The Philippines expects to secure next year two loans that will enhance the country’s preparedness and resilience to natural disasters from the Washington-based multilateral lender World Bank.
The development policy loans (DPLs) scheduled to be approved by the World Bank board in 2020 include $400 million for Promoting Competitiveness and Improving Resilience to Natural Disasters 1 and $500 million for Third Disaster Risk Management Development Policy Loan with a Catastrophe Deferred Drawdown Option (CAT-DDO), the 2020-2023 World Bank Group-Philippines Country Partnership Framework showed.
Meanwhile, investment project financing (IPF) will be extended for the following in 2020: $80 million for Philippine Customs Modernization Project; $100 million on standby for Teacher Effectiveness and Competencies Enhancement Project, and $260-million standby facility for Support to Parcelization of Land for Individual Titling Project (Split).
For 2021 to 2022, Promoting Competitiveness and Improving Resilience to Natural Disasters 2 and 3 will both be extended DPLs worth $400 million each.
As for the IPF pipeline for 2021 to 2022, the following projects are included: Seismic Resilience and Emergency Management Project ($300 million); Philippine Rural Development Project (PRDP) Additional Financing ($280 million); Sustainable Tourism Project ($300 million); Mindanao Inclusive Agriculture Development Project ($100 million); Civil Service Modernization and Human Resources Management Project ($100 million); Marawi Reconstruction and Rehabilitation Project ($100 million); National Community Driven Development Project Additional Financing ($300 million); Marikina Dam Project ($400-500 million), and Agus Pulangi Hydro Rehabilitation Project ($200-300 million).
In all, the World Bank will lend the Philippines up to $4.42 billion in the next three years—$1.34 billion for 2020 and $2.88-3.08 billion in 2021 to 2022.
The loans will support the Philippines and the World Bank’s new four-year country partnership framework’s 10 objectives across three focus areas.
In the first focus area “Investing in Filipinos,” the objectives were improved access to quality education services; increased access to affordable health services, and improved efficiency of social protection coverage for the poor and vulnerable.
For the second focus area “Competitiveness and Economic Opportunity for Job Creation,” the objectives are: improved budget execution and revenue management; promotion of regulatory reforms to enhance competitiveness; improved efficiency of infrastructure services in selected areas; and improved income opportunities in agriculture.
As for the third focus area “Addressing Core Vulnerabilities by Building Peace and Resilience,” the objectives were: increased availability of basic services in conflict-affected areas; supporting the normalization process in the Bangsamoro region, and increased resilience to natural disasters and climate change.