Project Repeal: The Philippine Red Tape Challenge

Transcription

1 Project Repeal: The Philippine Red Tape Challenge Championing Regulatory Excellence Towards Global Competitiveness Presented by: Ariel F. Faraon Project Manager

2 Project Manager of Project Repeal: The Philippine Red Tape Challenge, a breakthrough initiative of the Department of Trade and Industry (DTI) and the National Competitiveness Council (NCC) aimed at reforming the country s regulatory management system to improve ease of doing business in the country.

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4 Global Competitiveness Report Card REPORT 2010/ /2016 GOAL (Top 3rd) CHANGE 4 to 6 yrs 1.Doing Business Report (IFC)* 148/183 99/ Economic Freedom Index (HF)* 115/179 70/ Corruption Perceptions Index (TI) 134/178 95/ Global Competitiveness Index (WEF) 85/139 57/ Global Enabling Trade Index (WEF) 92/125 64/ Travel and Tourism Report (WEF) 94/139 74/ WIPO- Global Innovation Index (WIPO)* 91/125 74/ Global Information Technology Report (WEF)* 86/138 77/ E-Government Index (UN)* 78/184 71/ Fragile States Index (FFP) * ** 50/177 54/ Global Gender Gap Report (WEF)* 9/142 7/ World Competitiveness Report (IMD)* 41/59 42/ Logistics Performance Index (WB)* 44/155 71/ *with 2016 Results, **reverse ranking (1 as worst) REACHED THE TOP THIRD LATEST PERFORMANCE UPGRADE *with 2016 Results, **reverse ranking (1 as worst) DOWNGRADE

5 Global Competitiveness Report Card REPORT Doing Business Report 99/ /189 95/ / / Economic Freedom Index 70/178 76/178 89/178 97/ / Corruption Perceptions Index - 95/168 85/175 94/ / Global Competitiveness Report CHANGE 4/5 YEARS HOW TO READ THE REPORT CARD The Change column shows the movement in the ranking over the past 5 years. The ASEAN Rank column shows the position of the Philippines relative to other ASEAN economies for the most recent year available. The IFC Ease of Doing Business Report is named one year in advance of the actual release date (The Doing Business 2017 Report was released in October 2016).. ASEAN RANK The Fragile States Index (formerly known as the Failed States Index) is reverse-ranked with the 178th nation considered as very sustainable. Reached the Top 3 rd of World Rankings Latest Performance RELEASE DATE SOURCE 136/18 International Finance 148/ of 10 Oct Corporation 115/ of 9 Jan 16 Heritage Foundation /18 134/ of 9 Dec 16 Transparency International /138 47/140 52/144 59/148 65/144 75/142 85/ OF 9 Sep 16 World Economic Forum Global Enabling Trade Index - n/a 64/138 n/a 72/132 n/a *92/ of 10 Mar 16 World Economic Forum Travel and Tourism Report n/a 74/141 n/a 82/140 n/a 94/139 n/a 20 5 of 7 Mar 17 World Economic Forum Global Innovation Index 74/128 83/ /143 90/142 95/141 91/ of 8 Jul 16 World Intellectual Property Organization 8. Global Information 77/139 76/143 78/148 86/144 86/142 86/ of 9 Apr 16 World Economic Forum 48 Technology Report 9. E-Government Index 71/ / / / of 10 Jun 16 United Nations Fragile States Index 54/178 48/178 52/178 59/178 56/177 50/ of 10 Jun 16 Fund for Peace Global Gender Gap Report* 7/145 7/145 9/142 5/136 8/135 8/135 9/ of 9 Oct 16 World Economic Forum World Competitiveness International Institute for 42/60 41/60 42/60 38/60 43/59 41/ of 5 May Yearbook Management Development 13. Logistics Performance Index 71/160 n/a 57/160 n/a 52/155 n/a 44/ of 9 Mar 16 World Bank 53 TOP 1/3 47

6 Ease of Doing Business Rankings INDICATORS ( ) 2017 REPORT (190 economies) OVER-ALL RANKING Starting a Business Dealing w/ Construction Permits Getting Electricity Registering Property Getting Credit Protecting Investors Paying Taxes Trading Across Borders Enforcing Contracts Resolving Insolvency UPGRADE DOWNGRADE Source: Published DB reports ( ) 2016 REPORT (189 economies) Change

7 UPGRADES PHILIPPINE RANKINGS ( ) Dealing with Construction Permits From 156 to 85 Getting Electricity Getting Credit From 54 to 22 From 128 to Paying Taxes From 124 to 115 Resolving Insolvency From 153 to 56

8 DOWNGRADES PHILIPPINE RANKINGS ( ) Starting a Business Registering Property Protecting Minority Investors Trading Across Borders Enforcing Contracts From 156 From 102 to 171 to 112 From 132 to 137 From 61 to 95 From 118 to 136

