HON. ALBERT F. DEL ROSARIO

Secretary of Foreign Affairs

 

PROFESSORIAL CHAIR LECTURE

 

The Ateneo School of Government and Metrobank Foundation’s

 

2013 Professorial Chair for Public Service and Governance

4:30 p.m., Tuesday, 03 December 2013

Escaler Hall, Ateneo de Manila University, Quezon City

 

 

An Independent and Principled Philippine Foreign Policy

 

 

Introduction

Fr. Jose Ramon Villarin, SJ; President, Ateneo de Manila University;

 

Dr. Antonio G.M. La Viña, Dean of the Ateneo School of Government;

 

Mr. Aniceto Sobrepeña, President, Metrobank Foundation;

 

Ambassador Rosario Manalo; Dean, Philippine Women's University-HZB School of IR and Diplomacy;

 

Dr. Alma Salvador, Chair, Ateneo Department of Political Science;

 

Faculty members and students of the Ateneo; my colleagues in government;

 

Ladies and gentlemen;

 

Good afternoon.

 

It is an incredible honor to receive the 2013 Professorial Chair for Public Service and Governance from the Ateneo School of Government and Metrobank Foundation.  I am, without a doubt, truly humbled by this very prestigious privilege.

 

Since 1996, when the Ateneo School of Government was established to “work with effective and ethical public servants to build prosperous and just communities throughout the Philippines,” the School has consistently adhered to a brand of academic leadership that promotes excellence in research, innovation, social accountability and entrepreneurship.

 

Your kind invitation suggested that we discuss the challenges of the Department of Foreign Affairs with respect to organizational reforms, strengthening of bilateral and multilateral relations, our role in contributing to economic development and our vision for pursuing an independent, principled and rules-based Philippine foreign policy.   

 

And so today, please give me the privilege of discussing a brief history of foreign policy and the primary agency tasked with its formulation, management and implementation. From an emerging republic finding its footing in the international community after spending centuries as a colony, the Philippines has now become an active member of the international community.

 

Our formal relations reaching many states, as well as non-state actors have significantly expanded over the years. The Philippines, moreover actively engages its neighbours in ASEAN, both bilaterally and through various regional mechanisms, and has become a strong voice in fora such as the UN, APEC, World Economic Forum and ASEM.

 

We certainly have enhanced relations not only in Asia but in the rest of the globe. For example, Europe continues to be a strong development partner while the Middle East has become a significant source of foreign direct investments. Philippine presence is increasing in some African states.

 

In view of the limited time we have, however, allow me to focus later on our relations with the US and China.

 

Our remarks will be guided by the following outline:

 

1. Overview of the DFA;
2. The Three Pillars of Philippine Foreign Policy;
3. PH-US Relations;
4. PH-China Relations; and
5. The Future of Philippine Foreign Policy

 

Philippine Foreign Policy and the DFA: Then and Now

 

Let me begin with a brief historical overview[1] of the Foreign Policy goals and imperatives of the Philippine Government as well as the beginnings of the DFA, whose primary mandate is to “advise and assist the President in formulating and executing Philippine Foreign Policy.”

 

In the conduct of international relations, for more than a hundred years, from General Emilio Aguinaldo to President Benigno S. Aquino III, our Philippine foreign policy has consistently adapted to the reality of the changing times.

 

Then and now, the chief architect of Philippine foreign policy has always been the President.

 

When Apolinario Mabini, the “Sublime Paralytic,” was appointed as the first Foreign Affairs Secretary and head of Cabinet under the Malolos Republic in June 1899, foreign policy focused on seeking recognition for the Philippines as an independent state.

 

During the American colonial rule, the only external relations of the Philippines was with the US Government. Under the Office of the President of the Commonwealth, the Foreign Relations Division was created to oversee the country’s relations with the US.

 

The Japanese occupation which followed saw the creation of the Ministry of Foreign Affairs in October 1943. The Philippines then maintained only a single Embassy – the one in Tokyo.

