When President Bongbong Marcos first took office, he received widespread praise both locally and internationally for his choice of cabinet members. Many saw his team as a group of the best and brightest, ready to steer the country forward. Senator Loren Legarda even described it as the “best team” to guide the economy’s recovery from the impacts of Covid-19. The Philippine business community also lauded his economic team, dubbing them the “A-Team,” highlighting their expertise and lack of political bias. This focus on the economy and the livelihood of Filipinos was a key aspect of Marcos’ administration. However, things have changed. Over two years into his term, several cabinet members have left. So, the question now is, is Marcos’ cabinet and economic team still as good as it was? Or has politics begun to play a bigger role in his new team? To get a better understanding, let’s discuss who left and who replaced them.
One of the most notable members of Marcos’ administration was Benjamin Diokno. A highly respected economist, Diokno’s appointment as Secretary of Finance was met with optimism. Many believed he could bring positive results to the country. Before this role, Diokno had served as the Governor of the Philippine Central Bank (BSP) and as Secretary of Budget and Management under Presidents Rodrigo Duterte and Joseph Estrada. His extensive experience made him a key figure in the Philippine economy. However, after nearly two years, he was replaced as Secretary of Finance.
Ralph Recto, who took over as Secretary of Finance on January 12, 2024, comes from a different background. Unlike Diokno, Recto is primarily a politician. He served multiple terms as a Senator and was once the Director-General of the National Economic and Development Authority (NEDA) under President Gloria Arroyo, though for just over a year. As a politician, Recto achieved significant milestones, including the Social Reform and Poverty Alleviation Act and the Philippine Economic Zone Law, among others. As NEDA chief, he played a crucial role in developing the government’s Economic Resiliency Plan (ERP) and introduced the REAP (Reloading Economic Acceleration Plan). Although Recto has proven himself in both economics and politics, his lack of a technical background like Diokno’s has led to mixed reactions.
However, Recto is not without controversy. In 2007, he lost his Senate seat, a defeat many attribute to his role in pushing the controversial Expanded Value-Added Tax (EVAT) law in 2005, which increased the consumption tax from 10 percent to 12 percent. While the EVAT law was later recognized as a critical fiscal reform that strengthened the economy, it damaged Recto’s political standing at the time.
Another recent addition to Marcos’ cabinet is Francisco Tiu Laurel Jr., who was appointed as Secretary of Agriculture, a position formerly held by President Marcos himself. Unlike most appointees, Laurel comes from the private sector. He is a prominent figure in the fishing industry and serves as the President of Frabelle Fishing Corporation, a leading deep-sea fishing enterprise in the Asia-Pacific region. Laurel also heads Agusan Power Corporation, which recently inaugurated a 24.9-megawatt hydropower plant that generates electricity for around 50,000 homes. Laurel’s appointment has raised eyebrows, as he was reportedly a major campaign donor during the 2022 Presidential Elections and was later appointed to Marcos’ Private Sector Advisory Council.
Another significant change in the cabinet was the departure of Alfredo E. Pascual, who served as Secretary of the Department of Trade and Industry. Pascual was highly regarded as one of Marcos’ great economic managers. He had an impressive career, having served as President of the University of the Philippines, where he transformed the institution into a research-intensive university. He also held key roles at the Asian Development Bank (ADB) and taught finance at the Asian Institute of Management. Despite his achievements, Pascual was replaced by Acting Trade Secretary Cristina Roque, a former CEO and president of the Kamiseta group of companies. Although Roque has been praised, her background differs significantly from Pascual’s, leading to questions about the direction of the department.
Perhaps the most noteworthy recent appointment is that of Gilbert Teodoro as the new Secretary of National Defense. Teodoro, who has a long and distinguished career in both the public and private sectors, is widely considered one of the best additions to Marcos’ cabinet. He previously served as Secretary of National Defense and as Chairman of the National Disaster Coordinating Council (NDCC), where he implemented key reforms in disaster risk management and defense policies. Teodoro also has an interesting past, having run for president in the 2010 elections but losing to his cousin, Benigno “Noynoy” Aquino. Teodoro has also shown his willingness to stand up to China, challenging them on various issues and championing military deals with foreign countries.
Given these changes, is Bongbong Marcos’ new cabinet still as strong as it was? Some members may be better than their predecessors, while others may not. Politics seems to play a role in some appointments, while others may be based purely on merit.