Postwar to Pre-Martial Law

Roxas – Macapagal

MANUEL ACUÑA ROXAS

He was the first president of the third republic of the Philippines (July 4, 1946-
April 15, 1948) and the last president of the Commonwealth (May 28, 1946- July 4,
1946). He became the Political Leader and the first president of the independence
republic of the Philippines. In the year 1919-1921 he was the Governor of Capiz. He
was also the Second President of the Senate of the Philippines (July 9, 1945 – May
25, 1946). A Senator of the Philippines (July 9, 1945 – May 25, 1946).

PRESIDENCY of ROXAS

Roxas prepared the groundwork for the advent of a free and independent
Philippines, assisted by the Congress.

OnJune 3, 1946, Roxas appeared for the first time before the joint session of the Congress to
deliver his first state of the nation address. Among other things, he told the members of the
Congress the grave problems and difficulties the Philippines are set to face and reports of his
special trip to the United States–the approval for independence.

ECONOMY

The establishment of the Philippine Rehabilitation Finance

Corporation is responsible for the construction of twelve thousand houses and for the grant of
easy-term loans in the amount of 177,000,000 pesos.

Another proposal was the creation of the Central Bank of the Philippines to help stabilize the
Philippine dollar reserves and coordinate and the nation’s banking activities gearing them to the
economic progress.

Concentrating on the sugar industry, President Roxas would exert such efforts as to succeed in
increasing production from 13,000 tons at the time of the Philippine liberation to an all-high of
one million tons.

The POSTWAR in the Philippines

The postwar in the Philippines had burned cities and towns, ruined farms and factories,
blasted roads and bridges, shattered industries and many more.
The war had paralyzed the educational system, where 80% of the school buildings, their
equipments, laboratories and furniture were destroyed. The reconstruction of the damaged
school buildings alone cost more than Php 126,000,000.

The new Republic began to function on an annual deficit of over Php 200,000,000 with
little prospect of a balanced budget for some years to come. Manila and other cities then were
infested with criminal gangs which used techniques of American gangsters in some activities–
bank holdups, kidnapping and burglaries. In rural regions, especially the provinces of Central
Luzon and the Southern Tagalog regions, the Hukbalahaps and brigands terrorized towns
and barrios.

AGRARIAN REFORM

In 1946, shortly after his induction to Presidency, Manuel Roxas proclaimed the Rice
Share Tenancy Act of 1933 effective throughout the country.However problems of land
tenure continued. In fact these became worse in certain areas. Among the remedial measures
enacted was Republic Act No. 1946 likewise known as the Tenant Act which provided for a 70–
30 sharing arrangements and regulated share-tenancy contracts.It was passed to resolve the
ongoing peasant unrest in Central Luzon.

Amnesty proclamation

President Roxas, on January 28, 1948, granted full amnesty to all so-called Philippine
collaborators, many of whom were on trial or awaiting to be tried, particularly former
President Jose P. Laurel (1943–1945). The Amnesty Proclamation did not apply to those
"collaborators", who were charged with the commission of common crimes, such as murder,
rape, and arson. President Roxas, on January 28, 1948, granted full amnesty to all so-called
Philippine collaborators, many of whom were on trial or awaiting to be tried, particularly former
President Jose P. Laurel (1943–1945). The Amnesty Proclamation did not apply to those
"collaborators", who were charged with the commission of common crimes, such as murder,
rape, and arson.

Treaty of General Relations

On August 5, 1946, the Congress of the Philippines ratified the Treaty of General
Relations that had been entered into by and between the Republic of the Philippines and the
United States on July 4, 1946. Aside from withdrawing her sovereignty from the Philippines and
recognizing her independence, the Treaty reserved for the United States some bases for the
mutual protection of both countries; consented that the United States represent the Philippines
in countries where the latter had not yet established diplomatic representation; made the
Philippines assume all debts and obligations of the former government in the Philippines; and
provided for the settlement of property rights of the citizens of both countries.
United States Military Bases

Although Roxas was successful in getting rehabilitation funds from the United States
after independence, he was forced to concede military bases (23 of which were leased for 99
years), trade restriction for the Philippine citizens, and special privileges for U.S. property owner
and investor.

