‘PH can withstand Greece fallout’

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THE Philippine economy is “strong” and can withstand the headwinds from a potential Greek debt default and eurozone exit, Malacañang said on Monday.

Presidential Communications Secretary Herminio Coloma Jr. gave the assurances following a dominant win of the Greek government’s “no” vote in a referendum on financial bailout reform proposals of its creditors.

“The Philippine economy is strong, resilient, and able to deal with possible fallout from the results of the referendum held in Greece yesterday,” Coloma said in a statement.

“Investor confidence is at an all-time high and given the wide fiscal space created by high growth rates and sound economic management during the past five years, the government can deploy ample resources for dealing with possible deleterious effects,” he added.


The Agence France-Presse reported that the euro plummeted 1.6 percent to $1.0963 in the wake of the referendum.

Finance Secretary Cesar Purisima, in a separate statement, said the Philippines is in a “much stronger position” now to face the volatility from the Greek fallout.

“The Greek No Vote highlights the structural weakness of a currency union without fiscal and political union and makes for perilous choices for both sides. This means heightened market volatility. Everyone will be buffeted by this including the Philippines,” Purisima said.

“But Philippines is now in a stronger position to deal with this given its strong external and fiscal situation as well as much lower and better liability structure,” he added.

Meanwhile, Labor Secretary Rosalinda Baldoz said the government does not expect a mass repatriation of Filipino workers in Greece.

“Most overseas Filipino workers are highly skilled workers and they continue to be in demand. For those affected, they prefer to be trained as caregivers for third country deployment like Canada. Others are married to Greek nationals,” Baldoz said in a statement.

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2 Comments

  1. William dungo on

    I want to say that I own codiminium in Makati City E Rockwell Manansala 2802. Every month I pay 10,000.00 pesos as association dues. I want every one to know that 1400.00 pesos is being collected by BIR as VAT on our association dues. The number of room on this condo is approximately 500 unit. So the government has income of 500 unit x 1300.00 pesos equal to
    650,000.00 pesos collection every month. Now I think e Rockwell had about 9 condominium bldg. approximately the government will collect a VAT of almost 10,000,000.00 pesos per month. So there are more a lot of condominium in Quezon City , Manila, Taguig, Cebu, Angeles city and all other cities all condominium are paying VAT tax to the government so this time the government is collecting a lot of tax money from our condo association to. At the same time I pay 30,000.00 pesos every year as property tax to the city that why Makati Is a rich city because it have a lot of condominium. Philippine is enjoying of a lot of tax collection because President Arroyo pass the VAT tax law. This is why the Philippines because of its real estate tax collection. All the thing I am asking is give President Gloria Macapagal Arroyo, the Congresman and the Senators who ass the VAT law in 2005. As I reminding you all many years past the U.S. Fitch financial institution praise President Gloria Arroyo on passing VAT law and rearrange the financial status of the Philipine government which the current almost ration is enjoying, managing and bragging and talking all th credit. Thank you and bless every one.

  2. William dungo on

    You know Pres. Gloria Arroyo was the one who passed the law of VAT 12 percent sales tax law in 2005, then the Hyatt 10 abandon her. Now these Hyatt 10 seat in power and using the tax being collected and saying they put improvement in life of ordinary Pilipino of today and Aquino is taking this credit on his administration. Then they put Pres Gloria Arroyo in jail forever. Hindi sola nahihiya that they taking the credit of what Pres Gloria Arroyo she did when she was president. So Philippines have a lot of money today due to VAT collection. So the Phillipines will not be like Greece because they do not want to approve the VAT law as required and demande by European Union. So the current Philippine government is bragging that the Philippines will not be like Greece. I agree because the Philippines got a lot of budget money because of VAT collection. The real truth is that Honorable President Gloria Arroyo was the president who took us out of crisi in budgeting and poverty because of passing the VAT law. Pres Aquino and the Hyatt the who joined him are just enforcer of the VAT law passed by Pres Gloria Arroyo. The Phiippines will not experice what Greece experiencing now because we VAT law already. Thank you. If in question go back to our Philippines law history on taxation.
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