The Japanese government has loaned the Philippines over ¥15 billion for the Cavite Industrial Area Flood Risk Management Project.
In a statement on Thursday, the Department of Finance (DoF) said it signed a ¥15.93-billion loan agreement with the Japan International Coordination Agency (JICA) for the project, which aims to control and mitigate flooding in several areas that host economic zones and residential communities.
The project, to be implemented by the Department of Public Works and Highways (DPWH), is expected to benefit some 8,000 households as well as manufacturing plants in the cities of General Trias and Imus and the municipalities of Kawit, Noveleta and Rosario in Cavite.
The accord for the Japanese loan, equivalent to approximately $142 million, was signed by Finance Secretary Carlos Dominguez 3rd and JICA Chief Representative to the Philippines Susumu Ito in the presence of President Rodrigo Duterte and Japan Prime Minister Shinzo Abe in Malacanang on Monday.
The Cavite flood management project is one of the big-ticket infrastructure projects approved in June 2017 by the Investment Coordination Committee-Cabinet Committee and the National Economic and Development Authority Board, the Finance department said.
The project was recommended for official development assistance (ODA) funding from Japan on July 18 and received an official pledge from Tokyo on August 8, the department’s International Finance Group said.
The JICA loan agreement was among the four accords inked between the Philippines and Japan during Prime Minister Abe’s visit to Manila for this week’s Association of Southeast Asian Nations (Asean) Summit.
Manila and Tokyo also signed an Exchange of Notes for a ¥104.5-billion loan (about $929.1 million) for the Metro Manila Subway Project (Phase 1) of the Department of Transportation, a ¥9.399-billion loan (about $89 million) for the Arterial Road Bypass Project (Phase III) of the DPWH in Plaridel, Bulacan, and the ¥2.5-billion (about $22.2 million) Non-Project Grant Aid for the Economic and Social Development Program for the Philippine Coast Guard’s anti-terrorism efforts and the DPWH’s quick rehabilitation program for Marawi City.