By Trisha Casabar
The Department of Finance (DOF) has signed on Friday, July 7, a $600 million loan agreement with the World Bank for the Philippine Rural Development Project (PRDP) Scale-Up.
The PRDP Scale-Up initiative of the Department of Agriculture (DA) aims to modernize and industrialize the agriculture sector through public infrastructure interventions and strengthening the commodity value chain, which is outlined in the Philippine Development Plan 2023-2028.
Around 450,000 farmers and fisherfolk will benefit under this project through improving market access, increasing income generation, and improving food supply chain efficiency, according to the DOF.
The PRDP is also expected to generate about 42,000 new jobs.
This initiative will be implemented in 16 regions comprising 82 provinces, targeting areas where approximately half of the country’s 109.03-million agriculture and fisheries population resides.
The project’s total cost is estimated at $818 million or Php45.01 billion, with the national government and involved local government units contributing $218 million.
To ensure the project’s continuity and sustainability, the DA will facilitate the project’s transition into a regular locally funded program.
The DOF said the World Bank has been supporting the project since 2014 and continued its assistance by providing two additional loans in 2018 and 2021.
As of July 2023, the total World Bank’s official development assistance loan and grant commitments is estimated at $7.94 billion. –ag
