Millions of Filipinos gathered in Catholic and non-Catholic churches on Christmas eve, and heard priests and pastors calling for ecumenism and renewed dialogue with fellow Muslims as their contribution to world peace.

Manila Archbishop Jaime Cardinal Sin called for dialogue among Muslim and Christian spiritual leaders.

He added that they should meet and gather "as strongly as the political leaders do, who desire peace".

National City Union Church Pastor, Isagani Deslate, noted: "In the midst of national and worldwide crisis, we, as Christians should initiate the dialogue between permanently antagonistic groups. Christians should reach out to their Muslim brothers and sisters."

The streets were alive with Filipinos going to church, a relief from their week-long shopping binges at the malls where they have been spending time with their families since the start of the vacation for the holiday season last Friday.

In spite of the hard times, households were busy during the day preparing a midnight snack called Noche Buena. The day was also marked by reunions among most closely-knit Filipino families.

Grocery shops were still full until late afternoon, with housewives rushing to buy traditional Filipino fare for the event: the imported and popular "queso de bola" (Edam Cheese from Holland), Chinese ham, imported fruits, preferably apple, stuffed chicken, stuffed bangus (milk-fish), castanas (roasted nuts) and varieties of the indigenous rice cake.

"We don't want a gloomy Christmas eve. We manage to make both ends meet and celebrate the event the way our grandparents and parents did," said housewife Evangeline Lina.

Many rich families said they had failed to entertain carol singers since early December, a sign that the Philippines, despite its good economic indicators, has been affected by the worldwide economic slowdown.

"We have packaged less than $2 and $10 (P100.00 and P500.00) gifts which were all sold out. Filipinos really love to give gifts," said retailer Jose Go.

Student Robbie Vasquez said: "It is better to give than to receive during Christmas."

Meanwhile, members of the Volunteers Against Crime and Corruption (VACC) sponsored a mass for victims of heinous crimes at Manila's Sta. Maria Goretti parish church.

Members gathered before a Christmas tree which they decorated with photographs of victims of heinous crimes, including those whose cases remain pending at courts.

The photographs included those who died at the Paco orphanage and Ozone disco fire tragedies which occurred four years ago. "The tree symbolised our hope for justice," said VACC chairperson and president, Dante Jimenez.

VACC officer-in-charge, Janette Gonzaga, said: "The most fervent wish of families of crime victims is the gift of justice for their loved ones this Christmas, to see the light beyond the glimmer of the traditional Christmas tree."

The group bitterly criticised the administration of President Gloria Arroyo, whom they supported with rallies to oust former president Joseph Estrada in January this year.

Arroyo had said earlier that the state would not execute anyone sentenced to die for heinous crimes.

At the same time, Arroyo reiterated her decision not to give gifts this Christmas. She added that she would pray instead for specific wishes for her cabinet members.

Her wishes for others included one foreign trip for Executive Secretary Alberto Romulo, an exotic adventure for Finance Secretary Camacho, more colours for Social Welfare Secretary Corazon Soliman, and a wife for Trade and Industry Secretary Manuel Roxas II, among others.

Romulo said he was delighted with Arroyo's wish since he was not given a chance to go abroad during presidential foreign trips because of his job of helping Vice-President Teofisto Guingona Jr. as acting president.

Romulo told Arroyo he wanted to join the presidential visit to Spain by the first quarter of 2002.

"I have fond memories of Spain, particularly Madrid where I met and fell in love with my wife. That was where I stayed for two years to finish my doctoral degree in law," he recalled.

Arroyo and her family have decided to spend Christmas in Manila, where she can continue working during the holiday season. Her family earlier scheduled a holiday in Baguio City, the summer capital in northern Luzon.

National Security Adviser Roilo Golez, meanwhile, assured Filipinos of a peaceful Christmas despite the continuing hostage crisis in Basilan, southern Philippines, and the never-ending bomb threats in Metro Manila.

"Everything is under control," Golez said in a television interview.

"Every package now is held suspect. That, I think, is being paranoid," Golez said in reference to the police checkpoints that were established at the malls, the elevated train system, airports, and almost all public places.

The Philippine National Police (PNP) is pursuing leads on the failed bomb plot in Makati, the financial district last Thursday.

"(The rescue operation) is a combination of so many things. Sometimes a lucky punch is needed in warfare. What is important is that they (in the Armed Forces and the PNP) are doing the correct procedure," explained Golez, with reference to the unsuccessful rescue operation for American missionary couple, Martin and Gracia Burnham, and Filipino nurse, Deborah Yap, taken hostage by the Abu Sayyaf group.

"Let's get on with our lives and enjoy Christmas. Let the PNP and military do their thing at this time of the year," Golez noted.