Mindanao projects get P3.38 B from EU

The European Union (EU) has extended about 60.5 million euros or approximately P3.38 billion in grants to the Philippines for the implementation of two projects in Mindanao and the Bangsamoro region, the Department of Finance (DOF) said over the weekend.

Finance Secretary Carlos Dominguez signed on June 26 a financing agreement for the 35.5-million-euro grant for the Mindanao Peace and Development Program (MINPAD)-RISE Mindanao project.

Dominguez also signed a separate agreement formalizing the 25-million-euro grant for the Support to Bangsamoro Transition (SUBATRA) program on July 1.

After signing the agreement for the MINPAD-RISE Mindanao, Dominguez thanked the EU for continuously supporting government efforts to achieve regional growth and financial inclusion.

“This EU assistance will certainly help the Duterte administration achieve its goal of a just and lasting peace and development in Mindanao, and in supporting genuine autonomy in the Bangsamoro region,” he said.

The MINPAD-RISE Mindanao project will be implemented by the Mindanao Development Authority at a total cost of 149.5 million euros or about P8.35 billion.

It will be co-financed by the government of Germany for an indicative amount of four million euros or approximately P223.6 million, and the World Bank for $130 million or P6.4 billion.

The International Finance Group of the DOF said the project aims to “contribute to a peaceful, cohesive, secure and inclusively developed Mindanao” and improve social cohesion and community resilience as well as increase economic opportunities in Mindanao.”

It also seeks to strengthen the capacity of agricultural cooperatives and improve socioeconomic infrastructure that provides basic economic and social services to communities.

Meanwhile, the SUBATRA project costs P1.46 billion, 96 percent of which is funded by the EU.

The Spanish Agency for International Development Cooperation committed to cover the remaining amount.