    [Public Papers of the Presidents of the United States: George W. Bush (2003, Book I)]
    [May 19, 2003]
    [Pages 505-510]
    [From the U.S. Government Publishing Office www.gpo.gov]

    [[Page 505]]

    The President's News Conference With President Gloria Macapagal-
    Arroyo of the Philippines
    May 19, 2003

        President Bush. Thank you all very much. Please be seated. Welcome.
    We'll have some opening statements. The President and I will answer some
    questions, two apiece per side. We'll alternate.
        It is my honor to welcome President Arroyo back to the White House.
    We took office on the same day over 2 years ago, and we have worked
    closely ever since. President Arroyo is a friend of America and a friend
    of freedom. I appreciate her strength. I appreciate her courage. And I
    appreciate you being here today, Madam President.
        The relationship between the Philippines and the United States is
    stronger today than at any time in our recent history. Our alliance
    helps ensure the security of both our countries. This is a vital
    alliance. And I was pleased to inform President Arroyo that the United
    States plans to designate the Philippines as a major non-NATO ally. This
    step will allow our countries to work together on military research and
    development and give the Philippines greater access to American defense
    equipment and supplies.
        The President and I also discussed developments in Iraq. I
    appreciate her strong support for the disarmament and liberation of that
    country. I'm also grateful that the Philippine Government plans to
    commit military police and medical personnel to assist in the
    reconstruction of Iraq.
        The Philippines and the United States are strong allies in the war
    on terror. The murder of citizens from both our countries last week in
    Saudi Arabia reminds us that this war is far from over. The Philippine
    Government is strongly committed to defeating terrorists operating in
    its own part of the world, such as the Abu Sayyaf group.
        The United States is committed to helping when asked. President
    Arroyo and I reviewed last year's highly successful deployment of U.S.
    troops to the southern Philippines, and we agreed to a similar
    deployment in the near term, in which U.S. forces would support
    Philippine-led antiterror operations.
        The President and I also reviewed the developments with the Moro
    Islamic Liberation Front, MLIF. That group must abandon the path of
    violence. If it does so and addresses its grievances through peaceful
    negotiations, then the United States will provide diplomatic and
    financial support to a renewed peace process.
        My country welcomes President Arroyo's commitment to improve the
    capacity of the Philippine Armed Forces, and we are prepared to help. We
    have agreed to launch a comprehensive review of Philippine security
    requirements and how the United States can best support Philippine
    military modernization and reform. In addition, we are prepared to help
    Philippine forces address their most pressing needs, such as mobility,
    equipment, and spare parts.
        Our countries have a strong economic relationship, and America
    supports President Arroyo's program of economic reform. We agreed to
    launch an initiative to make it easier and less costly for Filipino
    workers in America to send remittances back to the Philippines. I also
    informed President Arroyo that the United States will be extending new
    benefits to World War II veterans from the Philippines who fought side
    by side with American forces to defend freedom.
        Finally, I'm honored to accept President Arroyo's generous
    invitation to visit the Philippines this fall, when I intend to travel
    to Southeast Asia for the APEC leaders meeting. In the meantime, to keep
    our relationship moving forward, we'll be sending

    [[Page 506]]

    other senior officers to Manila, starting with our Energy Secretary,
    Spence Abraham.
        The Philippines and America are old friends who are tackling a lot
    of new challenges. Our relationship is strong; our relationship is
    growing stronger.
        Madam President.
        President Macapagal-Arroyo. Thank you, Mr. President. Thank you once
    again for inviting me on this state visit. As I said earlier, this shows
    how warm is the relationship within our two countries. We've become
    closer because of the war on terror, but our closeness is certainly
    rooted in our deep and long shared history.
        We became closer with the war on terror because the Philippines is
    one of the first countries to join this war on terror. And the reason
    why we did it is that we in the Philippines know what it is to suffer
    from the hands of terrorism. We know the pain of terrorism. And we are
    with you in your leadership against terrorism, wherever it may be found.
    There may be others who might feel tainted or hostile about U.S.
    leadership in the war against terrorism. We believe that the U.S.
    leadership and engagement with the U.S. makes the world a safer place
    for all of us to live in.
        But this trip is not just about terrorism, it's about fighting
    poverty. Poverty and terrorism are twin evils that we must fight. For
    the Philippines, we consider the U.S. a strategic partner not only in
    security matters but also in the economy, in the fight against poverty.
    I appreciate the support President Bush has announced with regard to our
    security assistance and also with regard to our economic assistance and
    economic cooperation with each other.
        And in other meetings that we will be having with American
    officials, with multilateral agencies that are based in Washington, DC,
    and with the U.S. private sector, there will be other developments
    related to this visit that I'm sure will enhance our relationship with
    each other even more.
        There's been a lot of work in preparation for this state visit. I
    was supposed to come earlier. I was supposed to be here last March.
        President Bush. Right.
        President Macapagal-Arroyo. And we've been working on what we can
    have together in this state visit. But because we postponed it and we
    didn't know the date of the state visit, because we didn't know the
    timetable for the war, there were many things that America already
    helped us with in preparation for this state visit, even without a date.
    So we--I'd like to thank you, President Bush, for what we have been able
    to achieve before the state visit, what we are achieving in this state
    visit, and what we will be achieving afterwards, because of the deeper
    relationship that we have entered into, culminated in this wonderful
    visit of ours to your country.
        President Bush. Madam President, thank you.
        We'll start off with Tom [Tom Raum, Associated Press].

