Bread or missiles? A critical look at defense priorities amid PH’s socioeconomic and geopolitical challenges

UNDER President Ferdinand Marcos Jr.’s administration, the Armed Forces of the Philippines has expressed interest in acquiring advanced weapons systems, such as the US-made Typhon mid-range missile system. This system, capable of launching Standard Missile-6 and Tomahawk missiles with ranges of approximately 240 kilometers (km) and over 1,500 km, respectively, is intended to bolster the country’s defense and deterrence capabilities, particularly within its exclusive economic zone in contested areas such as the disputed South China Sea (SCS). Deployed by the US Army in the northern Philippines during joint military exercises in early 2024, the Typhon system enables force projection up to 200 nautical miles (370 km).

However, the plan has drawn opposition domestically and internationally. Critics, including China, have labeled the move “provocative and dangerous,” warning of heightened geopolitical tensions and a potential arms race in the region. China’s foreign ministry has urged the Philippines to reconsider, emphasizing the importance of regional peace, security and stability.

As a Filipino, I am compelled to ask: Is it prudent to prioritize acquiring high-grade military assets amid the myriad of pressing domestic challenges our country faces today? These include a persistent budget deficit, an alleged most corrupt 2025 proposed national budget, the weakening peso against the dollar, rising sovereign debt, a negative balance of payments and insufficient funding for social welfare programs, among others, which are issues that directly impact the daily lives of Filipinos and reflect an ailing economy.

Moreover, the justification for investing in advanced weapons systems or platforms with capabilities extending to 200 nautical miles (NM) warrants critical examination. Do we face a tangible external threat that necessitates such acquisitions? Or could these resources be better allocated to address more immediate and tangible concerns, such as poverty alleviation, health care, education and investing capital in our agriculture, and physical and digital infrastructure development for our economy to have a more positive outlook and trajectory both in the short and long run?

These questions merit serious reflection, not only among the Filipino populace but, perhaps most importantly, within the administration of President Marcos. Striking the right balance between national defense, and economic and social priorities is crucial to ensuring a secure and sustainable future for the country and the Filipino people.

Implications

Moreover, many Filipinos’ opposition to the acquisition of a mid-range missile system such as the US-made Typhon stems from multiple factors, including economic constraints, domestic priorities and geopolitical dynamics.

The Philippines is grappling with a significant and growing sovereign debt. As of the end-September 2024, the Philippines’ national government’s outstanding debt reached a record high of P15.893 trillion, marking an 11.4-percent increase from P14.268 trillion in September 2023. This debt level represents a debt-to-GDP ratio of 60.9 percent as of the first half of 2024, slightly above the internationally accepted threshold of 60 percent. The majority of this debt, approximately 68.81 percent, is sourced from the domestic market, while the remaining 31.19 percent is from external borrowings. Note that external debt is subject to risks like currency devaluation, which can increase the cost of repayment if the local currency weakens against the currency in which the debt is denominated. Also, the increase in debt is attributed to the current government’s ongoing fundraising initiatives to support budgetary requirements. No less than Finance Secretary Ralph Recto has projected that the country’s sovereign debt could potentially reach more than P20 trillion by the end of President Marcos’ term in 2028.

In addition, the proposed 2025 national budget has been criticized for alleged irregularities and has been labeled by many as the “most corrupt” in the country’s history due to alleged pork barrel funds, which suggest that discretionary funds may be channeled to political allies rather than for development, eroding public trust. Hence, critics argue that allocating funds for a high-cost defense system is ill-timed when essential services like education, health care and social welfare that require substantial investment are underfunded. I believe that addressing poverty, inequality and the social welfare of Filipinos should be prioritized first over the acquisition of a missile system at this point. It should be noted that modern weapons systems are expensive, and the Philippines has a budget deficit and limitations. Developing and maintaining these systems require significant technological and logistical infrastructure, and that would mean financing.

Furthermore, the country faces a fragile recovery from the economic disruptions of the Covid-19 pandemic, compounded by global inflation and rising commodity prices. Expensive defense acquisitions could further strain public finances. Likewise, the missile system acquisition decision comes amid pressing domestic issues such as critical infrastructure deficiencies, including roads, public utilities and disaster resilience systems/infrastructures, which are in need of urgent upgrading, especially in light of frequent natural calamities like typhoons and volcanic eruptions. In addition, there are serious food security concerns in the country, with high inflation and import dependence exacerbating food insecurity, with many Filipinos struggling to meet basic needs, including a public health system under strain requiring long-term investments in facilities, workforce and community health initiatives. Hence, at this time, funds allocated to be spent on missile systems could be redirected to programs that directly improve the lives of ordinary citizens.

Strategic and geopolitical implications

While enhancing national defense capabilities is vital in the face of regional tensions, my contention is on the timing and necessity. I believe that the country should focus on economic and human capital development at this point. If the concern is all about the SCS dispute vis-à-vis China, there are alternative approaches, and some of these are strengthening diplomatic channels and participating in multilateral frameworks.

Note that the move to acquire weapons systems or platforms with capabilities extending to 200 NM, like the Typhon missile system from the US, is a perceived provocation, which could escalate regional tensions, particularly with China, and is viewed by many and even by regional countries as catering to external and strategic interests/priorities of the US in the Indo-Pacific region rather than being a purely Filipino-driven initiative. Likewise, this move also carries implications for regional peace, stability and security. The country’s introduction of advanced missile systems may contribute to a regional arms race, potentially increasing tensions among neighboring countries in a region marked by complex geopolitical tensions. Hence, careful consideration of its broader implications for regional peace, stability and international relations is required.

Conclusion

The debate over acquiring a missile system underscores the delicate balance between defense spending and socioeconomic priorities. While modernizing military capabilities is important, it must be pursued within a framework that safeguards essential public services and avoids exacerbating geopolitical tensions. Strategic defense investments should align with immediate security needs and long-term national interests, ensuring they complement rather than undermine domestic welfare and development goals. Striking a balance between defense, diplomacy and socioeconomic priorities is essential for fostering sustainable development, strengthening public trust and securing a brighter future for the Filipino people and the nation as a whole.

Source: The Manila Times
https://www.manilatimes.net/2024/12/28/opinion/columns/bread-or-missiles-a-critical-look-at-defense-priorities-amid-phs-socioeconomic-and-geopolitical-challenges/2027952

Prof. Anna Rosario Malindog-Uy

Prof. Anna Rosario Malindog-Uy is a Ph.D. Candidate at the Institute of South-South Cooperation and Development (ISSCAD), Peking University, Beijing, China. Currently, she is a Senior Researcher of the South China Sea Probing Initiative (SCSPI) and a Senior Research Fellow of the Global Governance Institution (GGI). Prof. Anna Uy taught Political Science, International Relations, Development Studies, European Studies, Southeast Asia, and China Studies. She is a researcher-writer, academic, and consultant on a wide array of issues. She has worked as a consultant with the Asian Development Bank (ADB) and other local and international NGOs.