9 Ease of Doing Business Rankings PHILIPPINES AND ASEAN : ASEAN 2017 REPORT (190 economies) 2016 REPORT (189 economies) Change Singapore Malaysia Thailand Vietnam Brunei Darussalam Indonesia Philippines Cambodia Lao PDR Myanmar UPGRADE DOWNGRADE Source: Published DB reports ( )

10 Complex regulations and unharmonized regulatory framework Outdated, overlapping and/or contradictory laws and regulations

11 Relatively open with a number of policies limiting both domestic & foreign competition Regulations were borne as reactionary measures rather than instruments based on coherent government strategy

12 Low utilization of and access to modern and innovative technologies Substantial tariff and nontariff barriers in several key industries, mostly in agriculture

13 Reforms to ensure competitiveness and promote ease of doing business will be mandatory. Reacting to these needs, the restrictions on the economy will be needed to make more investments to come and to develop laborintensive industries such as manufacturing, agriculture and tourism shall be pursued. State of the Nation Address (SONA) 2016

14 Governance Issues that Tempered the Impact of Reforms Process Structure System Source: ADB

15 Regulatory Excellence in MPAC 2025

16 Regulatory Excellence in MPAC 2025 Harmonization of mutually recognized standards, conformance, and technical regulations for products in key sectors Strategic Objectives 1 2 Reduce number of trade-distorting nontariff measures (NTMs) across ASEAN member states

17 Regulatory Excellence in MPAC 2025 Complete harmonization of standards, mutual recognition, and technical regulations in three prioritized product groupings Key Initiatives 1 2 Increase transparency and strengthen evaluation to reduce trade-distorting nontariff measures (NTMs)

18 Approaches to Regulatory Excellence: DTI Perspective Embed regulatory quality principles in the regulatory management system Eliminate inconsistency in individual approaches Deliver predictable regulatory outcomes

19 Our Strategy

20 Project Repeal

21 Expected Outcomes Reduced cost of compliance for people and businesses; savings for the economy, measured in PhP Millions annually

22 Objectives Crowdsource Proposals Establish Repeal System Cut Regulatory Cost

23 Inspiration

24 Scope Amendment Consolidation Delisting Repeal Addition, deletion and/or change of certain provisions of a rule or regulation Integration of multiple, similar regulations into one legal document. Removal of invalid rules and regulations from an agency s website and roster of active issuances. Full elimination of a rule/issuance because it has been deemed no longer necessary.

25 Process Consultation & Crowd-sourcing Stocktaking of Existing Regulations Self- Assessment Policy Analysis Administrative Simplification Regulatory Mapping Identification & Assessment of Options Deciding Which Option to Take Post Implementation Monitoring & Review Public Reporting Implementation of the Chosen Option

26 Approaches Whole of government approach to regulatory reform aimed at cutting red tapes affecting ease of doing business and the delivery of social services; Employ a horizontal approach (inter-agency) to upgrade quality of existing regulations; Developmental, stakeholder focused and evidence based approach to regulatory decision making

27 Updates STOCKTAKE Total As of June 13, ,388 Enrolled for 1 st Repeal Day (3,777) Balance for Review 13,611 Additional Submissions 16,514 As of October 31, ,125

28 Updates Amendment of the 2009 Implementing Rules and Regulations of Republic Act 9184; Omnibus Rules and Regulations Governing Travel Taxes; Simplification of the process of securing Alien Employment Permits Consolidation of Rules and Regulations on the Change of Office Address of Corporations

29 Updates Review, repeal and/or amendments of laws and regulations to improve trade of goods in the Philippines (import and export processes) Finalization of List of Policy Imperatives for Inclusion to the National Logistics Master Plan; Repeal and/or Amendments of CAOs and CMOs in accordance with the Customs Modernization and Tariff Act; Further Review of the IRR of RA 9184;

30 Updates Inventory and ongoing assessment of laws and regulations imposing non-tariff measures; Repeal and/or amendment of rules and regulations governing the operations of private ports; Repeal and/or amendment of rules and regulations governing cargo handling in ports; Amendment of product standards Repeal of JMC No. 1, s and issuance of DTI- DILG and DICT JMC No. 1, s. 2016

31 Updates Partnership with the Senate Committee on Trade, Commerce and Entrepreneurship and its counterpart in the House of Representatives - Passage of the Ease of Doing Business Bill (incl. Relevant amendment to the Local Government Code) and National Competitiveness Bill - Comprehensive Amendment of Republic Act No Passage of the Bill Creating the Government Efficiency Office to establish and institutionalize efficient and effective regulatory management system - Amendment of the Corporation Code of the Philippines

32 Updates From 8 agencies participating in June 2016, it has increased to 75 agencies participating as of October 31, 2016 Partnership with United Kingdom s Regulations Delivery Office in the Development of the Philippines Regulatory Cost Model Establishing partnerships with the Civil Service Commission, Philippine Institute for Development Studies, UP Diliman, ADMU, DLSU, PUP and PSPA Second Repeal Day on December 8, 2016 at Philippine International Convention Center

33 We NEED YOU... Submit your proposals to:

34 Thank you. F O L L O W U S on your favorite social @DTI.Philippines