ELPIDIO QUIRINO

Elpidio Quirino was the Second President of Third Republic of the Philippines
(April 17, 1948- November 10, 1953).He became the political leader and second president
of the Independence Republic of the Philippines. He was also the 4th President pro
tempore of the Senate of the Philippines, 3rd Vice President of the Philippines (May
28, 1946 – April 17, 1948).

Presidency of Quirino

Elpidio Quirino's six years as president were marked by notable postwar

reconstruction, general economic gains, and increased economic aid from the United States.
Basic social problems, however, particularly in the rural areas, remained unsolved, and his
administration was tainted by widespread graft and corruption.

Economy

Upon assuming the reins of government, Quirino announced two main objectives of his
administration: first, the economic reconstruction of the nation and second, the restoration of
the faith and confidence of the people in the government.
In connection to the first agenda, he created the President's Action Committee on Social
Amelioration or PACSA to mitigate the sufferings of indigent families, the Labor Management
Advisory Board to advise him on labor matters, the Agricultural Credit Cooperatives Financing
Administration or ACCFA to help the farmers market their crops and save them from loan
sharks, and the Rural Banks of the Philippines to facilitate credit utilities in rural areas.

Social Program

Enhancing President Manuel Roxas' policy of social justice to alleviate the lot of the
common mass, President Quirino, almost immediately after assuming office, started a series of
steps calculated to effectively ameliorate the economic condition of the people. President
Quirino also created the Social Security Commission, making Social Welfare Commissioner
Asuncion Perez chairman of the same.This was followed by the creation of the President's
Action Committee on Social Amelioration, charges with extending aid, loans, and relief to the
less fortunate citizens. Both the policy and its implementation were hailed by the people as
harbingers of great benefits.
Foreign Policies

In 1950, at the onset of the Korean War, Quirino authorized the deployment of over
7,450 Filipino soldiers to Korea, under the designation of the Philippine Expeditionary Forces to
Korea or PEFTOK.

Korean War

On June 25, 1950, the world was astonished to hear the North Korean aggression against the
independent South Korea. The United Nations immediately took up this challenge to the
security of this part of the world. Carlos P. Romulo soon stood out as the most effective
spokesman for the South Korean cause. President Quirino took the necessary steps to make
the Philippine offer. On a purely voluntary basis, the first contingent – the tenth Combat
Battalion Team – was formed under Col. Azurin, and dispatched to Korea, where its members
quickly won much renown for their military skill and bravery. The name of Captain Jose Artiaga,
Jr., heroically killed in action, stands out as a symbol of our country's contribution to the cause
of freedom outside native shores.]

Quirino-Foster Agreement

By the time of the creation of the integrity board, moreover, the Bell Mission, led by Daniel W.
Bell, an American banker, and composed of five members, with a staff of twenty workers,
following their period of stay in the Philippines, beginning in July 1950, finally submitted its
report on October of the same year.In November 1950, President Quirino and William Foster,
representing the United States Government, signed an agreement by virtue of which the former
pledged to obtain the necessary Philippine legislation, in keeping with the Bell Mission Report,
while envoy Foster promised the necessary by the same Report.

QUIRINO tried much to become tried a good president but he failed to win the people's
affection. Several factors caused the unpopularity of his administration, namely:

 Frauds and terrorism committed by the Liberal Party moguls in

the 1947, 1949 and 1951 elections.

 Wasteful spending of the people's money in extravagant junkets abroad;

RAMON DEL FIERRO MAGSAYSAY

He was the Third President of the Third Republic of the Philippines (December 30, 1953-
March 17, 1957). Also he was Best known for successfully defeating the communist led
Hukbalahap (Huk) Movement. Idol of the masses, champion of democracy, and
freedom fighter. Magsaysay was Member of the Philippine House of Representatives
from Zambales' Lone District (May 28, 1946 –September 1, 1950).
Presidency of Magsaysay

 In the Election of 1953, Magsaysay was decisively elected president over the
incumbent Elpidio Quirino. He was sworn into office wearing the Barong
Tagalog, a first by a Philippine president. He was then called "Mambo
Magsaysay".

