adjustments in the quota system and
preferential treatment for Philippine raw
materials were made Reassembly and packaging
plants were put up to create the illusion of local
industrialization and import substitution.
• The Ohno-Garcia reparations Agreement was
made enabling Japan to penetrate the Philippine
economy through the system of delivering
reparations goods.
Ramon Magsaysay (1954 – 1957 )
• President's Action Body
– Ushering, indeed, a new era in
Philippine government,
President Magsaysay placed
emphasis upon service to the
people by bringing the
government closer to the
former. This was symbollically
seen when, on inauguration day,
President Magsaysay ordered
the gates of Malacañang Palace
open to all and sundry, who
were allowed to freely visit all
the dependencies of the
presidential mansion. Later, this
was regulated to allow weekly
visit.
Ramon Magsaysay (1954 – 1957 )
• President's Action Body
– True to his electoral promise, President
Magsaysay created the Presidential Complaints
and Action Committee. This body immediately
proceeded to hear grievances and recommend
remedial action.
• Headed by soft-spoken, but active and
tireless, Manuel Manahan, this committee
would come to hear nearly sixty thousand
complaints in a year, of which more than
thirty thousand would be settled by direct
action and a little more than twenty five
thousand, referred to government agencies
for appropriate follow-up.
– This new entity, composed of youthful
personnel, all loyal to the President, proved to
be a highly successful morale booster restoring
the people's confidence in their own
government.
Ramon Magsaysay (1954 – 1957 )
• Agrarian Reform
– President Ramón Magsaysay enacted the
following laws as part of his Agrarian Reform
Program:
• Republic Act No. 1160 of 1954—Abolished
the LASEDECO and established the National
Resettlement and Rehabilitation
Administration (NARRA) to resettle dissidents
and landless farmers. It was particularly
aimed at rebel returnees providing home lots
and farmlands in Palawan and Mindanao.
• Republic Act No. 1199 (Agricultural Tenancy
Act of 1954) – governed the relationship
between landowners and tenant farmers by
organizing share-tenancy and leasehold
system. The law provided the security of
tenure of tenants. It also created the Court of
Agrarian Relations.
Ramon Magsaysay (1954 – 1957 )
• Republic Act No. 1400 (Land
Reform Act of 1955) – Created
the Land Tenure Administration
(LTA) which was responsible for
the acquisition and distribution
of large tenanted rice and corn
lands over 200 hectares for
individuals and 600 hectares for
corporations.
• Republic Act No. 821 (Creation
of Agricultural Credit
Cooperative Financing
Administration) – Provided small
farmers and share tenants loans
with low interest rates of six to
eight percent
Ramon Magsaysay (1954 – 1957 )
• HUKBALAHAP
– In early 1954, Benigno Aquino, Jr. was appointed
by President Ramón Magsaysay to act as personal
emissary to Luís Taruc, leader of the Hukbalahap,
a rebel group.
• Also in 1954, Lt. Col. Laureño Maraña, the
former head of Force X of the 16th PC
Company, assumed command of the 7th BCT,
which had become one of the most mobile
striking forces of the Philippine ground forces
against the Huks, from Colonel Valeriano.
Force X employed psychological warfare
through combat intelligence and infiltration
that relied on secrecy in planning, training,
and execution of attack. The lessons learned
from Force X and Nenita were combined in
the 7th BCT.
Ramon Magsaysay (1954 – 1957 )
• HUKBALAHAP
– With the all out anti-dissidence
campaigns against the Huks, they
numbered less than 2,000 by 1954
and without the protection and
support of local supporters, active
Huk resistance no longer presented
a serious threat to Philippine
security. From February to midSeptember 1954, the largest antiHuk operation, "Operation ThunderLightning" was conducted that
resulted to the surrender of Luis
Taruc on May 17. Further clean up
operations of guerillas remaining
lasted throughout 1955, diminishing
its number to less than 1,000 by
year's end.
Ramon Magsaysay (1954 – 1957 )
• SEATO
– The administration of President Magsaysay
was active in the fight against the expansion
of communism in the Asian region. He made
the Philippines a member of the Southeast
Asia Treaty Organization (SEATO), which was
established in Manila on Sept. 8, 1954 during
the "Manila Conference".
• Members of SEATO were alarmed at the
possible victory of North Vietnam over
South Vietnam, which could spread
communist ideology to other countries in
the region. The possibility that a
communist state can influence or cause
other countries to adopt the same system
of government is called the domino
theory.
