Interview with Arroyo: Extended Transcript — page 2

TIME: Do you think that the escape of al-Ghozi has damaged the reputation of your government, either at home or around the region?
Arroyo: Well, certainly the escape of a prisoner adds volatility to the peace process. We have to recognize that indeed, many forces are at work to make the peace process fail. but I am very hopeful that we can overcome these challenges. The time has really come for peace.

TIME: Has the Philippines' role as a training base for terrorism been overstated, or has it been fairly cast?
Arroyo: Terrorism has become a trans-national phenomenon. Certainly, terrorism has networks in Southeast Asia. And that's the reason why we have to have a trans-national and regional approach to terrorism. That's the reason why after 9/11, I initiated a trilateral agreement with my neighbors Malaysia and Indonesia so that we could work on terrorism together. We have been joined by Thailand, Vietnam, Cambodia in this. I believe we will soon be joined by Brunei as well. We are working together with the United States and with Australia, which is also part of the area of interest. The important thing is what do we do to address these threats.

TIME: Have you been satisfied with the work your security forces have done, in general, against terrorism?
Arroyo: They do what they can, given the fact that we have limited modern resources. But that's the reason why I have engaged our neighbors and allies in this fight. And that's why I am using hard-collected money to buy more assets. I'm buying 20 helicopters, which has not happened in a long time. We're putting money in modernization, where in the past we were always relying just on assistance, because we are determined to strengthen our capability to fight terrorism.

You talk about the escape [of al-Ghozi]. But catching him in the first place was a great contribution that we have made. And other terrorists have also been caught. We have been very aggressive in the fight against terrorism, because we know what terrorism is. Because even before 9/11 we already had terrorism in the southwestern Philippines. Now that this is a world struggle, we have partners, and we enthusiastically accept their help to fight terrorism and to win the peace in the Philippines. And we also lend our support to fighting terrorism in the world and in the region. Fighting terrorism means winning a war, but also winning a peace. And the fact that peace is within grasp with the MILF is in itself going to be a major blow to terrorism. Because the terrorists will have one ally less.

TIME: When you wake up in the morning, what is the first issue that pops into your mind?
Arroyo: When I first became president, it was the economy—and it remains my focus. After 9/11, it became very clear that the focus must be both peace and security. So every day that I wake up and all the hours that I am working, everything that I do is always, "How does this contribute to the economy? How does this contribute to the security of our country?" That's always my concern.

TIME: So specifically the first thing you worry about is the economy?
Arroyo: The economy and stability. Because in this post-9/11 world, they are twin challenges, not only for the Philippines but for all countries.

TIME: In another year, can you achieve everything you've set out to achieve on the economy?
Arroyo: It's not so much that we achieve it all, but that we set irreversible directions.

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