Housing - Squatting and villages : the competing answers to housing problems in the Philippines

1. Cesar Villanueva Cours Metis FUNDP, 29/10/07 Housing - Squatting and villages : the competing answers to housing problems in the Philippines Philippines = is an archipelago situated off the southeastern coast of the Asia Mainland 1,707 islands 91 million people (estimate for 2007) 110 ethnolinguistic groups (languages) 85% Christian Presidential, unitary form of government Member of Association of SE Asian Nations (ASEAN)

2. Philippine Population • Population: 83.7 million (2006) 91,077,287 (July 2007 est.) • Age structure: 0-14 years: 34.5% (male 16,043,257/female 15,415,334) • 15-64 years: 61.3% (male 27,849,584/female 28,008,293) • 65 years and over: 4.1% (male 1,631,866/female 2,128,953) (2007 est.) • Population growth rate: 2.36% annually (highest in Asia) the country’s population is projected to reach 118.4M in 2025 and 147.3M in 2050. • Birth rate: 24.48 births/1,000 population (2007 est.) • Death rate: 5.36 deaths/1,000 population (2007 est.) • Net migration rate: -1.48 migrant(s)/1,000 population (2007 est.) • Sex ratio: at birth: 1.05 male(s)/female • under 15 years: 1.041 male(s)/female • 15-64 years: 0.994 male(s)/female • 65 years and over: 0.767 male(s)/female • total population: 0.999 male(s)/female (2007 est.) • Population below poverty line: 40% (2001 est.)

3. Urban Poverty (Geographical Distribution) • Geographical distribution of urban poverty reflects stark inequities in spatial and economic development. In 2000 9.7% of families in Metro Manila lived in poverty as compared with 39.5% and 63.9% of urban populations in Central Mindanao and Autonomous Region of Muslim Mindanao, respectively (NSO). • Poverty in the Philippine urban areas is evolving into a problem as the unabated growth in population and the influx of rural dwellers to urban areas put pressure on the ability of cities to accommodate their social and economic needs.

4. Squatting Trends in the Philippines Population Growth and Urbanization • The Philippines is the world's 12th most populous country, with a population of over 85 million as of 2005. • The Philippines has one of the highest population growth rates in the world at an average of 2.36% observed in the last eight years. • Of the total population of 76 million (2003), 40 million (52%) live in urban areas. By 2010, urban population is projected to increase to 56 million (60%). • Metro Manila (Capital) - is now the 17th among the world's population urban agglomerations and will rise to the 15th by 2015. (Philippine Population Commission) • at least one third of the Philippines' population concentrated in its four towns and 13 cities. • Where 2/3 of the total population reside and more than 50% of its 11 million population live in slums or depressed areas.

5. Causes of Squatting “The urban poor live mostly in high-risk areas, such as along riverbanks or highly sensitive coastal areas, canals, railroad tracks, utility corridors and watersheds, which are considered high-risk areas. The TWG data show that in 1999 35 percent of the urban population lived in areas where access to services is either poor or non-existent.” Together with a rapidly burgeoning population are 1) growing urbanization, 2) increasing urban poverty and 3) worsening economic inequity. 1) Rapid Urbanization Rural population continues to migrate to urban areas, primarily to search for better economic opportunities. One-third of the population can be found in 14 major cities (UNFPA, 1999), which gives the Philippines the highest level and rate of urbanization in Southeast Asia (POPCOM, 2000a).

6. 2) Increasing Urban Poverty The poor suffer the most from this deterioration in the quality of life in urban areas. Due to the limited choices available to them, the urban poor are forced to locate themselves either at the fringes, where access, employment, and livelihood opportunities are limited, or at the urban core where they suffer from overcrowding, lack of services, and lack of suitable housing. “The unabated growth in urban population can exert environmental, economic, and political pressures on urban systems, and the institutions that are responsible for them. Social services and air and water quality in most urban areas are already below the desired levels. Provision of education, health, livelihood, housing, transportation, and other social and economic infrastructure requirements of the 56 million people forecast to live in urban areas by 2010 will become difficult.” 3) Inequity in social and economic development • unequal access to economic opportunities, global markets and market information, • disparities in the provision of infrastructure • inequalities in income.

