I am surprised the Philippines has lend $1 billion to IMF
By hotsummer
@hotsummer (13837)
Philippines
June 21, 2012 8:53pm CST
Yeah that is right. this is the first time i have read that the philippines has lend $1 B. From what i know we still have debts and how come we are able to lend that much. It is said that we still have some billion dollar reserved so we can lend that much. ANyway, i don't understand how come we can have reserved while in big debt. THe IMF borrowed money to help economic turmoil in Europe. I have no problem with that as there are so many filipinos who are working on those countries. and so with helping their economy is like helping our own people too.
1 person likes this
7 responses
@rsa101 (38166)
• Philippines
25 Jun 12
It is surprising to many since for 40 years we have been told that we are all in deep trouble with our debt external and internal. But we managed to be debt free from IMF loans since 2006. So I guess we were able to manage our economy quite well during those days. I think the reason why Peso is stronger than dollar is a clear sign that we are able to keep more dollars to pay our current debts.
I think we owe that to the OFW for continously sending in their remittances despite the lower dollar exchange we are experiencing right now. This money sent to us are what keeps us afloat I guess from the debts we have incurred in the past.
@hotsummer (13837)
• Philippines
25 Jun 12
i think we can thank God for it, it is not just because the OFW . it is just pure miracle for me . i am not sure if we don't have any debt in the world bank. are they the same thing. was the debt we had before during the marcos time was debt in the IMF. anyway, it is just hard to believe that we are out of debt now. I think that started during the Ramos administration. i think ex president ramos was a good president. During his time he stopped the monopoly of telecommunications that is why we enjoy now cheap cellphones and cheap text. If not we would still be under one communication company. So every thing is a work of a miracle.
1 person likes this
@rsa101 (38166)
• Philippines
25 Jun 12
Well I think we still have about a trillion in other. We are only free from IMF right now. 
I do not know about that but I think under the Ramos Admin we still have to borrow money at that time since we were still cash strapped after the Aquino Administration was done. I think under Erap's admin it worsened because of the so many controversies that hounded the administration.
I believe it started with the GMA would you believe she was able to clear out debt in Dec. 2006. So I think there is something good that this past admin did but it was just not highlighted since we were too focused on her anomalies and allegations of corruptions. That is I guess another unbelievable fact we have to look at.
I do not know about that but I think under the Ramos Admin we still have to borrow money at that time since we were still cash strapped after the Aquino Administration was done. I think under Erap's admin it worsened because of the so many controversies that hounded the administration.
I believe it started with the GMA would you believe she was able to clear out debt in Dec. 2006. So I think there is something good that this past admin did but it was just not highlighted since we were too focused on her anomalies and allegations of corruptions. That is I guess another unbelievable fact we have to look at.
@nyamit (2)
• Philippines
22 Jun 12
If I understand correctly... the billion dollar will come from the country's reserve (current reserve is around $70 Billion)..As a reserve, it's not supposed to be used as a government budget to fight poverty alleviation, boost infrastructure, etc. So we're not actually losing 'budget' money for national development.
Politics and dumb local meejaaaahhh are causing all these wrongful buzz about the billion.
http://en.wikipedia.org/wiki/Foreign-exchange_reserves
@jeanneyvonne (5501)
• Philippines
23 Jun 12
Granted that the money is money reserve, I think it is still a large amount to lend to a bank. Yes, it is ot exactly not to be spent on those reasons you stated but we will never know when we do need that money. Some might think that it is used as an outside investment and better off with as rather than be squandered by the politicos but 1 billion dollars is no joke. IF we had another calamity, where will get the money. That is a reserve is for.
@danitykane (3183)
• Philippines
24 Jun 12
Hi there,
I am surprised with this kind of news as well.
I thought that we don't have much funds to support other sector of our government and to lend that sum of money is very confusing at first. But you know, such news is still a great thing for our economy in the long run. It just surprising that the country can do such amazing thing financially, I hope the government continues to make some improvements in the financial sector and I hope they could also help some Filipinos who are asking for major help financially such as the farmers, small business groups, etc. 
I thought that we don't have much funds to support other sector of our government and to lend that sum of money is very confusing at first. But you know, such news is still a great thing for our economy in the long run. It just surprising that the country can do such amazing thing financially, I hope the government continues to make some improvements in the financial sector and I hope they could also help some Filipinos who are asking for major help financially such as the farmers, small business groups, etc. @luisaR (452)
• Philippines
22 Jun 12
I understand that this is also the Philippines' obligation to do its part in lending money to IMF because the countries that would need to borrow from IMF will sustain their economy hence the Philippine will continue to benefit from them...but yes, I don't get why they will lend that huge amount when we have our own economic problems.
Like Winnie Monsod said, it's more like of "payabangan". I guess the amount is too much...
@mikyung (2232)
• Philippines
22 Jun 12
The government may have that noble purpose, I think, they must have the thorough deliberation or extrapolation stuff like that before proceeding with it. That is more or less 42 billion pesos and it is a lot of money to feed our hungry countrymen or classrooms for our children or to slash our nation debt or create jobs, the list never ends... Let's just see the effect of this. Otherwise, we may expect another upheaval.
But I'm still hopeful about it. Crossed fingers
But I'm still hopeful about it. Crossed fingers @chriskoh (16)
• Philippines
24 Jun 12
Very brave move by President Aquino, but I think it is better if we have helped more the poor because we are not a First World Country. Our people need more help. A lot of people live below the poverty line. I think it is around 40%. So what is Aquino's program to help them? None... He is busy with this love life
@sharie16 (2212)
• Philippines
22 Jun 12
Hi hotsummer,
It is amazing that the Philippines has manage to lend $1 billion when Philippines itself has a lot of debts...Yes, the idea of lending is to help the economy of Europe, but is it a good idea with the situation we have? Philippine government should resolve first it's economic condition before helping others, because how can we improve if our own country is not even stable? Wishing really for a total change here in the Philippines, much with the corruption.
happy mylotting...
