ASIAN DEVELOPMENT BANK

MEMBER FACT SHEET

Philippines: 2018 Committed Loans,

Grants, and Technical Assistance ADB’s country partnership strategy for the Philippines
($ million)
Loans
focuses on accelerating infrastructure and long-term
Technical investments, promoting local economic development,
and investing in people.
Sovereign Nonsovereign Assistance Grants Total
1,380.00 – 9.71 8.00 1,397.71
– = nil.

Notes: Commitment is the financing approved by the ADB Board

of Directors or Management for which the investment agreement

Philippines
has been signed by the borrower, recipient, or the investee company
and ADB.

Grants and technical assistance include ADB-administered

cofinancing.

The Philippines has become one of the Cumulative loan and grant disbursements
Philippines: Cumulative Lending, Grant, fastest-growing economies in Southeast to the Philippines amount to
and Technical Assistance Commitmentsa, b, c Asia. The country’s gross domestic $14.72 billion. These were financed by
Total product grew by an average of 6.4% regular and concessional ordinary capital
Amount
Sector No. ($ million)d %d a year during 2010–2017, compared resources, and other special funds.
Agriculture, Natural Resources, 171 2,075.37 10.74 with average annual growth of 4.5% for
 and Rural Development 2000–2009.
Education 42 1,748.93 9.05 ADB-SUPPORTED PROJECTS
Energy 76 3,414.06 17.67 The Government of the Philippines aims AND PROGRAMS
Finance 75 2,343.58 12.13 to lay a strong foundation for inclusive In 2018, ADB and the government
Health 26 373.59 1.93
growth, a socially responsible society, agreed on a new country partnership
Industry and Trade 33 592.22 3.07
Multisector 21 334.07 1.73
and a globally competitive economy. strategy for the Philippines, covering
Public Sector Management 85 5,127.60 26.54 In its Philippine Development Plan 2018–2023 and focusing on
Transport 79 2,051.57 10.62 2017–2022, the current administration accelerating infrastructure and long-
Water and Other Urban 74 1,258.04 6.51 aims to address underinvestment in term investments, promoting local
 Infrastructure and Services infrastructure, reduce poverty, address economic development, and investing
Total 682 19,319.02 100.00 income inequality, and lessen regional in people.
 Grants and technical assistance include ADB-administered growth disparities.
a

cofinancing.
 Includes sovereign and nonsovereign loans and technical assistance. The strategy closely aligns with the
Since 1966, the Asian Development
b

c
 Using primary sector in reporting of commitments. Long-Term Vision of the Philippines
d
 Numbers may not sum precisely because of rounding. Bank (ADB) has been a strong partner Towards 2040 (AmBisyon Natin 2040)
in the development of the Philippines, and the Philippine Development Plan
which is the bank’s host country. ADB
Philippines: Ordinary Capital Resources is one of the country’s largest sources
Nonsovereign Commitments by Product, of official development assistance,
2007–2018 with average annual lending of about
No. of Transactions Signed 6 $800 million over the past 10 years.
Amount ($ million)
The bank’s cumulative assistance to the
Loans 435.55
Equity Investments 25.00
Philippines has reached $19.3 billlion in
Guarantees 168.15 public sector loans, grants, and technical
Total 628.70 assistance.

