Govt to secure additional funding for subway project By Reine Juvierre S. Alberto
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INANCE Secretary Ralph G. Recto said on Monday that the government will finalize by next month the third tranche of the loan agreement worth P55.7 billion for the Metro Manila Subway Project. The Japan International Cooperation Agency (JICA) will provide funding worth JPY150 billion for the third tranche of the loan agreement for the first underground railway project in the Philippines. According to the Department of Finance (DOF), the fourth and fifth tranches, with a combined worth of P151.1 billion or JPY 406.6 billion, are “still under discussion.” “The DOF is fully committed
to securing the funding for this project. We aim to finalize the loan agreement for the third tranche of financing by March 2024,” Recto said during the media briefing with the Department of Transportation (DOTr). The subway project is currently supported by two active agreements with JICA. The first tranche, worth about P38.8 billion or JPY104.5 billion was signed last March 2018, has a 94.4 percent disbursement rate. The second tranche, meanwhile, was signed in February 2022. The loan agreement was worth P94.1 billion or JPY 253.3 billion with a 29.9 percent disbursement rate. Overall, financing for the first subway project stands at P188.6 billion.
Under the terms and conditions of the loan agreements from JICA, the interest rates for both the first and second tranches of the loan are set at 0.10 percent per annum for nonconsulting services and 0.01 percent per annum for consulting services. Each loan has a maturity period of 40 years, including a 12-year grace period for the first tranche and a 13-year grace period for the second tranche, according to the DOF. The Metro Manila Subway Project is set to be completed in 2029. It is equipped with a 17-station subway line which is seen to benefit 519,000 commuters everyday. Transportation Secretary Jaime Bautista said the subway project’s completion status is at 40 percent. The subway can start its possible
partial operations in one segment from Valenzuela to Ortigas in 2028, he added. Recto said the project will spur job and employment opportunities which will generate 5,469 jobs for both skilled and unskilled workers. “An effective and efficient mass transportation system is indispensable for achieving inclusive growth. And yet, for far too long, our people in the economy have suffered tremendous losses from the scourge of traffic congestion,” Recto said. He cited a study from JICA that traffic congestion in Metro Manila alone costs the Philippine economy at least P3.5 billion per day. The subway project, Recto added, will allow the country to save about P2.5 billion.
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‘LIFT RESTRICTIONS ON PHL CRITICAL SECTORS’ By Andrea E. San Juan @andreasanjuan & Jovee Marie N. dela Cruz @joveemarie
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IFTING foreign equity restrictions on critical sectors, such as public utilities, education, mass media and advertising, will create more jobs and enable them to contribute to the country’s economic progress, according to the National Economic and Development Authority (Neda). Socioeconomic Planning Secretary Arsenio M. Balisacan said in his opening statement during a committee hearing at the House of Representatives on Monday that the Constitution must be updated to prepare the country for the future. “President Marcos has given his directive: the Constitution must be updated to meet the daunting challenges of the present and prepare us for the uncertainties and complexities of the future,” said Balisacan. He said opening up public utilities to foreign investment will improve the quality and affordability of services, such as energy
and water distribution, and offer viable options to address the financing gaps in the infrastructure sector. “In the education sector, this initiative will ensure that Filipinos can access global knowledge, skills, and technology that can nurture a culture of innovation, positioning the Philippines as a competitive hub for knowledge exchange in the region,” he said. In this era of globalization, Balisacan said allowing foreign investment in mass media will enable local media professionals to increase their global presence. See “Lift,” A
UNWIND UNDERGROUND After a day of hustle, a moment of relaxation awaits. Originally known as the Quiapo Underpass and established in the 1960s, it stands as the pioneering pedestrian underpass in the Philippines. Nestled in the heart of this historic passage in Quiapo, Manila, weary passersby find solace in instant massages and reflexology services from a quaint massage parlor. BERNARD TESTA
‘GREEN TRADE INITIATIVES KEY TO HITTING CLIMATE TARGETS’
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HE Philippines called for stronger sustainable trade and development initiatives to address climate change at the 13th World Trade Organization (WTO) Ministerial Conference (MC13). During the second ministerial meeting with the Coalition of Trade Ministers on Climate, Trade Secretary Alfredo E. Pascual told the group, “We believe that the work of the Coalition complements the existing work at the WTO on trade and sustainable development.” Pascual welcomed talks on transfer of goods and technolo-
gies that support climate adaptation and mitigation before MC13, the top decision-making body of the WTO. “In line with this, we must also ensure a fair and just transition towards achieving our climate goals so that no one will be left behind,” he said in a statement. “As one of the most climatevulnerable countries in the world, the Philippines applauds the coalition’s commitment to support developing and least developed countries, and small vulnerable economies in their trade and climate strategies,” he added. See “Green,” A
Bill defining maritime zones of PHL gets nod of Senate By Butch Fernandez @butchfBM
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OTING 23-0-0, the Senate on Monday voted on third and final reading to approve the measure defining the Philippines’s maritime zones, advancing its status as a member of the international community’s rules-based system under the 1982 United Convention on the Law of the Sea (Unclos). Senate Bill (SB) 2492, or An Act Declaring the Maritime Zones Under the Jurisdiction of the Republic of the Philippines, was principally authored by Sen. Francis “Tol” N. Tolentino, considered a veteran in international law. The Philippine Maritime Zones Act was crafted primarily in consid-
eration of the “missing link” between the country’s ratification of the Unclos in 1984 and its failure to harmonize local legislation with relevant international law. Unclos, described as the constitution for the oceans, “promotes and highlights the importance of having rules-based order in maritime governance and allocates maritime zones to coastal and archipelagic states,” Tolentino explained when he first filed SB 2492. “The Philippines signed Unclos in 1982 and ratified it in 1984. This however, does not automatically transform Unclos as domestic law; Congress has an obligation to harmonize local legislation with international law. See “Bill,” A
PESO EXCHANGE RATES Q US 55.8520 Q JAPAN 0.3711 Q UK 70.8315 Q HK 7.1389 Q CHINA 7.7623 Q SINGAPORE 41.5844 Q AUSTRALIA 36.6668 Q EU 60.4430 Q KOREA 0.0420 Q SAUDI ARABIA 14.8930 Source: BSP (February 26, 2024)