Finance chief lauds rapid infra loan approvals from Jap gov’t
The fast approval of infrastructure projects to be funded by the Japanese government, as well as the processing time for related loans, was lauded by Finance Secretary Carlos Dominguez III, saying that this was a result of greater cooperation between the two countries.
This development came to light during the 6th Philippine-Japan High Level Joint Committee on Infrastructure Development and Economic Cooperation meeting, where, during his opening speech, Dominguez said that these meetings “continue to visibly deliver positive impact on our key infrastructure projects and sectoral cooperation,” and that he is glad that the committee “has covered and addressed many issues in such a short period of time.”
The first joint committee meeting was held last March 2017. This 6th meeting was held at the Philippine International Convention Center (PICC) last Wednesday night.
Dominguez explains that in less than five months, loans for two major projects have been already signed – a ¥4.376-billion supplemental loan for Phase 2 of the New Bohol Airport Construction and Sustainable Environment Protection Project, as well as a ¥38.101-billion loan for the Metro Rail Transit Line 3 (MRT 3) Rehabilitation Project.
Loan agreement for the rehabilitation of MRT 3 already signed
Last November 8, the loan agreement for the rehabilitation of MRT 3 was signed between Dominguez and Japan International Cooperation Agency (JICA) senior vice president Yasushi Tanaka.
The Department of Finance (DOF) earlier said that for the total cost of rehabilitating the 16.9-kilometer train system along EDSA amounts to ₱21.96 billion. The bulk of the cost, amounting ₱18.76 billion, will be funded by the official development assistance (ODA) loan from JICA, and the Philippine government’s share will be ₱3.19 billion.
The rehabilitation project will take a total of 43 months – the first 26 will focus on the repair of the system as a whole, and the remaining time will be for the completion and general overhaul of the MRT’s 72 trains.
“Fast and Sure” approach for infrastructure projects
Dominguez said that the processing for the MRT 3 loan is the shortest in the history of the Philippines, at less than three after the approval of the board of the National Economic and Development Authority (NEDA). “This underscores the “Fast and Sure” approach we have adopted for our key infrastructure projects,” he said, adding that he is “convinced that through our regular meetings, both governments are prompted to deliver on our commitments and are encouraged to think of more innovative measures to improve our cooperation and facilitate project implementations.”
He also points out that included among those that were signed during the meeting last Wednesday was the Exchange of Notes for the loans for the North-South Commuter Railway Extension Project and the Pasig-Marikina River Improvement Channel Project (Phase IV), which were just approved by the NEDA Board last week.
Part of “Build, Build, Build”
The Philippine government has been in constant communication with the governments of Japan, China, and South Korea, among others, in its push to implement the massive “Build, Build, Build” program.
The government has identified 75 priority projects, including roads, bridges, and airports all over the country, with the aim of ensuring that even far-flung areas will reap the benefits of the continued expansion of the domestic economy. Under this infrastructure program, at least ₱8 trillion will be invested into infrastructure projects until the the end of President Duterte’s term in 2022.
via Philippine News Agency / Joann Villanueva