    War on Terror

        Q. For both Presidents, do the recent suicide--the recent terror
    bombings, including the ones in Morocco and Saudi Arabia, suggest that
    Al Qaida is regrouping and back in business? And if so, is there a
    chance that we overestimated the damage that we did to the organization?
        President Bush. First of all, I have said this is going to be--
    always said this is going to be a long war, that--not only a long war, a
    new kind of war. We're trying to chase down people who hide and move
    around in the dark corners of the world, and they plot, and they plan,
    and then they pop up and kill. They don't care about innocent life. And
    we're making progress. I mean, we are, slowly but surely, dismantling
    the Al Qaida operational network.
        But we've got a lot of work to do, which means we've got to continue
    to work together to share information, cut off money, share
    intelligence, and hunt these people down and get them before they get
    us. And that's why I appreciate President

    [[Page 507]]

    Arroyo's leadership. She's tough when it comes to terror. She fully
    understands that in the face of terror you've got to be strong, not
    weak. She knows, like I know, that the only way to deal with these
    people is to bring them to justice. You can't talk to them. You can't
    negotiate with them. You must find them, and that's precisely what our
    alliance is continuing to do.
        And so I'm pleased with progress we've made, but I will continue to
    warn the American people, like I've been doing for a long time, that
    this is still a dangerous world we live in. Clearly, the attacks in
    Saudi Arabia mean that we've got to be on alert here at home, that we've
    got to be diligent, that we've got to understand there's an Al Qaida
    group still actively plotting to kill.
        We're working on the clues out of Morocco to determine whether
    there's a direct connection between that Al Qaida operation and what
    happened in Morocco. Time will tell. But the world is dangerous, which
    means that we've got to continue to renew these alliances and these
    friendships to make sure that we make the world more secure.
        President Macapagal-Arroyo. Well, there's been great progress in the
    war on terror. But certainly, it is not yet over. The Al Qaida and its
    sister terrorist organizations are finding their way not only in Africa,
    not only in the Middle East but also in Southeast Asia. And as we have
    seen, therefore, terrorism knows no borders. And that's why, while each
    country must take greater responsibility for its own economic and
    political security, it is also important that we enhance our regional
    and international cooperation in this war against terrorism.

    Filipino-U.S. Relations

        Q. Just to get direct quotes from both Presidents, I'd like to know
    exactly how the war against terrorism has affected the U.S.-Philippine
    relations, and how you intend to nurture this relationship beyond what
    is military and for a more prolonged and sustained period.
        President Macapagal-Arroyo. Well, as I said earlier, it's made the
    U.S. and the Philippines closer to each other. And for me, because in
    the beginning of my term, of my tenure, we were fighting a lonely fight
    against the terrorists in southwestern Philippines, I felt that when we
    formed the global coalition against terrorism, then we were no longer
    alone. The world came to know how bad terrorism is, something we have
    known for a long time. And the world came to help us, because in the
    international coalition, we started to help one another.
        I welcome the support of the world, and I welcome the support of the
    U.S. in our war against terrorism.
        President Bush. Yes, I remember right after September the 11th,
    President Arroyo called me, and there was no doubt in my mind where she
    stood. It was more than the condolence call. It was a let's-get-after-
    them call. And I knew that we had--I had a strong ally and friend when
    it came to chasing these people down, which is precisely what we have to
    do. And she knows that, and that's the strategy she's employed.
        And so you asked a question about what this war on terror has meant
    for our relationship. First and foremost, it meant that I've got a great
    deal of respect for your President and her courage and her willingness
    to fight for security of the Philippine people and to defend freedom.
    And she is a great example of leadership in a part of the world that is
    a dangerous part of the world.
        As President Arroyo mentioned, not only are there, obviously,
    actions around the Middle East and not only do we have to make sure our
    own homeland is secure, but Southeast Asia is a dangerous part of the
    world too. And the Philippines have witnessed this danger firsthand, and
    we'll continue to work, at her request, along the guidelines that are
    necessary in your Constitution, to work for freedom and security.

