Reforms can speed up poverty reduction

In my letter titled “Poverty reduction no longer possible under P-Noy” (Opinion, 1/13/15), I stated that while the country under P-Noy has done better in the global corruption index ranking as well as in growing the GDP (gross domestic product), our present economic growth is not just noninclusive but also biased in favor of the service sector, resulting in the underdevelopment of agriculture which is still considered the backbone of the economy, particularly in the Visayas and Mindanao.

The country’s noninclusive growth perpetuates the ever-worsening poverty and inequality in our country. This is shown by 2012 data from the Philippine Statistics Authority-National Statistical Coordination Board (PSA-NSCB). Among the major island groups, the percentage share of the total population in the total GDP are as follows: 1.3 for Luzon, 0.64 for the Visayas and 0.61 for Mindanao. These figures indicate that the people in Luzon are living better twice as much as those living in the Visayas and Mindanao; they also corroborate the fact that, based on the PSA-NSCB 2012 data, the poverty incidence in the Visayas (33.2 percent) and Mindanao (41.3 percent) is more than twice that of Luzon (15.7 percent).

The answer to the question of poverty and inequality is contained in the message Pope Francis delivered in Malacañang last Jan. 16 before government officials and politicians. The Pope said: “The great biblical tradition enjoins on all peoples the duty to hear the voice of the poor. It bids us break the bonds of injustice and oppression which give rise to glaring, and indeed scandalous, social inequalities. Reforming the social structure which perpetuates poverty and the exclusion of the poor first requires a conversion of the mind and heart.”

In line with this message, the current and succeeding administrations should lead the people into reforming the system by undertaking strategic, propeople and balanced approach toward the development of the three sectors of the economy—agriculture, manufacturing, services—particularly in the Visayas and Mindanao. The right reform measures can surely lead the country along the right path toward significantly reducing poverty and inequality sooner than expected.

—EDMUNDO ENDEREZ,

eenderez@gmail.com

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