The new ES, the AI effect of OSW and GEA

The government economic team saw major changes in leadership this week.

- BIENVENIDO S. OPLAS JR.

First, Department of Finance (DOF) Secretary Ralph Recto was promoted by President Marcos to become the new Executive Secretary (ES). Second, Special Assistant to the President for Investments and Economic Affairs Frederick Go became the new DOF Secretary. Third, Budget Secretary Amenah Pangandaman has resigned and was replaced by Undersecretary Rolando Toledo.

The new ES has the widest government experience among the Cabinet, as a former Senator, former Congressman and head of DOF who is in charge of raising the bulk of revenues for the entire government. Being competent and very experienced in running the economy attracts detractors.

Among the consistent high profile critics of Secretary Recto is a physician who contributed to the horrible lockdown dictatorship and medical tyranny of 2020-2021, Dr. Tony Leachon, a former special adviser to the National Task Force against COVID, the implementing arm of the Inter-Agency Task Force. He resigned from the body in June 2020 and became a public figure advocating for continued lockdown and more vaccination.

In 2020, the Philippines suffered a 9.5 percent GDP contraction, the worst economic contraction in Asia, the worst in Philippine economic history since post WW2 or the past 75 years. The Philippines’ GDP size at constant 2018 prices were: P19.38 trillion in 2019, shrank to P17.54 trillion in 2020, slightly increased to P18.54 trillion in 2021, and recovered to 2019 level of P19.95 trillion in 2022.