 

At the conclusion of World War II in 1945, the Office of Foreign Relations was formed under the Office of the President. A year later, the Department of Foreign Affairs was established through an executive order, which also institutionalized the Foreign Affairs Officer Examinations.  The EO ultimately became the Foreign Service Act of 1991.

 

The 1950s and the 1960s were characterized by an increase in Philippine bilateral relations with other countries. Yet, even before the Philippines gained its independence in July 1946, the Philippines had already helped in establishing the United Nations in October 1945 as one of its founding members.

 

Throughout the 1970s and the 1980s, the DFA actively pursued opportunities overseas in the vital areas of trade, investment, finance, technology, and aid; and vigorously played a dynamic role in hosting international meetings and conferences.

 

More diplomatic missions were established in the 1990s, specifically in the Middle East, to foster ties with Arab States, and to respond to the growing presence and needs of our Overseas Filipinos in that region.

 

Today, we have established diplomatic relations with 174 countries. We have a Foreign Service Corps of almost 3,178 officers and staff here in the Home Office and in our 84 Embassies, Consulates and Missions who work in pursuit of our vision of advancing the interests of the Philippines and the Filipino people in the world community.

 

The DFA’s physical structure changed with its evolving organizational structure: from a mansion in Arlegui Street near Malacañan Palace in 1946 to a neo-classical style building at Padre Faura in 1955, to the PICC in 1987, and finally, to the former building of the Asian Development Bank in Pasay City in 1991. In 2010, the Office of Consular Affairs was housed in a separate building along Macapagal Avenue in Paranaque City to address the increasing demand for consular services.  

 

At one point, the old Ateneo Law School Building in Padre Faura was home to our Office of Consular Affairs. 

 

Like all other organizations, we take the view that there is always room for improvement, not only in our physical infrastructure but also in the way we do things. Since we assumed the foreign affairs portfolio in March 2011, we have embarked on and continued to pursue the DFA transformation program, namely: (1) restoring morale by limiting the number of political appointees; (2) upgrading economic diplomacy skills of our people through a partnership with AIM; (3) placing merit over seniority in the career advancement process (which is no easy task); (4) rationalizing our presence overseas resulting in the closure of ten Foreign Service posts and reallocating resources where these are most needed (also not an easy task); (5) bringing our services closer to the people by moving DFA offices to malls such as Gaisano, Ayala, Robinsons and SM; and (6) strongly encouraging all my colleagues to reach beyond their grasp at all times.

 

The Three Pillars of Philippine Foreign Policy

 

The people of the DFA are constantly driven by the three pillars of Philippine foreign policy, designed by the President as its chief architect.

 

Under the first pillar of promoting national security, our goal is to help create and sustain a strong and safe regional neighborhood under the rule of law. On our own, and in concert with international partners, we pursue mutually beneficial security arrangements.

 

We design defense and security relationships to manage new realities. In lieu of traditional ideas of balance of power, we emphasize engagement in new challenges, including transnational crime, terrorism, and maritime security and cooperation, as well as cooperation on humanitarian emergencies.

 

In addition to our treaty alliance with the United States, we have expanded our defense and security engagements with other countries such as South Korea, New Zealand, Italy, Spain and France. More significantly, our Senate ratified a Status of Visiting Forces Agreement with Australia in June 2012.

 

The Philippines also works with Japan in enhancing maritime security in the region. As one of two Strategic Partners aside from the US, Japan has been supporting our Philippine Coast Guard in training its personnel and upgrading its equipment.

 

From 2012 to July of this year, we successfully facilitated the conclusion of over 40 agreements on political and security matters.

 

Pursuing a sustainable peace and development agenda in the Southern Philippines is also a vital aspect of promoting national security. The Philippines appreciates the support of the international community in bringing just and lasting peace to Mindanao. The signing of the Framework Agreement on the Bangsamoro is a milestone achievement in our relentless and tireless dedication to the peace process.

 

Under the second pillar of promoting economic diplomacy, the DFA works regularly and tirelessly to support national efforts to attract foreign investment, boost trade and tourism, and encourage development assistance in order to help attain the President’s objectives of poverty alleviation and job creation.

