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Philippines MDGReport 2003
Philippines MDGReport 2003
Philippines MDGReport 2003
Goal 1. Eradicate extreme poverty and Goal 6. Combat HIV/AIDS, malaria, and
hunger other diseases
Target 1: Target 9:
Halve the proportion of people living in Halt and reverse the spread of HIV/AIDS
extreme poverty between 1990-2015 by 2015
Note: The criterion used in determining whether the target will be met is the ratio, λ between the the annual rate of change needed to
reach the target and the current annual rate of the progress. The ratings corresponding to ranges of λ are given below:
Rate needed to reach target/Current rate of progress
<1.5 High
1.5 to 2.0 Medium
>2.0 Low
1/ The criteria used in assessing the state of supportive environment are the following:
1. Formulation of appropriate policies
2. Presence of effective programs
3. Availability of budgetary support
4. Capacity to implement policies and programs
2/ Given the current progress where the number of confirmed cases of HIV/AIDS is low and the rate of increase in the number of
cases is slow, there is high probability of meeting the MDG goal/target. However, in view of its highly explosive potential, our
country cannot be complacent. Efforts will be continued and strengthened to halt and reverse the spread of HIV/AIDS by 2015.
INTRODUCTION
I
n September 2000, the UN General ECONOMY AND POVERTY About half of
Assembly concluded the the Philippine
Millennium Summit with the adoption of a The Philippines has 76 million people
population make
Millennium Declaration renewing the global as of year 2000. Its population is growing
commitment to peace and human rights and at 2.36 percent annually. In 2000, the annual a living from
setting specific goals and targets to wipe per capita gross national product (GNP) rural-based crops
out poverty worldwide. was about $700, using 1985 prices and like rice, corn,
Included in the targets are: exchange rate.
coconut and
From 1990 to 2000, the GNP increased
(a) reducing by half the number of people at an average rate of 3.4 percent annually. tobacco. With
who live in extreme poverty, with little The growth peaked in 1996 at 7.2 percent. globalization,
access to food and safe drinking The Asian financial crisis in July 1997, however,
water; however, halted the growth momentum, the present
(b) reducing deaths in mothers and causing the GNP growth to fall to 5.3 percent
that year. The after effects were mostly felt
economic thrust
children below five;
(c) making primary education accessible in 1998 when the GNP growth fell to 0.4 of the government
to all; percent. Contributing to the sharp decline is now geared
(d) reducing gender disparities; were the peso depreciation and the El Niño towards
(e) providing access to reproductive weather phenomenon. In 1999, however, the
industrialization
health services; economy showed signs of recovery,
(f) pursuing national strategies for posting a growth rate of 3.7 percent. The
sustainable development; following year, it grew by 4.5 percent.
(g) reversing environmental resources About one half of the Philippine
losses; and population make a living from rural-based
(h) developing a global partnership for crops like rice, corn, coconut, and tobacco.
development. Although agriculture accounts for only 20
The Declaration, which sets year 2015 percent of the national income, 40 percent
for fulfilling most of the targets, affirms the of the population depend on it as a source
International Development Targets (IDTs) of livelihood. With globalization, however,
initially set in 1996. the present economic thrust of the
The Philippine government through government is now geared towards
the Multisectoral Committee on industrialization. Among the country’s
International Human Development exports are electronics, garments, oil, and
Commitments and the Social Development lumber. The services sector, which absorbs
Committee of the NEDA Board, in close around half of the population who are
collaboration with the UN country Team, employed, contributes the largest share of
led the preparation of the first Country the country’s output, comprising more than
Progress Report on the Millennium 40 percent of the country’s GNP.
Development Goals. The process benefited The poverty incidence of the
from a series of multisectoral consultations. population fell from 49.3 percent in 1985 to
39.4 percent in 2000. Poverty is more
widespread in the rural areas and in some
areas like Central Mindanao and the
Within the four-year time frame, the Statistics from 1994 to 1997, however,
government is committed to the show that the benefits hardly trickled down
development and adoption of innovative to the poor in periods of economic growth.
delivery and financing mechanisms for Poverty alleviation programs, therefore,
health care, education, social welfare and should entail not only sustained growth in
housing services. It will continue to aggregate terms but also higher growth in
prioritize basic social services, like primary the sectors where the poor are mostly
health care, nutrition, basic education, concentrated, like agriculture and small-
water and sanitation facilities. scale industries.
