U.S. Department of State
Background Notes:  Philippines, November 1997


Official Name: Republic of the Philippines

PROFILE

Geography

Area: 300,000 sq. km. (117,187 sq. mi.).
Cities: Capital--Manila (pop. 10 million in metropolitan area). Other 
cities--Davao (725,000), Cebu (550,000). 
Terrain: Islands, 65% mountainous, with narrow coastal lowlands. 
Climate: Tropical, astride typhoon belt.

People

Nationality: Noun--Filipino(s). Adjective--Philippine. 
Population (1996): 70.2 million. 
Annual growth rate: 2.3%. 
Ethnic groups: Malay, Chinese. 
Religions: Catholic 83%, Protestant 9%, Muslim 5%, other 3%.
Languages: Pilipino (based on Tagalog), national language; English, 
language of government and instruction in higher education. 
Education: Years compulsory--six. Attendance above 97% in elementary 
grades, 55% in secondary grades. Literacy--90%. 
Health: Infant mortality rate (1993)--42/1,000. Life expectancy (1993)--
66 yrs. 
Work force (1994): 27 million. Agriculture--47%. Government and 
services--37%. Industry and commerce--16%. 

Government

Type: Republic. 
Independence: 1946. 
Constitution: February 11, 1987.
Branches: Executive--president and vice president. Legislative--
bicameral legislature. Judiciary--independent . 
Administrative subdivisions: 13 regions and Manila, 77 provinces, 61 
chartered cities. 
Political parties: Lakas Ng Bayan (Lakas/NUCD), Laban Ng Makabayano 
Pilipino (LAMMP), and other small parties. 
Suffrage: Universal and compulsory at 15. 

Economy

GDP (1996): $83.8 billion. 
Annual growth rate (1996): 5.7%. 
Per capita income: $1,193.
Natural resources: Timber, copper, nickel, iron, cobalt, silver, gold. 
Agriculture: Products sugar, coconut products, rice, corn, pineapples, 
bananas, aquaculture. 
Industry: Types textiles and garments, pharmaceuticals, chemicals, wood 
products, food processing, electronics assembly. 
Trade (1996): Exports--$20.5 billion. Imports--$31.9 billion.

U.S.-PHILIPPINE RELATIONS

U.S.- Philippine relations are based on shared history and commitment to 
democratic principles and on vibrant economic ties. The historical and 
cultural links between the Philippines and the U.S. remain strong. The 
Philippines modeled its governmental institutions on those of the U.S. 
and continues to share a commitment to democracy and human rights. At 
the most fundamental level of bilateral relations, human links continue 
to form a strong bridge between the two countries. There are an 
estimated 2 million Americans of Philippine ancestry in the United 
States and more than 100,000 American citizens in the Philippines.

Until November 1992, pursuant to the 1947 Military Bases Agreement, the 
United States maintained and operated major facilities at Clark Air 
Base, Subic Bay Naval complex, and several small subsidiary 
installations in the Philippines. In 1983 and 1988, the United States 
and the Philippines completed successful reviews and extensions of the 
Military Bases Agreement, as amended. In August 1991, negotiators from 
the two countries reached agreement on a draft treaty providing for use 
of Subic Bay Naval Base by U.S. forces for 10 years. The draft treaty 
did not include use of Clark Air Base, which had been so heavily damaged 
by the 1991 eruption of Mt. Pinatubo that the U.S. decided to abandon 
it.

On September 16, 1991, the Philippine Senate rejected the bases treaty, 
and despite further efforts to salvage the situation, the two sides 
could not reach agreement. As a result, the Philippine Government 
informed the U.S. on December 6, 1991, that it would have one year to 
complete withdrawal. That withdrawal went smoothly and was completed 
ahead of schedule, with the last U.S. forces departing on November 24, 
1992. On departure, the U.S. Government turned over assets worth more 
than $1.3 billion to the Philippines, including an airport and ship-
repair facility. Agencies formed by the Philippine Government are now 
converting the former military bases for civilian commercial use, with 
Subic Bay serving as a flagship for that effort. Discussions continue on 
the nature of a status of forces agreement appropriate to the post-bases 
era.

The post-U.S. bases era have seen U.S.-Philippine relations improved and 
broadened, focusing more prominently on economic and commercial ties 
while maintaining the importance of their security dimension. Philippine 
domestic political stability has resulted in increased U.S. investment 
in the country, while a strong security relationship rests on the U.S.-
Philippines Mutual Defense Treaty. Although U.S. aid to the Philippines 
has taken on a far less prominent role than in the past, assistance 
programs continue, highlighted by the July 1996 opening of a major 
airport and harbor project in General Santos City with U.S. Agency for 
International Development funding. President Ramos underscored the 
strength of the bilateral relationship by declaring July 4, 1996 to be 
Philippine-American Friendship Day in commemoration of the 50th 
anniversary of Philippine independence.