 As president, he was a close friend and supporter of the United States and a
vocal spokesman against communism during the Cold War. He led the
foundation of the Southeast Asia Treaty Organization also known as the
Manila Pact of 1954, that aimed to defeat communist-Marxist movements in
South East Asia, South Asia and the Southwestern Pacific.

 During his term, he made Malacañang literally a "house of the people",

opening its gates to the public.

 One example of his integrity followed a demonstration flight aboard a

new plane belonging to the Philippine Air Force (PAF): President
Magsaysay asked what the operating costs per hour were for that type
of aircraft, then wrote a personal check to the PAF, covering the cost of
his flight.

 In history, he is the first Philippine president to wear a barong tagalog

in his inauguration. He brought back the people's trust to the military
and to the government.

 His administration was considered one of the cleanest and most corruption-
free; his presidency was cited as the Philippines' Golden Years. Trade and
industry flourished, the Philippine military was at its prime, and the Filipino
people were given international recognition in sports, culture and foreign
affairs. The Philippines ranked second in Asia's clean and well-governed
countries.

Agrarian Reform

 President Ramón Magsaysay enacted the following laws as part of his

Agrarian Reform Program:

 Republic Act No. 1400 (Land Reform Act of 1955) – Created the
Land Tenure Administration (LTA) which was responsible for the
acquisition and distribution of large tenanted rice and corn lands
over 200 hectares for individuals and 600 hectares for
corporations.

 Republic Act No. 821 (Creation of Agricultural Credit Cooperative

Financing Administration) – Provided small farmers and share
tenants loans with low interest rates of six to eight percent

 President Ramón Magsaysay enacted the following laws as part

of his Agrarian Reform Program:
  Republic Act No. 1400 (Land Reform Act of 1955) – Created the
Land Tenure Administration (LTA) which was responsible for the
acquisition and distribution of large tenanted rice and corn lands
over 200 hectares for individuals and 600 hectares for
corporations.

 Republic Act No. 821 (Creation of Agricultural Credit Cooperative

Financing Administration) – Provided small farmers and share
tenants loans with low interest rates of six to eight percent

HUKBALAHAP

 In early 1954, Benigno Aquino, Jr. was appointed by President Ramón

Magsaysay to act as personal emissary to Luís Taruc, leader of
the Hukbalahap, a rebel group.

 Also in 1954, Lt. Col. Laureño Maraña, the former head of Force
X of the 16th PC Company, assumed command of the 7th BCT,
which had become one of the most mobile striking forces of the
Philippine ground forces against the Huks, from Colonel
Valeriano. Force X employed psychological warfare through
combat intelligence and infiltration that relied on secrecy in
planning, training, and execution of attack. The lessons learned
from Force X and Nenita were combined in the 7th BCT.

 With the all out anti-dissidence campaigns against the Huks,

they numbered less than 2,000 by 1954 and without the
protection and support of local supporters, active Huk resistance
no longer presented a serious threat to Philippine security. From
February to mid-September 1954, the largest anti-Huk
operation, "Operation Thunder-Lightning" was conducted that
resulted to the surrender of Luis Taruc on May 17. Further clean
up operations of guerillas remaining lasted throughout 1955,
diminishing its number to less than 1,000 by year's end.

Laurel- Langey Agreement

 The Magsaysay administration negotiated the Laurel-Langley

Agreement which was a trade agreement between the Philippines and
the United States which was signed in 1955 and expired in 1974.
Although it proved deficient, the final agreement satisfied nearly all of
the diverse Filipino economic interests.

 While some have seen the Laurel-Langley agreement as a continuation

of the 1946 trade act, Jose P. Laurel and other Philippine leaders
recognized that the agreement substantially gave the country greater
freedom to industrialize while continuing to receive privileged access
to US markets.
  The agreement replaced the unpopular Bell Trade Act, which tied
the economy of the Philippines to that of United States economy.

