Public spending in Philippines stalls amid fight against graft

Manila

THE Philippines ended 2014 with its weakest economic report in almost three years as moves to curb graft and check abuse of power at all levels of government deterred public spending. President Benigno Aquino now faces the challenge of convincing officials to unclog the logjam.

China's anti-corruption crackdown led officials to slash luxury spending and entertainment. In the Philippines, a similar drive saw civil servants delaying projects as varied as rail lines, fishing ports and free chickens for the poor, according to budget officers. About US$1.85 billion, or 15 per cent of planned state spending, went unused in the third quarter, government data show.