1946-1948
Elections were held in April 1946, with Manuel Roxas becoming the first president of the independent Republic of the Philippines. The United States ceded its sovereignty over the Philippines on July 4, 1946, as scheduled. However, the Philippine economy remained highly dependent on United States markets-more dependent, according to United States high commissioner Paul McNutt, than any single U.S. state was dependent on the rest of the country. The Philippine Trade Act, passed as a precondition for receiving war rehabilitation grants from the United States, exacerbated the dependency with provisions further tying the economies of the two countries. A military assistance pact was signed in 1947 granting the United States a 99-year lease on designated military bases in the country.