Philippines secures $5.7b loans for COVID-19 response

June 25, 2020

The Philippines has  secured $5.7 billion loans and grants to finance the government's efforts to address the crisis brought by coronavirus disease pandemic.

In a virtual press briefing, Presidential Spokesperson Harry Roque said bulk of the total $5.758 billion comprised of loans, with grants only amounting to $8 million.

"We have already borrowed 5,758,000,000 dollars. That's the total amount of our loans for COVID responses," he said.

Roque was quoting a report of the Department of Finance, showing that the "financing secured for COVID-19 response" as of June 4.

The $8 million grant assistance composed of COVID-19 Emergency Response Project ($3 million) and Rapid Emergency Supplies Provision ($5 million) came from the Asian Development Bank both secured in March.

The budgetary support financing include $1.5 billion ADB COVID-19 Active Response and Expenditure Support Program; $200 million ADB Social Protection Support Project - Second Additional Financing; $500 million World Bank Third Disaster Risk Management Development Policy Loan; $1.35 billion ROP (Republic of the Philippines) Bonds Due 2045 with 2.950 percent coupon; $1 billion ROP Bonds Due 2030 with 2.457 percent coupon;

$500 million World Bank Emergency COVID-19 Response Development Policy Loan; $400 million ADB Support to Captal Market Generated Infrastructure Financing, Subprogram I; $200 million WB Social Welfare Development and Regorm Project II - Additional Financing; and a project loan financing of $100 million from WB COVID-19 Emergency Response Project.

President Rodrigo Duterte earlier said that the government would also sell some of its assets if it does not have other sources of funds to support its programs and projects. Celerina Monte/DMS