It was a remarkable day to hear from the new president that there will be a new beginning. Not only will his administration be different from the previous ones, but also, its foundation will be built upon the quotations of two great American presidents, Abe Lincoln and FDR. It was a rare inaugural speech that cited American models for its economic, financial and political policies.
His message couldn't be clearer. He intends to be the people's president. (READ: WATCH: Duterte inaugurated as Philippine president)
While we wait for the specifics embodied in those quotations, we can turn to the economics portion and expect that the 8-point economic agenda revealed earlier by the transition team would be part of his overall economic policy.
During his speech, he focused on one point in that agenda that cannot be delayed: eliminating red tape and other bureaucracy-created problems in performing government functions, while providing transparency. These are meaningful changes for Day 1 – he directed his Cabinet and agencies to take immediate action. Results better start showing up sooner than later, otherwise why would he be any different from any other politician with broken promises?
Another notable in the agenda, though this will require much more time, is the investment in human capital development by strengthening the basic education system, providing scholarships, and matching skills and training to satisfy business requirements. As Finance Secretary Carlos Dominguez simply put it, "matching what is taught with what is demanded in the field." This will complement the new administration's overall goal of enhancing the country's global competitiveness and attractiveness to foreign direct investments (FDI).
Another crucial point in the agenda is accelerating public-private partnerships (PPP) to increase economic activities which will create more jobs. However, these jobseekers should have the required education, skills and training which would again depend on the success of human capital development efforts.
Once he's able to start delivering on the rest of the 8-point agenda, this will be a compelling sign that the people's president has jumped into action, as promised.
To get deep into the financial and political policies, we would need the qualifications of a 3-dimensional chess player trying to swat a swarm of bees heading his or her way. We're better off waiting for the specifics as these unfold.
Duterte made his point crystal clear when he paraphrased FDR, saying "adding more to the abundance of those who have much against providing for those who have little." As in the US, the widening gap in wealth inequality has never been more pronounced. Wall Streeters get richer while the Main Streeters remain stagnant. This a not an unusual situation elsewhere in the world and when it reaches the boiling point, we see food rationing and riots on the streets such as in the previously rich countries in South America.
What's the similarity between politics and a chameleon? You guessed it right. We're still waiting for a bold leader who will prove that wrong. And we hope that leader's already in the house.
Some say that if you inject enough poison into the political bloodstream, the chances of somebody getting sick is close to 100%. The new Malacañang occupant better get that medicine cabinet fully stocked with antidotes.
Our moral fabric
As a former prosecutor, he's seen it all – illegal drugs, corruption by high- and low-level officials, and a failed justice system that have, through the years, eroded the people's trust in government. Duterte has been forceful enough to make it known that it's his goal to restore that public trust during his campaign. He has walked the walk when he was Davao City mayor and to some extent, has been criticized on the methodology he'd used. But he did make his point then and during his speech that the moral fiber of the country is at stake. Many will agree with him but this remains debatable.
In the process of restoring the trust, he reiterated his commitment to due process – distancing himself from a feared dictatorship under his watch. With the people as witness, this "due process" promise has to pass the test of time.
He lamented over the abuse of taxpayers' money while leaving the poor unable to get up, in dire need of some help from the government. He's absolutely right that this tear in our moral fabric needs permanent mending.
President of the people
His commitment to maintain peace and order transcends all stakeholders and that includes indigenous peoples. As the president, he emphasized that the Moros are part of the people he has to serve. He's willing to go through legal reforms and constitutional amendments to fully implement the peace agreements.
However, in the back of our minds, why did he choose to hold the inauguration with only 600 in attendance within the Malacañang premises instead of the traditional venue, the Luneta Grandstand in front of as many people who would want come to witness and be part of the ceremonies?
Will he still maintain his unusual and un-presidential treatment of the press? In a democratic society and with the promise of transparency, it will be another test for the people's president to provide the press reasonable access to let the people he serves know what's going on.
The world view
Duterte reiterated his commitment that the Philippines will be an active participant in world affairs, and would honor treaties and international obligations. He hopes for a better and brighter tomorrow for the country. What was lacking though, was a reinforcement of leading us to a faster growing economy that most new presidents address to provide a glimpse of his or her path forward to achieve such goal. He promised a short speech which caught everybody's attention, but the entire world was watching and waiting for some definitive statement on our role in the global economy.
There are varying opinions around the world on where our country stands but in a global economy, GDP growth is a metric that is universally acknowledged on how a country performs. We have to assume that with his economic team laser-focused on getting into the details as guided by his leadership, we will soon hear about how the next 5 or 6 years will propel our country into a better position economically in the world stage.
As emphasized in his 8-point agenda, FDI in a developing country such as ours have to increase to make a difference. For instance, we've been dwarfed in FDI inflows by Singapore for many years and it's about time that the new president does something about it. The world is watching and future investors will always flock to the greener pasture of lower-risk opportunities.
He has other challenges that he inherited. The South China Sea conflict is not going away anytime soon. But Duterte has projected a different image during his candidacy that gave Beijing something to think about. With the US as the strongest ally, militarily and economically, we now have to watch candidate Duterte transition himself to the president that Beijing will legitimately have to reckon with. Our alliance with the US is, by itself, a major deterrent for Beijing's decision to move unilaterally with its claims. But that's not enough to seal the deal, so to speak. Beijing will not only respect US military might but will also honor a strong conviction expressed by the Filipino people.
President Duterte has to make that forceful and decisive move now as part of "starting his work for the nation." – Rappler.com
Rolly Calalang holds a BSME from UP Diliman and a BSEE from FEU Manila. He has experience in the power industry.