Latest Stories

PH looks to MIC for lessons on reducing poverty

Neda cites South America’s inclusive growth experience


Middle-income countries (MIC) like Brazil and Mexico have enjoyed relative success in reducing their respective poverty levels. Now, Philippine policymakers are looking to these countries to make sure that the local poor will not be left behind as the economy grows.

The National Economic Development Authority (Neda) said the Philippines can take lessons from its more advanced peers to improve its infrastructure programs and reduce poverty in the country.

“The variety of experiences of MICs in dealing with inequality offers a rare opportunity for learning lessons and sharing best practices … that will help achieve inclusive growth, both nationally and globally,” said Socioeconomic Planning Secretary Arsenio M. Balisacan said.

In a conference held in San Jose, Costa Rica last June 12, Balisacan said that in the past two decades, substantial poverty reduction was achieved in developing countries, brought on by a comparatively rapid economic growth.

“For inclusive growth and prosperity, the MICs need to play a more active and unified role in forging a much improved environment for international trade, finance and technology,” Balisacan said. “The improvement is particularly crucial in the area of market access, especially for exports of developing countries, and access to technology.”

However, he said, the connection between growth and poverty reduction varies quite enormously between regions of the world, between countries within a region, and between geographic areas and population groups within a country.

“This opportunity for systematically expanding knowledge and best practices needs to be enhanced within the MICs,” Balisacan said.

He noted the conditional cash transfer (CCT) schemes pioneered in Latin America—such as Brazil’s “Bolsa Familia” and Mexico’s “Oportunidades,”—have helped those countries in virtually winning the war against poverty.

“In Southeast Asia, informed by the Latin American experience, the Philippines has embarked on a large-scale CCT program to complement its newly acquired status as one of the fastest growing Asian countries today,” Balisacan said.

He also identified public-private partnerships (PPPs) of having the potential to augment the public sector’s fiscal resources.

“If structured properly, PPPs can be an effective instrument for inclusive business,” he said.

Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter

Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Business , middle-income countries , Philippines , poverty alleviation

  • eight_log

    The main cause of poverty in the Philippines is corruption!!!!! Put a stop to this and you will see positive changes in all sectors. What is needed for businesses to flourish is a level playing field … this cannot be achieved if corruption persists. We don’t have to look anywhere else for solution …. just have that POLITICAL WILL!!!!!!!!!!

  • Spidekick

    PPP is not taking off because of too much red tape. Ayusin muna at gawing simple ang pagtayo ng negosyo bago ang lahat.
    Alagaan at palakasin ang mga lokal na small and medium enterprises. Bigyan sila ng maraming insentibo, pero higit sa lahat, huwag pahirapan sa mga walang kuwentang processing requirements at mga buwis habang nag-uumpisa pa lang.
    Mahirap bang isipin at gawin ito at kelangan pa ng mga PhD nating mga teknokratiko na gumaya sa ibang bansa?
    Puro utak byurukratiko kasi karamihan sa gobyerno.

Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


  • Obama, family cause a small stir at Easter service
  • Estrada: Gigi Reyes won’t testify vs JPE
  • Ancient enigmatic carvings in danger of disappearing
  • Tagle: Hope comes with warning on Easter
  • New plant to boost supply of clean energy
  • Sports

  • Goodbye MGM, Las Vegas for Pacquiao?
  • Rain or Shine drops Ginebra in big hole
  • Ateneo whips CSB; Davao debuts with win over FEU
  • PH pug Hipolito Banal decisions Colombian in Aiba
  • Former Pacquiao sparmate Porter keeps IBF title
  • Lifestyle

  • Transitions and resurrection in the performing arts
  • ‘Archaeology tour’ of Cebu’s heritage of faith
  • Historic Fort Bonifacio tunnel converted into a septic tank
  • ‘Imports’ from London, and play of the year
  • Korean animation comes of age
  • Entertainment

  • Easter musings
  • Solenn in shorts
  • Unmerry mix of attention-calling moves on ‘Mini-Me’ TV tilts
  • Persistence pays off for The 1975
  • Special section in LA fest for Filipino films
  • Business

  • BDO seen keen on bidding for Cocobank
  • Bataan freeport investment pledges up 1,302%
  • Golden Week
  • Bourse to woo Cebu stock mart investors
  • Supper power
  • Technology

  • Nasa’s moon-orbiting robot crashes down
  • Netizens pay respects to Gabriel Garcia Marquez
  • Nokia recalls 30,000 chargers for Lumia 2520 tablet
  • Facebook rolls out ‘nearby friends’ feature
  • Netizens seethe over Aquino’s ‘sacrifice’ message
  • Opinion

  • Gigi’s home
  • Palace stonewalls on MRT inquiry
  • Couple of things too
  • There is plenty of water behind Wawa Dam
  • Triduum thoughts of a young boy
  • Global Nation

  • Search for Etihad passengers launched
  • Japan presents $57-B ‘dream plan’ to solve Metro congestion
  • Tim Tebow’s charity hospital in Davao seen to open in 7 months
  • OFW died of Mers-CoV in Saudi Arabia, says family
  • Aquino, Obama to tackle US pivot to Asia during state visit
  • Marketplace