PH secures IFAD financing for agrarian reform projects

The Philippines has secured financing from the International Fund for Agricultural Development (IFAD) for the implementation of a project for the upliftment of 86 agrarian reform communities in South Cotabato, Cotabato, Sultan Kudarat, Sarangani, and General Santos City (SOCCSKSARGEN) and Cordillera Administrative Region (CAR).

In a statement on Saturday, the Department of Finance (DOF) said Finance Secretary Ralph Recto and IFAD Country Director Umit Mansiz held a ceremonial exchange of the documents for the VISTA or Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities project on Sept. 6, 2024.

The financing agreement for the VISTA project was signed by Recto and IFAD President Alvaro Lario last July 10, 2024.

Under the agreement, IFAD will provide a P4.69-billion (around $85 million) loan to finance the VISTA project, which has a total cost of P6.23 billion.

"[T]he VISTA [Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities] project is a holistic and targeted poverty-fighting and sustainable development solution that takes into account the complex realities faced by our 86 agrarian reform communities," said Recto.

The DOF said VISTA project aims to reduce rural poverty, strengthen livelihoods, and increase the resilience of targeted poor communities in vulnerable upland areas of the country by strengthening the inclusiveness of value chains and mainstreaming conservation and the sustainable use of natural resources.

It has three components, namely:

• ecosystem planning, protection, and enhancement
• sustainable value chain development
• project management

The project is seen to benefit 52 Agrarian Reform Communities (ARCs) in the CAR, and 34 ARCs in SOCCSKSARGEN.

Recto said farmers would benefit from sustainable farming practices, better post-harvest facilities, and improved farm-to-market roads that connect their goods to markets efficiently.

"We will also cultivate a new breed of entrepreneurs who will drive innovation in coffee and cacao production, processing, and marketing in the country. All these while maintaining the cultural integrity of the communities and preserving the natural ecosystem in the area," the Finance chief said.

The project will not only transform the target communities, Recto said, but also help unlock their full potential as the country's sustainable growth drivers and key pillars of national food security.

He expressed his confidence in the Department of Agrarian Reform (DAR), the Department of Agriculture (DA), the Department of the Interior and Local Government (DILG), and local government units (LGUs) to bring the project to fruition and deliver on its promises to the communities.

For his part, DAR Secretary Conrado Estrella III said, "We will not only help our farmers here, but this will pave the way for stability in the two regions. Do not worry, Secretary Recto and also IFAD, we will spend every centavo, every Euro, every Dollar, judiciously." — VDV, GMA Integrated News