Ramon Magsaysay (1954 – 1957 )
• SEATO
– The active coordination of
the Magsaysay
administration with the
Japanese government led
to the Reparation
Agreement. This was an
agreement between the
two countries, obligating
the Japanese government
to pay $800 million as
reparation for war
damages in the Philippines.
Ramon Magsaysay (1954 – 1957 )
• Defense Council
– Taking the advantage of the presence of
U.S. Secretary John Foster Dulles in Manila
to attend the SEATO Conference, the
Philippine government took steps to
broach with him the establishment of a
Joint Defense Council. Vice-President and
Secretary of Foreign Affairs Carlos P. Garcia
held the opportune conversations with
Secretary Dulles for this purpose.
Agreement was reached thereon and the
first meeting of the Joint United StatesPhilippines Defense Council was held in
Manila following the end of the Manila
Conference. Thus were the terms of the
Mutual Defense Pact between the
Philippines and the United States duly
implemented.
Ramon Magsaysay (1954 – 1957 )
•
Laurel- Langey Agreement
– The Magsaysay administration negotiated
the Laurel-Langley Agreement which was a
trade agreement between the Philippines
and the United States which was signed in
1955 and expired in 1974. Although it
proved deficient, the final agreement
satisfied nearly all of the diverse Filipino
economic interests.
– While some have seen the Laurel-Langley
agreement as a continuation of the 1946
trade act, Jose P. Laurel and other
Philippine leaders recognized that the
agreement substantially gave the country
greater freedom to industrialize while
continuing to receive privileged access to
US markets.
• The agreement replaced the
unpopular Bell Trade Act, which tied
the economy of the Philippines to that
of United States economy.
Ramon Magsaysay (1954 – 1957 )
• Reparations agreement
– Following the reservations made by
Ambassador Romulo, on the Philippines
behalf, upon signing the Japanese Peace
Treaty in San Francisco on September 8,
1951, for several years of series of
negotiations were conducted by the
Philippine government and that of Japan.
In the face of adamant claims of the
Japanese government that it found
impossible to meet the demand for the
payment of eight billion dollars by the way
of reparations, president Magsaysay,
during a so-called "cooling off" period, sent
a Philippine Reparations Survey
Committee, headed by Finance Secretary
Jaime Hernandez, to Japan for an "on the
spot" study of that country's possibilities.
Ramon Magsaysay (1954 – 1957 )
• Reparations agreement
– When the Committee reported that Japan
was in a position to pay, Ambassador
Felino Neri, appointed chief negotiator,
went to Tokyo. On May 31, 1955,
Ambassador Neri reached a compromise
agreement with Japanese Minister
Takazaki, the main terms of which
consisted in the following: The Japanese
government would pay eight hundred
million dollars as reparations. Payment
was to be made in this wise: Twenty
million dollars would be paid in cash in
Philippine currency; thirty million dollars,
in services; five million dollars, in capital
goods; and two hundred and fifty million
dollars, in long-term industrial loans.
Ramon Magsaysay (1954 – 1957 )
• Reparations agreement
– On August 12, 1955, President
Magsaysay informed the Japanese
government, through Prime Minister
Ichiro Hatoyama, that the Philippines
accepted the Neri-Takazaki agreement.
In view of political developments in
Japan, the Japanese Prime Minister
could only inform the Philippine
government of the Japanese acceptance
of said agreement on March 15, 1956.
The official Reparations agreement
between the two government was
finally signed at Malacañan Palace on
May 9, 1956, thus bringing to a rather
satisfactory conclusion this long drawn
controversy between the two countries.
Carlos P. Garcia ( 1957 – 1961 )
• At the time of the sudden death of
President Ramon Magsaysay, Vice
President and Foreign Affairs Secretary
Carlos P. García was heading the
Philippine delegation to the SEATO
conference then being held at Canberra,
Australia. Having been immediately
notified of the tragedy, Vice President
García enplaned back for Manila. Upon
his arrival he directly repaired to
Malacañan Palace to assume the duties of
President. Chief Justice Ricardo Paras, of
the Supreme Court, was at hand to
administer the oath of office. President
García's first actuations dealt with the
declaration of a period of mourning for
the whole nation and the burial
ceremonies for the late Chief-Executive
Magsaysay.
Carlos P. Garcia ( 1957 – 1961 )
• Filipino First Policy was made as an
apparent concession to a growing
anti-imperialist among the people.
• Giving preference to Filipino
businessmen in the allocation of US
dollars for import-export operations
over foreign businessmen of a
nationality other than American.
