Zambo conflict has ‘no major economic impact’

MANILA, Philippines – The standoff between government troops and the Moro National Liberation Front (MNLF) in Zamboanga City will have no significant impact on the economy, the country’s economic managers said Tuesday, September 17.

“I don’t think the situation there is going to cause any major economic impact,” Budget Secretary Florencio Abad told reporters following the 2013 Philippine Economic Briefing.

LIVE BLOG: Philippine economic briefing 2013 

Abad noted government has made progress in containing the situation.

“I don’t think it will drag on. The situation has considerably been minimized in terms of the areas covered by the MNLF as well as the extent of the firefight,” he said.

The death toll in Zamboanga rose to 99 as the standoff went on for the 9th consecutive day Tuesday. On Monday night, the military declared that 70% of the battle zone had been cleared.

Crisis contained in Zamboanga

Finance Secretary Cesar Purisima said they doubt that the violence will spread to other Mindanao areas where business hubs are located.

He said government is nevertheless doing all it can to “settle the issue” with the Aquino administration putting in a lot of resources to make sure lasting peace is achieved in Mindanao.

He said Mindanao is a “major area of opportunity” for the country, accounting for 20% of gross domestic product.

Tourism Secretary Ramon Jimenez said in the same briefing Philippine tourism did not suffer from the Zamboanga conflict.

READ: Tourism arrivals steady despite Zamboanga crisis

“As of this morning, there were no (booking) cancellations… We have an image shaped not just by news but also active promotions.” – Rappler.com