In its budget proposal for fiscal 2006 handed into the U.S. Congress by President George W. Bush, the aid package for the Philippines was cut by 30 percent to $87.8 million from $124 million. Foreign military financing was sliced to $20 million from $30 million and economic support was reduced to $15 million from $20 million.
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Del Rosario later told Philippines News there seemed to be no official link between the troop pullout and the proposed reduction in aid, but conceded there remains “lingering bitterness” in Washington over the incident. “There is still some lingering bitterness (over the issue),” he said, adding that there are enormous demands on the U.S. budget, and the Bush administration needs to tighten spending to rein in a runaway deficit.
Del Rosario also said the Philippines must work extremely hard, short of “dancing on our heads,” to draw the attention of key Bush government officials to its needs.
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Meanwhile, Philippine News learned that rancor towards Manila runs deep in Washington officialdom with Defense Secretary Donald Rumsfeld particularly angered by the Philippine decision to cut and run in Iraq.
“Rumsfeld is really sore at us,” a highly placed source, who spoke on condition of anonymity, said. The source said the Defense chief was particularly “scornful” of the decision by Arroyo to give in to the demands of de la Cruz’s militant Islamic captors.
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