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Manila Bulletin devider Business devider Banking & Finance devider Philippine civil service modernization going full steam ahead in July—World Bank

Philippine civil service modernization going full steam ahead in July—World Bank

Published Jul 1, 2025 11:27 am
The Civil Service Commission (CSC) is expected to kick off its planned modernization activities, which will be funded by a World Bank loan, this July.
In a June 30 implementation status and results report, the World Bank said that the CSC’s Philippines Civil Service Modernization Project is “currently pending effectiveness to enable initiation of the planned activities.”
“It is expected to become effective upon finalization and approval of the project’s operational manual by end-July 2025,” the World Bank said.
To recall, the World Bank greenlit the $67.34-million loan for the Philippines Civil Service Modernization Project last March 21.
The project is aimed at improving the efficiency as well as the quality of human resource (HR) and payroll management in selected national government agencies (NGAs).
The World Bank has assigned a “substantial” overall risk rating for this project, even as the overall implementation progress so far was deemed “satisfactory.”
As Manila Bulletin reported earlier, Finance Secretary Ralph G. Recto, on behalf of the Philippine government, subsequently signed the loan agreement for the Philippines Civil Service Modernization Project on April 28.
According to the loan agreement, this financing is euro-denominated, equivalent to 61.96 million euros.
The loan takes effect three months after the signature date.
Principal repayments are scheduled twice a year from 2035 to 2053.
The project will specifically strengthen individual and agency capabilities for human resource management (HRM); establish systems and technologies for effective HRM; as well as implement project management and change management.
“Improving bureaucratic efficiency through the acceleration of digital transformation in government is a key priority of the government of the Philippines. This project will support the development of a smart and future-ready civil service capable of delivering the public goods and services expected in a ‘middle class society,’” the World Bank said on its website.

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