MANILA - The National Economic and Development Authority (NEDA) suggests the development of a roadmap for the country's shift to federalism in line with the Philippine Development Plan (PDP).
Venturing into this type of government has its own challenges, said NEDA Undersecretary Rosemarie Edillon. The roadmap will help prepare the government for the roadblocks ahead.
"That is what I hope we would have: a roadmap to prepare us for this change, to ensure that we get the most benefits, to minimize the cost of transition. And always, not losing sight of what we want to achieve a matatag, maginhawa at panatag na buhay para sa lahat," Edillon said during the 3rd Annual Public Policy Conference on Wednesday
Foreseen roadblocks include security, peace and order, disaster response, and military logistics capabilities, especially in emergency situations.
Edillon also pointed out that pricing concerns may also arise.
"Will federalism also result in a 'race to the bottom' where states, wanting to attract the most investments, will offer the sweetest package of incentives? Or, the opposite: will states, in a bid to quickly beef up their fiscal resources, impose more regulations, thus increasing the cost of doing business?" she said.
Nevertheless, Edillon believes that "sustained commitment" and the "openness to trade" will be beneficial in the long run.