No info on reported cut of MCC aid to RP, says Golez

10/21/2008

Still in denial over the reported failure of the Arroyo government in its control of corruption test, which would likely cut off funding for Manila, Malacañang yesterday said it has no information that the Philippines will not be getting fresh funding this year from the US Millennium Challenge Corp. (MCC).

Deputy spokesman Anthony Golez said the Washington-based Center for Global Development (CDG) has just undertaken an independent analysis and prediction on which countries are likely to be selected by the MCC board in December 2009 and that which counts is not CDG but the MCC itself, that judges based on facts, not perception.

“The MCC has not yet released any finding or statement regarding the Philippine status on the MCC,” Golez said.

He pointed out that MCC chief executive officer (CEO) John Danilovich said last March the Philippines had demonstrated its “commitment to tackling difficult challenges and improving the lives of our people, giving the compact status and making us eligible for funding.”

Usually, CDG bases its predictions on particular surveys, “unlike the solid and objective indicators that MCC has,” he added.

“Our government has poured in the highest amount of money to programs against corruption and this has been the reason for the unprecedented increase in the prosecution and conviction rates of our courts,” Golez said.

The data on the increase in prosecution and conviction rates have not been substantiated, however,

as the data in the Ombudsman office and the Sandiganbayan show a very poor conviction rate.

In July 2006, the Philippines received a $21-million grant from the MCC for the government’s anti-corruption campaign.

A Washington-based think-tank, the Center for Global Development, gave the country a poor rating of the country for failing to curb corruption in the government.

Mrs. Arroyo flunked the corruption curbing test, with the percantile ratings going lower and lower, and on its third year, the percantile rating went below the 50 mark.

In its Sept. 26, 2008 country assessment report, the CDG said the Philippines has failed the control of corruption indicator this year since the Millennium Challenge Corporation (MCC), which provides financial assistance to developing countries, was established three years ago.

CGD monitors and analyzes the MCA.

CDG said the Philippine corruption rating dropped sharply in the last two years—falling from the 76th percentile two years ago, to the 57th percentile last year, to the 47th percentile this year.

“This decline creates an awkward situation for the MCC for two reasons: First, the Philippines was declared eligible by the MCC Board just six months ago in a highly unusual out-of-cycle decision,” CGD said.

Bangon Pilipinas yesterday assailed the Arroyo Administration for its miserable failure in addressing rampant graft and corruption resulting in a negative rating and assessment by CDG, thereby reportedly forfeiting the nation’s chance for an additional grant of $21 million via the US MCC.

Bangon Chairman Bro. Eddie Villanueva reflected the party’s position on the issue: “By a steady deterioration of its ‘anti-graft’ rating, this government has proven what every Filipino knows and sees. That because the culture of corruption remains unchecked from top to bottom, the country is now languishing in the cellar with deteriorating economy and escalating poverty.

The decision of MCC to withhold additional funding for the Philippine Government was based on a worsening state of corruption in the country despite promises by the administration to execute active law enforcement, diligent prosecution, and even create a Presidential Anti-Graft Commission.

With PNA and Tribune wires

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