7. General Housing Problems • The National Shelter Program estimates the backlog of housing need in urban areas at 2.5 million in 2004, of which 44% of the need will be in the NCR. Other data that include slum housing in the backlog, estimates the need at 4.5 million. • The problem of housing is more a problem of supply than affordability.More than one-third of the urban population live in slum areas and half of the 1.4 million urban poor households reside in Metro Manila. Quite often, access to services in these settlements is inadequate. • Between 1990 and 1995, resettlement programs became widespread. While the magnitude of resettlement programs rose dramatically from 1,972 in 1990 to 12,369 in 1995, the number of slum upgrading, sites and services, and housing construction programs by the National Housing Authority (NHA) fell precipitously in the same period.

8. Challenges in the Housing Sector “ PHILIPPINES NEEDS TO BUILD 3.75 Million HOUSES BY 2010 TO MEET NEED.” • Need for an enabling environment with clear and supportive regulatory frameworks and equitable legal systems for security of tenure • Land conversion takes time and costs a lot of money; the government can exempt socialized housing beneficiaries from paying the conversion fee • Many LGUs do not have an approved Comprehensive Land Use Plans thus, resulting in the absence of areas identified for socialized housing

9. Lack of understanding among socialized housing beneficiaries, NGO originators and government officials of the social development goals and procedures mandated by the 1992 Urban Development and Housing Act (UDHA) • Need for functional and efficient systems and structure • Creation of Local Housing Board (LHB) - At present, the Urban Poor Affairs Office caters to the needs of the POs but they have many other concerns apart from housing. The creation of a Local Housing Board will help the POs process their documents. G) Streamlined Zoning Requirements • 0. Additional requirements from the zoning board should be kept at a minimum because many urban poor groups have difficulty completing the processing of their documents. Any additional requirements must always be assessed vis-à-vis their applicability and practicality. • 0. Need to generate adequate resources in implementing Secure Tenure programs • 0. The guidelines for processing should be clear and the government should make it easier for the POs to process documents. This serves as an incentive for POs to organize since they get discouraged to proceed with their applications when processing takes long. • 0. While CMP appears to be the most affordable option for the poor sector, the centralized processing of documents (e.g. Purchase Commitment Line and Letter of Guarantee) limited funding, complicated procedures, lack of appreciation among government regulatory agencies and petty corruption at different levels of the bureaucracy restrain the program in achieving a wider impact.

10. H) Proper Resource Allocation and Complementation • Resources are always considered to be limited and thus, identifying the potential universe and magnitude of resources that can be tapped from the national government, local governments, private sector and donor community for urban development needs should be seriously looked into. The national budget has been criticized for its lack of urban development considerations in determining its priorities and distribution of funds. Hence, synchronizing and complementing resource infusions to urban development concerns should be done. Interim financing for CMP projects • a revolving fund that will allow POs to immediately close the sale of an available property. I) Need to develop capacities of NGAs, LGUs, NGOs, and POs for effective delivery of housing services • Provision of land development and basic services in CMP communities. • In view of the low capacity of housing associations to follow up or process their documents, there is a need for a technical support from housing and related agencies • The low financial capacity of NGOs, who are usually the originators in CMP, limits their ability to serve the POs. CMP processing can be made to adjust to such concerns. • Lack of technical assistance and capability among the POs in tackling the issues on settlements.

11. Sources / References Philippines : Country Report (Philippine Commission on Population) Fifth Asian and Pacific Population Conference 11-17 December 2002, Bangkok, Thailand Peoples Daily online http://english.people.com.cn/200408/19/eng20040819_153814.html CIA World Factbook https://www.cia.gov/library/publications/the-world-factbook/geos/rp.html#People POPULATION • http://english.people.com.cn/200408/19/eng20040819_153814.html • https://www.cia.gov/library/publications/the-world-factbook/geos/rp.html#People CAUSES OF SQUATTING • Adopted from UNFPA Country Assessment, 1999 p. 24. • Note: The 1995 estimates are based on a 1990 projection on urban population by Eduardo T. Gonzalez, et al. "Population and Urbanization: Manageing the Urbanization Process under a Decentralized Framework," Settlements, Growth Zones and Urbanization (Manila, December 1998). • Source: Census of Population and Housing 1960-1995.