South Korea eyed for infrastructure, IT funding

MANILA, Philippines — The Philippines is seeking South Korea’s funding assistance for at least six projects involving infrastructure and information technology, the Department of Finance (DOF) said yesterday.

Finance Secretary Carlos Dominguez presented the projects during a recent meeting with Korean Ambassador Han Dong-Man.

According to the DOF, the six projects are proposed to be funded through the Export-Import Bank of Korea- Economic Development Cooperation Fund (KEXIM-EDCF), under the Framework Arrangement formalized by the two countries on May 4.

The arrangement allows the Philippines to access KEXIM-EDCF’s loan facility up to an amount not exceeding $1 billion until 2022.

Among the projects proposed by Dominguez under this framework is the New Cebu International Container Port Project, which has an estimated loan amount of $172.64 million.

Dominguez told Han the DOF is hoping for the signing of the loan agreement to take place by the first week of June during President Rodrigo Duterte’s visit to South Korea for a summit with President Moon Jae-In.

Aside from the port project, the finance chief said the Philippines will also ask for South Korea’s funding support for a project preparation facility of the National Irrigation Administration (NIA), which includes the Asbang Small Reservoir Irrigation Project in Davao del Sur.

Also in the pipeline for Korean financing are the development of a new airport in Dumaguete City, Negros Oriental, and the implementation of an electronic receipt and invoice system and electronic sales reporting system, Dominguez said.

During the meeting, Dominguez thanked the South Korean government for its support in the construction of the Panguil Bay Bridge.

The 3.4-kilometer bridge, which will connect Misamis Occidental and Lanao del Norte, is part of the 75 flagship infrastructure projects under the administration’s Build Build Build initiative.

“Thank you for all the assistance you have provided us. Panguil Bay Bridge is coming along and you have funded a lot of projects. I want to assure you that we will not waste your taxpayers’ money, we will make sure that it will benefit the Filipino people,” Dominguez said.

Han, for his part, informed Dominguez of his efforts to encourage South Korean businesses to invest in the Philippines, particularly in Mindanao.

“I have asked Korean companies to join many projects in Mindanao,” he said.

The ambassador said he has also urged Seoul to help in rebuilding the war-torn city of Marawi.

South Korea is the sixth largest provider of official development assistance to the Philippines, with loans and grants amounting to $570.6 million as of December 2017.

It is also one of the country’s top sources of foreign tourist arrivals in the past three years, with some 1.6 million Koreans visiting the Philippines last year.