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HEADLINES: DBM chief pledges bigger defense budget | Aug. 17, 2023

Good day. Here are the stories for The Manila Times for Thursday, August 17, 2023.

Today's episode is brought to you by Wilcon Depot, The Philippines' leading home improvement and construction supplies retailer—your Trusted Building Partner.

READ: DBM chief pledges bigger defense budget

BUDGET Secretary Amenah Pangandaman on Wednesday promised sufficient funding for the Philippine Navy and the Philippine Coast Guard as they secure the country's shorelines amid growing tensions in the West Philippine Sea. Pangandaman specifically mentioned the need to buy weapons and ammunition for ships that were not equipped with arms when bought by the government during the continuation of the Committee on Finance's meeting with the Development Budget Coordinating Council. She replied in the affirmative when asked by Sen. Ronald "Bato" dela Rosa, vice chairman of the Senate finance committee, if there was also a funding augmentation for the Armed Forces of the Philippines contingent deployed in troubled spots. The government has proposed a defense budget of 233 billion pesos. The budget represents a double-digit increase over the baseline allocation in 2023. The new defense budget includes 144 billion pesos for personnel expenses, 69 billion pesos for maintenance and other operating expenses, and 17 billion pesos for capital outlay. Funding for capital outlay does not include appropriations through the long-running Revised A.F.P. Modernization Program.

READ: P16.9B allotted for govt workers' salary hike – DBM

Meanwhile, Pangandaman said on Wednesday that 16.95 billion pesos has been earmarked for the salary increase of government workers. She added that potential modifications to remuneration packages for state employees could be considered beginning next year. In January, the final portion of salary raises for government employees was put into effect as mandated by Republic Act 11466 or the "Salary Standardization Law of 2019." The law states that the adjusted salary schedule for government staff will be carried out in four phases, from 2020 to 2023.

READ: China using psywar in WPS dispute – NSC

National Security Council Assistant Deputy Director Jonathan Malaya said on Tuesday that China is using psychological warfare to confuse Filipinos on the issue involving the West Philippine Sea. He said that the supposed agreement between China and the Philippine government for the removal of B.R.P. Sierra Madre off Ayungin is part of China's psywar tactics.

READ: 'Rice hike due to tight supply'

THE increase in the price of rice was caused by tight supply, former agriculture secretary Federation of Free Farmers Chairman Leonardo Montemayor said Wednesday. Montemayor said following the law of supply and demand, it is inevitable that the price of rice will go up. He said the price of rice could increase from 45 to 50 pesos per kilo to 60 to 65 pesos per kilo. He also said the low supply of rice can be attributed to the damage caused by recent typhoons.

READ: Marcos travel expenses: P403M

The Office of the President has spent 403 million pesos in travel expenses, of which 392 million pesos were for foreign travels, according to the Commission on Audit. In the audited financial reports of the OP for 2022, local travel expenses were at 10,780,185 pesos and two centavos, lower than the 2021 restated figure of 11,536,738 pesos and 19 centavos. Foreign travels, on the other hand, cost the O.P. 392,307,409 pesos and 91 centavos — an increase of 367,052,245 pesos and 96 centavos from 25,255,163 pesos and 95 centavos in 2021. The significant increase in the travel expenses of the O.P. was due to the official travels that were related to the foreign summits and state visits attended by President Ferdinand Marcos Jr. during the year. Travels by President Marcos in the past year include visits to Singapore, Indonesia, the United States, Cambodia, Thailand and Belgium. The CoA also noted that local travel expenses were incurred for the movement or transport of government officials and employees within the country and included travel per diem, ferriage, and other related expenses. Foreign travel expenses, on the other hand, included those spent for transportation, travel per diem, passport and visa processing, and all other travel-related costs.

READ: House expels Teves

THE House of Representatives on Wednesday expelled Negros Oriental Third District Rep. Arnolfo "Arnie" Teves Jr., who has been linked to the killing of Negros Oriental Gov. Roel Degamo. With 265 lawmakers voting in the affirmative, the House adopted the House Committee on Ethics and Privileges' recommendation to expel Teves. No one opposed, while three lawmakers abstained. Coop Natcco Rep. Felimon Espares, the committee's chairman, said the main basis for the recommendation was "[Teves'] continuous absence without leave" in the House "by his persistent pursuit of political asylum in Timor-Leste (East Timor)."

BUSINESS: PH growth seen missing targets

Over to business, Philippine growth forecasts have been cut by the Hongkong and Shanghai Banking Corporation following a disappointing second quarter and a likely spending slowdown. Economic growth was 4.3 percent for April-June, much lower than the expected 6.0 percent and raising the likelihood that the 2023 target of 6.0-7.0 percent would be missed. Prior to the release of the second quarter results, H.S.B.C. already expected Philippine growth to fall below forecasts at 5.3 percent for 2023 and 5.6 percent for 2024. The government is targeting 6.5- to 8.0-percent growth for next year. On a quarterly basis, G.D.P. growth could slow to as much as 3.9 percent in the last three months of 2023, the bank said, after picking up to 4.8 percent in the third quarter. Both forecasts were cut from 5.4 percent and 4.0 percent previously. As for 2024, quarterly economic growth is expected to pick up to 4.2 percent, 5.0 percent and 5.8 percent in the first three quarters but stay unchanged for the October-December period. The prior forecasts were 5.0 percent, 5.6 percent, 5.8 percent and 6.0 percent.

SPORTS: SBP to reveal Gilas final 12 on Aug. 23

WITH nine days to go before the 2023 FIBA World Cup, Filipino basketball fans are anxious to know who will make the final 12 for Gilas Pilipinas, and who among the remaining members of the pool will get cut. Samahang Basketbol ng Pilipinas President Al Panlilio said he's well aware of the public's growing desire to know who gets to play for the country in the world basketball showpiece. But he also noted that the national squad's last three friendly matches will cement the final 12 as coach Chot Reyes and his assistants make the final decision sometime next week.

READ: Opinion and editorial

Antonio Contreras, Yen Makabenta, and Danton Remoto are today's front page columnists. Contreras discusses the controversial confidential and intelligence funds of the government, Makabenta wonders if China rewrote the laws of the sea, while Remoto gives tips on how to write a global story and a global novel.

Today's editorial believes that 2025 can't come soon enough for the Philippine Amusement and Gaming Corporation to exit the gambling industry. Read the full version in the paper's opinion section or listen to the Voice of the Times.

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