Updated in July 2019

2017–2022. It lays the foundation for reforms to expand financial services programs, and deliver primary education
ADB to rebalance its investments to across the country, especially among in internally displaced communities.
support the government’s massive entrepreneurs, small businesses,
“Build, Build, Build” infrastructure farmers, workers, women, and NONSOVEREIGN OPERATIONS
development program, which is worth vulnerable households.
$160 billion–$180 billion from 2017 to As a catalyst for private investments,
In December 2018, ADB approved ADB provides financial assistance to
2022. The partnership strategy also
a $408 million financing package to nonsovereign projects and financial
(i) promotes inclusive growth and
assist the government in rebuilding and intermediaries. Total commitments
increases focus on development in
rehabilitating the southern Philippine from ADB’s own funds (in equity
Visayas and Mindanao; (ii) targets
city of Marawi and help residents regain and direct loans) in 2018 amounted
assistance to the bottom 40% of the
their livelihoods. The package includes to $3.14 billion for 32 transactions in
population through increased access
a $300 million quick-disbursing loan economic and social infrastructure, the
to quality secondary education, labor
to fund selected programs, projects, finance sector, and agribusiness. ADB
market programs, financial inclusion,
and activities under the government’s also actively mobilizes cofinancing from
and improved social protection; and
Bangon Marawi Comprehensive commercial and concessional sources.
(iii) includes cross-cutting support to
Rehabilitation and Recovery Plan— In 2018, ADB mobilized $3.17 billion of
promote private sector participation,
covering local governance and long-term cofinancing and $3.99 billion
gender equality, good governance,
peacebuilding, housing and settlement, of cofinancing in trade finance,
environmentally sustainable
business and livelihood, and social microfinance, and supply chain finance
development, regional integration, and
services. Meanwhile, a $100 million programs. Total outstanding balances
knowledge generation and sharing.
loan will finance the reconstruction and and commitments of nonsovereign
In 2018, two ADB loans totaling rehabilitation of damaged infrastructure transactions funded by ADB’s own
$600 million were implemented by the in the city, including about 25 kilometers resources stood at $12.7 billion as of
government. A $300 million policy- (km) of roads and 1,700 meters of 31 December 2018.
based loan is supporting government bridges and viaducts. Completing the
efforts to strengthen the framework package are grants worth $8 million to
under which the private sector can restore and rehabilitate water supply
COFINANCING
participate in the “Build, Build, Build” systems, construct local health units, Cofinancing operations enable ADB’s
program. Another $300 million policy- procure mobile medical clinics, scale up financing partners, governments or
based loan seeks to support government emergency employment and livelihood their agencies, multilateral financing

Philippines: Project Success Rates Philippines: Portfolio Performance Quality Indicators

No. of Independently for Sovereign Lending and Grants, 2017–2018
Success Rate Evaluated Projects No. of Ongoing Loansa (as of 31 Dec 2018) 16
Year (%) and Programs 2017 ($ million) 2018 ($ million)
2007 100.0 1 Contract Awardsb, c 246.57 423.03
2008 20.0 5 Disbursementsb 472.89 779.91
2009 50.0 2 No. of Ongoing Grantsa (as of 31 Dec 2018) –
2010 60.0 5 2017 ($ million) 2018 ($ million)
2011 40.0 5 Contract Awards b, c
– –
2012 50.0 2 Disbursementsb, d – (0.07)
2013 100.0 1 Actual Problem Projects (%) (as of 31 Dec 2018) 23
2014 – 1 – = nil, () = negative.
2015 50.0 2 a
Based on commitments.
2016 100.0 2 b
Includes closed loans/grants that had contract awards or disbursements during the year.
2017 50.0 2 c
Excludes policy-based lending/grants.
Total 50.0 28 d
Includes only Asian Development Fund and other ADB special funds.
Note: “Year” refers to the circulation year of the project completion report (PCR). The success
rates reported are based on the ratings from validated PCRs and independently evaluated
performance evaluation reports only and do not include self-evaluations. With small sample
sizes, success rates do not necessarily represent country operations performance.
Source: PCR validation reports and project/program performance evaluation reports ratings
database as of 31 December 2018.

Philippines: Projects Cofinanced, Philippines: Share of Procurement Contracts for

1 January 2014–31 December 2018 Loan, Grant, and Technical Assistance Projects
Cofinancing No. of Projects Amount ($ million) Cumulative
Projectsa 12 2,238.51 2017 2018 (as of 31 Dec 2018)
Amount % of Amount % of Amount % of
 Grants 4 35.00
Item ($ million) Total ($ million) Total ($ million) Total
 Official loans 6 1,582.00
Goods, Works, and 475.46 4.66 904.11 7.20 10,638.76 5.88
 Commercial cofinancing 3 621.51  Related Services
Technical Assistance Grants 12 19.46 Consulting Services 26.37 3.53 18.40 2.64 492.84 3.88
a
A project with more than one source of cofinancing is counted once. Total Procurement 501.84 4.59 922.51 6.96 11,131.60 5.75
Top 5 Contractors/Suppliers from the Philippines Involved Top 5 Consultants from the Philippines Involved
in Goods, Works, and Related Services Contracts under ADB in Consulting Services Contracts under ADB Loan,
Loan and Grant Projects, 1 January 2014–31 December 2018 Grant, and Technical Assistance Projects, 1 January 2014–
Contract Amount 31 December 2018
Contractor/Supplier Sector ($ million) Contract Amount
R.D. Interior Junior Construction TRA 17.74 Consultant Sector ($ million)
 & Hebei Road and Bridge Group Renardet Ingenieurs Conseils S.A. TRA 11.96
 Co. Ltd. (JV) Pacific Rim Innovation and ANR, EDU, HLT 11.42
MAC Builders-Fiat Construction TRA 10.11  Management Exponents Inc.
 Services (JV)
Plan International Philippines MUL 7.48
Vicente T. Lao Construction ANR, TRA 4.91
BSP & Co. Inc. & Gemma TRA 1.83 Tractebel Inc. ANR, WUS 4.93
 Construction Supply Inc. (JV) Development Strategists EDU, IND 4.30
Rudhil Construction and ANR 1.46  International Consulting Inc.
 Enterprises Inc. Individual Consultants 63.37
Others 3,081.03 Others 18.56
Total 3,117.09 Total 122.02
ANR = agriculture, natural resources, and rural development; TRA = transport. ANR = agriculture, natural resources, and rural development; EDU = education;
HLT = health; IND = industry and trade; MUL = multisector; TRA = transport; WUS = water
and other urban infrastructure and services.

