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PIA Press Release
2010/05/21

Palace glad over improved RP competitiveness ranking

Manila (21 May) -- Malacaņang yesterday (May 20) expressed satisfaction over the four-step improvement in the ranking of the Philippines in the World Competitiveness Yearbook released by Switzerland-based IMD World Competitiveness Center.

In a press briefing, Presidential Spokesperson Ricardo Saludo said the government felt gratified by the rating improvement because it has in particular strived to maintain the country?s economic growth and to address inefficiencies in government.

"Our economy has been among the top performing in the world during the global recession. We were one of the few economies that maintained our growth, which the Arroyo administration has maintained for more than nine years, including second quarter of 2010," Saludo added.

The Palace is certainly very happy about this achievement and now we are happy that the world has acknowledged this and will hopefully improve perceptions of investors regarding our country, Saludo said.

The Philippines rose to 39th with a score of 56.526 out of a perfect score of 100, from 43rd last year from among the 58 economies included in the report.

Among the Asean peers, Singapore had a perfect score of 100, Malaysia ranked 10th with a score of 87.228, Indonesia, 26th with 73.233 and Thailand, 35th with 60.745.

The report said that for 2010, the Philippines has to hurdle challenges like applying the rule of law and restoring faith in public institutions, ensuring food and energy security, planning for natural disasters and climate change, providing entrepreneurial opportunities, jobs, skills training and education in the countryside, and addressing migration into cities and configuring urban areas appropriately.

Saludo said the second area of focus is government efficiency, particularly in processing permits, licenses and other procedural requirements for businesses and investments.

This was addressed by Civil Service Commission, which Saludo used to chair, when it adopted the Anti Red Tape Act.

"This was a one-year deadline given to CSC and we completed it in September 2009 with 4,000 government entities having been made compliant with the Anti Red Tape Act," Saludo added.

Saludo said the implementation of the Anti Red Tape Act has helped improved government efficiency rating and he hopes that this would be maintained.

He said he hopes that the massive infrastructure achievements of the Arroyo administration will somehow be acknowledged by the rating institution into changing its current negative rating on this area. In this aspect, the Philippines was ranked 3rd to the last at 56th place with a score of 9.888 in infrastructure.

Saludo said that certainly the Ro-Ro [roll on roll off], the nautical highway, the expressways that have been built, the airports and ports, tourism centers, the massive irrigation works that have been done exceeding a million hectares in new or rehabilitated areas plus our efforts at improving the power supply despite the brownouts this year, have improved our infrastructure for business and we hope that future surveys will acknowledge these.

Under the infrastructure sub-index which include basic infrastructure, scientific infrastructure and education, the country ranked 56th. However in health and environment it got a ranking of 48 and in technological infrastructure, it placed high at 29th. (PIA-MMIO) [top]

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