The National Economic and Development Authority (NEDA) Board, chaired by President Marcos, has approved the implementation of a free trade agreement with South Korea and two major infrastructure projects totaling P63.2 billion.
In a statement on Tuesday, Dec. 17, NEDA Secretary Arsenio M. Balisacan said that these initiatives seek to bolster agricultural productivity, enhance regional connectivity, and stimulate economic activity throughout the country.
The NEDA Board's approval of the executive order will officially implement the Philippines-Korea Free Trade Agreement (PH-KR FTA), which was signed in September 2023.
“The agreement will support government efforts to manage competitive exclusion vis-à-vis ASEAN neighbors, encourage more foreign direct investments, and secure more preferential concessions than those currently available under the ASEAN–Korea FTA and the Regional Comprehensive Economic Partnership Agreement,” NEDA said.
Under the agreement, Korea will grant duty-free entry to a wide range of Philippine products, representing 87.4 percent of total Korean imports from the Philippines. This is expected to boost Philippine exports to Korea and strengthen economic ties between the two nations.
In addition to the free trade agreement, the NEDA Board approved two infrastructure projects. The first, the P37.5-billion Ilocos Norte-Ilocos Sur-Abra Irrigation Project (INISAIP), will enhance agricultural output and water management in the three provinces.
The project includes the construction of a dam, irrigation canals, and renewable energy components.
“With a six-year implementation period, INISAIP will benefit approximately 32,604 families, significantly improving their livelihoods and fostering sustainable economic development in the Ilocos and Cordillera regions,” Balisacan said.
The second project, the P25.7-billion Accelerated Bridge Construction Project for Greater Economic Mobility and Calamity Response (ABC Project), aims to improve connectivity and disaster resilience by constructing 29 bridges nationwide.
Funded by an Official Development Assistance (ODA) loan from the French government, the project will be implemented in two phases, focusing on long bridges and calamity response bridges.
The NEDA Board also approved adjustments to five ongoing projects, including the Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities (VISTA) project, the Health System Enhancement to Address and Limit (HEAL) Covid-19 project, and the Panglao-Tagbilaran City Offshore Bridge Connector (PTCOBC) project.
Furthermore, the NEDA reported on the progress of infrastructure projects under the Build-Better-More Program, highlighting the completion of the Arterial Road Bypass Project Phase III (Plaridel Bypass) and the Panguil Bay Bridge. The Plaridel Bypass has expanded a 22.46-kilometer road to four lanes, improving traffic flow and boosting socioeconomic growth. The Panguil Bay Bridge, funded by Korean ODA, now connects Tangub City and Tubod, significantly reducing travel time and enhancing regional connectivity in Mindanao.
“Through these investment and infrastructure initiatives, we are advancing connectivity to enhance economic opportunities and ensure that progress reaches all regions of the country,” Balisacan added.