Budget air carrier. President Arroyo greets Jaime Bautista, president of Philippine Airlines, after the landing of the inaugural flight of PAL Express in Calbayog, Samar. Economic activity is expected to get a boost with PAL Express' flights to destinations previously not served by big airlines. From Calbayog, Arroyo proceeded to Masbate for a National Disaster Coordinating Committee-Cabinet meeting.
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P4B more 'Katas ng VAT' Second outlay in as many
quarters
BY JOCELYN MONTEMAYOR
PRESIDENT Arroyo yesterday ordered a second
outlay of P4 billion earned from the value-added tax on oil
spent for the upgrade of government hospitals, rehabilitation of
calamity-stricken areas, and provision of subsidies for
"lifeline" electricity users and microfinance assistance for the
transportation sector.
The allotment is part of the so-called "Katas
ng VAT" program, she said at the National Disaster Coordinating
Council Cabinet-level meeting in Placer in Masbate.
Of the P4 billion, which was collected from
April to June, P1 billion would be for the electricity subsidy,
P1 billion for assistance to the transportation sector, P1
billion for calamity-stricken areas, P500 million for the
government hospitals, and P500 million for senior citizens
programs.
A BOMB explosion, an ambuscade believed
staged by the New People's Army, and a clash between government
forces and the communist group were recorded yesterday in
Masbate hours before President Arroyo's Cabinet meeting in the
province.
The Cabinet meeting pushed through. Press
Secretary Jesus Dureza said Arroyo's presence in the province
despite the incidents showed her government's resolve to
alleviate poverty in the countryside.
"PGMA wanted to send a strong signal that
government will penetrate areas that are still pestered by
insurgents to deliver needed basic services and to show the
irrelevance of armed insurgency in the countryside," he said.
THE Senate committee on economic affairs will
examine projects identified in the National Social Welfare
Program, which President Arroyo will launch during her state of
the nation address on July 28, panel chair Sen. Loren Legarda
said yesterday.
She said President Arroyo should exercise
"prudence" with the government's finances.
"These finances are not to be used as
political vehicles to cloak the gaining unpopularity of the
administration." Legarda said.
