The worst kind of politics ruled the lives of Filipinos in 2005 as the country struggled with a scandal that almost toppled the government of President Gloria Macapagal Arroyo amid a worsening economy.

As political leaders threw mud and everything but the kitchen sink at each other all year round, the country was constantly on edge over rumours of a military takeover or alleged plans by the government to declare martial law.

Arroyo's repeated assurances that the worst was over failed to provide any relief for Filipinos, weary of the bickering as they faced rising oil and consumer prices as well as higher taxes for most of the year.

The year 2005 is a bad year for everyone, not only for Arroyo, but 2005 is especially difficult and dangerous for Arroyo because she nearly lost her place in Malacanang, the presidential palace.

Pundits from both parties warned and speculated that Filipinos have not heard the last of the controversy, which erupted in June with the release of wiretapped conversations allegedly between Arroyo and an election official about rigging the May 2004 presidential vote.

The situation continues to be a stalemate as there will be more political turmoil. The opposition will not be able to bring down Arroyo, but Arroyo will also not be able to stop them from demonstrating against her and criticizing her. So 2006 will just be a continuation of 2005 in Philippine politics.

The year had just begun when three bombs went off almost simultaneously in Manila and the southern cities of General Santos and Davao on Valentine's Day, killing 12 people and injuring 140 others.

The attacks, the worst to hit the Philippines this year, were blamed on al-Qaeda-linked Abu Sayyaf rebels and Jemaah Islamiyah (JI) militants.

While small-scale attacks continued throughout the year, security forces appeared to be gaining ground in the fight against terrorism in the country, arresting one suspect after another, including leaders of JI, a regional terrorist group.

Despite the Philippines' field successes, terrorism remained a major concern with foreign experts and governments warning that its southern region of Mindanao has become a favoured breeding ground for new JI militants.

But it was politics that caused the biggest headache this year.

Recordings of telephone conversations in which Arroyo allegedly ordered election commissioner Virgilio Garcillano to ensure she won the 2004 presidential race by 1 million votes became the rallying point of the opposition.

The so-called Hello, Garci tapes, which were played repeatedly on radio and television, prompted calls for Arroyo's removal and sparked the worst political crisis to hit the country in recent years.

Protesters took to the streets, the senate and the House of Representatives launched public investigations into the allegations while Arroyo barricaded herself inside the Malacanang presidential palace.

Arroyo eventually apologized for improperly talking with Garcillano while votes were being counted, but stressed she had merely asked him to protect her votes.

The apology, however, was too little too late for many as damning evidence was laid out against Arroyo and her camp in the congressional inquiries, often live on television and radio.

Key allies, including the influential Makati Business Club, several cabinet members and former president Corazon Aquino, withdrew their support for Arroyo and called for her resignation.

Despite surveys showing the majority of Filipinos believe it would be best for her to step down, Arroyo dug in and accused her opponents of hatching a destabilization plot to oust her. She also blamed the country's rotten political system for her woes.

The 58-year-old, U.S.-educated economist called for an overhaul of the political system with a shift from the current presidential form of government to a parliamentary-federal system as the key component of the change.

Arroyo also ordered a crackdown on anti-government protests and banned officials, including top officers of the military and police, from attending congressional inquiries on alleged anomalies in her government without her prior approval.

The draconian measures, however, only fuelled opposition against her, especially with police violently breaking up peaceful demonstrations near Malacanang.

Observers think Arroyo would face more trouble in 2006, with the country's fragile economy expected to also become a problem as a fallout from the prolonged political tensions.

Economists have warned that the Philippine economy was on the road to a meltdown because of the political conflict. They added that the economy was only being propped up by record remittances from overseas Filipino workers.

Once the workers no longer remit the money, the majority of the people will definitely suffer.

Some believe that the only contribution Arroyo has made in keeping the economy afloat is she made the people suffer so much that they were forced to leave the country and work abroad.

It is to be noted that Arroyo's fiscal policies, including the implementation of an expanded value-added tax, has pushed prices of basic commodities beyond the reach of the country's impoverished millions as wages remain low.

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