    [[Page 508]]

        Tom--I mean Holland, Steve [Steve Holland, Reuters]. Excuse me.

    Middle East Peace Process

        Q. Are you going to put the Middle East roadmap on hold in the wake
    of the latest bombings? Do you still have confidence in Prime Minister
    Abbas----
        President Bush. Yes, I've got confidence we can move the peace
    process forward. But the bombings, the recent bombings--I mean, Prime
    Minister Sharon is fixing to come over here,
    and of course, there are terrorists who want to disrupt the visit by
    bombing and killing. It's clear there are people there that still cannot
    stand the thought of peace. And therefore, it reminds--it gives me a
    chance to remind people in the region, if you're interested in moving
    the peace process, join us in fighting terror.
        And I still believe that we need to--not only believe, I will move
    the process forward. But it is clear that the process is not going to be
    smooth so long as terrorists kill. And it's a stark reminder that there
    are killers who can't stand the thought of peace. And it's sad, and it's
    pathetic. But--and therefore, we must all work together--and I say
    ``we,'' those of us who care for peace. People in the Palestinian
    Authority who care for peace must work with us to fight off terror.
    People in Israel who care for peace will work with us to fight terror.
    The countries in the region that long for a peace process must
    understand that what's more important than process is results, and that
    we've got to work together to cut off the funding and the support and
    activity of the terrorist killers who can't stand peace. Europe must
    work with us to do everything we can to discourage the terrorist
    activities that derail a process toward peace.
        No, the roadmap still stands. The vision of two states existing side
    by side in peace is a real vision and one that I will work toward. But
    we've got a lot of work to do to convince all of us who care about peace
    to step up and fight off terror, to cut off the money and to find these
    people and bring them to justice.
        No, we're still on the road to peace. It's just going to be a bumpy
    road. And I'm not going to get off the road until we achieve the vision.
        President Macapagal-Arroyo. Well, the road to peace is really very
    difficult, but it's very important that we cooperate. And in Southeast
    Asia, I would like to say that, in addition, that if we are going to
    fight terrorism successfully and achieve peace, what is important is
    that we work on it together and we have a comprehensive approach,
    because terrorism will spread like a contagion. It will spread like SARS
    if we don't address the poverty that represents the breeding grounds for
    terrorism.
        In the Philippines, terrorism thrives and gets its recruits, not
    coincidentally, in the provinces that are the poorest, in the region
    that is the poorest in our country. That is why I appreciate the support
    of President Bush not only for the security assistance in the war
    against terrorism but also in the efforts to fight poverty and the
    socioeconomic ills that plague southern Philippines especially.
        That is our roadmap to peace. Every region has its specific roadmap
    to peace. We have some roadmaps in common; we have some that are
    specific to us. But for our region, it is a comprehensive approach. And
    I appreciate President Bush for understanding the comprehensive approach
    and helping us through it.
        President Bush. Final question. Do you care to call on somebody,
    Madam President?
        Q. I was about to ask about the economic side of it----
        President Macapagal-Arroyo. Yes.

    Filipino-U.S. Relations

        Q. ----but both of you have already spelled it out in details.
    Anyway, Mr. President Bush mentioned, and please comment on this, Mrs.
    President, about the non-

    [[Page 509]]

