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  • Political, natural risks to define Aussie assistance
     
    By Estrella Torres

    Reporter

    CANBERRA said its development cooperation with Manila in the next five years—mostly concentrated in Mindanao—will be influenced by major risks in the country like political instability, security developments and natural disasters.

    Australian Ambassador to the Philippines Tony Hely said his government’s development aid will be more focused on security cooperation, providing grants to spur economic growth and improving basic education.

    The Australian Development Cooperation Program aid for the next five years, he said, would increase to around A$120 to A$140 million.

    A development strategy report by the Australian embassy in Manila noted the implementation of its programs would be managed with performance review and dialogue between the governments but it noted major risks to the effectiveness of the programs.

    Interruptions to government functions due to elections and the lack of sustained political commitment to fiscal discipline and macrostability are big problems in implementing its development aid strategy, the report also said.

    “The persistence of armed conflict in Mindanao and threats to peace and security from the communist insurgency, together with the prevalence of violent crime and clan-based feuds, constitute serious additional constraints to economic growth and poverty reduction in the Philippines.”

    The development-strategy report noted, however, that the solutions to these problems are complex, although “addressing the genuine grievances of Mindanaoans concerning their social and political exclusion and lack of access to basic services and economic opportunity is an appropriate role for aid.”

    Apropos of its concerns in the Philippines, Canberra also raised concern over the growing link between Islamic militants in Mindanao and international terrorist networks operating in Southeast Asian region like the al-Qaeda-linked Jema’ah Islamiyah.

    “Countering these threats requires ongoing improvement in the capacities of the Philippines’ legal framework and institutions to manage people, goods and financial flows across borders and within the archipelago,” said the report. 

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