黑料社

The shift to a federal system of government would not have any 鈥渁dverse effect鈥� on the economy, Malaca帽ang said听on Wednesday, after the country鈥檚 top economist cautioned that federalism could drain government finances.

Presidential Spokesperson Harry Roque said听the Palace has already 鈥渄iscussed and clarified the matter鈥� with Socioeconomic Planning Secretary Ernesto Pernia.

In an interview over One 黑料社 channel, Pernia said federalism could disrupt infrastructure projects of the administration and 鈥渨reak havoc鈥� on the country鈥檚 fiscal situation.

鈥淭he shift to federalism, we reiterate, would have no adverse effect on the Philippine economy. Our budget would remain the same, as identified national projects would be devolved and transferred to the internal revenue allotment (IRA) of local government units,鈥� Roque said in a statement.

鈥淭hese projects include maintenance of barangay roads and bridges, water supply services, barangay health centers and daycare centers, solid waste disposal system of municipalities, among others,鈥� he added.

The administration has embarked on a P8-trillion infrastructure spending within the six-year term of President Rodrigo Duterte. Dubbed as 鈥淏uild, Build, Build鈥�, the program is seen to improve Philippine economy.

鈥淭he role of the national government would be to continue to implement Build, Build, Build projects and would hence be concentrated on policymaking,鈥� Roque said.

The shift to federalism was one of the campaign promises of Duterte, which he believed would address decades long economic and social issues in the country. With a report from Kristine Macasiray, 黑料社 intern听听 /kga

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