• Objective is to free our economy from
foreign intervention and control.
• Gave priority to Filipino industries in
the distribution of resources which
supported the Retail Nationalization
Act.
• Gives recognition to the outstanding
contribution of Filipino artists,
scientists, musicians, historians and
inventors.
Carlos P. Garcia ( 1957 – 1961 )
• Remove foreign exchange controls
• Foreign exchange controls is a temporary
device for putting a brake to the rapid
depletion of US dollars for helping prevent
the complete breakdown of economy.
• US wanted a more favorable climate for
foreign investments in the Philippines and
the unlimited remittance of its
superprofits.
• US wanted an intensified export of its
surplus products to Philippines to
counteract its uneven balance of payments
problems.
• US used the WB_IMF to make an
economic survey and recommend the
adoption of immediate and full decontrol
as the cornerstone of development.
Carlos P. Garcia ( 1957 – 1961 )
• Outlawing Communism
– After much discussion, both official and public, the Congress of the
Philippines, finally, approved a bill outlawing the Communist Party of the
Philippines. Despite the pressure exerted against the congressional measure,
President Carlos P. García signed the said bill into law as Republic Act No.
1700 on June 19, 1957. With this legislative piece, the sustained government
campaign for peace and order achieved considerable progress and success.
• Republic Act No. 1700 was superseded by Presidential Decree No. 885,
entitled "Outlawing Subversive Organization, Penalizing Membership
Therein and For Other Purposes." In turn, Presidential Decree 885 was
amended by Presidential Decree No. 1736, and later superseded by
Presidential Decree No. 1835, entitled, "Codifying The Various Laws on
Anti-Subversion and Increasing the Penalties for Membership in
Subversive Organization." This, in turn, was amended by Presidential
Decree No. 1975. On May 5, 1987, Executive Order No. 167 repealed
Presidential Decrees Nos. 1835 and 1975 as being unduly restrictive of
the constitutional right to form associations.
• On September 22, 1992, Republic Act No. 1700, as amended, was
repealed by Republic Act No. 7636.
•
Carlos P. Garcia ( 1957 – 1961 )
Filipino First Policy
– President García exercised the Filipino First
Policy, for which he was known. This policy
heavily favored Filipino businessmen over
foreign investors. He was also responsible for
changes in retail trade which greatly affected
the Chinese businessmen in the country. In a
speech during a joint session of the Senate and
the House of Representatives on September 18,
1946, President Garcia said the following:
• We are called upon to decide on this
momentous debate whether or not this
land of ours will remain the cradle and
grave, the womb and tomb of our race –
the only place where we can build our
homes, our temples, and our altars and
where we erect the castles of our racial
hopes, dreams and traditions and where
we establish the warehouse of our
happiness and prosperity, of our joys and
sorrows
Carlos P. Garcia ( 1957 – 1961 )
• Austerity Program
– In the face of the trying conditions of the
country, President García initiated what
has been called "The Austerity Program".
García's administration was characterized
by its austerity program and its insistence
on a comprehensive nationalist policy. On
March 3, 1960, he affirmed the need for
complete economic freedom and added
that the government no longer would
tolerate the dominance of foreign
interests (especially American) in the
national economy. He promised to shake
off "the yoke of alien domination in
business, trade, commerce and industry."
García was also credited with his role in
reviving Filipino cultural arts.
Carlos P. Garcia ( 1957 – 1961 )
•
•
Austerity Program
– The main points of the Austerity Program were:
• The government would tighten up its controls to prevent abuses in the
over shipment of exports under license and in under-pricing as well.
• There would be a more rigid enforcement of the existing regulations on
barter shipments.
• Government imports themselves were to be restricted to essential items.
• The government also would reduce rice imports to a minimum.
• An overhauling of the local transportation system would be attempted so
as to reduce the importation of gasoline and spare parts.
• The tax system would be revised so as to attain more equitable
distribution of the payment-burden and achieve more effective collection
from those with ability to pay.
• There would be an intensification of food production.
The program was hailed by the people at large and confidence was expressed that
the measures proposed would help solve the standing problems of the Republic.
Carlos P. Garcia ( 1957 – 1961 )
• Bohlen–Serrano
Agreement
– During his
administration, he
acted on the Bohlen–
Serrano Agreement
which shortened the
lease of the US Bases
from 99 years to 25
years and made it
renewable after every
five years.
