The Department of Finance (DOF) thanked Japan for quickly disbursing another disaster response loan that aims to support ongoing government efforts to rehabilitate areas and help families affected by the series of powerful typhoons in the final months of last year.

Finance Secretary Carlos G. Dominguez III said the newly released 10-billion yen under the second phase of Japan's Post Disaster Standby Loan 2 (PDSL 2) program will help cover the funding needed to help families get back on their feet and rebuild communities.

Last January 5, the Japan International Cooperation Agency (JICA) disbursed the second tranche of the PDSL2, bringing its total assistance to the Philippines under the program to 20 billion yen, or roughly P9.33 billion.

To recall, strong typhoons “Quinta,” “Rolly” and “Ulysses” struck most parts of Luzon in October and November last year.

“On behalf of the Philippine government, I express my gratitude to the people and government of Japan for helping our country swiftly mobilize financial resources for the massive rehabilitation efforts in the areas pummeled by the typhoons,” Dominguez said.

The government estimated losses of over P10 billion combined in the agriculture sector alone from these three cyclones that struck the country one after the other in two weeks' time beginning October.

“The speedy release of this 10-billion yen loan underscores anew the Japanese government's unwavering support for the Duterte administration's disaster relief and mitigation programs,” Dominguez said.

“Such immediate financial support at this time will certainly go a long way in helping our people and communities recover quickly from the devastation wrought by the three super typhoons,” he added.

The latest disbursement is the second fund release under the 50-billion yen, about P23.33 billion, PDSL 2, which was formalized between the Philippines and Japan last September 15.

Under the PDSL2, the disbursement of the standby loan to the Philippines will be triggered by either the declaration of a state of calamity, or public health emergency.

On top of PDSL 2, JICA has also supported the Philippines’ pandemic response measures through a 50 billion yen COVID-19 Crisis Response Emergency Support Loan (CCRESL).

The Philippines became the first recipient of Japan’s emergency support loan for COVID-19 affected economies with the early disbursement last August 14 of the 50-billion CCRESL to the government.

Japan is also the Philippines’ leading Official Development Assistance partner, with loans and grants amounting to around $10.10 billion as of June 2020.