TO:	The Secretary of National Defense The Commissioner of the Budget The Chief of Staff, Armed Forces
		of the Philippines

WHEREAS, the Philippines, in common with other countries, has experienced rising cost of living due to the energy crisis and the continuing world economic slowdown;

WHEREAS, military personnel were granted increases in basic pay effective January 1, 1976, equivalent to an increase in total compensation of about 74%;

WHEREAS, the financial position of government and the continuing need for improved military equipment and supplies restrict funding availability for increased personnel compensation;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, do hereby order and instruct:

1. An increase in the subsistence allowance of enlisted personnel, draftees and trainees, Armed Forces of the Philippines, while they are on combat status.
2. The cost of the increased subsistence allowance shall be paid from savings in the programmed appropriations for current operating expenditures earmarked for the Armed forces of the Philippines in CY 1977 and CY 1978.
3. The size of the increase in subsistence allowance shall depend on the availability of savings in regular programmed appropriations of the Armed Forces of the Philippines, but in no case shall it exceed P2 per day.
4. The Secretary of National Defense and the Commissioner of the Budget shall jointly issue the Rules and Regulations to implement these Instructions„
5. Effective December 1, 1977,

Done in the City of Manila, this 30th day of May, nineteen hundred and seventy-eight.