Sustained growth is central to poverty
reduction because in bad times, it is the
poor who are hurt the most. For the poor
to enjoy its benefits, growth should be
broad-based and equitable.
SOCIO-ECONOMIC TARGETS
GDP growth is expected to accelerate from 3.3% in 2001 to 6.3% to 6.9% in 2006.
Gross national savings (as a % of GNP) will average around 20.5% in 2001-2006.
Exports will grow by 9.5% to 10% by 2006.
Agricultural growth to accelerate from 3.1% in 2001 to 3.9% to 4.9% by 2006.
Public savings will increase to 4.1% of GNP in 2006 from –1.3% in 2001
The consolidated public sector financial position will move towards a surplus by 2006.
Debt service ratio to increase from 12.3 in 2000 to 17.4 in 2004. Inflation to decline from 6% to 7% in
2001 to 4.5% to 5.5% in 2006.
Domestic employment is expected to grow by 3.2% to 3.5% in 2001-2006 while unemployment rate will
go down to 7.6% to 8.6% by 2004 from 11.2% in 2000.
A total of 860,000 hectares of land for land reform to be distributed during the period 2001-2004.
Prevalence of underweight children aged 0-5 years old (Phil. Reference Standards) to be reduced to
7.4% by year 2004.
Access to safe water supply and sanitary toilet facilities to reach 91.8% and 86.8% respectively in 2004
Elementary participation rate to increase to 98% by SY 2004-2005.
Elementary cohort survival rate of 82% by SY 2004-2005.
10 10 Development Goals
Philippine Progress Report on the Millennium
Progress by Goal
This section presents the status and trends for the
indicators under the eight goals. The supportive
policies and programs characterize the policy
environment. It also presents the challenges and
the areas for priority action. Given past performance,
an assessment is made on whether or not the targets
are likely to be met.
A
Poverty in the s of 2000, 16.7 percent of total 1985, the magnitude of food-poor families
families (or 20.9% of the popu- increased from 2.4 million families (15.4
Philippines is still lation) in the Philippines were core poor million of the population) in 1985 to 2.5
largely a rural (i.e., food poor or lived below subsistence). million families (16.4 million of the
phenomenon. The subsistence threshold or the family population) in 2000. About 78.8 percent of
income needed to satisfy the food these families reside in the rural areas. In
About 70 percent of requirements of a family in 2000 was 2000, the ARMM and the Bicol region had
the poor live in estimated to be Php 45,9151 . the highest incidence of families who could
rural areas. Although core poverty declined from not meet basic food needs.
24.4 percent (28.5% of the population) in
1
National average for a family with five members.
On the other hand, poverty incidence the total families in rural areas were poor.
of families (below the poverty threshold) This has changed slightly, with 46.9 percent
rose to 33.7 percent (or 39.4% of the of rural families still considered poor in 2000.
population) in 2000 from 31.8 percent Relative to the total number of poor families
(36.8% of the population) in 1997 as the in 2000, rural poor families account for 70.9
Asian financial crisis in that year slowed percent or about 3 out of 4 families. On the
down economic growth and caused greater other hand, poverty incidence in urban
unemployment. Average growth of areas had significantly declined from 33.6
domestic production (GDP) slowed down percent in 1985 to 19.9 percent in 2000.
to 2.4 percent in 1998 to 2000 while average In 2000, poverty incidence across
unemployment rate rose to 10.4 percent regions was highest in the ARMM (66%),
from 8.7 percent in 1997. followed by the Bicol Region (55.4%) and
The persistently high population Central Mindanao (51.1%). Poverty
growth rate of 2.36 percent further incidence was lowest at 8.7 percent in the
weighed down the growth of per capita National Capital Region (NCR). Meanwhile,
income. Average annual per capita income a remarkable drop in poverty incidence
rose by a mere 9.2 percent from 1998 to occurred from 1985 to 2000 in Regions IV
2000 to reach Php44,591 as of 2000. The and VII, both the fastest growing regions
annual per capita poverty threshold in 2000 during this period. On the contrary, poverty
was estimated at Php13, 823. incidence worsened during 1994-2000 in
As of 2000, there were 5.1 million poor ARMM as the peace and order situation
families, or 30.8 million poor people. deteriorated. Poverty incidence in all the
Poverty in the Philippines remains a rural Visayas and Mindanao regions was higher
phenomenon. In 1985, more than half of than the national average of 33.7 percent.
