Economy did better in second quarter than in first three months - Recto

MANILA, Philippines -  The economy in the second quarter performed better than the 0.4 percent expansion recorded in the first three months of the year, Socioeconomic Planning Secretary Ralph Recto said yesterday.

“We are confident the second quarter growth is better than the first,” Recto said after announcing that he has resigned from his post effective Aug. 16.

The 0.4 percent annual growth in the first quarter was the weakest since 1998. The National Statistical Coordination Board (NSCB) is set to release the second quarter data on Aug. 27.

Recto, who  assumed his post as socioeconomic planning secretary and NEDA Director-General on July 28, 2008, is making a Senate comeback after losing in the 2007 elections.

As NEDA chief, Recto helped craft and monitor the government’s Economic Resiliency Plan (ERP) against the global financial turmoil.

The ERP implementation involved the frontloading of government spending during first half of 2009 and increased spending for social services and infrastructure. Recently, he proposed a new economic plan for next year initially dubbed as REAP (Reloading Economic Acceleration Plan) to protect the gains made through the ERP and prepare the countryfor the economic rebound. He set in place a more institutionalized monitoring of global and local events as they affect the Philippine economy.

Recto advocated various development issues such as a transparent oil pricing scheme to protect consumers as well as greater transparency in government projects. He also backed innovations in green industry and technology in the Philippines and signed a climate change program with the United Nations and the Spanish government. In addition, Recto pushed for deeper engagements with China and other growth regions such as the Middle East.

Furthermore, Recto also advocated the enhancement of the review of the performance of the Philippine government’s Official Development Assistance (ODA) portfolio to help improve the country’s absorptive capacity, speed up the implementation of development programs and projects,and manage for development results.

Recto served as Senator from 2001 to 2007 or during the 12th and 13th Congress and from 1992 to 2001 as Congressional representative of the 4th district of Batangas.

He has authored various bills including the controversial Expanded Value Added Tax (EVAT) law or Republic Act 9337 which raised the VAT rate on goods and services to 12 percent from 10 percent previously.