Finance Secretary Ralph G. Recto secured financing from Japan for big-ticket infrastructure projects as well as program budget support for health and climate change initiatives during a high-level meeting between the Philippine and Japanese governments in Manila on March 24, 2025.
“We are deeply grateful to the government of Japan for its confidence in our ability to turn these projects into realities. On the part of the Philippine government, we will honor this trust by ensuring that every peso, every yen, and every commitment made today translates into real improvements to the people we serve,” Secretary Recto said.
“Indeed, Japan is not just a friend in words but in action. And today is just one of the many proofs that our friendship is growing stronger each day through concrete efforts,” he added.
Senior Japanese government officials led by Dr. Mori Masafumi, Special Advisor to the Japanese Prime Minister, visited the Philippines to convene the 15th Philippines-Japan High-Level Joint Committee Meeting (HLJCM) on Infrastructure Development and Economic Cooperation in order to accelerate the roll-out of Japan-supported projects in the country.
Secretary Recto headed the Philippine delegation along with his co-chair, National Economic and Development Authority (NEDA) Secretary Arsenio M. Balisacan.
Among the key highlights of the meeting were the signing of supplement financing agreements for a bypass road project in Mindanao and two major flood control projects in Luzon.
The Davao City Bypass Construction Project (III), with a financing worth JPY 46.34 billion (about PHP 17.67 billion), will improve mobility for Davaoeños, facilitate trade, and accelerate economic growth in Mindanao through the construction of a four-lane bypass road with a total length of 45.5 kilometers.
Meanwhile, the financing worth JPY 45.76 billion (about PHP 17.45 billion) for the Pasig-Marikina River Channel Improvement Project, Phase IV (II), will help strengthen the flood management infrastructure in Metro Manila through the establishment of dikes and revetments, installation of flood gates, and channel dredging, among other measures.
The Cavite Industrial Area Flood Risk Management Project (II) also received financing worth JPY 14.48 billion (about PHP 5.52 billion) to help mitigate flood damage in the lower reach of the San Juan River Basin and its adjacent Maalimango Creek Drainage Area.
Also inked were the agreements for two program budget-support financing to assist the Philippines in advancing health and climate change initiatives.
The financing for the Climate Change Action Program, Subprogram 2 worth JPY 35.0 billion (about PHP 13.35 billion) will equip the government with the financial capability to implement more climate adaptation, mitigation, and disaster preparedness initiatives.
Meanwhile, the JPY 30.0 billion (about PHP 11.44 billion) financing for the Build Universal Health Care, Subprogram 2 will help improve equitable access to quality health services that are also responsive to gender-specific health concerns and the health impacts of climate change.
The five financing agreements were signed by Secretary Recto and Japan International Cooperation Agency (JICA) Country Chief Representative Baba Takashi.
During the high-level meeting, the Japanese government reaffirmed its commitment to supporting the Marcos, Jr. administration’s Build Better More program and other key priority areas.
With this, both sides discussed the status, implementation issues, and ways forward to fast-track the roll-out of the big-ticket projects funded by Japan.
These include the Metro Manila Subway Project (Phase I), the North-South Commuter Railway Projects, the Metro Rail Transit Line 3 Rehabilitation Project, the Dalton Pass East Alignment Road Project, and the Metro Manila Priority Bridges Seismic Improvement Project.
Japan is also in talks with the Philippines to support the Central Mindanao High Standard Highway, the second San Juanico Bridge Construction Project, the Flood Control and Drainage Project in Davao City, the Paranaque Spillway Project, the National Public Broadcasting Digital Terrestrial Broadcasting Network Development Project, and the Magat Dam Reconstruction Project, among others.
Updates on the Mindanao peace process were also tackled, along with progress on the sectoral cooperation in disaster risk reduction, maritime safety, regional development, Information and Communications Technology (ICT), and energy transition.
The Philippine government likewise presented prospects for future infrastructure development with a specific focus on Public-Private Partnership (PPP) integration and Official Development Assistance (ODA) financing as the country makes its ascent to Upper Middle-Income status.
The rest of the Philippine delegation was composed of Department of Budget and Management (DBM) Secretary Amenah Pangandaman; Department of Transportation (DOTr) Secretary Vivencio Dizon; Department of Public Works and Highways (DPWH) Secretary Manuel Bonoan; Department of Energy (DOE) Secretary Raphael Perpetuo M. Lotilla; and Philippine Ambassador to Japan Mylene J. Garcia-Albano.
Senior officials from the Department of Information and Communications Technology (DICT); Presidential Communications Office (PCO); the Bases Conversion and Development Authority (BCDA); the Mindanao Development Authority (MinDA); the Office of the Presidential Adviser on Peace, Reconciliation, and Unity (OPAPRU); and the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) were also present.
Meanwhile, the Japanese delegation was also comprised of high-level officials in the Cabinet Secretariat; the Ministry of Foreign Affairs (MOFA); the Ministry of Internal Affairs and Communications (MIC); Ministry of Finance (MOF); the Ministry of Economy, Trade And Industry (METI); Agency for Natural Resources and Energy (ANRE); and Ministry of Land, Infrastructure and Tourism (MLIT).
Also present were high-level officials from JICA, Japan Bank for International Cooperation (JBIC), Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development (JOIN), the Embassy of Japan (EOJ), and JICA Philippines.
