MANILA, Philippines—The Philippine economy will not be affected by the financial aid ban on the 18 countries that supported the United Nations Human Rights Council (UNHRC) investigation on the drug war, Malacañang said Monday, noting that the country can get assistance from other bilateral partners instead.
“It will not dramatically, even slightly I think, impact on our economy,” Palace spokesman Salvador Panelo said in a Palace briefing.
A confidential Malacañang memorandum dated August 27 directed government agencies, government-owned and controlled corporations, and government financial institutions to suspend the negotiations for and signing of loan and grant agreements with the 18 countries that voted in favor of the Iceland resolution calling for a UN inquiry amid the killings of drug suspects in the administration’s anti-narcotics drive.
Panelo initially denied that Duterte issued the memorandum but on Monday morning, he clarified that the memorandum on the loan suspension was indeed signed by Executive Secretary Salvador Medialdea on the President’s order.
READ: Duterte order shuns all loans, grants, aid from 18 countries backing probe of PH killings
Panelo, who is Duterte’s spokesman and legal counsel, explained that grants and loan agreements that were already being implemented would not be affected.
He also said that according to Finance Secretary Carlos Dominguez, only France out of the 18 countries has an offer of 21 million euros as loan for the “Build, Build Build” project.
The Palace official is also confident that the country may lean on other countries and institutions outside the 18 UN probe backers “offering the same (aid), with rates better than from these countries.”