A P15.3 billion Official Development Assistance fund from Japan International Cooperation Agency can now be accessed by private corporations and even local government units through state-owned Development Bank of the Philippines (DBP).
The facility, which would be used to finance logistics and improve infrastracture systems in the country forms part of the two ODA loans signed by President Gloria Macapagal Arroyo during her June visit to Japan.
In Bohol, the facility may help local government units wanting to invest in logistic systems for perishable products and freezer facilities to facilitate and extend product shelf life before these are shipped to main markets.
DBP president and chief executive officer Reynaldo G. David said the facility opened falls under the DBP’s Logistics Infrastructure Development Project (LIDP) in continuation of the bank’s sustainable Logistics Development Program (SLDP) but on a more expanded scope.
“The LIDP particularly provides long-term funding for critical infrastructure projects such as roll-on, roll-off (roro) vessels and related facilities such as ports and ramps; toll roads; farm-to-market roads; and related maintenance equipment,†he said.
Other projects eligible under this facility are packaging, transport, and distribution facilities, projects under the bulk grains highway which facilitates efficient transport of products from Mindanao to Luzon, and projects under the cold chain highway which re-engineers the logistics system for perishables.
“This facility will improve farm-to-market efficiency and enhance movement of products and goods to the major trading areas to help boost the domestic economy,†David added.
David said the facility can be accessed by private corporations with at least 70% Filipino ownership, government-owned-and-controlled corporations, and local government units who are willing to counterpart 39% of the project cost.
The facility, he said is disbursed in seven years.
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Topic: DBP has P15.3B funds available for borrowers (Read 826 times)