Mediaboss Marketing

MANILA-European Chamber of Commerce of the Philippines (ECCP) President Guenter Taus said the decision of the Duterte administration to stop taking aid from the European Union has "astonished" them since such grants were usually "unconditional."

"We are taken by surprise/astonished by the recent news regarding the Philippines' refusal to accept further EU grants Usually grants by the EU (worldwide) are unconditional and are given in support for various (mostly humanitarian) purposes," he said in a statement Thursday.

Taus said most of the bloc's grant "was earmarked for developing Mindanao, i.e. peace process, green power solutions etc."

Presidential Spokesperson Ernesto Abella on Thursday clarified Philippines was only rejecting EU aid that comes with conditions that may interfere with the countrys internal affairs.

Humanitarian aid which are usually given unconditionally would still be accepted by the Philippines and that existing grants will continue to be implemented until otherwise reviewed by the government, Abella said.

Taus said there may be confusion with the grant schemes and noted that they usually provide clear guidelines.

"Perhaps there may be some confusion/mix ups here with the GSP+ (Generalised Scheme of Preferences) and/or FTA (Free Trade Agreement) Schemes. Both do usually come with clear guidelines and conditions attached, which are always mutually agreed upon and accepted upon signing of these treaties," he said.

"In this particular case, GSP+, an agreement that covers 6300 items for tax and duty free import into all EU countries did have some mutually agreed upon conditions attached to it, while for the FTA it is premature to speculate as it is an agreement still under negotiation," he added.

Taus explained that "In the absence of fully understanding the underlying reasons for the refusal it has to be said that the grant is really designated to further improvements nationwide and to help alleviate poverty as well as establishing peace and order."

He also emphasized the need to ensure peace and order in the country for the business community.

"As far as the business community is concerned, it has been pointed out by most (if not all) business sectors, that peace and order is an essential and integral part of doing business and attracting investments, no matter where these come from. Hence grants help to expedite this very cause," he said.

"While usually grants are not affecting businesses, it must be said that they do greatly contribute to creating desirable conditions for businesses to thrive and spur inclusive growth as it creates much needed jobs and grants come free of charge and conditions," he added.

Read more:
ECCP 'astonished' by PH refusal of aid from European Union - ABS-CBN News