Diosdado Macapagal ( 1961 – 1965 )
• In the 1961 presidential
election, Macapagal ran
against Garcia's re-election bid,
promising an end to corruption
and appealing to the electorate
as a common man from
humble beginnings.
– He defeated the incumbent
president with a 55% to
45% margin. His
inauguration as the
president of the Philippines
took place on December 30,
1961.
Diosdado Macapagal ( 1961 – 1965 )
• Lifted the control on foreign
currencies and allowed the
importation of goods which
resulted to devaluation.
• Local US firms were enabled to
remit huge profits even without
having to conceal them any more
through overpricing of goods and
services both from their mother
and sister companies in the US or
elsewhere abroad.
• Signed the Agricultural Land
Reform Code which abolished the
Kasama System tilling the land.
Diosdado Macapagal ( 1961 – 1965 )
• Established the Land Bank of the
Philippines.
• Dollar reserves were exhausted.
Peso was devalued from the
previous fixed rate of P2.00 to
P3.90 per dollar. To maintain this
rate, the Macapagal government
accepted the onerous
‘stabilization’ loans from US
banks.
• Advocated an open door policy for
US investments.
• The volume of US investments
increased but not any higher than
the huge profits being remitted.
Diosdado Macapagal ( 1961 – 1965 )
• US investors took over enterprises which
could no longer pay their foreign debts
and made new investments in plantations.
• US monopolies suck up Filipino savings
and loan capital taken by the Philippine
Government from US-owned and
controlled banks.
• Thus even with the very little capital that
they usually brought into the country.
They could enlarge their capitalization
through local borrowings.
• Government corporations were made to
borrow directly from the WB. Private
corporations and banks were encouraged
to get loans directly from US and other
foreign banks and to use government
banks to make guarantees.
Diosdado Macapagal ( 1961 – 1965 )
•
Economy
– In his inaugural address, Macapagal promised
a socio-economic program anchored on "a
return to free and private enterprise", placing
economic development in the hands of
private entrepreneurs with minimal
government interference.
– Twenty days after the inauguration, exchange
controls were lifted and the Philippine
peso was allowed to float on the free currency
exchange market. The currency controls were
initially adopted by the administration
of Elpidio Quirino as a temporary measure,
but continued to be adopted by succeeding
administrations. The peso devalued from
P2.64 to the US dollar, and stabilized at P3.80
to the dollar, supported by a $300 million
stabilization fund from the International
Monetary Fund.
Diosdado Macapagal ( 1961 – 1965 )
• Socio-economic program
– The removal of controls and
the restoration of free
enterprise was intended to
provide only the fundamental
setting in which Macapagal
could work out economic and
social progress. A specific and
periodic program for the
guidance of both the private
sector and the government
was an essential instrument to
attain the economic and social
development that constituted
the goal of his labors.
Diosdado Macapagal ( 1961 – 1965 )
• Socio-economic program
– Such a program for his administration was
formulated under his authority and direction
by a group of able and reputable economic
and business leaders the most active and
effective of which was Sixto Roxas III. From an
examination of the planned targets and
requirements of the Five-Year program –
formally known as the Five-Year SocioEconomic Integrated Development Program –
it could be seen that it aimed at the following
objectives.
• immediate restoration of economic
stability;
• alleviating the plight of the common man;
and
• establishing a dynamic basic for future
growth.
Diosdado Macapagal ( 1961 – 1965 )
• Land reform
– Like Ramon Magsaysay, President Diosdado
Macapagal came from the masses. He
savored to call himself the "Poor boy from
Lubao".
• Ironically, he had little popularity among
the masses.This could be attributed to
an absence of charismatic appeal of his
stiff personality.
– But despite this, Macapagal had certain
achievements.Foremost of these was
the Agricultural Land Reform Code of
1963 (Republic Act No. 3844) which
provided for the purchase of private
farmlands with the intention of distributing
them in small lots to the landless tenants
on easy term of payment.
Diosdado Macapagal ( 1961 – 1965 )
• Anti-corruption drive
– One of Macapagal's major campaign pledges
had been to clean out the government
corruption that had proliferated under former
President Garcia.
– The administration also openly feuded with
Filipino businessmen Fernando
Lopez and Eugenio Lopez, brothers who had
controlling interests in several large
businesses.
– The administration alluded to the brothers as
"Filipino Stonehills who build and maintain
business empires through political power,
including the corruption of politicians and
other officials".[13] In the 1965 election, the
Lopezes threw their support behind
Macapagal's rival, Ferdinand Marcos, with
Fernando as Marcos' running mate.
