Road construction and expansion projects in northern Luzon and Metro Manila, flood management and drainage improvements, and various components of the development of New Clark City were among the projects discussed by Philippine and Japanese officials for possible financing by Japan through grants and loans during their sixth meeting on infrastructure and economic cooperation held Wednesday (Nov. 21) in Pasay City.

Both sides also reaffirmed their commitment to ensure the start of partial operations of the first phase of the Metro Manila Subway Project by May 2022 and discussed its progress, including the addition of an extension to the Ninoy Aquino International Airport (NAIA) in the detailed engineering design of the system, during this latest meeting of the Philippines-Japan Joint Committee on Infrastructure Development and Economic Cooperation.

Finance Secretary Carlos Dominguez III chaired the Philippines’ side while the Japanese delegation was led by Dr. Hiroto Izumi, who is a special advisor to Prime Minister Shinzo Abe.

“In this latest meeting, both sides confirmed the updated candidate list of projects for consideration and action. This list includes new projects proposed for Japanese loan and grant financing,” Dominguez said at the press conference that followed the two and a half-hour meeting at the Philippine International Convention Center (PICC) in Pasay City.

“Among the projects that were discussed for financing through Japanese ODA (Official Development Assistance) are road construction and expansion projects in northern Luzon and Metro Manila, flood management and drainage improvements, and various components of the New Clark City project,” he added.

Dominguez said the Philippine side also updated the Japanese delegation led by Izumi on the current status of the Mindanao peace process following the signing of the Bangsamoro Organic Law, to which the latter responded by reaffirming Tokyo’s commitment to support the establishment of a new autonomous government and to extend its assistance for the swift rehabilitation of Marawi City.

In connection with the reconstruction efforts for Marawi City, Dominguez said the Philippine panel invited Japan to take part in the pledging session for the Bangon Marawi Comprehensive Rehabilitation and Recovery Program, which is set on Nov. 28 in Davao City.

“This event will mark a significant milestone in the Philippine Government’s financing strategy towards the comprehensive recovery and reconstruction of Marawi City and provide us the opportunity to thank our development partners, including Japan, for their generous commitments of support,” Dominguez said.

Dominguez said the two sides also proceeded to sign and exchange two documents on Japan’s commitment to provide about 206 billion yen in loans for a project designed to mitigate flooding in Metro Manila and another to build a railway linking Manila to the provinces of Bulacan, Pampanga and Laguna.

The Exchange of Notes for the JPY37.905 billion loan (approximately $336.24 Million) for the Pasig-Marikina River Channel Improvement Project Phase IV and another for the JPY167.199 billion loan (about $1.413 Billion) representing the first tranche for the North-South Commuter Railway (NSCR) Extension Project were signed between the Department of Foreign Affairs (DFA) and Embassy of Japan after the meeting.

Other bilateral documents signed after the meeting were the Contract of General Consulting Service for the Metro Manila Subway Project (Phase I) between the Department of Transportation (DOTr) and the Japanese consulting firms; and the Joint Venture Agreement among the Bases Conversion and Development Authority (BCDA), Japan Overseas Infrastructure Investment Corporation for Transport and Urban Development (JOIN), and Surbana Jurong for the New Clark City.

“This is the 6th meeting of this Committee in just over a year. That underscores the importance both sides put on getting the projects moving as efficiently as possible,” Dominguez said.

As a result of these regular dialogues, Dominguez said two loan agreements were signed in a short span of time since the last meeting held in Tokyo last June.

These are the supplemental loan of JPY4.376 billion for the second phase of the New Bohol Airport Construction and Sustainable Environmental Protection Project and the JPY38.1 billion loan for the Metro Rail Transit Line 3 (MRT3) Rehabilitation Project.

“The loan agreements for these projects were processed in record time, in keeping with the ‘Fast and Sure’ approach and speedy implementation of projects that we are undertaking with Japanese funding support,” Dominguez said.

On the Metro Manila Subway project, Dominguez said “The Japanese side requested the Philippine government expedite measures such as land acquisition and relocation of facilities.”

For the railway projects, Dominguez said the Philippines and Japan “agreed to have continuous consultations at the technical working level to accelerate implementation and address challenges.”

He said the Philippines also thanked Japan for extending its support for the establishment of the Philippine Railway Institute by 2021.

During the meeting, the two sides also discussed the following areas of cooperation: 1.) regional development; 2.) information and communication technology; 3.) energy; 4.) agriculture; 5.) environment; 6.) public safety to include anti-illegal drug measures and maritime safety; 7.) disaster prevention; and, 8.) healthcare.

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