PRESIDENT Arroyo yesterday called for ending protectionist policies and dependence on developed countries before leaving for Switzerland for the World Economic Forum.

She said developing countries including the Philippines must not allow “bankrupt developed countries” to dictate the rules of trade and finance if they were to survive the global economic crisis.

Decoupling between rich and poor nations and reforming the financial system were significant steps that must be taken, she said in Palayan City, Nueva Ecija.

“We need fundamental changes in the global financial regulation,” she said.

“The economy of America collapsed because of the fall of their sub-prime market. So even before this kind of credit crisis hits us, we need to implement some changes.”

Mrs. Arroyo said developed nations were not in a position to dictate global economic policies and insist on their own protectionist systems since their own economies had collapsed.

“They have fallen but we’re still standing. The lesson here is to become self-sufficient,” she said.

“And we should continue to strive for free markets and open trade. If we become afraid to trade because of this crisis, our economies will grow smaller and what happened during the Great Depression might be repeated.” Joyce Pangco Pañares