Senator Ferdinand “Bongbong” Marcos Jr., today hailed the approval by the national government of P6.5 billion support fund for local government units (LGU’s) to pump prime the economy.
“I am glad the government announced that the Local Government Unit support fund would be released in light of the reduction in the Internal Revenue Allocation for LGU. I have been pressing the administration to restore the 4.8% reduction in their IRA and this is a step in the right direction,” Marcos, chairman of the Senate Committee on Local Government said.
President Benigno Aquino III announced the additional expenditure program particularly the P6.5 billion LGU support fund during the assembly of local executives leaders as they celebrate the 20th anniversary of Local Government Code at the Philippine International Convention Center (PICC).
“More is needed as this does not cover the entire reduction that amounts to more than P13 billion. We shall continue to press for more,” He added.
Marcos has expressed his strong support for LGU officials unhappy about the announced reduction of the IRA by as much as 4.8 percent and has been exhorting Malacanang to restore the 4.8 percent reduction of IRA in the LGU’s to avert a crisis that will see a shortage in the basic services expected from the local governments.
“The fiscal crisis LGU’s are facing in light of the reduction in their IRA by 4.8 percent and the expected lackluster performance of the country’s economy by year end is now further threatened by a looming world recession,” Marcos explained.