 

As a result, we have made significant progress in economic cooperation with other countries.

 

In 2012 alone, we finalized 43 agreements involving economic cooperation in the areas of investment, tourism, development assistance, education, and air services agreements. At the same time, we assisted more than 700 inbound and outbound trade and business missions.

 

With Europe, the 2012 Philippines-EU Partnership and Cooperation Agreement, which is in the process of ratification, will allow both sides to address new challenges on issues such as customs and trade facilitation, energy and migration. Indeed, European countries are now looking at the Philippines with invigorated interest.

 

Meanwhile, the Philippine hosting of the 23^rd World Economic Forum on East Asia in 2014 and the Asia-Pacific Economic Cooperation in 2015 -- our second APEC hosting since 1996 -- provides invaluable opportunities for the Philippines to promote itself as a business and investment destination.

 

It should also be pointed out that 2015 is an important year for the Philippines and for the region. 2015 marks the deadline for many international commitments, such as the Millennium Development Goals and the realization of the ASEAN Community based on the Political-Security, Economic and Socio-Cultural pillars.

 

At the most recent ASEAN Summit held in Brunei Darussalam last October, the President firmly laid down our advocacies for an ASEAN Community in 2015 and beyond. He stressed that economic gains are underpinned by a stable and predictable political environment founded on the rule of law.

 

The Philippine economy has certainly made headway. In addition to achieving 7% or better growth for the last four quarters, the Philippines received investment grade sovereign debt ratings from major credit rating agencies: Fitch, Standard & Poor’s, Japan Credit Rating Agency, and Moody’s.

 

Standard & Poor’s moreover labels the Philippines as Southeast Asia’s main economic engine, “fueled by strong domestic demand to lead the rest of the region ahead of Asia in 2013.”

 

However, the challenge of recovering from Supertyphoon Yolanda has now been added to the Philippine socio-economic development equation. With the unprecedented devastation in Central Philippines, the critical need to provide continued relief, housing, livelihood, infrastructure and agricultural support will cost more than US$ 3.2 billion[2]. Of this, housing alone constitutes over fifty percent (50%) of the total bill.

 

The Philippines is grateful for the outpouring of support and assistance given by the international community. We truly are moved by this outpouring of support. According to the Foreign Aid Transparency Hub (FAiTH), the Philippines has received over Php21 billion or US$482.4 million[3] in total humanitarian assistance and pledges, both in cash and in kind.

 

This amount covers contributions from bilateral and multilateral partners only. In addition to these foreign contributions are rapid response teams, medical teams, field hospitals, aircraft, naval vessels and on-the-ground personnel.  Over sixty (60) countries have contributed in one form or another. To promote transparency as to the disposition of these funds, the Philippine Government has set up a website called the Foreign Aid Transparency Hub (FAiTH) managed by the Department of Budget and Management to record the inflow and disposition of the foreign assistance.

 

For its part, the DFA, as the first line of contact for international assistance, has been coordinating with foreign governments and international organizations on humanitarian assistance and disaster response efforts.

 

Moving forward, the DFA, in coordination with relevant government agencies, is focused on coordinating international funding assistance for medium- to long-term rebuilding and rehabilitation efforts

 

One might ask, how will the Philippine economy cope with the devastating impact of Supertyphoon Yolanda?

 

Finance Secretary Cesar V. Purisima assessed that the country’s GDP may contract by 0.5 to one percentage point in 2013.

 

He further said that “greater fiscal space, improved tax administration and steady remittances from Overseas Filipinos should help the Philippines recover.”[4] The Department of Finance confirmed that the Philippine Government has the fiscal strength to deal with massive infrastructure rebuilding costs which should help the Philippines in its road to recovery in the aftermath of Yolanda.

