Pump-priming is a strategy which involves the implementation of projects in the public sector, usually in infrastructure, to boost economic development. It is a way of making the economy strong and attain levels of growth needed to overcome an economic problem such as poverty.

There are at least two effects of using more funds in pump-priming. One is employment. Jobs are generated because infrastructure projects create jobs, and therefore, increases income.

Another major effect is the use of the projects in promoting production in agriculture, industry and services. Thus, it has multiplier effects.

The decision of the national government to stick to its targeted P125 billion deficit despite higher revenues will have the effect of pump-priming the economy.

The 2006 national government budget would have done it. However, since that was not approved by Congress (and the 2005 budget was reenacted), the executive department can re-align its savings to infrastructure projects that will have the maximum effect on accelerating economic growth and also solving social problems such as in education and health.

We should hope, from our regional perspective, that our major infrastructure projects will be among those selected for such pump-priming.

If this is done, then the related projects being implemented by local government units and the private sector will get a much needed boost in Eastern Visayas.