2
Celia M. Reyes. The Poverty Fight: Have we Made an Impact?
Philippine Institute for Development Studies (PIDS), 2002.
3
Ibid.
W
ith more access to basic education, completing “incomplete” schools through
the literacy rate has improved. The multigrade classes. Between 1995 and 2000,
89.8 percent simple literacy rate in 1989 the number of barangays without
rose to 93.9 percent in 1994 or by 4.1 elementary schools, was reduced from
percentage points, without a significant 5,119 to 4,569 out of 41,940 barangays. It
difference between men and women. The was further established that of these
functional literacy rate of 75.4 percent in remaining barangays, only 1,507 needed
1989 improved to 83.8 percent or by 8.4 schools. The number of “incomplete”
percentage points in 1994 with no marked elementary schools decreased from 11,420
gender bias. in 1993 to 8, 647 in 2000.
The participation rate in the Several policy reforms were initiated
elementary education level in both public to enhance access to basic education.
and private schools improved from 85.1 Among these were: (a) prioritize
percent in 1991 to 96.9 percent in 2000. underserved or marginalized groups or
However, many of the children who enroll areas; (b) broaden and deepen stakeholder
do not complete the school year as involvement and participation through
evidenced by the low cohort survival rate.
The cohort survival rate has declined from
68.4 percent to 67.1 percent over the same I - 97.02 II - 96.00
period. Completion rate, however, slightly
CAR -94.76
increased from 65.5 percent in 1991 to 66.1
percent in 2000. V - 96.47
III - 98.32
PRIORITY POLICIES AND
VIII - 94.53
PROGRAMS NCR - 97.51
:
Access to basic education has been 98 percent and above 96 to 97 percent 94 to 95 percent 93 percent and below
expanded through the twin strategies of Source: Department of Education (DepEd)
care financing and health standards and Data Source: National Statistics Office & National Statistics Coordination Board
regulations.
T
he 1998 National Demographic and care. Both the 1993 NDS and the 1998 NDHS The life time risk of
Health Survey (NDHS) estimates the data revealed that urban women were more
dying from maternal
country’s MMR at 172 per 100,000 live likely to receive adequate prenatal care than
births for the period 1991-97. This figure is women in rural areas. Access to trained causes from
lower than the estimated MMR for the prenatal care providers is much greater maternal causes is
period 1987-93 which is 209 per 100,000 live among women with some college education about 1 in every 100
births based on the 1993 National than among those with lower education. Filipino women.
Demographic Survey (NDS). However, due The 1998 NDHS further showed that 56
to large sampling errors associated with percent of deliveries were attended by Major causes of
these estimates, it is difficult to conclude skilled health professionals. As to the other maternal deaths are
that the MMR has declined. factors, a little over 57 percent received postpartum
Disparities across provinces also iodine supplements and 75 percent got iron hemorrhage,
remain wide. MMR was highest in ARMM supplements. The 2000 Maternal Care and
at 320.28, which is almost three times the Health Survey (MCHS) showed that 70.9
eclampsia and
rate of NCR which stood at 119.07 in 1995. percent of women have received tetanus severe infection.
