PRESS RELEASE

10 October 2006

Ref:  Erin - 09193688555

 

TAÑADA ON THE 2007 BUDGET:  Stop Appropriations for Interests and Principal Debt Payments for Marcos and BNPP Debts

 

 

As the 2007 budget deliberations picks up, Quezon Representative Lorenzo R. Tañada III called on the members of the 13th Congress to heed the Freedom from Debt Coalition’s call to halt principal and debt payments for the Marcos and Bataan Nuclear Power Plant debts.

 

“We should seize our last chance to say to the world that the Filipino people should not pay for immoral and odious debts.  This is specifically true for the Bataan Nuclear Power Plant, the last payment of its unsecuritized debt is scheduled for 2007.  Letting this opportunity slip by is, to my mind, an affront on our sovereign right as a people.  It sends a clear message that it is alright to steal and enter into anomalous deals at the expense of our taxpayers.  It also would tell a lot on the kind of representatives we truly are, of our people,  Tañada said.

 

According to FDC, the National Government has allocated a total of UsD 16.3 million for BNPP debts as final payments to American Express, Bank of Tokyo, US EXIMBANK, Union Bank of Switzerland and Mitsui & Co.  This includes principal amortization amounting to UsD 16.06 million and interest payments of UsD 0.23 million. 

 

Further, as of end Dec 2005, the Bureau of Treasury estimates that the national government still has an outstanding obligation amounting US$ 783 million of all Marcos Debts.

 

“Most of the Marcos debts are under contention by government itself.  The Executive should have at least work towards putting all the payments therein in escrow so that the money remains intact until the court cases are resolved.  But Congress is not without recourse.  It can and should  stop appropriations to pay for these Marcos debts.  Our debt payments run as high as  $1.37 million a minute and every effort to stop this profuse bleeding helps,”  the young Tañada said.