Funding the Plan

It is easy to be pessimistic and dismiss the outcome of a development planning exercise and say it won’t work because there are no funds to back it up. But is this necessarily the case?

My view is the opposite – it is possible to make an effective plan, even with limited resources.

Planning without new funds? Can’t be done, some would say. Shouldn’t be. Not so. We can take into account what we have and work on “non-fund” factors to achieve the objectives in the plan.

It can be done. How? We can work on improving coordination among organizations and agencies. We can also tap the private sector, especially business firms by crafting policies and laws that would encourage them to set up businesses and thereby create jobs.

A better prioritization of projects will help considerably. This will avoid wasteful use of funds. For example, if rural roads need maintenance work, then tie this up with activities that encourage increased agricultural production along those roads.

The elimination of graft and corruption will also go a long way in stretching the budget, resulting in more projects. It is often said that we can have at least 20 percent more projects if we eliminate graft and corruption.

Yes, plans can be made effective not necessarily by being awash with funds – but by better use of existing funds plus other acts which enable business to survive and expand, and then attract more businesses. In this sense, local governments must not compete with the private sector but must do everything they can to make it grow. This can be done by conducting activities that cut the cost of doing business.

If local governments can be more on the promotion of business rather than on regulating to the point of killing them, then we will be better off with more jobs.

Doesn’t seem possible? Leave it to Filipinos. In this sense, we can make miracles happen.