‘Xi visit to speed up approval of China-backed projects’

Chinese President Xi Jinping’s upcoming visit to the Philippines would help speed up the approval of infrastructure projects proposed for Beijing’s financing assistance, the Department of Budget and Management (DBM) said yesterday.

Budget Secretary Benjamin Diokno expressed confidence that Xi’s visit this month would hasten the implementation of China-backed projects, as it would put more pressure on the Chinese government to speed up their process.

“I think, with this visit, this will actually speed up. We are very optimistic because their head of state will put pressure on their bureaucracy,” Diokno said in a press briefing.

According to Diokno, China and the Philippines’ other development partners may still be adjusting to the new process required by the government, hence the delay in the approval of some projects.

“They are not used to our new arrangements where we require them to vet their three best contractors per project. I think that is something new to them. I think it’s also new to Japan,” Diokno said.

China pledged $9 billion in assistance to the Philippines during President Duterte’s visit to Beijing in October 2016.

Diokno said the Philippine government has already identified about $3 billion worth of projects out of the amount committed by China. These include the two baskets of infrastructure projects submitted by Manila for possible financing assistance from Beijing.

Last April, Manila and Beijing signed a $62.09- million Preferential Buyer’s Credit Loan Agreement for the Chico River Pump Irrigation Project.

Diokno earlier said the two countries are expected to close financing deals during Xi’s visit to the Philippines this month.

These include the loan agreements for the New Centennial Water Source-Kaliwa Dam Project and the Philippine National Railways South Long Haul Project.

In addition to the agreements, Diokno said Xi might also announce additional aid to the Philippines, but declined to specify the amount.