Screenshot from www.neda.gov.ph

After serving more than a year in the Arroyo cabinet, National Economic and Development Authority (NEDA) Director General Ralph Recto Tuesday declared plans to step down from his post to pursue his senatorial ambitions next year.

Recto, also socio-economic planning secretary, has decided to quit from the cabinet effective mid-August to run for senator, according to Executive Secretary Eduardo Ermita.

Ermita said President Arroyo has accepted the resignation of Recto, who was appointed NEDA chief in July, 2008 a year after he lost in the senatorial race. “I don’t see why the President will not accept it. She respects his decision,” Ermita said.

NEDA deputy director general Augusto Santos will serve as officer in charge when Recto quits her cabinet portfolio, Ermita said.

Presidential political adviser Gabriel Claudio said the President herself announced Recto’s planned departure from NEDA during the weekly cabinet meeting held at the Department of Foreign Affairs in Pasay City. Recto made his “valedictory” NEDA report that centered on the plans to sustain the resiliency of the domestic economy during the cabinet meeting.

“When he was about to make his GRIN (Global Recession Impact News) presentation, the President interrupted Recto and announced that this was the valedictory presentation of Ralph because he is leaving the cabinet effective August 16,” Claudio said in a phone interview.

Claudio said Recto took the occasion to thank the President and the cabinet for having served as NEDA chief. “It was no longer a surprise to the cabinet that he was leaving due to his political plans,” he said.

He said Recto would run under the administration’s senatorial slate and expressed optimism he will get re-elected. “Recto is a shoo-in because of his performance in the Senate, performance in the cabinet and his own popularity plus the machinery of the party,” he said.

Claudio rejected speculations that Recto was leaving NEDA due to his alleged rift with Energy Secretary Angelo Reyes over the prices of petroleum products. He said the cabinet members, including Reyes, even had a friendly chat during the cabinet break and after the meeting at the DFA.

Rolando Tungpalan, deputy director general of NEDA, said Recto is scheduled to hold a press conference on Wednesday noon to explain his decision.

Recto, in a recent interview, said he was still undecided if he will run again for senator next year, adding he prefers to spend more time with his family.

“There’s time for that. I have no plans. But of course you want to redeem yourself. You want to win but it’s hard. It’s never an easy decision to decide to run for public office, especially running for the Senate, it’s costly,” he said.

Recto, who authored the law on 12 percent value added tax on goods and services, lost in the 2007 senatorial race under the administration slate. In July 2008, he was appointed director general of the NEDA.