Reparations agreement

 Following the reservations made by Ambassador Romulo, on the

Philippines behalf, upon signing the Japanese Peace Treaty in San
Francisco on September 8, 1951, for several years of series of
negotiations were conducted by the Philippine government and that of
Japan. In the face of adamant claims of the Japanese government that
it found impossible to meet the demand for the payment of eight billion
dollars by the way of reparations, president Magsaysay, during a so-
called "cooling off" period, sent a Philippine Reparations Survey
Committee, headed by Finance Secretary Jaime Hernandez, to Japan
for an "on the spot" study of that country's possibilities.

 When the Committee reported that Japan was in a position to pay,

Ambassador Felino Neri, appointed chief negotiator, went to Tokyo. On
May 31, 1955, Ambassador Neri reached a compromise agreement with
Japanese Minister Takazaki, the main terms of which consisted in the
following: The Japanese government would pay eight hundred million
dollars as reparations. Payment was to be made in this wise: Twenty
million dollars would be paid in cash in Philippine currency; thirty
million dollars, in services; five million dollars, in capital goods; and
two hundred and fifty million dollars, in long-term industrial loans.

CARLOS POLESTICO GARCIA

 Fourth President of the Third Republic of the Philippines

 Term: March 18, 1957- December 30, 1961

 Famous for his austerity program and policy. He maintained the strong
tradition ties with the United States and sought closer relation with non-
communist Asian countries.

Garcia’s Presidency

 At the time of the sudden death of President Ramon Magsaysay, Vice

President and Foreign Affairs Secretary Carlos P. García was heading the
Philippine delegation to the SEATO conference then being held at Canberra,
Australia. Having been immediately notified of the tragedy, Vice President
García enplaned back for Manila. Upon his arrival he directly repaired to
Malacañan Palace to assume the duties of President. Chief Justice Ricardo
Paras, of the Supreme Court, was at hand to administer the oath of office.
President García's first actuations dealt with the declaration of a period of
 mourning for the whole nation and the burial ceremonies for the late Chief-
Executive Magsaysay.

Outlawing Communism

 After much discussion, both official and public, the Congress of the
Philippines, finally, approved a bill outlawing the Communist Party of
the Philippines. Despite the pressure exerted against the congressional
measure, President Carlos P. García signed the said bill into law as
Republic Act No. 1700 on June 19, 1957. With this legislative piece, the
sustained government campaign for peace and order achieved
considerable progress and success.

 Republic Act No. 1700 was superseded by Presidential Decree

No. 885, entitled "Outlawing Subversive Organization, Penalizing
Membership Therein and For Other Purposes." In turn,
Presidential Decree 885 was amended by Presidential Decree
No. 1736, and later superseded by Presidential Decree No. 1835,
entitled, "Codifying The Various Laws on Anti-Subversion and
Increasing the Penalties for Membership in Subversive
Organization." This, in turn, was amended by Presidential Decree
No. 1975. On May 5, 1987, Executive Order No. 167 repealed
Presidential Decrees Nos. 1835 and 1975 as being unduly
restrictive of the constitutional right to form associations.

 On September 22, 1992, Republic Act No. 1700, as amended,

was repealed by Republic Act No. 7636.

Filipino First Policy

 President García exercised the Filipino First Policy, for which he was
known. This policy heavily favored Filipino businessmen over foreign
investors. He was also responsible for changes in retail trade which
greatly affected the Chinese businessmen in the country. In a speech
during a joint session of the Senate and the House of Representatives
on September 18, 1946, President Garcia said the following:

 We are called upon to decide on this momentous debate whether

or not this land of ours will remain the cradle and grave, the
womb and tomb of our race – the only place where we can build
our homes, our temples, and our altars and where we erect the
castles of our racial hopes, dreams and traditions and where we
establish the warehouse of our happiness and prosperity, of our
joys and sorrows

Austerity Program

 In the face of the trying conditions of the country, President García

initiated what has been called "The Austerity Program". García's
 administration was characterized by its austerity program and its
insistence on a comprehensive nationalist policy. On March 3, 1960, he
affirmed the need for complete economic freedom and added that the
government no longer would tolerate the dominance of foreign
interests (especially American) in the national economy. He promised
to shake off "the yoke of alien domination in business, trade,
commerce and industry." García was also credited with his role in
reviving Filipino cultural arts.

