Sen. Imee Marcos proposes debt payment suspension for COVID-19 cash aid

Senator Imee Marcos proposed a temporary suspension of the Philippines' debt payments to allocate funds for cash aid to individuals and companies affected by the enhanced community quarantine due to the COVID-19 pandemic.

Marcos suggested a debt moratorium as a third measure, alongside budget realignments and international loans, to fund the social amelioration program amidst uncertain lockdown durations.

The senator highlighted that the P451 billion allocated for interest payments in the 2020 national budget could be repurposed for cash aid under the Bayanihan Heal As One Act.

Additionally, the P582 billion for principal debt amortization could also be reserved for financial assistance.

She argued that increased cash aid would be necessary if extended lockdowns continue to limit business operations and people's livelihoods.

Marcos stated that a debt moratorium aligns with the World Economic Forum's call for international cooperation during the COVID-19 crisis.

She specifically mentioned that developing nations, particularly in Asia and Africa, should be granted debt payment extensions to better support their citizens' medical needs.