In 2009, the Government of the Republic of the Philippines entered into a 403 million USD loan agreement with the World Bank to finance its Social Welfare and Development Reform Project implemented by the Department of Social Welfare and Development.
The Project financed the cash grants given to millions of Pantawid Pamilyang Pilipino Program, better known as CCT, household-beneficiaries. Based on an impact assessment study conducted by an external body (but whose design was dictated by the World Bank) the project did not register that much difference in the lives of those benefitting compared to the ones who are not on the program.
Since the program provided mayors, congressmen, governors and even senators more media mileage as they can ride on the popularity of the program with the poor whom this and past administrations turned into dependent s, the program managed to hurdle intense inquiries during budget deliberations.
As the SWDRP Loan facility draws to a close, executives within DSWD and other government agencies such as DOF and NEDA, are convening again to discuss and finalize another 500 million USD loan for the scaling up of an already massive CCT program that the DSWD itself is proving incapable of managing. COA findings from the last 3 years will confirm that the program is riddled with lapses that cost millions of pesos wasted.
Very few know that at least 75% of the funding for the CCT is sourced from loans with the World Bank and the ADB.
The government is squandering money for a program that was never proven to be effective where it was first implemented in Latin America or if at all effective there, would be as effective in the Philippines where patronage politics is the rule and a culture of dependence abound.
The public should know that the money being spent on dole outs come from a loan that we and the coming generations will pay for. The public should know that the Government wants to enter again into another loan agreement that will all put us again neck deep in debt. The public should call on government to stop its dealings with the World Bank as it only further throws us into poverty.
After all, the World Bank is not called a "bank" for nothing.
To date, the 500 million USD loan has been given a go signal.
Since the Senate is currently hearing a probe on the DSWD's Pantawid Pamilya, perhaps they should also dig deep on the loan that is almost spent and the loan that they want to enter into again…
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