A shift from a pandemic to an endemic mindset will help mitigate the impact of external shocks, such as the Russia-Ukraine crisis, as well as minimize the long-term scarring effects of Covid-19, three of the government’s economic managers said.
In a joint statement on Thursday, March 24, Finance Secretary Carlos G. Dominguez III, Trade and Industry Secretary Ramon M. Lopez and Socioeconomic Planning Secretary Karl Kendrick T. Chua welcomed the signing of Executive Order No. 166.
The EO, which is part of the country’s preparations for the shift to the “new normal,” will strengthen the implementation of the Economic Development Cluster’s (EDC) 10-point-policy agenda to sustain the recovery, the Cabinet officials said.
“We laud the President for taking decisive steps to align our economic recovery programs. These strategies will sustain our strong rebound from the pandemic and restore our path to rapid and inclusive growth this year and beyond,” Dominguez said.
According to the economic mangers, better management of the pandemic risks enabled the economy to grow above expectations in 2021.
“We are now in a much better position than at the start of the pandemic. Today, we see more businesses operating and more Filipinos able to go to work. Through the EO, we will be able to help more firms adapt and pursue the full and safe reopening of the economy,” Lopez said.
According to Chua, the country has made significant progress in the implementation of the 10-point-policy. Notably, since March 15, 70 percent of the economy has already shifted to Alert Level 1, where most capacity and travel restrictions have been lifted.
Under Alert Level 1, the National Economic and Development Authority (NEDA) estimates that the economy can gain around P10.8 billion per week of economic activity and reduce the number of unemployed by around 195,000 over the next quarter, compared to Alert Level 2.
However, Chua emphasized that the full benefit of Alert Level 1 cannot be maximized if the majority of schools are still closed for face-to-face learning.
NEDA estimated that the economy is short of around P12 billion per week since schools are largely closed. Further, one-fourth of parents still have to stay at home to help their younger children study in modular or online learning.
“We thank the President for supporting the EDC’s 10-point-policy. We will vigorously pursue the remaining agenda items to help improve our growth prospects and safeguard our domestic economy against external shocks, such as the Russia-Ukraine crisis,” Chua said.
Under EO No. 166, the Inter-agency Task Force for the Management of Emerging Infectious Diseases (IATF-IED) and the National Task Force (NTF) Against Covid-19 are tasked to ensure the proper implementation of the 10-point-policy agenda.
The EDC, through NEDA, Department of Finance, and Department of Trade and Industry, shall be consulted prior to the implementation of all such measures.
“We will not slow down in the final months of the administration. We have already seen encouraging results from further reopening the economy. To sustain this, the whole EDC commits to delivering the policies and programs under the EO without letup to lay the foundations for more rapid and inclusive growth,” Dominguez affirmed.