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By Norman P. Aquino, Special Reports Editor
PHILIPPINE President Ferdinand R. Marcos, Jr. presented his fourth State of the Nation Address (SONA) on Monday, notably neglecting two contentious matters confronting his administration: the proposed prohibition on online gambling and US tariff increases that pose a risk to growth.
While the President elaborated on economic expansion, food safety, energy reforms, and social services, he refrained from discussing legislation aimed at banning or more effectively regulating e-gaming.
The oversight occurs despite escalating worries about the negative impact of e-gambling on Filipino families with members dealing with addiction, and distinct pending bills in the Senate and House of Representatives that aim to either outlaw or regulate the sector.
Mr. Marcos is confronting increasing public dissatisfaction as numerous Filipinos assert that the commitments he made during his 2022 campaign remain predominantly unfulfilled three years into his term.
He campaigned on a platform of economic recovery, pledging to reduce rice costs, bolster agriculture, and ignite a new era of industrialization. However, for some Filipinos, those promises have yet to convert into tangible enhancements in everyday life.
Mr. Marcos also failed to mention the 19% US tariffs on Philippine goods set to take effect on Aug. 1. Detractors argue that the tariff hikes disproportionately impact low-income consumers already struggling with inflation, a worry that persists in the administration’s economic discourse.
“According to data, our economy is performing well,” the President remarked during his address in Filipino that lasted an hour and 10 minutes, referencing reduced inflation and increased investor confidence.
However, he conceded that these advancements are insignificant “if our fellow citizens are struggling and encumbered.”
“The President’s SONA faltered from the outset with the erroneous assumption of the economy thriving,” Jose Enrique A. Africa, executive director of IBON Foundation, stated in a Viber message.
“This overlooks slowing growth, high current prices following elevated inflation during his initial three years, deficits and debt significantly exceeding targets upon assuming office, and employment figures concealing deteriorating wages and job quality,” he added.
The neglect of legislative priorities is troubling and suggests a lack of concern for rising poverty, hunger, and unemployment, he noted.
Philippine Chamber of Commerce and Industry Chairman George T. Barcelon warned that failing to address online gambling could lead to broader public safety issues. “The government needs to be observant because typically in gambling, you attract the wrong type of criminality,” he stated via telephone.
“The SONA was a direct reaction to the midterms,” Ederson DT. Tapia, a political science lecturer at the University of Makati, mentioned in a Facebook Messenger chat. “Most of the topics discussed were those that concerned the least, lost, and last. He steered clear of subjects that could be polarizing.”
The President reiterated his dedication to job creation, support for small businesses, and agriculture. He claimed the administration had demonstrated that rice could be sold at P20 per kilo without harming farmers, citing limited rollouts in select regions.
He pledged to broaden the initiative nationwide through more so-called Kadiwa stores.
Despite the optimistic tone, some analysts found the speech lacking an urgent appeal. There was no mention of more vigorous actions to shield consumers from price fluctuations due to tariffs.
“We commend the President for advancing his campaign promise of P20 per kilo of rice,” Jayson H. Cainglet, executive director of the Samahang Industriya ng Agrikultura, noted in a Viber message.
‘NOT JUST LIP SERVICE’
He criticized the “self-inflicted disaster that is Executive Order No. 62,” which reduced rice import tariffs to 15%, as the main reason for the unprecedented decline in rough rice farmgate prices, pointing out that the landed cost of rice imports is now merely P23 to P25 per kilo.
Mr. Cainglet asserted that the government should boost the rough rice procurement budget to P50 billion and promptly provide cash incentives to rice farmers utilizing the P4-billion excess funds from last year’s Rice Competitiveness Enhancement Fund.
Philippine Exporters Confederation, Inc. President Sergio R. Ortiz-Luis, Jr. expressed he was “pleased” that Mr. Marcos mentioned initiatives to assist small and medium enterprises, including increased funding. “I hope this is not simply lip service,” he conveyed to BusinessWorld over the phone.
However, he was wishing for the President to address exports. “Regrettably, I don’t believe that was addressed. I’m also uncertain if he mentioned anything regarding the tariffs.”
Mr. Marcos also boasted about advancements in renewable energy, education, digitalization, and healthcare. He unveiled efforts to enhance electrification, offer free dialysis treatment, and provide digital learning tools for public school educators and students.
