Economic life under Spain

By: Michelle Ann Ramel and James Prae Liclican

 Slow development under Spain
The slow progress was due to the lack of Spain in
practical matters.
Economic life Their interest was in Catholicism and their dream of
having an empire in Asia.

Under Spain Spaniards did not really know how to make money
grow.
While we were a colony of Spain, the Filipinos did not
really share in the wealth of the nation.
Economic Changes made by Spain.
New way of land ownership
Encomienda system
Tribute
Polo or forced labor
Abolition of slavery
Galleon Trade and annual
subsidy from Mexico
Introduction of new plants and
animals
Introduction of new industries
Economic society and royal company
Specific survey
Opening of the Philippines to world
trade and foreign investments
Rise of banks
Improvement on transport and
communication
Prizes and international exhibitions
 Spaniards introduced the idea
New way of land that the person and his family
Ownership could own a land.
Tribute
The residence tax during the
Spanish times
One Peso per year
Single person should pay
one-half peso.
In cash or in good.
1884-tribute was replaced by
cedulla tax
People in the Philippines were
very unhappy with these taxes
because the Spanish officials
cheated and oppressed them
Today, Filipinos of 18 years
and above still pay the cedulla
in their local town or city. In
exchange, they are given a
residence certificate.
 Money from the tribute upon a
certain conquered territory.
Encomienda Given by the king to a Spanish
conquiscator (colonizer) as a reward
for his services.
 Owner of the encomienda.
Encomiendas can keep the tribute for himself
instead of giving it to the government.
1951-267 encomiendas in the Philippines.
Due to abuses, it was abolished in 16th
century.

Encomiendas
Polo or forced labor

16-60 years old male Filipinos were forced to work for the government for
a few weeks a year 40 days
1884- Reduced to 15 days
Polistas- forced labourers
Polistas worked for various public works.
Polistas could get out of work by paying a sum of money or hiring
somebody else to do his polo
Filipinos did not like polo
Abolition of Slavery

16th century- Spanish

missionaries protested to the
King about keeping of slaves
in the Philippines.
1589- royal decree was made
Abolish slavery in our country
Philippines were ahead of
other countries in giving
freedom to slaves.
United States did not ban
slavery ban slavery until 1833.
Galleon Trade and
Subsidy from
Mexico
Galleon Trade and
Subsidy from
Mexico
Named after the sailing ship
which sailed once a year
from Manila to Acapulco
Mexico.
Profitable business for
Spanish Merchants and
corrupt government who ran
it.
1815- It ended when Mexico
revolted against Spaniards.
 Cannot afford to pay for its expenses
(salaries and public works) and always-
Spanish colonial needed money to keep on running, so
Government the king sent financial aid to manila very
often.
Royal subsidy

Financial aid
From the Mexican viceroy because Spain ruled us
through Mexico until the early 19th century.
250.00- the average amount of subsidy
It ended on 1810 after the Mexican evolution.
Introduction of new plants and animals

Among these new plants were corn, cacao, beans,

achuete, maguey, peanuts, Chico, and papayas
New animals included sheep, cattle, goats, horses,
pigeons, swans, carabaos, ducks, geese, and better
breeds of chickens and roosters.
 Better methods of farming: cattle ranching,
making candle and soap.
The construction of stone houses, building of
Introduction of

roads, bridges, and dams.

New industries
The weaving of mats and hats.
They grow large amount of sugar, hemp,
coconut, and tobacco.
Become the pillars of the Philippines.
Economic Society and Royal Company
Economic society of friends of the Philippines
Existed only during Spanish era.
1781 founded by Governor General Basco.
Governor General Basco helped develop
Philippine agri-cultural the most.
Sent the first shipment of indigo (dye) to
Europe.
Brought special birds from china to fight
the locusts that destroyed crops.
Gave special prizes to planters and
investors.
Imported seeds and machinery from
United States to help farmers.
1809 economic society stopped operating
Royal company of the Philippines
1785, king Charles III
Took advantage of the trade and shipping
industries.
Owned by king, foreign banks, private
citizens in Spain, Mexico, Cuba, the
Philippines and other Spanish colonies
It is badly manage so it was closed down
on 1834
Two interesting economic organization
 1789- First scientific survey of the Philippines was done by the
Spaniards under the command of the captain Alijandro
Malaspena.
Two ships sailed around the archipelago and explored the coasts
Antonio Pineda a botanist went with the expedition they studied
the Philippine plants.
From this expedition came this first modern shipping chart of
the map of the Philippines.

Scientific survey
Opening doors to the world trade and foreign investment

In 1834, Spain officially opened the Philippines to the world trade.

It means that the goods from the Philippines could be shipped out to any of the
countries abroad.

And goods from other country could enter the Philippines directly.

Before Spanish banned the other foreigners from living in the provinces or having
businesses in the Philippines.

They did not apply to Chinese settlers, but it covered other white men.

A dollar earned by the foreigner was taken from the pocket a of a Spaniard
 19th century foreign businessman were allowed to do business in manila and
other places in the country.
American and European traders came and opened new business in the
Philippines.
In 1859,15 foreign companies in manila.
Seven British, two French, two Swiss one German.
Nicolas Coney Plymorth England.
First foreign merchant to live in Visayas.
1855 he arrived in Iloilo.
He became a rich businessman.
He developed Philippine sugar industry.
 First bank was introduced to the Philippines by the Spaniards
Obras Pias (good works) System
Interest was use for charitable works
Francisco Rodriguez (1830)
He founded the first Filipino Quarke (protestant) who lived in the
England
Bank of the Philippine Islands (BPI).
Oldest existing bank in the Philippines.
It started in 1851 as Banko Espaol
1862- Monte de Piedad Saving Bank

Rise of banks
Improvements of
Transportation and
Communications.
(19th Century)

1891- British build the first

railroad
Manila to Dagupan
Feb. 1, 1859 First postage
stamp
1854- First monthly mail
From Manila to Hong kong
1783- First telegraph
1890- First telephone
Social classes Prizes and Exhibitions
Upper class During the Spanish times the
Middle class Philippines joined many
Lower class international exhibitions or fairs
abroad
Philippine finest products
Hemp
Cigars
Embroideries
And Art works
 There was no great development during the reign of Spain
Spaniards mostly benefited from the wealth of the country, while rich
Filipinos copied their arrogant snobbish and aristocratic ways.
There was development in the land ownership, abolition of history, new
plants and animals, new industries, new trade and companies, new
banks, better roads and bridges, modern electricity, railways and ships,
the new middle class, and prizes and exhibitions.
However, oppression caused the Filipinos unhappy and led into revolt
and revolution later on.

Historical Values
Thanks for Listening!!!
Faith Shines!!!
Have A nice Day, Brothers and Sisters!!!