 

In fact, last November 14, Moody’s reported that it expects the Philippines’ full-year economic growth to still hit 7%, despite Yolanda’s impact and well within the Philippine Government’s growth target.  Economists at Nomura, a leading Japanese financial services firm, are also optimistic about the Philippines, stating that, in terms of the typhoon’s impact on the overall economic outlook, the typhoon “does not change the fundamentally strong macro picture that is making the country a regional stand-out.”

 

In the last three years, we have moved up 26 places in the World Economic Forum Global Competitiveness Report. In the ethics and corruption category, the country has jumped from 135^th in 2010 to 87^th this year. Should we preserve these gains, we can expect to move into the top third of the global rankings by 2016.

 

Furthermore, the latest study conducted by KPMG International and Oxford Economics for the 2013 Change Readiness Index positioned the Philippines in 18th place in terms of the capability of the country to deal with change.

 

All of these developments represent a resounding affirmation of global and domestic confidence in the Philippines.

 

Under the third pillar of protecting Filipino nationals overseas, we continue to be guided by the President’s call to be “even more responsive to the needs and welfare of our overseas Filipinos.”

 

Since 2011, starting with Libya, we have repatriated over 20,000 Filipinos in countries torn by civil strife and devastated by natural and other disasters. We continue to repatriate Filipinos from Syria and Egypt, where violence continues. Adhering to a policy that no one gets left behind, we have also had the good fortune of not losing a single life that was within our control. Additionally, we are addressing the challenges of Saudization and have so far repatriated over 4,500 undocumented Filipinos.

 

From 2012 to the first semester of 2013, we extended assistance to more than 34,000 overseas Filipinos and members of their families. Our Foreign Service personnel provide round-the-clock legal and consular assistance, counseling, shelter, and labor mediation. We undertake jail visitations, administer overseas absentee registration and voting, and help Filipinos organize themselves into communities. We network with local organizations whose purposes are aligned with our policy objectives.

 

Now it’s time for a one-minute break.  If I were to ask one of you to identify a DFA official from among a roomful of strangers, how would you go about this?  The answer is --- it would be the individual who would have the heaviest eye bags. Why?

 

Because we take care of our 10 million Filipino migrants on a 24/7 basis, in 174 countries over 40 time zones.  This has earned us the reputation as the Department that never sleeps.

 

Safeguarding our Sovereignty and National Patrimony

 

At this juncture, I wish to highlight our national efforts to safeguard our sovereignty and territorial integrity. 

 

During the Official Working Visit of President Aquino to the US last year, our leaders ushered in a new era of strategic partnership, with the US Government reaffirming support for Philippine efforts to build the country’s minimum credible defense posture. 

 

This broadening and deepening of the Philippines-US relations is being positively viewed in the context of the US rebalance toward Asia.

 

Last month, we began discussions on institutionalizing increased rotational presence or IRP.  IRP is the policy which increases the presence of US forces in Philippine territory and is meant to support the development of a minimum credible defense posture through capability-building and combined activities. It also entails high-impact, high-value joint exercises focusing on maritime domain awareness, maritime security, humanitarian assistance and disaster response. The IRP is premised on mutuality of benefits and is in full accord with the Philippine Constitution.

 

The IRP framework has completed four negotiating rounds with several remaining issues still to be agreed upon. We hope to see its conclusion at the earliest possible time.

 

As it is, we already benefitted from the overwhelming and timely provision of resources by the US in search, rescue and relief operations in areas devastated by Yolanda. Over 50 aircraft and ships, including over 1,000 marines and US soldiers, provided direct assistance on the ground to save countless lives. The immediate and comprehensive support of the US on humanitarian assistance and disaster response highlights the areas of cooperation included in the IRP framework.

 

The US rebalance to Asia is not only limited to defense and security cooperation but also encompasses economic arrangements and greater people-to-people exchanges.

 

Within the bilateral Trade and Investment Framework Agreement (TIFA) which was signed in November 1989, the United States has always been an important trade partner of the Philippines. In 2012, total two-way trade in goods and services between the Philippines and U.S. was valued at $17.6 billion.

 

The US is our largest grant provider, second largest trading partner, second biggest source of foreign tourists and our third biggest investor.

