Gov’t signs four ADB loan contracts


The Marcos administration signed four loan contracts from the Asian Development Bank (ADB) that will help fund the construction of railway systems that connect Pampanga and Laguna.

In a statement, the Manila-based multilateral lender said that civil works contracts for the South Commuter Railway (SCRP) project amounting to $1.87 billion, or P109.6 billion, were signed by the ADB and the Department of Transportation (DOTr).

Under the contracts, ADB will fund the civil works for the railway viaduct, stations, bridges, tunnels, and depot buildings of the SCRP.

The project, which will lay nearly 55 kilometers of railway segment to connect Metro Manila with Laguna province, is being financed with $4.3 billion in loans approved by ADB last June.

SCRP is also part of the North–South Commuter Railway (NSCR) network, which is ADB’s largest infrastructure financing in Asia and the Pacific to date.

“This project will open tremendous opportunities for economic integration across Metro Manila and neighboring provinces and create a significant positive impact on the local economy,” Winfried Wicklein, ADB deputy director general for Southeast Asia said.

“It will strengthen the country’s economic recovery, create as many as 35,000 construction jobs and more than 3,000 permanent jobs during the railway operation, and improve access for residents of Laguna province to employment in Metro Manila,” he added.

President Marcos witnessed the signing of the civil works contracts, undertaken by Transportation Secretary Jaime Bautista.

Once completed, the South Commuter Railway will provide fast public transport, help ease road traffic congestion, and contribute to a reduction in greenhouse gas emissions in line with the Philippines’ climate change agenda.

It is estimated that the project will reduce net greenhouse gas emissions by over 284,000 tons of carbon dioxide annually as commuters switch from road to rail transportation.

More than 600,000 passengers are expected to use the entire NSCR system daily by 2040.

Under the project, 18 elevated and at-grade stations will be built and provide safe access for all, including the elderly, women, children, and people with disabilities.

The South Commuter Railway will connect to the future Metro Manila Subway system and be designed to withstand typhoons and earthquakes.

Travel time between Manila and Calamba using the railway will be reduced by over half, from 2.5 hours currently by road.