Metro Manila Subway Receives ₱112.9 Billion After PH and Japan Ink Additional Funds

According to the Department of Finance (DOF), the Metro Manila Subway Project received fresh funding on Thursday after the Philippines and Japan inked a ₱112.9 billion loan agreement which will be used for the construction of the subway. The loan has a total maturity period of 40 years, which is payable in 27 years with a grace period of 13 years.

This is the second tranche of funding from Japan following the ₱47.58-billion loan signed in 2018, which likewise has a maturity period of 40 years. The project was originally estimated to cost ₱350 billion, however, the National Economic Development Authority (NEDA) has since approved to raise this figure to ₱488.48 billion.

The Department of Transportation (DOTr) expects the project to be completed in 2025. Additionally, the DOTr has affirmed that partial operations of the subway are set to begin before the end of Duterte’s presidency. Spanning 34 kilometers long, the Metro Manila Subway will have 17 stations covering Valenzuela to Bicutan in Taguig City and the NAIA Terminal 3 in Pasay City.

There are three to four remaining tranches of the total loan, which will be released by the Japan International Cooperation Agency (JICA) depending on the project requirements and further discussions with the DOTr. The loan was signed by Finance Secretary Carlos Dominguez III and JICA chief representative Mr. Eigo Azukizawa during a ceremony that was also attended by Japanese Ambassador Kazuhiko Koshikawa and Transportation Undersecretary for Railways Timothy John Batan.

Source: ABS CBN