Closing date for $2.7-M World Bank grant moved
The World Bank has restructured and extended the closing date of a $2.73-million loan extended to a flood control project in Metro Manila until next year despite the lack of progress in its implementation.
The Washington-based multilateral lender moved to Jan. 31, 2018 from Jan. 31, 2017 the closing date for the grant. The Philippine government earlier sought a three-year extension for the loan approved on June 4, 2015 for the Preparation of a Program Towards Sustainable Flood Management in the Greater Metro Manila Area Project.
According to the World Bank, the Philippine government said it needed an extension to do the following: design flood protection works in the Upper Marikina River; develop a flood forecasting and early warning system for the greater Metro Manila Area; as well as develop institutional arrangements for sustainable flood management.
“The task team has discussed these activities with management of the Department of Public Works and Highways (DPWH), which has confirmed that these are still priority tasks,” the World Bank said.
“These activities will also strengthen the flood management capacities of DPWH, which is a priority in the draft Philippine Development Plan for 2017-2022,” the World Bank added.
The World Bank nonetheless noted the “lack of implementation progress” in the project.
As such, disbursement of the grant has also yet to start, according to the World Bank.
“A one-year extension is initially supported… with the understanding that the recipient can request a second extension if there is evidence that implementation of activities has advanced,” it said.
The World Bank said the Philippine government had committed that “the proposed actions during this proposed extension will focus on recruitment of three teams of consultants and getting the three activities underway.”
“As soon as there is evidence of this, the implementation progress and PDO [project development objective] ratings of the project could be upgraded and a second restructuring package prepared.”