The life time risk of dying from maternal toxoid injections.
causes is about 1 in every 100 Filipino
women. Maternal deaths made up less PRIORITY POLICIES AND
than 1 percent of the total deaths in the PROGRAMS
country in 1988 but contributed about 14
percent of all deaths of women aged 15-49. Women’s health programs like the Safe
The major causes of maternal deaths are Motherhood and Women’s Health Program
postpartum hemorrhage, eclampsia and employ strategies such as skills upgrading
severe infection. High incidence of high- so that skilled and caring care providers
risk births, inadequate prenatal care and can attend to as many births as possible.
lack of information and means to manage The other major components of the
complications in difficult pregnancies program include family health for the urban
account for much of the increased risks of poor; sustainable community-based family
dying during pregnancy and childbirth. planning/maternal care (FP/MC) unit
Modest gains have been achieved on projects with special focus on women; and
factors related to risks of maternal mortality. strengthening of maternal and child health
The 1998 NDHS revealed that while 77 services projects.
percent of mothers received the minimum Other government efforts include the
three prenatal check-ups, only 59 percent conduct of the following: (a) information,
received postpartum care. Of women who education and communication (IEC)
received prenatal care, few obtained activities to encourage informed decisions
complete care. Most women receive only and promote better health-seeking
6-11 of the 12 required elements of antenatal behavior; (b) quality assurance schemes
CHALLENGES AND
PRIORITIES FOR ACTION
STATUS AND TRENDS is low and the rate of increase in the number
of cases is slow. The potentials for a full-
T
he first AIDS case in the country was blown epidemic, however, continue to exist.
identified in 1984. Since then until Thus, the country cannot be complacent
December 2000, the HIV/AIDS Registry on this.
has recorded 1,441 HIV AB seropositive
cases, 486 of whom had AIDS. It also SUPPORTIVE POLICIES AND
recorded 218 deaths. PROGRAMS
Majority of the cases belonged to the
20-49 years age group. Most cases were The government has actively
male. Of the 1,441 HIV cases, 371 or 26 responded to the HIV/AIDS concern since
percent are Overseas Filipino Workers the first AIDS case was diagnosed in 1984.
(OCWs). The predominant mode of Sero surveys were undertaken on a regular
transmission is sexual intercourse. basis and in 1987, the DOH officially
Between 1984 and 1992, the annual declared the government’s initial official
number of confirmed HIV/AIDs cases response to the problem.
reported remained below 100. In the last
seven years (1993-99), however, the Plans and Programs
number of cases per year exceeded 100,
but remained below 200. While the number The first Medium-Term Plan (MTP 1)
of cases each year has been increasing, on HIV/AIDS for the period 1988-93 was
there seems to be no indication that the formulated and adopted. The plan covered
numbers would significantly rise. five program components, namely:
Philippine epidemiologists estimate surveillance; care and support for HIV-
the actual number of HIV cases at between infected persons; diagnostic and
a low of 5,000 to a high of 13,000. Even the laboratory facilities; information, education
high estimate would place the current training; and program management.
national HIV prevalence rate at 0.02 percent For MTP 1, the following major events
of the total population. There are, however, are worth noting: (a) creation of the
some groups whose prevalence rates are National AIDS Prevention and Control
significantly higher than the rest of the Program (NAPCP) in 1988 leading to the
population. These include female sex eventual creation of the Philippine National
workers, men who have sex with men and AIDS Council (PNAC) through EO 39 in
intravenous drug users. 1992; (b) drafting and approval of 12 policy
Using the available evidence in the guidelines of HIV Infection/AIDS
country, international experts call the Prevention and Control in 1989;
Philippines’ HIV/AIDS situation as a (c) formulation of the National HIV Sentinel
“nascent epidemic”. This is so since the Surveillance in 1991; (d) signing of the
number of confirmed cases of HIV/AIDS bilateral agreement for the AIDS
STATUS AND TRENDS As of 2000, protected areas cover a Despite being one of
total area of 4 million hectares of which
the 17 mega-
T
he country’s natural resource base 2.7 million hectares are under the National
continues to be under threat. Total Integrated Protected Areas System diversified countries
forest cover has decreased from 6.2 million (NIPAS). The remaining areas cover the in the world with its
hectares in 1990 to 5.4 million hectares in new or additional sites. high concentration of
1997, consequently reducing its percentage Increasing carbon dioxide (CO2)
endemic plants and
share to total land area from 20.5 percent emissions particularly from fossil fuels has
to 18 percent during the same period. The likewise been observed. In 1998, the wildlife, the
country’s forests need attention due to national CO2 emissions from fossil fuel Philippines has been
systemic degradation attributed mainly to burning, cement manufacture and gas identified by the
fire, logging, kaingin, pests, diseases, flaring in the country was estimated to be Conservation
mining activities and population 21 million metric tons (MT) of carbon. Per
encroachment in critical areas. capita emission is at 0.28 MT and is
International as one
Soil degradation and erosion are expected to increase due to the country’s of the “eight hottest
worsened with the increased cultivation of high dependency on fossil fuels. However, spots in the world”
upland areas and massive conversion of the passage of the Clean Air Act of 1999 where exceptional
forestlands and grasslands into urban use. and the implementation of different
concentration of
These have largely contributed to siltation programs on improving air quality is
of rivers and irrigation dams. Down the expected to help reverse this trend. endemic species are
line, siltation also affects the coastal and While economic growth is still within undergoing
marine ecosystems. To date, only 4.3 the carrying capacity of the environment, continuous loss of
percent of corals remain in excellent its sustainability is under threat.
