ECONOMIC HISTORY OF BARMM
Before 1521
Pre-Spanish Period
The economy was based on trade, agriculture, and bartering without a centralized fiscal system
The economic history of the BARMM presents a rich and complex journey. Prior to Spanish arrival in 1521, the region thrived on trade, agriculture, and bartering, with robust interactions with nearby Asian kingdoms including China, India, and the Middle East. There was no centralized fiscal system in place, but each community had its own system of revenue collection or tribute. [1]
1521 – 1898
Spanish Colonial Period
The Spanish enforced a tribute system, but struggled to implement fiscal policies due to resistance from the Moro people
The Spanish period from 1521 to 1898 brought numerous economic changes, with the colonizers imposing a tribute system. However, the system was met with fierce resistance from the Moro people, and economic activities like trade suffered significant transformations, as reflected in the growth of Philippine commercial activity in the Sulu Archipelago during the late 18th century. [1]
1898 – 1946
American Colonial Period
The U.S. introduced a new taxation system and infrastructure development but faced resistance and geographical challenges
From 1898 to 1946, under American rule, the U.S. struggled with what they referred to as the “Moro problem.” They introduced new taxation systems and invested in infrastructure development, but enforcement was difficult due to resistance and geographical challenges. Land migration policies like the Quirino-Recto Colonization Act further complicated the socio-economic landscape. [2]
1946 – 1960s
Post-Independence
Philippine fiscal policies for national integration struggled with taxation and expenditure challenges due to land conflicts
In the post-independence period from 1946 to the late 1960s, efforts were made to integrate the region into the national economy. However, fiscal policies faced challenges in taxation and public expenditure due to persistent land conflicts. [3]
1970s – 1996
Mindanao Armed Conflict
The GPH-MNLF conflict led to economic decline and disruption in taxation and public expenditure
The period of armed conflict from the 1970s to 1996, marked by the establishment of the Moro National Liberation Front (MNLF), Moro Islamic Liberation Front (MILF), and subsequent conflicts, led to economic decline, with both taxation and public expenditure severely affected. The crisis deepened during Martial Law in 1989, contributing to increasing economic instability. [4]
1989 – 2018
Establishment of ARMM
The establishment of ARMM provided a new political framework for economic policies and development programs
The establishment of ARMM provided a new political framework for economic policies and development programs. Despite fiscal autonomy and budget provision from the national government, the ARMM faced challenges in optimizing their systems and processes. [5]
2019 – Present
BARMM Government
The BOL increased fiscal autonomy and tax share for the region, with impacts dependent on local factors and policy implementation
The establishment of BARMM in 2019, through the ratification of the Bangsamoro Organic Law, ushered in hope for greater regional autonomy. The law provides an increased share of local taxes, fees, and charges, and a larger share of national taxes [6]. The true impact of these fiscal policies, however, will be determined by the implementation and the evolving local economic conditions.