ADB OKs $380-M loan for Mindanao road infra

The Asian Development Bank (ADB) has approved a $380-million loan to help the Philippine government improve road network and spur economic development in Mindanao.

In a statement on Friday, the Manila-based multilateral lender said its board of directors approved the loan for the Improving Growth Corridors in Mindanao Road Sector Project.

The project is its biggest infrastructure investment in the island region, which seeks to improve about 280 kilometers of national roads and bridges in Mindanao.

The total project cost is estimated at $503 million, with the Philippine government contributing $123 million.

“The project, which is also the first Mindanao-specific loan granted by ADB in 16 years, will help the transport system better deal with the effects of climate change through features such as elevated pavements, enhanced slope protection, and better drainage,” the ADB said.

“It will benefit women by improving their access to basic infrastructure, social services, and economic or financial resources or opportunities. Communities will also benefit from road safety awareness campaigns to be conducted under the project,” it said.

All road projects will be geotagged with information accessible on the Internet for the public to monitor throughout the project life cycle, including procurement and construction.

“Additionally, the assistance will help finance the detailed design of 300-km of national highways in Mindanao, which will be constructed through other projects,” ADB said.

Mindanao’s road network is less developed than the national average, with only 70 percent of the roads paved, compared with 82 percent in Luzon and 89 percent in the Visayas, according to ADB.

”Despite its rich natural resources, Mindanao also has the highest poverty incidence among the Philippines’ three island groups at 32 percent, largely because of civil conflict and low economic growth,” the lender said. — Ted Cordero/VDS, GMA News