Diosdado Macapagal ( 1961 – 1965 )
• Independence Day
– Macapagal appealed to nationalist sentiments by shifting the
commemoration of Philippine independence day.
– On May 12, 1962, he signed a proclamation which declared
Tuesday, June 12, 1962, as a special public holiday in
commemoration of the declaration of independence from Spain on
that date in 1898.
– The change became permanent in 1964 with the signing of
Republic Act No. 4166.For having issued his 1962 proclamation,
Macapagal is generally credited with having moved the celebration
date of the Independence Day holiday.
• Years later, Macapagal told journalist Stanley Karnow the real
reason for the change: "When I was in the diplomatic corps, I
noticed that nobody came to our receptions on the Fourth of
July, but went to the American Embassy instead. So, to
compete, I decided we needed a different holiday.
•
Diosdado Macapagal ( 1961 – 1965 )
Sabah Claim
– On September 12, 1962, during President Diosdado
Macapagal's administration, the territory of North
Borneo, and the full sovereignty, title and dominion
over the territory were ceded by the then reigning
Sultan of Sulu, HM Sultan Muhammad Esmail E. Kiram
I, to the Republic of the Philippines.
– The cession effectively gave the Philippine government
the full authority to pursue their claim in international
courts.
– The Philippines broke diplomatic relations with
Malaysia after the federation had included Sabah in
1963.
– It was revoked in 1989 because succeeding Philippine
administrations have placed the claim in the back
burner in the interest of pursuing cordial economic and
security relations with Kuala Lumpur.
– To date, Malaysia continues to consistently reject
Philippine calls to resolve the matter of Sabah's
jurisdiction to the International Court of Justice. Sabah
sees the claim made by the Philippines' Moro leader
Nur Misuari to take Sabah to International Court of
Justice (ICJ) as a non-issue and thus dismissed the
claim.
Diosdado Macapagal ( 1961 – 1965 )
•
Maphilindo
– Maphilindo was described as a regional association that would approach issues of
common concern in the spirit of consensus. However, it was also perceived as a tactic
on the parts of Jakarta and Manila to delay, or even prevent, the formation of
the Federation of Malaysia. Manila had its own claim to Sabah (formerly British North
Borneo), and Jakarta protested the formation of Malaysia as a British imperialist plot.
– The plan failed when Sukarno adopted his plan of konfrontasi with Malaysia. The
Konfrontasi, or Confrontation basically aims at preventing Malaysia to attain
independence. The idea was inspired onto President Sukarno by the Partai Komunis
Indonesia (PKI), or literally the Indonesian Communist Party. The party convinced
President Sukarno that the Formation of Malaysia is a form of neo-colonization and
will later affect tranquility in Indonesia. The subsequent development
of ASEAN almost certainly excludes any possibility of the project ever being revived.
Diosdado Macapagal ( 1961 – 1965 )
• Vietnam War
– Before the end of his term
in 1965, President Diosdado
Macapagal
persuaded Congress to send
troops to South Vietnam.
However this proposal was
blocked by the opposition
led by Senate
President Ferdinand
Marcos who deserted
Macapagal's Liberal
Party and defected to
the Nacionalista Party.
Ferdinand E. Marcos ( 1965 – 1986 )
• Implemented a number of economic
programs that helps the country to enjoy the
period of economic growth from the mid1970’s until the early 1980’s.
• Land reform was introduced under PD Nos. 2
and 27.
• Kilusang Kabuhayan at Kaunlaran (KKK) –
aimed to promote economic development of
the Barangay’s by encouraging Barangay
residents to engage in their own livelihood
projects.
• Enacted the investment incentives law on
1967 which declares it the state policy to
encourage foreign investments and defines a
corporation with a maximum foreign equity of
40% as a Philippine national.
• IMF dictated the devaluation of peso.
Ferdinand E. Marcos ( 1965 – 1986 )
• In 1970 P1.00 $6.00 from previous P3.90
per US dollars.
• P 6 Billion interval debts because of
profligate (recklessly wasting) spending on
project that merely deepen the semifeudal and semi-colonial character of Phileconomy.
• Philippine external debt has reached to $
1.9 billion.
• Japan-RP Treaty of Amnesty, commerce
and navigation has encouraged Japanese
monopolies to invade the Philippines. They
rank as the 2nd biggest foreign investors.
• Japanese products/commodities were
dumped into the country and Japanese
investments penetrated every major field
of business activity.