ADB approves $30M loan to boost Philippine PPP projects

The Asian Development Bank (ADB) has approved a $30 million loan to strengthen public-private partnership (PPP) initiatives in the Philippines. The loan will replenish the government’s Project Development and Monitoring Facility (PDMF), which is managed by the Public–Private Partnership Center (PPPC).

The PDMF serves as a revolving fund designed to assist implementing agencies in preparing, structuring, and managing PPP projects. It also offers procurement advisory services, probity management, and other technical support to transition projects from development to implementation.

ADB announced that the loan would support 35 national and local PPP projects between 2025 and 2029. These projects will encompass infrastructure improvements in railways, roads, transport networks, and community facilities, all of which will undergo climate risk screening to align with the Philippines’ climate goals under its nationally determined contributions.

Pavit Ramachandran, ADB’s Country Director for the Philippines, highlighted the country’s leadership in leveraging PPPs for sustainable infrastructure development. “Through this new loan, ADB is helping ensure the continuous preparation of bankable and feasible climate-resilient PPP projects in the country as well as the availability of global expertise for successful PPP implementation,” he said.

The loan will also bolster the capabilities of local government units (LGUs) and implementing agencies in managing PPP projects. A comprehensive capacity-building program is set to be introduced for the PPPC and its partners to enhance expertise in PPP development.

Additionally, the funding will support the creation of a project evaluation framework tailored to emerging PPP sectors, addressing the growing demands for diverse infrastructure projects. To safeguard fiscal sustainability, a contingent liabilities evaluation framework will also be established.