Section 2Sec./Art. 2

Declaration of Policy.- It is hereby declared the policy of the Government of the Philippines to:

a. Develop and maintain a Philippine Merchant Marine composed of well-equipped, safe and modern vessels most suited for Philippines requirements and conditions, manned by qualified Filipino officers and crew, and owned and operated under the Philippine flag by citizens of the Philippines or by associations or corporations organized under the laws of the Philippines, at least sixty percent (60%) of the capital of which is owned by citizens of the Philippines;

b. Assist in the development, recovery and expansion of Philippine overseas shipping capable of meeting the requirements of the expanding international trade of the Philippines;

c. Provide assistance to Philippine shipping enterprises and encourage the long-range vessel acquisition, development, modernization and expansion through private investments without direct government financial assistance; and

d. Create a healthy climate to attract private enterprises.