Consulate General of the Philippines in New York
News Release, 25 August 2004

GMA lauds senators and barangay official who offered to share the government's fiscal burden

President Gloria Macapagal-Arroyo today cited legislators and barangay officials who responded positively to her call for belt tightening, saying their offer to share the burden was a gesture of "patriotism and statesmanship" that would inspire the public to exercise austerity measures.

"We are facing tough times, but this crisis can never put down the spirit of the Filipino. The government will lead the way in terms of restraint as well as in service," the President said in a statement released by Malacanang this morning.

"The Filipino can do it if we think as one nation and one people," the Chief Executive stressed.

President Macapagal-Arroyo set in motion on Tuesday a package of austerity measures to save on government expenditures in a bid to cushion the impact of a a worsening budget deficit and growing indebtedness.

At least nine senators promptly agreed to give up 50 percent of their Priority Development Assistance Funds (PDAF), also referred to as pork barrel funds, as their contribution to the government’s efforts to address the fiscal crisis.

Senate Majority Leader Francis Pangilinan and Sen. Ralph Recto filed a resolution calling for the 50 percent cut in the senators’ PDAF for 2005 in favor of the President’s 10-point agenda. The senators were getting P200 million in pork barrel yearly.

For their part, some barangay leaders proposed a freeze on their Internal Revenue Allots (IRA) at present levels. This means there would be no increase this year in the IRA for the local government units if the propose is adopted.

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