Japan & APEC Member Economies

PHILIPPINES

Republic of the Philippines

Republica de Filipinas

Republika ng Pilipinas



GENERAL

Area:
299,404 km2.

Population:
65,775,000 (1993).

Capital:
Manila.

Ethnic composition:
Primarily Malay, together with Chinese, Spanish, mixed ancestry, and minorities.

Major languages:
Filipino and English (both official).

Major religions:
Roman Catholic (83%), Islam (5%).

History:
The Portuguese navigator Ferdinand Magellan in the service of Spain arrived in the Philippines in 1521, and Spain began ruling the islands in 1571. Filipinos led by Emilio Aguinaldo staged a revolt and declared independence in 1898. Spain ceded the Philippines to the United States in 1899 following the Spanish-American War of 1898, and American forces proceeded to suppress the rebels. The Commonwealth of the Philippines was established in 1935 in preparation for independence, but Japan took over the country in World War II and set up the José Laurel administration under the Japanese military. The country gained full independence on July 4, 1946, and established the Republic of the Philippines, with Manual A. Roxas y Acuña serving as its first president.

GOVERNMENT

Type:
Constitutional republic.

Head of state:
President:
Fidel V. Ramos. He assumed office in June 1992 and is serving a six-year term.

Legislature:
The bicameral Congress of the Philippines encompasses a Senate and a House of Representatives.

Executive:
The vice-president is Joseph E. Estrada, and the foreign affairs secretary is Domingo L. Siazon, Jr.

Domestic politics:
A democratic political system was reestablished under the administration of President Corazon C. Aquino, who took over in 1986, and presidential, legislative, and local elections were held in May 1992. Fidel Ramos, the former national defense secretary and designated successor to Aquino, was elected president. Following the inauguration of President Ramos on June 30, 1992, his administration has been striving to unify the country, pacify rebel forces, and rejuvenate the economy.

Foreign policy:
Like the Aquino administration before it, the Ramos administration is seeking to maintain good relations with Japan, the United States, its ASEAN partners, and the European Union, and it places special emphasis on economic diplomacy with these and other free-world countries. Although all U.S. military forces were withdrawn from the Philippines by November 1992, the country has and should continue to have friendly relations with the United States.

Military:
Defense budget, 33.0 billion pesos (1993). Regular armed forces (volunteer) consist of 68,000 members of the army, 23,000 members of the navy, and 15,500 members of the air force (The Military Balance 1994-95).

ECONOMY

Major industries:
Agriculture, forestry, fisheries.

GNP:
$66.3 billion (1994).

Per capita GNP:
$961 (1994).

Real growth rate:
5.1% (1994).

Inflation:
9.0% (1994).

Unemployment:
9.5% (1994).

Trade:
Exports:$13,480 million; imports:$21,330 million (1994).

Principal items traded:
Exports:apparel, semiconductors and related products, coconut oil, wood furniture; imports:oil and related products, semiconductors, machinery, textiles.

Principal trading partners:
Exports:United States (38%), Japan (16%), Germany (5%), Hong Kong (5%), Britain (5%); imports:Japan (23%), United States (20%), Chinese Taipei (6%), Singapore (6%), Republic of Korea (5%) (1992).

Currency:
Peso. US$1=26.20 pesos (July 31, 1994).

Economic conditions:
The Ramos administration has been continuing the structural reforms initiated by the Aquino administration. The main objectives are trade and investment liberalization, privatization of public corporations, deregulation, and tax reform.

ECONOMIC COOPERATION

Japan's aid:
Loans: 1,125.0 billion yen; grants: 145.7 billion yen; technical cooperation: 83.8 billion yen (cumulative ODA total through fiscal 1992). During fiscal 1992 grants amounting to 14.7 billion yen and technical cooperation to 6.4 billion yen were extended.

Principal donors:
Japan (54%), United States (26%), Germany (6%), Australia (4%) (1991).

BILATERAL RELATIONS

Political:
Japan and the Philippines are developing a friendly and cooperative relationship through trade, investment, economic cooperation, cultural exchange, and reciprocal visits by leaders.

Trade:
Exports to Japan: $2,020 million, featuring electronic products, bananas, nonferrous metal ore, fish and shellfish; imports from Japan: $5,175 million, featuring automobiles, electronic products, steel, motors (1994, customs-clearance basis).

Investment:
Japanese direct investment in the Philippines amounted to 2.7 billion pesos in fiscal 1994 according to Philippine data.

Cultural:
In fiscal 1992 the Japan Foundation spent 164 million yen on projects in the Philippines, and the Japanese government financed the acceptance of 100 Philippine students. As of May 1, 1993, there were 528 Filipinos studying in Japan. Ever since 1976 Japan has been extending cultural grants to the Philippines, and their cumulative value through fiscal 1993 came to 1,183 million yen.

Japanese residing in the Philippines:
3,694 (Oct. 1994).

Filipinos residing in Japan:
77,871 (June. 1994; based on alien registration statistics).

Visits by eminent persons:
Japan to the Philippines:former Prime Minister Zenko Suzuki (1990), Prime Minister Toshiki Kaifu (1991), Foreign Minister Taro Nakayama (1991), former Prime Minister Toshiki Kaifu (1992), former Prime Minister Yasuhiro Nakasone (1994), Prime Minister Tomiichi Murayama (1994);
Philippines to Japan: President Corazon C. Aquino (1990), Vice-President Salvador H. Laurel (1991), Foreign Affairs Secretary Raul S. Manglapus (1990, 1991, 1992, twice), Foreign Affairs Secretary Roberto Romulo (1993), President Fidel V. Ramos (1993), Foreign Affairs Secretary Domingo L. Siazon, Jr. (1994).

Treaties and agreements:
Reparations Agreement Between Japan and the Republic of the Philippines (1956), Exchange of Notes Between the Government of Japan and the Government of the Republic of the Philippines Constituting a Provisional Agreement Concerning the Simplification of the Entry and Sojourn Procedures (1958), Agreement for the Exchange of International Money Orders Between Japan and the Republic of the Philippines (1969), Air Services Agreement Between the Government of Japan and the Government of the Republic of the Philippines (1970), Treaty of Amity, Commerce, and Navigation Between Japan and the Republic of the Philippines (1980), Convention Between Japan and the Republic of the Philippines for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income (1980), Parcel Post Agreement Between Japan and the Republic of the Philippines (1980).

(August 1995)


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