MANILA – South Korea has provided a $1 billion main development support fund to the Philippines to assist increase the Southeast Asian country’s infrastructure program, Finance Secretary Carlos Dominguez III said.
Dominguez said jobs have actually already been identified for almost half of the ODA funds.
The jobs to be funded by the $1 billion ODA include the $172.64 million for the new Cebu International Container Port project, $100 million for the brand-new Dumaguete Airport, $50 million for the job preparation center of the National Watering Administration, and $41 million for the application of electronic invoice, invoices and sales reporting system that will help the federal government screen all taxes paid by the retailers.
Jobs for the staying $636.36 million in ODA funds will be recognized later, Dominguez stated.
He said South Korea enforced a 0.15 percent interest on the loan for the Cebu port job, payable in 40 years.
Dominguez stated he ensured Korean officials of “our stringent monitoring of tasks to make certain none of the Korea taxpayers’ loan is lost in corruption and that all ODA-supported tasks will bring long lasting benefits to the Filipino people.”
The $1 billion ODA for 2017-2022 is double than what South Korea provided to the Philippines for the years 2011-2013, Dominguez said.
He stated the doubling of the amount can be attributed to South Korea’s “New Southern Policy” which aims to deepen ties in between Seoul and Southeast Asian nations.
The Korean government already provided the Philippine National Cops a $6.6 million aid, and it is willing to pour more funds for the rehabilitation of war-torn Marawi City.
Meanwhile, Trade Secretary Ramon Lopez said the Philippine federal government has actually also sought more powerful trade ties with South Korea, as Manila asked for the lowering of tariffs for Philippine farming jobs getting in the Korean market.
He stated Korea enforces a 25-30 percent tariff on farming items such as pineapple, banana, mango, and coconut.
” Our demand is to bring it down to the area of 5 percent,” Lopez stated. “We reduced our tariffs. We are essentially asking for reciprocity.”
Lopez said Philippine and Korean services are also expected Tuesday afternoon to strike organisation deals and pledges worth $4.8 billion which could produce 50,000 new tasks.
The business-to-business offers, Lopez stated, involve small and medium enterprises such as a kimchi-making company and big companies such as Korean car-maker Hyundai.
Lopez said in Hyundai is looking at establishing a production facility for passenger and industrial vehicles in the Philippines.