habitat.
condition while the rest have been partially According to the MTPDP, the country
or completely damaged. Mangrove forest posted gains in arresting resource
cover has decreased from 139,000 hectares depletion but at the cost of slowing down
in 1988 to 115,000 hectares in 1996. economic activities. Based on the
An alarming rate of biodiversity loss Philippine Economic-Environment and
has also been reported. Despite being one Natural Resource Accounting (PEENRA)
of the 17 mega-diversified countries in the System’s estimates, the growth rate of
world with its high concentration of
endemic plants and wildlife, the Philippines
has been identified by the Conservation Table 9. Total Forest Cover (hectares)
International as one of the “eight hottest Percent to
spots in the world” where exceptional Year Forest Cover
Total Land Area
concentrations of endemic species are
1990 6,158,800 20.53
undergoing continuous loss of habitat. The
percentage of priority and threatened 1995 5,686,055 18.95
species increased tremendously by 97 2000 5,391,717 17.97
percent and 180 percent, respectively. Source: Economic Division, DENR
CHALLENGES AND
PRIORITIES FOR ACTION
T
he continuing unilateral trade reforms sectors by 2004. The tariff liberalization for
appear to have removed much of the some items, e.g., iron and steel,
distortions of past protectionist policies. petrochemicals, garments and textiles, and
It has started to gear up the economy motor vehicles, however, were slowed
towards becoming more outward-oriented, down from 1998-2001 due to the Asian
open, and globally competitive just in time financial crisis. To help local industries
for the changes created by the World Trade reduce production costs, tariffs on about
Organization (WTO). The WTO, with 1,000 items were reduced to 1 percent in
strengthened rules and discipline, brought the first semester of 2002. The Agriculture
about greater transparency and restored and Fisheries Modernization Act (AFMA)
order in global trading. likewise provided for zero duty on certain
Since substantial unilateral trade agricultural inputs and machinery.
reforms were undertaken starting 1981, the To complement trade reforms in order
Philippines made limited offers in terms of to further sharpen competitiveness,
market opening under the Uruguay Round liberalization measures in areas such as
of multilateral trade negotiations. The investments, finance, foreign exchange and
country bound itself not to raise tariffs on retail trade were put in place. Structural
imports of some 3,544 items beyond a level reforms such as privatization and
that is 10 percentage points higher than the deregulation efforts also implemented.
1995 rate. In terms of tariff reduction, only
66 tariff lines were committed. PRIORITY POLICIES AND
The Philippines continued to review PROGRAMS
tariffs periodically to attain the following:
(a) further rationalize the tariff structure to Faced with the challenges of
remove tariff distortions; (b) promote globalization and openness, the
resource allocation by allowing easier government will undertake the following
access to raw materials, equipment and new efforts to enhance the competitiveness of
technology; (c) simplify the tariff structure industry and services sectors: (a) provide
for ease of customs administration and
minimize opportunities for smuggling and Table 10: Average Nominal Tariffs by Sector (%)
graft and corruption; (d) provide time- Sector 1990 1995 2000
bound protection to existing local
Agriculture 34.6 28 14.4
industries that may be affected by the
Mining 14.1 7.3 3.2
removal of quantitative restrictions; and (e)
promote a level playing field by allowing Manufacturing 27.1 14.0 7.0
more competition. Overall 27.8 15.9 8.0
Source: Tariff Commission