 

Still in the context of on-going engagements on trade and investment issues under TIFA, the Philippine Government has “expressed interest in joining the Trans-Pacific Partnership (TPP) agreement at some point in the future.”  TPP is a “21^st century”, high-standard trade arrangement under negotiation by 12 countries such as Australia, Brunei, Chile, Canada,

 

Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States, and Vietnam. Last December 2012, President Aquino has instructed our Philippine Economic Managers “to move on with the TPP talks.” Following the President’s directive, the Department of Trade and Industry established technical working groups to discuss six (6) key focus areas on the TPP talks: Agriculture, Investments, Labor, Services, Government Procurement, and Intellectual Property Rights.

 

With a robust development partnership for more than five decades, the Philippines and the U.S. Millennium Challenge Corporation (MCC) signed the $434 million, five-year Philippine Compact in September 2010.

 

Its ongoing projects include revenue generation, infrastructure, poverty reduction and good governance.

 

The Philippines was also selected as one of the four pilot countries, and the only country in Asia, for the Partnership for Growth (PFG) program. This is in recognition of our track record in partnering with the US government and our potential for continued economic growth.

 

In this program, the US Government has committed an estimated $170 million to pursue three (3) key areas of policy engagement: (i) improving the regulatory environment; (ii) strengthening the rule of law and anti-corruption measures; and (iii) improving fiscal space. 

 

Philippines-US relations have reached new heights. In the words of US Secretary of State John Kerry, “Our bilateral ties are literally unbreakable.”

 

Ladies and gentlemen,

 

There has been no forum where I was not expected to discuss the West Philippine Sea issue. The core issue here clearly is China’s claim of indisputable sovereignty over nearly all of the South China Sea under its nine-dash line position. It is a claim that is expansive, excessive and in gross violation of international law, specifically UNCLOS. China’s continuous overwhelming naval and maritime presence in the area is also contributing to the raising of regional tensions. 

 

We have undertaken many efforts to engage China peacefully and settle these disputes. However, all of these were unsuccessful. The Philippines has exhausted all reasonable political and diplomatic avenues for a peaceful negotiated settlement of its maritime dispute with China. Our last resort is to utilize the legal track towards the resolution of these disputes.

 

From the Philippine perspective, the rules-based approach contains two elements: the first is the third-party arbitration towards resolution of maritime disputes, in accordance with the universally recognized principles of international law, specifically UNCLOS; and the second is the expeditious conclusion of a Code of Conduct on the South China Sea between ASEAN and China towards the management of tensions. Both initiatives are anchored on international law.

 

The Philippines initiated arbitral proceedings in January this year. Upon official invitation, China refused to participate. We see arbitration as an open, friendly, and durable solution to the dispute. We believe it benefits everyone.

 

For China, arbitration will define and clarify its maritime entitlements. For the Philippines, arbitration will clarify what is ours, specifically our fishing rights, rights to resources and rights to enforce laws within our Exclusive Economic Zone. For the rest of the international community, the clarification of maritime entitlements will assure peace, security, stability and freedom of navigation in the South China Sea. 

 

On the status of the arbitration, the Arbitral Tribunal has adopted the rules of procedure and decided that the Permanent Court of Arbitration in The Hague shall act as the Registry in the proceedings. Again, China refused to participate in the proceedings. Nonetheless, I must tell you that the decision of the Arbitral Tribunal will be legally binding on all parties and will not be appealable. The Philippines will submit its Memorial by 30 March 2014.

 

The Philippines fully supports ASEAN’s efforts to work towards the early conclusion of a substantive and legally binding Code of Conduct to promote the peaceful management of tensions in the South China Sea. The Philippines is encouraged by the results of recent meetings between officials of ASEAN and China where both sides agreed to begin discussions on the workplan for the Code of Conduct.

