PH, Japan ink ¥171 billion in loan deals for infrastructure, development

The governments of the Philippines and Japan, through the Japan International Cooperation Agency, have signed five loan agreements totaling over ¥171 billion to support key infrastructure and development projects.

JICA announced that the agreements were finalized with the Department of Finance during the 15th High-Level Joint Committee Meeting on Infrastructure Development and Economic Cooperation on March 24 at the Bureau of the Treasury in Manila.

The funding will support initiatives aimed at enhancing climate resilience, mitigating flood risks, improving transportation efficiency, and expanding healthcare access—contributing to key Sustainable Development Goals (SDGs).

Loan Agreements Signed:

• Davao City Bypass Construction Project (Phase III) – ¥46.338 billion

This project will construct a 29.6-kilometer bypass road, including bridges and mountain tunnels, to alleviate traffic congestion in Davao City. The new road is expected to cut travel time, improve logistics, and spur economic growth in the region.

• Pasig-Marikina River Channel Improvement Project (Phase IV) – ¥45.759 billion

Aimed at reducing flood risks in Metro Manila, this project includes riverbank protection, dredging, widening key sections of the Marikina River, and constructing flood control gates to safeguard communities from flooding.

• Cavite Industrial Area Flood Risk Management Project (II) – ¥14.483 billion

This initiative involves constructing flood diversion channels, river improvements, and resettlement sites for affected communities to protect one of the country’s key economic hubs from flooding.

• Climate Change Action Program, Subprogram 2 – ¥35 billion

Co-funded by the Asian Development Bank (ADB) and Agence Française de Développement (AFD), this program will accelerate the Philippines’ climate change policies, enhance resilience to climate impacts, and promote low-carbon development.

• Build Universal Healthcare Program, Subprogram 2 – ¥30 billion

This initiative, co-financed by JICA, ADB, and others, aims to strengthen the country’s healthcare system by improving health financing, integrating services, and enhancing information management systems to provide more Filipinos with quality healthcare.

JICA highlighted that the Philippines remains one of the top recipients of Japan’s Official Development Assistance, underscoring the strong bilateral ties between the two nations. — DVM, GMA Integrated News