Thursday, May 4, 2017

Duterte Gov't To Prioritize Funding For Manila-Bicol Railway, Chico River Pump Irrigation, Quezon Dam Projects

The Philippine government under the administration of President Rodrigo Duterte is prioritizing the Manila-Bicol railway project and dam construction for possible funding by the China-led Asian Infrastructure Investment Bank (AIIB), Finance Secretary Carlos Dominguez III said.

The Department of Finance (DOF) earlier said the AIIB will be co-financing with the Manila-based Asian Development Bank (ADB) as well as the World Bank (WB) infrastructure projects presented by top-level Philippine economic delegation to China last February.

Three projects that have been presented for financing before Chinese Commerce Minister Gao Hucheng and these are the Chico River Pump Irrigation Project in the provinces of Cagayan and Kalinga, estimated to cost USD53.6 million; the New Centennial Water Source-Kaliwa Dam Project in Quezon, USD374.03 million; and the South Line of the North-South Railway Project (NSRP) running from Manila to Legazpi City in Bicol, USD3.01 billion.

Secretary Dominguez said the railway project from Manila to Legazpi City will be a priority for possible AIIB aid because of its large funding requirement.

Philippines’ membership to the AIIB allows it to take out some USD200 to USD 500 million worth of loans annually.

“I tell you that project is so big… That AIIB (loan allowance), which we said is (about) USD500 million will (be) eat(en) up by the project for the south railway,” Secretary Dominguez said.

The Finance Chief said the Kaliwa Dam “will (also) need some kind of funding.”

The New Centennial Water Source-Kaliwa Dam Project will be constructed in the vicinity of the village of Pagsangahan, General Nakar, Quezon and the village of Magsaysay in Infanta, Quezon.

It is targeted to provide another water source to augment Metro Manila’s water supply. 

Source: Philippine News Agency