The Philippines will review a US$1.75-billion financing offer from the Asian Development Bank (ADB) as the government assesses funding needs tied to the continuing conflict in the Middle East and its impact on the economy.
Palace Press Officer Claire Castro said Monday the proposed financing would still have to undergo the government’s review and approval process, including an evaluation of its terms and consistency with the country’s fiscal and debt management goals.
“Gayunpaman, ayon sa DBM, ito ay kailangan dumaan pa rin sa kaukulang proseso ng pagsusuri at pag-apruba ng pamahalaan,” Castro said.
“Kailangan pong aralin ng Department of Finance ang terms and conditions ng financing upang matiyak na ito ay naaayon sa fiscal and debt management objectives ng pamahalaan,” she added.
ADB President Masato Kanda offered the additional financing during a courtesy call on President Ferdinand Marcos Jr. last Friday, saying the bank is ready to support the Philippines in cushioning the economic effects of the Middle East crisis.
Kanda said ADB recognizes the pressure the conflict is placing on Filipino families, workers, and businesses, and is prepared to help the government protect vulnerable communities, manage fiscal pressures, and strengthen economic resilience.
Castro said the Department of Budget and Management (DBM) considers the offer helpful and a sign of confidence from the country’s development partners in the government’s ability to respond to global shocks.
Asked whether the government would instead seek a supplemental budget, Castro said no final decision has been made.
“Sa ngayon, ang anumang susunod na hakbang ay ibabatay sa magiging resulta ng inter-agency assessment, fiscal space ng pamahalaan at aktwal na pangangailangan ng ating response measures,” she said.
The Philippines declared a state of national energy emergency in March due to the Middle East conflict and its threat to energy supply availability and stability.