Austerity Program

 The main points of the Austerity Program were:

▪ The government would tighten up its controls to prevent abuses

in the over shipment of exports under license and in under-
pricing as well.

▪ There would be a more rigid enforcement of the existing

regulations on barter shipments.

▪ Government imports themselves were to be restricted to

essential items.

▪ The government also would reduce rice imports to a minimum.

▪ An overhauling of the local transportation system would be

attempted so as to reduce the importation of gasoline and spare
parts.

▪ The tax system would be revised so as to attain more equitable

distribution of the payment-burden and achieve more effective
collection from those with ability to pay.

▪ There would be an intensification of food production.

 The program was hailed by the people at large and confidence was expressed
that the measures proposed would help solve the standing problems of the
Republic.

Bohlen–Serrano Agreement

 During his administration, he acted on the Bohlen–Serrano Agreement

which shortened the lease of the US Bases from 99 years to 25 years
and made it renewable after every five years.

DIOSDADO MACAPAGAL

 Fifth President of the Third Republic of the Philippines

  Term: December 30, 1961 - December 30, 1965

 Poet, politician, lawyer, diplomat, statesman, economist and intellectual.

 Born to poverty but rose due to diligence and brilliance. Best known as the
"Champion of the Common Man."

Macapagal’s Presidency

 In the 1961 presidential election, Macapagal ran against Garcia's re-election

bid, promising an end to corruption and appealing to the electorate as a
common man from humble beginnings.

 He defeated the incumbent president with a 55% to 45% margin. His

inauguration as the president of the Philippines took place on
December 30, 1961.

 Major Legislations SignedRepublic Act No. 3512 – An Act Creating A Fisheries

Commission Defining Its Powers, Duties and Functions, and Appropriating
Funds Therefor.

 Republic Act No. 3518 – An Act Creating The Philippine Veterans' Bank, and
For Other Purposes.

 Republic Act No. 3844 – An Act To Ordain The Agricultural Land Reform Code
and To Institute Land Reforms In The Philippines, Including The Abolition of
Tenancy and The Channeling of Capital Into Industry, Provide For The
Necessary Implementing Agencies, Appropriate Funds Therefor and For Other
Purposes.

 Republic Act No. 4166 – An Act Changing The Date Of Philippine

Independence Day From July Four To June Twelve, And Declaring July Four As
Philippine Republic Day, Further Amending For The Purpose Section Twenty-
Nine Of The Revised Administrative Code.

 Republic Act No. 4180 – An Act Amending Republic Act Numbered Six
Hundred Two, Otherwise Known As The Minimum Wage Law, By Raising The
Minimum Wage For Certain Workers, And For Other Purposes.

Economy

 In his inaugural address, Macapagal promised a socio-economic

program anchored on "a return to free and private enterprise", placing
economic development in the hands of private entrepreneurs with
minimal government interference.

 Twenty days after the inauguration, exchange controls were lifted and
the Philippine peso was allowed to float on the free currency exchange
market. The currency controls were initially adopted by the
 administration of Elpidio Quirino as a temporary measure, but
continued to be adopted by succeeding administrations. The peso
devalued from P2.64 to the US dollar, and stabilized at P3.80 to the
dollar, supported by a $300 million stabilization fund from
the International Monetary Fund.

Socio-economic program

 The removal of controls and the restoration of free enterprise was

intended to provide only the fundamental setting in which Macapagal
could work out economic and social progress.A specific and periodic
program for the guidance of both the private sector and the
government was an essential instrument to attain the economic and
social development that constituted the goal of his labors.

Socio-economic program

 Such a program for his administration was formulated under his

authority and direction by a group of able and reputable economic and
business leaders the most active and effective of which was Sixto
Roxas III. From an examination of the planned targets and
requirements of the Five-Year program – formally known as the Five-
Year Socio-Economic Integrated Development Program – it could be
seen that it aimed at the following objectives.

 immediate restoration of economic stability;

 alleviating the plight of the common man; and

 establishing a dynamic basic for future growth.

