Canada and the Philippines signed a deal Saturday to help Manila buy military equipment to defend its territory, Canadian Prime Minister Stephen Harper and Filipino President Benigno Aquino said.
The Philippine defense department and state-run Canadian Commercial Corp. signed the agreement as Harper met Aquino at Malacañang Palace in Manila, the two leaders announced at a joint news conference.
The deal was inked amid a territorial dispute between the Philippines and China over islands and waters in the West Philippine Sea.
"This memorandum of understanding will enable the Philippines to acquire the equipment and expertise it needs to fulfill the country's defense and security agenda," Harper said.
Under the deal, Filipino purchases of equipment and expertise from Canada's $12.6 billion (US$12.6 billion) defense industry are guaranteed by the Ottawa government, according to a Canadian government statement.
"This will help us in our efforts to build our defense and security capabilities," Aquino said, declining to elaborate.
"I cannot go into specifics lest they be observed by less friendly individuals," he added.
Faced with communist and Islamist insurgencies and an increasingly assertive China, Aquino noted that the military had just two transport aircraft, no fighter jets and just 132 mainly World War II-era ships.
"The fundamental issue is that we have a lot of outmoded equipment," he said.
The Canadian Commercial Corp. serves as a go-between between Canadian suppliers and foreign governments to transact defense and security contracts.
The Philippines has been in the market for patrol vessels to protect its waters, including areas that overlap with territory claimed by China.
Manila's military treaty ally the United States is set this year to deliver a second refurbished Hamilton-class cutter, previously used by the US Coast Guard, to the Philippine Navy.
Last month the Philippine Coast Guard announced it would buy five patrol boats from France for about 90 million euros ($116 million), partly to guard disputed areas in the South China Sea.
The Philippines and China began a stand-off in April over the Scarborough Shoal, a group of islets in the Sea which the Philippines says are well within its 200-nautical-mile exclusive economic zone.
China claims the shoal as well as nearly all of the South China Sea, even waters close to the coasts of neighboring countries.
People-to-people links, trade ties
Meanwhile, Aquino said the Philippines expects closer ties with Canada also in terms of trade and "people-to-people links."
He noted there are 800,000 Filipinos in Canada, and it "behooves us to work closely with Canadian authorities" to guarantee the protection of Filipino migrant workers.
"It is, therefore, only right that our countries work together in order to better guarantee the protection and welfare of our Filipino migrant workers, and to ensure that the labor requirements of Canada are met. As such, we have discussed labor cooperation and mobility," he said.
On trade ties, Aquino maintained the Philippines is "open for business under new management."
For his part, Harper promised further investments in the Philippines in the next three years.
OFW contributions
Harper also said he is pleased to see the many ties that bind Canada and the Philippines are strengthening.
He particularly cited the "hardworking Filipino men and women" who he said are present in every community, and "make contributions to sectors of the economy."
He cited Filipino-Canadian Senator Tobias Enverga Jr., who he thanked for his contributions to Canada.
Also, he said Canada is thankful for the contribution of Filipinos to Canadian society.
Meanwhile, Aquino said Canada voiced support for promoting peace and development in Mindanao.
He said Harper expressed optimism over the Bangsamoro Framework Agreement, and relayed Canada’s commitment to support the peace process in Mindanao.-GMA News (November 10, 2012 3:30PM)
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