There is a deficiency of materials on the Strategy for Development—because I am developing the theory that monetary policy determines economic development to a degree greater than we usually admit.
Thus the import-oriented economy of the Philippines arose out of the parasitic tie of the peso to the dollar as well as the corresponding dependence of the Philippine economy on the American market.
Then the free market days from the liberation to 1949 gave rise to imbalance in trade and to import and exchange controls. These gave rise to farther import orientation and packaging industries. The sudden lifting of import and exchange control and devaluation killed many of the industries in 1961 so that when I took over in 1965 we were faced with 2,000 moribund industries which we had to refinance with the Distressed Industries Refinancing Program. Freedom of exchange and importation and absence of guidance in investments gave rise to another problem of imbalance in our trade resulting in the floating rate.
So we have tried about every solution.
Official Gazette for November 24, 1971: PRESIDENT MARCOS started the day by disposing of urgent official papers.
At mid-morning, the President received the letters of credence of Ambassador Richard B. Taylor as non-resident ambassador of New Zealand to the Philippines.
Ambassador Taylor was the first to be named envoy to the Philippines after New Zealand and the Philippines had elevated the status of their missions from legation to ambassadorial levels.
In presenting his credentials, Ambassador Taylor said that the decision of the two countries to raise the status of their relations reflected the growing range of common interests between the two countries.
The New Zealand envoy also noted the close partnership developed by the two countries from a common concern for the stability and well-being of the Asian and Pacific community of which they are members, as well as their direct ties as members of the Southeast Asia Treaty Organization, Association of Pacific and Asian Countries, and the Colombo Plan.
In response, the President assured Ambassador Taylor that the administration would do everything to further strengthen the bonds of trade, economic and friendly relations existing between the Philippines and New Zealand.
Among those present at the ceremony were Acting Secretary of Foreign Affairs Manuel Collantes, Executive Secretary Alejandro Melchor, Jr., and Secretary of General Services Constancio E. Castañeda.
Toward noon the President had photo and video-taping sessions, with ILO and NHK Broadcasting Corporation staffers, respectively.
The pressure of work prevented the President from attending the ceremonies relative to the turnover and inauguration of the AFP Tropospheric Scatter Communications System in Tagaytay City.
In a speech he asked Defense Undersecretary Jose M. Crisol to read for him, the President described the communications system, known as Project Foresight Sierra, as another milestone in the history of the Armed Forces of the Philippines.
The President said that the system, a multi-million-peso project and the second of its kind in the AFP acquired under the U.S. Military Assistance Program, was the culmination of many years of planning and programming.
I have asked the Central Bank governor to prepare a paper on this.