Land reform

 Like Ramon Magsaysay, President Diosdado Macapagal came from the

masses. He savored to call himself the "Poor boy from Lubao".

 Ironically, he had little popularity among the masses.This could

be attributed to an absence of charismatic appeal of his stiff
personality.

 But despite this, Macapagal had certain achievements.Foremost of

these was the Agricultural Land Reform Code of 1963 (Republic Act No.
3844) which provided for the purchase of private farmlands with the
intention of distributing them in small lots to the landless tenants on
easy term of payment.

Anti-corruption drive

 One of Macapagal's major campaign pledges had been to clean out the
government corruption that had proliferated under former President
Garcia.
  The administration also openly feuded with Filipino
businessmen Fernando Lopez and Eugenio Lopez, brothers who had
controlling interests in several large businesses.

 The administration alluded to the brothers as "Filipino Stonehills who

build and maintain business empires through political power, including
the corruption of politicians and other officials".[13] In the 1965
election, the Lopezes threw their support behind Macapagal's
rival, Ferdinand Marcos, with Fernando as Marcos' running mate.

Independence Day

 Macapagal appealed to nationalist sentiments by shifting the

commemoration of Philippine independence day.

 On May 12, 1962, he signed a proclamation which declared Tuesday,

June 12, 1962, as a special public holiday in commemoration of the
declaration of independence from Spain on that date in 1898.

 The change became permanent in 1964 with the signing of Republic

Act No. 4166.For having issued his 1962 proclamation, Macapagal is
generally credited with having moved the celebration date of the
Independence Day holiday.

 Years later, Macapagal told journalist Stanley Karnow the real

reason for the change: "When I was in the diplomatic corps, I
noticed that nobody came to our receptions on the Fourth of
July, but went to the American Embassy instead. So, to compete,
I decided we needed a different holiday.

Sabah Claim

 On September 12, 1962, during President Diosdado Macapagal's

administration, the territory of North Borneo, and the full sovereignty,
title and dominion over the territory were ceded by the then reigning
Sultan of Sulu, HM Sultan Muhammad Esmail E. Kiram I, to
the Republic of the Philippines.

 The cession effectively gave the Philippine government the full

authority to pursue their claim in international courts.

 The Philippines broke diplomatic relations with Malaysia after the

federation had included Sabah in 1963.

 It was revoked in 1989 because succeeding Philippine administrations

have placed the claim in the back burner in the interest of pursuing
cordial economic and security relations with Kuala Lumpur.

 To date, Malaysia continues to consistently reject Philippine calls to

resolve the matter of Sabah's jurisdiction to the International Court of
 Justice. Sabah sees the claim made by the Philippines' Moro leader Nur
Misuari to take Sabah to International Court of Justice (ICJ) as a non-
issue and thus dismissed the claim.

Maphilindo

 Maphilindo was described as a regional association that would

approach issues of common concern in the spirit of consensus.
However, it was also perceived as a tactic on the parts
of Jakarta and Manila to delay, or even prevent, the formation of
the Federation of Malaysia. Manila had its own claim
to Sabah (formerly British North Borneo), and Jakarta protested the
formation of Malaysia as a British imperialist plot.

 The plan failed when Sukarno adopted his plan of konfrontasi with
Malaysia. The Konfrontasi, or Confrontation basically aims at
preventing Malaysia to attain independence. The idea was inspired
onto President Sukarno by the Partai Komunis Indonesia (PKI), or
literally the Indonesian Communist Party. The party convinced
President Sukarno that the Formation of Malaysia is a form of neo-
colonization and will later affect tranquility in Indonesia. The
subsequent development of ASEAN almost certainly excludes any
possibility of the project ever being revived.

Vietnam War

 Before the end of his term in 1965, President Diosdado Macapagal

persuaded Congress to send troops to South Vietnam. However this
proposal was blocked by the opposition led by Senate
President Ferdinand Marcos who deserted Macapagal's Liberal
Party and defected to the Nacionalista Party.