Aquino has promised to address these issues.

Despite a threat from the Catholic Church to excommunicate him, the president has vowed to support passage of a reproductive health rights bill. Aquino has also recognized that the huge fiscal deficit will hamper his ability to promote social amelioration programs. The deficit was projected to balloon from $6 billion to $6.9 billion in 2009, equal to 4% of GDP. It is expected, however, to go down to $2.69 billion by the end of 2010 and be reduced to 1.5% of GDP. The new president also vowed to plug loopholes in an extremely inefficient tax collection system and to prosecute tax evaders before considering raising taxes. But he did not oppose the decision of his economic officials to increase sin taxes and to impose higher toll fees on vehicles plying express highways. (p.171)

FINALLY . . . STABILITY? Aquino has formed a new panel for renewed talks with the Moro Islamic Liberation Front (MILF), which has ceased demanding a separate state in favor of an autonomous, Muslim-run sub-state in the southern island of Mindanao. The rebel group appears to still wield power in provinces in Mindanao where Muslims are still the majority. But there is also talk in the war zones that its leadership is beginning to feel some mass pressure for a peace agreement. The government has also convened a new panel to negotiate with the communists, but the CPP has yet to respond to this overture. The Partys decision to support the candidacy of Manuel Villar in exchange for his generous financial support and the inclusion of the CPPs (p.171) most popular legal personalities in his Senate slate, boosted revolutionary coffers. But the millions of pesos it received were not enough to put its Senate candidates in the winning column during the May 2010 elections. This pact with Villar caused additional dissension within the ranks. Finally, the CPPs New Peoples Army continues its guerrilla warfare against the military, but its urban forces are unable to bounce back from the systematic elimination of its cadres by Philippine military and paramilitary forces during the Arroyo period. These insurgencies may still cause volatile conditions to persist in certain parts of the Philippines, but they have not destabilized the state. Yet, the greatest threat to Aquino is most likely from the Supreme Court. That body has shown its loyalty to his predecessor, ruling against Aquinos attempt to remove Arroyos midnight appointments and threatening to stop a Truth Commission investigation of corruption and human rights violations. This time, the folks who believe in gaba are praying that the curse will prevent the resilient Arroyo from completely undermining the new regime. (p.172)