The head of the World Bank Group praised President Benigno Aquino III, who has promised to curb corruption under his term, for placing transparency and good governance at the forefront of the Philippine government’s agenda.
Robert Zoellick, president of the World Bank, indicated the belief of the multilateral institution in the significance of Aquino’s agenda by saying that he intends to visit the Philippines late this year to learn more about the government’s reforms.
As part of its mission, the World Bank studies international best practices in economic and social management, and provides recommendations to countries that aim to improve their governance systems and pursue development.
The World Bank is a key developmental lender for many developing countries, including the Philippines.
“At the heart of President Aquino’s policies is a belief in the power of citizens to hold their government accountable, and that this makes for better governance and a more just society,” Zoellick said as he introduced Aquino, who delivered a speech before an estimated 300 people during a forum at the ongoing 2011 Annual Meetings of the World Bank and the International Monetary Fund in Washington, DC.
Leaders across the globe, including finance ministers, economic ministers and central bank heads, are attending the annual meetings.
“Later this year, I am hoping to visit the Philippines, and I look forward to learning from some of the reforms President Aquino has put in place to improve governance and transparency,” Zoellick said.
President Aquino, who assumed office last year, claims that transparency and good governance are his administration’s priority.
The President is often heard criticizing the previous administration of Gloria Macapagal-Arroyo, who was accused not only of corruption but also of rigging the presidential election in 2004 in her favor.
In his speech, Aquino trumpeted the reforms in the budget process, saying injection of transparency in budgeting has led to significant savings for the government and has reduced opportunities for corruption.
“Governing with integrity, with transparency, and with accountability not only heals a national psyche that has long been characterized by cynicism and mistrust of government. It also provides the foundation for equitable progress. Good governance is good economics,” Aquino said.
The Aquino administration has shifted to the so-called “zero-based budgeting” system from the “incremental budgeting” system observed by past administrations.
Under the zero-based budgeting approach, a government agency is required to defend each expenditure item—may it be a project or a program—every time a new national budget is being prepared in order for that item to get funding from the national government. This involves explaining why a project or program is necessary and to present an evaluation of how budget allocations for it in the past were used.