The Department of Finance (DOF) bared policy measures that the Philippines is undertaking to address the impact of high inflation and climate-related risks in during the International Monetary Fund (IMF) and World Bank Group meetings in Washington D.C.
Finance Secretary Benjamin E. Diokno said in an intervention before the constituency members of World Bank Executive Director Erivaldo Gomes that the government continues to extend targeted support to the most vulnerable sectors amid skyrocketing food prices.
The Philippines has also introduced other measures to address high inflation, the finance chief said.
These include investing in improvements to local food production, ensuring the timely importation of goods, improving distribution efficiency, ensuring adequate power supply, and monitoring policy considerations on wage and transport fare hike petitions.
On climate action, Diokno highlighted the role of external financing.
“As climate change threatens the resilience of our communities, the government has integrated green, resilient, and inclusive development or GRID strategies in our post-pandemic recovery plans,” Diokno said.
The Philippines adopted its first Nationally-Determined Contribution (NDC) under the Paris Agreement, which aims to address climate change by reducing greenhouse gas emissions by 75 percent by 2030.
“As in other countries, these NDC actions are heavily reliant on external financing,” Secretary Diokno added.
The World Bank is the largest multilateral provider of climate finance for GRID programs.
Executive Director Gomes represents the Philippines, Brazil, Colombia, Dominican Republic, Ecuador, Haiti, Panama, Suriname, and Trinidad and Tobago.
Inflation and climate change are among the major issues being discussed by global policymakers at the ongoing IMF and World Bank meetings in the US capital.
Earlier, Diokno met with World Bank Group President David Malpass and discussed the Philippines’ ongoing loan portfolio and seek support for the Marcos administration’s comprehensive eight-point socioeconomic agenda.
The Philippines has a robust loan portfolio from the World Bank.
In 2021, total budget support loan availed and disbursed from the International Bank for Reconstruction and Development was $1.376 billion, or about 12 percent of 2021 actual external financing.
In addiction, there is $1.5781 billion total commitment approved for Fiscal Year 2022.