institutions, and commercial ADB and the Japan International operations totaled $10.2 billion in 2017
organizations to participate in financing Cooperation Agency are preparing to and $12.55 billion in 2018. Cumulative
ADB projects. The additional funds are support the government’s “Build, Build, procurement since 1966 has been
provided in the form of official loans Build” infrastructure development $180.86 billion covering 215,461
and grants, technical assistance, other program. ADB and the World Bank contracts.
concessional financing, and commercial are partners in supporting the
In the Philippines, 18,607 contracts worth
cofinancing such as B loans, risk transfer government’s National Community-
$10.64 billion have been awarded to
arrangements, parallel loans and equity, Driven Development Program and the
contractors and suppliers since 1966.
guarantee cofinancing, and cofinancing conditional cash-transfer program called
for transactions under ADB’s Trade the Pantawid Pamilyang Pilipino Program. Consulting Services
Finance Program and Supply Chain ADB’s procurement contracts in Asia
Among the country’s bilateral partners,
Finance Program. and the Pacific for consulting services
the governments of Australia, Canada,
ADB began cofinancing operations and France are active cofinanciers in under loan, grant, and technical assistance
in the Philippines in 1972. Since then, various programs, including public– operations totaled $746.79 million in 2017
cumulative direct value-added official private partnership reforms, youth and $696.18 million in 2018. Cumulative
cofinancing commitments for the employment programs, and local procurement since 1966 has been
Philippines have amounted to $4.36 billion governance reforms. $12.7 billion covering 59,248 contracts.
for 58 investment projects and In the Philippines, 7,392 contracts worth
ADB continues to participate in
$98.12 million for 68 technical assistance $492.84 million have been awarded to
policy dialogue in the Philippines
projects. Cumulative direct value-added consultants since 1966.
and coordinates with government
commercial cofinancing for the Philippines
agencies to discuss development issues,
has amounted to $960.57 million for
10 investment projects.
including the direction of development OPERATIONAL CHALLENGES
assistance to Mindanao.
The government’s “Build, Build, Build”
In 2018, Philippines received
infrastructure development program
$353 million in loan cofinancing from
AFD for two investment projects and PROCUREMENT has gathered momentum, with public
spending on infrastructure estimated
$8 million in grant cofinancing from Each year, ADB provides loans, grants, to rise from 4.5% of gross domestic
the Japan Fund for Poverty Reduction and technical assistance to fund product in 2016 to 7.3% by 2022. Given
and the Urban Climate Change Fund projects and activities in its developing the wide array of infrastructure projects
Resilience Trust Fund for the Emergency member countries and several billion under the program, government
Assistance for Reconstruction and dollars in contracts to procure goods, agencies’ capacity to roll out such
Recovery of Marawi. works, and consulting services. Most large and complex plans will need
A summary of projects with cofinancing contracts are awarded on the basis of to be further strengthened. ADB is
from 1 January 2014 to 31 December international competition, which is supporting the government in this area
2018 is available at www.adb.org/ open to firms and individuals from any through loans, grants, and technical
countries/philippines/cofinancing. ADB member, regional or nonregional. assistance. The bank is working closely
with the government to enhance the
PARTNERSHIPS Share of ADB’s Procurement technical and institutional capacity of
Contracts national and local agencies and staff;
ADB continues to collaborate with key improve interagency coordination; and
development partners in the Philippines, Goods, Works, and Related Services strengthen partnerships between the
particularly in the areas of infrastructure, ADB’s procurement contracts in Asia government, the private sector, and
finance, public sector management, and and the Pacific for goods, works, and development partners.
community development. related services under loan and grant
FUTURE DIRECTIONS The new rail line will provide affordable, resilient infrastructure development
reliable, and safe public transport; reduce to meet expanding demand and raise
In 2019, ADB is rolling out its biggest greenhouse gas emissions; and cut travel the country’s competitiveness. Phased
investment in the Philippines—the time by 50% to less than 1 hour. initiatives to improve local governance,
Malolos–Clark Railway Project. The youth employment, economic corridor
project will construct 53 km of railway line The Malolos–Clark Railway Project planning, urbanization and regional
to connect Metro Manila to the regional will be one of several projects and connectivity, access to finance, and
business center in Clark and the Clark programs in a pipeline expected to reach effective disaster risk management
International Airport in the Central Luzon around $3 billion for 2019. Lending complete the planned development
region, around 100 km north of Manila. operations for the year focus on climate program for the Philippines.