    NATO--designate the Philippines as a non-NATO status----
        President Bush. Right.
        Q. ----and about the MILF--your offer of assistance in the MILF
    problem, because we have poverty problem there now.
        President Bush. Well, my offer of assistance, it depends upon the
    MLIF choosing peace as a peaceful reconciliation of issues. If they
    continue to want to use terror and force, we will be involved to the
    extent that the President invites us to be involved, within the
    Constitution of the Philippine Government.
        And the other part of the question?
        Q. Non-NATO status.
        President Bush. Non-NATO status, yes. That puts the Philippines
    right up there with Australia, Egypt, Israel. These are major non-NATO
    allies, which means it will be easier for us to answer requests on
    military equipment, to provide parts and equipment to make sure that the
    defense capabilities of the Philippine military are modern and the
    choppers fly, choppers are maintained, choppers move, when the President
    orders up a strike, it happens quickly. All this does is facilitate the
    capacity to interact with each other on a better basis, on a priority
    basis.
        Secondly, the other thing I talked about was a comprehensive review
    of--and that just means our military is going to be involved with your
    military, the Philippine military, in such a way as to determine needs
    and assess whether or not we've got the capacity to help meet those
    needs.
        Q. And the poverty problem?
        President Bush. And the poverty problem--listen, this Nation is
    committed to dealing with poverty. First, let me make it very clear,
    poor people aren't necessarily killers. Just because you happen to be
    not rich doesn't mean you're willing to kill. And so it's important to
    understand--people are susceptible to the recruitment by these
    extremists, but I refuse to put a--put killers into a demographic
    category based upon income. After all, a lot of the top Al Qaida people
    were comfortable middle-class citizens. And so one of the things you've
    got to do is to make sure we distinguish between hate and poverty.
        Secondly, trade is an important aspect of helping to create the
    conditions necessary for people to rise out of poverty. And we talked
    about our trade relationship. An aspect of poverty is food, and we
    talked about our Agricultural Departments working together for the Food
    for Peace program and the interchange along that. In other words, all up
    and down--energy we talked about--all up and down the different aspects
    of our society, we had meaningful discussions. Not only in the Cabinet
    Room but prior to this and after this day, our Secretaries, respective
    Secretaries, will continue to interface to create the conditions
    necessary for prosperity to reign.
        The other thing that's important is the Philippine Government must
    also assume their responsibilities. And I was very impressed by the
    discussions on tax reform. The President put out a bold initiative. I
    was most pleased that the Speaker were here in
    Washington, DC, and they were very receptive, it seemed like to me, to
    some of the tax proposals that the President laid out, to make sure that
    the budget of the Philippine Government is more efficient in collecting
    the revenues due to the Government. And so, in other words, it's a
    comprehensive approach, and it's one we spent a lot of time discussing.
        President Macapagal-Arroyo. With regard to poverty, I don't see
    poverty only as a means to fight terrorism. Fighting poverty is an end
    in itself. So I agree with President Bush. It's not poverty that causes
    terrorism. Terrorism breeds on poverty, and poverty breeds on terrorism.
    They reinforce each other, and that's why we must fight them together.
        And I came to Washington not just about terrorism but fighting
    poverty for its own--for the sake of the fight. And I believe that many
    of the things that we have

    [[Page 510]]

    worked on together are things that fight poverty and, incidentally,
    fight terrorism. But even if there were no terrorism, they certainly
    fight poverty and are--do the better for our country.
        For instance, the GSP privileges that we've been able to enjoy.
    Since my last visit with President Bush, we've been able to have--we've
    been able to enjoy about a billion dollars a year, and again, reinforced
    now, in GSP privileges. And if we get to include things like carrageenan
    in the GSP list, as we are negotiating now, that's going to give a lot
    of work to all those people in the coastal areas of Mindanao, especially
    the areas which I said are the poorest provinces in our country.
        And then another example of getting together in the fight against
    poverty is working also on investments. And one of the things that we
    talked about is--and one of the things that we'll be getting together on
    would be more insurance, OPIC insurance for U.S. investments in the
    Philippines. So that's going to create more jobs.
        And President Bush talked about the remittances of our OFWs. I hope
    that in 3 to 6 months a study can be done and our OFWs can be--our
    overseas Filipinos can begin to send the remittances with these reduced
    costs. And based on the Mexican experience, the costs can go down by as
    much as $300 million a year. And that's going to provide a lot of income
    to the Filipinos back home, and the commensurate jobs that they can
    provide.
        So all of these things are important in themselves. And
    incidentally, they also help us to fight poverty--poverty and terrorism
    at the same time.
        President Bush. Thank you all very much.

    Note: The President's news conference began at 11:45 a.m. in the East
    Room at the White House. In his remarks, he referred to Prime Minister
    Ariel Sharon of Israel; Jose de Venecia, Jr., Speaker of the Philippines
    House of Representatives; and Franklin M. Drilon, President, Senate of
    the Philippines. A reporter referred to Prime Minister Mahmoud Abbas
    (Abu Mazen) of the Palestinian Authority.