“In comparison to last year, his address did not include that ‘wow’ moment where he would astonish or captivate the audience,” Arjan P. Aguirre, assistant professor of political science at Ateneo de Manila University, remarked via Messenger chat. “No compelling statements on the urgent issues of the moment.”
“The only significant topic we can emphasize is the mention of the flood control project, which still did not appear compelling since everything would still depend on him — no reference to institutionalizing changes like mechanisms and safeguards in the process itself,” he remarked.
In his address, the President instructed the Department of Public Works and Highways (DPWH) to examine flood control projects that failed during recent storms, accusing widespread corruption in infrastructure spending and warning of legal consequences for those found culpable.
He referenced his recent inspections following the impact of the southwest monsoon and tropical cyclones Crising, Dante, and Emong, which revealed the breakdown and dysfunction of flood mitigation systems throughout the nation.
“I witnessed firsthand that numerous flood control projects were poorly constructed, collapsed, or worse — never even existed,” the President expressed in Filipino. “Let’s stop pretending. The public is aware there was corruption in these initiatives.”
Mr. Marcos accused unnamed officials and contractors of embezzling public funds through “kickbacks, initiatives, errata, SOPs (standard operating procedures), for the boys,” and denounced their lack of conscience.
“You should be ashamed of yourselves in front of your fellow Filipinos… especially for what you’ve inflicted upon the families whose homes were swept away or submerged in floodwaters,” he asserted. “You should feel even more embarrassed for encumbering our children with debt from money you simply misappropriated.”
To tackle the problem, he stated that the DPWH must promptly submit a list of all flood control projects initiated or finalized in the past three years across all regions.
Secondly, regional project monitoring committees will scrutinize the list to identify incomplete, substandard, or phantom projects.
“We will make this list public,” Mr. Marcos declared. “The public, as witnesses to these projects, will
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be free to evaluate them and disseminate what they understand to assist with the inquiry.”
He mentioned that an audit and evaluation of performance would accompany the investigation to track how public finances were utilized. “In the upcoming months, all individuals found culpable in this investigation — alongside their contractor associates — will face legal action.”
“The citizens deserve to uncover the complete truth. There must be responsibility for the damage and misconduct,” he stated.
In an additional caution to legislators, Mr. Marcos asserted he would not endorse any national budget for 2026 that strays from his administration’s national spending plan.
“I will reject any proposed general appropriations bill that is not fully in line with the national spending program,” he articulated. “I’m prepared to do this even if we end up with a reenacted budget.”
“I will not endorse any budget that is not consistent with the government’s objectives for the Filipino populace,” he supplemented.
Leonardo A. Lanzona, an economics professor at the Ateneo de Manila University, remarked that a reenacted budget “would never occur” considering all the commitments Mr. Marcos made.
“This stands as a contradiction,” he expressed in a Messenger chat. “Without any achievements, the President has vowed to tempt us with treats to gain our consent and divert us from the challenges, including the elevated tariffs we’re experiencing.”
The President’s comments represented one of the most robust denunciations of governmental corruption during his term to date, indicating a firmer position leading up to the 2026 budget period.
However, the lack of any remarks concerning urgent regulatory matters raised doubts about the administration’s priorities. With three years remaining in his term, analysts and lawmakers are closely observing whether the President will tackle these issues directly — or continue to evade them.
Mr. Barcelon noted that the President merits recognition for addressing inadequacies in public works expenditure, and appreciated his comments on healthcare, education, and support for farmers, labeling them “all commendable.”
Yet, the nation’s “excessively high” debt is troubling, he conveyed via telephone. “And that issue can only be remedied if our economy can accelerate from 5-6%, potentially to 7-8%.”
He cautioned that without quicker growth, the nation’s burgeoning debt load, which was at P16.92 trillion as of May, could undermine the President’s social commitments.
“This concern regarding the accumulation of such a significant debt will persist. And that may render all his assurances to the populace regarding free education, free healthcare — everything nearly free — quite difficult.”
Mr. Barcelon also expressed astonishment that Mr. Marcos did not address the nation’s trade relations with the US, describing it as a missed chance to clarify the trajectory of one of the Philippines’ most crucial economic alliances.
He characterized the overall mood of the address as “a motivational speech for the citizens to hear,” and reiterated that the private sector remains devoted to backing the government. — with Chloe Mari A. Hufana, Justine Irish D. Tabile, Kenneth Christiane L. Basilio and Adrian H. Halili
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