Contacts
Philippines Country Office
6 ADB Avenue, Mandaluyong City
1550 Metro Manila, Philippines
Tel +63 2 632 4444
Fax +63 2 683 1030
[email protected]
www.adb.org/philippines

ADB Headquarters
6 ADB Avenue, Mandaluyong City
1550 Metro Manila, Philippines
Tel +63 2 632 4444
Fax +63 2 636 2444

Department of Finance
6th Floor, Department of Finance Building
About THE Philippines and ADB Roxas Boulevard corner Pablo Ocampo Street
Metro Manila, Philippines
ADB Membership
Tel +63 2 523 9219
Joined 1966
Fax +63 2 526 8474
Shareholding and Voting Power
Number of shares held: 252,912 (2.377% of total shares) Useful ADB websites
Votes: 292,609 (2.200% of total membership,
Asian Development Bank
3.383% of total regional membership)
Overall capital subscription: $3.52 billion www.adb.org
Paid-in capital subscription: $175.89 million
Annual Report
Paul Dominguez is the Director and Shahid Mahmood is the Alternate Director representing the www.adb.org/documents/series/adb-annual-
Philippines on the ADB Board of Directors. reports

Kelly Bird is the ADB Country Director for the Philippines. The Philippines Country Office was Asian Development Outlook
opened in 2001 and provides the primary operational link for activities between ADB and the www.adb.org/publications/series/asian-
government, the private sector, civil society stakeholders, and development partners. The country
development-outlook
office engages in policy dialogue, country partnership strategy development and programming,
and portfolio management, while also acting as a knowledge base on development issues in the
Philippines. ADB Data Library
data.adb.org
The Philippine government agency handling ADB affairs is the Department of Finance.

About the Asian Development Bank

ADB is a multilateral development bank owned by 68 members, 49 from the region and 19 from
other parts of the world. ADB’s main instruments for helping its developing member countries are
policy dialogue, loans, equity investments, guarantees, grants, and technical assistance. In 2018,
lending volume was $19.88 billion (126 projects), with technical assistance at $241.20 million
(280 projects) and grant-financed projects at $1.42 billion (44 projects). In addition, $14 billion
was generated in direct value-added cofinancing in the form of official loans and grants, other
concessional cofinancing, and commercial cofinancing such as B loans, risk transfer arrangements,
guarantee cofinancing, parallel loans, parallel equity, and cofinancing for transactions under ADB’s
Trade Finance Program. From 1 January 2014 to 31 December 2018, ADB’s annual lending volume
averaged $15.99 billion. In addition, investment grants and technical assistance funded by ADB
and Special Funds resources averaged $583.95 million and $184 million over the same period. As
of 31 December 2018, the cumulative totals excluding cofinancing were $275.82 billion in loans for
3,090 projects in 44 countries, $9.38 billion in 374 grants, and $4.52 billion in technical assistance
grants, including regional technical assistance grants.

Notes:
ADB welcomed Niue as its 68th member in March 2019.
Figures are estimated by ADB unless otherwise stated. “$” refers to United States dollars.
Data are updated as of 31 December 2018 unless otherwise indicated. Fact sheets are published annually in April.