COUNTRIES have different names for their economic recovery programs.
As governments slowly ease quarantine restrictions, the next priority after ensuring safety protocols is on how people and businesses can recover. The recovery plans of these countries are focused differently, depending on what their people need. Our local planners can take an idea or two from them.
In the United States, there are programs named New York Forward Loan Fund to support small businesses, Paycheck Protection Program to offer businesses loans to ensure payment of salaries of their employees, then another for economic injury disaster.
The Philippines has the Bayanihan 2 proposal that aims to set aside P165.5-billion as the second stimulus measure to be enacted by Congress, to allow government to strengthen its response to the coronavirus disease (Covid-19) pandemic and offer aid to targeted businesses in transport and tourism.
Cebu City and Province have their respective “bounce back,” recovery measures. The Cebu Provincial Government will give P5,000 to P10,000 cash aid as “negosyo kits” to micro, small and medium enterprises (MSMEs). Some 20,000 MSMEs in Cebu’s seven districts stand to benefit from the assistance. Those in low-income groups and displaced workers may also avail themselves of the aid to start a business.
The Cebu City Government, for its part, approved last week the creation of a comprehensive recovery program. It is still to be formulated, no program yet, just an agreement that there should be a “bounce-back plan or socio-economic strategy,” Councilor Alvin Dizon said. Dizon’s other concern was that the program is “democratized” so civil society can be part of the collaborative effort.
What makes a good economic recovery plan for local governments? They can take their cue from how other governments, including our national administration, are doing it.
Scotland has decided on a jobs-focused recovery plan, seeing the importance of collaborating with businesses and trade unions. Scotland has a strong trade union sector.
The programs in New York specify that beneficiaries should not have availed themselves already of other recovery packages. Those who received aid from another program cannot apply for the new one. This ensures a wider spread of people to get financial assistance.
Prime Minister Boris Johnson of the United Kingdom has been using the “build, build, build” slogan as a recovery strategy but got widely criticized for a lack of focus on generating jobs. But he said building new schools, green buses, broadband infrastructure and hospitals would create a new “opportunity guarantee” to workers.
A province in Canada sees its recovery strategy in urging people to buy locally-made products and use local services.
Jobs-focused. No double benefits or no receiving cash aid twice. Buy and use local. And, if you build infrastructure, they have to address needs under a new normal. These are concerns local recovery planners should consider.