Stimulus Plan of the President Aimed to Boost Economy

The President recently announced a plan to counter the possible effects of another recession in the US and Europe. The slowdown in the economy of these countries will surely affect Asia and the Philippines. P72 Billion will be set aside to boost the economy and alleviate poverty in the Philippines. The economic stimulus package is expected to be implemented later this year and in 2012.

If you want to know the specifics of the stimulus plan by President Noynoy Aquino, here are some of the details:


1. P6.5-billion support fund for local government units (LGUs) - this can be spent by LGU's to implement infrastructure project and counter poverty in the local level.


2. P10 billion allocation for the relocation and resettlement of informal settlers along danger zones.


3. P5.5 billion for infrastructure projects under the Department of Public Works and Highways (DPWH).- this will help increase farm to market roads, construction and repair of bridges and roads.


4. P1.868 billion allocation for the improvement of the Metro Rail Transit (MRT) and Light Rail Transit (LRT).


"We are not sure exactly what the negative effects of the world's economic turmoil will have on us since it is still a developing story. But P72 billion will have its own multiplier effect and this pump primes the economy to that extent. We will do what we can within the bounds of fiscal prudence to keep the economy growing and to make certain that the effects of this growth are felt more widely," the President said during the press conference held at Mandarin Oriental Hotel in Makati City with the FOCAP or Foreign Correspondents Association of the Philippines.