STIMULUS PLAN BEING USED TO JUSTIFY EXTENSIVE BORROWING
CHIZ: NATIONAL DEBT DOUBLED DURING GMA'S TERM

Opposition Senator Chiz Escudero yesterday said the national debt doubled during the almost eight-year term of President Arroyo, saying the administration's stimulus plan is being used to validate extensive borrowing.

"The administration's stimulus plan should not stimulate government into borrowing more under the guise of helping the poor. The plan to expand government spending should be done without enlarging national debt and indenturing future generations," Escudero said.

The senator disclosed that when President Arroyo assumed power in 2001, the national debt stood at P2.004 trillion.

"This has since doubled to P4.221 trillion by end of last year, which, by the way puts to shame Legacy's double-your-money promo," he said.

Escudero said the shock does not stop there, as the national coffers paid more in interest and principal payments for the loans it secured from 2001 to 2008.

"What rubs salt to the wound is that during the same period, we coughed up P4.436 trillion in interest and principal payments which should have reduced the mountain of a debt into a molehill and not the other way around," he said.

Escudero further illustrated that with the figures on the national debt, it can be calculated that the Filipino people shelled out P1.448 billion a day to pay for the loans made to the tune of P759 million every 24 hours.

"The government's credit panhandling will continue this year with a conservative deficit target of P177 billion, which translates to a daily debt of P484 million," he said.

"A government that will bow out in 15 months would be so reckless to dump IOUs that will be redeemed from Filipinos yet unborn."

Escudero also stated that based on this administration's debt management record; there is reason to fear that it will use the financial crisis as "smokescreen for a borrowing spree."

"We should carefully spend what we already have before we seek out credit. Stop corruption, curb wasteful spending, and spend only on essentials," the senator said.