Trade and Investment

U.S. relations with the Philippines now focus on mutual economic 
interests. This is part of a global phenomenon reflecting the end of the 
Cold War, rather than the result of closing bases. The United States 
traditionally has been the Philippines' largest trading partner, taking 
about 34% of Philippine exports and providing about 18.5% of imports in 
1996. Two-way trade with the United States in 1996 exceeded $12 billion.

Principal U.S. exports to the Philippines include materials for 
semiconductor, electronic, and electrical machinery manufacture; 
electric and non-electric machinery; transport equipment; and cereals 
and cereal preparations. Major Philippine exports to the U.S. are 
textiles and garments, electric machinery, semi-conductor devices, and 
coconut oil.

U.S. investment in the Philippines is extensive, conservatively 
estimated at more than $2 billion, making the U.S. the largest foreign 
investor in the country. Since the late 1980s, the Philippine Government 
has committed itself to reforms designed to encourage foreign investment 
as a basis for economic development, subject to certain guidelines and 
restrictions in specific areas. In 1987, President Aquino signed an 
Omnibus Investment Code that aligned Philippine incentives with those of 
other ASEAN (Association of Southeast Asian Nations) members. Since 
1992, President Ramos has continued and expanded on the process, opening 
the power generation and telecommunication sectors to large-scale 
foreign investment, reforming banking laws, and securing ratification of 
the Uruguay Round agreement and membership in the World Trade 
Organization.

Indeed, widespread consensus exists on the value of continued economic 
liberalization and the importance of providing a good climate for 
foreign investment. These areas will likely continue to enjoy broad 
support in the years ahead and can be expected to be expanded by Ramos' 
successor.

In the late 1980s, the United States led a major multilateral effort for 
a new program the Multilateral Assistance Initiative aimed at helping 
the Philippine economy. Since then, the U.S. has maintained, at 
diminished levels, a development assistance program intended to promote 
a market-based economy and strengthen democratic institutions, health 
care and family planning, and environmental sustainability.

Principal U.S. Embassy Officials

Ambassador--Thomas C. Hubbard
Consul General--Kevin Herbert

The U.S. embassy is located at 1201 Roxas Boulevard, Manila (tel. 
(63)(2)521-7116; fax 522-4361; telex 722-27366 AME PH). 

GOVERNMENT AND POLITICAL CONDITIONS

The Philippines has a representative democracy modeled on the U.S. 
system. The 1987 constitution, adopted during the Aquino administration, 
established a presidential system of government with a bicameral 
legislature and an independent judiciary. The president is limited to 
one six-year term. Provision also was made in the constitution for 
autonomous regions in Muslim areas of Mindanao and in the Cordillera 
region of northern Luzon.

The 24-person Philippine Senate is elected at large, while 204 of a 
possible 250 members in the House of Representatives are elected by 
district, almost half from the metropolitan Manila area. The remainder 
of the House seats are designated for sectoral representatives appointed 
by the president. President Ramos has chosen so far to fill only a few 
of the sectoral seats.

Fidel Ramos took office June 30, 1992, in the first peaceful transition 
between presidents since 1965. Limits on presidential power established 
by the 1987 constitution have required President Ramos to rely heavily 
on often-shifting congressional support for his initiatives. Despite 
coalitions and party identification, members of the Philippine congress 
tend to be independent, changing party affiliation with ease.

After a year of consolidating his support in the congress, President 
Ramos achieved working majorities in both houses in 1993. Senate 
opposition to some of the President's economic reform proposals led to a 
move in the House in 1993 to amend the constitution in favor of a 
unicameral legislature, but the effort faltered and was shelved.

In 1994, President Ramos' Lakas Party forged coalitions with the Liberal 
Party and the Laban Party, giving him a controlling majority in both 
houses. The coalition was designed both to ease passage of certain 
legislation and to reduce competition between the two largest parties in 
the May 1995 congressional elections. In 1996, the opposition gained 
control of the Senate.

Early in his administration, President Ramos declared "national 
reconciliation" the highest national priority. He legalized the 
communist party and created the National Unification Commission (NUC) to 
lay the groundwork for talks with communist insurgents, Muslim 
separatists, and military rebels. In June 1994, President Ramos signed 
into law a general conditional amnesty covering all rebel groups, as 
well as Philippine military and police personnel accused of crimes 
committed while fighting the insurgents. In October 1995, the government 
signed an agreement bringing the military insurgency to an end. Although 
the other peace talks have not fully resolved outstanding differences 
and many of the underlying social problems have yet to be addressed, the 
communist and Muslim insurgencies no longer pose a threat to the 
government. A peace agreement with one major Muslim insurgent group was 
signed in 1996.

Congressional elections held on May 8, 1995, opened for challenge 204 
House seats and half (12) of the seats in the Senate. The coalition of 
parties led by the Lakas party gained supermajorities in both houses. 
Lakas alone won a comfortable majority in the House of Representatives. 

The president has continued to persue his reform agenda since these 
elections. Ramos' own successor in 1998 may well be drawn from the new 
Senate membership. Ramos himself was elected from a field of seven 
candidates and is expected by many observers to indicate a preference 
among the candidates who run to succeed him.

