Japan to extend ¥34.7-billion financial support for special yen loanprojects

The Japanese government announced yesterday that it will extend ¥34.7 billion in financial support, through its special yen loan facility to the government for three new projects. The loans for these three projects are the second batch of special yen loans to be extended to the country by the Japanese government. The announcement for the first batch of loans, amounting to ¥39.5 billion, was made by Japanese Prime Minister Keizo Obuchi during the Nov. 27 1999 bilateral summit meeting held with President Estrada.

The new projects earmarked for these loans are: the new Iloilo airport development project, amounting to approximately P5.70 billion which was designed to construct a new airport on Panay Island; the Subic Bay Port development project, amounting to approximately P6.37 billion which was designed to facilitate port operations by constructing a new container terminal and improving port facilities; and the second Magsaysay bridge and bypass road construction project, amounting to approximately P1.37 billion which was designed to ease worsening traffic conditions by constructing a new bridge in Butuan City in Mindanao.

Japan's special yen loan facility was designed to advance economic activities that have high economy stimulating and employment promoting effects. In addition, the special yen loan facility aims to bring about economic structural reform in the country by creating an economic environment conducive to private investment and increased productivity.