 

Despite the challenges we face in protecting what is ours, the Philippines endeavors to maintain a constructive relationship with China, one that is mutually beneficial. We maintain that our dispute in the West Philippine Sea is not the sum total of our relations. In fact, in 2012 and 2013, the Philippines and China celebrate the “Years of Friendly Exchanges” (YFE), which includes such activities ranging from cultural exchanges to media familiarization tours.

 

The President is firm in his conviction to uphold his agreement with Chinese President Hu Jintao in 2011 not to let the maritime dispute affect the broader picture of friendship and cooperation between the two countries.

 

We acknowledge China’s role in world affairs and support its peaceful rise. To be truly viewed as a positive force, China must manifest its adherence to and respect for the rule of law.

 

The Future of Philippine Foreign Policy and Clarion Call to Ateneo Students

 

My dear students and future leaders of our country:

 

In pursuit of an independent, principled and rules-based foreign policy, the men and women of the DFA have committed themselves to the following continuing imperatives:

 

1. With the President as Chief Diplomat, to promote and defend Philippine national interests and initiatives in the global arena, ranging from maritime security and counter-terrorism, to economic cooperation and people-to-people exchanges;

 

2. To meaningfully expand the Philippines’ bilateral and multilateral relations in order to gain maximum benefits in promoting our national interests;

 

3. To further improve the welfare of overseas Filipinos, regardless of their circumstances, and to prepare ourselves to effectively address the challenges of their growing numbers and the expanding complexity of their needs;

 

4. To continue to upgrade and broaden the skills of our foreign service personnel towards a more proactive, relevant and effective Department of Foreign Affairs; and

 

5. And finally, to further improve global perception about the Filipino people: hardworking, resilient and world-class!   

 

Given these imperatives, where will our foreign policy lead us?

 

 

Our foreign policy will continue to evolve in relation to our history, identity and aspirations as a people. It will be defined by the integrity of our national leadership, the institutional arrangements, and the ever-changing international environment. It will succeed with a creative ability to cooperate, negotiate and assert our rightful place in the community of nations.

 

Some things, though, will and should remain the same.

 

Foreign policy should be principled. At the core of foreign policy are the ultimate goals of protecting national interest and uplifting the lives of Filipinos. Foreign policy exists as a natural extension of a fundamental commitment and promise to serve our citizens, whether residing in the Philippines or abroad.

 

Whatever activities or decisions the DFA will make should be in fulfillment of its mandate to provide principled service to the Filipino public.

 

Foreign policy should be independent. Independence does not of course mean having to sever ties with other countries; rather, it means being able to know and stand up for one’s self, despite the odds, in order to protect, pursue and promote one’s national interests. It also means strengthening relations with other countries to become aware of their motivations and positions. Diplomats are trained precisely to manage relations with other governments and to report to the Philippine Government significant or sensitive developments that may become an input to national decision-making processes.

 

Foreign policy should continue to advocate, and to be based on, the rule of law. Since the Philippines is not as economically strong and militarily powerful as other countries, the rule of international law, for example, will serve as the great equalizer.

 

And you, dear students, can have a direct hand in formulating, managing and implementing Foreign Policy. I invite you all to take the Foreign Service Officers’ Examinations as a first step towards becoming career diplomats. The FSO Exams are said to be one of the most difficult exams in the Philippines, but with the long tradition of quality education and leadership that has become the hallmark of Ateneo, I have no doubt that you will welcome and accept this challenge to becoming a world-class and a committed public servant, in the spirit of the Jesuit motto, ad majorem dei gloriam.

 

Finally, I would want you to know that the majority of the team that I had put together to formulate my remarks have been influenced by a Jesuit education.

 

Notably, of the last eight Foreign Secretaries, six were Jesuit products, including former Vice-President Teofisto Guingona Jr., Secretaries Alberto Romulo, Domingo Siazon, Roberto Romulo, Raul Manglapus and myself.

 

Indeed, the tradition of Jesuit training has been a foundation of leadership in the country.

 

Now more than ever, the country counts on the patriotism of all Ateneans to lead and support the national efforts to address our current and future challenges.

 

Thank you, Good afternoon and Mabuhay!