Principal Government Officials

President--Fidel V. Ramos 
Vice President--Joseph Estrada 
Foreign Secretary--Domingo Siazon, Jr.
Ambassador to the United States--Raul Chaves Rabe
Permanent Representative to the UN--Felipe Mabilangan

The Republic of the Philippines maintains an embassy in the United 
States at 1600 Massachusetts Avenue NW, Washington, DC 20036 (tel. 202-
467-9300). Consulates general are in New York, Chicago, San Francisco, 
Los Angeles, Honolulu, and Agana (Guam). 

TRAVEL AND BUSINESS INFORMATION

The U.S. Department of State's Consular Information Program provides 
Travel Warnings and Consular Information Sheets. Travel Warnings are 
issued when the State Department recommends that Americans avoid travel 
to a certain country. Consular Information Sheets exist for all 
countries and include information on immigration practices, currency 
regulations, health conditions, areas of instability, crime and 
security, political disturbances, and the addresses of the U.S. posts in 
the country. Public Announcements are issued as a means to disseminate 
information quickly about terrorist threats and other relatively short-
term conditions overseas which pose significant risks to the security of 
American travelers. Free copies of this information are available by 
calling the Bureau of Consular Affairs at 202-647-5225 or via the fax-
on-demand system: 202-647-3000. Travel Warnings and Consular Information 
Sheets also are available on the Consular Affairs Internet home page: 
http://travel.state.gov and the Consular Affairs Bulletin Board (CABB). 
To access CABB, dial the modem number: (301-946-4400 (it will 
accommodate up to 33,600 bps), set terminal communications program to N-
8-1 (no parity, 8 bits, 1 stop bit); and terminal emulation to VT100. 
The login is travel and the password is info (Note: Lower case is 
required). The CABB also carries international security information from 
the Overseas Security Advisory Council and Department's Bureau of 
Diplomatic Security. Consular Affairs Trips for Travelers publication 
series, which contain information on obtaining passports and planning a 
safe trip abroad, can be purchased from the Superintendent of Documents, 
U.S. Government Printing Office, P.O. Box 371954, Pittsburgh, PA 15250-
7954; telephone: 202-512-1800; fax 202-512-2250. 

Emergency information concerning Americans traveling abroad may be 
obtained from the Office of Overseas Citizens Services at (202) 647-
5225. For after-hours emergencies, Sundays and holidays, call 202-647-
4000. 

Passport Services information can be obtained by calling the 24-hour, 7-
day a week automated system ($.35 per minute) or live operators 8 a.m. 
to 8 p.m. (EST) Monday-Friday ($1.05 per minute). The number is 1-900-
225-5674 (TDD: 1-900-225-7778). Major credit card users (for a flat rate 
of $4.95) may call 1-888-362-8668 (TDD: 1-888-498-3648)

Travelers can check the latest health information with the U.S. Centers 
for Disease Control and Prevention in Atlanta, Georgia. A hotline at 
(404) 332-4559 gives the most recent health advisories, immunization 
recommendations or requirements, and advice on food and drinking water 
safety for regions and countries. A booklet entitled Health Information 
for International Travel (HHS publication number CDC-95-8280) is 
available from the U.S. Government Printing Office, Washington, DC 
20402, tel. (202) 512-1800.

Information on travel conditions, visa requirements, currency and 
customs regulations, legal holidays, and other items of interest to 
travelers also may be obtained before your departure from a country's 
embassy and/or consulates in the U.S. (for this country, see "Principal 
Government Officials" listing in this publication). 

U.S. citizens who are long-term visitors or traveling in dangerous areas 
are encouraged to register at the U.S. embassy upon arrival in a country 
(see "Principal U.S. Embassy Officials" listing in this publication). 
This may help family members contact you in case of an emergency. 

Further Electronic Information: 

Department of State Foreign Affairs Network. Available on the Internet, 
DOSFAN provides timely, global access to official U.S. foreign policy 
information. Updated daily, DOSFAN includes Background Notes; Dispatch, 
the official magazine of U.S. foreign policy; daily press briefings; 
Country Commercial Guides; directories of key officers of foreign 
service posts; etc. DOSFAN's World Wide Web site is at .

U.S. Foreign Affairs on CD-ROM (USFAC). Published on a semi-annual basis 
by the U.S. Department of State, USFAC archives information on the 
Department of State Foreign Affairs Network, and includes an array of 
official foreign policy information from 1990 to the present. Contact 
the Superintendent of Documents, U.S. Government Printing Office, P.O. 
Box 371954, Pittsburgh, PA 15250-7954. To order, call (202) 512-1800 or 
fax (202) 512-2250.

National Trade Data Bank (NTDB). Operated by the U.S. Department of 
Commerce, the NTDB contains a wealth of trade-related information. It is 
available on the Internet () and on CD-ROM. Call the NTDB Help-Line at 
(202) 482-1986 for more information. 

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