DoF denies China ODA was leverage for joint exploration

THE DEPARTMENT of Finance (DoF) said that Chinese loans and grants were not employed as leverage to arrive at a joint energy exploration agreement in the South China Sea.

The DoF disputed the claim after an online media outlet reported, without citing a source, that Chinese ambassador to the Philippines Zhao Jianhua hindered the delivery of official development assistance (ODA) to force the Philippines to agree to joint exploration.

“The topic of joint (oil) exploration was never raised in our discussions with our counterparts particularly during loan negotiations and processing of new loans, even during the bilateral meetings/high-level meetings with this office,” the DoF said in a statement on Wednesday.

“This is a grossly malicious claim without any basis. There is no link whatsoever between the Chinese loans and grants and the proposed joint oil exploration deal between the two countries,” it added.

The Chinese embassy has yet to reply to queries at deadline time.

The Finance department said that meetings both here and in China only involved negotiations on the funding for infrastructure projects under the government’s “Build, Build, Build” program, and that the delay was “mostly due to (the Philippine government’s) internal processes.” —