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The Department of Finance has secured agreements with South Korea to fund three major infrastructure projects aimed at boosting mobility and economic growth in Luzon and Visayas
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One of the projects is the P6.34 billion financing agreement for the Samar Pacific Coastal Road II Project, backed by the Export-Import Bank of Korea’s Economic Development Cooperation Fund
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An MOU was also signed for the Laguna Lakeshore Road Network Project Phase 1 and the Panay-Guimaras-Negros Island Bridges Project
The Department of Finance (DOF) sealed agreements with South Korea to fund three major infrastructure projects aimed at boosting mobility and economic growth in Luzon and Visayas, the agency said in a statement.
The agreements were signed on Oct 7 by South Korean officials and Finance Secretary Ralph Recto, and witnessed by President Ferdinand Marcos, Jr. and South Korean President Yoon Suk Yeol during the latter’s state visit to the Philippines.
One of the projects is the Samar Pacific Coastal Road II, valued at P6.34 billion ($111.4 million, and supported by the Export-Import Bank of Korea-Economic Development Cooperation Fund (KEXIM-EDCF).
The project involves construction of two marine bridges, the Laoang II Bridge (800 meters) and the Calamotan Bridge (605 meters), along with improvements to 15.011 kilometers of roads. Upon completion in 2029, the project will cut travel time between Laoang and Palapag in Northern Samar from 65 minutes to just 19 minutes.
A memorandum of understanding was also signed for the Laguna Lakeshore Road Network Project Phase 1 (Stage 1) and the Panay-Guimaras-Negros Island Bridges Project. The MOU outlines cooperation between the two governments for potential financing of these projects.
Phase I of the proposed Laguna Lakeshore Road Network Project has a total project cost of P181.03 billion and covers 37.6 kilometers of viaduct and embankment from Lower Bicutan, Taguig City, to Calamba, Laguna.
Part of the road network project is the construction of eight interchanges proposed to connect municipal boundaries to the nearest public road along Lower Bicutan, Sucat, Alabang, Tunasan, San Pedro/Biñan, Santa Rosa, Cabuyao, and Calamba.
The KEXIM-EDCF is set to back the first stage of the Laguna Lakeshore Road Network Project with funding amounting to some P50.61 billion. The project will also receive co-financing from the Asian Development Bank and the Asian Infrastructure Investment Bank, ensuring multi-lateral support for its development.
The P187.54-billion Panay-Guimaras-Negros Island Bridges Project is an inter-island bridges project in Western Visayas that involves the construction of 32.47 kilometers (combined) of two sea-crossing, four-lane bridges, including connecting roads and interchanges that will connect the islands of Panay, Guimaras, and Negros.
KEXIM-EDCF is financing the conduct of engineering service or detailed engineering design for the project under a $56.61 million (about P3.21 billion) agreement signed on April 10, 2022.
Once completed in 2031, the interisland bridges will cut travel time from Panay to Negros Islands from three to four hours by ferry or roll-on/roll-off to just under one hour.
“These projects are a testament to the strong friendship between the Philippines and South Korea. Beyond enhancing mobility, they will create jobs, spur businesses, boost incomes, and uplift Filipino lives—helping reduce poverty, especially in Luzon and Visayas,” Recto said during the ceremonial exchange of agreements for the projects.
South Korea, one of the Philippines’ top development assistance partners, has committed around $958.11 million (P54.33 billion) in loans and grants to the country to date.
