Japan commits P13.5-B in ODA for policy reform, climate change and health
March 16, 2010 10:06 am
MANILA, March 16 — Japan’s Ambassador to Manila Makoto Katsura and Foreign Affairs Secretary Alberto Romulo on Monday signed and exchanged notes for two official development loans and three grant aid projects totaling over Yen 26 billion (about P13.5 billion).
About Y23.1 billion (estimated at P11.8 billion) is appropriated for two loans on policy reforms, known as the “Development Policy Support Program 3 (DPSP3)” and the “Emergency Budget Support Japanese ODA Loan.”
The amount of Y1.5 billion (around P770.3 million) is earmarked for flood forecasting and warning systems and other disaster prevention equipment for relevant agencies, including the Philippine Atmospheric, Geophysical, and Astronomical Services Administration (PAGASA).
The other is for the installation of solar photovoltaic power generation systems in the compound of the Department of Energy and Philippine National Oil Company, valued at Y600 million.
The two grant aid projects are under Japan’s so-called (Prime Minister) “Hatoyama Initiative” on climate change mitigation and environmental control.
Finally, Y1.09 billion (estimated at P559.2 million) is appropriated for the reconstruction and expansion of the Aurora Memorial Hospital in Aurora Province.
The present structure has only 25 beds, but with the aid 25 more could be added that is expected to strengthen the hospital’s function as an important health center in the region.
Aurora Gov. Bellaflor Angara Castillo witnessed the ceremony.
The Development Policy Support Program 3 (DPSP3) aims to support the initiatives of the government of the Philippines in the areas of macroeconomic and fiscal stability, improvement of governance in public expenditure management and anti-corruption measures, enhancement of investment climate and infrastructure, and other reforms to promote social development.
The DPSP3 loan is co-financed with the Asian Development Bank (ADB).
The Emergency Budget Support Japanese ODA Loan aims to provide necessary financial resources in implementing its economic policy necessary to achieve its economic growth amid globally challenging circumstances.
Japan has been the top ODA donor country to the Philippines for a long time now.
In remarks following the signing ceremony, Katsura expressed that when he signed the Exchange of Notes for the last phase of the Development Policy Support Program on March 30th last year, the global economic crisis was on a rise.
”Since then, the enduring policy efforts of the Philippine Government have sustained the economy from falling down to a negative growth, marking the GDP growth rate of 1.8 per cent in the fourth quarter of 2009.
”However, to put the economy back to a full growth path, your government considers it still essential to continue with the ongoing policy reform initiatives, as well as to allocate adequate financial resources to the areas of crucial policy needs."
He expressed Japan’s firm determination to support the country’s efforts to adapt to climate change and its preparedness to provide more financial and technical assistance than in the past, in accordance with the progress of the international negotiations.
”By extending our two ODA loans and three grants which we signed today… the Government of Japan firmly associates itself with the Government and the people of the Philippines in pursuing their development objectives,” he concluded. (PNA)
LDV/GJB
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